Minnesota 2025-2026 Regular Session

Minnesota House Bill HF2381 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1.1 A bill for an act
2	2	1.2 relating to housing; providing standards for rent and utility payments, fees, and
3	3	1.3 charges in manufactured home parks; requiring certain safety inspections;
4	4	1.4 modifying provisions for sale of manufactured home parks; modifying penalties;
5	5	1.5 amending Minnesota Statutes 2024, sections 327C.015, subdivision 13; 327C.03,
6	6	1.6 subdivision 3; 327C.04, subdivision 1, by adding a subdivision; 327C.06,
7	7	1.7 subdivisions 1, 3; 327C.097; 327C.15; proposing coding for new law in Minnesota
8	8	1.8 Statutes, chapter 327C; repealing Minnesota Statutes 2024, section 327C.096.
9	9	1.9BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
10	10	1.10 Section 1. Minnesota Statutes 2024, section 327C.015, subdivision 13, is amended to read:
11	11	1.11 Subd. 13.Representative acting on behalf of residents."Representative acting on
12	12	1.12behalf of residents" means a representative who is authorized to represent residents in the
13	13	1.13purchase of property for the purposes of this chapter, and has gained that authorization by
14	14	1.14obtaining the signature of support from at least one resident who is a homeowner-signatory
15	15	1.15to the home's lot lease agreement as defined by subdivision 14, from at least 51 greater than
16	16	1.1650 percent of the occupied homes in a manufactured home park. The signature of a resident
17	17	1.17who is a signatory to the home's lot lease agreement asserting that they are a resident of that
18	18	1.18manufactured home park shall be presumptive evidence of the claim that the representative
19	19	1.19is authorized to act on behalf of the resident and shall be exclusive to only one representative
20	20	1.20acting on behalf of residents.
21	21	1.21 Sec. 2. Minnesota Statutes 2024, section 327C.03, subdivision 3, is amended to read:
22	22	1.22 Subd. 3.Rent.All periodic rental payments charged to residents by the park owner shall
23	23	1.23be uniform throughout the park, except that a higher rent may be charged to a particular
24	24	1.24resident due to the larger size or location of the lot, or the special services or facilities
25	25	1Sec. 2.
26	26	REVISOR MS/BM 25-0401503/03/25
27	27	State of Minnesota
28	28	This Document can be made available
29	29	in alternative formats upon request
30	30	HOUSE OF REPRESENTATIVES
31	31	H. F. No. 2381
32	32	NINETY-FOURTH SESSION
33	33	Authored by Norris, Howard, Pursell, Wolgamott, Rehm and others03/17/2025
34	34	The bill was read for the first time and referred to the Committee on Housing Finance and Policy 2.1furnished by the park. A park owner may charge a reasonable fee for delinquent rent where
35	35	2.2the fee is provided for in the rental agreement, except in no case may the fee exceed eight
36	36	2.3percent of the delinquent rent payment. The fee shall be enforceable as part of the rent owed
37	37	2.4by the resident. No park owner shall charge to a resident any fee, whether as part of or in
38	38	2.5addition to the periodic rental payment, which is based on the number of persons residing
39	39	2.6or staying in the resident's home, the number or age of children residing or staying in the
40	40	2.7home, the number of guests staying in the home, the size of the home, the fact that the home
41	41	2.8is temporarily vacant or the type of personal property used or located in the home. The park
42	42	2.9owner may charge an additional fee for pets owned by the resident, but the fee may not
43	43	2.10exceed $4 per pet per month. This subdivision does not prohibit a park owner from abating
44	44	2.11all or a portion of the rent of a particular resident with special needs.
45	45	2.12 Sec. 3. Minnesota Statutes 2024, section 327C.04, subdivision 1, is amended to read:
46	46	2.13 Subdivision 1.Billing permitted.A park owner who either provides utility service
47	47	2.14directly to residents or who redistributes to residents utility service provided to the park
48	48	2.15owner by a utility provider may charge the residents for that service, only if the charges
49	49	2.16comply with this section. A park owner may not charge residents for costs of repairs by
50	50	2.17utility providers or for costs imposed by utility providers for services provided in response
51	51	2.18to reports of interruptions of utilities.
52	52	2.19 Sec. 4. Minnesota Statutes 2024, section 327C.04, is amended by adding a subdivision to
53	53	2.20read:
54	54	2.21 Subd. 7.Itemized billing required.A park owner must provide an itemized bill
55	55	2.22separately that clearly labels each service or item charged to the resident.
