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HomeMy WebLinkAboutOrdinances_2908ORDINANCE NO 2908 AN UNCODIFIED URGENCY ORDINANCE OF THE CITY OF REDLANDS ENACTING A TEMPORARY MORATORIUM ON RESIDENTIAL AND COMMERCIAL EVICTIONS DUE TO NONPAYMENT OF RENT BY TENANTS WHERE THE FAILURE TO PAY RENT RESULTS FROM INCOME LOSS RESULTING FROM THE NOVEL CORONAVIRUS (COVID- 19), AND SETTING FORTH THE FACTS CONSTITUTING SUCH URGENCY WHEREAS, international, national, state, and local health and governmental authorities are responding to an outbreak of'espuatory disease caused by a novel coronavirus named "SARS- CoV-2," and the disease it causes has been named "coronavirus disease 2019," abbreviated COVID-19 ("COVID-19"), and WHEREAS, on March 4, 2020, the Governoi of the State of California declared a state of emergency to make additional iesources available, formalize emergency actions aheady underway across multiple state agencies and departments, and help the state prepare for broader spread of COVID-19, and WHEREAS, on March 10, 2020, the Board of Supervisors for the county of San Bernardino and the Department of Public Health declared a local emergency and local public health emergency to aid the regional healthcare and governmental community in responding to COVID-19, and WHEREAS, on Maich 13, 2020, the President of the United States of America declared a national emergency and announced that the federal government would make emergency funding available to assist state and local governments in preventing the spread of and addressing the effects of COVID-19, and WHEREAS, on March 16, 2020, the Governor of the State of California issued his Executive Order N-28-20 (a copy of which is attached hereto as "Exhibit "A"), pursuant to his emergency powers under Government Code Sections 8567 and 8571, that suspended any provision of state law that would preempt or otherwise restrict the City's exercise of its police power to impose substantive limitations on residential and commercial evictions or nonpayment of rent arising out of a decrease in household or business income caused by the COVID-19 pandemic, and WHEREAS, On March 17, 2020, this City Council proclaimed the existence of a local emergency to ensure the availability of mutual aid and an effective the City's response to the COVID-19, and WHEREAS, the Centers for Disease Control and Prevention, the Cahfor7na Department of Health, and the San Bernardino County Department of Public Health have all issued recommendations mcludmg but not limited to social distancing, staying home if sick, canceling or postponing large group events, working from home, and other precautions to protect public health and prevent transmission of this communicable virus, and 1 1 1Ordmances\Nos 2900 2999 to Word\2908 Temporary Moratorium on Evictions COv1D 19 docx WHEREAS, as of the date of this ordinance and in order to prevent farther exposure, many businesses have unposed work from home policies, meetings, events and social gatherings are being cancelled as people remain at homes, customers are not patronizing restaurants and stores oi hiring domestic help 01 travelling With more businesses moving towards working from home, less of the woikforce will be patronizing restaurants, hotels and othei retail estabhshments that employ hourly workers, which is expected to lead to hourly cutbacks and potentially employee terminations, and WHEREAS, as a result of the public health emergency and the precautions recommended by health authorities, many residential and commercial tenants in Redlands have experienced, oi expect soon to experience, sudden and unexpected income loss, and WHEREAS, the Governor of the State of Cahforrna has stated that individuals exposed to COVID-19 may be temporarily unable to report to work due to illness caused by COVID-19 or quarantines related to COVID-19 and individuals directly affected by COVID-19 may experience potential loss of income, health care and medical coverage, and ability to pay foi housing and basic needs, thereby placing inti eased demands on already strained regional and local health and safety resources, including shelters and food banks, and WHEREAS, most, Snot all, local schools are closed to prevent further spread of COVID- 19 which will cause children to have to remam at home, leading to many parents adjusting their work schedules to take time off work, whether paid or unpaid, and WHEREAS, hourly wage earners are unlikely to be paid for time off, and the inability to woik due to school closures will economically strain those families who cannot afford to take off time from work to stay at home, and WHEREAS, the situation is unprecedented and evolving rapidly, and further economic impacts aie anticipated leaving tenants vulnerable to eviction, and WHEREAS, this ordinance is temporary in nature and only intended to promote stability and fairness within the rental market in the City pursuant to the Governoi's Executive Order N- 28-20 and during the COVID-19 pandemic outbreak, and to prevent avoidable homelessness and loss ofbusinesses, thereby serving the public peace, health, safety, and public welfare and to enable tenants in the City whose income and ability to work is affected due to COVID-19 to remain in their homes and businesses, and WHEREAS, m the interest ofpubhc health and safety, as affected by the emergency caused by the spread of COVID-19, it is necessary to exercise authority to adopt this ordinance related to the protection of life and property, to ensure renters can remain in their homes, and businesses, and prevent proliferation of homelessness and economic state, and further spread of COVID-19 Displacement through eviction creates undue hardship for