The Debate Over Mobile Home Parks

  • Because mobile homes can be transported they're not taxed the way permanent homes are. They're taxed like vehicles (when they're bought and sold). Mobile home owners pay a small tax for the small plot of land they sit on. (Photo by Chris McCarus)

People who live in mobile homes might be seeing their property taxes going up. Some government officials say it’s an attempt to tax for the services used and to discourage mobile home parks from sprawling across former farm fields. But others wonder if higher taxes aren’t a form of discrimination against this kind of affordable housing. The Great Lakes Radio Consortium’s Chris McCarus reports:

Transcript

People who live in mobile homes might be seeing their property taxes going up. Some government officials say it’s an attempt to tax for the services used and to discourage mobile home parks from sprawling across former farm fields. But others wonder if higher taxes aren’t a form of discrimination against this kind of affordable housing. The Great Lakes Radio Consortium’s Chris McCarus reports:


(sound of expressway traffic)


The Capital Crossings mobile home park sits on rolling farmland near an Interstate highway. The residents of the 15 homes have moved here either to retire or to make the 30 minute daily commute to nearby Lansing, Michigan. And more mobile homes are being pulled in.


(sound of construction)


Workers are building porches and attaching the skirting between the ground and the house. It’s supposed to show permanence, like a foundation. But mobile homes are not permanent. And mobile homes are not taxed the same way as other houses. They’re taxed like vehicles. Taxed when they’re purchased. Taxed when they’re sold. Still there are no property taxes on the homes. Only on the tiny lots on which they sit.


Some government officials say the $3 a month that these park residents have been paying for property taxes don’t cover the costs of police and fire protection or other government services. They want a tax hike to give local governments more money. Dave Morris is a farmer and the local township supervisor.


“We all have to pay our fair share for services such as sheriff, ambulance, fire department as well as schools. Schools is a big issue of course. And they aren’t paying their share. That’s all.”


But advocates for affordable housing say hiking taxes on mobile home residents is more likely just an attempt to discourage that kind of housing. They say zoning mobile homes out of existence has been tried, but taxing them out is a new idea. Higher taxes will likely lead to mobile home parks closing.”


John McIlwain is with the Urban Land Institute. He says as mobile home parks become more expensive to operate, their owners will sell off to subdivision or big box store developers.


“The numbers are going to be so attractive that the people who own mobile home parks are going to be much more interested in selling the land to a housing developer than in continuing to run the mobile home park. So in time the parks are probably going to disappear on their own anyway and trying to raise the taxes on them specifically is simply going to make that day come earlier.”


In Michigan there is a proposal to raise the taxes on mobile home sites four times higher. State Senator Valde Garcia says the $3 a month that mobile home park owners pay for each home site is not nearly enough.


“What we are trying to do is really change the tax structure so it’s fair to everyone. The system hasn’t changed in 45 years. It’s time we do so but we need to do it in a gradual manner.”


Senator Garcia’s colleagues in the state house have voted to raise the tax to $12 a month. He’d like to raise it to at least $40 a month. The mobile home park industry has hired a public relations firm to produce a video criticizing the tax increase.


“Site built homes pay sales tax only the materials used in their homes and don’t pay tax on resale. Manufactured home owners pay sales tax on materials, labor, transportation profit of a home and they pay sales tax every time a home is resold. ”


The two sides don’t agree on the math. Tim Dewitt of the Michigan Manufactured Housing Association says $3 a month sounds low because it doesn’t show hidden costs. The biggest cost comes when park owners have to pay the higher commercial property tax instead of the lower homestead tax. Dewitt says the park owners then pass the tax to the home owners whose average family income is only about $28,000 a year.


“That’s our worst fear. It could put people who could least afford any type of tax increase into a tough position.”


15 million people live in mobile home parks around the country. And different local governments have tried to find ways to increase taxes on mobile home parks. But Michigan is one of the first states to propose hiking taxes this much. State Senator Garcia says he is not trying to hurt the mobile home industry or make life harder for mobile home park residents. He dismisses the idea that he’s being pressured by wealthier constituents who don’t like to see the mobile home parks being developed.


