MEMORANDUM
TO:
All Assessing Officials, County Treasurers, and County Recorders
FROM:
Micah G. Vincent, Commissioner
RE:
SEA 433: Changes Affecting Mobile and Manufactured Homes
DATE:
June 19, 2013
Introduction
On May 8, 2013,
Governor Mike Pence signed into law Senate Enrolled Act 433 (“SEA 433”). SEA
433 makes several changes to local administration of mobile and manufactured
homes. This memorandum addresses these changes, which are effective July 1,
2013, unless otherwise indicated. Please note that this memorandum is intended
to be an informative bulletin; it is not a substitute for reading the law. The
Department of Local Government Finance will issue a supplemental memorandum when
the system for recording mobile home property tax information required by
Section 3 has been developed.
I. Moving a
Mobile Home to another Location
Section1 amends
IC 6-1.1-7-10 regarding permit procedures for moving a mobile home to another
location. References to an “occupier” of a mobile home are deleted, meaning that
now only the owner may obtain the permit necessary to relocate a mobile home.
Indiana Code 6-1.1-7-10 is also amended to require that after issuing a permit
to move a mobile home, a county treasurer must notify the township assessor of
the township to which the mobile home will be moved, or the county assessor if
there is no township assessor for the township, that the permit to move the
mobile home has been issued. These changes were effective May 8,
2013.
II. Mobile
Home Registries
Sections 3 and
18 amend statutes governing mobile home registries.
First, Section
3 adds IC 6-1.1-7-16. The Department of Local Government Finance (“Department”)
must develop a system for recording the property tax information for a mobile
home assessed using an identification number unique to the vehicle
identification number of the mobile home. The Department must implement this
system before January 1, 2015.
Second, Section
18 amends IC 16-41-27-31 to add county or township assessors to those who may
inspect a mobile home community’s register.
III. Claiming
Homestead Deductions on Certain Mobile & Manufactured
Homes
Section 4
amends IC 6-1.1-12-37, which governs the homestead deduction. Under this
amendment, for applications for the deduction filed for an assessment date
occurring after December 31, 2013, an individual buying a mobile or
manufactured home not assessed as real property under a contract providing that
the individual is to pay the property taxes on the mobile or manufactured home
is not entitled to a homestead deduction unless the parties to the contract
comply with IC 9-17-6-17 (which governs the certificate of title for
manufactured homes). In addition, for applications filed for an assessment date
occurring after December 31, 2013, an individual who owns a mobile or
manufactured home not assessed as real property must attach a copy of the
owner’s title to the mobile or manufactured home to the application for the
deduction.
IV.
Certificates of Title and Recording Manufactured Homes
SEA 433 amends
IC 9-17-6 and IC 36-2-11, which govern certificates of title for manufactured
homes and the recording of purchase contracts, respectively.
A. Definitions
of Mobile Home and Manufactured Home for Purposes of IC 9-17-6
Section 13
amends IC 9-13-2-96 so that the term “manufactured home” now means
either:
(1) a structure
having the meaning set forth in the federal Manufactured Housing Construction
and Safety Standards Law of 1974 (42 U.S.C. 5401 et seq.); or
(2) a mobile
home.
Section 14
amends IC 9-13-2-103.2 to define “mobile home” as a structure that:
(1) is assembled in
a factory;
(2) is designed to
be transported from the factory to another site in one or more units;
(3) is suitable for
use as a dwelling in any season;
(4) is more than 35
feet long; and
(5) either
(A)
bears a seal certifying that the structure was built in compliance with the
federal Manufactured Housing Construction and Safety Standards Law;
or
(B)
was manufactured before the effective date of the Manufactured Housing
Construction and Safety Standards Law of 1974.
This definition
does not apply to abandoned mobile homes under IC 9-22-1.5, which retain the
definition set forth in IC 6-6-5-1.
Section 15 adds IC 9-17-6-0.5 so that, for purposes of IC 9-17-6, references to a manufactured home must be construed to also refer to a mobile home.
B. Purchase
Contract Requirements
Section 16 adds
IC 9-17-6-17, which provides that a purchase contract for a manufactured home
for which a certificate of title must be obtained is subject to the following
terms and conditions:
(1) The seller must
provide a copy of the title to the manufactured home.
(2) The contract
must specify whether the seller or buyer is responsible for the payment of
property taxes assessed against the manufactured home under
IC 6-1.1-7.
(3) The buyer of
the manufactured home must record the contract in the county recorder’s
office.
C. Recording a
Purchase Contract for a Mobile or Manufactured Home
Section 26 adds
IC 36-2-11-14.5 to govern the recording of a purchase contract for a mobile home
(as defined in IC 6-1.1-7-1(b)) or manufactured home (as defined in IC
9-13-2-96(b)). A person seeking to record a purchase contract must first submit
the following to the county recorder:
(1) A copy of the
title to the manufactured home or mobile home.
(2) An affidavit
stating whether the contract requires the seller or the buyer to pay the
property taxes imposed on the manufactured home or mobile home.
The person must
also pay any applicable recording fees.
If a person
satisfies the above, the county recorder must do the following:
(1) Record the
purchase contract.
(2) Provide to the
county treasurer a copy of the title and the affidavit.
(3) Notify the
township assessor of the township in which the mobile home is located or to
which the mobile home will be moved, that a contract for the sale of the mobile
home has been recorded. If there is no township assessor, the county recorder
must notify the county assessor.
Contact
Information
If you have any
questions, please contact Staff Attorney David Marusarz at 317-233-6770 or dmarusarz@dlgf.in.gov.
