When the North Carolina Housing Coalition gave Susan Fisher, a state representative from Asheville, its Legislator of the Year Award, it marked a new priority in North Carolina housing circles.

The choice of Fisher marks a change in some of the gospel within housing circles. Fisher has championed the reform of our state’s manufactured housing. The underlying principal of her aims should make sense to other “housers“, as manufactured housing provides shelter for the least well off in the state – families make less than half of the median family income.

Still, it is a new direction. Advocates from both inside and outside of North Carolina have resisted seeing the light on manufactured housing for years.

Fisher sponsored and helped to pass H1700, “Prevent Displacement of Manufactured Homes,” which gives park owners a tax incentive to sell their mobile home parks to resident groups.  It covers sales to non-profit groups or even to resident-owned cooperatives.

Chris Estes, the Housing Coalition’s Executive Director, highlighted Fisher’s work on manufactured housing.  It provides shelter for the least well off in the state – families make less than half of the median family income.

Estes framed up Fisher’s work within broader advocacy for manufactured housing. “Mobile homes house 18 percent of the North Carolina residents.” (and one-third of all housing starts). “They are on the largest source of non-subsidized affordable housing in the state,” he added.

Fisher accepted the award but acknowledged that more can be done.  She emphasized its fit with the  goal of homeownership, Perhaps she was reaching out to state leaders attending the Summit.  Sen. Joe Sam Queen, who arrived later and reiterated several longstanding critiques of manufactured housing, remains dedicated to increasing homeownership.

North Carolina’s H1700, a bill to reward park owners to sell to residents and non-profits, shifted directions today.

The bill came before the House with language that would have provided a tax credit equivalent to seven percent of the gain made by owners.  That gain would have been usable against tax liabilities for up to three years.

Two changes took place.  First, Paul Stam (R-Apex) pointed out that the bill would do nothing for owners who sell their park at little gain or even at a loss.  In many instances, park owners face that exact dilemma.  With stagnant wages in many rural counties, cash flows at parks have leveled off.  Often times, people that would have bought a home and put it in a park could, until recently, qualify for a mortgage through a subprime arrangement.

With that in mind, Stam asked for staff to consider an amendment.

Secondly, staff from Revenue considered changing the language on the incentive from a tax credit to a deduction.

The bill may be heard on Monday in the House.  It could still pass the House and make it across to the Senate this year.

North Carolina’s General Assembly gave substantial attention yesterday to a bill that would impact the fates of manufactured housing residents.

H1700, a bill sponsored by Susan Fisher that would provide a financial incentive to park owners to sell to resident or non-profit groups, made some progress in Judiciary II.  The bill was held up by its notice provision, which had stipulated that park owners should communicate in writing via US mail to each resident prior to a sale.

According to one MH industry leader, this triggers some concerns over property rights.

An alternative was put forward that only requires notice in the event of a change in use.  In other words, no notice is required if a park is sold to another private group that wants to maintain the park as is.  If a park owner wants to sell to a big box retailer, though, then a notice is required.

Advocates and industry express doubts about the difference that this would ultimately make — after all, no resident group is going to be able to match the kind of offer that a Wal-Mart of Home Depot could make for land that it would repurpose into a large commercial center.

No, a useful bill should probably preserve the notice provision for parks for exactly the opposite set of parks — those that are likely to remain in their current status.  These are the ones whose prices can reasonably be met by non-profits.  In North Carolina, that might be parks up to $2 million.

The crisis that may befall the 160 residents at Homestead Village Mobile Home Park in North Raleigh does not have to be a regular problem.  Solutions exist in many states to address this very problem.  North Carolina ought to think about what it can do, because safeguards can be applied to protect our citizenry living in mobile home parks.

To review, the residents at Homestead Village will be kicked out of their homes in the near future if the City of Raleigh goes ahead with a proposal to rezone the 38.5 acres in their park to mixed use commercial.  Such a rezoning is the request of a buyer for the land who would presumably build shops, offices, and mixed use on the site.  It is located on a sought after part of land near Capital Boulevard in North Raleigh.

Rep. Susan Fisher (D-Asheville) introduced a bill last session (H1700) that would (more…)