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Delaware General AssemblyDelaware RegulationsMonthly Register of RegulationsFebruary 2015

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1 DE Admin. Code 202
2. House Bill 234, as amended and adopted by the 147th General Assembly of the State of Delaware and recently signed into law made several amendments to the Rent Justification Dispute process. As authorized by 29 Del.C. §10113(b)(5), at its Board meeting held on December 11, 2014, the Authority adopted certain amendments to the Rent Justification Rules to make them consistent with changes in basic law, but which do not otherwise alter the substance of the Rent Justification Rules.
1. That the amendments to the "Delaware Manufactured Home Relocation Trust Fund Rent Increase Dispute Resolution Procedures" attached hereto as Exhibit A are adopted as final regulations pursuant to 25 Del.C. §7011, et. seq. The amendments to the Rent Justification Rules shall become effective ten (10) days after their publication in the Delaware Register of Regulations.
AUTHORITY: 25 Del.C. §7011 THRU §7015
The Delaware Manufactured Home Relocation Authority (“Authority”) is authorized to establish rules and regulations under the provisions of 25 Del.C. §7011, et. seq. (the "Act"). The regulations set forth below establish policies and procedures relating to the administration by the Authority of the Rent Increase Dispute Resolution procedures set forth in 25 Del.C. §7043.
Act” means the Delaware Manufactured Home Owners and Community Owners Act set forth in 25 Del.C. Chapter 70.
Affected home owner” means a leaseholder of a manufactured home community whose rent increase is subject to the provisions of 25 Del.C. §7043.
Authority” means the Delaware Manufactured Home Relocation Authority.
Community owner” means the owner of a manufactured home community, as defined in the Act.
CPI-U” means the average annual increase of the Consumer Price Index For All Urban Customers in the Philadelphia-Wilmington-Atlantic City area for the most recently available preceding thirty-six (36) month period at the time the notice of a rent increase is mailed to the leaseholders.
Designated representative” means an individual authorized to act on behalf of any party, provided said authorization is in writing and signed by the party on whose behalf the individual is authorized to act.
Direct arbitration costs” means the following out of pocket costs paid in connection with an arbitration hearing held pursuant to the provisions of 25 Del.C. §7043(c): (a) fees payable to the arbitrator; (b) the reasonable cost of any meeting rooms or facilities used for the arbitration hearing; (c) the cost of the court reporter for attendance at the arbitration hearing; (d) the reasonable out of pocket expenses paid by the arbitrator in connection with the scheduling and holding of the arbitration hearing; and (e) any other costs approved in advance by the Authority and determined by the Authority to constitute a “direct arbitration cost”. Direct arbitration costs shall not include the cost of preparing a verbatim transcript of the hearing unless the arbitrator determines that a verbatim transcript is necessary in order for the arbitrator to render a decision.
HOA” means a home owners association registered with the Authority pursuant to 25 Del.C. §7026(b).
Leaseholder” means a person who is a party to a lease subject to the provisions of 25 Del.C. §7040 through 7055.
Notice to the Authority” or words to that effect shall mean the delivery of notice to the following address: Delaware Manufactured Home Relocation Authority, 1675 S. State Street, Suite E, Dover, DE 19901 110 North Main Street, Suite G, Camden, DE 19934.
Party” shall include a community owner, an HOA, and any leaseholder affected by a proposed rent increase.
Each year, the Authority provides community owners with notice of the right of first offer provisions set forth in 25 Del.C. §7026. Simultaneously with the sending of that notice, the Authority shall also provide each manufactured home community owner with a copy of the Rent Increase Dispute Resolution provisions set forth in 25 Del.C. §7040 through 7055 and a copy of any applicable regulations adopted by the Authority.
4.1.6 If the proposed rent increase exceeds the CPI-U, a recommendation to the Authority of a date, time and place on which the community owner is available to meet with the affected home owners, Home Owners Association, or their representatives, which dates must be within thirty (30) days of the date the notice is mailed out.
When a proposed rent increase exceeds the CPI-U, the Authority shall schedule a meeting between the parties at the time, date, and place set forth in the community owner’s initial notice, unless the Authority determines, based on input from the parties, that said time, date, or place is not reasonable or should be changed, in which case the Authority, in its sole discretion, shall schedule the meeting at a time and place to be held no later than thirty (30) days after the mailing of the notice of the rent increase. Unless otherwise agreed to by all of the parties, the meeting shall take place in the county in which the manufactured home community is located. Notice of the time, date and place of the meeting shall be provided to the parties by the community owner.
