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March 30, 2022 HB 22-1287
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Revised Fiscal Note
(replaces fiscal note dated March 18, 2022)
Drafting Number:
Prime Sponsors:
LLS 22-0103
Rep. Boesenecker; Hooton
Sen. Winter
Date:
Bill Status:
Fiscal Analyst:
March 30, 2022
House Appropriations
Matt Bishop | 303-866-4796
Matt.Bishop@state.co.us
Bill Topic: PROTECTIONS FOR MOBILE HOME PARK RESIDENTS
Summary of
Fiscal Impact:
☒ State Revenue
☒ State Expenditure
☒ State Transfer
☒ TABOR Refund
☐ Local Government
☐ Statutory Public Entity
The bill updates the Mobile Home Park Act and the Mobile Home Park Act Dispute
Resolution and Enforcement Program. It increases state revenue and expenditures,
and may increase local expenditures, beginning in FY 2022-23.
Appropriation
Summary:
For FY 2022-23, the bill requires appropriations of $166,466, mainly to the Mobile
Home Park Act Dispute Resolution and Enforcement Program Fund.
Fiscal Note
Status:
The revised fiscal note reflects the introduced bill, as amended by the House
Transportation and Local Government Committee.
Table 1
State Fiscal Impacts Under HB 22-1287
Budget Year
FY 2022-23
Out Year
FY 2023-24
Revenue
- -
Expenditures Cash Funds $142,657 $84,148
Centrally Appropriated $32,509 $32,509
Total Expenditures $175,166 $116,657
Total FTE 1.0 FTE 1.0 FTE
Transfers
1
General Fund ($116,293) ($109,697)
Cash Funds $116,293 $109,697
Net Transfer $0 $0
Other Budget Impacts General Fund Reserve $17,444 $16,455
1
This transfer represents the estimated appropriation required from the General Fund to the continuously
appropriated Mobile Home Park Dispute Resolution and Enforcement Fund to support the costs of the bill without
raising fees.
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March 30, 2022 HB 22-1287
Summary of Legislation
The bill makes various changes to the Mobile Home Park Act and the Mobile Home Park Act Dispute
Resolution and Enforcement Program (DREP). It establishes a cap on rent increases based on inflation,
to be determined annually by the Department of Local Affairs (DOLA), along with certain exceptions
and limitations. The bill also extends many of the protections afforded to mobile home owners to
non-owner residents.
Other changes include:
granting the Attorney General the power to enforce actions brought pursuant to the Mobile Home
Park Act and DREP;
allowing a home owner to file a complaint or a civil action and entitling them to a penalty award,
if their landlord threatens eviction for an action that is not grounds for termination;
if a landlord wants to change the use of the mobile home park, requiring them to either pay for
the home owner’s reasonable relocation costs or offer to purchase the mobile home;
requiring the Department of Regulatory Agencies to update the price floor for mobile home
purchases when changing the use of the mobile home park;
prohibiting a landlord from taking retaliatory action against a home owner or resident for
participating in a decision making process concerning purchasing the mobile home park;
prohibiting rental agreements from requiring a home owner to waive the opportunity to purchase
the park as required by current law; and
extending some provisions for mobile homes to other structures owned by residents.
Background
The Mobile Home Park Oversight Program in DOLA regulates mobile home parks. There are
currently 734 mobile home parks registered with the program, representing over 47,000 mobile homes,
and each pays a registration fee set by DOLA administratively; the 2021 fee was $24 per year per
mobile home.
State Revenue
The bill may increase state revenue beginning in FY 2022-23. The bill creates additional violations of
the Mobile Home Park Act and permits mobile home owners to file civil actions, which may increase
cases heard in trial courts. Because most complaints are addressed through DREP, the fiscal note
assumes that any impact on trial court workload will be minimal. To the extent the bill increases civil
case filings, state revenue will increase beginning in FY 2022-23. This fee revenue is subject to TABOR.
State Transfer
The bill requires a General Fund appropriation to the Mobile Home Park Act Dispute Resolution and
Enforcement Program Fund to cover certain costs of the bill related to the change of use of mobile
home parks and owners’ opportunities to purchase the parks. These appropriations will result in a
transfer from the General Fund to the cash fund of $116,293 in FY 2022-23 and $109,697 in FY 2023-24. Page 3
March 30, 2022 HB 22-1287
Costs associated with other aspects of the bill, specifically IT support and document management, are
assumed to be paid using available cash fund balance and are not accounted for in this transfer.