tenants through additional relocation costs, stress and anxiety, and the threat of homelessness due to the lack of alternative housing, and lack of movmg services and supplies as stores and businesses close During the COVID-19 pandemic outbreak, affected tenants who have lost income due to impact on the economy or their employment may be at risk of homelessness if they are evicted foi non-payment as they will have I \Ordinances\Nos 2900 2999 in Word 2908 Temporary Moratorium on Evictions COVID 19 docx little or no income and thus be unable to secure other housing if evicted, and WHEREAS, people experiencing homelessness are especially vulnei able to the spread of COVID-19 due to an inability to piactice social distancing and a lack of access to health care, and the Governor has ordered the State to take extiaordinary measures to secure shelter for homeless populations duiing this emergency to hent exposure to and spreading ofCOVID-19, and WHEREAS, widespread evictions of tenants vulnerable to eviction due to financial hardship occurring due to COVID-19 would exacerbate the challenge of sheltering the homeless during this emergency, and increase the risk of spread of COVID-19, and WHEREAS, the City desires to prohibit evictions due to nonpayment of rent where the failure to pay lent results from income loss resulting from COVID-19, and WHEREAS, this ordinance is adopted pursuant to the City's police powers and powers afforded to the City m time of national, state, county and local emergency during an unprecedented health pandemic, such powers being afforded by the State Constitution, State law, and Chapter 2 52 of the Redlands Municipal Code, to protect the peace, health, and safety of the public The City Council finds that this ordinance is necessary for the preservation of the public peace, health, and safety of residents living and conducting business within the City and finds urgency to approve this ordinance immediately based on the facts described heiem, and detailed in the staff report Under Government Code Section 8634, this oidmance is necessary to provide for the protection of life and pi operty, THE CITY COUNCIL OF THE CITY OF REDLANDS DOES ORDAIN AS FOLLOW Section 1 Temporary Moiatonum on Evictions for Non -Payment of Rent by Tenants Impacted by the COVID-19 Crisis A During the period from the effective date of this ordinance through and including May 31, 2020, no landlord shall endeavor to evict a residential or commercial tenant for nonpayment of rent if the tenant demonstrates that the tenant is unable to pay rent due to financial impacts related to COVID-19 and otherwise complies with the piovisions of this ordinance B A landlord who knows that a tenant cannot pay some or all of the rent temporarily for the reasons set forth above shall not serve a notice pursuant to CCP 1161(2), file or prosecute an unlawful detainer action based on a three (3) -day pay 01 quit notice, or otherwise seek to evict for nonpayment of rent A landlord knows of a tenant's inability to pay rent within the meanung of this oidmance if the tenant, within thirty (3 0) days after the date that rent is due, or with thirty (30) days after the effective date ofthis ordinance ifpaid rent is due and upcoimng, notifies the landlord ii wasting of lost income and inability to pay full rent due to financial impacts related to COVID- 19, and provides documentation to support the claim For purposes ofthis ordinance, "m writing," includes email or text communications to a landlord or the landlord's representative with whom the tenant has pieviously corresponded by email or text Any medical 01 financial information provided to the landlord shall be held m confidence, and only used for evaluating the tenant's claim 3 1 \Ordinances\Nos 2900-2999 in Word\290& Temporary Moratorium on Evictions COVID 19 docx C For purposes of this ordinance, "financial impacts related to COVID-19" include, but are not limited to, tenant lost household income as a result of any of the following (i) being sick with COVID-19, or caring foi a household oi family member who is sick with COVID-19, (ir) lay-off, loss of hours, or other income reduction resulting from business closure or other economic or employer impacts of COVID-19, (m) compliance with a iecommendation from a government health authority to stay home, self quarantine, or avoid congregating with others dui mg the state of emei gency, (iv) exti aordiinary out-of-pocket medical expenses, 01 (v) child care needs arising from school closures related to COVID-19 D This ordinance applies to nonpayment eviction notices and unlawful detainer actions based on such notices, served or filed on or aftei the date on which a local emergency was pro claimed E Violation of this ordinance shall be punishable as set forth m Chapter 2 52 of the Redlands Municipal Code In addition, this ordinance giants a defense m the event that an unlawful detainer action is commenced m violation of this ordinance F Nothing in this ordinance shall relieve the tenant of liability for the unpaid rent, which the landlord may seek after expiration of this ordinance A landlord may not charge oi collect a late fee for rent that is delayed foi the reasons stated m this ordinance, noi may a landlord seek rent that is delayed or the reasons stated in this ordinance through the eviction process G No other legal remedies available to landlord are affected by this ordinance H This ordinance shall remain m effect until May 31, 2020 Notwithstanding the foregoing, the effectiveness of this ordinance shall be suspended m the event that the Pi esident of the United States, Congress, Governor of the State of Cahforrna, or California State Legislature adopts an order or