Item B: Ordinance Concerning Manufactured Dwelling Park Regulations

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buildable parcels all over the City are increasingly attractive for redevelopment. Manufactured home parks occupy some of these flat, easy-to-build parcels. Risk to park residents has become a national issue. Park owners may wish to retire or take financial advantage of their investment when offered an opportunity. In some cases, tenants may wish to collectively purchase the park in which they live. However, legal remedies at the state level are needed to facilitate the financing options. Furthermore, there are examples in Oregon and elsewhere where the sale price far exceeded the ability of tenants to purchase the park themselves. If a park closes, homeowners can be faced with a bleak situation. They may not have any place to move their home to, as new parks are rarely created. Or, tenants may discover that their home can not be moved due to its age or condition. Sometimes these home owners have been required by their park to invest in expensive “park packages” that include paying for a driveway, a patio, or a car port. If the park closes, they may be left with a debt in addition to a devalued home. Two parks have closed under the City’s current ordinance. No existing Eugene parks have indicated any plans to close. However, many tenants are concerned about their future and have followed this issue closely. The Housing Policy Board (HPB) examined this issue and appointed a committee to study the problem and make recommendations. City Councilor Jennifer Solomon chaired the committee. The committee members included a park owner, a park manager, tenants, and the HPB Chair, John Van Landingham. The group met eight times during a seven-month period. They listened to public testimony and debated emotionally charged issues. The HPB’s recommendations attempted to acknowledge and balance the rights of property owners and the concerns of tenants. The proposed amendments, which would apply Eugene’s ordinance to all tenants who own their home, are summarized in Attachment B. Attachment B also shows a comparison of these amendments and HB 2735 and SB 17A, which are currently being considered by the State Legislature. The ability of the City to act is impacted by the Oregon Legislature, which is considering bills that were drafted by a coalition including park owners and tenant advocates. The same bill was introduced in both the Senate (SB 17) and the House (HB 2735). The coalition’s bill provides statewide protections but would also preempt local jurisdictions from passing their own ordinances. One amended version of the bill would grandfather in jurisdictions that adopt legislation that takes effect prior to October 1, 2007. The Oregon Legislature is likely to complete its session prior to the scheduled City Council action. RELATED CITY POLICIES The City’s 2007 Legislative Policies, V.B2 supports legislation that provides assistance to residents when manufactured home parks are closed. The City currently has an ordinance in place. This action would amend the ordinance so that it is more responsive to current issues and needs. Two of Eugene’s Growth Management Policies apply to manufactured home park closures: Policy 7: Provide for a greater variety of housing types. Policy 9: Mitigate the impacts of new and/or higher density housing, in-fill, and redevelopment on neighborhoods through design standards, open space and housing maintenance programs, and continuing historic preservation and neighborhood planning programs. L:\CMO\2007 Council Agendas\M070611\S070611B.doc