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HomeMy WebLinkAbout02/02/1988, 5 - BALLOT MEASURES FOR THE JUNE 7, 1988, ELECTION p �p MEETING DATE: City of San Luib OBISPO 2-2-88 CgYNCIL AGENDA REPORT ITEM NUMBER: 01 FROM: P es, City Clerk SUBJECT: Ballot Measures for the June 7, 1988, Election CAO RECOMMENDATION: A) Adopt resolution(s) (Measures A & B) calling the election and approving placement of two ballot measures for the June 7, 1988, State-wide Primary Election; and B) adopt resolution consolidating the Special Municipal Election with the State-wide Primary Election. BACKGROUND: The State-wide Primary Election is conducted by the County and includes the races for Federal, State and County-wide offices including the Presidential and Supervisorial races. It also includes any measure(s) placed by the Board of Supervisors or measures qualified by initiative. At the Council meeting of Monday, January 25 the Council directed staff to place two binding measures on the June 7 ballot, specifically: 1) the Mobilehome Ad Hoc Committee's recommended amendments to the existing mobilehome rent regulations; and 2) the proposed initiative ordinance establishing new mobilehome rent regulations. The resolution consolidating the election allows the city to combine its election with the State-wide Primary Election and avoids duplication of printing and mailing of sample ballots, computer tabulation, precinct workers and canvassing the results. Requirements called for by the City's Campaign Election Regulations will be performed by the City. This will include separate advertising and filing requirements in addition to those mandated by the State. The majority of the advertising and notices required by the State's Election Code will also be performed by the City. All filings, i .e. Conflict of Interest, State and City financial reporting, will be handled through the City Clerk's Office. ALTERNATIVES: 1 . Adopt resolution(s) calling and consolidating the election - Recommended (Section 5 allowing rebuttal arguments is optional) . 2. Failure to adopt the resolution(s) by February 2 will defer any ballot measure until the November 8 election. CONCURRENCES: City Attorney and City Administrative Officer �� I ����n�lnl►I�Illll�lip��ull����ll MY Of San LUIS OBI SPO = COUNCIL AGENDA REPORT FISCAL IMPACT: $8,000 is anticipated to conduct the 1988 election for one to four ballot measures. Several factors will impact election expenditures. 1. The number of measures, initiatives or referendums placed on the ballot by all entities, i.e. City of San Luis Obispo, County (Board of Supervisors and other cities) , State measures. 2. Number of candidates who have filed for office including the Board of Supervisors, Assembly, Senate and Presidential . RECOMMENDATION: A) Adopt resolution(s) calling the Special Municipal Election to be held Tuesday, June 7, 1988; and B) adopt resolution requesting the San Luis Obispo County Board of Supervisors to consolidate the Special Municipal Election on Tuesday, June 7, 1988, with the State-wide Primary Election. ATTACHMENTS: Draft resolution(s) calling election and placing measures Draft resolution consolidating election Calendar for Filing Arguments, Rebuttals and Impartial Analysis to Measures and procedures PV:skj ELECTION II (consolidate) 5-2� J. RESOLUTION NO. ( 1988 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO CALLING A SPECIAL MUNICIPAL ELECTION TO BE HELD IN SAID CITY ON TUESDAY, JUNE 7 , 1988, AND TO BE CONSOLIDATED WITH THE STATE-WIDE PRIMARY ELECTION TO BE HELD ON SAID DATE FOR THE PURPOSE OF VOTING UPON PROPOSED ORDINANCE CONCERNING MOBILEHOME RENT REGULATIONS WHEREAS, the Charter of the City of San Luis Obispo and state law provide for the City Council to place an ordinance before the voters for consideration; and WHEREAS, the City Council desires to submit to the voters at the election a question relating to mobilehome rent regulations. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1 . There is hereby called and ordered in the City of San Luis Obispo, State of California, on Tuesday, June 7, 1988, a Special Municipal Election of the qualified electors of the city, to be consolidated with the Statewide Primary Election, to vote upon an ordinance to establish mobilehome rent regulations. SECTION 2. That the City Council pursuant to its right and authority does order submitted to the voters at the Special Municipal Election the following question: CITY MEASURE "A" Shall the Mobilehome Ad Hoc Committee' s YES Q recommended amendments to the existing NO Q Mobilehome Rent Regulations be adopted? SECTION 3. That the proposed measure submitted to the voters is as follows: "BE IT ORDAINED by the People of the City of San Luis Obispo as follows: et EAN 014 b/#VANC4F Ta W ImseopTF b 5-� Resolution No. (1988 Series) Page 2 SECTION 4. The Proposition shall pass only if a majority of the votes cast by voters for the proposed ordinance are "YES votes. SECTION 5. That the City Clerk is authorized, instructed and directed to procure and furnish any and all official ballots, notices, printed matter and all supplies, equipment and, paraphernalia that may be necessary in order to properly and lawfully conduct the election. SECTION 6. That the polls for the election