What is the price of sleeping well?  When considering what a good property management company provides to a park owner, there may be no more important question than that. 

No, I am not referring to the price of the newest, luxury Tempur-pedic mattress and high-loft shredded memory foam pillows.  Although, for the record those may be worth due consideration as well.

By the price of sleeping well" I mean the value to a mindful park owner of having one's highly valuable real estate holdings cared for by an experienced

Today the Oregon Legislature convened for a 'short' legislative session - lasting 35 days until the first week in March.

Legislators have strict limits on the amount of bills they can introduce this year (2 in the House and 1 in the Senate), so we don't expect a lot of proposed hostile legislation. What this means though, is that the bills that are introduced have less competition for attention and have fewer hurdles to passage. 

For the first time in over five years the legislature has not submitted a rent control bill and the number of hostile landlord/rental property bills is minimal.  The war on landlords seems to have taken a pause.  The political reality is that the same political dynamics are in place that existed at the end of the full legislative session in July 2017.  Depending on the outcome of the primary elections in May 2018 and the general election in November 2018 we could and most likely will face a significant rent control fight in 2019 and a pile of anti landlord legislation. 

There are two bills that MHCO is watching during this short legislative session:

HB 4006:  Requires Housing and Community Services Department to annually provide to each city and county data showing percentage of individuals resident in city or county who are severely rent burdened. Requires city or county in which at least 25 percent of population is severely rent burdened to hold public meeting to discuss issue and submit plan to department to reduce rent burdens for severely rent burdened individuals in city or county.

Observation:  MHCO Opposes. The legislature has for a long time wanted better data on rent.  As many of you know MHCO has been collecting rent data on a voluntary basis from MHCO members for a number of years.  This data was very helpful in defeating rent control proposals in the 2017 Legislative Session.  We have attempted to broaden that database to include non-members with little success.  MHCO's concern has always been that the legislature will bend whatever data they collect to justify rent control.  As we have stated in testimony before the Oregon House Committee Housing in March 2017 - if the data shows there is little problem with rent and rent increases you (the Oregon Legislature) will say "see no problem if we do rent control because most properties are under the rent increase limits"; if the data shows there is a problem then the legislature will say "ha - this proves there is a problem".  MHCO opposes the state accumulating this information which will be used to justify whatever course of action the legislature chooses." The state collection of rent data adds yet another paperwork drill to an already over regulated industry.

HB 4085: Requires court to award attorney fees

Last week, the Senate Banking Committee passed legislation to clarify that a manufactured housing retailer or seller is not considered a "loan originator" simply because they provide a customer with some assistance in the mortgage loan process.  This is a key tenet of S. 1751, the Preserving Access to Manufactured Housing Act, which excludes manufactured housing retailers and sellers from the definition of a loan originator so long as they are only receiving compensation for the sale of a home.  

The language was passed as a part of S. 2155, the "Economic Growth, Regulatory Relief and Consumer Protection Act," which is a package of reforms intended to improve the national financial regulatory framework and promote economic growth. S. 2155 was passed by the Senate Banking Committee by a bipartisan vote of 16 to 7. 

In opening the Committee's consideration of the bill, Senate Banking Committee Chairman Crapo (R-ID) said, "The reforms in this bipartisan bill help tailor the current regulatory landscape, while ensuring safety and soundness and relieving the burden on American businesses that are unfairly being treated like the largest companies in our economy."  

MHI worked closely with Senator Joe Donnelly (D-IN), author of the Preserving Access to Manufactured Housing Act (S. 1751) and long-time supporter of manufactured housing, to include this important consumer access provision in the package. The language, included in Section 107 of the package, amends the Truth in Lending Act (TILA) to exclude from the definition of "mortgage originator" an employee of a retailer of manufactured or modular homes who does not receive compensation or gain for taking residential mortgage loan applications while maintaining consumer protections. 

U.S. Senator Joe Donnelly said, "For many hard-working Hoosiers and Americans, manufactured housing provides the most affordable option available when they look to buy a home. I'm pleased the bipartisan regulatory relief legislation that I helped craft and that passed the Senate Banking Committee includes a provision based on my Preserving Access to Manufactured Housing Act. This measure would help prevent federal regulations from getting in the way of financing that families need as they step into homeownership."