56	56	2.23 Sec. 5. [327C.041] ACCESS BY UTILITY PROVIDERS.
57	57	2.24 In a park where residents receive utilities from a utility provider, either directly or through
58	58	2.25redistribution by the park owner, the park owner must not deny access to a utility provider
59	59	2.26seeking access for the purposes of repairing faulty or defective utility equipment or
60	60	2.27investigating reports of an interruption of utilities. A resident may provide a utility provider
61	61	2.28access to the park for these purposes.
62	62	2Sec. 5.
63	63	REVISOR MS/BM 25-0401503/03/25 3.1 Sec. 6. [327C.051] HABITABILITY COVENANTS REGARDING TREES THAT
64	64	3.2PRESENT SAFETY HAZARDS.
65	65	3.3 (a) Park owner covenants under section 504B.161 include the trimming and care of trees
66	66	3.4and the removal of unsound trees when the trees present safety hazards.
67	67	3.5 (b) Within 14 days of receiving written notice from a resident that a tree or branch
68	68	3.6presents a safety hazard, the park owner must either:
69	69	3.7 (1) remove the tree or branch; or
70	70	3.8 (2) receive an opinion on the safety of the tree or branch from an arborist who has
71	71	3.9inspected the tree or branch in person.
72	72	3.10 (c) If an arborist advises that a tree or branch presents a safety hazard, the park owner
73	73	3.11must remove the tree or branch within five days of inspection by the arborist, unless the
74	74	3.12arborist advises that it is not the appropriate season for removing the tree or branch. If an
75	75	3.13arborist advises that a tree or branch presents a safety hazard but that it is not the appropriate
76	76	3.14season for removing the tree or branch, the owner must schedule the removal to take place
77	77	3.15during the appropriate season and must provide written notice to the resident of the scheduled
78	78	3.16date of removal and of the reason for the delay.
79	79	3.17 Sec. 7. Minnesota Statutes 2024, section 327C.06, subdivision 1, is amended to read:
80	80	3.18 Subdivision 1.Notice of rent increases required.No increase in the amount of the
81	81	3.19periodic rental payment due from a resident shall be valid unless the park owner gives the
82	82	3.20resident 60 days' written notice of the increase. The notice must include the park owner's
83	83	3.21reason for the rent increase.
84	84	3.22 Sec. 8. Minnesota Statutes 2024, section 327C.06, subdivision 3, is amended to read:
85	85	3.23 Subd. 3.Rent increases limited.A park owner may impose only two one rent increases
86	86	3.24increase on a resident in any 12-month period. A rent increase must be reasonable. A rent
87	87	3.25increase is presumed to be unreasonable if the percentage of the increase exceeds three
88	88	3.26percent of the rent per month in the prior year. A park owner may prove a rent increase is
89	89	3.27reasonable by clear and convincing evidence that the increase is necessary for the health
90	90	3.28and safety of the residents. A rent increase approved by a resident-owned cooperative formed
91	91	3.29under chapter 308A or 308B is presumptively reasonable.
92	92	3Sec. 8.
93	93	REVISOR MS/BM 25-0401503/03/25 4.1 Sec. 9. [327C.065] PAYMENT OF RENT; DIGITAL PAYMENT PLATFORMS.
94	94	4.2 Subdivision 1.Application.This section applies to park owners who require or permit
95	95	4.3residents to use a digital payment platform to pay rent, fees, and other charges.
96	96	4.4 Subd. 2.Definitions.(a) For purposes of this section, the following terms have the
97	97	4.5meanings given.
98	98	4.6 (b) "Alternative means of payment" means a method of payment other than the use of
99	99	4.7a digital payment platform and includes payment by check or cash.
100	100	4.8 (c) "Digital payment platform" means an electronic application or system that permits
101	101	4.9a user to conduct financial transactions. Digital payment platform includes electronic funds
102	102	4.10transfers.
103	103	4.11 (d) "Electronic funds transfers" means a transfer of funds, other than a transaction
104	104	4.12originated by check, draft, or similar paper instrument, that is initiated through an electronic
105	105	4.13terminal, telephone, computer, or magnetic tape for the purpose of ordering, instructing, or
106	106	4.14authorizing a financial institution to debit or credit a consumer's account through the use of
107	107	4.15an automated clearing house system or alternative payment system.
108	108	4.16 Subd. 3.Form of payment.A park owner must offer each resident an alternative to
109	109	4.17using a digital payment platform to pay rent, fees, or other charges. No fee may be charged
110	110	4.18to a resident to use the digital payment platform or any alternative means of payment.
