Illinois General Assembly - Full Text of SB1043
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Full Text of SB1043  98th General Assembly


Sen. Toi W. Hutchinson

Filed: 4/15/2013





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2    AMENDMENT NO. ______. Amend Senate Bill 1043 by replacing
3everything after the enacting clause with the following:
4    "Section 5. The Manufactured Home Landlord and Tenant
5Rights Act is amended by changing Sections 3 and 6.5 and by
6adding Sections 8.6, 8.7, 8.8, and 8.9 as follows:
7    (765 ILCS 745/3)  (from Ch. 80, par. 203)
8    Sec. 3. Definitions. Unless otherwise expressly defined,
9all terms in this Act shall be construed to have their
10ordinarily accepted meanings or such meaning as the context
11therein requires.
12    (a) "Person" means any legal entity, including but not
13limited to, an individual, firm, partnership, association,
14trust, joint stock company, corporation or successor of any of
15the foregoing.
16    (b) "Manufactured home" means a factory-assembled,



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1completely integrated structure designed for permanent
2habitation, with a permanent chassis, and so constructed as to
3permit its transport, on wheels temporarily or permanently
4attached to its frame, and is a movable or portable unit that
5is (i) 8 body feet or more in width, (ii) 40 body feet or more
6in length, and (iii) 320 or more square feet, constructed to be
7towed on its own chassis (comprised of frame and wheels) from
8the place of its construction to the location, or subsequent
9locations, at which it is installed and set up according to the
10manufacturer's instructions and connected to utilities for
11year-round occupancy for use as a permanent habitation, and
12designed and situated so as to permit its occupancy as a
13dwelling place for one or more persons. The term shall include
14units containing parts that may be folded, collapsed, or
15telescoped when being towed and that may be expected to provide
16additional cubic capacity, and that are designed to be joined
17into one integral unit capable of being separated again into
18the components for repeated towing. The term excludes campers
19and recreational vehicles.
20    (c) "Mobile Home Park", "community", "manufactured home
21community", or "community" or "Park" means a tract of land or 2
22contiguous tracts of land that contain sites with the necessary
23utilities for 5 or more mobile homes or manufactured homes. A
24mobile home park may be operated either free of charge or for
25revenue purposes.
26    (d) "Park Owner" or "community owner" means the owner of a



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1mobile home park and any person authorized to exercise any
2aspect of the management of the premises, including any person
3who directly or indirectly receives rents and has no obligation
4to deliver the whole of such receipts to another person.
5    (e) "Tenant" means any person who occupies a mobile home
6rental unit for dwelling purposes or a lot on which he parks a
7mobile home for an agreed upon consideration.
8    (f) "Rent" means any money or other consideration given for
9the right of use, possession and occupancy of property, be it a
10lot, a mobile home, or both.
11    (g) "Master antenna television service" means any and all
12services provided by or through the facilities of any closed
13circuit coaxial cable communication system, or any microwave or
14similar transmission services other than a community antenna
15television system as defined in Section 11-42-11 of the
16Illinois Municipal Code.
17    (h) "Manufactured home owner" means the owner of a
18manufactured home.
19    (i) "Displaced manufactured home owner" means the owner of
20a manufactured home which is located on a site in a
21manufactured home community that is ceasing operation as
22described in Section 8.6.
23(Source: P.A. 96-1477, eff. 1-1-11.)
24    (765 ILCS 745/6.5)
25    Sec. 6.5. Disclosure. A park owner must disclose in writing



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1the following with every lease or sale and upon renewal of a
2lease of a mobile home or lot in a mobile home park:
3        (1) the rent charged for the mobile home or lot in the
4    past 5 years;
5        (2) the community park owner's responsibilities with
6    respect to the mobile home or lot;
7        (3) information regarding any fees imposed in addition
8    to the base rent;
9        (4) information regarding late payments;
10        (5) information regarding any privilege tax that is
11    applicable;
12        (6) information regarding security deposits, including
13    the right to the return of security deposits and interest
14    as provided in Section 18 of this Act; and
15        (7) information on a 3-year rent increase projection
16    which includes the 2 years of the lease and the year
17    immediately following. The basis for such rent increases
18    may be a fixed amount, a "not to exceed" amount, a formula,
19    an applicable index, or a combination of these
20    methodologies as elected by the park owner. These increases
21    may be in addition to all the non-controllable expenses
22    including, but not limited to, property taxes, government
23    assessments, utilities, and insurance;
24        (8) the name, address, and telephone number of the
25    owner and any manager of the manufactured home community;
26    and



