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In the case of the tenant/resident who already occupies a space in a community without a Rental Agreement, a written agreement should be prepared and presented to the tenant for signature. The written agreement should incorporate the basic provisions of the existing oral agreement. If the tenant refuses to sign the agreement try to find out the basis of the tenant's objection. If changes can be made that are satisfactory to you and the tenant, then the changes should be made in agreement, initialed, signed and dated. If the tenant still refuses to sign the Rental Agreement, whether changed or not, you should give or mail the tenant a copy of the Rental Agreement that the tenant/resident refused to sign. The date of the mailing or delivery should be indicated on both your copy and the tenant's copy. If mailed, keep a copy of the cover letter that you send along with the tenant's copy of the Rental Agreement. You cannot force a resident to sign a rental agreement if they have been living in the community without a rental agreement.

ORS 90.710 (2) (d) allows, "Notwithstanding ORS 41.580 (1), if a landlord and tenant mutually agree on the terms of an oral agreement for renting residential property, but the tenant refuses to sign a written memorandum of that agreement after it has been reduced to writing by the landlord and offered to the tenant for the tenant's signature, the oral agreement shall be enforceable notwithstanding the tenant's refusal to sign". 

Answer. Accepting rent for the period beyond the Deadline means that the tenant is entitled to occupy the space even after the failure to cure within the 30-day cure period. Yet the failure to cure is the event after which the landlord may file for eviction; the tenant has no legal right to remain on the space. Accepting rent for that period creates a waiver of the right to treat the failure to cure as a default upon which the eviction may be filed.

There are perhaps three ways to prevent that from happening, so that a landlord may receive rent for the entirety of the second month, notwithstanding the fact that it covers a period beyond the Deadline.

1. The preferred way in my opinion, is to extend the cure period in the notice. When it is issued, extend the 30-day cure period so that it goes through the 30^thor 31^stday (as applicable) of the second month.

EXAMPLE:If a 30-day notice is mailed on March 19, normally, the time to cure would end 33 days hence, i.e. starting with March 20 being the first day, and ending at midnight April 21^stas the end of the cure period. In that case, the landlord can either take no rentfor April or take rent proratedthrough the 21 days of April. 

But if the cure period in the notice is extended through April, and ends  at midnight (end of day) on April 30^ththe L could accept rent for the entire month of April. If the tenant pays the rent for April andcures the violation by April 30, the problem has gone away.  

Of course, there still is a problem if the tenant does not cure and does not pay any rent, if the courts are still closed and no eviction (either for the failure to cure, or failure to pay after issuance of a 72-hour notice) can be filed.

2. Another alternative is to unilaterally extend (in writing) the cure period for another 30 or 31 days on condition rent was paid, to span the following month. Can a landlord do that? In my opinion yes – it does not reduce a tenant right, but expands it. Of course, a judge could see it differently.

3. Lastly, the landlord can try to enter into a written agreement with the tenant (after issuance of the 30-day notice) that acceptance of rent for the balance of the second month shall not be construed as a waiver. But what’s in it for the tenant?

The only time this seems feasible is where the tenant is cooperative about curing within the 30 days, and agrees in writing that if landlord accepts the full rent for the second month it will not constitute a waiver.

MHCO Editor's Note:  This summary is extensive with a lot of information.  A PDF copy of the same summary as below is attached above (the attached pdf version may be a more appropriate format) along with five new or revised MHCO forms that will be necessary for your to use for non payment of rent evictions.  These forms are not 'fillable' and can only be found on this web site attached to this article.  As we move through the COVID-19 crisis MHCO will likely be updating and revising these forms - please use the forms on the MHCO web site for the most current.  Thank you for your patience.

By Phillip C. Querin, MHCO Legal Counsel

Background. HB 4401 was signed by the Governor on December 23, 2020. It was the product of the Oregon Legislatures Third Special Session. 

Ostensibly, this was to be an extension of the current eviction moratorium that was scheduled to expire on Jan. 1. The new moratorium will now expire on July 1, 2021. However, if an extension was all the legislators sought to accomplish, they exceeded their own stated expectations. Actually, they had to deal also with HB 4213, which was the product of 2020’s First Special Session. 

In response to Covid-19 related financial hardships, the Oregon government passed HB 4213 in mid-2020. The bill prohibited evictions for nonpayment of rents, charges, and fees and no-cause evictions throughout a defined “Emergency Period.” The Emergency Period originally ran from April 1, 2020 to September 30, 2020. 

HB 4213 further established an additional six-month elective “Grace Period” during which the tenant could arrange to pay back their accrued rent arrearages. The tenant was required to pay back their outstanding rents, charges, and fees at the end of the Emergency Period unlessthey notified their landlord that they intended to use the additional six months.  The Grace Period originally began at the end of the Emergency Period and ran until March 31, 2020. Landlords were prohibited from filing nonpayment and no-cause evictions based on unpaid rent accrued during the Emergency Period. 

All rents, charges, and fees accruing outside of the Emergency Period still must be paid as agreed under the rental or lease agreements. For-cause evictions were always still available to landlords.

On September 28, 2020, in recognition that Covid-19 hardships were still continuing, Governor Brown issued Executive Order 20-56 which extended the Emergency Period and corresponding prohibition on no-cause and nonpayment residential evictions to December 31, 2020. The executive order did notextend the Grace Period – all back rents, charges and fees accrued between April 1, 2020 and December 31, 2020 were still due on or before March 31, 2020.

Unfortunately, what occurs when (a) drafters are rushed, and (b) their work product is not subject to any review or amendment, as was the case with HB 4401, the result is a bill that creates more questions than answers. While it purports to provide funding for landlords who have suffered as a result of the many Executive Orders and makeshift legislation such as HB 4312, the reality is not promising. Why? Because the success of the bill still requires the Oregon Legislature to put some money where its mouthlegislation is – the program must still be funded, and HB 4401 did nothing to address that issue.  

Oregon House Bill 4401.This bill was passed December 21, 2020, and signed by the Governor on December 23, 2020. It accomplished two major objectives[1]:

1) Directing the Oregon Housing and Community Services Department to implement a program for direct aid to landlords reimbursing a percentage of outstanding rents; and 

2) Modifying the Emergency Period and Grace Period created under HB 4213 for tenants who claim financial hardship. 

The Program.  HB 4401 authorizes the Oregon Housing and Community Services Department (“OHCS”) to pay residential landlords 80% of unpaid rents due after April 1, 2020 and up to the date of the application, for certain qualified tenants. 

Landlords,[2]or their designees, must apply to OHCS to qualify for distributions for tenants who: 

1. Have not paid rent, and
2. Have submitted a signed Hardship Declaration Form. (OHCS is directed to expedite implementation of the landlord compensation fund but the exact look and function of the program is unknown as of the writing of this summary.)

