House Bill 2391
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Florida House of Representatives - 2000 HB 2391
By Representative Detert
1 A bill to be entitled
2 An act relating to mobile home parks; amending
3 s. 723.003, F.S.; defining the term
4 "pass-through charge"; limiting pass-through
5 charges; amending s. 723.005, F.S.; authorizing
6 the Division of Florida Land Sales,
7 Condominiums, and Mobile Homes of the
8 Department of Business and Professional
9 Regulation to enforce provisions relating to a
10 mobile home park owner's general obligations;
11 amending s. 723.004, F.S.; empowering local
12 governments to establish alternative dispute
13 resolution forums; amending s. 723.011, F.S.;
14 revising provisions relating to the division's
15 role in approving prospectuses; requiring
16 copies of prospectuses to be maintained and
17 provided to mobile home owners, upon request;
18 amending s. 723.012, F.S.; requiring
19 prospectuses to disclose when they were deemed
20 adequate by the division and requiring that
21 they include a notice that the rent should be
22 expected to increase; amending s. 723.021,
23 F.S.; authorizing the division to take certain
24 action against parties not acting in good
25 faith; amending s. 723.022, F.S.; requiring
26 park owners to maintain certain plant
27 materials; amending s. 723.033, F.S.; providing
28 judicial guidelines for determining
29 unreasonable rent increases; amending s.
30 723.037, F.S.; requiring the division to
31 maintain certain records; providing that a park
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Florida House of Representatives - 2000 HB 2391
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1 owner is bound by a required summary of rental
2 increase factors; authorizing parties to
3 petition the division for a good faith
4 determination; amending s. 723.059, F.S.;
5 deleting a requirement that a park owner
6 approve prospective purchases of homes;
7 providing seller's duties; requiring notice of
8 proposed rental increases to purchasers;
9 amending s. 320.77, F.S.; redefining the term
10 "mobile home broker"; providing an effective
11 date.
12
13 Be It Enacted by the Legislature of the State of Florida:
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15 Section 1. Subsection (10) of section 723.003, Florida
16 Statutes, is amended to read:
17 723.003 Definitions.--As used in this chapter, the
18 following words and terms have the following meanings unless
19 clearly indicated otherwise:
20 (10) The term "pass-through charge" means the mobile
21 home owner's proportionate share of the necessary and actual
22 direct costs and impact or hookup fees for a governmentally
23 mandated capital improvement, which may include the necessary
24 and actual direct costs and impact or hookup fees incurred for
25 capital improvements required for public or private regulated
26 utilities. However, the pass-through charge only includes that
27 portion of the total capitalized expense that cannot be
28 depreciated or amortized under regulations of the Internal
29 Revenue Service.
30 Section 2. Section 723.005, Florida Statutes, is
31 amended to read:
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1 723.005 Regulation by division.--The division has the
2 power and duty to enforce and ensure compliance with the
3 provisions of this chapter and rules adopted thereunder
4 promulgated pursuant hereto relating to the rental,
5 development, and sale of mobile home parks. However, the
6 division does not have the power or duty to enforce mobile
7 home park rules and regulations or to enforce the provisions
8 of ss. 723.022, 723.023, and 723.033.
9 Section 3. Subsection (6) is added to section 723.004,
10 Florida Statutes, to read:
11 723.004 Legislative intent; preemption of subject
12 matter.--
13 (6) Notwithstanding the provisions of subsection (3),
14 a municipality or county may establish an alternative dispute
15 resolution forum having jurisdiction over disputes arising
16 between mobile home park owners and either mobile home owners
17 or a mobile homeowners' association which arise under the
18 prospectus, park rules, or this chapter.
19 Section 4. Subsection (1) of section 723.011, Florida
20 Statutes, is amended to read:
21 723.011 Disclosure prior to rental of a mobile home
22 lot; prospectus, filing, approval.--
23 (1)(a) In a mobile home park containing 26 or more
24 lots, the park owner shall file a prospectus with the
25 division. Prior to entering into an enforceable rental
26 agreement for a mobile home lot, the park owner shall deliver
27 to the homeowner a prospectus considered adequate approved by
28 the division. This subsection shall not be construed to
29 invalidate those lot rental agreements for which an approved
30 prospectus was required to be delivered and which was
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1 delivered on or before July 1, 1986, if the mobile home park
2 owner had:
3 1. Filed a prospectus with the division prior to
4 entering into the lot rental agreement;
5 2. Made a good faith effort to correct deficiencies
6 cited by the division by responding within the time limit set
7 by the division, if one was set; and
8 3. Delivered the approved prospectus to the mobile
9 home owner within 45 days after of approval by the division.