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1        (9) information regarding the Manufactured Home Owners
2    Relocation Trust Fund.
3    The park owner must update the written disclosure at least
4once per year. The park owner must advise tenants who are
5renewing a lease of any changes in the disclosure from any
6prior disclosure.
7(Source: P.A. 95-383, eff. 1-1-08.)
8    (765 ILCS 745/8.6 new)
9    Sec. 8.6. Cessation of community operation.
10    (a) The owner of a manufactured home community that is
11ceasing operation must pay 50% of the following sums to the
12Manufactured Home Owners Relocation Trust Fund:
13        (1) the relocation expense allowance under Section 8.8
14    of this Act; and
15        (2) at the displaced manufactured home owner's
16    election, the relocation costs to relocate the
17    manufactured home as defined by subsection (b) of this
18    Section, or the payment for an abandoned home as defined by
19    Section 8.8 of this Act.
20    (b) Relocation costs shall include the costs of
21disconnecting and moving the home to a different community or
22other location selected by the displaced manufactured home
23owner within a 100 mile radius of the community and
24reconnecting the home with all hook-ups so that it is
25substantially in the same condition as before the move, with



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1any required and comparable appurtenances.
2    (c) The appraised value of the manufactured home shall be
3the fair market value of the home and any existing
4appurtenances but excluding the value of the underlying land,
5determined by an independent appraiser agreed to by the
6community owner and the displaced manufactured home owner. In
7making the determination, the appraiser shall assess the fair
8market value based on the price that a willing and able buyer
9intending to reside in the home would pay for the home and any
10existing appurtenances, but excluding the value of the
11underlying land, and shall assume that the home is and will
12continue to be located on a lot which is leased in a duly
13licensed manufactured home community, with all hook-ups and
14existing appurtenances in place for use and occupancy by the
16    (d) A displaced manufactured home owner shall not be
17entitled to compensation when:
18        (1) the community owner moves the manufactured home to
19    another space in the manufactured home community, or to
20    another manufactured home community acceptable to the
21    displaced manufactured home owner, at the community
22    owner's expense;
23        (2) the displaced manufactured home owner is vacating
24    the premises and has informed the community owner or
25    manager before notice of the change in use has been given;
26    or



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1        (3) the displaced manufactured home owner or the person
2    residing in the manufactured home is the defendant in a
3    pending eviction action for non-payment of lot rent on the
4    mailing date of the notice of community closure; provided
5    that if a judgment for possession of the premises is not
6    entered in favor of the community owner, this exception
7    does not apply.
8    (e) The owner of a manufactured home community shall notify
9in writing each tenant and, if a home owners association has
10been established, the directors of the association, of any
11application for a change in zoning of all or a portion of the
12manufactured home community within 5 days after the filing for
13such a zoning change with the zoning authority. The tenants are
14entitled to all rights under State and local zoning laws,
15rules, and regulations that are extended to owners of
16neighboring land. Any zoning change approved without the notice
17required by this Section is void.
18    (f) The closure statement in the community closure notice
19required by Section 8.5 of this Act must include the following
20language in a font no smaller than 14-point: "YOU MAY BE
24    (765 ILCS 745/8.7 new)
25    Sec. 8.7. Manufactured Home Owners Relocation Trust Fund.



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1    (a) There is created the Manufactured Home Relocation Trust
2Fund. The Illinois Department of Public Health shall use the
3Manufactured Home Owners Relocation Trust Fund to provide
4assistance for the relocation of displaced manufactured home
5owners. All interest earned from the investment or deposit of
6moneys in the Manufactured Home Owners Relocation Trust Fund
7must be deposited into the Fund.
8    (b) Moneys in the Manufactured Home Owners Relocation Trust
9Fund may be used only:
10        (1) to pay the administrative costs of the Fund,
11    including expenses associated with the annual audit
12    required under subsection (g) of this Section; and
13        (2) to carry out the objectives of assisting displaced
14    manufactured home owners when the community owner intends
15    to change the use of all or part of the land on which the
16    manufactured home community is located.
17    (c) After notifying the tenants in a community owner's
18manufactured home community that the community owner intends to
19cease operation of all or part of the community pursuant to
20Section 8.5 of this Act, if the community owner does not cease
21operation of all or the designated part of the community within
223 years after the date of the notification, or if the Illinois
23Department of Public Health finds there is prima facie evidence
24that the owner did not intend in good faith to change the land
25use, the community owner shall within 30 days of the date that
26the Illinois Department of Public Health provides written



