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HomeMy WebLinkAbout03/07/1989, 3 - MOBILEHOME RENT CONTROL AMENDMENTS (CHAP. 5.44 - MEASURE ""D"")" �uI��IIIII�I N I II MEETING/ATE: cIyy of lois s osisP o 3/7/89 COUNCIL AGENDA REPORT MM NUMBER: From: Roger Picnuet, City Attorney Subject: Mobilehome Rent Control Amendments (Chap. 5.44 - Measure "D•' ) CAO RECO.KMENDATION: Introduce to print amendments to mobilehome rent regulations regarding "safe harbor" exemptions. BACKGROUND: SUMMARY: The City's mobilehome rent control regulations were comprehensively revised by the electorate' s approval of measure "D'• last June. The initiative ordinance allows amendments by Council. A. Councilwoman Rappa recently indicated a concern regarding a lack of specific procedures for a park owner's claim of exemption under the safe harbor provisions (more than 2/3 of the spaces under long term leases) . A council subcommittee (Mayor Dunin and Councilmember Rappa) was appointed to work with staff to review the concern and, if warranted, to bring back proposed amendments to Chapter 5.44. Staff and the subcommittee agree that the City has no direct role to play in the negotiation of long-term leases between park owners and tenants. Nonetheless, it was generally agreed that a mechanism should exist by which an owner claiming a total safe-harbor exemption would establish its existance and validity. A mechanism, or procedure, should also exist to resolve any objection to a safe harbor claim of exemption. The attached code text amendment sets out such a procedure. It closely parallels similar procedures for "hardship" rent. applications. B. Councilwoman Rappa also noted that Measure '•D'• required publication of CPI changes monthly. Since "publication" is undefined and the obvious purpose of the provision was to provide a means for affected parties (tenants and owners) to receive timely CPI information from a non-interested source, it is recommended that this notice obligation be accomplished through the local newspaper. Also, monthly notice is not realistic since the U.S. Department of Labor publishes CPI information every two months. A corresponding change to our provisions is recommended. Mobiiehome Rent Control Amendments Meeting of Page Two The subcommittee noted that there may be future amendments recommended which would help effectuate the goals and purposes of Chapter 5.44. For example, it may be desirable to mandate that the automatic CPI increase occur once-a-year (e.g. , January 1 of each year) . Staff will continue to monitor these regulations and the rent-control situation and note possible "fine-tuning" for future Council action. APPROVED: City Administrative Officer City Attorney/ Attachments: code text amendment 3- � i ORDINANCE NO. (.1989 SERIES) AN ORDINANCE OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO AMENDING SECTION 5.44.040 (MOBILE HOME PARK OWNER EXEMPTIONS UNDER 5.44.030(F) ) AND, AMENDING SUBSECTION 5.44.060(B) (NOTICE RE PERCENTAGE CHANGE OF CPI ) OF THE SAN LUIS OBISPO MUNICIPAL CODE BE IT ORDAINED by the City Council of the City of San Luis Obispo as follows: SECTION 1. Section 5.44.040 of the San Luis Obispo Municipal Code is hereby amended to read as follows: A. Any mobile home park owner claiming an exemption under Section 5.44.030(F) shall comply with the following requirements and procedures: (1) File with the City Clerk. a statement setting forth the basic facts upon .which the claim for exemption rests such as total number Gof spaces, number on long-term leases, identity of spaces on long-term leases, expiration date for each long-term lease and any other information determined necessary by the City Administrative Officer to evaluate the claim. (2) The statement shall include a listing, by space number and name, of each tenant not on a long-term lease and who would be affected by the claim of exemption. In addition, the owner shall provide proof of service that all tenants have been notified of the claim of exemption and of the fact that. a tenant may file an objection within thirty days. B. An objection to the claim of exemption may be filed with the City Clerk within 30 days after the notice of claim has been served. The objection shall state the grounds of the objer.tiori. The only acceptable 3 -3 Ordinance No. (1989 Series) Page Two 7D grounds for objection is that the owner in fact does not have 2/3 of the spaces in the park on long-term leases. C. If an acceptable and timely objection is received the owner and the tenant(s) filing the objection shall meet and confer to negotiate in good faith and attempt to reach an agreement. If no agreement is reached within thirty days of the date of filing of the objection, the owner shall within ten days notify the City Administrative Officer that an agreement or resolution to the objection has not been reached. The City Administrative Officer shall proceed to select a hearing officer as set forth in Section 5.44.070(B) (2) (F) . D. The hearing officer shall set and conduct a hearing as set forth in subsection 5.44.070(B) (2) (E) and (G) . The hearing officer shall determine if the claim of exemption is valid taking into account. all relevant evidence, facts and circumstances necessary to come to a decision. E.. The hearing officer's charges shall be paid by the City. F. An appeal may be taken from a decision of the hearing officer as set forth in Section 5.44. 110, including the obligation for the costs of the appellate panel as set forth in subsection (D) thereof. SECTION 2. Subsection 5.44 .060(B) (2) is hereby amended to read as follows: 2. Every two months the City Administrative Officer shall publish by means of an advertisement, or similar notice. in the newspaper the percentage change of the CPI allowed under this Section B for l 3�v Ordinance No. (1989 Series) Page Three G the 12 month period immediately preceding the month for which CPI information has been most recently published by the appropriate federal agency. INTRODUCED AND PASSED TO PRINT by the Council of the City of San Luis Obispo at a meeting held on the day of 1989, on motion of seconded by and on the following roll call vote: AYES: NOES: ABSENT: Mayor Ron Dunin ATTEST: CITY CLERK, PAM VOGES