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11 This paragraph does shall not preclude the finding that a lot
12 rental agreement is invalid on other grounds and shall not be
13 construed to limit any rights of a mobile home owner or to
14 preclude a mobile home owner from seeking any remedies allowed
15 by this chapter, including a determination that the lot rental
16 agreement or any part thereof is unreasonable.
17 (b) The division shall determine whether the proposed
18 prospectus or offering circular is adequate to meet the
19 requirements of this chapter and shall notify the park owner
20 by mail, within 45 days after of receipt of the document, that
21 the division has deemed either approved the prospectus or
22 offering circular adequate or found specified deficiencies.
23 If In the event the division does not deem approve the
24 prospectus adequate or advise the park owner of deficiencies
25 within 45 days, the prospectus shall automatically be deemed
26 adequate to be approved.
27 (c)1. Filings for mobile home parks in which lots have
28 not been offered for lease prior to June 4, 1984, shall be
29 accompanied by a filing fee of $10 per lot offered for lease
30 by the park owner; however, the fee shall not be less than
31 $100.
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1 2. Filings for mobile home parks in which lots have
2 been offered for lease prior to the effective date of this
3 chapter shall be accompanied by a filing fee as follows:
4 a. For a park in which there are 26-50 lots: $100.
5 b. For a park in which there are 51-100 lots: $150.
6 c. For a park in which there are 101-150 lots: $200.
7 d. For a park in which there are 151-200 lots: $250.
8 e. For a park in which there are 201 or more lots:
9 $300.
10 (d) After being deemed adequate, the prospectus and
11 any amendments thereto for each lot in the mobile home park
12 shall be maintained in the mobile home park by the park owner.
13 The park owner shall make available to a mobile home owner
14 additional copies of the prospectus and any amendments thereto
15 which relate to the lot occupied by the mobile home owner,
16 upon request. After the initial prospectus is provided to the
17 mobile home owner, the park owner may charge the mobile home
18 owner the actual costs for such copies.
19 (e) The division shall maintain copies of each
20 prospectus and any amendments thereto which it has deemed
21 adequate.
22 Section 5. Subsection (1) of section 723.012, Florida
23 Statutes, is amended to read:
24 723.012 Prospectus or offering circular.--The
25 prospectus or offering circular, which is required to be
26 provided by s. 723.011, must contain the following
27 information:
28 (1) The front cover or the first page must contain
29 only:
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1 (a) The name of the mobile home park, the date the
2 prospectus was deemed adequate by the division, and the number
3 of any other prospectuses deemed adequate.
4 (b) The following statements in conspicuous type:
5 1. THIS PROSPECTUS (OFFERING CIRCULAR) CONTAINS
6 IMPORTANT MATTERS TO BE CONSIDERED IN LEASING A MOBILE HOME
7 LOT.
8 2. THE STATEMENTS CONTAINED HEREIN ARE ONLY SUMMARY IN
9 NATURE. A PROSPECTIVE LESSEE SHOULD REFER TO ALL REFERENCES,
10 ALL EXHIBITS HERETO, THE CONTRACT DOCUMENTS, AND SALES
11 MATERIALS.
12 3. ORAL REPRESENTATIONS SHOULD NOT BE RELIED UPON AS
13 CORRECTLY STATING THE REPRESENTATIONS OF THE PARK OWNER OR
14 OPERATOR. REFER TO THIS PROSPECTUS (OFFERING CIRCULAR) AND
15 ITS EXHIBITS FOR CORRECT REPRESENTATIONS.
16 4. UPON DELIVERY OF THE PROSPECTUS TO A PROSPECTIVE
17 LESSEE, THE RENTAL AGREEMENT IS VOIDABLE BY THE LESSEE FOR A
18 PERIOD OF 15 DAYS.
19 5. YOU SHOULD EXPECT YOUR LOT RENT TO INCREASE. THE
20 METHOD BY WHICH YOUR LOT RENT WILL INCREASE IS SET FORTH ON
21 PAGE OF THIS DOCUMENT. THE PARK OWNER, IN ACCORDANCE WITH
22 SECTION 723.037, FLORIDA STATUTES, MUST GIVE NOTICE OF AN
23 INCREASE IN RENT.
24 Section 6. Section 723.021, Florida Statutes, is
25 amended to read:
26 723.021 Obligation of good faith and fair
27 dealings.--Every rental agreement or duty within this chapter
28 imposes an obligation of good faith and fair dealings in its
29 performance or enforcement. If the division determines that a
30 party has not acted in good faith and with fair dealings, it
31 may take any action authorized by s. 723.006. Either party to
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1 a dispute under this chapter may seek a judicial an order
2 finding that the other party has not complied with the
3 obligations of good faith and fair dealings. Upon such a
4 finding, the court shall award reasonable costs and attorney's
5 fees to the prevailing party for proving the noncompliance.
6 Section 7. Subsection (2) of section 723.022, Florida
7 Statutes, is amended to read:
8 723.022 Mobile home park owner's general
9 obligations.--A mobile home park owner shall at all times:
10 (2) Maintain buildings and improvements in common
11 areas in a good state of repair and maintenance; and maintain
12 the common areas in a good state of appearance, safety, and
13 cleanliness; and maintain trees, shrubs, and other vegetation
14 not planted by mobile home owners, removing any such
15 vegetation that threatens the safety of a mobile home.
16 Section 8. Subsection (5) of section 723.033, Florida
17 Statutes, is amended to read:
18 723.033 Unreasonable lot rental agreements; increases,
19 changes.--
20 (5) In determining market rent, the court may consider
21 rents charged by comparable mobile home parks in its
22 competitive area. To be comparable, a mobile home park must
23 offer similar facilities, services, amenities, and management
24 and be in the same geographical region not less than 25 miles
25 from the park. A rental increase that is not authorized by
26 this section is deemed to be unreasonable.
27 Section 9. Subsections (3) and (4) of section 723.037,
28 Florida Statutes, are amended, and subsection (7) is added to
29 said section, to read:
30 723.037 Lot rental increases; reduction in services or
31 utilities; change in rules and regulations; mediation.--
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1 (3) The park owner shall file annually with the
2 division a copy of any notice of a lot rental amount increase.
3 The notice shall be filed on or before January 1 of each year
4 for any notice given during the preceding year. If the actual
5 increase is an amount less than the proposed amount stated in
6 the notice, the park owner shall notify the division of the
7 actual amount of the increase within 30 days after of the
8 effective date of the increase or at the time of filing,
9 whichever is later. The division shall keep the notices in its
10 active files for at least 5 years.
11 (4)(a) A committee, not to exceed five in number,
12 designated by a majority of the affected mobile home owners or
13 by the board of directors of the homeowners' association, if
14 applicable, and the park owner shall meet, at a mutually
15 convenient time and place within 30 days after receipt by the
16 homeowners of the notice of change, to discuss the reasons for
17 the increase in lot rental amount, reduction in services or
18 utilities, or change in rules and regulations.
19 (b) At the meeting, the park owner or subdivision
20 developer shall in good faith disclose and explain all
21 material factors resulting in the decision to increase the lot
22 rental amount, reduce services or utilities, or change rules
23 and regulations, including how those factors justify the
24 specific change proposed. The park owner or subdivision
25 developer may not limit the discussion of the reasons for the
26 change to generalities only, such as, but not limited to,
27 increases in operational costs, changes in economic
28 conditions, or rents charged by comparable mobile home parks.
29 For example, if the reason for an increase in lot rental
30 amount is an increase in operational costs, the park owner
31 must disclose the item or items which have increased, the
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1 amount of the increase, any similar item or items which have
2 decreased, and the amount of the decrease. If an increase is
3 based upon the lot rental amount charged by comparable mobile
4 home parks, the park owner shall disclose the name, address,
5 lot rental amount, and any other relevant factors concerning
6 the mobile home parks relied upon by the park owner. The park
7 owner shall prepare a written summary of the material factors
8 and retain a copy for 3 years. The park owner shall provide
9 the committee a copy of the summary at the meeting, which
10 summary is binding on the park owner during the pendency of
11 any dispute regarding rental increases, reductions in services
12 or utilities, or changes in park rules. The summary may not be
13 amended after it is provided to the committee.