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1notice to the community owner of the prima facie evidence
2determination, reimburse the Manufactured Home Relocation
3Trust Fund whatever moneys the Department has expended from the
4Manufactured Home Owners Relocation Trust Fund with respect to
5that manufactured home community, along with an amount that is
6equal to 2 times the amount of the interest allowed on a
7judgment that would have been earned on the moneys expended in
8the period between the time that the moneys were expended from
9the Manufactured Home Relocation Trust Fund until the amount is
10reimbursed. The date of the mailing of the notice of the prima
11facie evidence determination by the Illinois Department of
12Public Health is deemed to be the date that a community owner
13is notified about reimbursing the Manufactured Home Relocation
14Trust Fund. However, if the community owner, with due
15diligence, has not been able to complete the change-in-use
16process within 3 years, the Illinois Department of Public
17Health may grant a reasonable extension to the community owner
18to complete the process.
19    (d) The cap on the Manufactured Home Owners Relocation
20Trust Fund is $10 million. The cap may be adjusted, eliminated,
21or reinstated by the Illinois Department of Public Health.
22    (e) If the Manufactured Home Owners Relocation Trust Fund
23ceases to exist, the moneys in the Manufactured Home Owners
24Relocation Trust Fund held at the time of dissolution must be
25liquidated by paying the total amount of the Manufactured Home
26Owners Relocation Trust Fund, on a per capita basis, to the



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1each tenant of a rented lot in a manufactured home community in
2this State who has occupied the lot for at least the 12 months
3immediately prior to the time of the dissolution.
4    (f) Monthly fee.
5        (1) The Illinois Department of Public Health shall set
6    a $1 monthly fee for deposit in the Manufactured Home
7    Owners Relocation Trust Fund for each rented lot in a
8    manufactured home community. The Illinois Department of
9    Public Health may adjust, eliminate, or reinstate the
10    assessment, and shall notify community owners and tenants
11    of each adjustment, elimination, or reinstatement pursuant
12    to rules. If the Illinois Department of Public Health
13    adjusts the amount of the assessment upward, it may not
14    exceed $3 per month.
15        (2) The community owner shall collect the tenant's
16    portion of the fee on a monthly basis as additional rent.
17    The community owner shall remit to the Manufactured Home
18    Owners Relocation Trust Fund the tenant's fee on a monthly
19    basis. The community owner is responsible for safeguarding
20    all assessments it collects. A fee is not due or
21    collectable for a vacant lot.
22        (3) If a lot is rented for any portion of a month, the
23    full monthly assessment must be paid to the Manufactured
24    Home Owners Relocation Trust Fund.
25        (4) If a lease contains or is subject to a capping
26    provision which limits the amount by which rent may be



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1    increased, the Manufactured Home Owners Relocation Trust
2    Fund assessment is deemed not to be rent for purposes of
3    rent increases.
4    (g) The Manufactured Home Owners Relocation Trust Fund must
5be audited annually. If the State Auditor performs the audit,
6the Manufactured Home Owners Relocation Trust Fund shall pay to
7the State from the Fund the cost of the audit. The completed
8audit must be made available to the public by placing it on a
9website, by offering it as a hard copy for a fee which reflects
10reasonable reproduction cost, or in some other manner
11determined by the Illinois Department of Public Health.
12    (h) The Illinois Department of Public Health shall make
13available to the public, at least on a quarterly basis, the
14amount of the payment from the Manufactured Home Owners
15Relocation Trust Fund made to each displaced manufactured home
16owner, along with a description of the property related to the
17payment and the reason for the payment.
18    (i) The Illinois Department of Public Health may place a
19lien against the property of any community owner who is
20required to make any payment to the Manufactured Home Owners
21Relocation Trust Fund but fails to do so.
22    (765 ILCS 745/8.8 new)
23    Sec. 8.8. Relocation expense payments.
24    (a) If a community owner elects to cease the operation of
25either all or a portion of the manufactured home community,



