Florida Senate - 2015                                     SB 500
       
       
        
       By Senator Detert
       
       
       
       
       
       28-00597-15                                            2015500__
    1                        A bill to be entitled                      
    2         An act relating to mobile home park tenancies;
    3         amending s. 723.003, F.S.; defining the term
    4         “prospectus”; amending s. 723.006, F.S.; requiring the
    5         Division of Florida Condominiums, Timeshares, and
    6         Mobile Homes to provide notice to the homeowners’
    7         association of a proposed amendment to a prospectus
    8         before authorizing such amendment; amending s.
    9         723.011, F.S.; removing the use of an offering
   10         circular; amending s. 723.012, F.S.; removing the use
   11         of an offering circular; requiring that additional
   12         information be provided in the prospectus which
   13         advises the mobile home owner of consequences if the
   14         land use is changed; amending s. 723.014, F.S.;
   15         removing the use of an offering circular; amending s.
   16         723.032, F.S.; requiring the division to enforce
   17         certain rental agreement provisions; amending ss.
   18         723.035, 723.041, and 723.059, F.S.; removing the use
   19         of an offering circular; amending s. 723.061, F.S.;
   20         requiring a park owner to provide certain information
   21         to residents who are displaced as a result of a
   22         mandatory eviction due to a change in use of the land;
   23         amending ss. 73.072 and 723.031, F.S.; conforming
   24         cross-references to changes made by the act; providing
   25         an effective date.
   26          
   27  Be It Enacted by the Legislature of the State of Florida:
   28  
   29         Section 1. Section 723.003, Florida Statutes, is reordered
   30  and amended to read:
   31         723.003 Definitions.—As used in this chapter, the term
   32  following words and terms have the following meanings unless
   33  clearly indicated otherwise:
   34         (2)(1)The term “Division” means the Division of Florida
   35  Condominiums, Timeshares, and Mobile Homes of the Department of
   36  Business and Professional Regulation.
   37         (3)(2)The term “Lot rental amount” means all financial
   38  obligations, except user fees, which are required as a condition
   39  of the tenancy.
   40         (4)(3)The term “Mobile home” means a residential
   41  structure, transportable in one or more sections, which is 8
   42  body feet or more in width, over 35 body feet in length with the
   43  hitch, built on an integral chassis, designed to be used as a
   44  dwelling when connected to the required utilities, and not
   45  originally sold as a recreational vehicle, and includes the
   46  plumbing, heating, air-conditioning, and electrical systems
   47  contained therein.
   48         (5)(4)The term “Mobile home lot rental agreement” or
   49  “rental agreement” means a any mutual understanding or lease,
   50  whether oral or written, between a mobile home owner and a
   51  mobile home park owner in which the mobile home owner is
   52  entitled to place his or her mobile home on a mobile home lot
   53  for either direct or indirect remuneration of the mobile home
   54  park owner.
   55         (6)(5)The term “Mobile home owner” or “home owner” means a
   56  person who owns a mobile home and rents or leases a lot within a
   57  mobile home park for residential use.
   58         (7)(6)The term “Mobile home park” or “park” means a use of
   59  land in which lots or spaces are offered for rent or lease for
   60  the placement of mobile homes and in which the primary use of
   61  the park is residential.
   62         (8)(7)The term “Mobile home park owner” or “park owner”
   63  means an owner or operator of a mobile home park.
   64         (9)(8)The term “Mobile home subdivision” means a
   65  subdivision of mobile homes where individual lots are owned by
   66  owners and where a portion of the subdivision or the amenities
   67  exclusively serving the subdivision are retained by the
   68  subdivision developer.
   69         (10)(9)The term “Operator of a mobile home park” means
   70  either a person who establishes a mobile home park on land which
   71  is leased from another person or a person who has been delegated
   72  the authority to act as the park owner in matters relating to
   73  the administration and management of the mobile home park,
   74  including, but not limited to, authority to make decisions
   75  relating to the mobile home park.
   76         (11)(10)The term “Pass-through charge” means the mobile
   77  home owner’s proportionate share of the necessary and actual
   78  direct costs and impact or hookup fees for a governmentally
   79  mandated capital improvement, which may include the necessary
   80  and actual direct costs and impact or hookup fees incurred for
   81  capital improvements required for public or private regulated
   82  utilities.
