| 1 | A bill to be entitled |
| 2 | An act relating to mobile home parks; amending s. |
| 3 | 723.003, F.S.; defining the term "amenity"; amending |
| 4 | s. 723.006, F.S.; providing preconditions for the |
| 5 | amendment of a prospectus or offering circular; |
| 6 | amending s. 723.011, F.S.; providing additional |
| 7 | disclosure requirements before the rental of a mobile |
| 8 | home lot; requiring the Division of Florida |
| 9 | Condominiums, Timeshares, and Mobile Homes to create a |
| 10 | mobile home disclosure document for certain purposes; |
| 11 | providing intent and purpose of disclosure; amending |
| 12 | s. 723.012, F.S.; providing additional required |
| 13 | prospectus or offering circular information relating |
| 14 | to change of land use; amending s. 723.037, F.S.; |
| 15 | providing notice requirements for a reduction in |
| 16 | services, utilities, or amenities by a park owner; |
| 17 | providing what constitutes the market area or the |
| 18 | competitive area for comparable mobile home parks; |
| 19 | amending s. 723.06116, F.S.; increasing fees for |
| 20 | mobile home park owner applications for payment of |
| 21 | moving expenses; amending s. 723.0612, F.S.; revising |
| 22 | the payment amounts mobile home owners are entitled |
| 23 | from the Florida Mobile Home Relocation Corporation |
| 24 | under certain conditions involving a change in land |
| 25 | use; amending s. 723.075, F.S.; deleting a provision |
| 26 | authorizing homeowners of certain concrete block homes |
| 27 | to be part of the homeowners' association and to serve |
| 28 | on the board of directors of the association under |
| 29 | certain circumstances; amending s. 553.382, F.S.; |
| 30 | correcting a reference; providing an effective date. |
| 31 |
|
| 32 | Be It Enacted by the Legislature of the State of Florida: |
| 33 |
|
| 34 | Section 1. Subsection (16) is added to section 723.003, |
| 35 | Florida Statutes, to read: |
| 36 | 723.003 Definitions.-As used in this chapter, the |
| 37 | following words and terms have the following meanings unless |
| 38 | clearly indicated otherwise: |
| 39 | (16) The term "amenity" means any tangible or intangible |
| 40 | benefit offered to a tenant at no fee, typically onsite |
| 41 | recreational facilities or planned programs, services, and |
| 42 | activities, as established by the National Council of Affordable |
| 43 | Housing Market Analysts. |
| 44 | Section 2. Subsection (8) of section 723.006, Florida |
| 45 | Statutes, is amended to read: |
| 46 | 723.006 Powers and duties of division.-In performing its |
| 47 | duties, the division has the following powers and duties: |
| 48 | (8) The division has the authority by rule to authorize |
| 49 | amendments permitted by this chapter to an approved prospectus |
| 50 | or offering circular. At least 60 days before submitting any |
| 51 | amendment to the division, the mobile home park owner must meet |
| 52 | with the homeowners' association or, if a homeowners' |
| 53 | association has not been established, a committee, not to exceed |
| 54 | five members, designated by a majority of the affected |
| 55 | homeowners, to provide the association or committee with the |
| 56 | amendments to the prospectus or offering circular. Before |
| 57 | approving any amendments to a prospectus or offering circular, |
| 58 | the division shall provide notice of the amendments to the |
| 59 | homeowners' association or, if a homeowners' association has not |
| 60 | been established, to a committee, not to exceed five members, |
| 61 | designated by a majority of the affected homeowners. The |
| 62 | division may not approve an amendment unless the requirements of |
| 63 | this subsection are met. |
| 64 | Section 3. Subsections (2) and (3) of section 723.011, |
| 65 | Florida Statutes, are amended to read: |
| 66 | 723.011 Disclosure prior to rental of a mobile home lot; |
| 67 | prospectus, filing, approval.- |
| 68 | (2) The park owner shall furnish to each prospective |
| 69 | lessee a copy of the prospectus or offering circular together |
| 70 | with all of the exhibits thereto and a mobile home expense |
