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| | 103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB1047 Introduced , by Rep. Mary E. Flowers SYNOPSIS AS INTRODUCED:
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| 35 ILCS 515/3 | from Ch. 120, par. 1203 | 35 ILCS 515/6.1 | from Ch. 120, par. 1206.1 | 765 ILCS 745/8.6 new | | 765 ILCS 745/15.1 new | |
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Amends the Mobile Home Local Services Tax Act. Provides that the tax imposed under the Act on a mobile home or manufactured home that (i) is located in a mobile home park that experiences a change in ownership on or after the effective date of the amendatory Act and (ii) is occupied as a primary residence by an eligible senior citizen may not exceed the tax imposed under the Act on that mobile home or manufactured home for the taxable year in which the change in ownership takes place. Amends the Mobile Home Landlord and Tenant Rights Act. Provides for a right of first refusal for tenants in the case of a sale or lease of a mobile home park. Adds provisions concerning tenants who are 65 years of age or older when there is a change in ownership of the mobile home park.
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| | A BILL FOR |
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| 1 | | AN ACT concerning mobile homes.
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| 2 | | Be it enacted by the People of the State of Illinois,
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| 3 | | represented in the General Assembly:
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| 4 | | Section 5. The Mobile Home Local Services Tax Act is |
| 5 | | amended by changing Sections 3 and 6.1 as follows:
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| 6 | | (35 ILCS 515/3) (from Ch. 120, par. 1203)
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| 7 | | Sec. 3. Rate of tax; eligible senior citizens. |
| 8 | | (a) Mobile homes in addition to such taxes as provided in |
| 9 | | the "Use Tax Act"
shall be subject to the following privilege |
| 10 | | tax only, and to no ad
valorem tax. Except as provided in |
| 11 | | Section 7 and in those cases where the owner notifies the local |
| 12 | | assessing authority, by sworn affidavit, that the mobile home |
| 13 | | is uninhabited and will no longer be used for human |
| 14 | | habitation, the owner of each
mobile home shall pay to the |
| 15 | | county treasurer of the county in which such
mobile home is |
| 16 | | located an annual tax to be
computed at the rate shown in the |
| 17 | | table below:
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| 18 | | TAX YEAR FOLLOWING MODEL YEAR TAX PER SQUARE FOOT
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| 19 | | OF MOBILE HOME
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| 20 | | model year and 1st and 2nd
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| 21 | | year following: 15¢
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| 22 | | 3rd, 4th and 5th years following
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| 23 | | model year: 13.5¢
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| 1 | | 6th, 7th and 8th years following
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| 2 | | model year: 12¢
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| 3 | | 9th, 10th and 11th years following
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| 4 | | model year: 10.5¢
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| 5 | | 12th, 13th and 14th years following
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| 6 | | model year: 9¢
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| 7 | | 15th year following model year
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| 8 | | and subsequent years: 7.5¢
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| 9 | | For purposes of this Act, the square-footage shall be |
| 10 | | based upon the
outside dimensions of the mobile home excluding |
| 11 | | the length of the tongue
and hitch. The owner of a mobile home |
| 12 | | on January 1 of any year shall be
liable for the tax of that |
| 13 | | year,
except that the owner of a mobile home on July 1, 1976, |
| 14 | | shall be liable
for the tax for the period of
July 1, 1976, to |
| 15 | | December 31, 1976.
This is not a limitation on any home rule |
| 16 | | county.
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| 17 | | (b) With respect to any mobile home or manufactured home |
| 18 | | that (i) is located in a mobile home park that experiences a |
| 19 | | change in ownership on or after the effective date of this |
| 20 | | amendatory Act of the 103rd General Assembly and (ii) is |
| 21 | | occupied as a principal place of residence by an eligible |
| 22 | | senior citizen, for tax years beginning on or after the date |
| 23 | | when the mobile home park experiences a change in ownership |
| 24 | | and until the first taxable year to occur on or after the date |
| 25 | | when the mobile home or manufactured home is no longer |
| 26 | | occupied as a principal place of residence by an eligible |
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| 1 | | senior citizen, the tax imposed under this Act on that mobile |
| 2 | | home or manufactured home may not exceed the tax imposed under |
| 3 | | this Act on that mobile home or manufactured home for the |
| 4 | | taxable year in which the change in ownership takes place. |
| 5 | | As used in this Section, "eligible senior citizen" means a |
| 6 | | person who (i) is 65 years of age or older during the taxable |
| 7 | | year in which the change in ownership of the mobile home park |
| 8 | | takes place and (ii) is liable for the payment of the tax under |
| 9 | | this Act on the subject mobile home or manufactured home. |
| 10 | | (Source: P.A. 94-606, eff. 8-16-05.)
