A.B. 439 Assembly Bill No. 439--Committee on Commerce April 3, 1995 _____________ Referred to Committee on Commerce SUMMARY--Revises various provisions relating to mobile home parks. (BDR 10-1759) FISCAL NOTE: Effect on Local Government: No. Effect on the State or on Industrial Insurance: Yes. EXPLANATION--Matter in italics is new; matter in bra ckets [ ] is material to be omitted. AN ACT relating to mobile home parks; requiring that an application for assistance from the trust fund for low-income owners of mobile homes include certain information; authorizing the manufactured housing division of the department of business and industry to recover money from the trust fund that was incorrectly paid to a recipient; requiring the manufactured housing division to provide assistance from the trust fund to each person whose name is included on a list of persons who are eligible for assistance; prohibiting a landlord from increasing the rent or other charge for a tenancy which is month to month under certain circumstances; revising the requirements for eligibility of persons requesting assistance from the trust fund; providing a penalty; and providing other matters properly relating thereto. THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. Chapter 118B of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 7, inclusive, of this act. Sec. 2. \As used in NRS 118B.213, 118B.215 and 118B.218 and sections 2 to 7, inclusive, of this act, "trust fund" means the trust fund for low-income owners of mobile homes created pursuant to NRS 118B.215.\\ Sec. 3. \Each application for assistance from the trust fund must include: 1. A statement that any applicant who fails to report: (a) Information required to be included in the application which he knew at the time he signed the application; or (b) Any change in his eligibility pursuant to NRS 118B.218, may be personally liable to the division for any assistance incorrectly paid to him. 2. The provisions of section 5 of this act. \\Sec. 4. \The division may recover from a person who receives assistance from the trust fund an amount not to exceed the assistance incorrectly paid to him if he failed to report: 1. Information required to be included in the application which he knew at the time he signed the application; or 2. Any change in his eligibility pursuant to NRS 118B.218. \\Sec. 5. \1. Any person who knowingly, by any false pretense, false or misleading statement, impersonation or misrepresentation, obtains or attempts to obtain with the intent to cheat or defraud the division assistance from the trust fund in an amount of $100 or more shall be punished by imprisonment in the state prison for not less than 1 year nor more than 10 years. 2. In addition to the penalty prescribed in subsection 1, a person who violates the provisions of subsection 1 is personally liable for: (a) Any assistance incorrectly paid to that person; (b) The costs of any investigation conducted by the division to determine whether that person received assistance incorrectly; (c) Court costs; (d) Attorney's fees; and (e) A civil penalty of not more than $1,000. 3. The division may bring an action to recover a civil penalty imposed pursuant to subsection 2 and shall deposit any money recovered with the state treasurer for credit to the trust fund. 4. For the purposes of subsection 1, whenever a recipient of assistance from the trust fund receives an overpayment of assistance for the third time and the overpayments have resulted from a false statement or representation by the recipient or from the failure of the recipient to notify the division of any change in his eligibility pursuant to NRS 118B.218, a rebuttable presumption arises that the payment was fraudulently received. \\Sec. 6. \1. The division shall notify an applicant for or recipient of assistance from the trust fund of its decision to deny or terminate assistance by mailing to the applicant or recipient a notice of its decision by certified mail, return receipt requested, to the last known address of the applicant or recipient. The notice must: (a) Specify the reasons for the denial or termination of assistance; and (b) Contain a statement informing the applicant or recipient that a hearing will be provided if a written request for a hearing is filed by the applicant or recipient within 20 days after he receives the notice. 2. An applicant or recipient may, within 20 days after he receives notice pursuant to subsection 1, file a written request for a hearing with the division. If the division does not receive a request for a hearing within 20 days after the applicant or recipient receives the notice pursuant to subsection 1, the division's decision becomes final and is not subject to judicial review. 3. If an applicant for or recipient of assistance requests a hearing within 20 days after he receives notice pursuant to subsection 1, a hearing must be conducted before a hearing officer appointed by the director of the department of business and industry or a person designated by him within 60 days after receipt of the request. The division shall notify the applicant or recipient of the time, place and date of the hearing. An applicant whose application for assistance has been denied has the burden of proving that he is entitled to receive assistance. The division has the burden of proving the grounds for terminating the assistance provided to a recipient. 