14 (7) A homeowner or park owner may petition the
15 division to initiate an investigation to determine whether the
16 other party has failed to meet its obligation of good faith
17 and fair dealings and, upon a determination that such
18 obligation has not been met, take action pursuant to ss.
19 723.021 and 723.006.
20 Section 10. Subsections (1), (3), and (4) of section
21 723.059, Florida Statutes, are amended to read:
22 723.059 Rights of purchaser.--
23 (1) The purchaser of a mobile home within a mobile
24 home park may become a tenant of the park if such purchaser
25 would otherwise qualify with the requirements of entry into
26 the park under the park rules and regulations, subject to the
27 approval of the park owner, but such approval may not be
28 unreasonably withheld.
29 (3) The purchaser of a mobile home who becomes a
30 resident of the mobile home park in accordance with this
31 section has the right to assume the remainder of the term of
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1 any rental agreement then in effect between the mobile home
2 park owner and the seller and shall be entitled to rely on the
3 terms and conditions of the prospectus or offering circular as
4 delivered to the initial recipient. The seller shall provide
5 to the purchaser a prospectus governing the rental agreement
6 in effect on the date of the sale.
7 (4) However, nothing in this section herein shall be
8 construed to prohibit a mobile home park owner from increasing
9 the rental amount to be paid by the purchaser upon the
10 expiration of the assumed rental agreement if the in an amount
11 deemed appropriate by the mobile home park owner, so long as
12 such increase is disclosed to the purchaser prior to his or
13 her occupancy and is imposed in a manner consistent with the
14 initial offering circular or prospectus and this act. If a lot
15 rental increase is proposed pursuant to a prospectus other
16 than one in effect on the date of the sale, the park owner
17 must give the purchaser copies of both prospectuses. The
18 purchaser must acknowledge the proposed increase in writing
19 before it takes effect.
20 Section 11. Paragraph (b) of subsection (1) of section
21 320.77, Florida Statutes, is amended to read:
22 320.77 License required of mobile home dealers.--
23 (1) DEFINITIONS.--As used in this section:
24 (b) "Mobile home broker" means any person who is
25 licensed pursuant to chapter 475 or is engaged in the business
26 of offering to procure or procuring used mobile homes for the
27 general public; who holds himself or herself out through
28 solicitation, advertisement, or otherwise as one who offers to
29 procure or procures used mobile homes for the general public;
30 or who acts as the agent or intermediary on behalf of the
31 owner or seller of a used mobile home which is for sale or who
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1 assists or represents the seller in finding a buyer for the
2 mobile home.
3 Section 12. This act shall take effect July 1, 2000.
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6 LEGISLATIVE SUMMARY
7 Revises several provisions relating to mobile home parks.
Provides a limitation on pass-through charges. Authorizes
8 the Division of Florida Land Sales, Condominiums, and
Mobile Homes of the Department of Business and
9 Professional Regulation to enforce provisions relating to
a mobile home park owner's general obligations. Empowers
10 local governments to establish alternative dispute
resolution forums. Revises provisions relating to the
11 division's role in approving prospectuses and requires
copies of prospectuses to be maintained and provided to
12 mobile home owners, upon request. Requires prospectuses
to disclose when they were deemed adequate by the
13 division and requires that they include a notice that the
rent should be expected to increase. Authorizes the
14 division to take certain action against parties not
acting in good faith. Requires park owners to maintain
15 certain plant materials. Provides judicial guidelines for
determining unreasonable rent increases. Requires the
16 division to maintain certain records. Provides that a
park owner is bound by a required summary of rental
17 increase factors. Authorizes parties to petition the
division for a good faith determination. Deletes a
18 requirement that a park owner approve prospective
purchases of homes. Provides the seller's duties.
19 Requires notice of proposed rental increases to
purchasers. Redefines the term "mobile home broker."
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