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Memo to Mayor and City Council/GP 97-5 <br />February 17, 1998 <br />Page 2 <br /> <br />City Ordinance <br /> <br />When the Closure Statement first came before the City Council in 1996, the <br />City Council elected to pass an ordinance regarding the closure of <br />manufactured home parks. This ordinance was tailored after other <br />communities that have passed similar ordinances. The ordinance mirrors <br />State Statutes 327(C).095 in many respects and goes further to clarify a few <br />of the processes involved in closing a mobile home park. Subsequent <br />amendments were made to the ordinance specifically relating to the time in <br />which residents must be compensated prior to closing of the park or its <br />conversion to another use. This time period was adjusted from 60 days to its <br />current reading of 90 days (see attached ordinance for further information). <br />The ordinance also clearly spells out the party (developer) responsible for <br />purchasing mobile homes and the responsible party for relocation (park <br />owner) of the mobile homes to another park. <br /> <br />What is the role of the City Council in closing a mobile home park? <br /> <br />Staff originally outlined three alternatives the Council may choose to be <br />involved with closing of a mobile home park. Basically, these included: <br /> <br />Council conducts a public hearing and relying on the park owner to <br />complete closure of the mobile home park in accordance with all the <br />State Statutes; <br /> <br />o <br /> <br />Council may wish to act as a monitoring agent and require the park <br />owner report back to the City Council with status reports and the <br />progress made in closing of the mobile home park; or, lastly, <br /> <br />o <br /> <br />the Council may take a more "hands on" approach to facilitating the <br />closure of the mobile home park by adopting a city ordinance similar to <br />the City of Bloomington and a few other communities which have gone <br />through a similar process. <br /> <br />The Council elected to adopt a city ordinance and involve the City to a <br />greater extent to make sure the park closure was handled equitably for the <br />mobile home park residents. One of the major components of the adopted <br />ordinance required the developer to compensate residents wishing to sell <br />their mobile home. Compensation would be based on the appraised value of <br />the mobile home as determined by an independent appraiser experienced in <br />mobile home park appraisal and approved by the City Administrator. <br /> <br />The appraisal of the remaining mobile homes was completed last year. <br />Based on the costs outlined in a Tax Increment Financing application <br /> <br />f:\shrdoc\council\gp97-5.doc <br /> <br /> <br />