State Expenditures
The bill increases state expenditures in several state agencies, primarily DOLA, by $175,166 in
FY 2022-23 and $116,657 in FY 2023-24 from the Mobile Home Park Act Dispute Resolution and
Enforcement Program Fund. Expenditures are shown in Table 2 and detailed below.
Table 2
Expenditures Under HB 22-1287
FY 2022-23 FY 2023-24
Department of Local Affairs
Personal Services $73,571 $73,571
Operating Expenses $3,617 $3,617
Capital Outlay Costs $6,596 -
IT Support $50,173 -
Document Management $8,700 $6,960
Centrally Appropriated Costs $32,509 $32,509
Total Cost $175,166 $116,657
Total FTE 1.0 FTE 1.0 FTE
Department of Local Affairs. The bill increases costs in DOLA to expand protections under the
Mobile Home Park Oversight Program, as described below.
Staffing costs. Expanding protections for mobile home owners is expected to increase the number
of complaints received by the Mobile Home Park Oversight Program, increasing workload to
respond to additional questions and complaints and for enforcement. Promulgating rules,
updating forms, responding to questions and complaints, and investigating alleged violations
requires 1.0 FTE additional staff in the program, beginning in FY 2022-23. Operating and capital
outlay costs include standard costs, additional computer equipment and software licenses, cell
phone expenses, and mileage reimbursement at the standard rate. The fiscal note assumes a July 1
start date.
IT support. In FY 2022-23, DOLA requires one-time computer programming and testing costs to
update existing registration forms with new fields. Programming costs, to be paid from the
Mobile Home Park Act Dispute Resolution and Enforcement Program Fund, are based on
525 hours of programming by the Office of Information Technology (OIT) at a rate of $94 per hour.
In addition, OIT staff co-located with DOLA will provide training to new DOLA staff and other
ongoing support.
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March 30, 2022 HB 22-1287
Legal services. DOLA will require up to 100 hours of legal services, provided by the Department
of Law. This increase in legal services costs is accounted for through the annual budget process,
with the Department of Law billing client agencies based on their historical use of legal services.
No change in appropriations is required.
Centrally appropriated costs. Pursuant to a Joint Budget Committee policy, certain costs
associated with this bill are addressed through the annual budget process and centrally
appropriated in the Long Bill or supplemental appropriations bills, rather than in this bill. These
costs, which include employee insurance and supplemental employee retirement payments, are
shown in Table 1.
Department of Personnel and Administration. The Office of Administrative Courts may hear
additional cases under the bill. The fiscal note assumes that the number of additional cases will be
small and can be accomplished within existing appropriations. If the number of cases is greater than
expected, the department may request additional resources through the annual budget process.
Judicial Department. As discussed in the State Revenue section above, workload may increase in the
trial courts. Because most complaints are addressed through DREP, the fiscal note assumes that any
impact on trial court workload will be minimal.
Other Budget Impacts
General Fund reserve. Under current law, an amount equal to 15 percent of General Fund
appropriations must be set aside in the General Fund statutory reserve beginning in FY 2022-23. Based
on this fiscal note, the bill is expected to increase the amount of General Fund held in reserve as shown
in Table 1, which will decrease the amount of General Fund available for other purposes.
Local Government
To the extent that a local government entity files a complaint on behalf of a mobile home owner or
resident, workload in that entity will increase.
Effective Date
The bill takes effect upon signature of the Governor, or upon becoming law without his signature.
State Appropriations
For FY 2022-23, the bill requires an appropriation of $116,293 from the General Fund to the Mobile
Home Park Dispute Resolution and Enforcement Fund.
The Mobile Home Park Dispute Resolution and Enforcement Fund is continuously appropriated to
the Department of Local Affairs, so no appropriation is required from this fund. DOLA requires an
additional allocation of 1.0 FTE.
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March 30, 2022 HB 22-1287
Lastly, for FY 2022-23, the Office of Information Technology requires $50,173 in reappropriation funds
from DOLA for IT services.
State and Local Government Contacts
Information Technology Judicial Law
Local Affairs Personnel Regulatory Agencies
The revenue and expenditure impacts in this fiscal note represent changes from current law under the bill for each
fiscal year. For additional information about fiscal notes, please visit: leg.colorado.gov/fiscalnotes.