Lawsuit Contends State Lost Authority to Collect Fees

The Delaware Manufactured Home Relocation Authority (DMHRA) would be the agency to enforce legislation now pending in the state house, SB 33, that would require MHC owners to seek approval for rent increases beyond a certain limit. It is now the target of a class action suit brought by three landlords and two tenants on behalf of all MHC owners and residents in DE, contending the DMHRA’s authority to collect a $3 monthly fee for each homesite expired in 2006. According to capegazette.villagesoup., the suit alleges the authority has continued to collect fees, now holds $5.5 million, and has not paid a claim since 2009. Chairman of DMHRA Mitch Crane says the fee has been approved on an annual basis since 2004 and there is no merit to the lawsuit. He says if that $5 million is returned, residents of a community undergoing usage change would not have assistance. Crane adds the lawsuit is to prevent SB 33 from being enacted, although he is neither for nor against the bill. MHProNews has learned the measure is set to be on the Senate floor after it reconvenes June 4.

Ron MacArthur/villagesoup.capegazette—Rehoboth Shores near Long Neck DE

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