Loading...
HomeMy WebLinkAboutOrdinances_1783_CCv0001.pdf gg ;4 ORDINANCE NO. 1783 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF REDLAND ADDING ARTICLE 374 TO THE REDLANDS ORDINANCE CODE TO STABILIZE MOBILEHOMIE PARK RENTS SECTION ONE: Article 374 is hereby added to Chapter 37 ("Housing") of the City of Redlands ordinance Code to read as follows: HEALTH HOUSING ARTICIE 374 CHAPTER 37 HOUSING ARTICLE 374 Iebileh€nme Park Rent Stabilization 37400. PURPOSE AND INTENT There is in the City of Redlands and its environs a serious shortage of available mobilehome rental spacer Because of this shortage, there is a low vacancy rate and rents have been rising rapidly`, thereby causing concern among a- substantial number of Redlands residents . Because of the high cost of moving mobileho es, the potential for damage resulting therefrom, the requirements relating to the installation of mobile- homes, including permits, landscaping and site preparation, the lack of alternative homesites for mobilehome residents, and the substantial investment of mobilehome owners in such homes, a virtual monopoly exists in the rental of mobilehome park spaces. This creates a situation where park owners have bread discretion and even the ability to exploit park tenants. For these reasons, among others , the City Council finds and declares it necessary to pro- tect the owners and occupiers of mobilehome from unrea- sonable rent increases, while at the sane time recognizes the meed of mobilehome park -owners to receive a just anal.: reasonable return on their property and rental income sufficient to cover increases in the cast of repairs, maintenance,, insurance, employee services , additional: amenities, and operation. 37401. DEFINITIONS. (a) "Mobilehome Park Rent Review Board. " The 651leh.6me park Rent Review Board estab- lished stab-lis .ed by this. Article (sometimes etimes herein called "Board) A (b) "Capital Improvements . " Those improvements that materiallry add to the value of the; property and appreciably prolong its use- ful life or` adapt it to new uses, and which may be amortized; over useful life in accordance with federal tax lana. (c) "Housing Services . " Services provided by t e owner necessary for the use, occupancy or enjoyment of a mobilehome space, Ordinance No. 1783 'age one a Am s HEALTH HOUSING 37401 (c) including insurance, repairs, replacement, maintenance, painting, lighting, heat, water, laundry and recreation facilities, refuse removal, parking, security services, employee services, property taxes., other governmental assessment and other costs reasonable attributable to the operation of the parks "Housing services" shall not include legal fees or mortgage payments. (d.) "Mobilehome_ " A structure designed for human habitation as defined in California Civil Code Section 798. 3 Structures defined in California Civil Code Section 799`.24 are not mobilehom.es . e) "Mobilehome Park. " n area of land where two or more mobilehome spaces are rented or held out for rent to accomodate mobile- homes used as human habitation (f) "Mobilehome Park.. Caner" or "Owner. " The owner, lessor, operator or manager or a mobilehome hark in the City of Redlands (g) "Mobilehome Tenant" or "Tenant, " Any person entitled to occupy a mobilehome which is located within a mobilehome park in the City of Redlands- (h) ",Space Rent."" The consideration, including any security deposits, bonuses, benefits or gratuities, demanded or recei °ed in connec- tion with the use and occupancy of a mobilehome space in a mobilehome park, but exclusive of any amount paid for the 'ase of a mobilehome dwelling unit . i "Trailer. " structure eight (8) feet b forty (45) feet or less designed to be drawn by a motor vehicle and to be used for human habitation or icor carrying per- sons and property, including a trailer coach or house trailer: 37402. EXEMPTIONS. The provisions of this Article shall not apple to the following< tenancies in mobilehome parks located in the City of Redlands. Ordinance o4 1783 Page two - HEALTH HOUSING § 37402 (a) Mobilehome park spaces rented for non- residential uses= (b) Mobilehome parks constructed after 6c ob r 1, 1981. For the purposes of this subsection, "constructed" shall mean the initial erection of structures.. (c) Tenancies which do not exceed an occupancy of twenty days and which do not contemplate n occupancy of more than twenty days. (d) Tenancies for which any federal or state lair or regulation specifically prohibits rent regulations. (e) Trailer parks which are occupied by less than fifteen mobilehomes. (f) Tenancies covered by leases or contracts which provide for more than a month-to- month tenancy, but only for the duration of such lease or contract.. Upon the expiration or other termination of any such lease or contract, this Article shall immediately be applicable to the tenancy. (g) Mobilehome parks which sell lots for factory-built or manufactured housing, or which provide condominium ownership o such lots, even if one or more homes in the development are rented or leased out. 37403. M BILE OME RENT REVIEW BOARD. .. (a) There is hereby established a Mobilehome Rent Review Board con,isting` of three members who, along with their alternates, shall be appointed by and serve at the pleasure of the City Council. (b) The City Council shall appoint three regular members, and; for each regular member, an alternate member to serve in the absence of the regular member. Ordinance