Section 435 Manufactured Home Park Closings

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1 Section 435 Manufactured Home Park Closings Purpose. In view of the peculiar nature and problems presented by the closure or conversion of manufactured home parks, the City Council finds that the public health, safety and general welfare will be promoted by requiring compensation to displaced residents of such parks. The purpose of this Section is to define by whom and in what amount compensation for park relocation or displacement of a manufactured home is paid. This Section is adopted pursuant to the authority granted under Minnesota Statutes, Section 327C Definitions. The following words and terms when used in this Section shall have the following meanings unless the context clearly indicates otherwise: Closure Statement: A statement prepared by the park owner clearly stating the park is closing, addressing the availability, location and potential costs of adequate replacement rental sites within a twenty-five (25) mile radius of the park that is closing and the probable relocation costs of the manufactured homes located in the park to other parks or other location within the twenty-five (25) mile radius. Displaced Resident: A resident of an owner-occupied manufactured home who rents a lot in a manufactured home park, including members of the resident s household, as of the date the park owner submits a closure statement to the City s Planning and Zoning Commission. Lot: An area within a manufactured home park, designed and used for the accommodation of a manufactured home. Manufactured Home: A structure, not affixed to or part of real estate, transportable in one or more sections, and titled as a manufactured home, and which is built on a permanent chassis and designed to be used as a dwelling with or without a permanent foundation when connected to the required utilities, and includes the plumbing, heating, air conditioning and electrical system contained in it. Park Owner: The owner of a manufactured home park and any person acting on behalf of the owner in the operation or management of a park. Person: Any individual, corporation, firm, partnership, incorporated and unincorporated association or any other legal or commercial entity. Purchaser: The person buying the manufactured home park from the park owner. In the event that the park owner intends to retain ownership and convert the park to a different use, all references to the purchaser refer to the park owner.

2 continued Relocation Costs: The reasonable cost of relocating a manufactured home from a manufactured home park within the City of Brainerd that is being closed or converted to another use to another manufactured home park within a twenty-five (25) mile radius of the park as follows: (1) The actual expenses incurred in moving the displaced owner=s manufactured home, including the reasonable cost of disassembling, moving and reassembling sheds and any attached appurtenances, such as porches, decks, skirting and awnings, which were not acquired after notice of closure or conversion of the park, and utility Αhook-up charges. (2) The cost of insurance for the replacement value of the property being moved. (3) The cost of repairs or modifications that are required in order to take down, move and set up the manufactured home. Relocation costs do not include the cost of any repairs or modifications to the manufactured home needed to bring the home into compliance with the state and federal manufactured home building standards for the year in which the home was constructed. Relocation costs also do not include the cost of any repairs or modifications to the home or appurtenances needed to bring the home or appurtenances into compliance with the rules and regulations of the manufactured home park to which the manufactured home is to be relocated, if those rules and regulations are no more stringent than the rules and regulations of the park in which the home is located and the resident was notified of noncompliance with the rules and regulations of the park in which it is located within sixty (60) days prior to delivery of the closure statement Notice of Closing. If the manufactured home park is to be sold with the intent to convert in whole or in part to another use or the owner of the park requests and receives rezoning of the property from the City, the park owner shall, at least nine (9) months prior to conversion to another use or sale to someone with the intent to convert to another use, provide a copy of a closure statement to a resident of each manufactured home and to the City s Planning and Zoning Commission Notice of Public Hearing. The Planning and Zoning Commission shall submit the closure statement to the City Council and request the City Council to schedule a public hearing. The City shall mail a notice at least ten (10) days prior to the public hearing to a resident of each manufactured home in the park stating the time, place and purpose of the hearing. The park owner shall provide the City with a list of the names and addresses of at least one resident of each manufactured home in the park at the time the closure statement is submitted to the City.