111	111	4.19 Subd. 4.Digital payment platform.(a) The park owner must ensure that the following
112	112	4.20information is readily viewable and accessible to the resident on the digital payment platform
113	113	4.21or through a means that does not rely on the use of the digital payment platform:
114	114	4.22 (1) an itemized list of all current information on the rent, fees, or other charges assessed
115	115	4.23that correspond to the charges for which the resident is responsible, and all payment received;
116	116	4.24and
117	117	4.25 (2) communications to date between the resident and the park owner related to the
118	118	4.26payment of rent, fees, or other charges.
119	119	4.27 (b) A park owner must provide the resident with a telephone number to call if, for any
120	120	4.28reason, the digital payment platform or a system used by the park owner to collect an
121	121	4.29alternative means of payment is unavailable for use by the resident.
122	122	4.30 Subd. 5.Adverse action prohibited.(a) A park owner is prohibited from taking any
123	123	4.31adverse action, including filing an eviction action or assessing any late fees, when payment
124	124	4.32of rent, fees, or other charges is not timely because the digital payment platform is out of
125	125	4Sec. 9.
126	126	REVISOR MS/BM 25-0401503/03/25 5.1service or a system used by the park owner to collect an alternative means of payment is
127	127	5.2unavailable.
128	128	5.3 (b) It is an affirmative defense to an eviction action brought based on nonpayment that
129	129	5.4the park owner violated this section. Upon a showing that the park owner violated this
130	130	5.5section, the court must dismiss the eviction action and award the resident reasonable attorney
131	131	5.6fees and any other equitable relief the court deems appropriate.
132	132	5.7 Sec. 10. Minnesota Statutes 2024, section 327C.097, is amended to read:
133	133	5.8 327C.097 NOTICE OF UNSOLICITED SALE AND OPPORTUNITY TO
134	134	5.9PURCHASE.
135	135	5.10 Subdivision 1.Definitions Definition.For the purposes of this section, "nonprofit"
136	136	5.11means a nonprofit organization under chapter 317A.
137	137	5.12 Subd. 2.Scope.This section does not apply to:
138	138	5.13 (1) a purchase of a manufactured home park by a nonprofit or a representative acting
139	139	5.14on behalf of residents pursuant to a bona fide offer to purchase the park pursuant to
140	140	5.15subdivision 4;
141	141	5.16 (2) (1) a purchase of a manufactured home park by a governmental entity under its
142	142	5.17powers or threat of eminent domain;
143	143	5.18 (3) (2) a transfer by a corporation or limited liability company to an affiliate, including
144	144	5.19any shareholder or member of the transferring corporation; any corporation or entity owned
145	145	5.20or controlled, directly or indirectly, by the transferring corporation; or any other corporation
146	146	5.21or entity owned or controlled, directly or indirectly, by any shareholder or member of the
147	147	5.22transferring corporation;
148	148	5.23 (4) (3) a transfer by a partnership to any of its partners;
149	149	5.24 (5) (4) a sale or transfer between or among joint tenants or tenants in common owning
150	150	5.25a manufactured home park;
151	151	5.26 (6) an exchange of a manufactured home park for other real property, whether or not
152	152	5.27such exchange also invoices the payment of cash or boot;
153	153	5.28 (7) a conveyance of an interest in a manufactured home park incidental to the financing
154	154	5.29of the manufactured home park;
155	155	5Sec. 10.
156	156	REVISOR MS/BM 25-0401503/03/25 6.1 (8) (5) a conveyance resulting from the foreclosure of a mortgage, cancellation of a
157	157	6.2contract for deed, or other instrument encumbering a manufactured home park or any deed
158	158	6.3given in lieu of such foreclosure or cancellation; or
159	159	6.4 (9) (6) a sale or transfer to a person who would be included within the intestate table of
160	160	6.5descent and distribution of the park owner; or.
161	161	6.6 (10) a park owner who, within the past year, has provided written notice pursuant to
162	162	6.7section 327C.096.