| 71 | disclosure document containing all the information required by |
| 72 | s. 723.012(7), (8), (9), and (10) to each prospective lessee. |
| 73 | The mobile home expense disclosure document shall include past, |
| 74 | present, and estimated future lease-year amounts and any other |
| 75 | factors that may affect rent variations, such as lot location or |
| 76 | size. The division shall create the mobile home disclosure |
| 77 | document through its rulemaking authority. Delivery shall be |
| 78 | made prior to execution of the lot rental agreement or at the |
| 79 | time of occupancy, whichever occurs first. Upon delivery of a |
| 80 | prospectus to a prospective lessee, the lot rental agreement is |
| 81 | voidable by the lessee for a period of 15 days. However, the |
| 82 | park owner is not required to furnish a copy of the prospectus |
| 83 | or offering circular if the tenancy is a renewal of a tenancy |
| 84 | and the mobile home owner has previously received the prospectus |
| 85 | or offering circular. |
| 86 | (3) The prospectus or offering circular together with its |
| 87 | exhibits and the mobile home expense disclosure document are is |
| 88 | a disclosure documents document intended to afford protection to |
| 89 | homeowners and prospective homeowners in the mobile home park. |
| 90 | The purpose of the documents document is to disclose the |
| 91 | representations of the mobile home park owner concerning the |
| 92 | operations of the mobile home park. |
| 93 | Section 4. Paragraph (b) of subsection (1) of section |
| 94 | 723.012, Florida Statutes, is amended to read: |
| 95 | 723.012 Prospectus or offering circular.-The prospectus or |
| 96 | offering circular, which is required to be provided by s. |
| 97 | 723.011, must contain the following information: |
| 98 | (1) The front cover or the first page must contain only: |
| 99 | (b) The following statements in conspicuous type: |
| 100 | 1. THIS PROSPECTUS CONTAINS VERY IMPORTANT INFORMATION |
| 101 | REGARDING YOUR LEGAL RIGHTS AND YOUR FINANCIAL OBLIGATIONS IN |
| 102 | LEASING A MOBILE HOME LOT. MAKE SURE THAT YOU READ THE ENTIRE |
| 103 | DOCUMENT AND SEEK LEGAL ADVICE IF YOU HAVE ANY QUESTIONS |
| 104 | REGARDING THE INFORMATION SET FORTH IN THIS DOCUMENT. |
| 105 | 2. THE STATEMENTS CONTAINED HEREIN ARE ONLY SUMMARY IN |
| 106 | NATURE. A PROSPECTIVE LESSEE SHOULD REFER TO ALL REFERENCES, ALL |
| 107 | EXHIBITS HERETO, THE CONTRACT DOCUMENTS, AND SALES MATERIALS. |
| 108 | 3. ORAL REPRESENTATIONS SHOULD NOT BE RELIED UPON AS |
| 109 | CORRECTLY STATING THE REPRESENTATIONS OF THE PARK OWNER OR |
| 110 | OPERATOR. REFER TO THIS PROSPECTUS (OFFERING CIRCULAR) AND ITS |
| 111 | EXHIBITS FOR CORRECT REPRESENTATIONS. |
| 112 | 4. UPON DELIVERY OF THE PROSPECTUS TO A PROSPECTIVE |
| 113 | LESSEE, THE RENTAL AGREEMENT IS VOIDABLE BY THE LESSEE FOR A |
| 114 | PERIOD OF 15 DAYS. |
| 115 | 5. UPON A CHANGE OF LAND USE, YOU MAY BE EVICTED AND |
| 116 | ORDERED TO MOVE YOUR MOBILE HOME WITHIN SIX MONTHS, OR FORFEIT |
| 117 | YOUR MOBILE HOME IF THE HOME CANNOT BE RELOCATED, PURSUANT TO |
| 118 | SECTION 723.061, FLORIDA STATUTES. |
| 119 | Section 5. Subsections (1) and (2) and paragraphs (a) and |
| 120 | (b) of subsection (4) of section 723.037, Florida Statutes, are |
| 121 | amended, paragraph (e) of subsection (4) is redesignated as |
| 122 | paragraph (f), and a new paragraph (e) is added to subsection |
| 123 | (4) of that section, to read: |
| 124 | 723.037 Lot rental increases; reduction in services, or |
| 125 | utilities, or amenities; change in rules and regulations; |
| 126 | mediation.- |
| 127 | (1) A park owner shall give written notice to each |
| 128 | affected mobile home owner and the board of directors of the |
| 129 | homeowners' association, if one has been formed, at least 90 |
| 130 | days prior to any increase in lot rental amount or reduction in |
| 131 | services, or utilities, or amenities provided by the park owner |
| 132 | or change in rules and regulations. The notice shall identify |
| 133 | all other affected homeowners, which may be by lot number, name, |