shall be open at seven o'clock a.m. of the day of the election and shall remain open continuously from that time until eight o'clock p.m. of the same day when the polls shall be closed, except as provided in Section 14301 of the Elections Code of the State of California. SECTION 7. That in all particulars not recited in this resolution, the election shall be held and conducted as provided by law for provided by law for holding municipal elections. SECTION 8. That notice of the time and place of holding the election is given and the City Clerk is authorized. instructed and directed to give further or additional notice of the election. in time, form and manner as required by law. SECTION 9. That the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions. On motion of seconded by and on the following roll call vote: 5--4 Resolution No. (1988 Series) Page 3 g AYES: NOES: ABSENT: the foregoing Resolution was passed and adopted this day of 1988. MAYOR RON DUNIN ATTEST: CITY CLERK PAM VOGES * : s f :. APPROVED: l ity A ministrative Officer City A or Ci y Clerk RESOLUTION NO. (1988 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO CALLING A SPECIAL MUNICIPAL ELECTION TO BE HELD IN SAID CITY ON TUESDAY, JUNE 7, 1988, AND TO BE CONSOLIDATED WITH THE STATE-WIDE PRIMARY ELECTION TO BE HELD ON SAID DATE FOR THE PURPOSE OF VOTING UPON PROPOSED ORDINANCE CONCERNING MOBILEHOME RENT REGULATIONS WHEREAS, the Charter of the City of San Luis Obispo and state law provide for the City Council to place an ordinance before the voters for consideration; and WHEREAS, the City Council desires to submit to the voters at the election a question relating to mobilehome rent regulations. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. There is hereby called and ordered in the City of San Luis Obispo, State of California, on Tuesday, June 7, 1988, a Special Municipal Election of the qualified electors of the city, to be consolidated with the Statewide Primary Election., to vote upon an ordinance to establish mobilehome rent regulations. SECTION 2. That the City Council pursuant to its right and authority does order submitted to the voters at the Special Municipal Election the following question: CITY MEASURE "B" Shall the proposed initiative ordinance YES= establishing new mobilehome rent regulations NO be adopted? SECTION 3. That the proposed measure submitted to the voters is as follows: "BE IT ORDAINED by the People of the City of San Luis Obispo as follows: S-Co RESOLUTION NO. ( 1988 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO CALLING A SPECIAL MUNICIPAL ELECTION TO BE HELD IN SAID CITY ON TUESDAY, JUNE 7, 1988, AND TO BE CONSOLIDATED WITH THE STATE-WIDE PRIMARY ELECTION TO BE HELD ON SAID DATE FOR THE PURPOSE OF VOTING UPON PROPOSED ORDINANCE CONCERNING MOBILEHOME RENT REGULATIONS WHEREAS, the Charter of the City of San Luis Obispo and state law provide for the City Council to place an ordinance before the voters for Consideration; and WHEREAS, the City Council desires to submit to the voters at the election a question relating to mobilehome rent regulations. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1 . There is hereby called and ordered in the City of San Luis Obispo, State of California, on Tuesday, June 7, 1988, a Special Municipal _ Election of the qualified electors of the city, to be consolidated with the Statewide Primary Election, to vote upon an ordinance to establish mobilehome rent regulations. SECTION 2. That the City Council pursuant to its right and authority does order submitted to the voters at the Special Municipal Election the following question: CITY MEASURE "B" Shall the proposed initiative ordinance YES establishing new mobilehome rent regulations NO 0 be adopted? SECTION 3. That the proposed measure submitted to. the voters is as follows: "BE IT ORDAINED by the People of the City of San Luis Obispo as follows: s-r Ordi--ace of the City of San Luis Ob{--+o, CA. to establish Mobile Home Rent Stabil. .tion The People of the City of San Luis Obispo do ordain and enact as follows: This Mobile Home Park Rent Stabilization Ordinance rescinds the Mobile Home Park Rent Stabilization Ordinance Chapter 5.44.00 through 5.44.i40 along with amendments for Section 5.44 Subsection 5.44.30 (E), Subsection 5.44.70 (B and C) Subsection 5.44.60 (B. 2), as well any and all City. Ordinances which are inconsistent with this initiative Ordinance and replaces it with the followings Sections: 1. Purpose and intent 2. Definitions 3. Exemptions 4. Hearing Officer - Established 5. Duties of Hearing Officer fi. Allowable increases - Allowable decreases - base space rent - determination of current rent 7. Application for rent increase - descrease - fee - contents - notice of request - hearing 8. Conduct of hearing - Application for rent increase - decrease 9. Evaluation - Relevant factors - Application for rent increase - decrease 10. Hearing - determination - Application for rent increase - decrease 11. Application for rent increase - decrease - hearing - appleal 12. Rent increases not made in conformity with provisions - homeowners right to refuse to pay 1.3. Actions brought to recover possession of mobile home space - Retaliatory eviction grounds for denial 14. Recreational vehicles