OHCS will develop an online application system to handle reimbursement requests. The application and related forms will be available in English, and translated for non-English speakers as well.[3]The program will also have more than one application period to assure broader reach and eligibility. It is unclear at this time how many application periods will be available. Landlords should be eligible to apply more than once, state funds allowing, if unpaid rents and fees continue to accumulate after the first application and distribution. 

Landlord application. It will require, at a minimum:

1. A copy of the tenants’ Hardship Declaration Forms;
2. A description of the unpaid rent for all current tenants;
3. An agreement to forgive the remaining 20% of unpaid rent for  tenants accrued between April 1, 2020 and the date of the application;
4. An agreement that, should the landlord receive from the tenant, or on the tenant’s behalf, any portion of the unpaid rent (forgiven or paid through the distribution) within a certain window specified by OHCS, that they will repay OHCS;;
5. An agreement that the landlord is not seeking reimbursement for rents due from immediate family members;[4]
6. An agreement that while the application for reimbursement is pending, the Landlord will not terminate[5]a tenant without cause or for non-payment;[6]
7. Any other information or requested by OHCS in the application;

In order to reach landlords who are struggling the most (i.e. fewer rentable units or a higher percentage of outstanding rents) OHCS may establish qualifications, priorities, restrictions or limits on distributions, which may include:

1. Limits per tenant, per landlord, or per time period; 
2. The number of units a landlord must own; or 
3. The percentage of total rent unpaid.

OHCS may coordinate with the local housing authority to administer the rules and distribute the reimbursement funds. Either OHCS or the appropriate housing authority will notify tenants of the distribution to the landlord on their behalf and the agreed-upon amount of forgiveness to which they are entitled. OHCS may also conduct outreach to landlords and tenants, including non-English speaking parties.

Eviction Moratorium Extension. The Landlord distribution program provisions are set to automatically repeal on January 2, 2023. 

Forms.

Emergency Period and Grace Period Extensions.  For all renters, the Emergency Period (until December 31, 2020)[7]and Grace Period (through March 31, 2021) as defined in HB 4213 remain unchanged, unless:

1. The landlord fails to provide a Notice of Eviction Protection (see MHCO Form 111 below); and
2. The landlord fails to provide tenant with a Tenant’s Hardship Declaration Form (see  MHCO Form 110 below); together with
   1. AnynoticegivenunderSection3(5)(c),chapter13,OregonLaws2020(firstspecial session) (Enrolled House Bill4213);[8]and
   2. Everyterminationnoticefornonpayment of rentdeliveredbeforeJune30,2021;and

c. Anysummonsforevictionbasedonaterminationnoticefornonpayment  delivered before June 30, 2021;

---OR---

3. Tenant fills out and returns the Hardship Declaration Form asserting financial hardship.

Afteratenantdeliversacopyofthe Hardship Declarationto the Landlord,theEmergencyPeriodandendoftheGracePeriodareextendedtoJune 30,2021. During that time, the landlordmaynot takeorattempttotakeanyactiontointerferewithatenant’spossession.

The Hardship Declaration Form. It may be submitted to the landlord at any time, up to and including the first appearance in an action to recover possession. Delivery of the Hardship Declaration Form may result in dismissal of no-cause or nonpayment eviction proceedings during the Emergency Period and Grace Period.

Landlords may not: 

1. Challenge the accuracy of a tenant’s Hardship Declaration in an eviction proceeding;
2. Require additional information beyond what is required by the Hardship Declaration Form; 
3. Demand more than one copy of the Hardship Declaration per household or tenancy; 
4. Prohibit the tenant from submitting a Hardship Declaration in a language other than English if the tenant is using an approved translated form from the courts; 
5. Prohibit the tenant from submitting the Hardship Declaration to the landlord in any manner, format or means available, including but not limited to, a photograph of the document submitted by email or text message.

Evictions During the Emergency and Grace Periods.  Only the following landlord evictions are permitted during either of these two periods:

1. Evictions for violation of a rental agreement, other than non-payment may continue;
2. Evictions for nonpayment occurring before April 1, 2020 may also continue;
3.  “Landlord-cause” evictions[9]are allowed after the first year of occupancy. Landlord cause evictions include:

1. Demolition or converting dwelling unit to non-residential use;
2. Intent to make repairs/renovations to the dwelling unit within a reasonable time, and the building is unsafe/unfit or occupancy or will be unsafe/unfit for occupancy during the repair/renovation period; 
3. Landlord intends for immediate family member to occupy dwelling unit as a primary residence and no comparable units at the same location are available; or 
4. Landlord has accepted an offer to purchase the dwelling unit; purchaser will use unit as a primary residence.[10]

Important Changes to Landlord Nonpayment of Rent Notices.  The 72-hour nonpayment of rent notice under ORS 90.394 is now a 10-day notice ending at 11:59 pm. The 144-hour nonpayment of rent notice is now a 13-day notice ending at 11:59 pm. These changes expire July 1, 2021.[11]

Tenant Relief for Landlord Violations.  Any violation of the above rules may result in the tenant being granted an injunction to recover possession or address any other violations, and the award of the equivalent of three-months rent on top of any actual damages. Landlord’s violation of the above rules will also give the tenant a defense to an eviction. In addition, tenant will be entitled to prevailing party fees, attorney fees or costs and disbursements unlessthe landlord can demonstrate:

1. That they delivered the required Notice of Eviction Protection and Hardship Declaration Form;
2. That they did not know or have reason to know at the time they filed the action that the Hardship Declaration Form had been completed and returned; and
3. That they promptly dismissed the action upon learning of the existence of the completed forms.

Summons and Complaint Forms: Note: Changes resulting from the Eviction Moratorium laws, and HB 4401’s changes to Landlord-Tenant statutory language are reflected in the  Summons and Complaint forms for residential evictions.[12]Summons and Complaint revert to the standard language on July 1, 2021.

Expiration. Under the terms of HB 4401 the provisions related to the eviction moratorium will automatically repeal on July 1, 2021.

Miscellaneous Provisions and Changes to HB 4213. 

1. A landlord may apply a last month’s rent or security deposit to the Nonpayment Balance if a tenancy terminates prior to the end of the relevant Grace Period;
2. Tenants with a Nonpayment of Rent Balance who are still within their Grace Period are not considered to be in default;
3. A landlord may accept partial payment of rents, charges and fees during the Grace Period. It does not constitute a waiver of the landlord’s right to terminate a tenancy for cause; nor to terminate a tenancy for nonpayment after the expiration of the relevant Grace Period;
4. Amendments to HB 4213 expire on September 1, 2021;
5. For all  Nonpayment evictions, the statute of limitations is tolled and does not begin to run against the Nonpayment claim until July 1, 2021. 

