Joint Budget Committee approves DOLA cash‑fund recommendations, declines transfer request for manufactured‑building program

2141105 · January 17, 2025

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Summary

The Joint Budget Committee approved staff recommendations on Department of Local Affairs cash‑fund issues, releasing restricted mobile‑home park oversight balances and directing excess private‑activity bond fees toward the general fund, while declining a requested transfer into the manufactured‑building fund.

The Joint Budget Committee approved staff recommendations on supplemental cash‑fund matters submitted by the Department of Local Affairs (DOLA), approving relief for the mobile‑home park oversight fund and directing excess private‑activity bond allocation fees toward the general fund while declining a requested statutory transfer into the manufactured‑building program fund.

DOLA requested three separate cash‑fund actions that were packaged together: (1) a transfer into the building regulation fund (manufactured‑building program) to cover a 24‑25 shortfall; (2) a retroactive cash‑fund waiver to release controller restrictions on the mobile‑home park oversight fund for 23‑24; and (3) a transfer of excess private‑activity bond allocation fund balance to the general fund. Committee staff recommended against approving a statutory transfer into the manufactured‑building fund and instead advised that the department address the shortfall internally or pursue fee adjustments. Committee members agreed with staff’s view that the manufactured‑building program should manage within its existing fee authority or seek a legislative bill rather than a one‑time transfer.

The committee approved the mobile‑home park oversight waiver because the funds originate from fees paid by residents and owners to support oversight and enforcement activity; releasing the restriction will allow the program to operate in 24‑25. For the private‑activity bond allocation fund, staff recommended transferring excess uncommitted cash to the general fund; the committee approved a motion to apply at least $500,000 to the general fund and asked staff to include a statutory transfer in upcoming legislation to capture any excess at the end of 24‑25.

Votes and motions Representative Serota moved staff recommendations for the DOLA package; the committee approved the recommendations on a 6-0 vote.

Why it matters The decisions preserve mobile‑home park oversight operations and capture excess fee revenue for the general fund while declining a requested statutory transfer that staff described as a department‑internal management issue. Committee members flagged the manufactured‑building program’s rapid spend‑down and stressed transparency and responsible fee management.

Next steps DOLA and staff will coordinate statutory language for a legislative transfer (private‑activity bond fund excess) and DOLA will consider internal options for the manufactured‑building fund or pursue separate legislation if it needs additional authority.