as residences 15. Civil Remedies 16. Owner to provide homeowners with a copy of this ordinance 17. Safe Harbor 18. Vacancy decontrol 19. Severability 20. Miscellaneous 21. Majority vote needed to make changes in this ordinance 1 . Purpose and Intent A. There is presently, within the City of San Luis Obispo 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, rising rapidly and causing concern among a substantial number of San Luis Obispo residents. B. Mobile home owners, 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. -i- C. Because of the high Cost and difficulty of moving mouile 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, it is necessary to protect the owners and occupiers of mobile homes from unreasonable rent increases, while at the same time recogniz- ing the need of prudent park owners to receive a suitable return on their investment, with rental income sufficient to cover necessary and reasonable increases, including but not limited to, insurance, employee expenses and additional amenities provided to residents. D. It has been found low vacancy rates and frequent rent increases are particularly hard on residents of mobile home parks within the City of San Luis Obispo. Large numbers of these residents are senior cit- izens and others on fixed incomes who installed their mobile homes in the 'city when inflationary rent increases could.not reasonably have been forseen. E. It is recognized that a rent stabilization ordinance should be fair and equitable for all parties. The Consumer Price Indexi(C.P.I.) as a guide for a cost-of-living increase is incorporated in this ordin- ance to accomplish that equitability. 2. Definitions For the purpose of this ordinance, certain words and phrases used herein are defined as followst A. "City" means the City of San Luis Obispo, California and any of its officers and employees who will be involved in the application or enforce- went of the provisions of this ordinance. B. "Capital improvements" are those improvements that materially add to the value of the property and which may be amortized over the useful life of the improvement in accordance with the Internal Revenue Code and regula- tions issued thereto; provided that this definition shall be limited to capital improvements either approved by more than 5.1% of the. tenants in the affected park or constructed to comply with the direction of a public agency.. C. "Mobile home park" means an area of land in which are rented spaces and amenities of the common areas for mobile home dwelling units. D. "Mobile home park owner" or "owner" means the owner, lessor, operator or manager of a mobile home park. , •,. •.E. "Hearing officer" or "Officer"means an individual appointed by the City to conduct meetings between park owners and homeowners and to perform other related activities. -2- 5`9 1 F. "Mobile home owner" or "homeowner" means any person entitled to occupy a mobile home within a mobile home park by ownership of a mobile home or under a rental or lease agreement with the park owner. C. "Maintenance expenses" are those expenses required to suitably repair all facilities, services and amenities which have deteriorated beyond the state of acceptable usage and which are owned solely by the park owner, in compliance with the California Civil Code Provision 798.87 of the Mobilehome Essidency Law. H. "Space rent" or "Rent" means the charges .for the mobile home space and all amenities, facilities, utilities, or services that are provided, including use of the common areas in a mobile home park. I. "Investment" means the actual cost to the park owner excluding the cost to the owner of all borrowed funds or loans for the purchase of the park at the close of escrow. J.` "Recreational vehicle" means any recreational vehicle used for residency In a mobile home park longer than nine (9) consecutive months for the purpose of a residency. 3. Exemptions The provisions of this ordinance shall not apply to the following ten- ancies in mobile home parks: A•. Mobile home park spaces rented solely for nonresidential uses. B. Mobile home parks managed or operated by the U.S. Government, the State of California, the County of San Luis Obispo, or the City of San Luis Obispo. C. Tenancies which do not exceed an occupancy of twenty (20) days and which do not contemplate an occupancy of more than twenty (20) days. D. Tenancies for which any federal or state law or regulation specifically prohibits rent regulation. E. Tenancies covered by leases or contracts which provide for more than a 12-month tenancy, but only for the duration of such lease or contract. Upon the expiration of or other termination of any such lease or contract, this ordinance shall immediately be applicable to the tenancy. F. Mobile home parks which sell lots for factory-built or manufactued hous- ing. 4. Hearing Officer - Established A. There is established a qualified Hearing Officer with a background in accounting, to be selected by the City. -} ��lo B. A Hearing Officer may not be or have been affiliated financially by in- vestment or organisationally for personal gain with the real estate or rental housing industry. Appointee shall not be a mobile home owner or renter in a mobile home park, or have any financial interest (as