Unanswered questions.  In no particular order, here are some questions about HB 4401 that are sure to arise:

• What happens if landlord sends the Hardship Declaration to a tenant, who does not respond?
• Since landlords need the tenant’s Hardship Declaration to complete their application for 80% of their unpaid rent, is the landlord stymied?
• While the landlord will be able to file for eviction after the Grace Period ends under the old law (March 31, 2021), HB 4401 is clear that the tenant can submit the Hardship Declaration as late as the first appearance at the FED, and bring the proceeding to a halt.
• So it’s a bit of a guessing game what tenants will do; ignore the landlord’s Notice of Eviction Protection until an FED is filed, or cooperate with the landlord and sign and return the Declaration? What incentive do tenants have to cooperate, if they can wait until the last minute to submit the Hardship Declaration?  
• In any event, no action can be taken against the tenant who does not cooperate until after March 31, 2021 at the earliest. 
• Since the Legislature has no landlord reimbursement program in place yet, one has to wonder when, and if, it will be of any help now.
• There is no question that the landlord funding will eventually be exhausted, and some will be left out. 
• So, the take-away right now is that landlords should immediatelyreach out to their tenants in arrears, get their Hardship Declarations signed, so the application for reimbursement can be processed as soon as possible. 80% of unpaid rent is better than nothing - which is what could occur if the application is delayed. 

Ø Tenants do benefit by their cooperation, since when the moratorium is extended, they are not at risk of any eviction action until after July 1, 2021.  This is the message landlords need to get out to their tenants.

• Otherwise, a landlord may bring an evictionfornonpaymentofrent,chargesandfeesaccruedfrom April1,2020,toDecember31,2020 immediately after March31,2021. Perhaps this also should be part of the landlord’s message.

[1]The bill also made a few additional changes to Oregon Landlord-Tenant statutes which will be addressed below

[2]“Landlord,” for the purposes HB 4401, includes a manufactured dwelling park nonprofit cooperative.

[3]The bill does not specify which non-English languages OHCS must provide, but specifies later that the Oregon Judicial Department provide translated forms (including the Hardship Declaration Form) in Spanish, Korean, Russian, Vietnamese, and Chinese.

[4]Landlord may not seek reimbursement for any tenants that are immediate family members. For the purposes of this law “immediate family” means: a) an adult person related to the landlord by blood, adoption, marriage or domestic partnership; b)an unmarried parent of a joint child; c) a child, grandchild, foster child, ward or guardian of the landlord; or d) child, grandchild, foster child, ward or guardian of any person listed in (a) or (b). (“immediate family” definition from ORS 90.427)

[5]“Termination notice without cause” means a notice delivered by a landlord under ORS 90.427 (3)(b), (4)(b) or (c), (5)(a) to (c), or (8)(a)(B) or (b)(B) (HB 4213)

[6]“Nonpayment” means the nonpayment of a payment that becomes due during the Emergency Period to a landlord, including a payment of rent, late charges, utility or service charges or any other charge or fee as described in the rental agreement or ORS 90.140, 90.302, 90.315, 90.392, 90.394, 90.560, or 90.630. (HB 4213)

[7]Emergency Period Extended to December 31, 2020 by Executive Order 20-56; confirmed in HB 4401 Section 8 (Amendment to Section 3, Chapter 13, Oregon Laws 2020 (first special session )(Enrolled House Bill 4213))

[8]Under the original version of HB 4213, there is no Section3(5)(c). To find the required contents of the voluntary notice referred to in 2) a., one must look to the new HB 4401 Section 8 and follow the amended language. 

[9]See, ORS 90.427(5)(a)-(d).

[10]Note: This does not include listing or marketing the home for sale. Seller/landlord would have to have a pre-arranged buyer who was willing to buy without inspections, etc., or a tenant who was willing to permit the same with 24-hour notice. Of course, seller/landlord could always make financial arrangements with tenant for concessions.

[11]Amendments to 90.394 (2)(a) and (b). These changes from hour-notices to day-notices affect several other statutes that refer to 90.394. Changes revert to original language on July 1, 2021.

[12]For summons language: see ORS 105.113 (as amended by HB 4401 Section 13); for complaint form: ORS 105.124 (as amended by HB 4401 Section 15)

Answer. Here is a quick summary of ORS 90.725, the access statute for manufactured housing communities; it is quite long and complicated.

A landlord or a landlord's agent may enter onto a rented space, not including the tenant's manufactured dwelling or floating home or an accessory building or structure, in order

• to inspect
• to make necessary or agreed repairs, decorations, alterations or improvements, supply necessary or agreed services, perform agreed yard maintenance, equipment servicing or grounds keeping or exhibit the space to prospective or actual purchasers of the facility, mortgagees, tenants, workers or contractors.

The right of access of the landlord or landlord's agent is limited as follows:

• serving notices
• emergency
• tenant requested repairs or maintenance
• per written yard maintenance agreement requires the landlord to perform yard maintenance, equipment servicing or grounds keeping for the space:

In all other cases, unless there is an agreement between the landlord and the tenant to the contrary regarding a specific entry, the landlord shall give the tenant at least 24 hours' actual notice of the intent of the landlord to enter and the landlord or landlord's agent may enter only at reasonable times. The landlord or landlord's agent may not enter if the tenant, after receiving the landlord's notice, denies consent to enter. The tenant must assert this denial of consent by giving actual notice of the denial to the landlord or the landlord's agent prior to, or at the time of, the attempt by the landlord or landlord's agent to enter.

A landlord shall not abuse the right of access or use it to harass the tenant. A tenant shall not unreasonably withhold consent from the landlord to enter.

A landlord has no other right of access except:

• pursuant to court order;
• as permitted by ORS 90.410 (2) (Tenant's failure to give notice of absence);
• as permitted under ORS 90.539 (Entry to read submeter); or
• when the tenant has abandoned or relinquished the premises.

If the tenant refuses to allow lawful access, the landlord may obtain injunctive relief to compel access or may terminate the rental agreement pursuant to ORS 90.630 (1) and take possession in the manner provided in ORS 105.105 to 105.168. In addition, the landlord may recover actual damages.

If the landlord makes an unlawful entry or a lawful entry in an unreasonable manner or makes repeated demands for entry otherwise lawful but that have the effect of unreasonably harassing the tenant, the tenant may obtain injunctive relief to prevent the reoccurrence of the conduct or may terminate the rental agreement pursuant to ORS 90.620 (1) (Termination by tenant). In addition, the tenant may recover actual damages not less than an amount equal to one month's rent.

Based upon the above, it is my opinion that if you give 24 hour advance notice, you may install the lighting as a necessary safety feature for all residents. The same applies to repair of the lighting. However, here's the conundrum. If you ask for "permission" to install the new lighting, it could be denied, and then you have to go to court for permission. So rather than asking for "permission", I suggest you confer with the affected tenants and work with them on the access, i.e. presume you have the right to do so, and collaborate with the resident on timing, etc. Their main concern will likely be whether it will flood their house with light at night. You need to be sensitive to that issue.