6.1 At any meeting held pursuant to 25 Del.C. §7043(b), the community’s HOA, if any, shall be the designated representative of those leaseholders who are members of the HOA. Any leaseholders that are not members of the HOA may designate the HOA to represent his or her interest at the meeting and any subsequent arbitration proceeding. Any such designation shall be in writing, shall be signed by the applicable leaseholder, and, if applicable, shall be provided to any arbitrator appointed pursuant to Section 7.0 below. In all other cases, where the number of affected leaseholders exceed five (5), the leaseholders shall designate in writing at least one representative to act on behalf of the affected leaseholders. Any tenant affected by the proposed increase in rent shall have the right to attend the meeting. In all cases the community owner shall designate a representative to act on behalf of the community owner. At each meeting, a “sign-in” sheet shall be available and any person attending the meeting shall be required to sign the sign-in sheet confirming said person’s attendance at the meeting. The community owner shall maintain a copy of the sign-in sheet for each meeting and provide the Authority with a copy of the sign-in sheet upon request.
7.1 Upon receipt of a petition to appoint a qualified arbitrator pursuant to 25 Del.C. §7043(c) and the initial $250.00 arbitration fee from the party filing the petition, the Authority shall prepare a caption setting forth the names of the parties and shall select an arbitrator to serve as the arbitrator and to conduct the non-binding arbitration proceeding. Each arbitration petition shall be assigned a docket number by the Authority. Thereafter, any paper filed with the Authority or appointed arbitrator shall include on the first page the caption and docket number assigned to the case. The initial petition shall include the name, mail and email addresses, telephone and fax numbers of the person filing the petition and the name, address, telephone and fax numbers of the person representing the person filing the petition. The initial $250.00 arbitration fee shall be paid by the party filing the petition at the time the petition is filed. An original and one copy of the petition shall be provided to the Authority. If the petition is filed by the community owner, a copy of the petition shall be mailed to each affected home owner, and if applicable, to the Home Owners Association (or their respective designated representative) on the same day that the petition is filed. If the petition is filed by an affected home owner, or if applicable, the Home Owners Association, a copy of the petition shall be mailed to the community owner (or the community owner’s designated representative) on the same day the petition is filed. In the arbitration petition, the party filing the petition should provide a concise statement of the issues to be determined by the arbitrator and certify that a copy of the petition has been delivered to the opposing party or parties or their respective representative(s). The party filing the petition shall also include the names of all home owners affected by the proposed rent increase. Any document required to be mailed shall be mailed by United States mail, first class, with postage prepaid.
7.7 Simultaneously with the filing of a petition to arbitrate, the party filing the petition shall pay to the Authority the $250.00 arbitration fee set forth in 25 Del.C. §7043(c). The other party or parties shall pay their $250.00 arbitration fee within fifteen (15) calendar days after the filing of the petition. Where multiple leaseholders are affected by a proposed rent increase, only one payment of $250.00 shall be required on behalf of all such leaseholders whose rent increase has the same effective date. All such fees collected by the Authority shall be deposited into the Authority’s general operating account and shall not be considered a part of the Trust Fund administered by the Authority pursuant to 25 Del.C. §7012. If any party or parties fail to timely pay the required $250.00 arbitration fee, the arbitrator is authorized to enter judgment against the party or parties failing to pay the arbitration fee.
7.19 Arbitration hearings conducted pursuant to 25 Del.C. §7043 are deemed private proceedings. Unless otherwise authorized by the arbitrator for good cause shown, attendance at any hearing shall be limited to the following:
7.21 The decision of the arbitrator shall be based solely on the evidence presented at the hearing and based on the standards set forth in 25 Del.C. §7042. The arbitrator shall render his or her decision within fifteen (15) days of the conclusion of the arbitration hearing. Decisions by the arbitrator shall be in writing, shall clearly set forth the date of the issuance of the decision, and shall inform the parties of the right to appeal the decision to the Superior Court by filing, within thirty (30) days of the date of the issuance of the arbitrator’s decision, a notice of appeal with the office of the Prothonotary of the county within which the affected manufactured home community is located. A copy of the decision shall be provided to the Authority.
8.1 As provided for in 25 Del.C. §7044, in any arbitration proceeding, the community owner, home owners association, or any affected home owner may appeal the decision of the arbitrator within thirty (30) days of the issuance of the arbitrator’s decision. Any such appeal shall be to the Superior Court in the county of the affected community. If a community is located in more than one county, the appeal may be filed in the Superior Court of either county.
Last Updated: December 31 1969 19:00:00.
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