HOUSE BILL No. 5099

 

September 30, 2003, Introduced by Reps. Milosch, Stahl, Tabor, Pastor, LaJoy and Ward and referred to the Committee on Local Government and Urban Policy.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1987 PA 96, entitled                                              

                                                                                

    "The mobile home commission act,"                                           

                                                                                

    by amending the title and sections 30c and 30g (MCL 125.2330c and           

                                                                                

    125.2330g) and by adding section 30j.                                       

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1                                 TITLE                                         

                                                                                

2                                                                                An act to create a mobile home commission; to prescribe its                        

                                                                                

3   powers and duties and those of local governments; to provide for            

                                                                                

4   a mobile home code and the licensure, regulation, construction,             

                                                                                

5   operation, and management of mobile home parks, the licensure and           

                                                                                

6   regulation of retail sales dealers, warranties of mobile homes,             

                                                                                

7   and service practices of dealers; to provide for the titling of             

                                                                                

8   mobile homes; to impose a transfer tax; to provide for the                  

                                                                                

9   disposition of the transfer tax; to prescribe the powers and                

                                                                                

10  duties of certain agencies and departments; to provide remedies             

                                                                                


                                                                                

1   and penalties; to declare the act to be remedial; to repeal this            

                                                                                

2   act on a specific date; and to repeal  certain  acts and parts of           

                                                                                

3   acts.                                                                       

                                                                                

4       Sec. 30c.  (1) If the owner of a mobile home transfers or                   

                                                                                

5   assigns the owner's title or interest to the mobile home, the               

                                                                                

6   owner shall indorse on the back of the certificate of title an              

                                                                                

7   assignment of the mobile home with warranty of title with a                 

                                                                                

8   statement of all security interests in the mobile home, and shall           

                                                                                

9   cause the certificate to be mailed or delivered to the department           

                                                                                

10  or to the purchaser or transferee at the time of the delivery to            

                                                                                

11  the purchaser or transferee of the mobile home.                             

                                                                                

12      (2) Upon the delivery of a mobile home and the transfer,                    

                                                                                

13  sale, or assignment of the title or interest in a mobile home,              

                                                                                

14  the effective date of the transfer of title or interest shall be            

                                                                                

15  the date of execution of either the application for title or the            

                                                                                

16  certificate of title.                                                       

                                                                                

17      (3) The purchaser or transferee, unless the purchaser or                    

                                                                                

18  transferee is a licensed dealer, shall cause to be presented to             

                                                                                

19  the department the certificate of title accompanied by the                  

                                                                                

20  applicable fee, as follows:                                                 

                                                                                

21      (a) Except as provided in subdivision (b) or (c), $45.00.                   

                                                                                

22      (b) Except as provided in subdivision (c), $15.00, if the                   

                                                                                

23  sale, assignment, or other transfer will require the addition or            

                                                                                

24  deletion from the certificate of title of any of the following:             

                                                                                

25                                                                               (i) The owner's spouse.                                                             

                                                                                

26      (ii) A person related to the owner within the fourth degree                  

                                                                                

27  of consanguinity as computed by the civil law method.                       


                                                                                

1       (iii) A person related to the owner's spouse within the                      

                                                                                

2   fourth degree of consanguinity as computed by the civil law                 

                                                                                

3   method.                                                                     

                                                                                

4       (c) Any other lesser amount established pursuant to                         

                                                                                

5   section 9(5).                                                               

                                                                                

6       (4) Upon presentation of the certificate of title accompanied               

                                                                                

7   by the applicable fee, upon payment of the transfer tax imposed             

                                                                                

8   under section 30j, and upon the filing with the department of a             

                                                                                

9   valuation affidavit described in section 30j, a new certificate             

                                                                                

10  of title shall be issued.  A certificate of title issued under              

                                                                                

11  subsection (3) and this subsection shall be mailed or delivered             

                                                                                

12  to the owner or any other person the owner may direct in a                  

                                                                                

13  separate instrument in a form as prescribed by the department.              

                                                                                

14      (5) If a security interest is reserved or created at the time               

                                                                                

15  of the transfer, the parties shall comply with section 30d.                 

