Legislature(2011 - 2012)BUTROVICH 205
04/15/2011 01:30 PM Senate JUDICIARY
| Audio | Topic |
|---|---|
| Start | |
| SB89 | |
| SB98 | |
| SB104 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | SB 89 | TELECONFERENCED | |
| += | SB 104 | TELECONFERENCED | |
| += | SB 98 | TELECONFERENCED | |
SB 104-MANUFACTURED HOMES AS REAL PROPERTY
2:47:20 PM
CHAIR FRENCH announced the consideration of SB 104 and asked for
a motion to adopt the proposed committee substitute (CS),
version D.
2:47:44 PM
SENATOR WIELECHOWSKI moved to adopt CS for SB 104, labeled 27-
LS0467\D, as the working document.
CHAIR FRENCH objected for discussion purposes.
ANDY MODEROW, Staff to Senator French, described the changes as
follows:
Sec. 40.17.125(a) was modified so that the recorder's
office won't have to determine whether an affixation
or severance affidavit meets requirements under Sec.
34.85, which relates to how a manufactured home is
affixed to real property. Under AS 40.17.035, the
recorder's office cannot be tasked with determining
whether the contents of a document are legally
sufficient to achieve the purposes of the document;
instead, as clarified under the regulation, the person
submitting documents for recording must ensure that
the prerequisites for recording as established by
regulation and statute are met.
CHAIR FRENCH noted that Whitney Brewster with the Division of
Motor Vehicles, Vicky Backus with the State Recorder's Office,
Jeff Harris with Wells Fargo, and Pat Green with Wells Fargo
were available online to answer questions.
MR. MODEROW continued as follows:
Sec. 40.17.125(b) received two minor changes in the
CS. The first modifies the action taken by the
recorder on the recording affidavit, changing "write"
to "place" on page 20, line 30, of the legislation.
This change reflects that the recording office no
longer writes on recorded affidavits - instead, they
affix bar codes that contain relevant information. In
addition, the original draft required an affidavit to
be recorded in land records; in the CS, Sec.
40.17.125(b) changes "in land records" to "the public
record," to match where the recorder files land
records today.
Sec. 40.17.125(c) in the original draft (version I)
was removed in the CS. This language required the
recorder's office to automatically send a certified
copy of the recorded affidavit to a person designated
on an affidavit. This doesn't match current recording
office procedures, which require an individual to
request and pay for certified copies of affidavits.
In regards to this last change, conforming amendments
were made to Sec. 34.85.060(12) and Sec. 34.85.120(7)
in Section 26 of the CS to remove references to the
automatic mailing of a certified affidavit. In
addition, Sec. 28.10.266(7) and Sec. 28.10.266(8) of
the CS, found in Section 16 on page 10 of the
legislation, were modified to ensure that an affidavit
complies with affixation requirements under Sec. 34.85
of the legislation.
Page 6, Section 16, of the original draft required DMV
to notify a primary lienholder of completed conversion
procedures when the conversion involved cancelling a
manufacturer's certificate of origin or title. But
under Sec. 28.10.267, a conversion cannot take place
until a manufactured home is free and clear of all
liens and encumbrances. Because a primary lienholder
would never exist through a conversion procedure, the
lienholder notification provisions were replaced in
the CS with language that allows the applicant to
indicate one person, in addition to the owner, that
receives written acknowledgement of completed
conversions under Sec. 28.10.262-265. This change is
reflected in Sec. 28.10.262(c), 28.10.263(c),
28.10.264(d), 28.10.265(c), 28.10.266(12), of version
D.
2:51:31 PM
SENATOR PASKVAN referenced page 15, lines 14-20, and asked what
the lessor of the real property consents to, and what interest
in the real property the lessor of the park gives up or has
subject to the real estate loss.
MR. MODEROW deferred to the Wells Fargo representative.
2:52:34 PM
PAT GREEN, State Government Relations Director, Wells Fargo
Bank, said this legislation is primarily intended for those
manufactured home owners that also own the land under the home.
CHAIR FRENCH asked Mr. Harris if he could tell the committee
what the lessor of the real property is consenting to under Sec.
34.85.040(2).
2:53:17 PM
JEFF HARRIS, Loan Administration Manager, Wells Fargo Home
Mortgage, Anchorage, AK, explained that an individual that has a
home in a mobile home park would need to move the manufactured
home onto a piece of land they own in order to affix it, get a
fee simple transaction, and get a mortgage on the home. The
homeowner must own the land and home together get a mortgage.
CHAIR FRENCH asked if he agrees that a mobile home owner in a
park could get a mortgage if he had a 20-year lease and the park
owner consents.
MR. HARRIS replied there's less risk with a long-term lease, so
that option was put into the legislation.
SENATOR PASKVAN asked if deficiency judgments would be
prohibited, assuming that any foreclosure would be non-judicial.
MR. GREEN answered yes. His understanding is that, in the event
of default, all the normal real property foreclosure procedures
would be followed.
MR. HARRIS agreed; the foreclosure proceedings would be the same
as for a "stick-built" home
CHAIR FRENCH announced he would hold SB 104 in committee.
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