HomeMy WebLinkAbout1226ORDINANCE NO. 1226 (1992 Series)
An Ordinance of the Council of the City of San Luis
Obispo Amending Chapter 5.44 of the San Luis Obispo
Municipal Code and Section 5.44.060C Relating
to Space Rent Increases in Mobile Home Parks
Upon Change of Ownership
BE IT ORDAINED by the Council of the City of San Luis Obispo:
SECTION 1. Section 5.44.010 of the San Luis Obispo Municipal
Code is amended to read as follows:
5.44.010 Purpose and intent.
A. There is presently within the city
and the surrounding areas a shortage of spaces
for the location of mobile homes. Because of
this shortage, there is a very low vacancy
rate, and rents have been for several years,
and are presently, rising rapidly and causing
concern among a substantial number of San Luis
Obispo residents.
B. Mobile home tenants, forced by the
lack of suitable alternative housing, have had
to pay the rent increases and thereby suffer a
further reduction in their standard of living.
C. Because of the high cost and
impracticability of moving mobile homes, 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 mobile home residents, and the
substantial investment of mobile home owners
in such homes, this council finds and declares
it necessary to protect the owners and
occupiers of mobile homes from unreasonable
rent increases, while at the same time
recognizing the need of park owners to receive
a suitable profit on their property with
rental income sufficient to cover increases in
costs of repair, maintenance, insurance,
utilities, employee services, additional
amenities, and other costs of operation, and
to receive a fair return on their property.
D. This council finds that the present
low vacancy rate and frequent increases are
particularly hard upon and unfair to residents
of mobile home parks within the city. Large
numbers of these residents are senior citizens
and others on fixed incomes who installed
their mobile homes in the city when the
Ordinance No. 1226 (1992 Series)
Page Two
present inflationary rent increases could not
reasonably have been foreseen.
E. Tenants in mobile home parks desiring
to sell their mobile homes may have difficulty
finding buyers because, upon a change of
ownership, the park owner is able to raise the
rent without regard to the city's mobile home
rent stabilization ordinance.
F. This council finds that it is in the
best interests of the citizens of the City of
San Luis Obispo to assist those who are
seeking to sell their mobilehomes and those
who are seeking to buy such homes to have the
same fair rental protection as is afforded to
those who remain in their mobilehomes without
sale. This Council finds that the vacancy
control provisions originally included in the
Mobile Home Rent Stabilization Ordinance when
it was approved by the voters was an effective
and beneficial provision for the people of San
Luis Obispo living in mobile home parks, and
should be reinstated. This council further
finds that provisions allowing annual rent
increases together with provisions allowing
rent increases upon a showing of necessity
protect the park owner's right to a fair
return on investment, thus eliminating the
need for rent increases above 10% upon change
of ownership.
G. However, this council recognizes that
a rent stabilization ordinance must be fair
and equitable for all parties and must provide
appropriate incentives for mobile home park
operators to continue their parks profitably,
as well as to attract additional investors for
new parks.
SECTION 2. Section 5.44.060C of the San Luis Obispo Municipal
Code is amended to read as follows:
C. The maximum monthly space rent of a
tenant may be increased by the owner when
there is a change of ownership affecting a
mobile home. However, such increase shall not
exceed ten percent of the then existing space
rent and may not be relied upon any more often
than once in any thirty -six month period as
the basis to increase rent. In the event of
change of ownership resulting from subletting
of the mobilehome space as may be allowed by
Ordinance No. 1226 (1992 Series)
Page Three
state law, should such become state law, then upon any
such subletting the space rent may be increased up to ten
percent of the then existing space rent. In the event of
change of ownership resulting from vacation of the space,
then the space rent may be adjusted to fair market rent
in the community. Nothing in this paragraph shall
preclude an adjustment as may otherwise be provided for
in this Chapter.
SECTION 3. This ordinance, together with the names of council
members voting for and against, shall be published once in full, at
least three days prior to its final passage, in the Telegram
Tribune, a newspaper published and circulated in this City. The
ordinance shall go into effect at the expiration of 30 days after
its final passage.
INTRODUCED AND PASSED TO PRINT by
San Luis Obispo at its meeting held on
1992, on motion of Council Member Roalman
Council Member Pinard , and on the
the Council of the City of
the 20th day of October
seconded by
following roll call vote:
AYES: Council:Members Roalman, Pinard, Rappa, and Reiss
NOES: None
ABSENT: Mayor Dunin
Mayor Ron Dunin
ATTEST:
Viane adwell
APPROVED:
City A#inistrative Officer
t
— uttv,
Community Dev opment Director
Ordinance No. 1226 (1992 Series)
FINALLY PASSED this 10th
1992 on motion of Council Member Roalman
r
day of November
Council Member Rappa , and on the following roll call vote:
AYES: Council Members Roalman, Rappa, Pinard, and Reis-,.
NOES: None
ABSENT: Mayor Dunin
ayor Ron Dunin
ATTEST:
FON'Ta'Waam".5,
'17-11, 1002"81, R. mmlw
Clerk Diane GaiMl
seconded by
.1
Wy,