Tips: When giving the 24-hour access (MHCO Form 51), it is sufficient if you give it at least 24 hours in advance covering a particular period of time. I don't recommend just 24 hours; if you know the installer will be out on October 10, don't give the notice on October 9. Give as much advance notice as possible. Secondly, if the installer will take three days to complete the job, you don't have to give 24-hours' notice each day they return. If you understand it will be a three day job, add a couple more for Murphy's law, and then give a notice saying something to the effect that "Commencing on XXX date and continuing until YYY day, ABC company will be at your space (No. ___) between the hours of ______ AM and ______ PM [times must be reasonable - PCQ] to install new safety lighting for the community." And presumably, since you've already addressed tenant concerns, that should suffice, and the advance collaboration will reduce the chance of push-back. Good luck!

Answer: One issue is accepting rent from a possessor after the legal tenant has gone. This can occur, for example, where someone is residing at the space under a Temporary Occupancy Agreement, but the approved tenant, no longer resides there. Alternatively, the person could be a lawful visitor, who has overstayed their permitted time, and the legal resident has left. ORS 90.403 deals with this:

90.403 Taking possession of premises from unauthorized possessor. (1) If an unauthorized person is in possession of the premises, after at least 24 hours' written notice specifying the cause and the date and time by which the person must vacate, a landlord may take possession as provided in ORS 105.105 to 105.168 if:

(a) The tenant has vacated the premises;

(b) The rental agreement with the tenant prohibited subleasing or allowing another person to occupy the premises without the written permission of the landlord; and

(c) The landlord has not knowingly accepted rent from the person in possession of the premises.

(2) Service of notice under this section does not create a right of tenancy for the person in possession of the premises. [2005 c.391 _12] (Emphasis added.)

In this case, it can be fatal to a landlord's effort to remove that person if rent is accepted. If rent is in the form of a check, cash or money order, I can think of no reason to accept it. Period. Since the person is an unlawful occupant, I'm not concerned that there is no rule on it, since the statute clearly gives you the legal entitlement to evict.

The other issue arises when a lawful resident resides in the space, but they have an occupant who has not been approved as a co-tenant or a temporary occupant. If you are going to accept them as a temporary occupancy, get them on a Temporary Occupancy Agreement. You can do a criminal background check, but not a financial one, since they are there not to subsidize the tenant's rent, as in co-tenancy. Accordingly, do not accept rent in any form from temporary occupant, unless it is drawn on the tenant's sole account and the check bears that out.

As to unlawful occupants who are staying at the space, but have not been approved as a tenant, the issue of the form of payment misses the larger point - which is waiver. If the person is unauthorized, and you know of their occupancy, insist that they apply for tenancy, and make sure they do not stay beyond the time allowed for visitors under the park rules. The issue of waiver is not just a question of accepting a check from the unapproved person. Acceptance of rent from the lawful tenant when you know he or she is housing an unapproved person, can also result in waiver.

ORS 90.412 provides in part:

(2) Except as otherwise provided in this section, a landlord waives the right to terminate a rental agreement for a particular violation of the rental agreement or of law if the landlord:

(a)During three or more separate rental periods, accepts rent with knowledge of the violation by the tenant; or

(b)Accepts performance by a tenant that varies from the terms of the rental agreement.

(3)A landlord has not accepted rent for purposes of subsection (2) of this section if:

(a)Within 10 days after receipt of the rent payment, the landlord refunds the rent; or

(b)The rent payment is made in the form of a check that is dishonored. (Emphasis added)

So the take-away here is that you do not want to accept rent from anyone, even the tenant, when you know they are violating the rules, such as keeping an unapproved occupant at the space. If you accept rent from the lawful tenant under these circumstances, return it within ten days after receipt - if the check has been cashed, write a new check back to the tenant with an explanation, and demand that the unpermitted person apply for tenancy. Under the statute, waiver will not occur for the first two events of accepting the rent without returning is within ten days. The third or subsequent time can constitute a waiver. Waiver does not occur if the rent is properly returned within the ten day period, no matter the number of times it's tendered.

As for taking a rent check from the unapproved person, I don't recommend doing so unless the check is drawn on the tenant's own account. If it's a joint account with the unapproved person, don't accept it. The same holds true of any other form of payment (e.g. cash or money order) unless there is clear evidence that it came from the lawful tenant. Just remember, though, that acceptance of rent from the lawful tenant - in any form - can count as a waiver under ORS 90.412 if you know they have an unlawful occupant at the space.

As for a park rule, I think it's always a good idea to have a rule about the time, place and form of payment. It's OK to say non-residents cannot pay the space rent for residents, but even without such a rule, I believe you are within your rights to refuse payment. Rent is defined at ORS 90.100(37) as follows:

Rent means any payment to be made to the landlord under the rental agreement, periodic or otherwise, in exchange for the right of a tenant and any permitted pet to occupy a dwelling unit to the exclusion of others and to use the premises. (Emphasis added.)

Since the payment from the unauthorized resident is not from a "tenant", and not pursuant to the "rental agreement", and not "in exchange for the right to occupy" the space, it's my opinion that, with or without a rule to this effect, you are within your rights to reject it, regardless of form.

Tip: Although Form 55 is only for use when there is disrepair or deterioration to the exterior of the home itself, the definition of a manufactured dwelling in ORS 90.100 includes “an accessory building or structure,” and that term includes sheds and carports and “any portable, demountable or permanent structure”. Accordingly, even though the damage or deterioration may relate to accessory buildings or structures – and not to the home itself – they too are subject to the new law.

30-day and 60 Repair Periods.  If the disrepair or deterioration to the exterior of the home or related structures creates a risk of imminent and serious harm to dwellings, homes, or persons in the Community (e.g. dangerously unstable steps, decking or handrails), there is a 30-day period to repair.

For all other (i.e. non-dangerous) conditions, the minimum period to cure is now 60 days.  As before, the new Form 55 provides a place for landlords and managers to specifically describe the item(s) in need of repair.

Trap: If there is imminent risk of harm, and the landlord/manager intends to give the tenant 30 days rather than 60 days, SB 277A requires that they not only describe the item(s) in disrepair, but also describe the potential risk of harm.  There is little question but that the failure to do so would invalidate the notice. The new Form 55 prompts users to describe both the violation and the potential risk of harm.

Tip: The new Form 55 contains a prompt at several places to attach additional pages, documents or photos, if doing so would be helpful in identifying the disrepair or deterioration, and the necessary repair. Remember, you cannot expect the tenant to be a mind reader – just because you know the nature of the problem and the appropriate repair, does not mean the tenant is on the same page. If there is any ambiguity in the notice, a court would likely rule in favor of the tenant. Why? Because the landlord/manager filled out the Notice and had the ability at that time to draft it with sufficient clarity.

Service of the Notice.  Most landlords and managers are familiar with the various methods of effecting service of notices. However, if in doubt, check the statutes. They are contained at ORS 90.155 (Service or delivery of written notice) and ORS 90.160 (Calculation of notice periods).  You can never be too careful; a notice giving a single day less than legally required, can result in the case being thrown out.