   83         (12)(11)The term “Proportionate share” as used in
   84  subsection (10) means an amount calculated by dividing equally
   85  among the affected developed lots in the park the total costs
   86  for the necessary and actual direct costs and impact or hookup
   87  fees incurred for governmentally mandated capital improvements
   88  serving the recreational and common areas and all affected
   89  developed lots in the park.
   90         (13) “Prospectus” means a disclosure document provided to a
   91  prospective mobile home owner regarding his or her legal rights
   92  and financial obligations in leasing a mobile home lot.
   93         (15)(12)The term “Unreasonable” means arbitrary,
   94  capricious, or inconsistent with this chapter.
   95         (16)(13)The term “User fees” means those amounts charged
   96  in addition to the lot rental amount for nonessential optional
   97  services provided by or through the park owner to the mobile
   98  home owner under a separate written agreement between the mobile
   99  home owner and the person furnishing the optional service or
  100  services.
  101         (1)(14)The term “Discrimination” or “discriminatory” means
  102  that a homeowner is being treated differently as to the rent
  103  charged, the services rendered, or an action for possession or
  104  other civil action being taken by the park owner, without a
  105  reasonable basis for the different treatment.
  106         (14)(15)The term “Resale agreement” means a contract in
  107  which a mobile home owner authorizes the mobile home park owner,
  108  or the park owner’s designee, to act as exclusive agent for the
  109  sale of the homeowner’s mobile home for a commission or fee.
  110         Section 2. Subsection (8) of section 723.006, Florida
  111  Statutes, is amended to read:
  112         723.006 Powers and duties of division.—In performing its
  113  duties, the division has the following powers and duties:
  114         (8) The division may has the authority by rule to authorize
  115  amendments permitted by this chapter to an approved prospectus
  116  which are permitted by this chapter or offering circular. Before
  117  authorizing an amendment to an approved prospectus, the division
  118  shall provide notice to the homeowners’ association of each
  119  proposed amendment in order to solicit feedback.
  120         Section 3. Paragraph (b) of subsection (1) and subsections
  121  (2), (3), and (4) of section 723.011, Florida Statutes, are
  122  amended to read:
  123         723.011 Disclosure prior to rental of a mobile home lot;
  124  prospectus, filing, approval.—
  125         (1)
  126         (b) The division shall determine whether the proposed
  127  prospectus or offering circular is adequate to meet the
  128  requirements of this chapter and shall notify the park owner by
  129  mail, within 45 days after receipt of the document, that the
  130  division has found that the prospectus or offering circular is
  131  adequate or has found specified deficiencies. If the division
  132  does not make either finding within 45 days, the prospectus
  133  shall be deemed to have been found adequate.
  134         (2) The park owner shall furnish a copy of the prospectus
  135  or offering circular together with all of the exhibits thereto
  136  to each prospective lessee. Delivery shall be made prior to
  137  execution of the lot rental agreement or at the time of
  138  occupancy, whichever occurs first. Upon delivery of a prospectus
  139  to a prospective lessee, the lot rental agreement is voidable by
  140  the lessee for a period of 15 days. However, the park owner is
  141  not required to furnish a copy of the prospectus or offering
  142  circular if the tenancy is a renewal of a tenancy and the mobile
  143  home owner has previously received the prospectus or offering
  144  circular.
  145         (3) The prospectus or offering circular together with its
  146  exhibits is a disclosure document intended to afford protection
  147  to homeowners and prospective homeowners in the mobile home
  148  park. The purpose of the document is to disclose the
  149  representations of the mobile home park owner concerning the
  150  operations of the mobile home park.
  151         (4) With regard to a tenancy in existence on the effective
  152  date of this chapter, the prospectus or offering circular
  153  offered by the mobile home park owner shall contain the same
  154  terms and conditions as rental agreements offered to all other
  155  mobile home owners residing in the park on the effective date of
  156  this act, excepting only rent variations based upon lot location
  157  and size, and shall not require any mobile home owner to install
  158  any permanent improvements.
  159         Section 4. Section 723.012, Florida Statutes, is amended to
  160  read:
  161         723.012 Prospectus or offering circular.—The prospectus or
  162  offering circular, which is required under to be provided by s.