                                                                                

16      (6) If the transferee of a mobile home is a mobile home                     

                                                                                

17  dealer who holds the mobile home for resale, the dealer shall not           

                                                                                

18  be required to forward the certificate of title to the                      

                                                                                

19  department, but the dealer shall retain possession of the                   

                                                                                

20  assigned certificate of title.  Upon transfer of the dealer's               

                                                                                

21  title or interest to another person, the dealer shall execute and           

                                                                                

22  acknowledge an assignment and warranty of title upon the                    

                                                                                

23  certificate of title and deliver it to the person to whom the               

                                                                                

24  transfer is made if the person is a licensed dealer; otherwise              

                                                                                

25  application for a new title shall be made by the transferor as              

                                                                                

26  provided in section 30a(1).                                                 

                                                                                

27      Sec. 30g.  (1) The department may cancel or refuse to issue a               


                                                                                

1   certificate of title:                                                       

                                                                                

2       (a) If the department is satisfied that the certificate of                  

                                                                                

3   title was fraudulently or erroneously issued.                               

                                                                                

4       (b) If the department determines that the holder of the                     

                                                                                

5   certificate has made or is making an unlawful use of the                    

                                                                                

6   certificate.                                                                

                                                                                

7       (c) If the department determines that the required fee has                  

                                                                                

8   not been paid and the fee is not paid upon reasonable notice or             

                                                                                

9   demand.                                                                     

                                                                                

10      (d) If the department is authorized under any other provision               

                                                                                

11  of this act.                                                                

                                                                                

12      (e) Upon receipt of notification from another state or                      

                                                                                

13  foreign country that a certificate of title issued by the                   

                                                                                

14  department has been surrendered by the owner in conformity with             

                                                                                

15  the laws of the other state or foreign country.                             

                                                                                

16      (f) If it is shown by satisfactory evidence that delivery of                

                                                                                

17  a mobile home in the possession of a dealer was not made to the             

                                                                                

18  applicant to whom the certificate was issued.                               

                                                                                

19      (g) If the department determines that the transfer tax under                

                                                                                

20  section 30j has not been paid or has been underpaid or the                  

                                                                                

21  valuation affidavit described in section 30j contains fraudulent            

                                                                                

22  or erroneous information.                                                   

                                                                                

23      (2) Before a cancellation under subsection (1)(a), (b), or                  

                                                                                

24  (d) is made, the person affected shall be given notice and an               

                                                                                

25  opportunity to be heard.                                                    

                                                                                

26      Sec. 30j.  (1) Beginning January 1, 2004, a state transfer                  

                                                                                

27  tax is hereby imposed on the sale or transfer of a mobile home in           


                                                                                

1   this state.                                                                 

                                                                                

2       (2) The transfer tax levied under subsection (1) is levied at               

                                                                                

3   a rate of 0.86% of the total value of the mobile home being                 

                                                                                

4   transferred.  The transfer tax shall be paid to the department              

                                                                                

5   when the certificate of title is transferred to the new owner.              

                                                                                

6       (3) The transfer tax imposed under this section shall be                    

                                                                                

7   collected by the department and not less than 1 time each month             

                                                                                

8   shall be forwarded to the state treasurer for credit to the state           

                                                                                

9   school aid fund established in section 11 of article IX of the              

                                                                                

10  state constitution of 1963.                                                 

                                                                                

11      (4) As used in this section:                                                

                                                                                

12      (a) "Valuation affidavit" means an affidavit developed and                  

                                                                                

13  supplied by the department that provides for all of the                     

                                                                                

14  following:                                                                  

                                                                                

15                                                                               (i) Name and address of the seller or transferor.                                   

                                                                                

16      (ii) Name and address of the buyer or transferee.                            

                                                                                

17      (iii) Description of the mobile home contained in the                        

                                                                                

18  certificate of title.                                                       

                                                                                

19      (iv) Value of the mobile home being transferred or sold.                     

                                                                                

20      (v) Any other information required by the department.                       

                                                                                

21      (b) "Value" means the current or fair market worth in terms                 

                                                                                

22  of legal monetary exchange at the time of sale or transfer.