Statutory Definitions. The new ORS 90.632 defines “disrepair” and “deterioration”, and for the most part, they are quoted in MHCO’s new Form No. 55:

“Disrepair” means being in need of repair because a component is broken, collapsing, creating a safety hazard or generally in need of maintenance.  It also includes the need to correct a failure to conform to applicable building and housing codes at the time: (a) Of installation of the manufactured dwelling or floating home onthe site, or (b) The improvements to the manufactured dwelling or floating home were made following installation on the site.

“Deterioration” includes, without limitation, such things as a collapsing or failing staircase or railing, one or more holes in a wall or roof, an inadequately supported window air conditioning unit, falling gutters, siding or skirting, or paint that is peeling or faded so as to threaten the useful life or integrity of the siding. Deterioration does not include aesthetic or cosmetic concerns.

Trap:  Note that the definition of “deterioration” refers to “…paint that is peeling or faded so as to threaten the useful life or integrity of the siding.” (Underscore added.)  Before requiring a tenant to paint their entire home, it might be prudent to confer with a qualified painter who, if necessary, would be prepared to testify that the poor condition of the paint would likely threaten the useful life or integrity of the siding (at least as to the affected  area). This could avoid arguments in the future about whether the entire home or structure actually needed to be repainted.  In any event, management should be careful when issuing Form 55 to make sure that: (a) It is not issued for minor repairs bordering on the cosmetic, and (b) Required repairs are not overly burdensome or broad. For example, if one side of the home is exposed to the weather and in need of repainting, there may be little reason to insist that the resident repaint the entire home.

Necessary Repairs.  As before, SB 277A requires that management specifically describe what repairs are required to correct the disrepair or deterioration. In the new Form 55 we have included instructions both to the Cause section of form, and also to the Necessary Repairs section. And don’t forget to attach additional pages, documents or photos, if it might be helpful; the more illustrative examples of what is wrong with the home and what repairs are necessary, the less room there is to argue about it later.

Right to Extension of Time.  There are three circumstances in which a resident may request an extension of the 60-day compliance deadline. Note however, as discussed above, there is no right to any extension if the adverse condition would pose a risk of serious harm.

• Additional 60 days. If the necessary repairs involve exterior painting, roof repair, concrete pouring or similar work, and the weather prevents that work during a substantial portion of the existing 60-day periodto cure;
• Additional 60 days.  If the nature or extent of the correction work is such that it cannot reasonably be completed within the 60-day cure period due to the type and complexity of the work and the availability of necessary repair persons;
• Additional 180 Days (Six Months). If the disrepair or deterioration existed for more than the preceding 12months with the landlord’s or manager’s knowledge, or rent had been accepted over that time.

Tip: The law requires the tenant to make a written request for an extension of time if it is sought in a reasonable amount of time prior to the last day of the 60-day compliance period. There are two issues, however: (a) How long an extension is the tenant asking for – 30 days, 40, 50, or 60? (b) Obtaining an extension also extends the deadline for compliance.  An oral extension does not nail down the additional time in writing and may not identify the new deadline. Accordingly, landlords and managers should insist on a written request from their tenants and should consider putting in writing: (a) The amount of time granted; and, (b) The new deadline. That way there can be no confusion about the length of the extension and the outside date that compliance must be completed.

Issue: Does SB277A contemplate that following the request for a 60-day extension, management may agree to less? Possibly, since new law provides that the need for the extra time must be due to certain conditions that prevent that work from occurring during a substantialportion of the existing 60-day period. If confronted with this situation, management should consult with legal counsel.

Notice of Correction. If the tenant performs the necessary repairs before the end of the compliance date, or extended compliance date, they have the right to give the landlord/manager a written notice that the issues have been corrected. There is no fixed time for management’s response as to whether the repairs have been satisfactorily andtimely performed; it is sufficient if it is within a reasonable time following the tenant’s written notice. However, if a tenant gives this notice to management at least 14 days prior to the end of the completion deadline, or extended deadline, their failure to promptly respond is a defense to a landlord’s termination of tenancy.

Sale of Home; Prospective Purchasers. Prior to enactment of SB 277A, Oregon law permitted a tenant to sell their home while the disrepair/deterioration notice was outstanding, permitting the landlord/manager to give a copy of it to the new perspective purchaser, and providing that the sale would not automatically extend the compliance period. Essentially, the new tenant stepped into the shoes of their seller, and became subject to the same notice and time periods.

The practical result of this protocol was that as between the tenant and the prospective purchaser, they could negotiate any price reductions for the necessary work, and the new rental agreement would contain a provision requiring that it be completed within the time prescribed in the original notice, or a permitted extension.  That is no longer the case under the new law.

SB 277A now provides that at the time of giving a prospective purchaser the application and other park documents, the landlord/manager must also give them the following:

• Copies of any outstanding notices of repair or deterioration issued under ORS 90.632;
• A list of any disrepair or deterioration of the home;
• A list of any failures to maintain the Space or to comply with any other provisions of the Rental/LeaseAgreement, including aesthetic or cosmetic improvements; and
• A statement that the landlord/manager may require a prospective purchaser to complete the repairs,maintenance and improvements described in the notices and lists provided.

Tip: Note that the new law combines not only ORS 90.632 notices relating to damage and deterioration of the home or structures, but also a list of failures to maintain the space and other defaults, including aesthetic or cosmetic improvements. This may or may not include 30-day curable notices under ORS 90.630 for failure to maintain the space. But in both cases (i.e. defaults relating to structures, and those relating to the space), the new tenant appears to get the six-month period to comply.

This represents and interesting shift in Oregon law, and possibly for the better. Many parks historically gave “resale compliance notices” to tenants who were placing their homes up for sale. However, until now, there was some question whether a landlord could “require” as a condition of resale, that the existing tenant make certain repairs – absent having first sent a 30-day notice.[1]Now, under the new version of ORS 90.632, it appears landlords may make that list, and let the tenant/seller know that unless the work is completed before sale, it will be given to the tenant’s purchaser upon application for tenancy.

So, if the landlord/manager accepts a prospective purchaser as a new tenant, and notwithstanding any prior landlord waivers of the same issue(s), the new tenant will be required to complete the repairs, maintenance and improvements described in the notices and lists.

Under Section (10) of the revised statute, if the new tenant fails to complete the repairs described in the notices within six months from commencement of the tenancy, the landlord “may terminate the tenancy by giving the new tenant the notice required under ORS 90.630 or ORS 90.632.”  This appears to say that a new tenant who fails to complete the items addressed in the notices and lists within the first six months, will thereafter be subject to issuance of a curable 30-day or 60-day notice to complete the required repairs. Accordingly, this is how the new MHCO Form 55 will read.

What if the landlord had already given the seller a written notice under one of these two statutes, but the compliance period had not yet run at the time of sale? The new statute does not carry over the unused time to the new tenant/purchaser, since under the new law, they will have received essentially the same information upon application, and will now have six months to complete.