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| 11 | | (35 ILCS 515/6.1) (from Ch. 120, par. 1206.1)
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| 12 | | Sec. 6.1.
If a tax bill is in error as to the square |
| 13 | | footage of the
mobile home, or as to the rate of tax, or the |
| 14 | | amount of the tax liability, the owner may file within 6 months
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| 15 | | following receipt of the bill an affidavit with the county |
| 16 | | board of
assessors, supervisor of assessments or county |
| 17 | | assessor setting forth such
error. If the tax bill does not |
| 18 | | show the name of the correct owner, the
person whose name |
| 19 | | appears as owner on the bill may file an affidavit with
the |
| 20 | | county board of assessors, supervisor of assessments or county |
| 21 | | assessor
so stating and identifying the correct owner, if |
| 22 | | known. Upon the filing of
an affidavit as provided in this |
| 23 | | Section, the county clerk or, in counties
in which a county |
| 24 | | assessor is elected pursuant to Section 3-45 of the
Property |
| 25 | | Tax Code, the county assessor
shall issue a corrected bill and |
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| 1 | | shall so indicate on his records.
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| 2 | | (Source: P.A. 88-670, eff. 12-2-94.)
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| 3 | | Section 10. The Mobile Home Landlord and Tenant Rights Act |
| 4 | | is amended by adding Sections 8.6 and 15.1 and 15.2 as follows:
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| 5 | | (765 ILCS 745/8.6 new) |
| 6 | | Sec. 8.6. Sale of a mobile home park; right of first |
| 7 | | refusal. |
| 8 | | (a) A mobile home park owner shall give notice to each |
| 9 | | tenant of the mobile home park if the park owner intends to |
| 10 | | sell or lease all or part of the land on which the mobile home |
| 11 | | park is located for any purpose. The notice under this |
| 12 | | subsection shall be
mailed by certified mail, and a |
| 13 | | simultaneous copy shall be sent by certified mail to the |
| 14 | | authority having jurisdiction, within 14 days after the date |
| 15 | | on which any advertisement, listing, or public notice is first
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| 16 | | made that the land is for sale or lease and, in any event, at |
| 17 | | least 45 days before the sale or lease occurs. The notice shall |
| 18 | | also include notice of tenants' rights under this Act. This |
| 19 | | subsection does not apply to the lease of a single lot in a |
| 20 | | mobile home park to an individual tenant or tenants. |
| 21 | | (b) Before a mobile home park may be sold or leased for any |
| 22 | | purpose that would result in a change in use of the mobile home |
| 23 | | park or
result in the property no longer being used as a mobile |
| 24 | | home park, the park owner shall give notice to each tenant of |
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| 1 | | the mobile home park, by certified mail, of any bona fide offer |
| 2 | | for sale or lease that the owner intends to accept. The mobile |
| 3 | | home park owner shall also send a simultaneous copy of the |
| 4 | | notice by certified mail to the authority having jurisdiction. |
| 5 | | Before any other sale or lease of mobile home park property, |
| 6 | | the owner shall give each tenant and the authority having |
| 7 | | jurisdiction notice of the offer only if more than 50% of the |
| 8 | | tenants residing
in the mobile home park notify the mobile |
| 9 | | home park owner in writing that they would like to receive |
| 10 | | information about the proposed sale or lease. Any notice of |
| 11 | | the offer required to be given under this
subsection shall |
| 12 | | include the price and the terms and conditions of the offer. |
| 13 | | The price shall be calculated as a single lump sum amount that |
| 14 | | reflects (i) the total purchase price, (ii) the present value |
| 15 | | of any installment
payments offered in lieu of cash payment or |
| 16 | | any promissory notes offered in lieu of cash payment, or (iii) |
| 17 | | in the case of an offer to rent, the capitalized
value of the |
| 18 | | annual rent. This subsection does not apply to the lease of a |
| 19 | | single lot in a mobile home park to an individual tenant or |
| 20 | | tenants. |
| 21 | | (c) In the case of a third party bona
fide offer to |
