Section 1 [Change in use, Relocation Expenses; Payments by Park Owner] increases the limit on required payments to the owners of manufactured homes when they are required to relocate their homes due to their manufactured home park being put to another use, closed, or ceasing to be used as a manufactured home park. The payments are for actual relocation costs and are paid from the Minnesota manufactured home relocation trust.  The limits are increased under this section from $4,000 to $7,000 for a single-section and from $8,000 to $12,500 for a multisection manufactured home.

Under current law, if the owner of a manufactured home is not able to relocate a manufactured home and if the home owner and the park owner agree, the home owner can transfer title to the park owner and the home owner can collect an amount determined by an independent appraisal to be paid from the Minnesota manufactured home relocation fund.  This section provides that when appraised market value cannot be determined, the tax market value, averaged over a period of five years, can be used instead.  This section changes the maximum that can be paid to the home owner from $5,000 to $8,000 for a single-section home and from $9,000 to $14,500 for a multisection home.  This section sets a minimum amount at $4,000 for a single section and $8,000 for a multisection manufactured home.

Section 2 [Alternative Methods of Collecting Assessment Fee] requires the commissioner of management and budget (MMB) to study alternative methods of collecting fees to fund the manufactured home relocation trust fund.  Under current law, the commissioner of management and budget collects a fee of $12 per lot from park owners through an annual assessment when the fund has less than $1,000,000.  This section requires the study to identify and evaluate alternatives, including invoicing owners of manufactured homes, or imposing a sales or use tax.  This section appropriates in fiscal year 2017 from the manufactured home relocation trust fund the amount necessary to conduct the study.  This section requires the commissioner of MMB to report the study results to chairs and ranking minority members of the senate Committee on Finance and the house Committee on Ways and Means.