BILL NUMBER: SB 1047 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 15, 2010
INTRODUCED BY Senator Correa
FEBRUARY 16, 2010
An act to amend Section 62.1 of the Revenue and Taxation
Sections 798.4, 799, and 799.1 of the Civil
Code, relating to taxation mobilehomes
.
LEGISLATIVE COUNSEL'S DIGEST
SB 1047, as amended, Correa. Property taxation:
mobilehomes. Mobilehomes: nonprofit resident-owned
mobilehome park.
The Mobilehome Residency Law governs the terms and conditions of
tenancies in mobilehome parks and defines a mobilehome park for
purposes of these provisions. The law also sets forth separate
provisions that govern, and are only applicable to, the rights of a
resident who has an ownership interest in a subdivision, cooperative,
or condominium for mobilehomes or a resident-owned mobilehome park
in which the resident's mobilehome is located or installed.
This bill would revise the latter provisions described above to
exclude a nonprofit resident-owned mobilehome park from the scope of
those provisions.
Existing property tax law requires the reassessment at fair market
value of real property upon a change in ownership, and specifies
those transfers of real property that constitute a change in
ownership. Existing law excludes from classification as a change in
ownership, subject to certain conditions, any transfer made, on or
after January 1, 1985, of a mobilehome park to a nonprofit
corporation, stock cooperative corporation, limited equity stock
cooperative, or other entity formed by the tenants of the park for
the purpose of purchasing the park. Existing law classifies as a
change in ownership any subsequent transfer of any portion of that
same mobilehome park, on and after January 1, 1989, that is not for
the purpose of converting ownership of the park in a specified
manner.
This bill would make a technical, nonsubstantive change to this
provision.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 798.4 of the Civil
Code is amended to read:
798.4. "Mobilehome park" is an area of land where two or more
mobilehome sites are rented, or held out for rent, to accommodate
mobilehomes used for human habitation and includes a nonprofit
resident-owned mobilehome park, as defined in subdivision (a) of
Section 799, where the member leases his or her space .
SEC. 2. Section 799 of the Civil Code
is amended to read:
799. As used in this article:
(a) "Nonprofit resident-owned mobilehome park" means a mobilehome
park owned and operated by a nonprofit mutual benefit corporation,
established pursuant to Section 11010.8 of the Business and
Professions Code, whose members consist of park residents where there
is no recorded condominium plan, tract, parcel map, or declaration.
(a)
(b) "Ownership or management" means the ownership or
management of a subdivision, cooperative, or condominium for
mobilehomes, or of a resident-owned mobilehome park that does
not fall under the definition provided in subdivision (a) .
(b)
(c) "Resident" means a person who maintains a residence
in a subdivision, cooperative, or condominium for mobilehomes, or a
resident-owned mobilehome park that does not fall under the
definition provided in subdivision (a) .
(c)
(d) (1)
"Resident-owned mobilehome park" means any entity other than
a subdivision, cooperative, or condominium for mobilehomes,
through which the residents have an ownership interest in
the mobilehome park except as provided in paragraph (2) .
(2) A "resident-owned mobilehome park" does not include either of
the following:
(A) A subdivision, cooperative, or condominium for mobilehomes.
(B) A nonprofit resident-owned mobilehome park.
SEC. 3. Section 799.1 of the Civil Code
is amended to read:
799.1. This article shall govern the rights of a resident who has
an ownership interest in the subdivision, cooperative, or
condominium for mobilehomes, or a resident-owned mobilehome park in
which his or her mobilehome is located or installed. This
article shall not apply to a nonprofit resident-owned mobilehome
park. In a subdivision, cooperative, or condominium for
mobilehomes, or a resident-owned mobilehome park, Articles 1
(commencing with Section 798) to 8 (commencing with Section 798.84),
inclusive, shall apply only to a resident who does not have an
ownership interest in the subdivision, cooperative, or condominium
for mobilehomes, or the resident-owned mobilehome park, in which his
or her mobilehome is located or installed. Articles 1
(commencing with Section 798) to 8 (commencing with Section 798.84),
inclusive, shall also apply to nonprofit resident-owned mobilehome
parks.
SECTION 1. Section 62.1 of the Revenue and
Taxation Code is amended to read:
62.1. (a) Change in ownership does not include any of the
following:
(1) Any transfer, on or after January 1, 1985, of a mobilehome
park to a nonprofit corporation, stock cooperative corporation,
limited equity stock cooperative, or other entity formed by the
tenants of a mobilehome park, for the purpose of purchasing the
mobilehome park, provided that, with respect to any transfer of a
mobilehome park on or after January 1, 1989, subject to this
paragraph, the individual tenants who were renting at least 51
percent of the spaces in the mobilehome park prior to the transfer
participate in the transaction through the ownership of an aggregate
of at least 51 percent of the voting stock of, or other ownership or
membership interests in, the entity that acquires the park. If, on or
after January 1, 1998, a park is acquired by an entity that did not
attain an initial tenant participation level of at least 51 percent
on the date of the transfer, the entity shall have up to one year
after the date of the transfer to attain a tenant participation level
of at least 51 percent. If an individual tenant notifies the county
assessor of the intention to comply with the conditions set forth in
the preceding sentence, the mobilehome park may not be reappraised by
the assessor during that period. However, if a tenant participation
level of at least 51 percent is not attained within the one-year
period, the county assessor shall thereafter levy escape assessments
for the mobilehome park transfer.