3 Public Hearing. A public hearing shall be held before the City Council for the purpose of reviewing the closure statement and evaluating what impact the park closing may have on the displaced residents and the park owner Conditions of Closing. A. (1) Prior to closing any manufactured home park, the park owner shall pay the relocation costs of each resident displaced by the park closing. Such payments shall be made in the amounts and according to the procedures set forth in the Section. (2) If, at any time after a closure statement has been issued in accordance with Section , the owner of a manufactured home park chooses not to close the park, the owner may rescind the closure statement by providing a notice of rescission to an adult resident of each manufactured home in the park and filing a copy of the notice of rescission with the City Planning and Zoning Commission. The notice of rescission shall set forth the date on which the closure statement was filed with the City Planning and Zoning Commission and the proposed closure date given in the closure statement, and shall contain the following advisory: THIS PARK WILL NOT BE CLOSED, YOU DO NOT NEED TO MOVE AT THIS TIME UNLESS YOU HAVE BEEN INSTRUCTED TO DO SO BY A COURT FOR REASONS OTHER THAN THE CLOSURE OF THIS PARK. PLEASE DISREGARD THE CLOSURE NOTICE. THIS PARK WILL CONTINUE TO OPERATE AS A MANUFACTURED HOME PARK. (3) If, prior to receiving the notice of rescission, a resident of the manufactured home park has moved from the park because of the park owner s closure statement, the park owner shall be responsible for the resident s relocation costs as follows: (a) If the notice of rescission is provided to the residents of the park and filed with the City Planning and Zoning Commission at least 121 days before the closure date given in the closure statement, the park owner shall not be liable for any relocation costs incurred by a resident who has left the park as a result of the closure statement; or

4 (3)(b) (b) If the notice of rescission is provided to the residents of the park and filed with the City Planning and Zoning Commission less than 121 days before the closure date given in the closure statement, the park owner shall be liable for any relocation costs actually incurred by any resident who has left the park as a result of the closure statement. (4) A resident who moves from the park after the closure statement has been provided to the residents of the park and filed with the City Planning and Zoning Commission shall be presumed to have moved from the park because of the closure statement. Such a presumption may be rebutted by clear and convincing evidence. B. The City shall not issue a building permit in conjunction with the reuse of the manufactured home park property unless the park owner has paid the relocation costs and/or the park purchaser has compensated displaced residents in accordance with the requirements of this Section. Approval of any application for rezoning, platting, conditional use permit, planned unit development or variance in conjunction with a park closing or conversion shall be conditional on compliance with the requirements of this Section Displaced Resident Statement. Within ninety (90) days of receipt of a closure notice, the displaced resident shall provide the park owner with a written statement of relocation costs, or, in the alternative, a written statement that the resident cannot relocate his or her manufactured home to another manufactured home park or other location within a twenty-five (25) mile radius or chooses not to relocate his or her manufactured home to a manufactured home park that is outside of Independent School District No If a resident determines not to relocate as defined within this Section, the resident must state whether he or she elects to receive relocation costs under Section or compensation under Section Election to Relocate. A. If a manufactured home can be relocated to another manufactured home park within a twenty-five (25) mile radius, the park owner shall pay displaced residents relocations costs as defined herein. B. The park owner shall make relocation payments directly to contractors providing the relocation service, or shall reimburse the displaced resident directly after the resident submits to the park owner proof of payment of relocation costs. The park owner shall be entitled to receive adequate documentation of relocation cost, including costs of proposals, invoices, at least two estimates and contracts for relocation services.

5 (C) C. If a displaced resident cannot relocate the manufactured home within a twenty-five (25) mile radius of the park which is being closed, and the resident elects not to tender title to the manufactured home, the resident is entitled to relocation costs based upon an average of relocation costs awarded to other residents in the park. D. A displaced resident compensated under this Section shall retain title to the manufactured home and shall be responsible for its prompt removal from the manufactured home park. All rent due and owing to the park owner, and all property taxes for the current and prior years and all other financial obligations under the displaced resident s lease shall be paid by the displaced resident prior to removing the manufactured home from the park Election To Receive Compensation. If a resident cannot relocate his or her manufactured home to another location within a twenty-five (25) mile radius or chooses not to relocate his or her manufactured home to a manufactured home park that is outside of Independent School District No. 181 and tenders title to the manufactured home, the resident is entitled to compensation in order to mitigate the adverse financial impact of the park closing. In such instance, the compensation shall be an amount equal to 75% of the assessed value, or the estimated market value, of the manufactured home, whichever is greater, as determined by an independent appraiser experienced in manufactured home appraisal approved by the City Council, or an amount equal to the equivalent of one year s lot rent, whichever is greater. The purchaser and park owner shall share equally in the cost of the appraisal or shall reimburse the City for any advances it makes to such appraiser for such cost. The resident shall transfer title of the manufactured home to the payer of the compensation free and clear of all liens and encumbrances. All rent due the property owner and all property taxes for the current and prior years and all other financial obligations under the displaced resident s lease shall be paid by displaced resident prior to the removal of the manufactured home from the park by the park purchaser Penalty. A. Violation of any provision of this Ordinance shall be a misdemeanor. B. Any provisions of this Ordinance may be enforced by injunction or other appropriate civil remedy Expiration. This effect of this ordinance denoted as Section 435 Regulating Manufactured Home Park Closings shall expire on July 1, (Added Ord )

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