defined by State law) in any mobile home or mobile home park. The Hearing Officer shall file a declaration to this effect with the City Clerk in a form approved by the City Attorney. C. The Hearing Officet shall be compensated for his or her time plus re- imbursement for travel and other expenses while on official duty. 5• Duties of the Hearing Officer A. Shall be directly responsibile for the administration of the Rent Stab- ilization Ordinance subject to reporting and supervision as the City shall direct. B. Determine that a meeting between the park owner and the homeowners has taken place in an effort to come to an agreement before applying to the Hearing Officer for a hearing. C. Obtain and review applications from park owners and homeowners for a rent increase or rent decrease and ordinance violations. D. Obtain all relevant documents, including Income Tax reports, needed to make findings and conduct an informal hearing. E. Hold hearings with the involved parties to consider the applications and make decisions based on the findings. F. Decisions of the Hearing Officer are appealable to the City Councils Any final decision of the Hearing Officer or the City Council shall be enforced by the city. G. The performance of the Hearing Officer is to be reviewed by the City Council at least every two years. H. All decisions of the Hearing Officer shall be in conformity with the relevant portions of the Civil Code and applicable portions shall be cited in all decisions. 6. Allowable increases - Allowable decreases - base space rent - determin- ation of current rent A. 1. The "base space rent" for purposes of this ordinance shall be the monthly space rent charges as of March 15, 1982. 2. The current rent shall be determined by adding the allowable Con- sumer's Price Index increases each year.. and harship increases as permitted by this ordinance and any preceding ordinance. B. Except as otherwise provided in this ordinance. the maximum monthly. space rent may be increased or decreased no more than. once a year by the lesser of the two following methodsg (1) Eight percent (896) of the existing space rent ori (2) Three-fourths (seventy-five percent)(75%) of the cost-of- living increase (Bureau of Labor Statistics, U.S. Cities Nat- tional Consumer- Price Index for the urban consumers), for the preceding twelve (12) month period ending four (4) months prior to the date of the proposed increase. (3) A decrease in the existing space rent equal to thee-fourths seventy-f ive percent) (70) of the cost of living decrease Bureau of Labor Statistics, U.S. Cities National Index for urban consumers), must be given when the Consumers Price Index is reduced. (4) All official Consumer Price Index rent rate increases or de- creases are to be issued by the Hearing Officer by September 1. Park owners shall give at least a 60-day notice of the rent in- crease to be effective on January 1. Rent increases cannot be retroactive. C. No owner shall either (1) demand, accept or retain a rent or charge from a homeowner in excess of the maximum rent permitted by this ordinance, - or (2) effect a prohibited rent increase indirectly by a reduction of general park facilities and/or services. D. There shall be no reduction of general park facilities, services, or % amenities except as allowed as a result of a hearing. 7. Application for rent increase - decrease - fee - contents - notice of request - hearing A. A park owner who has been required to make expenditures as defined in 2G or has incurred costs of such amounts that he will be unable to operate the park given the maximum increase permitted in 6B, if he seeks relief, shall file with the Officer an application for a rent increase, or ap- plication to reduce, or charge for, certain services or facilities, (in either event referred to hereinafter abs "application" or "application for rent increase"). B. An application for rent increase or decrease pursuant to this section shall be accompanied by the payment of a fee of $125.00 plus $1.00 per mobile home. The application shall specify, the address of the mobile home park, the space number or numbers,. the proprosed effective date and the facts supporting the application. The applicant shall produce at the request of the Officer any records, evidence including but not limited to re- ceipts, reports or other documents including income tax returns as needed and that the Officer may deem necessary to make a determination whether to approve the application. -5- C. The owner shall serve each affected homeowner either personally,; or by mail, with notice of the change in rent, services or facilities request- ed at the same time the application for approval of same is being filed with the Officer. Proof of such service shall be filed. with the Officer concurrent with the filing of the application. Copies of the applica- tion shall be available free of charge to any affected homeowner request- ing the same at the business office of the park. D. The Officer shall set a hearing on the application complying with the requirements of"this section no less than ten (10) days and no more than thirty (30) days after receipt of the application and proof of service and the homeowners have been notified, in writing. of the application to