Tip: Nonetheless, it is still a good idea to give a detailed 90.632 notice to a tenant before sale. That way, the very same repair issues will be in front of the landlord, existing tenant and prospective purchaser at the same time. It will now become a matter of negotiation between tenant/seller and tenant/buyer as to who will perform the repairs, and when.

Repeat Violations. If one or more of the items that caused issuance of a 30-day or 60-day notice under ORS 90.630 or 90.632 recurs within 12 months after the date of issuance of that notice, the tenancy may be terminatedupon at least 30 days’ written notice specifying the violation(s) and the date of termination of tenancy. In such case, correction of the disrepair or deterioration will not prevent a termination of the tenancy.

Miscellaneous. As under the prior law, a copy of the disrepair and deterioration notice may be given by thelandlord/manager to any lienholder of the tenant’s home.

And during the period of time provided for the tenant to make the necessary repairs, they are still required to payrent up to the termination date appearing in the notice, or, if applicable, any permitted extension period.

Trap: If the rent tendered by the tenant covers days that extend beyond the deadline for compliance, or any permitted extension thereof, it should be returned to them within ten (10) daysafter receipt, pursuant to ORS 90.412(3). This will avoid a waiver of termination of the tenancy described in the notice, should the tenant fail to timely perform the required work.

Conclusion.  Members will see that due to the added complexities of ORS 90.632 (e.g. risk of harm vs. non-risk of harm violations, added detail for explanations, prospective tenant disclosures with application, etc.) the new Form 55 is longer than before. However, despite the added length, we believe it remains user-friendly. 

[1] This is because ORS 90.510(5)(i) provides that the rental or lease agreement for new tenants must disclose “(a)ny conditions the landlord applies in approving a purchaser of a manufactured dwelling or floating home as a tenant in the event the tenant elects to sell the home. Those conditions must be in conformance with state and federal law and may include, but are not limited to, conditions as to pets, number of occupants and screening or admission criteria;

Answer:

It sounds like the tenant vacated without notice.  If that is the case, then you do not necessarily need to refund any rent to the tenant.

On a month-to-month rental agreement, as a landlord you are entitled to a 30-day written tenancy termination notice from the tenant before she is released from rent payments.  (ORS 90.427 (3)(a); ORS 90.220 (8)(f).)  Assuming the tenant did not give you a 30-day notice, you are entitled to rent for 30 days after the vacate date.  This means that you can keep any rent that she has already paid, plus take any remaining rent due for that 30-day period out of the security deposit (if you have one).

There is one caveat, however.  You do have an obligation to make reasonable efforts to re-rent the RV space.  (ORS 90.220 (8)(d); ORS 90.410 (3).)  If you are able to re-rent it, then the old tenancy terminates as of the date the new tenancy begins and you would be liable for returning the rent to the old tenant from that date forward.  (Note: You are not necessarily obligated to steer new tenants to the old tenant's vacant space. The reasonable practice would be to let any new tenants choose which vacant space they want on their own.)

The bottom line is that without a 30-day written vacate notice from the tenant, you can keep the rent until the space is re-rented to a new tenant.  You are then obligated to refund the remaining withheld rent to the previous tenant.  However, as usual, consult a knowledgeable attorney if any complications arise.

(FYI:  If you happen to have any written, week-to-week tenancy agreements, the same rules apply except that the 30-day notice period becomes a 10-day notice period.)

Answer. Your questions are all good ones, but generally are dealt with in the utility pass-through laws.[1] Here is a summary:

1. Right to Pass Through Utilities. If a written rental agreement so provides, the landlord may require tenants to pay a utility or service charge that has been billed by a utility or service provider to the utility or service provided directly to the tenant's space as measured by a submeter

1. Permitted Charges. The utility or service charge to be assessed to the tenants may consist of:
   1. The cost of the utility or service provided to the tenant's space and under the tenant's control, as measured by the submeter;
   2. The cost of any sewer service for stormwater or wastewater as a percentage of the tenant's water charge as measured by a submeter, if the utility or service provider charges the landlord for sewer service as a percentage of water provided; and
   3. A pro rata portion of any base or service charge billed by the utility or service provider, including but not limited to any tax passed through by the provider.

1. Prohibited Charges. The utility or service charge may not include:
   1. Any additional charges (including any costs of the landlord), for the installation, maintenance or operation of the utility or service system or any profit for the landlord; or
   2. Any costs to provide a utility or service to common areas of the facility.[2]

1. Unilateral Amendment. Landlords may unilaterally amend a rental agreement to convert a tenant's existing utility or service billing method to a submeter billing method. The language in the amendment must fairly describe the submetering provisions.

1. 180-day Notice. Landlords must give the tenants not less than 180 days' written notice before converting to a submeter billing method. (PCQ Comment - I believe landlords can send out the unilateral amendment anytime - It does not have to correspond to when they send the 180-day notice out. The "unilateral amendment" language means that the landlord does not need tenant "consent.")

1. Access to Install or Maintain Meters. Landlords must give notice before entering a tenant's space to install or maintain a utility or service line or a submeter that measures the amount of a provided utility or service.
   1. PCQ Comment - The statute does not treat submeter installation as something that must wait until the 180-day notice is mailed. Installation may commence at any time following unilateral amendment of the rental agreement.
   2. The landlord must give tenants at least 24 hours' actual notice of intent to enter and the landlord or landlord's agent may enter only at reasonable times.
      1. PCQ Comment - Although the statute only says "actual notice" (e.g. phone call or phone message left on recorder) I would make sure it is in writing. If it's mailed the landlord would have to add three additional days before gaining entry. If delivered, and the clock time of delivery was put on the notice, the landlord wouldn't have to add any additional time beyond the 24 hours. The 24-hours applies to the minimum amount of advance notice - not to the actual date of intended entry - so long as the entry is not within the 24-hour period.
   3. Landlords may not enter if the tenant, after receiving the notice, denies consent to enter. The tenant must assert this denial of consent by giving actual notice of the denial to the landlord prior to, or at the time of, the attempted entry.
      1. If the tenant refuses to allow lawful access, landlords may obtain injunctive relief to compel access or may terminate the rental agreement with 30-day notice under ORS 90.630 (1). In addition, landlords may recover actual damages. I've never seen this happen, although I have seen situations where some tenants refuse to allow the installation, but they usually come around, since the benefits are well known.
      2. PCQ Comment - Once the amendment is in effect the landlord can start the submeter installation anytime thereafter.