4. The hearing officer shall issue a decision within 30 days after the hearing and mail a copy of the decision to the applicant or recipient. The decision of the hearing officer is a final decision for purposes of judicial review. \\Sec. 7. \1. At least twice each year, the division shall: (a) Prepare a list of persons who are eligible to receive assistance from the trust fund; and (b) Determine whether the amount of money in the trust fund is sufficient to provide assistance to each person whose name appears on the list. 2. If the division determines that the amount of money in the trust fund is not sufficient to provide assistance to each person whose name appears on the list, the division shall determine which of those eligible persons will receive assistance from the trust fund. 3. The division shall prepare a list of the persons who are eligible to receive assistance from the trust fund but do not receive assistance because the amount of money in the trust fund is insufficient to provide assistance to those persons. The division shall ensure that the persons whose names appear on that list receive assistance from the trust fund as soon as practicable after the money to provide that assistance becomes available. 4. Each person who receives assistance from the trust fund must receive a percentage of his rent which is equal to the percentage of rent received by every other person who receives assistance from the trust fund. \\Sec. 8. NRS 118B.150 is hereby amended to read as follows: 118B.150 The landlord or his agent or employee shall not: 1. [Increase] \If the tenancy is from month to month, increase\\ rent or additional charges unless: (a) The rental increase applies in a uniform manner to mobile homes or lots of the same size, except that a discount may be selectively given to persons who are handicapped or who are 62 years of age or older, and any increase in additional charges for special services is the same amount for each tenant using the special service; and (b) Written notice advising a tenant of the increase is received by the tenant 90 days in advance of the first payment to be increased and written notice of the increase is given to prospective tenants before commencement of their tenancy. 2. Require a tenant to pay his rent by check. 3. Prohibit or require fees or deposits for any meetings held in the park's community or recreational facility by the tenants or occupants of any mobile home or recreational vehicle in the park to discuss the park's affairs, or any political or social meeting sponsored by a tenant, if the meetings are held at reasonable hours and when the facility is not otherwise in use, or prohibit the distribution of notices of such meetings. 4. Interrupt, with the intent to terminate occupancy, any utility service furnished the tenant except for nonpayment of utility charges when due. Any landlord who violates this subsection is liable to the tenant for actual damages. 5. Prohibit a tenant from having guests, but he may require the tenant to register the guest within 48 hours after his arrival, Sundays and holidays excluded, and if the park is a secured park, a guest may be required to register upon entering and leaving. 6. Charge a fee for a guest who does not stay with the tenant for more than a total of 60 days in a calendar year. The tenant of a mobile home lot who is living alone may allow one other person to live in his home without paying any additional charge or fee. No agreement between a tenant and his guest alters or varies the terms of the rental contract between the tenant and the landlord and the guest is subject to the rules and regulations of the landlord. 7. Prohibit any tenant from soliciting membership in any association which is formed by the tenants who live in the park. As used in this subsection, "solicit" means to make an oral or written request for membership or the payment of dues or to distribute, circulate or post a notice for payment of those dues. 8. Prohibit a public officer or candidate for public office from walking through the park to talk with the tenants. Sec. 9. NRS 118B.190 is hereby amended to read as follows: 118B.190 1. An oral or written agreement between a landlord and tenant for the rental or lease of a mobile home lot in a mobile home park in this state, or for the rental or lease of a lot for a recreational vehicle in an area of a mobile home park in this state other than an area designated as a recreational vehicle lot pursuant to the provisions of subsection 6 of NRS 40.215, must not be terminated by the landlord except upon notice in writing to the tenant served in the manner provided in NRS 40.280: (a) Five days in advance if the termination is because the conduct of the tenant constitutes a nuisance as described in subsection 6 of NRS 118B.200. (b) Ten days in advance if the termination is because of failure of the tenant to pay rent, utility charges or reasonable service fees. (c) One hundred and eighty days in advance if the termination is because of a change in the use of the land by the landlord pursuant to NRS 118B.180. (d) Forty-five days in advance if the termination is for any other reason. 2. The landlord shall specify in the notice the reason for the termination of the agreement. The reason relied upon for the termination must be set forth with specific facts so that the date, place and circumstances concerning the reason for the termination can be determined. The termination must be in accordance with the provisions of NRS 118B.200 and reference alone to a provision of that section does not constitute sufficient specificity [under] \pursuant to\\ this subsection. 3. The service of such a notice does not enhance the landlord's right, if any, to enter the tenant's mobile home. Except in an emergency, the landlord shall not enter the mobile home of the tenant served with such a notice without the tenant's permission or a court order allowing the entry. 