the Hearing Officer, The Hearing Officer shall notify the owner and home- owners, in writing, of the time, place and date set for the hearing. No hearing or any part thereof may be continued beyond thirty (30) days after the initial hearing date, without the consent of both parties. If the Hearing Officer approves an application as requested or as mod- ified,. the order or ruling shall take effect sixty (60) days after the Officer's approval and after the homeowners are notified, in writing, by the owner, subject to any requirements by the Hearing Officer. E. An application for a rent decrease by the homeowners shall be accompanied by documentation showing reduced services, facilities or amentities that are no longer available, or anything that caused a reduction in the value of their homes= for example, the deterioration of streets. It shall show the effective date of the decrease in services, amenities or value of homes. The application will be accompanied by a nominal fee of twenty- five dollars ($25.00). F. The homeowners or homeowner's association shall notify the owner, in writing, at the same time that an application is filed. G. The Hearing Officer shall set a hearing on the application complying with the requirements of this section no less than ten (10) days and no more than thirty (30) days after receipt of the application and proof that the park owner has ,been notified of the application to the Officer. The Officer shall notify both parties, in writing, of the time, place and date set for the hearing. No hearing or any part thereof may be continued be- yond thirty (30) days after the initial hearing date, without the consent of both parties. If the Hearing Officer approves an application requested or modified,. the same shall take effect retroactive to the date of the loss of facilities, services; amenity or value of homes. 8. Conduct of Hearing - Application for rent increase - decrease A. All interested parties to a hearing may be represented by an attorney or such other persons they designate. All witnesses shall be sworn in. B. In -the event the park owner or the homeowner(s) shall fail to appear at the hearing at the specified time and place, the Hearing Officer may -6- hear and review such evidence as may be presented and make such decisions as if all parties had been present. C. Parties may offer any testimony, documents, written declarations or other relevant evidence. D. Minutes shall be taken at all hearings. Tape recordings shall also be made and shall be held available for transcription when requested by any party, 9. Relevant factors - Application for rent increase - decrease - evaluation In evaluating the application the Hearing Officer shall consider in con- currence with the Mobile Home Residency Law, Civil Code Ho. 798.31 which states in part "A homeowner shall not be charged a fee for other than rent, utilities, and incidental reasonable services actually rendered." 10. Hearing - Determination - Application for rent increase - decrease A. The Hearing Officer shall make a final decision no later than twenty (20) days after the conclusion of the hearing. The decision shall be based on the findings of the Hearing Officer. The findings shall be based on the evidence submitted and obtained at the hearing. All parties or their designated representatives shall be advised by mail of the Officer's decision and findings. B.;. In carrying out the decisions, the Officer mays (1) Permit the requested rent increase or decrease to become effective, in whole or in parte or (2) Deny the requested rent increase or decrease; or (3) Permit or deny, in whole or in part, requested reductions, of or charges for, facilities, services, or amenities. C. Any decision of the Hearing Officer shall be final unless, within fifteen (15) working days after mailing of the findings and decision, the owner or any affected homeowner appeals the decision to the City Council. Any final decision shall be enforceable by the city. 11. Application for Rent Increase - Decrease - Hearing - Appeal A. Any appeal from a decision of the Hearing Officer shall be filed with the City Clerk. The date for consideration of the appeal shall be set by the City Clerk at a date no less than ten (10) days nor more than thirty (30) days after the expiration date for filing of an appeal. Written notice of the date, time and place shall be given by the City Clerk to the owner and all affected homeowners or their designated representatives. -7- B. At the time set for consideration of the appeal, the City Council shall review and consider the record of the hearing, findings and decision of the Hearing Officer. After review and consideration, the Council may either (1) determine that a further hearing shall be held within a reasonable time, or (2) ratify and adopt the findings and decision of the Hearing Officer. If a further hearing is conducted, the Council shall upon (3n the conclusion of that hearing,.and in no event more than thirty (30) days thereafter, affirm, modify or reverse the decision of the Officer, shall make findings and issue rulings and orders consistent with such findings. 