John McIlwain of the Urban Land Institute says a bias against mobile home parks is part of the mentality that leads to sprawl. When people from the city and the suburbs move a little further into rural areas they want the look and feel of suburbia.


“The mobile home parks are no longer things that they want to see. And so they find ways to discourage those mobile home parks. The ones that are there try to see if they can be purchased, turned into stick built housing or otherwise discourage them and encourage them to move on elsewhere.”


But often the people who move in also want the shopping centers, restaurants and conveniences they once had instead of the mobile home parks.


For the Great Lakes Radio Consortium, I’m Chris McCarus.

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Rust Belt City Desires High Tech Future

  • Wheels are turning both in young minds and innovative transportation. Both could help revive the Rust Belt. (Photo by Max Eggeling)

The loss of traditional manufacturing jobs has hit Great Lakes states hard in recent years. But some business owners believe they are on the cusp of creating a new type of manufacturing base. The Great Lakes Radio Consortium’s Julie Grant spent some time in one community that’s discussing how new businesses can provide a foundation for the future:

Transcript

The loss of traditional manufacturing jobs has hit Great Lakes states hard in recent
years. But some business owners believe they are on the cusp of creating a new type of
manufacturing base. The Great Lakes Radio Consortium’s Julie Grant spent some time in
one community that’s discussing how new businesses can provide a foundation for the
future:


Not long ago, there were lots of good-paying factory jobs in northeast Ohio. But the state
has lost 200,000 manufacturing jobs in the past four years. Some business people and
academics are trying to shape a new economy for the region. Their efforts could be
symbolized by a little bird…


“I need a Sparrow, I need it…”


A sparrow is an electrically charged three-wheel motorcycle that’s fully covered in steel.
It looks like a tear drop… or maybe a gym shoe. David Ackerman isn’t sure if he’d pick
one in bright orange…


“…but look, there it goes, look at it go! Is that the weirdest thing you’ve ever seen? I
love it! It’s like something out of “sleeper.” But it’s very sleek and cool and futuristic…
Does it really go 70? Yeah, it goes 70….”


While Ohio and other Midwestern states might have a tough time competing globally in
the steel market, some economists believe innovative transportation is one way Ohio
could build a foundation for a new economy. The state has put millions of dollars into
fuel cell research, Honda is building hybrid cars in central Ohio, and newer companies
are working to make auto engines cleaner and more efficient.


Some of those business owners gathered with people from the community to discuss how
transportation technology could be part of the region’s future. Bob Chalfant of a
company called Comsense spoke on the panel. He says the technology they’re
developing could have a huge impact…


“…the benefits to Cleveland are jobs. We figure the total market for pressure sensors for
combustion applications is about 2.2 billion dollars.”


Chalfant’s company expects to create 2,000 jobs in Cleveland. But if businesses like
Comsense are going to girder the area’s new economy, they’re going to need educated
employees for their high tech manufacturing jobs. The problem is, many young educated
folks are leaving the Midwest.


Meredith Matthews is a public school teacher in inner city Cleveland. She says they’re
trying to train students for these kinds of jobs, but they need direction from these new
companies…


“I teach in the third world known as the Cleveland Public Schools. I’m introducing
myself, so that if anybody needs kids, we got ’em. If you want to stop by and talk to me,
I’ll show you how to get kids, I’ll show you how to get in the door.”


Local universities and community colleges already have some research and training in
fuel cell technology. But mechanic Phil Lane looks at Cleveland’s poverty rate, the
highest among all big cities in the nation, and wants these companies to start training kids
even younger…


“We need to grab kids in the second and third grade, particularly in the very bad
neighborhoods, before the neighborhood can get to the kid. That’s what we really need to
do.”


Lane says training poor children early would provide a real foundation for a new
economy in Cleveland. Many communities that have lost their job base are starting
similar conversations and searching for ways to fit in to the global marketplace.


For the Great Lakes Radio Consortium, I’m Julie Grant.

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Across the country, there’s a homeless population you may not have
heard a lot about. It’s not people…but cats. And as the Great Lakes
Radio Consortium’s Wendy Nelson reports, there’s a growing movement
underway to help them: