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Answer. Oregon law requires that unless exempted, an individual must use a "mortgage loan originator" ("MLO") [e.g. mortgage bankers or mortgage brokers] license if he/she:

• Takes a residential mortgage loan application; or
• Negotiates the terms or conditions of a residential mortgage loan.

It is the second of these two requirements that affect you as a park owner re-selling formerly abandoned homes. You must either use a MLO or be covered by an exemption. However, as you will see under the Oregon MLO laws below, the statute is not limited only to "abandoned homes" - just "previously owned homes."

The Safe Act. The federal Secure and Fair Enforcement for Mortgage Lending Act ("S.A.F.E. Act") of 2008 requires that MLOs register with the Oregon Department of Business and Consumer Services ("DCBS"). As required by the S.A.F.E. Act, all states must adopt their own set of laws governing MLOs. Oregon's version is found at ORS 86A.200 to 86A.239. The Consumer Finance Protection Bureau (CFPB"), a Dodd- Frank created mega-agency, and DCBS have taken the position that the S.A.F.E. Act applies not only to third-party loans, but also to seller-carried transactions, including manufactured homes both inside and outside of parks.

Oregon MLO Laws. An individual may not engage in business as a mortgage loan originator in Oregon without first:

• Obtaining and maintaining a MLO license; and
• Obtaining a unique identifier from the Nationwide Mortgage Licensing System and Registry ("NMLS").

Oregon Exemptions to MLO Laws:

• A registered MLO acting within the scope of their employment;
• One who offers or negotiates terms of a residential mortgage loan with or on behalf of the individual's spouse, child, sibling, parent, grandparent, grandchild or a relative in a similar relationship with the individual that is created by law, marriage or adoption;
• One who offers or negotiates terms of a residential mortgage loan that is secured by a dwelling that served as the individual's residence;
• An Oregon-licensed attorney [subject to limitations]:
• An individual licensed as a manufactured structure dealer under ORS 446.691 and who:
  • Offers or negotiates terms of a residential mortgage loan related to a sale for occupancy of a previously owned manufactured dwelling in a manufactured dwelling park three (3) or fewer times in any 12- month period; and
  • Uses a written sale agreement form with the purchaser that: (a) complies with the requirements of ORS 646A.050, 646A.052 and 646A.054; (b) with any applicable administrative rules; and (c) any other applicable requirements for residential mortgages for manufactured dwellings.
  • Note: This exemption does not permit the individual to hold more than eight (8) residential mortgage loans at any one time.
• An individual who is licensed as a limited manufactured structure dealer, and who:
  • Has an ownership interest in a manufactured dwelling park;
  • Offers or negotiates terms of a residential mortgage loan related to a sale for occupancy of a previously owned manufactured dwelling in any manufactured dwelling park in which the individual has an ownership interest, five (5) or fewer times in any 12-month period; and
  • Uses a written sale agreement form with the purchaser that: (a) complies with the requirements of ORS 646A.050, 646A.052 and 646A.054, (b) with any applicable administrative rules, and (c) with any other applicable requirements for residential mortgages for manufactured dwellings.
  • This exemption does not permit the individual to hold more than twelve (12) residential mortgage loans at any one time.
• An employee of a licensed manufactured structure dealer is not subject to the MLO licensing requirements if the employee:
  • Performs only administrative or clerical tasks; and
  • Receives only a salary or commission that is customary among dealers and employees of dealers.
• An employee of a dealer may become subject to the licensing provisions if the CFPB determines, in a guideline, rule, regulation or interpretive letter that this exemption granted is inconsistent with requirements set forth in 12 U.S.C. 5101 et. seq. (S.A.F.E. Act)

Answer. ORS 90.630(1)(a) (Termination by landlord; causes; notice; cure; repeated nonpayment of rent) permits you to issue a 30-day termination notice for any of the following if the resident:

• Violates a law or ordinance related to the tenant's conduct as a tenant, including but not limited to a material noncompliance with ORS 90.740;
• Violates a rule or rental agreement provision related to the tenant's conduct as a tenant and imposed as a condition of occupancy, including but not limited to a material noncompliance with a rental agreement regarding a program of recovery in drug and alcohol free housing

I read these prohibitions as relating to events or conduct inside the community. However, as to the following two, the conduct is not required to have occurred inside the community:

• Is classified as a level three sex offender under ORS 163A.100 (3);
• Is an unclassified adult sex offender designated as predatory prior to January 1, 2014, or a person whom the State Board of Parole and Post-Prison Supervision, the Psychiatric Security Review Board or the Oregon Health Authority has classified as a level three sex offender under section 7 (2)(b), chapter 708, Oregon Laws 2013.

