Congressman Keith Ellison

Representing the 5th District of Minnesota

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Rep. Ellison, Sen. Shaheen Introduce Bill to Encourage Resident-Owned Manufactured Home Communities

Jul 19, 2017
Press Release

WASHINGTON–Rep. Keith Ellison (D-MN) introduced the Frank Adelmann Manufactured Housing Community Sustainability Act (H.R. 3296) today. The bill would provide a tax credit for property owners of mobile home parks, also called manufactured home communities, who choose to preserve affordability by selling the land to their residents or a nonprofit. The Senate companion bill was introduced by Senator Jeanne Shaheen (D-NH).

“I’m so inspired by the resident-owned manufactured housing communities in my state,” said Rep. Keith Ellison. “And, I’m also heartbroken for the thousands of families who were evicted from their communities when the land under their homes was sold. My bill gives residents a fighting chance to compete with developers and save their homes and communities.”

“Mobile homes provide affordable housing for millions of Americans, including many Granite State seniors, rural residents and working families,” said Senator Shaheen. “Resident-owned communities are already working in New Hampshire. This legislation provides targeted tax incentives to encourage the growth of resident-owned cooperatives so that mobile homeowners can enjoy more economic security and equity, protection from sudden eviction, and a stable neighborhood.”

“NMHOA works to promote and enhance the rights and interests of the 17 million people living in manufactured homes throughout the United States.  First and foremost, we want to give homeowners an increased sense of security in their own homes and communities, since, right now, they own the roofs over their heads, but don’t control the land under their feet,” said Dave Anderson, Executive Director of the National Manufactured Home Owners Association. “Many working families, retired seniors and others who live in parks, like Lowry Grove in St. Anthony, buy their homes, pay their lot rent, follow the rules, and are still forced out of their homes and communities.  The legislation Rep. Ellison is introducing provides a powerful tool to help residents buy their communities, protect their families, and take control of their lives.”

The Manufactured Housing Community Sustainability Act amends the Internal Revenue Code to create a tax incentive for the sale of land to manufactured home residents or to a nonprofit. This bill introduces a 75% Federal tax credit on the sale of the property, and guarantees that the property will be used for manufactured homes for at least 50 years. Resident or nonprofit ownership preserves these communities as a source of affordable homes and allows for decisions to be made by the members of these communities.

This bill builds on the success of resident-owned cooperative communities in many states including New Hampshire, Massachusetts, and Minnesota. For the past two decades, housing providers have aided communities in the transition from privately owned to cooperatively owned in order to preserve a crucial source of affordable housing.

The bill is supported by National Manufactured Homeowners Association (NMHOA), All Parks Alliance for Change (APAC), Manufactured Home Owners’ Association of NJ, Inc., Manufactured Housing /Oregon State Tenants Association MH/OSTA and Prosperity Now.