legislation that similaily prohibits evictions for fano'e to pay rent by individuals impacted by the COVID-19 crisis Section 2 Severability If any section, subsection, sentence, clause, phrase or word of this ordinance is found to be unconstitutional oi otherwise invalid by any court of competent jurisdiction, such decision shall not affect the remaining provisions of this ordinance Section 3 Environmental Review The City Council finds that adoption and implementation of this ordinance is not a "project" for purposes of the Cahfornra Environmental Quahty Act ("CEQA"), as that terra is defined by CEQA Guidelines sections 15061 (b)(3), and 15378(b)(5) No impact to the physical environment will result The City Council also alternatively finds that the adoption and implementation of this ordinance is exempt from the provisions of CEQA as an administrative activity by the City of Redlands, in furtherance of its pohce power, that will not result m any direct or iiduect physical change in the envuomnent, per sections 15061(b)(3), and 15378(b)(5) of the CEQA Guidelines, as well as CEQA Guidelines section 15064(e) (economic regulations) Section 4 Urgency Declaration, Effective Date This City Council finds and declares that the adoption and implementation of this ordinance is necessary for the immediate preservation 4 1 \Ordinances\Nos 2900 2999 in W ord12908 Temporary Moratorium on Evscttons CO VID 19 docx and protection of the public peace, health and safety as detailed above, as the City and public would suffer potentially irreversible displacement of tenants resulting from evictions for failure to pay rent during the COVID-19 crisis Durmg this local emergency, and in the interest of protecting the pubhc health and preventmg transmission of COVID-19, it is essential to avoid unnecessary housing and business displacement, to protect the City's affordable housing stock, and to prevent housed individuals from falling into homelessness Loss of income as a result of COVID-19 may inhibit City residents and businesses from fulfilling their financial obligations, including payment of rent Under Government Code section 8634, this ordinance is necessary to provide for the protection of life and property for the reasons set out herein This City Council therefore finds and determines that the immediate preservation of the public peace, health and safety, and protection of life and property, require that this ordinance be enacted as an urgency ordinance pursuant to Government Code section 36937 and take effect immediately upon adoption by four-fifths of the City Council Section 5 The Mayor shall sign this ordinance and the City Clerk shall certify to the adoption of this ordinance and shall cause it, or a summary of it, to be published once in the Redlands Daily Facts, a newspaper of general circulation within the City and thereafter this ordinance shall take effect as provided by law ATTEST ee D on, City Clerk aul W Foster, Mayor 5 1 lOrdinances1Nos 2900-2999 in Word12908 Temporary Moratorium on Evictions COVID 19.docx I, Jeanne Donaldson, City Clerk of the City of Redlands, hereby certify that the foregoing ordinance was duly adopted by the City Council at a regular meeting thereof held on the 26th day of March, 2020, by the following vote AYES Councilmembers Barich, Tejeda, Moinberger, Davis, Mayor Foster NOES None ABSTAIN None ABSENT None JeaDonaldson, City Clerk 6 1 "Ordinances\Nos 2900-2999 m Word12908 Temporary Moratorium on Evictions COVID-19.docx EXECUTIVE DEPARTMENT STATE OF CALIFORNIA EXECUTIVE ORDER N 28 20 WHEREAS on March 4 2020 1 proclaimed a Stare of Emergency to exist in California as a result of the threat of COVID-19, and WHEREAS despite sustainea efforts, the virus remains a threat and further efforts to control the spread of the virus to reduce and minimize the risk of infection and otherwise mitigate the effects of COVID-19 are needed and WHEREAS the economic impacts of COVID-19 have been significant and could threaten to undermine Californians housing secunty and the stability of California businesses and WHEREAS many Californians are experiencing substantial losses of income as a result of business closures the loss of hours or wages or layoffs related to COVID 19 hindering their ability to keep up with their rents mortgages, and utility bills and WHEREAS Californians who are most vulnerable to COVID 19 those 65 years and older, and those with underlying health issues are advised to self quarantine, selr-isolate or otherwise remain in their homes to reduce The transmission of COVID 19 and WHEREAS because homelessness can exacerbate vulnerability to COVID 19, California must take measures to preserve and increase housing security for Californians to protect public health and WHEREAS local jurisdictions, based on their particular needs, may therefore determine that additional measures to promote housing security and stability are necessary to protect public health or to mitigate the economic impacts of COVID-19, and WHEREAS local jurisdictions may also determine, based on their particular needs, that promoting stability amongst commercial tenancies is also conducive to public health, such as by allowing commercial establishments to decide whether and how to remain open based on public health concerns rather than economic pressures, or io mitigate the economic impacts of COVID-19 and WHEREAS in addition to these public health benefits state and local policies TO promote social distancing self -quarantine and self -isolation require that people be able to access basic utilities—including water gas electricity and telecommunications—at their homes so that Californians can work from home, receive public health information, and otherwise