The Senate of the Commonwealth of Pennsylvania is considering a measure that would allow residents of manufactured home communities (MHC) the opportunity to challenge a rent increase in their community. Senator Stewart Greenleaf says many MHC residents are seniors on fixed incomes whose rent increases rise faster than the cost of living adjustments to their income, and are less likely to afford the cost to mover their homes than younger residents.

Under SB 852, according to legis.state.pa.us, a majority of the residents of an MHC would have to submit a signed petition requesting arbitration from the American Arbitration Association (AAA), and be willing to bear appropriate costs split between the residents and the community owner.

The residents may also gather a majority of community residents’ signatures and submit a written petition alleging excessive rent increase to the Attorney General’s Bureau of Consumer Protection, and then ask for the AAA to step in and hear the case. Excessive rent increase is defined as, “An increase which is unreasonable based on the manufactured home community operator’s total expenses, including debt service, taxes and a reasonable return on the owner’s investment or equity in the park.”

The arbitrator may analyze the rent increase request based upon services provided to the community up to three eyars in advance of the proposed increase. The legislation is identical to SB 26 in the 2011-2012 session. MHProNews knows the Pennsylvania Manufactured Housing Association (PMHA) led by Executive Director Mary Gaiski opposes this and all rent control measures. ##

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Article submitted by Matthew J. Silver to Daily Business News-MHPronews.