Both of the above two sex offender violations are non-curable, so that presumably the resident must vacate within the 30-day period. As I read ORS 90.630, with the exception of the sex offender violations, the others must relate to the tenant's conduct as a tenant, and by definition (to me at least) mean "while in the community"; for purposes of termination of a tenancy, a tenant is not a tenant when he or she is outside of the community.

90.396 (Acts or omissions justifying termination 24 hours after notice) provides that you may issue a 24-hour notice if:

• The tenant, someone in the tenant's control or the tenant's pet seriously threatens to inflict substantial personal injury, or inflicts any substantial personal injury, upon a person on the premises other than the tenant;
• The tenant or someone in the tenant's control recklessly endangers a person on the premises other than the tenant by creating a serious risk of substantial personal injury;
• The tenant, someone in the tenant's control or the tenant's pet inflicts any substantial personal injury upon a neighbor living in the immediate vicinity of the premises;
• The tenant or someone in the tenant's control intentionally inflicts any substantial damage to the premises or the tenant's pet inflicts substantial damage to the premises on more than one occasion;
• The tenant, someone in the tenant's control or the tenant's pet commits any act that is outrageous in the extreme, on the premises or in the immediate vicinity of the premises. Acts that are "outrageous in the extreme" include, but are not limited to, the following acts by a person: Prostitution, commercial sexual solicitation or promoting prostitution; Manufacture, delivery or possession of a controlled substance, but not including the medical use of marijuana in compliance with Oregon law; Possession of, or delivery for no consideration of, less than one avoirdupois ounce of marijuana; or possession of prescription drugs; intimidation, as described under Oregon criminal law; or burglary.

Under the definition section of the Oregon Residential Landlord Tenant Act, ORS 90.100 (34), the term "premises" means "a facility for manufactured dwellings or floating homes", i.e. the park itself. Thus, again, all of the prohibited conduct must have occurred inside the community.

Conclusion. However, you should remember that when a resident commits a crime outside the community, especially one that entails incarceration, the problems don't usually stop there, i.e. he or she frequently is unable to pay their rent, which can lead to eviction. Or your issuance of three 72-hour (or 144-hour) late notices, can result in issuance of a noncurable 30-day notice of termination. In cases in which the tenant has committed some particularly aggravated crime outside the park, which causes you concern for their coming back into the community, I suggest you consult your attorney to determine whether there might be some other basis for termination.

Does Section 8 apply to manufactured housing parks?

There have been questions recently from MHCO members as to whether Section 8 housing assistance programs apply to manufactured housing facilities. The short answer is "yes," parks are required to comply with Section 8 housing requirements.

Why have things changed?

In 2014, the laws in Oregon changed to prohibit landlords from refusing to rent to people based on their source of income. Before that, landlords could refuse to rent to tenant applicants if they received government rental assistance. Now that is unlawful. Landlords cannot refuse to rent to someone solely because they receive Section 8 rental assistance. (And there are other government rental assistance programs that are equally protected, although Section 8 is the most common.)

Why does the law apply to manufactured housing facilities?

The governing Oregon statute (ORS 659A.421) prohibits discrimination based on source of income in "real property transactions." This is defined to include the rental of "vacant land" used as the location for any building intended for occupancy as a residence (i.e., a manufactured home on a rental space).

How does Section 8 work?

The tenant negotiates directly with the landlord to apply for tenancy, and the landlord is entitled to screen tenants using the same rental criteria used for any other tenant applicant (i.e., criminal background, credit history, evictions, etc.). However, the tenant's income level must include the amount received from the Section 8 assistance program.

If approved, the tenant signs the park's regular rental agreement and other tenancy documents. But there are several important differences from a non-Section 8 tenancy:

1. The park will need to fill out and sign one or two short forms for the tenant to submit to the housing authority confirming that the tenant has been approved for tenancy.