| 22 | | purchase that the park owner intends to accept, a group or |
| 23 | | association of tenants representing at least 51% of the |
| 24 | | tenants residing in the
mobile home park who are entitled to |
| 25 | | notice under paragraph (b) shall have the right to purchase |
| 26 | | the subject property for the purpose of continuing the use of |
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| 1 | | the property as a mobile home park. In the case of a third |
| 2 | | party bona fide offer to lease that the
owner intends to |
| 3 | | accept, a group or association of tenants representing at |
| 4 | | least 51% of the tenants residing in the
mobile home park who |
| 5 | | are entitled to notice under paragraph (b) shall have the |
| 6 | | right to lease the subject property for the purpose of |
| 7 | | continuing the use of the property as a mobile home park. In |
| 8 | | either case, the group or association shall: (1) submit to the |
| 9 | | owner
reasonable evidence that the residents of at least 51% |
| 10 | | of the occupied homes in the park have approved the
purchase of |
| 11 | | the mobile home park by the group or association; (2) submit to |
| 12 | | the owner a proposed purchase and sale agreement or
lease |
| 13 | | agreement on substantially equivalent terms and conditions |
| 14 | | within 45 days after receipt of notice of the offer made
under |
| 15 | | subsection (b) of this Section; (3) obtain a binding |
| 16 | | commitment for any necessary financing or guarantees within an
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| 17 | | additional 90 days after execution of the purchase and sale |
| 18 | | agreement or lease; and (4) close on the purchase or lease
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| 19 | | within an additional 90 days after the end of the 90-day period |
| 20 | | under item (3). |
| 21 | | No owner shall unreasonably refuse to enter into, or |
| 22 | | unreasonably delay the execution or closing on, a purchase and |
| 23 | | sale or lease
agreement with tenants who have made a bona fide |
| 24 | | offer to meet the price and substantially equivalent terms and |
| 25 | | conditions of an offer for which notice is required to be given |
| 26 | | pursuant to subsection (b). Failure of the tenants to submit |
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| 1 | | such a purchase and
sale agreement or lease within the first |
| 2 | | 45-day period, to obtain a binding commitment for financing |
| 3 | | within the additional
90-day period, or to close on the |
| 4 | | purchase or lease within the second 90-day period shall serve |
| 5 | | to terminate the rights of
such residents to purchase or lease |
| 6 | | the mobile home park. The time periods provided in this |
| 7 | | Section may be extended
by agreement. Nothing in this Section |
| 8 | | shall be construed to require an owner to provide financing to |
| 9 | | tenants except to the extent
such financing would be provided |
| 10 | | to the third party offeror in the case of a sale or lease for a |
| 11 | | use which would result in a change
of use or discontinuance or |
| 12 | | to prohibit an owner from requiring tenants who are offering |
| 13 | | to lease a mobile home park to provide
a security deposit, not |
| 14 | | to exceed the lesser of one-year's rent or the amount which |
| 15 | | would have been required to be provided by
the third party |
| 16 | | offeror, to be kept in escrow for such purposes during the term |
| 17 | | of the lease. A group or association that has the right to |
| 18 | | purchase under this Section may, at its election, assign its |
| 19 | | purchase right under this Section to the municipality in which |
| 20 | | the mobile home park is located or to the agency having |
| 21 | | jurisdiction for the purpose of continuing the property's use |
| 22 | | as a mobile home park. |
| 23 | | (d) The right of first refusal created in this Section |
| 24 | | shall inure to the tenants for the time periods set forth in |
| 25 | | this Section, beginning on
the date of notice to the residents |
| 26 | | under paragraph (b). The effective period for such right of |
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| 1 | | first refusal shall obtain separately
for each substantially |
| 2 | | different bona fide offer to purchase or lease the mobile home |
| 3 | | park, and for each offer substantially equivalent
to an offer |
| 4 | | made more than 3 months prior to the later offer; provided |
| 5 | | however, that in the case of a substantially equivalent