  163  723.011, must contain the following information:
  164         (1) The front cover or the first page must contain only:
  165         (a) The name of the mobile home park.
  166         (b) The following statements in conspicuous type:
  167         1. THIS PROSPECTUS CONTAINS VERY IMPORTANT INFORMATION
  168  REGARDING YOUR LEGAL RIGHTS AND YOUR FINANCIAL OBLIGATIONS IN
  169  LEASING A MOBILE HOME LOT. MAKE SURE THAT YOU READ THE ENTIRE
  170  DOCUMENT AND SEEK LEGAL ADVICE IF YOU HAVE ANY QUESTIONS
  171  REGARDING THE INFORMATION SET FORTH IN THIS DOCUMENT.
  172         2. THE STATEMENTS CONTAINED HEREIN ARE ONLY SUMMARY IN
  173  NATURE. A PROSPECTIVE LESSEE SHOULD REFER TO ALL REFERENCES, ALL
  174  EXHIBITS HERETO, THE CONTRACT DOCUMENTS, AND SALES MATERIALS.
  175         3. ORAL REPRESENTATIONS SHOULD NOT BE RELIED UPON AS
  176  CORRECTLY STATING THE REPRESENTATIONS OF THE PARK OWNER OR
  177  OPERATOR. REFER TO THIS PROSPECTUS (OFFERING CIRCULAR) AND ITS
  178  EXHIBITS FOR CORRECT REPRESENTATIONS.
  179         4. UPON DELIVERY OF THE PROSPECTUS TO A PROSPECTIVE LESSEE,
  180  THE RENTAL AGREEMENT IS VOIDABLE BY THE LESSEE FOR A PERIOD OF
  181  15 DAYS.
  182         5. UPON A CHANGE OF LAND USE, YOU MAY BE EVICTED AND
  183  ORDERED TO MOVE YOUR MOBILE HOME WITHIN 6 MONTHS AFTER RECEIVING
  184  THE ORDER OR FORFEIT YOUR MOBILE HOME.
  185         (2) The next page must contain all statements required to
  186  be in conspicuous type in the prospectus or offering circular in
  187  a summary form.
  188         (3) A separate index of the contents and exhibits of the
  189  prospectus.
  190         (4) Beginning on the first page of the text, the following
  191  information:
  192         (a) The name and address or location of the mobile home
  193  park.
  194         (b) The name and address of the person authorized to
  195  receive notices and demands on the park owner’s behalf.
  196         (c) A description of the mobile home park property,
  197  including, but not limited to:
  198         1. The number of lots in each section, the approximate size
  199  of each lot, the setback requirements, and the minimum
  200  separation distance between mobile homes as required by law.
  201         2. The maximum number of lots that will use shared
  202  facilities of the park; and, if the maximum number of lots will
  203  vary, a description of the basis for variation.
  204         (5) A description of the recreational and other common
  205  facilities, if any, that will be used by the mobile home owners,
  206  including, but not limited to:
  207         (a) The number of buildings and each room thereof and its
  208  intended purposes, location, approximate floor area, and
  209  capacity in numbers of people.
  210         (b) Each swimming pool, as to its general location,
  211  approximate size and depths, and approximate deck size and
  212  capacity and whether heated.
  213         (c) All other facilities and permanent improvements which
  214  will serve the mobile home owners.
  215         (d) A general description of the items of personal property
  216  available for use by the mobile home owners.
  217         (e) A general description of the days and hours that
  218  facilities will be available for use.
  219         (f) A statement as to whether all improvements are complete
  220  and, if not, their estimated completion dates.
  221         (6) The arrangements for management of the park and
  222  maintenance and operation of the park property and of other
  223  property that will serve the mobile home owners and the nature
  224  of the services included.
  225         (7) A description of all improvements, whether temporary or
  226  permanent, which are required to be installed by the mobile home
  227  owner as a condition of his or her occupancy in the park.
  228         (8) The manner in which utility and other services,
  229  including, but not limited to, sewage and waste disposal, cable
  230  television, water supply, and storm drainage, will be provided,
  231  and the person or entity furnishing them. The services and the
  232  lot rental amount or user fees charged by the park owner for the
  233  services provided by the park owner shall also be disclosed.