1. The local housing authority will conduct an inspection to ensure that the "rental unit" is sufficiently habitable. In an apartment setting, this would mean that the landlord would be responsible for ensuring that the apartment is fit to live in. In a mobile home park, it means that the rental space (not the home itself - unless the park owns it) must simply be suitable for occupancy. In other words, it must have the usual park-provided utility hook-ups for water, sewer, electricity, etc., and must be designed to support the installation of a mobile home in the usual manner.

1. The housing authority will also make a determination as to whether the park's rent is a "fair market rent." If they determine it is not, the housing voucher payment will not be approved. While landlords cannot be forced to adjust their rents, they should obviously be very careful to not charge a higher rental amount to Section 8 applicants, which would quickly lead to a housing discrimination charge.

1. The park will be required to sign a "Housing Assistance Payments Contract" which will become an addendum to the park's regular rental agreement.

What terms are in the "Housing Assistance Payments Contract?"

There are a number of terms, but the most important ones relate to termination of the tenancy. For the most part, landlords can still terminate a tenancy for "good cause" like any other mobile home park tenant. This can include disturbing the peaceful enjoyment of neighbors, destruction of park property, failing to maintain the rental space, and the failure to pay rent.

However, there are several potential problem areas:

1. The contract requires landlords to provide a fixed-term lease of at least one year instead of a month to month rental agreement. Since ORS 90.550 requires at least a 2-year minimum lease term for mobile home park tenants, that would need to be the stated term of the lease.

1. The contract states that tenancy termination must involve a "serious or repeated violation of the lease." This could potentially lead to difficulties if the park needed to issue a 30-day notice for something that was a violation of the park rules, but yet does not rise to the level of a "serious or repeated" violation.

1. All termination notices must be additionally served on the housing authority. While not a significant issue, it does add another layer of administrative burden.

1. The contract form (which is provided by HUD) is not designed for mobile home park tenancies. It contains certain terms that would not and could apply to a mobile home park tenancy (i.e., "The lease must specify which appliances are to be provided by the landlord"). For this reason, it would be wise to consult with an attorney before signing the HUD contract form.

What if the park simply refuses to sign the "Housing Assistance Payments Contract?"

If the park refused to sign the contract without good reason, it would likely lead to a housing discrimination charge. However, in certain situations there might be legitimate legal arguments supporting this position. Consult with an attorney before making this kind of decision.

How is rent paid?

Voucher amounts for rent are paid directly to the landlord by the local housing authority, with the tenant responsible for the remainder of the rent based on a percentage of their income.

What if the tenant fails to pay their portion of the rent?

Since the failure to pay rent would be a serious violation of the lease, the park could issue a 72-hour notice just like it would with any other tenant. A copy of the notice would need to be served on the housing authority as well. (And consult with an attorney on whether the voucher payment should be returned to avoid taking a partial payment and perhaps raising a waiver issue.)

Do these rules apply only to new tenants, or are existing tenants covered too?

The statutes specifically state that a landlord cannot "expel" a tenant based on source of income, so the rules would cover both new and existing tenants. This means that if an existing tenant came to the park with a Section 8 voucher application packet, the park would most likely need to comply. Again, however, consult an attorney if there are specific circumstances that might lead to a legitimate legal argument to the contrary.

Where can I get more information?

Do an online search for the local housing authority in your county (i.e., __________ County Housing Authority). Each housing authority's website has information specific to the county where your mobile home park is located.

Mark L. Busch
Cornell West, Suite 200, 1500 NW Bethany Blvd
Beaverton, OR 97006
(503) 597 - 1309

mark@marklbusch.com

www.marklbusch.com

Step 1: Learn all you can about the kinds of disasters that could possibly occur in your community - there may be some that you are not aware of. Good resources for this information included your local emergency management office, the local American red Cross chapter or a state-level emergency preparedness agency.

For example, people at these organizations can help you lean whether your community is near a flood plain or a hazardous materials facility. And, did you know that all 50 states and all U.S. territories are vulnerable to earthquakes? In Oregon the risk of an earthquake is considered by the Federal Emergency Management Agency to be moderate to high. On the Oregon coast even a moderate earthquake adds the additional threat of a tsunami. Are you prepared?

