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HOUSING AND COMMUNITY SERVICES DEPARTMENT

 

DIVISION 27

MANUFACTURED DWELLING PARKS PRESERVATION FUND PROGRAM

813-027-0001

Purpose and Objectives

The rules of OAR chapter 813, division 027, are adopted for the purpose of administering section 7, chapter 906, Oregon Laws 2009, which establishes the Housing and Community Services Department Manufactured Dwelling Parks Preservation Fund and authorizes the Department to provide assistance to community organizations and tenant groups in acquiring manufactured dwelling parks in order to prevent the loss of housing units and preserve affordable housing.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0010

Definitions

As used in this division:

(1) “Community Organization” means a nonprofit corporation established under ORS Chapter 65, a housing authority established under ORS 456.055 to 456.235, a local government as defined in ORS 197.015, or a tenants’ association supported nonprofit organization in ORS 90.820.

(2) “Tenant Group” means a tenant committee formed under ORS 90.600 or any of the following to which ORS 456.581 applies.

(a) A tenants’ association as provided in ORS 90.760;

(b) A manufactured dwelling park nonprofit cooperative as provided in ORS 62.803; or

(c) A facility purchase association as provided in ORS 90.815.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0020

Eligibility for Moneys from Fund

The Department may disburse moneys in the Manufactured Dwelling Parks Preservation Fund by grant, loan or otherwise as the Department determines appropriate, subject to the availability of funds and to limitations otherwise prescribed by law, to a community organization or a tenant group to facilitate the organization’s or group’s acquisition of a manufactured dwelling park.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0030

Application Procedure and Requirements

(1) The Department may provide a reservation of an award from the Manufactured Dwelling Parks Preservation Fund through a process that may include but is not limited to any of the following:

(a) A direct Department award in which the director makes an award without an application;

(b) An application according to a first-come, first-reviewed and ready to proceed to closing process; or

(c) An application according to a competitive review process.

(2) In the case of a direct award under section (1)(a) of this rule, the Department may request information that the Department determines appropriate to support the award. An applicant for an award under section (1)(b) or (1)(c) of this rule shall submit, in an application form and according to a process prescribed by the Department, a proposal in the form and with the content required by the Department.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0040

Criteria for Funding

As the Department determines funds to be available, moneys from the Manufactured Dwelling Parks Preservation Fund may be awarded based on the following criteria:

(1) Funds must be used to purchase a manufactured dwelling park;

(2) An applicant is a community organization or tenant group;

(3) The park purchase proposal includes a term of at least 20 years of affordability as defined in the application;

(4) The park purchase proposal demonstrates ongoing appropriate technical assistance to the park if cooperative owned or owned by a tenant-owned nonprofit organization;

(5) A purchase and sale agreement or other similar document demonstrating site control has been signed by both the buyer and seller of the park;

(6) The applicant has adequately demonstrated the ability to meet the proposed terms of loan repayment to a lender or to the Department when funding is awarded as a loan;

(7) The applicant has adequately demonstrated the park can be operated in a financially feasible manner for at least the term of affordability;

(8) The applicant has agreed to operate the park for the duration of the affordability period as specified in the application:

(9) The applicant agrees to meet benchmarks for timely closing on funding resources and completion of renovations as provided in the application proposal; and

(10) Any other criteria that the Department or Council determines to be appropriate.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0050

Application Review

(1) An application for an award from the Manufactured Dwelling Parks Preservation Fund is subject to the Department’s approval, denial or modification, in whole or in part, and is also subject to review by the State Housing Council.

(2) When a funding award is in excess of an applicable threshold established by the State Housing Council and the Council’s review and approval are required under ORS 456.561, the Council shall approve or disapprove the application at a public hearing pursuant to ORS 456.571.

(3) When reviewing an application, in addition to any specific evaluation criteria, the Department or the Council, as appropriate, may consider the following matters:

(a) The amount of available funds in the program;

(b) The availability of other Department sources for park purchase;

(c) The geographic distribution of requests throughout the state; and

(d) Any other criteria that the Department or Council determines to be appropriate.

(4) The Department or the Council at any time may request additional information with respect to an application or award.

(5) Approval, denial or modification of an application under this rule is subject to the Department’s judgment as to which applications will best achieve the purposes of the program and will best meet applicable evaluation criteria.

(6) Terms and conditions of an award shall be established in the funding agreement or other documents required by the Department and shall be recorded against the property. If the applicant does not own the property at the time of fund disbursement or is a long-term lessee, the applicant or the lessor shall open an escrow account and have the funding agreement or other required documents placed in escrow and recorded immediately upon obtaining title to or control of the property.

(7) The Department may require payment of funding provided under this rule if all or part of the commitments to park purchase, technical assistance, or period of affordability are modified or withdrawn.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0060

Charges

(1) The Department may charge an applicant for an award from the Manufactured Dwelling Parks Preservation Fund for costs incurred by the Department in evaluating and taking action on an application, and may also:

(a) Impose a transfer application charge on an owner who receives a contract, grant, loan or tax credit through the Department or who requests the Department's approval of a change in ownership; or

(b) Impose a transfer review charge on an owner and transferee who effects a change in ownership without prior written approval by the Department.

(2) The Department may charge for costs incurred by the Department for review of a transaction by the Department of Justice, including but not limited to a change requested by the applicant to a required document.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0070

General Administrative and Monitoring Requirements

(1) A recipient of moneys from the Manufactured Dwelling Parks Preservation Fund shall furnish annual reports and other materials as disclosed in the grant or loan documents to the Department.

(2) A recipient of the Manufactured Dwelling Parks Preservation Fund moneys is subject to reviews or field inspections, or both, as the Department determines to be appropriate for ensuring compliance.

(3) A recipient of fund moneys shall retain financial records, supporting documents and all other pertinent records for six years after affordability period expires or after any litigation or audit claim is resolved, whichever is later. The recipient shall provide the Department access to all books, accounts, documents, records and other property belonging to or in use by the recipient and relating to the use of the fund moneys.

(4) A recipient must certify that the final uses of the Manufactured Dwelling Parks Preservation Fund proceeds have been used as represented in the application and are in compliance with the program as limited by law.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0080

Noncompliance

(1) At any time before the expiration of the affordability period, if the Department determines that a recipient of the moneys from the Manufactured Dwelling Parks Preservation Fund is not in compliance with applicable requirements, the recipient shall take corrective actions required by the Department. Examples of noncompliance include, but are not limited to, the use of fund moneys for activities not approved in the funding agreement, the failure to complete activities in a timely manner, the failure to comply with applicable rules or regulations or the lack of a continued capacity by the recipient to carry out the approved activities. The Department may take any of the actions described in section (3) of this rule against a recipient who does not take the required corrective actions to the satisfaction of the Department.

(2) In addition to, or in lieu of a requirement of corrective action under section (1) of this rule, the Department may take one or more of the actions described in section (3) of this rule against a recipient who is not in compliance with applicable requirements if the Department determines that one or more of the following circumstances exist:

(a) The Department or recipient has not disbursed moneys within one year of award by the Department.

(b) A public or private party funding agreement that is related to the project is not executed within six months of the award of moneys from the fund.

(c) A material breach of the funding agreement occurs, such as a failure to use the funds for eligible costs or a failure of the recipient to serve the population stated in the funding agreement.

(d) The funding agreement is not recorded on the property as required by OAR 813-027-0050(6) or pursuant to agreement.

(e) The Department finds that significant corrective actions are necessary to protect the integrity of the award money and that the corrective actions are not or will not be made within a reasonable time.

(3) The Department may take one or more of the following actions under this rule:

(a) Prohibit a recipient from applying for future moneys from the fund or for other Department assistance;

(b) Revoke an existing award.

(c) Withhold unexpended moneys.

(d) Require return of moneys disbursed to the recipient but not yet expended by the recipient.

(e) Require repayment of expended moneys.

(f) Payment of any legal costs associated with a review of non-compliance.

(g) Invoke other remedies that may be incorporated into the funding agreement.

(4) Actions that the Department may take under this rule are cumulative and not exclusive and are in addition to any other rights and remedies provided by law or under a funding agreement.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

813-027-0090

Waiver

The Department may waive or modify any requirements of these rules, unless such waiver or modification would violate applicable federal or state law.

Stat. Auth.: ORS 456.555
Stats. Implemented: 2009 OL Ch. 906 Sec. 7
Hist.: OHCS 4-2010(Temp), f. & cert. ef. 2-25-10 thru 8-23-10; OHCS 10-2010, f. & cert. ef. 8-23-10

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