12. Rent increases not made in conformity with provisions_ - Homeowner's right to refuse to pay A homeowner may refuse to pay any increase in rent not made in conform- ity with this ordinance. Such refusal to pay the owner shall be a defense in any action brought to recover possession of a mobile home space or to collect the rent increase. The disputed funds shall be put aside to be disbursed when a final decision is made under this Ordinance or other legal procedure. 13. Actions brought to recover possession of mobile home space - Retaliatory eviction grounds for denial Notwithstanding Section 120 in any action brought to recover possession of a mobile home space, the court may consider as grounds for denial any violation of any provision of this ordinance. Further, the deter- mination that the action was brought in retaliation for the exercise of any rights conferred by this ordinance shall be grounds for denial. 14. Recreational Vehicles as Residences Recreational vehicles in a mobile home park that are used for a resi- dence nine (9) months or longer shall have the same consideration as a mobile home for rent stabilization purposes. 15. Civil Remedies If any park owner demands, accepts, receives or retains any payment of rent in excess of the maximum lawful space rent, as determined under this ordinance, then the homeowner in such mobilehome parks affected by viol- ation individually or by class action, may seek relief individually. or by class action in a court of appropriate jurisdiction for injunctive re- lief and damages, in addition to any enforcement action by the city under this ordinance. 16. Owner to provide homeowners with a copy of this ordinance Any homeowner 0 offered a lease or contract'which, if accepted and fully executed, would be exempt from the provisions of this ordinance (Section 1 3 (R) shall.- prior to the execution of such lease or contract,,also be provided with a copy of this ordinance. Receipt shall be acknowledged in writing with copies to both parties. ` 17. Safe Habor, In the event that any homeowners in a mobile home park enter into leasee with their park owner, homeowners who do not enter' into such leases shall nevertheless, be entitled to rent stabilization protections of this ord- inance. 18. Vacancy Decontrol In the event that a homeowner sellsv conveys, or otherwise transfers ownership of his or her mobile home,. or the right to occupancy, the park owner shall not be permitted to establish a new base rent for the mobile home space and shall not be entitled to otherwise increase the space rent in contravention of this ordinance. 19. Severability If any provision of any clause of this ordinance or the application thereof to any person or circumstances is held to be unconstitutional or to be otherwise invalid by a final judgment of any court of comvetent jurisdiction, or should be invalidated by any legislation, then, such invalidity shall not affect other provisions or clauses of applications thereof which can be implemented without the invalid provision or clause or application, and to this end, the provisions and clauses of this ordinance are declared to be severable. 20. Miscellaneous (1) At the termination of a lease, if a new lease is not contract- ed, accepted, and fully executed,. the homeowner comes under the jurisdiction of this rent stabilita.tion ordinance. (2) Charges and rents shall be based on the provisions of Section 6 of this ordinance. 21. Majority vote needed to make changes in this ordinance This Ordinance for rent stabilization of a space or spaces in a mobile home perk cannot be changed or amended in whole or in part without a majorityn ote of the people of the City of San Luis Obispo, California. -9- • s" I lfJ �-Y;��n-��Yr 1�y`. .Y+f,�ai ';' •s.^�- .w M t. ~F , I �^`�`t�LJf r.IFE'�:�� 2^wy'..l...^-1'n�.� .. r.."Z.• h^ r -F a `r..-. �^. �}-."' t J'['ec���:h.i 4 .�=i.�;•'r�r�.1- - n: a. �� , n ,s w-• i---�' ^A[�'T•a•,a` -. Resolution No. (lot ' Ser'iea). SHCTION 4 I'he�ropoaition shall pass only if a majority of the votes 7.7 f� - h ?} i z ♦-s a a^���^ �. ia �Cyy E��"T�„- �7�3 1 Y ��,�, Y'• f..,^ cast.'by`ttoters for die•proposed ordinan°ice:are .VE3 .votes :• , _._ . SECTION 8 .fiat -the,_City Clerk.is .authorized, instructed and directed to--procure' and furnish.'anq and all official ballots, notices; printed - matter and all supplies, 'equipbent and paraphernalia that may be necessary in order to properly and lawfully conduct the election. SECTION 6. That the polls for the election shall be. open at seven o'clock a.m. of the day of the election and shall remain open continuously from that time until eight o'clock p.m. of the same day when the polls shall be closed, except as provided in Section 14301 of the Elections Code of the State of California. SECTION 7. That in all particulars not recited in this resolution, the election shall be held and conducted as provided by law for provided by law for holding municipal elections. SECTION 8. That notice of the time and place of holding the election is given and the City Clerk is authorized, instructed and directed to give further or additional notice of the election, in time, form and manner as required by law. SECTION 9. That the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions. On motion of seconded by and on the following roll call vote: r n n Resolution No. (1988 Series) � � AYES: NOES: ABSENT: the foregoing Resolution was passed and adopted this day of , 1988. 