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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. 

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. 

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

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

By:  Jim Joffe

            It seems to me that Resident Relations" encompasses "resident relationships". Those residents with whom you have positive and pleasant interactions are often promoters of your community

Editor's Note:  As we start the count down to the next full Oregon Legislative Session (2019) one of the biggest issues our industry faces is how to resolve conflict between residents and landlords.  Mediation is one of the answers and one that MHCO strongly encourages ALL owners and managers of manufactured home communities to pursue.  Today MHCO is introducing a new ad promoting mediation along with a long term commitment to providing quality articles and information on mediation.  The ad  provides a click thru to important information such as how to access mediation.  Mediation is FREE and should be one of the first tools you turn to when conflict arises in your community - whether it is between resident and resident or resident and landlord.  

Mediation: Tips for Effective Communication

1. Talk Directly. Assuming that there is no threat of physical violence, talk directly to the person with whom you have the conflict. Direct conversation is more effective than sending a letter, banging on the wall, or complaining to others.

2. Choose a good time. Plan to talk to the other person at the right time and allow yourselves enough tie for a thorough discussion of the issue. Don't start talking about the conflict just as the other person is leaving for an appointment, after you've had a terrible day, or right before you make dinner. Try to talk in a quiet place where you can both be comfortable and undistributed for as long as the discussion lasts.

3. Plan ahead. Think out what you want to say ahead of time. State clearly what the problem is and how it affects you.

4. Don't blame or name call. Don't blame the other person for everything or begin the conversation with your opinion of what should be done. Use responsible language (I statements such as I feel"

While setting up a disaster plan for manufactured home communities, be sure to include steps that would reduce the risk of damage or injury.  Here are some actions to consider: 

• Keep trees healthy and strong.  Remove dead limbs immediately, and cut back branches that overhang buildings or touch power or phone lines.

• Make sure all homes in the community are installed properly and comply with all local codes that apply to disasters.

• Do visual inspections of the community on a regular basis to look for damage to foundations, roofs, walls, tie-downs, awnings and other structures.  Notify residents of any potential problems observed on their homesite.

• Install an audio warning system, such as a siren or horn, and tell residents when and how it will be used.

• Have a battery-powered radio that can monitor reports from the National Weather Service, an agency of the National Oceanic and Atmospheric Administration (NOAA).  These are referred to as NOAA Weather Radios.  The National Weather Service broadcasts updated weather warnings and forecasts for most kinds of weather emergencies.  NOAA recommends that you buy a radio that can run on either electricity or batteries, and that has a feature that automatically sends out a warning beep" when a weather watch or warning is issued.

• Inspect fire hydrants regularly and keep them clear of debris

By: Bill Dahlin

Wi-Fi is everywhere and much of the time it is offered for free." Starbucks offers it. So does McDonald's. In fact