When you have a list of all of the potential problems you might face, you can develop a plan on how to cope with each one. Some parts of each plan will be the same, including Steps 2 and 3 - later in this article.

Depending on the type of problems that might take place in your community, determine whether residents would ever need to evacuate or seek shelter. If the answer is "yes" to either or both questions, prepare an evacuation plan.

Step 2: Develop a master list of telephone numbers that you will need in the case of an emergency. This list should include three major parts:

• Community resources that would be available.

• Residents in the community who are participating in the disaster planning and implementation programs.

• Key employees and others involved with the management or ownership of the community.

You will need both home and work numbers for residents and employees, and business and after-hours numbers for community resources. For key employees, you may also wish to include their cell or mobile phone or pager numbers. All community managers and owners should have this list prominently displayed near every telephone in their homes and offices.

For your convenience, a comprehensive list is included on the next page. You can make copies of it and fill in the blanks, or you can create your own lsit, based on the specifics of you community.

Step 3: Get residents involved in developing and implementing disaster management plans. Emergency management experts agree that this is critical to the success of your program. There will be more about how to work with a Resident's Disaster Planning Committee in future articles.

Answer: This fact pattern should be a cautionary tale for all park owners and managers about the risk of letting too much time elapse between the violation and legal action. In order to fully answer the question, I need to assume certain facts. First, I assume that the rules clearly do not permit one to occupy a home without management approval. Secondly, I assume that some form of permitted subleasing is OK, so long as the subtenant is approved by management. Third, I assume that someone - presumably the father - has been paying the rent.

If rent has been accepted with knowledge of this violation, it would be deemed to have been waived after the second acceptance of rent - regardless of who paid it. Clearly, if the rules prohibit this, as does the rental agreement and law, action should have been taken the moment she refused to cooperate.

The best solution may be for the father to proceed with the eviction, since he is a "landlord" under the non-manufactured housing side of the Landlord-Tenant law. Clearly, he can work it out with her and/or the court, better than management working with the recalcitrant occupant, who has already established her unwillingness to cooperate. Besides, why should the park absorb this expense, when it is really between the father as a "landlord" and his daughter as the "tenant." (I don't know why the judge sent them home, but suspect it was to try to resolve it as a family matter rather than a court matter.)

As for whether to accept the rent, it's already pretty late to be worried about "waiver" since that has long since been confirmed to have occurred. Nevertheless, I would NOT accept the rent until this matter is resolved.

The problem with park management doing the eviction based upon an "unauthorized occupant," violation, is that it's too late to enforce, in my opinion. However, your question about a "No-cause" eviction suggests that you believe this might be a viable alternative - i.e. the legal basis for eviction arises under the non-manufactured housing side of the statutes. I don't think so. First, because the manufactured housing side of the law still applies vis a vis the father, and regardless, rent has been accepted, making the waiver argument a real possibility.

The marketplace for income property financing has benefited greatly from shifts in the economy. Volatility forces commercial lenders to gravitate towards lower risk, stable, income-producing real estate. Manufactured home communities are increasingly high on their lists, since the cash flow is consistent and demand for affordable housing is strong.

Numerous institutional and private owners of manufactured home communities and other commercial real estate have taken advantage by locking in historically low fixed rate loans. In several cases, refinancing existing loans with prepayment penalties still made economic sense given the savings realized with today's low interest rate financing. If you've been considering a refinance to lower expenses, access additional capital to fund overdue projects, or facilitate additional acquisitions, it's a unique time to take another look at the programs available in today's market.

Most fixed rate lenders price their loans based on US Treasury yields. Many borrowers may be focusing on rising benchmark interest rates, however US Treasury yields today are lower than on January 1, 2016, and at the same time last year. As of March 2, 2016 the 10 year US Treasury yield was 1.84%, compared to one month prior at 1.97%. The average during 2015 was 2.14%. The 10 year US Treasury yield began 2014 at 3.00%. To provide some perspective, below is the average yield on the 10 year US Treasury during the last 5 decades:

1961 - 1969: 4.73%

1970 - 1979: 7.50%

1980 - 1989: 10.59%

1990 - 1999: 6.67%

2000 - 2009: 4.46%

If you believe that ultimately Treasury yields have to return to these averages, today's low interest rate environment offers an extraordinary opportunity to evaluate your long term financing objectives.