adhere to policies of social distancing, self -quarantine, and self isolation if needed, and WHEREAS many utility providers, public and private, covering electricity gas, water and sewer, have voluntarily announced moratoriums on service disconnections and late fees for non payment in response to COVID-19 and WHEREAS many telecommunication companies including Internet and cell phone providers, have voluntarily announced moratoriums on service disconnections and late fees for non payment in response to COVID 19, NOW, THEREFORE, 1, GAVIN NEWSOM, Governor of the State of California in accordance with the authority vested in me by the State Constitution and statutes of the Stale of California and in particular, Government Code sections 8567 and 8571 do hereby issue the following order to become effective immediately IT IS HEREBY ORDERED THAT 1) The time limitation set forth in Penal Code section 396, subdivision (f) concerning protections against residential eviction, is hereby waived Those protections shall be in effect through May 31 2020 2) Any provision of state law that would preempt or otherwise restrict a local government's exercise of its police power to impose substantive limitations on residential or commercial evictions as described in subparagraphs (i) and (n) below–including, but not limited to any such provision of Civil Code sections 1940 et seq or 1954 25 et seq —is hereby suspended to the extent that it would preempt or otherwise restrict such exercise This paragraph 2 shall only apply to the imposition of limitations on evictions when (1) The basis for the eviction is nonpayment of rent or a foreclosure arising out of a substantial decrease in household or business income (including but not limited to a substantial decrease in household income caused by layoffs or a reduction in the number of compensable hours of work ar a substantial decrease in business income caused by a reduction in opening hours or consumer demand) or substantial out-of-pocket medical expenses and (u) The decrease in household or business income or the out of -pocket medical expenses described in subparagraph (i) was caused by the COVID 19 pandemic ar by any local, state, or federal government response to COVID-19, and is documented The statutory cause of action for judicial foreclosure, Code of Civil Procedure section 7250 et seq the statutory cause of action for unlawful detainer Code of Civil Procedure section 1 161 et seq , and any other statutory cause of action that could be used to evict or otherwise elect a residential or commercial tenant or occupant of residential real property after foreclosure is suspended only as applied to any tenancy, or residential real property and any occupation thereof to which a local government has imposed a limitation on eviction pursuant to this paragraph 2 and only to the extent of the limitation imposed by the local government Nothing in this Order shall relieve a tenant of the obligation to pay rem nor restrict a landlord's ability to recover rent due The prorections in this paragraph 2 shall be in effect through May 31, 2020, unless extended 3) All public housing authorities are requested to extend deadlines for housing assistance recipients or applicants to deliver records or documents related to their eligibility for programs, to the extent that those deadlines are within the discretion of the housing authority 4) The Department of Business Oversight, in consultation with the Business Consumer Services and Housing Agency shall engage with financial institutions to identify tools io be used to afford Californians relief from the threat of residential foreclosure and displacement and to otherwise promote housing security and stability during this state of emergency in furtherance or the objectives of this Order 5) Financial institutions holding home or commercial mortgages including banks credit unions government-sponsored enterprises and institutional investors, are requested to implement an immediate moratorium on foreclosures and related evictions when the foreclosure or foreclosure related eviction arises out of a substantial decrease in household or business income or substantial out of -pocket medical expenses which were caused by the COVID-19 pandemic, or by any local state, or rederal government response to COVID-19 6) The California Public Utilities Commission is requested to monitor measures undertaken by public and private utrlrry providers to implement customer service protections for critical utilities, including but not limited to electric, gas water Internet, landline telephone, and cell phone service in response to COVID-19, and on a weekly basis publicly report these measures Nothing in this Order shall be construed to invalidate any limitation on eviction enacted by a local jurisdiction between March 4 2020 and this dare Nothing in this Order shall in any way restrict state or local authority to order any quarantine Isolation, or other public health measure that may compel an Individual to remain physically present in a particular residential real property This Order is not intended to and does not create any rights or benefits, substantive or procedural, enforceable at law or in equity against rhe State of California its agencies departments, entities officers, employees or any other person 1 FURTHER DIRECT that as soon as hereafter possible this proclamation be filed in the Office of the Secretary of State and that widespread publicity and notice be given of this Order IN WITNESS WHEREOF 1 have hereunto set my hand and caused the Great Seal of the State of California to be affixed this 16th day ar March 2020 1 VIN NEWSOM vernor of California ATTEST ALEX PADILLA Secretary of State