The passage of S. 2155 by the Senate Banking Committee affirms MHI's longstanding position that it is inappropriate for a manufactured housing retailer or seller - whose business is to sell homes and who is not receiving any gain or compensation for minimally helping the borrower with the mortgage loan process - to be subjected to compliance requirements and potential liability for areas that are clearly designed to apply only to the actual entity making the mortgage loan. MHI will continue working with its champions as the bill moves through the legislative process.

The inclusion of this language in the Senate's financial regulatory relief package is the result of MHI's persistent efforts to ensure the needed changes contained in the Preserving Access to Manufactured Housing Act are passed into law as soon as possible. In addition to the Senate regulatory reform package, H.R. 1699, the Preserving Access to Manufactured House Act, was passed by the U.S. House of Representatives on December 1.  The language was also passed as a part of the House's financial reform package (H.R. 10) in June. In September, the House also passed the bill's provisions as a part of its Fiscal Year 2018 Appropriations package. 

Yesterday, the Senate Banking Committee released a bipartisan agreement to clarify that a manufactured housing retailer or seller is not considered a "loan originator" simply because they provide a customer with some assistance in the mortgage loan process.  This is a key tenet of the Preserving Access to Manufactured Housing Act, which excludes manufactured housing retailers and sellers from the definition of a loan originator so long as they are only receiving compensation for the sale of a home. 

MHI successfully argued that just as a real estate agent's sales commission does not make him or her a loan originator under current law, a similar distinction is needed for those selling manufactured homes.  While they are only in the business of selling homes and do not originate loans, manufactured home retailers and sellers currently run the risk of being considered mortgage loan originators. This is problematic because loan originators must comply with licensing or qualification requirements that are completely unrelated and irrelevant to manufactured home retailers and sellers.  This agreement affirms MHI's longstanding position that it is inappropriate for a manufactured housing retailer - whose business is to sell homes and who is not receiving any gain or compensation for minimally helping the borrower with the mortgage loan process - to be subjected to costly and labor-intensive activities that are clearly designed to apply to the actual individual making the mortgage loan.

The manufactured housing language was a part of a bipartisan regulatory reform package drafted by Senate Banking Committee Chairman Mike Crapo (R-ID). A bipartisan group of nine Republicans and nine Democrats cosponsored the measure, including: Mike Crapo (R-Idaho), Bob Corker (R-Tennessee), Tim Scott (R-South Carolina), Tom Cotton (R-Arkansas), Mike Rounds (R-South Dakota), David Perdue (R-Georgia), Thom Tillis (R-North Carolina), John Kennedy (R-Louisiana), Jerry Moran (R-Kansas), Joe Donnelly (D-Indiana), Heidi Heitkamp (D-North Dakota), Jon Tester (D-Montana), Mark Warner (D-Virginia), Tim Kaine (D-Virginia), Angus King (I-Maine), Joe Manchin (D-West Virginia), Claire McCaskill (D-Missouri), and Gary Peters (D-Michigan). 

The provision is in Section 107 of the package, which is within the title of the bill dealing with improving consumer access to mortgage credit.  Specifically, Section 107 amends the Truth in Lending Act (TILA) to exclude from the definition of "mortgage originator" an employee of a retailer of manufactured or modular homes who does not receive compensation or gain for taking residential mortgage loan applications while maintaining consumer protections. Senator Joe Donnelly (D-IN), author of the Preserving Access to Manufactured Housing Act (S. 1751) and long-time supporter of manufactured housing, strongly advocated for inclusion of this important consumer access provision in the package. 

The Senate's bipartisan reform package is expected to be considered by the Senate Banking Committee in the coming weeks. MHI will continue working with its champions as the package moves through the legislative process. 

The inclusion of this language in the Senate's financial regulatory relief package is the result of MHI's persistent efforts to ensure the needed changes contained in the Preserving Access to Manufactured Housing Act are passed into law as soon as possible. In addition to the Senate regulatory reform package, the full Preserving Access to Manufactured House Act was passed as a part of the House's financial reform package (H.R. 10) in June.   In September, the House also passed the bill's provisions as a part of its Fiscal Year 2018 Appropriations package. 