offer |
| 6 | | made by a prospective buyer who has previously made an offer |
| 7 | | for which notice to residents was required by subsection
(b), |
| 8 | | the right of first refusal shall obtain only if the subsequent |
| 9 | | offer is made more than 6 months after the earlier offer. The
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| 10 | | right of first refusal shall not apply with respect to any |
| 11 | | offer received by the park owner for which a notice is not |
| 12 | | required pursuant
to subsection (b). No right of first refusal |
| 13 | | shall apply to a government taking by eminent domain or |
| 14 | | negotiated purchase, a
forced sale pursuant to a foreclosure |
| 15 | | by an unrelated third party, transfer by gift, devise or |
| 16 | | operation of law, or a sale to a person
who would be an heir at |
| 17 | | law if there were to be a death intestate of a mobile home park |
| 18 | | owner. |
| 19 | | (e) If the tenants of the mobile home park are not the |
| 20 | | successful purchasers or lessees of
the park, the seller or |
| 21 | | lessor of the park shall provide evidence of compliance with |
| 22 | | this
Section by filing an affidavit of compliance with the |
| 23 | | authority having jurisdiction within 7 days after the sale or |
| 24 | | lease
of the park. Any lease of 5 years or less shall |
| 25 | | specifically require that the lessee shall not discontinue or |
| 26 | | change the
use of the mobile home park during the term of the |
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| 1 | | lease. |
| 2 | | (f) If there is a sale or lease for which a notice from the |
| 3 | | mobile home park owner is not required
to be, and is not, given |
| 4 | | under paragraph (b), and, within one year of that sale or |
| 5 | | lease, the new owner or lessee delivers a notice
of change of |
| 6 | | use or discontinuance as a mobile home park, that notice shall |
| 7 | | provide each tenant in the
mobile home park with at least 4 |
| 8 | | years prior notice of the effective date of the proposed |
| 9 | | change of use or
discontinuance.
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| 10 | | (765 ILCS 745/15.1 new) |
| 11 | | Sec. 15.1. Tenant 65 years of age or older; protected |
| 12 | | lots. |
| 13 | | (a) Whenever there is a change in ownership of a mobile |
| 14 | | home park on or after the effective date of this amendatory Act |
| 15 | | of the 103rd General Assembly, the new owner of that mobile |
| 16 | | home park may not increase the rent charged for the use of any |
| 17 | | protected lot in that mobile home park, nor may the new owner |
| 18 | | make any changes to the terms and conditions of a lease |
| 19 | | covering a protected lot, until the mobile home or |
| 20 | | manufactured home situated on that protected lot is no longer |
| 21 | | the principal place of residence of a qualifying tenant. Upon |
| 22 | | the expiration of a lease covering a protected lot, the owner |
| 23 | | of the mobile home park shall allow the qualifying tenant to |
| 24 | | renew the lease at the same rent and subject to the same terms |
| 25 | | and conditions as the lease that was in effect for that lot on |
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| 1 | | the date of the change in ownership. Nothing in this Section |
| 2 | | prohibits a mobile home park owner from: |
| 3 | | (1) changing the terms and conditions of a lease at |
| 4 | | the request of the tenant; |
| 5 | | (2) changing the terms and conditions of a lease for |
| 6 | | the purpose of complying with any other provision of law; |
| 7 | | (3) increasing rent or changing the terms and |
| 8 | | conditions of a lease in a manner that is permitted under a |
| 9 | | lease that is in effect on the date of the change in |
| 10 | | ownership; or |
| 11 | | (4) evicting a tenant for any one or more of the |
| 12 | | reasons specified in Section 15 of this Act. |
| 13 | | (b) As used in this Section: |
| 14 | | "Protected lot" means a lot in a mobile home park that, as |
| 15 | | of the date on which a change in ownership of the mobile home |
| 16 | | park occurs, is subject to a written lease covering a mobile |
| 17 | | home or manufactured home that is the principal place of |
| 18 | | residence of a qualifying tenant. |
| 19 | | "Qualifying tenant" means a tenant who is 65 years of age |
| 20 | | or older on the date when the change in ownership of the mobile |
| 21 | | home park occurs.
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