4. If a tenant remains in possession of the mobile home lot [with the landlord's consent] after expiration of the term of the rental agreement, the tenancy is from week to week in the case of a tenant who pays weekly rent, and in all other cases the tenancy is from month to month. The tenant's continued occupancy is on the same terms and conditions as were contained in the rental agreement unless specifically agreed otherwise in writing. 5. The landlord and tenant may agree to a specific date for termination of the agreement. If any provision of this chapter specifies a period of notice which is longer than the period of a particular tenancy, the required length of the period of notice is controlling. Sec. 10. NRS 118B.213 is hereby amended to read as follows: 118B.213 1. In addition to the fee established pursuant to NRS 118B.185, except as otherwise provided in subsection 3, the owner of a mobile home park shall pay to the division an annual fee of $12 for each lot within the park \.\\ [that was occupied at any time during the year.] The owner shall not impose a fee or surcharge to recover from his tenants the costs resulting from the annual fee per lot paid pursuant to this subsection, or any related penalty. 2. The administrator shall notify the owner of each mobile home park in [the] \this\\ state on or before July 1 of each year of the fee imposed pursuant to this section. 3. If on May 15 of that year the balance in the trust fund [for low-income owners of mobile homes] which is attributable to deposits pursuant to this section exceeds $1,000,000, the administrator shall not charge or collect a fee pursuant to this section. [He]\ The administrator\\ shall resume the collection in any year when the balance on May 15 is less than $750,000. The administrator shall request the state treasurer to inform him of the applicable balance of the fund on May 15 of each year. 4. If an owner fails to pay the fee within 30 days after receiving written notice from the administrator to do so, a penalty of 50 percent of the amount of the fee must be added. 5. All fees and penalties collected by the division pursuant to this section must be deposited in the state treasury for credit to the trust fund\ .\\ [for low-income owners of mobile homes created pursuant to NRS 118B.215.] Sec. 11. NRS 118B.215 is hereby amended to read as follows: 118B.215 1. There is hereby created in the state treasury the trust fund for low-income owners of mobile homes, to be administered by the division. All money received for the use of the\ trust\\ fund pursuant to NRS 118B.213 or from any other source must be deposited in the\ trust\\ fund. 2. The interest and income earned on the money in the\ trust\\ fund, after deducting any applicable charges, must be credited to the\ trust\\ fund. All claims against the\ trust\\ fund must be paid as other claims against the state are paid. 3. The money in the\ trust\\ fund may be used only to pay necessary administrative costs and to assist eligible persons by supplementing their monthly rent for the mobile home lot on which their mobile home is located. To be eligible for assistance from the\ trust\\ fund a person must: (a) [Have]\ Except as otherwise provided in this subsection, have\\ been a tenant in [a] \the same\\ mobile home park in this state for at least 1 year immediately preceding his application for assistance; (b) Own the mobile home which is subject to the tenancy; (c) Have a monthly \household\\ income which is at or below [$750 or the] \: (1) The\\ federally designated level signifying poverty [,] \or $750,\\ whichever is greater [; and] \, if the person is the sole occupant of the mobile home; or (2) The federally designated level signifying poverty or $1,125, whichever is greater, if the person is not the sole occupant of the mobile home;\\ (d) Be a tenant in a mobile home park and maintain continuous tenancy in that park during the duration of the supplemental assistance [.] \; and (e) Not have assets whose value is more than $10,000, excluding the value of the mobile home which is subject to the tenancy, the contents of that mobile home and one motor vehicle. A person who has been a tenant of a mobile home park in this state for at least 1 year, but has not been a tenant of the mobile home park in which he resides at the time he applies for assistance for at least 1 year, is eligible for assistance from the trust fund if he moved to the mobile home park in which he resides at the time of his application because he was unable to pay the rent at the mobile home park from which he moved or because that park was closed.\\ 4. The [division shall administer the provisions of this section and may adopt regulations necessary for that purpose. The division shall]\ administrator shall\\ adopt regulations establishing\ : (a) The\\ annual reporting requirements for persons receiving assistance pursuant to this section. The regulations must require that each such person provide the division with a written acknowledgment of his continued eligibility for assistance [. 5. The]\ ; and (b) The\\ maximum amount\ of assistance\\ which may be distributed to a person to supplement his monthly rent pursuant to this section \.\\ [is an amount equal to the difference between $150 and the amount of rent charged for the lot, but in no case may the supplement exceed the average monthly rent charged per mobile home lot in the county in which the mobile home is located.] \5. As used in this section, "monthly household income" means the combined monthly incomes of the occupants of a mobile home which is subject to the tenancy for which assistance from the trust fund is requested.\\ -30-