By Erik Edwards, Nick Bertino, and Tony Petosa

For the past several years, the talking heads" have been warning us about the coming rise in interest rates

The owners and manager of three apartment buildings in Washington have agreed to pay $95,000 in damages and civil penalties to resolve a lawsuit charging them with refusing to rent to families with children, according to a recent announcement by the Justice Department.

In its complaint, the department alleged that a manager told a woman seeking an apartment for herself, her husband, and their one-year-old child that the apartment buildings were adult only." The complaint also alleged that the defendants advertised their apartments as being in "adult buildings." The family filed a complaint with HUD

MHCO.ORG Note:  Pressure continues to build to provide more renter rights and legalize some form of rent control or rent justification.  Portland City Council's action this afternoon is yet another precursor of more to come in the Oregon Legislature.  Stay tuned - this issue is not going away anytime soon.

* * * * * *

By Jessica Floum

The Oregonian/OregonLive

Exceptions to Portland land use rules, protections for city renters facing eviction or big rent hikes, and political pressure to devote taxpayer and donor money to affordable housing will continue for the foreseeable future, following a unanimous Portland City Council vote Wednesday.

All those measures are intended to curb Portland's critical shortage of affordable housing and spike in homelessness.

The council voted Wednesday to extend for a second time its a declared "housing emergency." It also voted to extend a renter protection policy adopted in February by six months to give city officials time to implement a permanent renter's rights policy.

Instituted in 2015, the emergency declaration has encouraged spending on housing, allowed for flexibility in where city and county officials can open shelters and fast-tracked building permits for affordable housing projects. The council extended the declaration by 18 months and charged the Portland Housing Bureau and the city and county's Joint Office on Homeless Services to develop criteria for when the city should lift the temporary rules.

Commissioners hope to implement permanent rules in the city's zoning codes by then. They might include permanent zoning exemptions that allow for homeless camps such as Right 2 Dream Too or emergency homeless shelters in the winter.

"There's more we need to do to stabilize the systems that impact housing and homelessness in our community," Mayor Ted Wheeler said. "This is an emergency that requires action now."

Led by former housing advocate and city Commissioner Chloe Eudaly early this year, the council adopted a tenant protection rule that requires landlords to pay $2,900 to $4,500 in relocation costs to renters whom they evict without cause or who must move as the result of a rent increase of 10 percent or more.

The council extended that policy, set to expire Friday, by six months. Wheeler, the housing commissioner, pledged to bring a permanent renter protection rule back to the council on December 6.

Dozens of renters urged the council Wednesday to take the rule further.

They shared experiences of landlords finding ways around the rule such as increasing rents by 9.97 percent instead of 10 percent and requiring renters to pay for utilities that the landlord previously covered.

They advocated for closing an exemption for "mom and pop" landlords who only rent one unit. The impact on the renters is harmful, regardless of who the landlord is, they said.

Many of the most vulnerable tenants rent from smaller landlords because they can't access "mainstream" rental opportunities due to criminal histories or other "troubled records," said Katrina Holland, executive director of renter advocacy group Community Alliance of Tenants.

Last month, HUD announced that the owners and managers of two California apartment complexes has agreed to pay $72,000 to resolve allegations of discrimination against a female resident with disabilities who requires an assistance animal.

The case came to HUD's attention when a Northern California fair housing group filed a complaint alleging that the owner and its agents discriminated against a resident who has a medical condition and requires a service dog. Allegedly, the animal alerts the resident when she is experiencing physiological changes and helps to ameliorate many of her disability-related symptoms.

The fair housing group also claimed the resident, who had lived at the property for more than 15 years, was subjected to discriminatory statements and retaliation due to the presence of her assistance animal, including false accusations that the animal was disruptive, that it bit maintenance workers, and that it was not a service animal under California law. The complaint claimed that the resident's Housing Assistance Program voucher was ultimately cancelled, forcing her to find housing elsewhere.

HUD reported that its subsequent investigation corroborated the resident's need for the dog and discovered written discriminatory statements made by the property managers. HUD found no evidence indicating that the animal was disruptive or had bitten anyone.

The settlement requires the owners and managers to pay $31,000 to the resident and to pay $41,000 to the fair housing group. Among other things, the owners also agreed to develop and implement a reasonable accommodation and reasonable modification policy consistent with fair housing law.

Landlords are required to provide a reasonable accommodation for individuals who require assistance animals