71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 3687
B-Engrossed
House Bill 3686
Ordered by the Senate June 15
Including House Amendments dated May 8 and Senate Amendments
dated
June 15
Sponsored by Representative MERKLEY; Representative NELSON (at
the request of Attorney General's Manufactured Housing Task
Force)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure.
{ - Exempts manufactured dwelling parks and mobile home parks
created before effective date of Act from certain laws relating
to subdivision and partition of lots. - }
{ + Provides for subdivision of manufactured dwelling park or
mobile home park established before effective date of Act under
specified circumstances. Requires owner to offer lot to tenant
who occupies lot. Specifies certain terms of required offer.
Declares emergency, effective on passage. + }
A BILL FOR AN ACT
Relating to park for mobile home or manufactured dwelling;
creating new provisions; amending ORS 92.427; and declaring an
emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + As used in sections 1 to 5 of this 2001 Act,
unless the context requires otherwise:
(1) 'Lot' has the meaning given that term in ORS 92.010.
(2) 'Manufactured dwelling' has the meaning given that term in
ORS 90.100.
(3) 'Manufactured dwelling park' and 'mobile home park ' have
the meanings given those terms in ORS 446.003.
(4) 'Person' has the meaning given that term in ORS 92.305. + }
SECTION 2. { + The Legislative Assembly finds:
(1) There is a need to create a mechanism for owners of
manufactured dwellings in existing manufactured dwelling parks
and mobile home parks to acquire individual ownership interest in
the lot on which the dwelling is located;
(2) The creation of an individual ownership interest should not
impose an undue financial burden on the owner of a park; and
(3) The public interest is furthered by regulating the
promotion, subdivision and sale of individual ownership interests
in the lots in a park to ensure that local jurisdictions do not
place unreasonable constraints on the conversion of an existing
park into a subdivision. + }
SECTION 3. { + Notwithstanding the standards and procedures
established under ordinances and regulations adopted by the
governing body of a city or a county under ORS 92.044 or 92.048,
when application for approval of the subdivision of a
manufactured dwelling park or a mobile home park is made under
ORS 92.040 to the governing body of a city or county, the
governing body of the city or county shall approve:
(1) A tentative plan upon receipt and verification of evidence
that:
(a) The park is in compliance with the governing body's
standards for a manufactured dwelling park or a mobile home park
or is an approved nonconforming use. For the purposes of this
paragraph, a park is in compliance if the governing body of the
city or county has not issued a written notice of noncompliance
on the effective date of this 2001 Act; and
(b) The tentative plan does not increase the number of lots, as
defined in ORS 446.003, approved for the park, change the
boundary lines or setback requirements or make other development
changes; and
(2) A plat in compliance with the applicable requirements of
ORS 92.010 to 92.190, except standards and procedures adopted by
regulation or ordinance under ORS 92.044 or 92.048. + }
SECTION 4. { + (1) Notwithstanding the provisions of ORS
92.016 (1), prior to the approval of a tentative plan, the
declarant may negotiate to sell a lot in a manufactured dwelling
park or a mobile home park for which approval is required under
sections 1 to 5 of this 2001 Act.
(2) Prior to the sale of a lot in a park, the declarant shall
offer to sell the lot to the tenant who occupies the lot. The
offer required under this subsection:
(a) Terminates 60 days after receipt of the offer by the tenant
or upon written rejection of the offer, whichever occurs first;
and
(b) Does not constitute a notice of termination of the tenancy.
(3) The declarant may not sell the lot to a person other than
the tenant for 60 days after termination of the offer required
under subsection (2) of this section at a price or on terms that
are more favorable to the purchaser than the price or terms that
were offered to the tenant.
(4) After the park has been submitted for subdivision under
sections 1 to 5 of this 2001 Act and until a lot is offered for
sale in accordance with subsection (2) of this section, the
declarant shall notify a prospective tenant, in writing, prior to
the commencement of the tenancy, that the park has been submitted
for subdivision and that the tenant is entitled to receive an
offer to purchase the lot under subsection (2) of this section.
(5) The declarant may not begin improvements or rehabilitation
to the lot during the period described in ORS 90.630 (6) without
the permission of the tenant.
(6) The declarant may begin improvements or rehabilitation to
the common property as defined in the declaration during the
period described in ORS 90.630 (6).