Having endured the various economic ups and downs over the past 15 years while working in finance, I can attest that the capital markets for commercial real estate today are healthy and more judicious than prior to the credit crisis of 2008-2009. The pool of varying capital sources is deep, and lender and investor demand for real estate transactions is as strong as we've seen. According to Mortgage Bankers Association, total US commercial real estate loan origination volume reached $497 Billion in 2015, up 24% over the $400 Billion originated in 2014. Over $1 Billion in commercial real estate loans will be maturing daily from 2016 through 2018, and the necessary lender appetite is present to service this need. Owners of manufactured home communities will benefit from this activity, as the debt market for MHC's has expanded in recent years and lenders are seeking to deploy capital on lower risk housing assets.

An Overview of Today's Community Financing Options:

The vast majority of commercial real estate lenders are seeking to meet or exceed their 2015 loan originations volume in 2016. Real estate capital sources in the marketplace are generally very optimistic about lending prospects in the US. More lenders are coming to the realization that manufactured home communities provide a highly stable cash flow superior to other asset classes, with returns that are typically more favorable when compared to conventional multi-housing properties in most markets.

Fannie Mae and Freddie Mac are both Government Sponsored Enterprises, or GSE's, and are charged with ensuring that capital is available to providers of multifamily housing, including manufactured housing. The GSE's are established, reliable providers of non-recourse financing for higher quality MHC's. Fannie Mae can offer fixed rates as long as 20 years, whereas Freddie Mac typically offers fixed rates of five, sever, or 10 years, with up to 30 year amortizations. Both GSE's have the ability to offer supplemental financing, or additional loan proceeds, to their own existing loans as the property's cash flow increases.

Life insurance companies continue to be an excellent source of non-recourse financing for MHC's, often beating out the GSE's on pricing and flexibility of lean structure. Since they are "on-book" or "portfolio" lenders, life companies can offer unique capabilities such as locking your interest rate at application, as well as various customized combinations of loan terms, amortizations, and prepayment options. Similar to the GSE's, life companies can offer forward rate lock options, allowing a borrower to lock in a loan commitment and fixed rate as far out as 12 months in advance of funding.

Both the GSE's and life insurance companies are offering interest-only payment periods, up to the full loan term for more moderate leverage.

An increasing number of commercial and regional banks are also targeting MHC lending. Bank loan features for MHC's include 30 year fully-amortizing loan terms, with low fixed rates for three to 10 years. Some banks can offer non-recourse financing on MHC's at lower leverage points.

CMBS/Conduit lenders provide a non-recourse financing option for owners with communities that would not be considered by the GSE's or life insurance companies. Another alternative is the emergence of several new Debt Funds. These are portfolio lenders that offer higher-leverage specialty and bridge financing, and are best suited for non-stabilized assets and short term turnaround transactions.

So which lender is right for your specific needs? Your selections depends on the profile, age, quality, and location of your community, as well as your loan feature preferences and financing objectives. The good news is that the number of "go-to" sources for MHC financing continues to deepen, as more lenders have taken note that MHC's provide a reliable, low-risk investment.

Zach Koucos is a Director at HFF and is responsible for originating commercial real estate financing throughout the U.S., with a specialized practice in MHC and RV Resort financing. Zach can be reached at: 858-812-2351 Phone; 858-552-7695 fax; and email: zkoucos@hfflp.com. He can also be reached on the web at hfflp.com.

The marketplace for income property financing has benefited greatly from shifts in the economy. Volatility forces commercial lenders to gravitate towards lower risk, stable, income-producing real estate. Manufactured home communities are increasingly high on their lists, since the cash flow is consistent and demand for affordable housing is strong.

Numerous institutional and private owners of manufactured home communities and other commercial real estate have taken advantage by locking in historically low fixed rate loans. In several cases, refinancing existing loans with prepayment penalties still made economic sense given the savings realized with today's low interest rate financing. If you've been considering a refinance to lower expenses, access additional capital to fund overdue projects, or facilitate additional acquisitions, it's a unique time to take another look at the programs available in today's market.

