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joe stegmayer & j.c. strutzel recipients of prestigious awards

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HAPPY NEW YEAR!<br />

Welcome to 2012 and CMHI’s<br />

75 th Anniversary!<br />

Seventy-five years ago we joined<br />

forces as the Trailer Coach Association<br />

(TCA). Since then we have transitioned<br />

from TCA to the Western Manufactured<br />

Housing Institute to California<br />

Manufactured Housing Institute – our<br />

nation’s oldest association representing<br />

all segments <strong>of</strong> our industry.<br />

Representing all segments <strong>of</strong> the<br />

industry has, at times, been a challenge<br />

but it has definitely been my experience<br />

that working together produces a<br />

greater total effect than that produced<br />

by the sum <strong>of</strong> individual efforts………<br />

synergy works!<br />

As we head into the New Year we<br />

need to keep in mind that if an issue<br />

is bad for one segment <strong>of</strong> our industry<br />

that means it is probably bad for our<br />

customers and that means it is bad for<br />

all <strong>of</strong> us. Here is a case in point…..<br />

A December 16, 2011 article posted<br />

on mydesert.com provided initial detail<br />

on a dispute concerning permissible<br />

fees that can be charged for a permit to<br />

install a manufactured home in a M/H<br />

park.<br />

The City <strong>of</strong> Desert Hot Springs,<br />

relying on the California Mitigation<br />

Fee Act (MFA) passed an ordinance<br />

which serves as the basis for<br />

imposing a development impact fee<br />

(DIF) <strong>of</strong> approximately $6,970 for<br />

a permit to install a manufactured<br />

home in a developed M/H park. As<br />

a consequence families wishing to<br />

purchase manufactured homes to be<br />

installed on the 78 vacant lots in Palm<br />

Vista Estates would be faced with<br />

an aggregate fee <strong>of</strong> approximately<br />

$543,660. If, as has been asserted, the<br />

city is actually charging up to $9,200<br />

per permit to install a manufactured<br />

home, the aggregate fee could be as<br />

high as $717,600.<br />

The owner <strong>of</strong> Palm Vista Estates and<br />

the California Department <strong>of</strong> Housing<br />

and Community Development (HCD)<br />

have challenged the applicability <strong>of</strong><br />

the DIF to manufactured homes to<br />

be installed in already permitted M/H<br />

parks. As posted in the WMA Newsline<br />

dated December 12, 2011:<br />

The following information is<br />

provided by Brad Harward,<br />

Manufactured Housing Programs<br />

Manager with the Department<br />

<strong>of</strong> Housing and Community<br />

Development (HCD) - Under the<br />

authority <strong>of</strong> the Mobilehome Parks<br />

Act (MPA), a city or county may<br />

assume enforcement responsibility<br />

from the State for the mobilehome<br />

parks within their jurisdiction. Such<br />

governmental agencies are then<br />

defined as a Local Enforcement<br />

Agency or LEA and assume the<br />

mandate to properly enforce the<br />

MPA.<br />

HCD staff has learned that some<br />

<strong>of</strong> the LEAs have been charging<br />

in excess <strong>of</strong> the HCD-mandated<br />

$196 permit fee for manufactured<br />

home installations. The overcharges<br />

range from several hundred to<br />

many thousands <strong>of</strong> dollars. These<br />

overcharges are occurring because<br />

the LEAs are calculating fees in<br />

excess <strong>of</strong> the pre-established<br />

MPA permit fees or by adding<br />

local mitigation fees. According<br />

to California State law, only a new<br />

mobilehome lot may be assessed<br />

mitigation fees and those fees are<br />

assessed at the time the park or lot<br />

is constructed, not when a home is<br />

installed on an existing lot. HCD is<br />

looking into the practices <strong>of</strong> at least<br />

four LEAs regarding the assessment<br />

<strong>of</strong> fees in excess <strong>of</strong> those permitted<br />

by the MPA for installation <strong>of</strong> the<br />

Page 6<br />

manufactured homes inside a park.<br />

The MPA, California Health and<br />

Safety Code Sections 18200 through<br />

18700, and its adopted regulations<br />

contained in the California Code<br />

<strong>of</strong> Regulations, Title 25, Chapter<br />

2 provides for the enforcement<br />

<strong>of</strong> mobilehome parks, including<br />

manufactured home installations and<br />

fees. The fees set forth are the only<br />

fees that may lawfully be assessed<br />

for the installation <strong>of</strong> a manufactured<br />

home inside a park. The current<br />

cost <strong>of</strong> a permit and inspection for<br />

the installation <strong>of</strong> a manufactured<br />

home in a park is $196 for the first<br />

hour and $41 for the second and<br />

subsequent half hour thereafter. An<br />

LEA is required to enforce the MPA<br />

and has no authority to exceed the<br />

statutorily mandated permit fees.<br />

The fee set by the regulations<br />

<strong>of</strong> the installation, or set-up <strong>of</strong> a<br />

manufactured home, includes permit<br />

issuance, travel, administrative time<br />

and the first hour <strong>of</strong> inspection.<br />

continued on page 7<br />

EXPRESS<br />

ESCROW<br />

COMPANY<br />

EXPERTS IN PERFECTING TITLE<br />

FOR PARK-OWNED HOMES<br />

California’s leading authority on<br />

technical issues concerning<br />

manufactured housing<br />

title and escrow<br />

Mobile/manufactured home and<br />

mobilehome park sales and<br />

refinance escrows<br />

Statewide service<br />

7812 EDINGER AVE. SUITE 300<br />

HUNTINGTON BEACH CA 92647<br />

(800) 669-6925 FAX (714) 848-9174<br />

info@ExpressEscrow.com

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