(2) Any transfer or transfers on or after January 1, 1985, of
rental spaces in a mobilehome park to the individual tenants of the
rental spaces, provided that (1) at least 51 percent of the rental
spaces are purchased by individual tenants renting their spaces prior
to purchase, and (2) the individual tenants of these spaces form,
within one year after the first purchase of a rental space by an
individual tenant, a resident organization as described in
subdivision (l) of Section 50781 of the Health and Safety Code, to
operate and maintain the park. If, on or after January 1, 1985, an
individual tenant or tenants notify the county assessor of the
intention to comply with the conditions set forth in the preceding
sentence, any mobilehome park rental space that is purchased by an
individual tenant in that mobilehome park during that period shall
not be reappraised by the assessor. However, if all of the conditions
set forth in the first sentence of this paragraph are not satisfied,
the county assessor shall thereafter levy escape assessments for the
spaces so transferred. This paragraph shall apply only to those
rental mobilehome parks that have been in operation for five years or
more.
(b) (1) If the transfer of a mobilehome park has been excluded
from a change in ownership pursuant to paragraph (1) of subdivision
(a) and the park has not been converted to condominium, stock
cooperative ownership, or limited equity cooperative ownership, any
transfer on or after January 1, 1989, of shares of the voting stock
of, or other ownership or membership interests in, the entity that
acquired the park in accordance with paragraph (1) of subdivision (a)
shall be a change in ownership of a pro rata portion of the real
property of the park unless the transfer is for the purpose of
converting the park to condominium, stock cooperative ownership, or
limited equity cooperative ownership or is excluded from change in
ownership by Section 62, 63, or 63.1.
(2) For the purposes of this subdivision, "pro rata portion of the
real property" means the total real property of the mobilehome park
multiplied by a fraction consisting of the number of shares of voting
stock, or other ownership or membership interests, transferred
divided by the total number of outstanding issued or unissued shares
of voting stock of, or other ownership or membership interests in,
the entity that acquired the park in accordance with paragraph (1) of
subdivision (a).
(3) Any pro rata portion or portions of real property that changed
ownership pursuant to this subdivision may be separately assessed as
provided in Section 2188.10.
(4) (A) Notwithstanding any other provision of law, after an
exclusion under subdivision (a), the assessor may not levy any escape
or supplemental assessment with respect to any change in ownership
of a pro rata portion of the real property of the mobilehome park
that occurred between January 1, 1989, and January 1, 2002, and for
which the assessor did not, prior to January 1, 2000, levy any
assessments. However, commencing with the January 1, 2002, lien date,
the assessor shall correct the base year value of the pro rata
portion of the real property of the park to properly reflect these
changes in ownership. A mobilehome park shall provide information
requested by the assessor that is necessary to correct the base year
value of the property for purposes of this paragraph.
(B) When an assessor corrects the base year value of the real
property of the park pursuant to subparagraph (A), the assessor shall
notify parks that residents may be eligible for property tax
assistance programs offered by either the Controller or the Franchise
Tax Board for senior citizens, or blind or disabled persons.
(C) Any outstanding taxes that were levied between January 1,
2000, and January 1, 2002, as a result of a pro rata change in
ownership as described in subparagraph (A) shall be canceled.
However, there shall be no refund of taxes, as so levied, that were
paid prior to January 1, 2002.
(5) A mobilehome park that does not utilize recorded deeds to
transfer ownership interest in the spaces or lots shall file, by
February 1 of each year, a report with the county assessor's office
containing all of the following information:
(A) The full name and mailing address of each owner, stockholder,
or holder of an ownership interest in the mobilehome park.
(B) The situs address, including space number, of each unit.
(C) The date that the ownership interest was acquired.
(D) If the unit is a manufactured home, the Department of Housing
and Community Development decal number or serial number, or both, and
whether the manufactured home is subject to the vehicle license fee
or the local property tax.
(6) Within 30 days of a change in ownership, the new resident
owner or other purchaser or transferee of a manufactured home within
a mobilehome park that does not utilize recorded deeds to transfer
ownership interest in the spaces or lots shall file a change in
ownership statement described in either Section 480 or 480.2.
(7) Failure to comply with the reporting requirement described in
paragraph (5) shall result in a penalty pursuant to Section 482.
(c) It is the intent of the Legislature that, in order to
facilitate affordable conversions of mobilehome parks to tenant
ownership, paragraph (1) of subdivision (a) apply to all bona fide
transfers of rental mobilehome parks to tenant ownership, including,
but not limited to, those parks converted to tenant ownership as a
nonprofit corporation made on or after January 1, 1985.