Most fixed rate lenders price their loans based on US Treasury yields. Many borrowers may be focusing on rising benchmark interest rates, however US Treasury yields today are lower than on January 1, 2016, and at the same time last year. As of March 2, 2016 the 10 year US Treasury yield was 1.84%, compared to one month prior at 1.97%. The average during 2015 was 2.14%. The 10 year US Treasury yield began 2014 at 3.00%. To provide some perspective, below is the average yield on the 10 year US Treasury during the last 5 decades:

1961 - 1969: 4.73%

1970 - 1979: 7.50%

1980 - 1989: 10.59%

1990 - 1999: 6.67%

2000 - 2009: 4.46%

If you believe that ultimately Treasury yields have to return to these averages, today's low interest rate environment offers an extraordinary opportunity to evaluate your long term financing objectives.

Having endured the various economic ups and downs over the past 15 years while working in finance, I can attest that the capital markets for commercial real estate today are healthy and more judicious than prior to the credit crisis of 2008-2009. The pool of varying capital sources is deep, and lender and investor demand for real estate transactions is as strong as we've seen. According to Mortgage Bankers Association, total US commercial real estate loan origination volume reached $497 Billion in 2015, up 24% over the $400 Billion originated in 2014. Over $1 Billion in commercial real estate loans will be maturing daily from 2016 through 2018, and the necessary lender appetite is present to service this need. Owners of manufactured home communities will benefit from this activity, as the debt market for MHC's has expanded in recent years and lenders are seeking to deploy capital on lower risk housing assets.

An Overview of Today's Community Financing Options:

The vast majority of commercial real estate lenders are seeking to meet or exceed their 2015 loan originations volume in 2016. Real estate capital sources in the marketplace are generally very optimistic about lending prospects in the US. More lenders are coming to the realization that manufactured home communities provide a highly stable cash flow superior to other asset classes, with returns that are typically more favorable when compared to conventional multi-housing properties in most markets.

Fannie Mae and Freddie Mac are both Government Sponsored Enterprises, or GSE's, and are charged with ensuring that capital is available to providers of multifamily housing, including manufactured housing. The GSE's are established, reliable providers of non-recourse financing for higher quality MHC's. Fannie Mae can offer fixed rates as long as 20 years, whereas Freddie Mac typically offers fixed rates of five, sever, or 10 years, with up to 30 year amortizations. Both GSE's have the ability to offer supplemental financing, or additional loan proceeds, to their own existing loans as the property's cash flow increases.

Life insurance companies continue to be an excellent source of non-recourse financing for MHC's, often beating out the GSE's on pricing and flexibility of lean structure. Since they are "on-book" or "portfolio" lenders, life companies can offer unique capabilities such as locking your interest rate at application, as well as various customized combinations of loan terms, amortizations, and prepayment options. Similar to the GSE's, life companies can offer forward rate lock options, allowing a borrower to lock in a loan commitment and fixed rate as far out as 12 months in advance of funding.

Both the GSE's and life insurance companies are offering interest-only payment periods, up to the full loan term for more moderate leverage.

An increasing number of commercial and regional banks are also targeting MHC lending. Bank loan features for MHC's include 30 year fully-amortizing loan terms, with low fixed rates for three to 10 years. Some banks can offer non-recourse financing on MHC's at lower leverage points.

CMBS/Conduit lenders provide a non-recourse financing option for owners with communities that would not be considered by the GSE's or life insurance companies. Another alternative is the emergence of several new Debt Funds. These are portfolio lenders that offer higher-leverage specialty and bridge financing, and are best suited for non-stabilized assets and short term turnaround transactions.

So which lender is right for your specific needs? Your selections depends on the profile, age, quality, and location of your community, as well as your loan feature preferences and financing objectives. The good news is that the number of "go-to" sources for MHC financing continues to deepen, as more lenders have taken note that MHC's provide a reliable, low-risk investment.

Zach Koucos is a Director at HFF and is responsible for originating commercial real estate financing throughout the U.S., with a specialized practice in MHC and RV Resort financing. Zach can be reached at: 858-812-2351 Phone; 858-552-7695 fax; and email: zkoucos@hfflp.com. He can also be reached on the web at hfflp.com.