No. 1783 Rade three 1111,01 4t£ i i kX)� gya HEALTH HOUSING § .37403 ( (c) The three members of the Board and their alternates shall be persons who are not tenants in any m+ bilehcme parr,, nor connected with the real estate, rental housing or mobilehome industry for per-- sonal chain. (d) Board members and theiralternates shall not be compensated for their services as such, but may receive reimbursement a provided by the City Council for expenses incurred while on official duty. 37404 . POWERS AND DUTIES OF THE B TARE. Within the limitations provided by law, the Board shall have the following powers and duties} (a) To meet from time to time as required b the City Tanager of the City of Redlands or upon the filing of a rent schedule, and to utilize the City offices and facilities as needed. (b) To receive, investigate, hoed hearings on and pass upon the issues relating to cbileho e park rent stabilization as set: forth in this Article. (c) To make or conduct such independent hearings or investigations as may be appropriate to obtain such information as is necessary to carry out its duties (d) To adjust maximum rents either upward or downward upon completion of its hearings< and investigations. compre- hensive written report to the City Council concerning its activities, holdings, actions, results of hearings and all anther ratters pertinent to this Article which may be of interest to the Council (f) To adopt, promulgate, mend and rescind administrative rules to effectuate the purposes and policies of this Article Ordinance No. 1:783 Page four d, HEALTH HOUSING § 37405 § 37405. LEGALITY OF INCREASES. On and after October 30, 1981, no increase in space rents in Redlands mobilehome parks shall be effective unless approved by the Board as set forth in this Article. A § 37406. DETERMINATION OF BASE RENT AND ALLOWABLE INCREASES. (a) The base rent for purposes of this Article shall be the monthly space rent charged as of October 1, 1981 . For purposes of deter- mining allowable increases in space rent, the base rent or space rent shall be divided into two components as follows: (1) Housing Services - That portion of the rent attributable to the cost of housing services, less other park- related income. (2) Remainder - The remainder of the base rent or space rent. (b) Mobilehome park space rents may be increased no more than once per year according to the following formula: (1) Housing Services - The amount of space rent may be increased as necessary to cover documented increases in housing service costs. increases in income from other park-related sources shall be deducted in determining the amount of increase in costs. (2) Remainder - The amount of space rent may also be increased by adding a sum equal to no more than seven per- cent (7%) of the remainder of the base rent, for the first year, or a sum equal to no more than seven percent (7%) of the remainder of the then existing space rent, for subsequent years. (c) Calculation of the one-year limitation on rental increases as provided herein shall be from the date the last increase became effective at the particular park. Ordinance No. 1783 Page five - 4 HEALTH HOUSING 374017 87407. INI"T"IATION OF BOARD REVIEW. ( ) In order to implement a rent increase as permitted under Section 57406, the owner of a park must file with the Board a pro- posed Rent Schedule on the form provided by the Beard. The Rent Schedule shall show the: proposed neva maximum rents for each space, calculated according to the formula set forth in this Article. The ;owner shall serve each affected tenant, either personally or by mail, with notice of the proposed increase in accordance with State lana, and with notice that a request for approval of same is being filed with the Board. The owner shall file proof of such service with the Board concurrent with. the filing of the rent increase request. Copies of the Rent. Schedule, request for increase, and supporting documentation shall be available free of charge to any tenant upon request at the owner's office in the affected park. (b) At its next meeting, but no later than thirty days from filing, the Board shall review the Schedule for completeness, accuracy and full compliance with; this .Article. If the Board determinesthat the Schedule is in order, it <shall approve- it and the new rents shall become effective as noticed by the owners. If the hoard determines that the proposed Rent Schedule is not complete, accurate or in full compliance with. this Article, it: shall deny the increase without prejudice based on the deficiency. It shall inform the owner of the deficiency and take or direct other appropriate action. If the Beard approves an increase lower than that originally noticed by the owner, the same shall be effective as of the date noticed by the owner. Ordinance No. 1783 Rade six HEALTH HOUSING 3 7 7 (c) (c) If the owner requests an increase above that allowed by the formula ul.a set forth in Section 37406, he or she shall submit with, the Bent Schedule a request for such increaser together with supporting docu- mentation. The notice and proof of 'service requirements set forth in subsection (a) shall applyto such request. The owner shall also deposit 00 as a processing fee to defray actual costs of conducting the hearing which shall be held on the proposed increase Should this deposit not cover all city costs for such hearing, the owner ,shall reimburse the City for such additional costs upon billing therefor by the City. d) The Beard shall set a hearing on any request complying with the requirements of Section 37407 (c) and (d) no sooner than ten (l ) days and no later than thirty (30) days; after receipt of the request and prof o ` service. The Board shall notify the owner and tenants; in writing of the time and place set for the hearing. No hearing o any part thereof may be continued beyond thirty ( fl) days after the initial hearing elate without the owner's consent. If the Board approves an increase, such increase shall take effect as noticed by the owner or as the Board may otherwise direct. 