| 134 | group, or phase. If the affected homeowners are not identified |
| 135 | by name, the park owner shall make the names and addresses |
| 136 | available upon request. Rules adopted as a result of |
| 137 | restrictions imposed by governmental entities and required to |
| 138 | protect the public health, safety, and welfare may be enforced |
| 139 | prior to the expiration of the 90-day period but are not |
| 140 | otherwise exempt from the requirements of this chapter. Pass- |
| 141 | through charges must be separately listed as to the amount of |
| 142 | the charge, the name of the governmental entity mandating the |
| 143 | capital improvement, and the nature or type of the pass-through |
| 144 | charge being levied. Notices of increase in the lot rental |
| 145 | amount due to a pass-through charge shall state the additional |
| 146 | payment and starting and ending dates of each pass-through |
| 147 | charge. The homeowners' association shall have no standing to |
| 148 | challenge the increase in lot rental amount, reduction in |
| 149 | services, or utilities, or amenities, or change of rules and |
| 150 | regulations unless a majority of the affected homeowners agree, |
| 151 | in writing, to such representation. |
| 152 | (2) Notice as required by this section shall, in addition |
| 153 | to the information required in subsection (1), only be required |
| 154 | to include the dollar amount of the relevant portions of the |
| 155 | present lot rental amount that are being increased and the |
| 156 | dollar amount of the proposed increases in lot rental amount if |
| 157 | there is an increase in the lot rental amount, the reduction in |
| 158 | services, or utilities, or amenities, or the change in rules and |
| 159 | regulations and the effective date thereof. |
| 160 | (4)(a) A committee, not to exceed five members in number, |
| 161 | designated by a majority of the affected mobile home owners or |
| 162 | by the board of directors of the homeowners' association, if |
| 163 | applicable, and the park owner shall meet, at a mutually |
| 164 | convenient time and place within 30 days after receipt by the |
| 165 | homeowners of the notice of change, to discuss the reasons for |
| 166 | the increase in lot rental amount, reduction in services, or |
| 167 | utilities, or amenities, or change in rules and regulations. |
| 168 | (b)1. At the meeting, the park owner or subdivision |
| 169 | developer shall in good faith disclose and explain all material |
| 170 | factors resulting in the decision to increase the lot rental |
| 171 | amount, reduce services, or utilities, or amenities, or change |
| 172 | rules and regulations, including how those factors justify the |
| 173 | specific change proposed. The park owner or subdivision |
| 174 | developer may not limit the discussion of the reasons for the |
| 175 | change to generalities only, such as, but not limited to, |
| 176 | increases in operational costs, changes in economic conditions, |
| 177 | or rents charged by comparable mobile home parks. For example, |
| 178 | if the reason for an increase in lot rental amount is an |
| 179 | increase in operational costs, the park owner must disclose the |
| 180 | item or items which have increased, the amount of the increase, |
| 181 | any similar item or items which have decreased, and the amount |
| 182 | of the decrease. If an increase is based upon the lot rental |
| 183 | amount charged by comparable mobile home parks, the park owner |
| 184 | shall disclose, and provide in writing to the committee at or |
| 185 | before the meeting, the name, address, lot rental amount, and |
| 186 | any other relevant factors relied upon by the park owner, such |
| 187 | as facilities, services, and amenities, concerning the |
| 188 | comparable mobile home parks. The information concerning |
| 189 | comparable mobile home parks to be exchanged by the parties is |
| 190 | to encourage a dialogue concerning the reasons used by the park |
| 191 | owner for the increase in lot rental amount and to encourage the |
| 192 | home owners to evaluate and discuss the reasons for those |