Answer. Your confusion is understandable, because there are no black and white guidelines.  However, attached to this short article is a copy of a publication recently posted on the National Association of Realtors® website. It comes up at the top of the list on a Google search for “NAR disparate impact”, here.  It is simple, straightforward, and something you may wish to use.

If I were to list my rules of thumb[1] that I would follow if I were a manager or park owner, I’d distill them down to the following:

1. Subject to Nos. 8 and 9 below, don’t screen out persons solely for arrests;
2. You may distinguish between non-violent vs. violent convictions;
3. You may distinguish between misdemeanor, driving, and felony convictions;
4. You may distinguish between a single conviction vs. multiple convictions;
5. You may distinguish between a recent conviction and one long ago;
6. You may distinguish between persons who have a verifiable history of rehabilitation following a conviction (You should check personal references for this), vs. those with no such verifiable history;
7. Related to No. 6, you want to find out where the applicant has lived and worked during the years since the conviction.
8. Absent compelling mitigating circumstances, I would be very hesitant to admit into a community anyone with a conviction for a violent crime (i.e. any crime against the person, such as assault, etc.) within the last seven years; ditto for arson.
9. I would automatically reject anyone either under arrest, pending trial or plea, or a conviction anytime, based upon a sexual assault, sexual abuse, or any other sex related crime – regardless of whether they are on any public lists. The reason for this hardline position (as well as No. 8, above) is that as a part of your screening process, the law permits you to consider the safety of others in the community – that should always be your Number One rule of thumb.
10. You have the absolute right to automatically reject an applicant who has had a conviction for the illegal manufacture or distribution of a controlled substance.
     

In conclusion, always remember that if the applicant does not pass screening based upon any other valid criteria, then you do not have to go through the criminal background analysis at all. For example, if a person does not meet the financial requirements, or has a poor rental history, that is sufficient to reject them. Only if they qualify in the other screening areas, but have one or more criminal convictions, should you even need to make the above analysis.

[1] This is to say that I’m not “legally advising” you to follow my list. You may develop your own.

Generally speaking, this committee should consist of :

• Chairperson
• Training Coordinator
• Communications Coordinator
• Emergency supplies manager
• Residents with knowledge or experience in financial, insurance and legal issues

Depending on the size of your community, you may also want to appoint Block Captains, who will be responsible for maintaining data on their assigned neighborhoods and also be on call to warn residents in their area about an approaching emergency. If your community has a large number of pets, you may want to include someone on the committee to focus on animals.

There Are Two Major Roles For The Committee:

• Educating and training all residents about emergencies
• Actually coping with an emergency

As a manager or owner of a manufactured home community, provide the committee with excellent materials to use in doing their work, starting with this series of articles.

Committee Responsibilities:

The chairman should plan and hold regular meetings of the committee to review the work that is being done. He or she should be an active participant in other activities and lead by example. In case of an actual emergency, the chairman and the community manager will be the center of operations and communications. The chairman can assign duties to committee members, such as maintaining a list of community members with special needs or residents with special skills or expertise.

The training coordinator should be responsible for planning and holding actual evacuation or other types of disaster drills, depending on what potential problems face your community. For example, if the community has a central shelter that resients can use in case of a tornado, you should have a "mock" emergency alert once or twice a year. Encourage everyone to participate. This will improve their own safety, and it will also help you find out if there are any flaws in the plan, such as an area whose residents cannot reach the shelter quickly or a breakdown in the system used to alert residents.

These drills should also include practice with the notification system. Audio alarm systems should be tested regularly, and back-up systems should be practiced. For example, if a phone chain is being used, it should be tried out at least twice a year, to see how long it takes everyone in the community to be notified and to make sure that phone numbers are current.

Similarly, with a door-to-door system, practices will help determine how long it takes to notify everyone, so that adjustments can be made. In either system, make plans that would allow for some residents not being in the community when notification is needed. For example, are some homes occupied for only part of the year? Would some residents be at work when you need to notify them?