37408. CONDUCT OF THE; HEARING. (a) All review hearings conducted by the Board shall be open to the public. fb All parties to a hearing may have assistance from an attorney or such other persons a they may designate to present evidence o to set forth by argument their position. (c) In the event that either the owner or the tenant (:s) should fail to appear at the hearing at the specified time and place, the Board may hear and, review such evidence as may be presented and make such decisions as if bath parties had been present. Ordinance No. 1783 Page serer to i n, .r HEALTH HOUSING § 37409' § 37409. STANDARDS OF REVIEW. In evaluating the rent increase proposed by the park owner, the Beard.. shall consider, along with all other relevantfactors_, changes in costs to the owner attributable to increases or decreases in master land or facilities .lease rent, utility rates, property taxes, insurance, advertising, variable mortgage interest rates, governmental assessments and fees, incidental services , employee costs, normal repair and maintenance and other considerations including capital improvements, upgrading and addition of amenities or services, net operating income and the level of rent necessary to permit a just and reasonable return on the owner' s property. §' 37410. DECISION OF THE BOARD. (a) The Board shall rake a final decision no later than ten (IES) days after the conclu- sion of its hearing. The Board' s; decision shall be based on the preponderance of the evidence submitted at the hearing.. All parties to the hearing shall. be advised of the Board' s decision and given a copy of the findings upon which the decision is based. (b) Pursuant to its findings the Beard may (l) 'permnit the requested increase in whole or in part, ( deny the increase or 3) if circumstances justify, order a reduction in rent to a rate or rates determined by the Beard. (c) If the Board, finds that an increase that rent: into effect, or any portion thereof, is not justified, the owner shall refund the amount found to be unjustified to the tenant within thirty days after the decision of the Beard is announced. d)' If the Board finds that a proposed increase or any portion thereof is justi- fied, the tenant shall pay the amount found justified to the- owner within, thirty 30 days after the decision of the Board is announced. Ordinance No. 1733 Page eight - L"i5:M�J+ HEALTH HOUSING § 37414 (e) (e) The conclusions and findings of the Board shall be final; there shall_ be riga appeal to the City Council. 37411. TENANT'S RICHT OF REFUSAL. A tenant may refuse to pay any increase in rent which is in violation of this Article, provided that the Board has either not reached its decision or has found the increase violates the provisions of this Article. Such refusal to pay shall, be_ ,a defense in any action brought to recover possession of a mobilehome space or to collect the rent increase.. 37412. RETALIATORY EVICTION. Notwithstanding Section 37411, in any action brought to recover possession of a mobile home space the court may consider as grounds for denial any violation of this Article. Further, the determination that the action was brought in retaliation for the exercise of any rights conferred by this Article shall be grounds for denial. 37413. TERMINATION. This Article shall termina=te no Later than three (3) years from its effective date 37414. REVIEW Y CITY COUNCIL- The Cite Council shall, at least every six ( ) months, review the effectiveness of this Article in addressing the problems giving rise to its enactment. 37415. If any provision or clause of this Article or the application thereof to any person or cir- cumstance r-cu stance is held to be unconstitutional or to be otherwise invalidatedbya final judgement of any court of competent jurisdiction, such invalidity shall not affect other pro- visions or clauses or applications thereof which can be implemented, without the invalid provision or clause or application, and, to this encs, the provisions and clauses of this Article are declared to be e:­abe Ordinance No. 1783 Rage nine - AXE"i SECTION TWO: Effective date. This ordinance shall be in force and tale effect as provided by law. SECTION THREE: The City Clerk shall:.. certify to the adoption of this ordinance and cause it, or a summary o it, to be published in the Redlands Daily Facts, a news- paper of general circulation printed and published in this _. city. 4 IayOr'"c �t _C�t *` of ed rds A'TT'EST; a City c 1, Peggy A. Moseley, City Clerk, City of Redlands, hereby certify that the foregoing ordinance was duly adopted by the City Council, at a regular meeting thereat held, on the 15th day of December, 1981, by the following roll call vote: AYE Councilmembers Gorman, Martinez; Mayor DeMirjyn; NOES: Councils embers Riordan, Rath ABSTAIN: None ABSENT Nome City . 5r" Ordinance No. 1783 Race ten --