BILL ANALYSIS                                                                                                                                                                                                    






               SENATE JUDICIARY COMMITTEE              S
                   Charles M. Calderon, Chairman       B
                    1995-96 Regular Session
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SB 1585
Senator Craven
As amended on March 14, 1996
Hearing Date:  March 19, 1996
Civil Code
GEH:cb

                   mobilehome residency law
                    -  age requirements -

                          HISTORY

Source:  Western Mobilehome Association 

Related Pending Legislation:  SB 2097 (Haynes); AB 2646  
(Granlund)



                          KEY ISSUE

1. should it be made easier to establish seniors-only  
  mobilehome parks, by updating the cross-reference to  
  federal fair housing laws in the state Mobilehome  
  Residency Law?

                          PURPOSE

The purpose of this bill is to make it easier to establish  
seniors-only mobilehome parks by updating the  
cross-reference to federal fair housing laws in the state  
Mobilehome Residency Law.

Existing law:  Under the Unruh Civil Rights Act (Civil Code  
?51  et.  seq.), business establishments, including housing  
facilities, are generally prohibited from discriminating on  
the basis of age  (See  Marina Point, Ltd. v. Wolfson (1982)  
                                                             




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30 Cal.3d 72).  However, Sections 51.2, 51.3 and 51.4 in  
the Act allow business establishments to establish and  
preserve housing for senior citizens, if that housing meets  
a number of conditions.  These conditions are stricter than  
the conditions under the federal fair housing laws  
discussed below.

The definition of "housing" and "dwelling" under the Unruh  
Civil Rights Act explicitly excludes mobilehomes.  As a  
result, the legality of "seniors-only" mobilehome parks is  
governed by the Mobilehome Residency Law (MRL) (See  Colony  
Cove Associates v. Brown (1990) 220 Cal.App.3d 195).  Under  
the MRL, mobilehome parks may impose age requirements on  
residency in the park, provided that the requirements  
comply with the provisions of the federal Fair Housing  
Amendments Act (FHAA) of 1988 (Public Law 100-430).

The federal FHAA makes it generally unlawful to  
discriminate in the sale or rental of housing on the basis  
of "familial status."  However, like the Unruh Civil Rights  
Act, the FHAA contains an exemption for housing for older  
persons.  

Under the federal FHAA, a housing facility may discriminate  
on the basis of age if they are intended and operated for  
occupancy by persons 62 and older, if at least 80 percent  
of the occupied units are occupied by at least one person  
who is 62 years and the housing facility publishes and  
adheres to policies and procedures that demonstrate the  
intent to be operated for occupancy by persons 62 years and  
older. 

Under the federal FHAA as it existed until December of  
1995, if the housing facility is intended and operated for  
occupancy by persons 55 and older, there was one more  
requirement, in addition to the ones applicable to 62 and  
older parks.  That additional requirement is that the  
housing facility must provide significant facilities and  
services specifically designed to meet the physical or  
social needs of older persons, unless the provisions of  
such significant facilities and services is not practicable  
and it is necessary to provide important housing  
opportunities for older persons.

Three months ago, President Clinton signed H.R. 66, which  
                                                             




SB 1585 (Craven)
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repealed the requirement that 55 and over housing  
facilities provide significant facilities and services  
specifically designed to meet the needs of older persons.  
(Public Law 104-76). 

Proposed legislation:  This bill amends the state  
Mobilehome Residency Law to strike out the reference to the  
prior version of the federal Fair Housing Amendments Act,  
which required 55 and over housing facilities like  
mobilehome parks to provide significant facilities and  
services specifically designed to serve older persons.

Instead, the bill inserts a reference to the current  
version of the federal FHAA which  does not require 55 and  
over housing facilities like mobilehome parks to provide  
significant facilities and services specifically designed  
to serve older persons.

The bill contains an urgency clause and a declaration that  
"in oder to conform  state requirements for senior  
mobilehome parks to changes in federal law which were  
recently enacted by Congress, it is necessary that this act  
take effect immediately." 

                          COMMENT

1. Federal fair housing laws and seniors-only mobilehome  
  parks

   a)    The ill-fated "significant facilities and services  
     requirement"

        According to the sponsors of the bill, the Western  
     Mobilehome Association, the "significant facilities  
     and services" requirement of the federal FHAA was very  
     controversial.  It took over five years for HUD to  
     promulgate draft regulations, and when they came out,  
     they required 55 and over facilities to provide many  
     of the same things nursing homes are required to  
     provide.  Thousands of seniors expressed their concern  
     that the requirement would force seniors-only housing  
     to close throughout the country.  Many seniors were  
     offended by the regulations' apparent assumption that  
     all seniors required nursing home-like facilities.

                                                             




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        The final version of the regulations were finally  
     issued in September of 1995.  Although the final  
     regulations were much less burdensome, by time they  
     were issued, there was significant momentum to repeal  
     the requirement altogether, which was accomplished by  
     the beginning of December.

   b)    The MRL's cross-reference to the federal statute

        It seems highly unlikely that, even without this  
     bill, the state Department of Employment and Housing  
     would take enforcement actions against seniors-only  
     mobilehome parks which violated the old federal law.  

        However, the state law's reference to Public Law  
     100-430 technically does require adherence to the old  
     "significant facilities and services" requirement.  As  
     a result, private litigants could successfully  
     convince a court that a park would have to comply with  
     that outmoded requirement.

        It should be noted that this bill is not required  
     to avoid federal preemption.  As it did with the Unruh  
     Civil Rights Act, the Legislature could consciously  
     decide to be more stringent than federal law, by, for  
     example, requiring 55 and over mobilehome parks to  
     provide "significant facilities and services."   
     However, the Legislature has already decided to exempt  
     mobilehome parks from the stricter requirements of the  
     Unruh Civil Rights Act, and to require such parks only  
     to meet the minimum requirements of the federal FHAA.   
     Since those federal requirements have now changed, it  
     would be consistent for the requirements of MRL to be  
     adjusted accordingly.

Support:       Western Mobilehome Association; California  
               Mobilehome Parkowners Alliance

Opposition:    None known

Prior Legislation:  AB 2244 (1993)  Chaptered
                              
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