| 193 | changes with the park owner. The park owner shall prepare a |
| 194 | written summary of the material factors and retain a copy for 3 |
| 195 | years. The park owner shall provide the committee a copy of the |
| 196 | summary at or before the meeting. |
| 197 | 2. The park owner may shall not limit the comparable |
| 198 | mobile home park disclosure to those mobile home parks that are |
| 199 | owned or operated by the same owner or operator as the subject |
| 200 | park, except in certain circumstances, which include, but are |
| 201 | not limited to: |
| 202 | a. That the market area for comparable mobile home parks |
| 203 | includes mobile home parks owned or operated by the same entity |
| 204 | that have similar facilities, services, and amenities; |
| 205 | b. That the subject mobile home park has unique attributes |
| 206 | that are shared with similar mobile home parks; |
| 207 | c. That the mobile home park is located in a geographic or |
| 208 | market area that contains few comparable mobile home parks; or |
| 209 | d. That there are similar considerations or factors that |
| 210 | would be considered in such a market analysis by a competent |
| 211 | professional and would be considered in determining the |
| 212 | valuation of the market rent. |
| 213 | (e) For purpose of this subsection, the market area or the |
| 214 | competitive area for comparable mobile home parks is the county |
| 215 | in which the subject park is located along with any contiguous |
| 216 | counties. |
| 217 |
|
| 218 | This subsection is not intended to be enforced by civil or |
| 219 | administrative action. Rather, the meetings and discussions are |
| 220 | intended to be in the nature of settlement discussions prior to |
| 221 | the parties proceeding to mediation of any dispute. |
| 222 | Section 6. Subsection (1) of section 723.06116, Florida |
| 223 | Statutes, is amended to read: |
| 224 | 723.06116 Payments to the Florida Mobile Home Relocation |
| 225 | Corporation.- |
| 226 | (1) If a mobile home owner is required to move due to a |
| 227 | change in use of the land comprising a mobile home park as set |
| 228 | forth in s. 723.061(1)(d), the mobile home park owner shall, |
| 229 | upon such change in use, pay to the Florida Mobile Home |
| 230 | Relocation Corporation for deposit in the Florida Mobile Home |
| 231 | Relocation Trust Fund $4,000 $2,750 for each single-section |
| 232 | mobile home and $5,500 $3,750 for each multisection mobile home |
| 233 | for which a mobile home owner has made application for payment |
| 234 | of moving expenses. The mobile home park owner shall make the |
| 235 | payments required by this section and by s. 723.0612(7) to the |
| 236 | corporation within 30 days after receipt from the corporation of |
| 237 | the invoice for payment. Failure to make such payment within the |
| 238 | required time period shall result in a late fee being imposed. |
| 239 | (a) If payment is not submitted within 30 days after |
| 240 | receipt of the invoice, a 10-percent late fee shall be assessed. |
| 241 | (b) If payment is not submitted within 60 days after |
| 242 | receipt of the invoice, a 15-percent late fee shall be assessed. |
| 243 | (c) If payment is not submitted within 90 days after |
| 244 | receipt of the invoice, a 20-percent late fee shall be assessed. |
| 245 | (d) Any payment received 120 days or more after receipt of |
| 246 | the invoice shall include a 25-percent late fee. |
| 247 | Section 7. Paragraph (b) of subsection (1) and subsection |
| 248 | (7) of section 723.0612, Florida Statutes, are amended to read: |
| 249 | 723.0612 Change in use; relocation expenses; payments by |
| 250 | park owner.- |
| 251 | (1) If a mobile home owner is required to move due to a |
| 252 | change in use of the land comprising the mobile home park as set |
| 253 | forth in s. 723.061(1)(d) and complies with the requirements of |
| 254 | this section, the mobile home owner is entitled to payment from |
| 255 | the Florida Mobile Home Relocation Corporation of: |
| 256 | (b) The amount of $5,000 $3,000 for a single-section |