163	163	6.8 Subd. 3.Notice of offer sale.(a) If a park owner receives an unsolicited bona fide offer
164	164	6.9to purchase the park that the park owner intends to consider or make a counteroffer to, the
165	165	6.10park owner's only obligation shall be to mail a notice to the Minnesota Housing Finance
166	166	6.11Agency, by certified mail, and to each park resident household, by regular mail. The notice
167	167	6.12must indicate that the park owner has received an offer that it is considering, and it must
168	168	6.13disclose the price range and material terms and conditions upon which the park owner would
169	169	6.14consider selling the park and consider any offer made by a representative acting on behalf
170	170	6.15of residents or a nonprofit that will become a representative acting on behalf of residents,
171	171	6.16as provided below. The park owner shall be under no obligation either to sell to the nonprofit
172	172	6.17or representative acting on behalf of residents or to interrupt or delay other negotiations and
173	173	6.18shall be free to execute a purchase agreement or contract for the sale of the park to a party
174	174	6.19or parties other than the representative acting on behalf of residents. Substantial compliance
175	175	6.20with the notice requirement in this paragraph shall be deemed sufficient.
176	176	6.21 (b) The Minnesota Housing Finance Agency must, within five days of receipt of the
177	177	6.22notice required under paragraph (a), distribute a copy of the notice to any representative
178	178	6.23acting on behalf of residents and to any nonprofits that register with the agency to receive
179	179	6.24such notices. The agency shall make a list of any representatives acting on behalf of residents
180	180	6.25and any registered nonprofits publicly available on its website.
181	181	6.26 (a) No park owner may accept any offer for the sale, lease, or transfer of a manufactured
182	182	6.27home park without first giving 60 days' written notice by certified mail, return receipt
183	183	6.28requested, of the proposed sale, lease, or transfer to:
184	184	6.29 (1) each resident of the manufactured home park; and
185	185	6.30 (2) the Minnesota Housing Finance Agency.
186	186	6.31 (b) The notice required under this subdivision must be dated and indicate the price,
187	187	6.32terms, and conditions of an acceptable offer the park owner has received to sell, lease, or
188	188	6.33transfer the manufactured home park. The notice must include the following verbatim
189	189	6Sec. 10.
190	190	REVISOR MS/BM 25-0401503/03/25 7.1statement: "The park owner has received and is prepared to accept an outside offer to [sell,
191	191	7.2lease, transfer] this park. The price, terms, and conditions of the offer are listed below.
192	192	7.3Before accepting the offer for the [sale, lease, transfer], the park owner will consider any
193	193	7.4offer submitted within 60 days of the date of this notice by a representative acting on behalf
194	194	7.5of residents. The owner will negotiate in good faith with the representative. [List of price,
195	195	7.6terms, and conditions.]"
196	196	7.7 (c) Upon the request of a resident, an owner must make available a copy of any acceptable
197	197	7.8agreement to sell, lease, or transfer the manufactured home park for a period of 60 days
198	198	7.9following the date of the notice required under this subdivision. The owner must provide
199	199	7.10the copy within three days of the request by the resident.
200	200	7.11 Subd. 4.Unsolicited Residents' offer to purchase.Nothing contained in this section
201	201	7.12or section 327C.096 shall prevent a representative acting on behalf of residents or a nonprofit
202	202	7.13from making an unsolicited bona fide offer to purchase the manufactured home park to the
203	203	7.14park owner at any time.
204	204	7.15 (a) A representative acting on behalf of residents may submit a written offer to the park
205	205	7.16owner to purchase the manufactured home park, subject to the conditions required under
206	206	7.17subdivision 7. The offer must be submitted within 60 days of the postmark date of the notice
207	207	7.18required under subdivision 3, by certified mail, return receipt requested.
208	208	7.19 (b) If the owner rejects the offer of a representative acting on behalf of residents, the
209	209	7.20owner must provide written notice to the representative of, and an explanation of the reasons
210	210	7.21for, rejection of the offer. The notice of rejection must be delivered to the representative by
211	211	7.22certified mail within five days of receipt of the offer from the representative. No owner may
212	212	7.23accept a final, unconditional offer for the sale, lease, or transfer of a manufactured home
213	213	7.24park earlier than the 15th day following the certified delivery date of the notice of rejection.
214	214	7.25The purchase agreement must permit the representative acting on behalf of residents a
215	215	7.26commercially reasonable due diligence period with access by the representative to all
216	216	7.27information reasonably necessary to make an informed decision regarding the purchase.
217	217	7.28The representative may be required to enter into a confidentiality agreement regarding the
218	218	7.29information.
219	219	7.30 Subd. 5.Optional recording.(a) A park owner may record with the county recorder or
220	220	7.31registrar of titles in the county where the park is located an affidavit, with a copy of the
221	221	7.32notice required under subdivision 3 attached, attesting that:
222	222	7.33 (1) the park owner has complied with the requirements of this section; or
223	223	7Sec. 10.