14AYOR RON DUNIN ATTEST: CITY CLERK PAN VOGES s s s s :_ APPROVED: City A inistrative Officer City At rney City Clerk S- �g 14. RESOLUTION NO. (1988 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO REQUESTING THE SAN LUIS OBISPO COUNTY BOARD OF SUPERVISORS TO CONSOLIDATE THE SPECIAL MUNICIPAL ELECTION ON TUESDAY,. JUNE 7, 1988,. WITH THE STATE-WIDE PRIMARY ELECTION TO BE HELD ON SAID DATE FOR THE PURPOSE OF VOTING ON THE ADOPTION OF TWO PROPOSITIONS WHEREAS, the City Council of the City of San Luis Obispo has adopted Resolution No. (1988 Series) (copy attached and incorporated by reference herein) calling a special election to be held on Tuesday, June 7, 1988, for the purpose of voting on propositions as described herein; NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. The Board of Supervisors of the County of San Luis Obispo is hereby requested to order the consolidation of the Special Municipal Election with the State-wide Primary Election to be held on Tuesday, June 7, 1988, and said Board of Supervisors is authorized hereby to canvass the returns of the election hereby called and the election shall be held in all respects as if there were only one election and one form of ballot, namely the ballot used at such primary election shall be used. The precincts, polling places and officers of election for the Special Municipal Election hereby called shall be the same as those provided for said State-wide Primary Election and as set forth in Section 23312 of the Elections Code. Said Board of Supervisors shall certify the results of the canvass of the returns of such Special Municipal Election to the Council of the City of San Luis Obispo, which shall thereupon declare the results thereof. SECTION 2. The Board of Supervisors is hereby requested to issue instructions to the County Clerk to take any and all steps necessary for 5-i9 Resolution No. (1988 Series) Page 2 the holding of said Special Municipal Election. The City will pay its pro rata share of extra costs incurred by the County in consolidating the elections pursuant to Section 51350 of the Elections Code. SECTION 3. The propositions to be voted on at said Special Municipal Election shall be as set forth on Exhibit "A" attached hereto and ; incorporated herein by reference. SECTION 4. The City Clerk is hereby directed to file certified copies of this resolution with the Board of Supervisors, the County Clerk and the Registrar of Voters of the County of San Luis Obispo. SECTION 5. Pursuant to Sections 4015.5 and 5014.5 of the Elections Code, rebuttal arguments will be permitted, and shall be filed with the ~City Clerk not more than 10 days after the final date for filing direct arguments. SECTION 6. The City Clerk shall certify to the passage and adoption of this resolution. On motion of seconded by and on the following roll call vote: AYES: NOES: ABSENT: The foregoing Resolution was passed and adopted this day of 1988. MAYOR RON DUNIN ATTEST: CITY CLERK PAMELA VOGES 5�2/ EXHIBIT "A" B I N D I N G M E A S U R E S CITY MEASURE "A" Shall the proposed initiative ordinance YES 0 establishing new mobilehome rent regulations NO Q be adopted? CITY MEASURE "B" Shall the Mobilehome Ad Hoc Committee's YES 0 recommended amendments to the existing NO 0 Mobilehome Rent Regulations be adopted? 5-21 ,rq•i6' it lin:i ql ' I II III Illi ',i'I iir yla'��I�I'I�IIi' � I I'l jl l 111 lil 11 l�l''I II .. 'lig �Y..Ilii r.��i Ill ill' III I "�ity �' CUI O-Bl' s- '0-0 Wy=�_ -- 990 Palm Street/Post Office Box 8100 • San Luis Obispo, CA 93403-8100 The following represents a tentative calendar for placing city ballot measures at the Tuesday, June 7, 1988 and Tuesday, November 8, 1988 elections to be held by the County of San Luis Obispo. PRESIDENTIAL PRIMARY ELECTION - TUESDAY JUNE-7.L. 1988 (includes Hoard of Supervisors-Districts 1 3 & 5) : Monday, 12/21/87 - Last day to file initiative or referendum (would need 15% of the registered voters) Tues. , 12/22/87 thru Wed. , 1/20/88 - City Clerk to verify petition sufficiency Tues. , 1/26/88 - Suggested date for Council consideration & action to place initiative, other measures, and call/consolidate election Wed. , 2/3/88 - Advertise for arguments/rebuttal arguments Mon. , 2/8/88 thru Wed. , 2/17/88 - Receive arguments Thurs. , 2/18/88 thru Mon. , 2/29/88 - 10-day public review of arguments/receive rebuttal arguments Tues. , 3/1/88 thru Thurs. , 3/10/.88 - 10-day public review of rebuttal arguments Fri. , 3/11/88 - Last day to forward argument/rebuttals/impartial analysis and candidate statements to County Clerk PRESIDENTIAL ELECTION - TUESDAY NOV. 8 1988: Fri. , 5/20/88 - Last day to file initiative or referendum (would need 15% of registered voters) Mon. , 5/23/88 thru Mon. , 6/20/88 - City Clerk to verify petition sufficiency Tues. , 6/21/88 - Suggested date for Council consideration & action to place initiative, other measures, and call/consolidate election Wed. , 7/6/88 - advertise for arguments/rebuttal arguments Fri. , 7/8/88 thru Mon. , 7/18/88 - Receive arguments (cont. on page 2) �-22 Continued dates for the County of San Luis Obispo Presidential Election to be held Tuesday, November 8, 1988 Page 2 Tues. , 7/19/88 thru