BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1964
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          Date of Hearing:   April 14, 2010

               ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT
                                 Norma Torres, Chair
                 AB 1964 (Torres) - As Introduced:  February 17, 2010
           
          SUBJECT  :   Mobilehome Parks Act.

           SUMMARY  :   Extends the sunset on the Mobilehome Park Maintenance  
          inspection program and its related fees until January 1, 2019. 

           EXISTING LAW  

          1)Requires the Department of Housing and Community Development  
            (HCD) to regulate the construction, installation, use,  
            maintenance, and occupancy of mobilehomes and mobilehome parks  
            (Health and Safety Code Section 18200, et seq.). 

          2)Gives local agencies the option of assuming enforcement  
            authority of the state's mobilehome codes and regulations  
            within their jurisdictions through agreement with HCD (Health  
            and Safety Code Section 18300). 

          3)Under the Mobilehome Park Maintenance (MPM) inspection  
            program, requires HCD or a local enforcement agency, until  
            January 1, 2012, to inspect mobilehome parks proactively with  
            a goal of inspecting at least five percent of parks per year  
            and a focus on those parks for which the enforcement agency  
            has received complaints about serious health and safety  
            violations (Health and Safety Code Section 18400.1).   

          4)Provides for HCD or a local enforcement agency, until January  
            1, 2012, to collect annually a per space fee of $4 to fund the  
            MPM inspection program, $2 of which the mobilehome park owner  
            may charge to individual homeowners (Health and Safety Code  
            18502).

          5)Requires HCD to convene a task force every six months to  
            provide input to HCD on the conduct and operation of the MPM  
            inspection program.  The task force includes mobilehome park  
            owners, mobilehome owners, local enforcement agencies, and  
            legislative representatives.  HCD must report to the task  
            force information on the number of parks and spaces that were  
            inspected, the fees collected, the most common violations  
            discovered, and the number of violations identified plus  








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            progress on correcting those violations (Health and Safety  
            Code Section 18400.3).  

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

          AB 925 (O'Connell), Chapter 1125, Statutes of 1990, first  
          created the MPM inspection program, and required HCD or a local  
          enforcement agency to inspect every mobilehome and every  
          mobilehome park in the state once every five years.  Because of  
          delays created by the Northridge Earthquake and other factors,  
          HCD was not able to complete the inspection of all mobilehome  
          parks in the first five years.  The Legislature twice extended  
          the program to require that all inspections be completed in  
          eight years, or by 1999.  By 1999, HCD and local agencies had  
          completed the inspection of all mobilehome parks.

          In 1999, SB 700 (O'Connell), Chapter 520, Statutes of 1999,  
          extended the MPM inspection program until January 1, 2007, and  
          made some changes to the program.  In particular, SB 700 limited  
          the inspection program to mobilehome parks that had a history of  
          serious health and safety code violations and required these  
          inspections at least once every seven years.  SB 700 limited the  
          inspections in part because of the limited funding provided by  
          the $4 fee that supports the MPM program.  About one-third of  
          mobilehome parks in the state were inspected under the MPM  
          program between 2000 and SB 700's sunset date of January 1,  
          2007.  SB 700 also created the MPM inspection task force and  
          required it to meet once a year.

          SB 106 (Dunn) of 2005 would have deleted the 2007 sunset date on  
          the MPM inspection program and increased the existing $4 fee to  
          $6 to for the inspections.  The Governor vetoed SB 106 because  
          of the fee increase, so in 2006, SB 1231 (Dunn), Chapter 644,  
          Statutes of 2006, extended the sunset date on the MPM inspection  
          program until January, 1, 2012, and increased the frequency of  
          the MPM task force meetings to every six months, but did not  
          increase the fee.  Also in 2006, AB 2250 (Coto), Chapter 858,  
          Statutes of 2006, set the goal that five percent of parks would  
          be inspected under the MPM program each year.

          The MPM program provides a complete, scheduled inspection of  
          mobilehome parks, as contrasted with the complaint-driven  
          inspections that otherwise occur.  The program came about in  








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          1990 because of concerns that the complaint inspection process  
          by itself did not adequately address deteriorating health and  
          safety conditions in some parks.  As a result of the MPM  
          program, HCD and local enforcement agencies since 1991 have  
          cited both park owners and homeowners for tens of thousands of  
          health and safety violations, which as a result have been  
          remedied.  Without the MPM program, many of these would not  
          otherwise have been addressed.  With the impending January 1,  
          2012, sunset date, the author reports interest from homeowners,  
          HCD, and the park industry in extending the program.  AB 1964  
          would extend the sunset on the MPM program and its associated  
          fees through January 1, 2019.

           Amendment Request
           
          The Western Manufactured Housing Communities Association (WMA)  
          supports this bill if it is amended to allow mobilehome park  
          owners to pass through to residents fees they pay to operate.   
          This bill does not currently relate to permit-to-operate (PTO)  
          fees.  Last year a budget trailer bill (SB 73 [Budget and Fiscal  
          Review], Chapter 341) increased the annual PTO fee for each park  
          from $25 plus  $2 per lot to $140 plus $7 per lot.  No policy  
          committee heard SB 73, so no discussion of the fee increase or  
          whether it could be passed on to mobilehome park residents  
          occurred.  WMA would like that discussion to occur during  
          consideration of this bill. 

          WMA argues that because PTO fees fund the administrative and  
          complaint investigation costs of the Codes and Standards  
          Division of HCD, they benefit both park owners and homeowners.   
          WMA asserts that the state last raised the PTO fees in 1975  
          prior to mobilehome park rent control being adopted in any  
          California communities.  Since then, over 100 jurisdictions have  
          established rent control on their mobilehome parks with  
          different standards and conditions for park owners to pass  
          through additional costs to mobilehome owners.  For this reason,  
          WMA seeks authorization to pass through last year's increase in  
          the PTO fee.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California Rural Legal Assistance Foundation
          Golden State Manufactured-Home Owners League








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          Western Center on Law and Poverty
          Western Manufactured Housing Communities Association (if  
          amended)

           Opposition 
           
          None on file
           
          Analysis Prepared by  :    Anya Lawler / H. & C.D. / (916)  
          319-2085