461A.215 - Board of directors or trustees of mobile home park owned or leased by nonprofit organization; operation of nonprofit organization and mobile home park.

461A.215  Board of directors or trustees of mobile home park owned or leased by nonprofit organization; operation of nonprofit organization and mobile home park.

      1.  Notwithstanding any provision of law to the contrary, if a nonprofit organization owns or leases a mobile home park:

      (a) The board of directors or trustees which controls the mobile home park must be selected as set forth in this section; and

      (b) The provisions of this section govern the operation of the nonprofit organization and the mobile home park.

      2.  If a nonprofit organization owns or leases only one mobile home park, the board of directors or trustees which controls the mobile home park must be composed of:

      (a) Three directors or trustees who are residents of the mobile home park and are elected by a majority of the residents who live in the mobile home park, with each unit in the mobile home park authorized to cast one vote;

      (b) Except as otherwise provided in subsection 4, three directors or trustees appointed by the governing body of the local government with jurisdiction over the location of the mobile home park; and

      (c) Three directors or trustees elected by a majority of the other directors or trustees selected pursuant to this subsection.

      3.  If a nonprofit organization owns or leases more than one mobile home park, the board of directors or trustees which controls the mobile home parks must be composed of:

      (a) For each mobile home park, one director or trustee who is a resident of that mobile home park and is elected by a majority of the residents who live in that mobile home park, with each unit in the mobile home park authorized to cast one vote;

      (b) Except as otherwise provided in subsection 4, one director or trustee appointed for each mobile home park by the governing body of the local government with jurisdiction over the location of that mobile home park; and

      (c) For each mobile home park, one director or trustee elected by a majority of the other directors or trustees selected pursuant to this subsection.

      4.  The governing body of a local government with jurisdiction over the location of a mobile home park owned or leased by a nonprofit organization shall not appoint a director or trustee pursuant to paragraph (b) of subsection 2 or paragraph (b) of subsection 3 unless the land upon which the mobile home park is located or the improvements to that land are owned by any governmental entity, patented to any governmental entity or leased to the nonprofit organization by any governmental entity.

      5.  The term of office of a director or trustee selected pursuant to this section:

      (a) Is 4 years, except that upon the expiration of his or her term of office he or she shall continue to serve until his or her successor is selected; and

      (b) Commences on July 1.

      6.  Any vacancy occurring in the membership of the board of directors or trustees selected pursuant to this section must be filled in the same manner as the original election or appointment.

      7.  The Attorney General shall:

      (a) Enforce the provisions of this section;

      (b) Investigate suspected violations of the provisions of this section; and

      (c) Institute proceedings on behalf of this State, an agency or political subdivision of this State, or as parens patriae of a person residing in a mobile home park:

             (1) For injunctive relief to prevent and restrain a violation of any provision of this section; and

             (2) To collect any costs or fees awarded pursuant to the provisions of this section.

      8.  The provisions of this section may be enforced with regard to a nonprofit organization or a mobile home park by:

      (a) The nonprofit organization;

      (b) The board of directors or trustees required to be selected pursuant to this section, or any member thereof;

      (c) A person who claims membership on the board of directors or trustees required to be selected pursuant to this section;

      (d) A resident of the mobile home park;

      (e) The local government with jurisdiction over the location of the mobile home park; or

      (f) Any combination of the persons described in paragraphs (a) to (e), inclusive.

      9.  In any action to enforce the provisions of this section, including, without limitation, an action to prevent or restrain a violation of the provisions of this section, if a person is found to have knowingly acted as a director or trustee on a board of directors or trustees required to be selected pursuant to this section while the person was not authorized to act as such a director or trustee pursuant to this section:

      (a) The court shall award the prevailing party costs and attorney’s fees;

      (b) If the nonprofit organization which owns or leases a mobile home park participates in the action, the court shall award the nonprofit organization costs and attorney’s fees; and

      (c) Costs and attorney’s fees awarded pursuant to this section must be recovered from the person. If in the same action to enforce the provisions of this section, more than one person is found to have knowingly acted as a director or trustee on a board of directors or trustees required to be selected pursuant to this section while the person was not authorized to act as such a director or trustee pursuant to this section, each such person is jointly and severally liable for the costs and attorney’s fees awarded pursuant to this section.

      10.  The provisions of this section do not apply to a corporate cooperative park.

      11.  As used in this section:

      (a) “Board of directors or trustees which controls the mobile home park” means:

             (1) If the nonprofit organization which owns or leases a mobile home park does not own or operate any substantial asset that is unrelated to the mobile home park, the board of directors or trustees of the nonprofit organization; or

             (2) If the nonprofit organization which owns or leases a mobile home park owns or operates a substantial asset that is unrelated to the mobile home park, a board of directors or trustees which:

                   (I) Has full and independent control over the affairs of the nonprofit organization that are related to the mobile home park, including, without limitation, full and independent control over all policies, operation, property, assets, accounts and records of the nonprofit organization which are related to or derived from the park;

                   (II) Notwithstanding any provision of law to the contrary, exercises the powers described in sub-subparagraph (I) without being subject to any control by the board of directors or trustees of the nonprofit organization or any other person, group or entity within or related to the nonprofit organization; and

                   (III) If the nonprofit organization owns or leases more than one mobile home park, controls all of the mobile home parks owned or leased by the nonprofit organization.

      (b) “Corporation for public benefit” has the meaning ascribed to it in NRS 82.021.

      (c) “Governmental entity” includes, without limitation, the Federal Government, this State, an agency or political subdivision of this State, a municipal corporation and a housing authority.

      (d) “Nonprofit organization” includes, without limitation, a corporation for public benefit.

      (e) “Owns or leases a mobile home park” means being the owner or lessee of:

             (1) The land upon which the mobile home park is located; or

             (2) The improvements to the land upon which the mobile home park is located.

      (Added to NRS by 2003, 1732; A 2005, 1604; 2009, 2691)