SF1207

Purpose

• To limit late fees charged in manufactured housing parks and standardize rent charges, with the goal of protecting residents from excessive or arbitrary fees and clarifying what charges are allowed.

Main Provisions

• Applies to manufactured housing parks, changing Minnesota Statutes 2024 section 327C.03 subdivision 3.
• Rent must be uniform across the park, with only limited exceptions for higher rent due to larger lot size or location, or for special services or facilities provided by the park.
• A park owner may charge a reasonable delinquent rent fee if the fee is specified in the rental agreement, but the fee may not exceed eight percent of the delinquent rent payment.
• The delinquent rent fee is enforceable as part of the rent owed by the resident.
• A park owner may not charge fees based on:
  • the number of residents or people staying in the home,
  • the number or ages of children in the home,
  • the number of guests,
  • the size of the home,
  • whether the home is temporarily vacant,
  • the type of personal property used or located in the home.
• The park owner may charge an additional fee for pets owned by the resident, but the fee may not exceed $4 per pet per month.
• The provision does not prohibit abating all or part of the rent for residents with special needs.

What This Change Means (Impact)

• Residents in manufactured home parks should see more predictable and capped late fees (8% of delinquent rent) and fewer surprise charges.
• Fees are restricted to be related to delinquent rent and must align with the rental agreement; other common fee triggers (occupancy, guest counts, child counts, etc.) are limited or prohibited.
• A small, per-pet monthly fee is allowed, with a clear cap.
• Parks can still provide rent relief or abate rent for residents with special needs.

Significant Changes to Law

• Introduces an explicit cap on delinquent rent fees (8%).
• Prohibits many common additional charges that some parks use to recoup costs or penalize residents (based on occupancy, family size, guests, etc.).
• Establishes a pet fee cap ($4 per pet per month).
• Allows targeted rent abatement for residents with special needs.

Relevant Terms - manufactured housing - park owner - delinquent rent / delinquent rent payment - late fee - eight percent / 8% limit - rent uniformity - rental agreement - special services or facilities - lot size - location - pets / pet fee - per pet per month - rent abatement - special needs - Minnesota Statutes 327C.03 Subd. 3