  234         (9) An explanation of the manner in which the lot rental
  235  amount will be raised, including, but not limited to:
  236         (a) Notification of the mobile home owner at least 90 days
  237  in advance of the increase.
  238         (b) Disclosure of any factors which may affect the lot
  239  rental amount, including, but not limited to:
  240         1. Water rates.
  241         2. Sewer rates.
  242         3. Waste disposal rates.
  243         4. Maintenance costs, including costs of deferred
  244  maintenance.
  245         5. Management costs.
  246         6. Property taxes.
  247         7. Major repairs or improvements.
  248         8. Any other fees, costs, entrance fees, or charges to
  249  which the mobile home owner may be subjected.
  250         (c) Disclosure of the manner in which the pass-through
  251  charges will be assessed.
  252         (10) Disclosure of all user fees currently charged for
  253  services offered which the homeowner may elect to incur and the
  254  manner in which the fees will be increased.
  255         (11) The park rules and regulations and an explanation of
  256  the manner in which park rules or regulations will be set,
  257  changed, or promulgated.
  258         (12) A statement describing the existing zoning
  259  classification of the park property and permitted uses under
  260  such classification.
  261         (13) A statement of the nature and type of zoning under
  262  which the mobile home park operates, the name of the zoning
  263  authority which has jurisdiction over the land comprising the
  264  mobile home park, and, if applicable, a detailed description of
  265  any definite future plans which the park owner has for changes
  266  in the use of the land comprising the mobile home park.
  267         (14) Copies of the following, to the extent they are
  268  applicable, as exhibits:
  269         (a) The ground lease or other underlying leases of the
  270  mobile home park or a summary of the contents of the lease or
  271  leases when copies of the same have been filed with the
  272  division.
  273         (b) A copy of the mobile home park lot layout showing the
  274  location of the recreational areas and other common areas.
  275         (c) All covenants and restrictions and zoning which will
  276  affect the use of the property and which are not contained in
  277  the foregoing.
  278         (d) A copy of the rental agreement or agreements to be
  279  offered for rental of mobile home lots.
  280         Section 5. Section 723.014, Florida Statutes, is amended to
  281  read:
  282         723.014 Failure to provide prospectus before or offering
  283  circular prior to occupancy.—
  284         (1) If a prospectus or offering circular was not provided
  285  to the prospective lessee before prior to execution of the lot
  286  rental agreement or before prior to initial occupancy of a new
  287  mobile home, the rental agreement is voidable by the lessee
  288  until 15 days after the receipt by the lessee of the prospectus
  289  or offering circular and all exhibits thereto.
  290         (2) To cancel the rental agreement, the mobile home owner
  291  shall deliver written notice to the park owner within 15 days
  292  after receipt of the prospectus or offering circular and shall
  293  thereupon be entitled to a refund of any deposit together with
  294  relocation costs for the mobile home, or the market value
  295  thereof including any appurtenances thereto paid for by the
  296  mobile home owner, from the park owner.
  297         Section 6. Subsection (2) of section 723.032, Florida
  298  Statutes, is amended to read:
  299         723.032 Prohibited or unenforceable provisions in mobile
  300  home lot rental agreements.—
  301         (2) Any provision in the rental agreement is void and
  302  unenforceable to the extent that it attempts to waive or
  303  preclude the rights, remedies, or requirements set forth in this
  304  chapter or arising under law. Notwithstanding s. 723.005, the
  305  division shall enforce this subsection pursuant to s. 723.006.
  306         Section 7. Subsection (2) of section 723.035, Florida
  307  Statutes, is amended to read:
  308         723.035 Rules and regulations.—
  309         (2) A No rule or regulation may not shall provide for
  310  payment of any fee, fine, assessment, or charge, except as
  311  otherwise provided in the prospectus or offering circular filed
  312  under s. 723.012, if one is required to be provided, and until
  313  after the park owner has complied with the procedure set forth
  314  in s. 723.037.
  315         Section 8. Paragraph (a) of subsection (1) of section
  316  723.041, Florida Statutes, is amended to read:
  317         723.041 Entrance fees; refunds; exit fees prohibited;
  318  replacement homes.—
  319         (1)(a) Entrance fees on new mobile home placements shall be
  320  specifically set forth in the prospectus or offering circular.