224	224	REVISOR MS/BM 25-0401503/03/25 8.1 (2) the sale, lease, or transfer of the manufactured home park is exempt from this section
225	225	8.2pursuant to subdivision 2.
226	226	8.3 (b) An affidavit filed in accordance with this subdivision shall be presumptive evidence
227	227	8.4of compliance for purposes of conveying good title to a bona fide purchaser.
228	228	8.5 (c) A representative acting on behalf of residents who makes an offer to purchase the
229	229	8.6park as provided under subdivision 4 may record notice of the offer in the county recorder's
230	230	8.7office.
231	231	8.8 Subd. 6.Good faith obligations.All transactions governed by, and all actions taken
232	232	8.9pursuant to, this section must be conducted in good faith.
233	233	8.10 Subd. 7.Requirement of affordable housing preservation.In the event of a sale to a
234	234	8.11representative acting on behalf of residents, the representative must certify to the
235	235	8.12commissioner of commerce that the property will be preserved as a manufactured home
236	236	8.13park for ten years from the date of the sale.
237	237	8.14 Subd. 8.Challenge to petition.In any action challenging the validity of the signatories
238	238	8.15of the petition authorizing a representative acting on behalf of residents to represent residents
239	239	8.16in negotiations to purchase a manufactured home park, there shall be a rebuttable presumption
240	240	8.17that the challenged party's signature is sufficient evidence that the party is a valid signatory.
241	241	8.18 Subd. 9.Remedies.(a) A park owner who violates subdivision 3, 4, or 6 is liable to each
242	242	8.19resident for actual, incidental, or consequential damages, plus attorney fees and costs.
243	243	8.20 (b) In addition to the remedies that a resident is entitled to under paragraph (a), a court
244	244	8.21may grant declaratory, injunctive, or equitable relief.
245	245	8.22 (c) The remedies provided under this subdivision are cumulative, not exclusive, and do
246	246	8.23not restrict any remedy that is otherwise available to a plaintiff at law or in equity.
247	247	8.24 Subd. 10.List of interested organizations.The Minnesota Housing Finance Agency
248	248	8.25must:
249	249	8.26 (1) within ten days of receipt of a notice received under subdivision 3, distribute a copy
250	250	8.27of the notice to nonprofit organizations that register with the Minnesota Housing Finance
251	251	8.28Agency to receive such notices; and
252	252	8.29 (2) make the list of nonprofit organizations that have registered to receive notice publicly
253	253	8.30available on the Minnesota Housing Finance Agency website.
254	254	8Sec. 10.
255	255	REVISOR MS/BM 25-0401503/03/25 9.1 Sec. 11. Minnesota Statutes 2024, section 327C.15, is amended to read:
256	256	9.2 327C.15 REMEDIES; PENALTIES; ENFORCEMENT .
257	257	9.3 Any violation of sections 327C.015 to 327C.14 is a violation of a law referred to in
258	258	9.4section 8.31, subdivision 1. A park owner that violates sections 327C.015 to 327C.14 is
259	259	9.5liable for:
260	260	9.6 (1) actual damages sustained by the resident as a result of the violation;
261	261	9.7 (2) injunctive relief as determined by the court;
262	262	9.8 (3) equitable relief a court considers just and reasonable in the circumstances; and
263	263	9.9 (4) in the case of any successful action, the cost of the action and reasonable attorney
264	264	9.10fees as determined by the court.
265	265	9.11 Sec. 12. REPEALER.
266	266	9.12 Minnesota Statutes 2024, section 327C.096, is repealed.
267	267	9Sec. 12.
268	268	REVISOR MS/BM 25-0401503/03/25 327C.096 NOTICE OF SALE.
269	269	When a park owner offers to sell a manufactured home park to the public through advertising
270	270	in a newspaper or by listing the park with a real estate broker licensed by the Department of
271	271	Commerce, the owner must provide concurrent written notice to each resident household in the
272	272	park that the park is being offered for sale. Written notice provided once within a one-year period
273	273	satisfies the requirement under this section. The notice provided by the park owner to each resident
274	274	household does not grant any property rights in the park and is for informational purposes only.
275	275	This section does not apply in the case of a taking by eminent domain, a transfer by a corporation
276	276	to an affiliate, a transfer by a partnership to one or more of its partners, or a sale or transfer to a
277	277	person who would be an heir of the owner if the owner were to die intestate.
278	278	1R
279	279	APPENDIX
280	280	Repealed Minnesota Statutes: 25-04015