| 257 | mobile home or $7,500 $6,000 for a multisection mobile home, |
| 258 | whichever is less. Moving expenses include the cost of taking |
| 259 | down, moving, and setting up the mobile home in a new location. |
| 260 | (7) In lieu of collecting payment from the Florida Mobile |
| 261 | Home Relocation Corporation as set forth in subsection (1), a |
| 262 | mobile home owner may abandon the mobile home in the mobile home |
| 263 | park and collect $1,375 for a single section and $2,750 for a |
| 264 | multisection from the corporation an amount equal to the then- |
| 265 | current market value as reported by the NADA Manufactured Home |
| 266 | List, not to exceed $3,000 for a single section mobile home and |
| 267 | $6,000 for a multisection mobile home, as long as the mobile |
| 268 | home owner delivers to the park owner the current title to the |
| 269 | mobile home duly endorsed by the owner of record and valid |
| 270 | releases of all liens shown on the title. If a mobile home owner |
| 271 | chooses this option, the park owner shall make payment to the |
| 272 | corporation in an amount equal to the amount the mobile home |
| 273 | owner is entitled to under this subsection. The mobile home |
| 274 | owner's application for funds under this subsection shall |
| 275 | require the submission of a document signed by the park owner |
| 276 | stating that the home has been abandoned under this subsection |
| 277 | and that the park owner agrees to make payment to the |
| 278 | corporation in the amount provided to the home owner under this |
| 279 | subsection. However, in the event that the required documents |
| 280 | are not submitted with the application, the corporation may |
| 281 | consider the facts and circumstances surrounding the abandonment |
| 282 | of the home to determine whether the mobile home owner is |
| 283 | entitled to payment pursuant to this subsection. The mobile home |
| 284 | owner is not entitled to any compensation under this subsection |
| 285 | if there is a pending eviction action for nonpayment of lot |
| 286 | rental amount pursuant to s. 723.061(1)(a) which was filed |
| 287 | against him or her prior to the mailing date of the notice of |
| 288 | change in the use of the mobile home park given pursuant to s. |
| 289 | 723.061(1)(d). |
| 290 | Section 8. Subsection (3) of section 723.075, Florida |
| 291 | Statutes, is amended to read: |
| 292 | 723.075 Homeowners' associations.- |
| 293 | (3) Notwithstanding subsection (1), if a portion of the |
| 294 | park contains concrete block homes occupying lots under 99-year |
| 295 | leases, those homeowners may be part of the association and may |
| 296 | serve on the board of directors of the association based on the |
| 297 | percentage of lots containing concrete block homes to the total |
| 298 | number of mobile home lots in the park. |
| 299 | Section 9. Section 553.382, Florida Statutes, is amended |
| 300 | to read: |
| 301 | 553.382 Placement of certain housing.-Notwithstanding any |
| 302 | other law or ordinance to the contrary, in order to expand the |
| 303 | availability of affordable housing in this state, any |
| 304 | residential manufactured building that is certified under this |
| 305 | chapter by the department may be placed on a mobile home lot in |
| 306 | a mobile home park, recreational vehicle park, or mobile home |
| 307 | condominium, cooperative, or subdivision. Any such housing unit |
| 308 | placed on a mobile home lot is a mobile home for purposes of |
| 309 | chapter 723 and, therefore, all rights, obligations, and duties |
| 310 | under chapter 723 apply, including the specifics of the |
| 311 | prospectus. However, a housing unit subject to this section may |
| 312 | not be placed on a mobile home lot without the prior written |
| 313 | approval of the park owner. Each housing unit subject to this |
| 314 | section shall be taxed as a mobile home under s. 320.08(11) and |
| 315 | is subject to payments to the Florida Mobile Home Relocation |
| 316 | Trust Fund under s. 723.06116. |
| 317 | Section 10. This act shall take effect July 1, 2012. |