August 2010 Vol. 3, No. 7

Legislative Updates


Mobile Homes; Taxation

House Bill 6241. Effective Date: January 1, 2011. Amends 35 ILCS 105/3-3 (added), 120/5m (added), 200/1-130, 515/1, 515/4, 65 ILCS 5/2-3-1.1, 210 ILCS 115/2.1, 115/2.10, 117/10, 430 ILCS 115/2, 117/10, 765 ILCS 745/3, 810 ILCS 5/9-102

This Bill is titled the Manufactured Home Installation Act. This Act first defines manufactured homes by giving a size requirement (at least eight feet by 40 feet, 320 square feet total) for homes prefabricated and moved to a permanent location for installation. A manufactured home is installed according to manufacturer instructions for permanent, year-round habitation. This type of home may include portions that fold or telescope for efficient transportation which provide greater cubic capacity when installed. The definition excludes campers and recreational vehicles. Under the Act, "manufactured home" and "mobile home" are synonymous. The Act also defines mobile home parks as one or two adjacent tracts of land containing at least 5 mobile homes. These definitions are incorporated verbatim in several locations throughout the Illinois Compiled Statutes.

Mobile homes installed outside of mobile home parks which are currently taxed under the Mobile Homes Local Services Tax Act must continue to be taxed under that Act until sold, transferred or relocated. Subsequently, these homes will be taxed as real property. Mobile homes installed within mobile home parks must be taxed under the Mobile Homes Local Services Tax Act and are not assessed or taxed as real property. The definition of a lot at 35 ILCS 200/1-130 is thus amended to indicate the above classification scheme. Mobile homes in mobile home parks are considered chattel and not real property.

The provisions at 35 ILCS 515/4, requiring owners of mobile homes to record a signed copy of the title or to surrender the title to county authorities for the duration of the home&€™s installation within the county, is amended to only apply to homes installed outside mobile home parks. Under 65 ILCS 5/2-3-1.1, the definition of immobile dwelling is amended to exclude a "tent, camp trailer or house car" even if it is "affixed" to a "support system" instead of the former exclusion of such structures when they were "permanently affixed" to a "permanent foundation."

The code at 210 ILCS 115/2.1 is amended to include the new definition of manufactured home. It also specifically excludes from the definition campers, recreational vehicles and modular homes.

The code at 430 ILCS 115/2 is amended to incorporate the new definitions above. It also defines "Codes" at subpart (g) to include safety codes created by the International Code Council in 1994. Also, a departmental seal issued under subpart (h) would be displayed on the outside of a mobile home or the inside of a manufactured housing unit or modular home. Subpart (i) places the regulation of modular dwelling units under the Illinois Department of Public Health. Subpart (l), formerly defining "permanent foundation" to exclude the use of piers, now instead defines "approved foundation and support system" which includes the use of piers "supporting the marriage wall of the home that extend below the frost line."

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[Last update: 8-26-10]