1. Reduction of Base Rent. If the cost of the tenant's utility or service was included in the rent before the conversion to submeters, landlords must reduce the tenant's rent upon their first billing of the tenant using the submeter method.
   1. Although the statute does not set forth a "formula" for calculation, the rent reduction may not be less than an amount "reasonably comparable to the amount of the rent previously allocated to the utility or service cost averaged over at least the preceding six months."
   2. Before landlords first bill the tenant using the submeter method, they must provide the tenants with written documentation from the utility or service provider showing their cost for the utility or service provided to the facility during at least the six preceding months.
2. Prohibition on Subsequent Rent Raises. During the six months following a conversion to submeters, landlords may not raise the rent to recover the costs of installing, maintaining or operating the utility or service system or of new lines or submeters.
   1. Except as part of the rent, landlords may not charge the tenant for the cost of installation or for any capital expenses related to the conversion to submeters or for the cost of maintenance or operation of the utility or service system. (The term "operation" includes, but is not limited to, reading the submeter.)
   2. PCQ Comment: What this means to me is that the landlord can raise rent in the ordinary course after the six month period and apply it toward recoupment of the capital costs. However, I would not "advertise" it and the rent raise statute (ORS 90.600) does not require landlords to do so.

1. Entry to Read Submeter. Landlords or their authorized agent may enter a tenant's space without tenant consent for the purpose of reading a submeter. The following restrictions apply:
   1. Landlords may not remain on the space for a purpose other than reading the submeter.
   2. Landlords may not enter the space more than once per month.
   3. Landlords may enter the space only at reasonable times between 8 a.m. and 6 p.m.

[1] See, ORS 90.531 - 90.539.

[2] Note: Common area utility charges may be passed through, but that right must be included in the rental agreement and the amount passed through per tenant must be calculated on a proportionate basis, e.g. the number of spaces in the park being the denominator.

Answer.   The land is owned by the landlord, not the tenant. While the landlord has certain responsibilities regarding the ground,[1] most of these duties apply at the time in installation of the home.

However, ORS 90.730(3)(g) provides:

(g) Excluding the normal settling of land, a surface or ground capable of supporting a manufactured dwelling approved under applicable law at the time of installation and maintained to support a dwelling in a safe manner so that it is suitable for occupancy. A landlord’s duty to maintain the surface or ground arises when the landlord knows or should know of a condition regarding the surface or ground that makes the dwelling unsafe to occupy;

In this case, I don’t believe the landlord has a duty to backfill the eroded area costing thousands of dollars, but certainly should want to get the tenant relocated as soon as possible. If the home is not habitable due to the dangerous condition of the ground, I believe the tenant should be relocated immediately. If there is danger to the home and tenant, he/she should vacate, and resume occupancy only after the home has been relocated.  In the meantime, I would not recommend accepting rent for a space that is dangerous or not habitable.

If the home is damaged, that is the tenant’s responsibility to repair – hopefully he/she has casualty insurance.

In terms of timing, much depends on the severity of the erosion. As for the cost of the move, that is a good question. The statutes don’t address. I believe it could be covered by the tenant’s insurance company, if there is insurance.  If not, and the tenant cannot afford the move, something has to happen. The landlord’s insurance company may provide coverage, since it was a storm-caused event and affected the park’s property. For example, if the storm cause a tree limb to fall on a tenant’s home, the park’s carrier would likely have to pay. It is not much different with water damage endangering part of the park occupied by tenants. Both water and trees causing storm damage are Acts of God, and this is exactly what liability insurance is for. 

If there is no insurance coverage, I would suggest the cost be borne 50-50 between landlord and tenant, since both need the problem to be resolved, and the current statutes do not provide a clear answer. I suppose if the tenant refused – arguing that the space was created by the landlord, and must assume the risk of erosion along the waterfront – it might end up that the landlord should pay, just to avoid litigation.

If the tenant abandons the home, the landlord would proceed under ORS 90.675. However, absent a written letter from the tenant that they are abandoning the home, I always recommend that it be preceded by a 72-hour notice, because then the 45-day letter can be sent 7 days following entry of an order of restitution, and the landlord does not have to make any assumptions about the tenant’s state of mind.

One note of caution: Before issuing a 72-hour notice in this case, the landlord must relocate the home, since it would be risky to demand payment just because the tenant left a dangerous home.

[1]   90.730 Landlord duty to maintain rented space, vacant spaces and common areas in habitable condition. (1) As used in this section, “facility common areas” means all areas under control of the landlord and held out for the general use of tenants.

      (2) A landlord who rents a space for a manufactured dwelling or floating home shall at all times during the tenancy maintain the rented space, vacant spaces in the facility and the facility common areas in a habitable condition. The landlord does not have a duty to maintain a dwelling or home. A landlord’s habitability duty under this section includes only the matters described in subsections (3) to (6) of this section.

      (3) For purposes of this section, a rented space is considered unhabitable if it substantially lacks:

      (a) A sewage disposal system and a connection to the space approved under applicable law at the time of installation and maintained in good working order to the extent that the sewage disposal system can be controlled by the landlord;

      (b) If required by applicable law, a drainage system reasonably capable of disposing of storm water, ground water and subsurface water, approved under applicable law at the time of installation and maintained in good working order;

      (c) A water supply and a connection to the space approved under applicable law at the time of installation and maintained so as to provide safe drinking water and to be in good working order to the extent that the water supply system can be controlled by the landlord;

      (d) An electrical supply and a connection to the space approved under applicable law at the time of installation and maintained in good working order to the extent that the electrical supply system can be controlled by the landlord;

      (e) A natural gas or propane gas supply and a connection to the space approved under applicable law at the time of installation and maintained in good working order to the extent that the gas supply system can be controlled by the landlord, if the utility service is provided within the facility pursuant to the rental agreement;

      (f) At the time of commencement of the rental agreement, buildings, grounds and appurtenances that are kept in every part safe for normal and reasonably foreseeable uses, clean, sanitary and free from all accumulations of debris, filth, rubbish, garbage, rodents and vermin;

      (g) Excluding the normal settling of land, a surface or ground capable of supporting a manufactured dwelling approved under applicable law at the time of installation and maintained to support a dwelling in a safe manner so that it is suitable for occupancy. A landlord’s duty to maintain the surface or ground arises when the landlord knows or should know of a condition regarding the surface or ground that makes the dwelling unsafe to occupy; and

      (h) Completion of any landlord-provided space improvements, including but not limited to installation of carports, garages, driveways and sidewalks, approved under applicable law at the time of installation.

      (4) A rented space is considered unhabitable if the landlord does not maintain a hazard tree as required by ORS 90.727.

      (5) A vacant space in a facility is considered unhabitable if the space substantially lacks safety from the hazards of fire or injury.

      (6) A facility common area is considered unhabitable if it substantially lacks:

      (a) Buildings, grounds and appurtenances that are kept in every part safe for normal and reasonably foreseeable uses, clean, sanitary and free from all accumulations of debris, filth, rubbish, garbage, rodents and vermin;

      (b) Safety from the hazards of fire;

      (c) Trees, shrubbery and grass maintained in a safe manner;

      (d) If supplied or required to be supplied by the landlord to a common area, a water supply system, sewage disposal system or system for disposing of storm water, ground water and subsurface water approved under applicable law at the time of installation and maintained in good working order to the extent that the system can be controlled by the landlord; and

      (e) Except as otherwise provided by local ordinance or by written agreement between the landlord and the tenant, an adequate number of appropriate receptacles for garbage and rubbish in clean condition and good repair at the time of commencement of the rental agreement and for which the landlord shall provide and maintain appropriate serviceable receptacles thereafter and arrange for their removal.

      (7) The landlord and tenant may agree in writing that the tenant is to perform specified repairs, maintenance tasks and minor remodeling only if:

      (a) The agreement of the parties is entered into in good faith and not for the purpose of evading the obligations of the landlord;

      (b) The agreement does not diminish the obligations of the landlord to other tenants on the premises; and

      (c) The terms and conditions of the agreement are clearly and fairly disclosed and adequate consideration for the agreement is specifically stated. [1999 c.676 §6; 2007 c.906 §40; 2011 c.503 §10; 2013 c.443 §2; 2015 c.217 §7]

Answer. First, one caveat: This Answer is not intended to constitute legal advice. It is educational only, and should not be relied upon by an MHCO member in lieu of consulting their own legal counsel, who is familiar with their own specific factual situation. Let’s start with a definition of a “utility” under Oregon’s Residential Landlord Tenant Act. Like all legislation coming out of Salem, there is no easy answer. The statute is found at ORS 90.315. I will try to summarize the relevant portions for purposes of this Answer: Oregon Law. 90.315 Utility or service payments; additional charges; responsibility for utility or service; remedies. • A “Utility or service” includes but is not limited to electricity, natural or liquid propane gas, oil, water, hot water, heat, air conditioning, cable television, direct satellite or other video subscription services, Internet access or usage, sewer service and garbage collection and disposal. [Italics mine. PCQ] • A landlord must disclose to the tenant in writing at or before the commencement of the tenancy any utility or service that the tenant pays directly to a utility or service provider that benefits, directly, the landlord or other tenants. A tenant’s payment for a given utility or service benefits the landlord or other tenants if the utility or service is delivered to any area other than the tenant’s dwelling unit. [Italics mine.] o If a landlord knowingly fails to disclose such payments, the tenant may recover twice the actual damages sustained or one month’s rent, whichever is greater. • A utility or service charge may only include the cost of the utility or service as billed to the landlord by the provider. o A landlord may add an additional amount to a utility or service charge billed to the tenant if: • The utility or service charge to which the additional amount is added is for cable television, direct satellite or other video subscription services or for Internet access or usage; • The additional amount is not more than 10 percent of the utility or service charge billed to the tenant; • The total of the utility or service charge and the additional amount is less than the typical periodic cost the tenant would incur if the tenant contracted directly with the provider for the cable television, direct satellite or other video subscription services or for Internet access or usage; • The written rental agreement must describe the additional amount separately and distinctly from the utility or service charge; and • Any billing or notice from the landlord regarding the utility or service charge lists the additional amount separately and distinctly from the utility or service charge. • A landlord may not require a tenant to agree to the amendment of an existing rental agreement, and may not terminate a tenant for refusing to agree to the amendment of a rental agreement, if the amendment would obligate the tenant to pay an additional amount for cable television, direct satellite or other video subscription services or for Internet access or usage. • A utility or service charge, including any additional amounts added pursuant to the provisions immediately above, is not rent or a fee. • Nonpayment of a utility or service charge is not grounds for termination of a rental agreement for nonpayment of rent, but is grounds for termination of a rental agreement for cause. • If a landlord fails to comply with the paragraphs above regarding disclosure of the additional charges, the tenant may recover from the landlord an amount equal to one month’s periodic rent or twice the amount wrongfully charged to the tenant, whichever is greater. Without getting into a detailed discussion of the pass-through laws contained in ORS 90.531 – 90.530, suffice it to say that subject to several limitations, park landlords are permitted to pass through utility and service charges to their tenants. So assuming that the landlord’s pass-through program was legally implemented and is legally described in the written rental agreement, the issue is whether the City of Gresham’s “Public Safety Fee” constitutes a “utility or service,” as described in ORS 90.315(1)(b), which provides that it includes but is not limited to: “…electricity, natural or liquid propane gas, oil, water, hot water, heat, air conditioning, cable television, direct satellite or other video subscription services, Internet access or usage, sewer service and garbage collection and disposal.” Clearly, the statute, by its own terms, says that a “utility or service” can include more than what is described above. Unfortunately, it gives no guidance as to what that might be. A quick online check of Oregon definitions, seem to presuppose a “public utility”; e.g. sewer, water and electricity. How, the definition of “utility” is much more generic, i.e. “something useful.” Moreover, we can see from the examples given in the ORS 90.315(1)(b), that several are not publicly owned. And the word “service” is so open-ended as to defy a specific definition, other than “something provided.” Accordingly, the definition of a “utility or service” is not rigidly defined by ORS 90.315, and, depending on the circumstances, can include charges for “useful things or services” imposed by a government body, even though they were not specifically enumerated in ORS 90.315(1)(b). City of Gresham’s Explanation. Now let’s look at the City of Gresham; how do they describe it and what is it intended to do? On its website explaining the fee, the City goes to great lengths to call it “temporary.” It is a single line-item that is added to customers’ water bills. It appears under the heading “Residential Utility Charges.” The Gresham website explanation of the fee is the following: “The temporary Police, Fire and Parks Fee *** goes into effect Feb. 1 for single-family households, multifamily property owners and businesses to help maintain essential police positions and keep our fire stations open. The per-unit fee was shaped by a public input process in 2012 and includes a phase-in for multifamily properties.” The website’s FAQs add the following points: • 95% of the fee proceeds will be used to support public safety services. The remaining five percent will go toward Parks. • Whether or not the fee will be passed on to a tenant will be determined by the lease or rental agreement. • Financial assistance is available to those who qualify. A rental assistance program has been created to help low-income families and individuals pay the fee. Contact Human Solutions at 503-548-0200. The City offers an assistance program that provides emergency funds to help qualified utility customers that are experiencing financial hardship. Apply for the utility bill assistance program at 503-618-2373. Non-profit housing providers who own and operate multifamily properties that are restricted as low-income housing by a recorded regulatory agreement or by the Office of Housing and Urban Development may be eligible for assistance. For more information contact Rachael Fuller at 503-618-2255 or Rachael.Fuller@GreshamOregon.gov. • Owners of multifamily properties will be charged the fee per unit in the building. However, those with more than three units have been granted a gradual phase-in period. These property owners will pay: A 4.1% vacancy discount will be applied to the fee for all multifamily development. Multi-family property owners will pay: o $2.50 per unit for February-March o $5 per unit for April-May o $7.50 per unit from June 2013-June 2014 Conclusion. I have not conducted an in-depth evaluation of this issue or the law. Subject to that limitation, it appears to me that a good argument can be made that the Public Safety Fee is either a utility or a fee, and as such, may be properly passed through to community residents. And since it is a prorated flat fee, it cannot be said to benefit other tenants or the landlord. If and when passed through, it should certainly be explained to the residents, and appear as a separate line item on their invoice.