HB3042ham001 95TH GENERAL ASSEMBLY

Rep. Ruth Munson

Filed: 4/19/2007

09500HB3042ham001 LRB095 06588 AJO 35175 a

AMENDMENT TO HOUSE BILL 3042

AMENDMENT NO. ______. Amend House Bill 3042 by replacing everything after the enacting clause with the following:

"Section 5. The Mobile Home Landlord and Tenant Rights Act is amended by adding Section 8.5 as follows:

(765 ILCS 745/8.5 new)

Sec. 8.5. Distressed mobile home park.

(a) If a park owner offers to renew a lease or to lease a mobile home lot and the proposed rent for the lot, the circumstances combine to qualify the park as a distressed mobile home park, and the tenant does not agree to pay the rent set by the park owner, the prospective tenant or existing tenant may petition the board of review to establish the rent. The board of review created pursuant to the Property Tax Code which has jurisdiction of the territory in which the mobile home lot is located shall decide the petition.

(b) A distressed mobile home park has 2 or more of the following characteristics:

(1) The rent set by the park owner for the mobile home lot shall not be more than the market rate rent, increased by a percentage that is not more than 1% greater than the percentage increase in the Consumer Price Index during the 12-month calendar year preceding the year in which the new rent is effective. As used in this Section, "Consumer Price Index" means the Consumer Price Index for All Urban Consumers for all items published by the United States Department of Labor, and "market rate rent" means the rent paid by tenants for mobile home lots in similarly situated mobile home parks in the nearby geographic area during the 12-month calendar year preceding the year in which the new rent is effective.

(2) The rent set by the park owner for the mobile home lot is an amount that is more than the rent for that lot in the preceding year and the amount of the rent is more than 10% above the average rent of the highest 20% of rents for similarly situated lots in the park.

(3) The occupancy rate in the mobile home park at the time that the rent is set by the park owner for the mobile home lot is lower, by 15% or more, than the occupancy rate in the mobile home park 3 years earlier.

(c) A tenant or a prospective tenant may file a petition with the board of review requesting that the board of review declare the mobile home park to be a distressed mobile home park. The petition shall state the basis for the request. The park owner may respond to the petition by filing a response with the board of review within 21 days after receiving the petition. The petition and any response shall be sent by United States certified or registered mail, return receipt requested, to the other party. The board of review shall determine whether the mobile home park is a distressed mobile home park and, if so, shall determine the amount of rent for the lot. The decision of the board of review shall be in writing and shall be issued to the petitioner and the park owner. If the park is a distressed mobile home park and the petitioner is a prospective tenant or an existing tenant who seeks to lease a different mobile home lot in the park, the rent shall not be more than an amount that is not more than 10% above the average rent of the highest 20% of rents for similarly situated lots in the park. If the park is a distressed mobile home park and the petitioner is renewing the lease for a lot in the park, the rent shall not be more than the market rate rent, increased by a percentage that is not more than 1% greater than the percentage increase in the Consumer Price Index during the 12-month calendar year preceding the year in which the new rent is effective. The amount of rent determined by the board of review shall be binding for a 2-year period.

(d) A tenant must file a petition with the board of review not later than 60 days after receipt of a lease renewal notice that states the amount of rent to be paid. A prospective tenant or a tenant who seeks to lease a different lot in the park must file a petition with the board of review not later than 60 days after receipt of the proposed lease. If the petition is still pending before the board of review beyond the term of the existing lease, the tenant shall hold over on a month-to-month lease under the terms of the existing lease and the park owner is prohibited from taking any action inconsistent with the existing lease.

(e) The park owner has the right to be represented by an attorney in a proceeding before the board of review. The tenant has the right to be represented by an attorney or by a tenant association in a proceeding before the board of review.

(f) The park owner or tenant may seek court review of the decision of the board of review in accordance with the Administrative Review Law.

(g) A park owner whose park is declared a distressed mobile home park by a board of review may petition the board of review for a determination that the park is not a distressed mobile home park for the reason that the conditions which gave rise to the distressed mobile home park determination no longer exist.".