The communications specialist is responsible for community education. Regular communication with residents through a newsletter or other publication is a good idea. In addition to letting residents know about the community's disaster plan, encourage families to develop their own disaster plans. Although not required by law, disaster plans should be provided to new residents as part of the move-in processing.

The emergency supplies person will work with the community management to establish a storage area for a supply of food, water, medical supplies, communications equipment and other items that would be needed in case a disaster strikes the community, and help cannot reach you right away.

The emergency supplies should be kept in an area that is unlikely to be damaged by any type of disaster. The managers should check these supplies regularly to make sure that they are usable and up-to-date. As part of their individual family disaster plan, residents should maintain their own emergency supplies, and a way to carry the supplies (a duffel bag or suitcase) in case an evacuation is required.

Answer: First, please understand that Oregon law does not directly deal with this - and neither is it addressed in most rental/lease agreements, including MHCO's. So my responses are based upon my opinion alone. Until an appellate court rules on these issues - which is unlikely, since most such cases are never appealed - the best we can do is speculate. My answers are in italics below.

1. Do we write a new lease for the remaining resident or keep the old lease with both residents on the lease? I think I would prefer to see a new lease signed by the remaining resident - even if title remains in both their names. That way, the ex-spouse cannot argue that he or she has a right of occupancy a year or two down the road, when they patch things up, or one moves out and the other moves back in. A new lease would require than any new occupants be qualified all over again. Note that if the lease is changed into the name of the remaining resident, the ex-spouse would certainly have no liability for space rent going forward.

2. Can we legally keep the resident that moved out, responsible for the lease after a divorce and separation of assets? Technically, yes. Neither the divorce decree nor the parties themselves can - without your consent - alter their joint legal duties under a lease they both signed. [This situation is not dissimilar to spouses jointly signing their mortgage and then divorcing; they both remain liable under the mortgage, even though one vacates the home.] The best a divorce court can do is to make the occupying ex-spouse primarily responsible for the rent and give indemnity rights to the non-occupying ex-spouse in case she or he end up having to pay for unpaid rent that should have been paid by the occupying ex-spouse.

3. Do we rescreen the remaining resident to see if he/she qualifies on their own? I have a visceral reaction to doing so - if they did not pass the credit requirements, then what? Deny them the right to stay in the community in which they have lived for a number of years? Kick them out without waiting to see whether they can - or will make the payments? That is like punishing the remaining ex-spouse for being divorced. Remember, the occupying ex-spouse will likely be the custodial parent, if children are involved. The non-custodial parent will likely have some child support obligation, which would then make the custodial parent's individual credit score less important. The same may be said even if there are no children; there may be a spousal support obligation by the non-occupying ex-spouse. It seems to me that it will become clear soon enough, whether the occupying ex-spouse can or will make the space rental payments, independent of what their current credit score may be.

4. If we do rescreen the remaining resident and he/she fails the credit or criminal background, what are our options? Before you re-screen, re-read my answer to Question No. 3 above. If the lease agreement or rules do not address the possibility of spouses divorcing - and I have never seen any that do - the ultimate decision on whether you may re-screen could be left up to a judge. I submit that judges do not like to evict people out of their homes unless there is a compelling reason to do so. A case in which a resident is being evicted for no reason other than that they no longer meet the credit criteria - with no evidence that they are in default under the lease or rules - would be a very difficult sell to most judges. It is unlikely that you would prevail. I compare this situation to requiring a resident to be re-screened upon a job loss or death of a spouse. In cases of such unplanned events occurring after residents have been approved, I suggest that you let the situation play itself out. If a resident cannot afford to pay the space rent, you will then have sufficient cause to evict. But to try to evict because you doubt the ability of the resident to pay rent in the future, is premature and likely to fail.

5. Who owns the security deposit or pre-paid rent? That depends upon whether you have the remaining resident sign a new lease. If a new lease is signed, you could issue a refund check to both of them under the first least, and require the remaining occupant to pay a new deposit under the new lease. It would be preferable, however, to see if they could agree to authorize you to leave the existing deposit in place, but permitting you to refund it, if appropriate, to the remaining occupant at the end of his/her tenancy. If no agreement can be reached, simply hold the deposit until expiration of the tenancy by the occupying non-spouse, and then, if a refund is in order, make the check out to both of them.