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1each displaced manufactured home owner who is required to
2relocate and who complies with the requirements of this Act is
3entitled to:
4        (1) payment from the Manufactured Home Owners
5    Relocation Trust Fund a relocation expense allowance in the
6    amount of a $1,000, to cover the costs of suitable lodging
7    while the manufactured home owner is relocating, and the
8    costs of security deposits and other moving expenses,
9    payable to the displaced manufactured home owner no later
10    than the time of departure of the displaced manufactured
11    home owner from the manufactured home community; and
12        (2) at the displaced manufactured home owner's
13    election, the displaced manufactured home owner's actual
14    relocation costs as defined by Section 8.6 of this Act,
15    which shall be paid as provided in subsection (e) of this
16    Section, or the amount for an abandoned home provided by
17    subsections (b) and (c) of this Section, which shall be
18    paid as provided in subsection (b) of this Section.
19    (b) If a displaced manufactured home owner elects not to
20receive payment of relocation costs under subsection (a) of
21this Section, the displaced manufactured home owner may abandon
22the manufactured home in the manufactured home community and
23receive from the Manufactured Home Owners Relocation Trust Fund
24the greater of:
25        (1) the appraised value of the home as defined by
26    Section 8.6 of this Act;



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1        (2) $3,500 for a single-section home or $7,500 for a
2    multi-section home; or
3        (3) the amount necessary to release any security
4    interest in the home that was created in connection with a
5    bona fide financing or refinancing of the home.
6    To be entitled to payment under paragraphs (1) or (2) of
7this subsection, the displaced manufactured home owner must
8deliver to the Illinois Department of Public Health a current
9title to the manufactured home duly endorsed by the owner or
10owners of record, valid releases of all liens shown on the
11title, and a tax release. Payment shall be made directly to the
12displaced manufactured home owner. When payment is made under
13paragraph (3) of this subsection, the Illinois Department of
14Public Health shall make the payment directly to the lien
15holder and shall make appropriate arrangements to obtain the
16title endorsed by the owner or owners of record with valid
17releases of all other liens shown on the title and a tax
18release. After receiving the title from the home owner, the
19Illinois Department of Public Health shall turn over title of
20the abandoned manufactured home to the manufactured home
21community owner, provided that the community owner has made the
22payments required by Section 8.6 of this Act. If the Illinois
23Department of Public Health believes that the home has resale
24value, it may require the manufactured home community owner to
25turn over to the Manufactured Home Owners Relocation Trust Fund
26one-half of the net proceeds from the sale of the home.



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1    (c) The figures for single-section and multi-section
2manufactured homes under paragraph (2) of subsection (b) of
3this Section shall be adjusted every 3 years, beginning on
4January 1, 2015, by the percentage change since the figure was
5last set or adjusted in the Consumer Price Index for All Urban
6Consumers for all items published by the United States
7Department of Labor.
8    (d) In order to obtain payment from the Manufactured Home
9Owners Relocation Trust Fund for the relocation of a
10manufactured home under paragraph (2) of subsection (a) of this
11Section, a displaced manufactured home owner must submit to the
12Illinois Department of Public Health, with a copy to the park
13owner, an application for payment which includes:
14        (1) a copy of the community closure notice required by
15    Section 8.5 of this Act; and
16        (2) a contract with a licensed moving and installer
17    contractor for the moving expenses for the manufactured
18    home.
19    (e) The Illinois Department of Public Health shall approve
20or reject payment to a moving or towing contractor within 30
21days after receipt of the information required by this Section,
22and forward a copy of the approval or rejection to the
23displaced manufactured home owner, with a voucher for payment
24if payment is approved.
25    (765 ILCS 745/8.9 new)



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1    Sec. 8.9. Payment of funds to homeowners.
2    (a) When a payment from the Manufactured Home Owners
3Relocation Trust Fund to a displaced manufactured home owner is
4authorized by the Illinois Department of Public Health, the
5Illinois Department of Public Health shall issue a check in a
6designated amount to the named displaced manufactured home
8    (b) If the Manufactured Home Owners Relocation Trust Fund
9does not have sufficient moneys to make a payment to a
10displaced manufactured home owner pursuant to this Act, the
11Illinois Department of Public Health shall issue a written
12promissory note to the displaced manufactured home owner for
13funds due and owing. A promissory note may be redeemed in order
14of issuance of the notes as additional moneys come into the
15Manufactured Home Owners Relocation Trust Fund.
16    (c) It is a Class A misdemeanor for a displaced
17manufactured home owner or his or her agent to file any notice,
18statement, or other document required under this Act which is
19false or contains a material misstatement of fact.
20    Section 97. Severability. The provisions of this Act are
21severable under Section 1.31 of the Statute on Statutes.".