(7) Nothing in this section prevents the declarant from
terminating a tenancy in the park in compliance with ORS 90.630,
90.632 and 90.635. However, the declarant shall make the offer
required under subsection (2) of this section to a tenant whose
tenancy is terminated after approval of the tentative plan unless
the termination is for cause under ORS 90.400, 90.630 (1) or (13)
or 90.632. + }
SECTION 5. { + (1) A subdivision created in a manufactured
dwelling park or mobile home park under sections 1 to 5 of this
2001 Act:
(a) Is subject to ORS 94.550 to 94.783; and
(b) May not be subject to system development charges or other
similar charges that are based on approval of the subdivision.
(2) The declarant of a subdivision under sections 1 to 5 of
this 2001 Act shall comply with the applicable provisions of ORS
92.305 to 92.495. + }
SECTION 6. ORS 92.427 is amended to read:
92.427. (1) A purchaser of a lot, parcel or interest in a
subdivision or series partition may cancel, for any reason, any
contract, agreement or any evidence of indebtedness associated
with the sale of the lot, parcel or interest in the subdivision
or series partition within three business days from the date of
signing by the purchaser of the first written offer or contract
to purchase.
(2) Cancellation, under subsection (1) of this section, occurs
when the purchaser of a lot, parcel or interest gives written
notice to the seller at the seller's address. The three business
days cancellation period in subsection (1) of this section does
not begin until the seller provides the purchaser with seller's
address for cancellation purposes.
(3) A notice of cancellation given by a purchaser of a lot,
parcel or interest in a subdivision or series partition need not
take a particular form and is sufficient if it indicates by any
form of written expression the intention of the purchaser not to
be bound by the contract or evidence of indebtedness.
(4) Notice of cancellation, if given by mail, shall be given by
certified mail, return receipt requested, and is effective on the
date that such notice is deposited with the United States Postal
Service, properly addressed and postage prepaid.
(5) Upon receipt of a timely notice of cancellation, the seller
shall immediately return to the purchaser all payments received
from the purchaser. In case of payments made by check, the seller
shall not be required to return the payment to a purchaser until
the check is finally paid as provided in ORS 74.2130. Upon return
of all such payments the purchaser shall immediately transfer the
purchaser's rights in the lot, parcel or interest to the seller,
not subject to any encumbrance created or suffered by the
purchaser. In the case of cancellation by a purchaser of any
evidence of indebtedness, the purchaser shall return the
purchaser's copy of the executed evidence of indebtedness to the
seller, and the seller shall cancel the evidence of indebtedness.
Any encumbrances against the purchaser's interest in the lot,
parcel or interest arising by operation of law from an obligation
of the purchaser existing prior to transfer of the lot, parcel or
interest to the purchaser shall be extinguished by the
reconveyance.
(6) No act of a purchaser shall be effective to waive the right
of cancellation granted by subsection (1) of this section. A
subdivider, series partitioner or developer may require that a
purchaser of a lot, parcel or interest in a subdivision or series
partition execute and deliver to the subdivider, series
partitioner or developer, after the expiration of the three-day
cancellation period, a signed statement disclaiming any notice of
cancellation that may have been made by the purchaser prior to
expiration of the three-day cancellation period for the offer
under subsection (1) of this section, that may have been timely
and properly done under this section and that has not been
received by the subdivider, series partitioner or developer. In
case of execution of any such statement by the purchaser, the
statement shall be sufficient to rescind the notice of
cancellation.
(7) This section { - shall - } { + does + } not apply to:
(a) The sale of a lot in a subdivision or a parcel in a series
partition that has a residential dwelling upon it at the time of
sale;
(b) The sale of a lot in a subdivision or a parcel in a series
partition when, at the time of sale, the seller has contracted
with the purchaser to build a residential dwelling upon the lot
or parcel; or
(c) The sale of a lot in a subdivision or a parcel in a series
partition to a person who derives a substantial portion of income
from the development or purchase and sale of real property.
{ + (8) As used in this section, 'residential dwelling' does
not include a manufactured dwelling. + }
SECTION 7. { + Sections 1 to 5 of this 2001 Act and the
amendments to ORS 92.427 by section 6 of this 2001 Act apply to a
manufactured dwelling park or a mobile home park lawfully
established before the effective date of this 2001 Act. + }
SECTION 8. { + This 2001 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2001 Act takes effect on its
passage. + }
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