  321  Any such fee shall be clearly identified in writing at the time
  322  that the rental agreement is signed or otherwise concluded.
  323  
  324  No new entrance fee may be charged for a move within the same
  325  park. This paragraph does not apply in instances in which the
  326  mobile home owner is evicted on the ground of nonpayment of
  327  rent; violation of a federal, state, or local ordinance; or
  328  violation of a properly promulgated park rule or regulation or
  329  leaves before the expiration date of his or her rental
  330  agreement. However, the sums due to the park by the mobile home
  331  owner may be offset against the balance due on the entrance fee.
  332         Section 9. Subsections (3) and (4) of section 723.059,
  333  Florida Statutes, are amended to read:
  334         723.059 Rights of purchaser.—
  335         (3) The purchaser of a mobile home who becomes a resident
  336  of the mobile home park in accordance with this section has the
  337  right to assume the remainder of the term of any rental
  338  agreement then in effect between the mobile home park owner and
  339  the seller and shall be entitled to rely on the terms and
  340  conditions of the prospectus or offering circular as delivered
  341  to the initial recipient.
  342         (4) However, this section does not nothing herein shall be
  343  construed to prohibit a mobile home park owner from increasing
  344  the rental amount to be paid by the purchaser upon the
  345  expiration of the assumed rental agreement in an amount deemed
  346  appropriate by the mobile home park owner, as so long as such
  347  increase is disclosed to the purchaser before prior to his or
  348  her occupancy and is imposed in a manner consistent with the
  349  initial offering circular or prospectus and this chapter act.
  350         Section 10. Subsection (2) of section 723.061, Florida
  351  Statutes, is amended to read:
  352         723.061 Eviction; grounds, proceedings.—
  353         (2) In the event of eviction for a change in use of the
  354  land, homeowners must object to the change in use by petitioning
  355  for administrative or judicial remedies within 90 days after the
  356  date of the notice or they will be barred from taking any
  357  subsequent action to contest the change in use. In the event of
  358  a mandatory eviction for a change in use of the land, the park
  359  owner shall provide evidence that suitable, affordable, and
  360  comparable mobile home park accommodations exist elsewhere
  361  locally for displaced mobile home park residents before
  362  governmental approval of such change in use. This subsection
  363  does not prevent any homeowner from objecting to a zoning change
  364  at any time.
  365         Section 11. Subsection (1) of section 73.072, Florida
  366  Statutes, is amended to read:
  367         73.072 Mobile home parks; compensation for permanent
  368  improvements by mobile home owners.—
  369         (1) If When all or a portion of a mobile home park as
  370  defined in s. 723.003(6) is appropriated under this chapter, the
  371  condemning authority shall separately determine the compensation
  372  for any permanent improvements made to each site. This
  373  compensation shall be awarded to the mobile home owner leasing
  374  the site if:
  375         (a) The effect of the taking includes a requirement that
  376  the mobile home owner remove or relocate his or her mobile home
  377  from the site;
  378         (b) The mobile home owner currently leasing the site has
  379  paid for the permanent improvements to the site; and
  380         (c) The value of the permanent improvements on the site
  381  exceeds $1,000 as of the date of taking.
  382         Section 12. Paragraph (b) of subsection (5) of section
  383  723.031, Florida Statutes, is amended to read:
  384         723.031 Mobile home lot rental agreements.—
  385         (5) The rental agreement shall contain the lot rental
  386  amount and services included. An increase in lot rental amount
  387  upon expiration of the term of the lot rental agreement shall be
  388  in accordance with ss. 723.033 and 723.037 or s. 723.059(4),
  389  whichever is applicable, provided that, pursuant to s.
  390  723.059(4), the amount of the lot rental increase is disclosed
  391  and agreed to by the purchaser, in writing. An increase in lot
  392  rental amount shall not be arbitrary or discriminatory between
  393  similarly situated tenants in the park. No lot rental amount may
  394  be increased during the term of the lot rental agreement,
  395  except:
  396         (b) For pass-through charges as defined in s. 723.003(10).
  397         Section 13. This act shall take effect July 1, 2015.