Thurs. , 7/28/88 - 10-day public review of arguments/receive rebuttal arguments Fri. , 7/29/88 thru Mon. , 8/8/88 - 10-day public review of rebuttal arguments Tues. , 8/9/88 - Last day to forward argument/rebuttals/impartial analysis and candidate statements to County Clerk PV:skj ELECTION II (1988calendar) 5-z3 ARGUMENTS ON BALLOT MEASURES 4",Iiik=h Who Nay File The City Council, any member(s) of the City Council authorized by it, any individual voter or bona fide association of citizens, or any combination of voters and associations may file an argument for or against any measure (E.C. 5013). A bona fide association is a recognized authentic or genuine group of citizens bound together by a common interest. These arguments are not allowed to exceed 300 words (E.C. 4015) and will be sent to each voter with the sample ballot. If more than one argument for or against a measure is submitted, the City Clerk must select one argument for and one argument against with priority given to groups in the following order (E.C. 5018) : I. City Council or members authorized by it. 2. Individual voter or bona fide association of citizens, or combination of voter associations, who are bonafide sponsors of the measure. 3. Bona fide associations of citizens. 4. Individual electors (registered voters). B.C. 5014 also stipulates that arguments may be submitted with only five signatures. After the City Clerk selects one argument in favor and one argument against. copies of the opposing argument will be sent to each author. These authors may then submit a rebuttal of no more than 250 words to the City Clerk within ten days after the original arguments are selected. (B.C. 4015.5) Areament Headings Argument headings will be printed on .the front page of the argument, as appropriate: "Argument in Favor of Measure ," or "Argument Against Measure ," or "Rebuttal to Argument in Favor of Measure-,w "Rebuttal to Argument Against Measure ." (B.C. 5013) 5-2.4 STATEMENT ACCOMPANYING AROMCM All arguments and rebuttals are required to have the following form statement accompany the ballot argument: "The undersigned author(s) of the argument primary/rebuttal ballot proposition at the in.favor of/against name or number General Municipal Election for the City of San Luis Obispo to be held on Tuesday, November 3, 1987, hereby state that the argument is true and correct to the best of my knowledge and belief." A. ballot argument will not be accepted unless the name(s) of the person(s) submitting it is stated with it. If the argument is submitted on behalf of an organization, the name of the organization and the name of at least one of its principal officers must be stated before acceptance of the argument. No more than five signatures can appear with any argument (B.C. 5014). Any argument or rebuttal which includes the name of someone other than the author must be accompanied by a signed consent from that person. The consent of a party other than an individual (such as an organization or committee). must be signed by an officer or another authorized representative (E.C. 5014.1) . Withdrawal of Arguments Any argument for or against a measure may be withdrawn at any time up to and including the final date fixed for filing arguments (E.C. 5351). s-z� MEETNG AGENDA DAL` II'y;l, l;iiill'I'I' I�I ��II�I I DAYS FES a as ITEM # 'i'•ii;i I,jlil I,•�;Ijl li�li I li I :V;illl� ;l Cl Of IUIS OPalm Street/Post Office Box 8100 • San Luis Obispo, CA 93403.8100 (805) 549-7140 cc : obunc/ / TD��nn January 29, 1988 r�ccqq�V, �� btvA MEMORANDUM To: Honorable Mayor and Members onfYeCthe City Council From: Roger Picquet, City Attorney r \f Subject: Ad Hoc Committee's Recommendatio{{{ns on Mobilehome Park Rent Stabilization Part of Council's action at the last Council meeting regarding this subject was to direct me to meet with Mr. Dennis Law to discuss minor changes to the Ad Hoc Committee's proposed amendments to Chapter 5.44. This meeting was held on Wednesday, January 27, 1988. Attached is a "smooth" copy of Chapter 5.44 as proposed by the Committee. The substantive amendments have been addressed by Mr. Law's letter of December 23, 1987, which was included in your agenda packet materials for the January 25 meeting. The resvisions referred to above were minor grammatical corrections to several definitions and typographical errors, and a specific clarification that it was the intent that the appellate panel's decision was to be final and not appealable to Council. Also, a few minor details regarding administration of the ordinance were added. Please call mf if you have any questions. RP:ajr Attachment c: CAO DRAFT January 28, 1988 Chapter 5.44 MOBILE HOME PARK RENT STABILIZATION Sections: 5.44. 010 Purpose and intent. 5.44.020 Definitions. 5.44. 030 Exemptions. 5.44. 040 (Repealed. ) 5.44.050 City Council--Powers and duties. 5.44. 060 Base space rent--Determination--Allowable increases without hearing 5.44. 070 Application for rent adjustment--Fee--Contents-- Notice of request--Hearing. 5. 44. 080 Application for rent adjustment--Conduct of hearing. 5.44. 090 Application for rent adjustment--Evaluation-- Relevant factors. 5.44.100 Application for rent adjustment-- Hearing-- Determina- tion. 5.44. 110 Application for rent increase--Hearing--Appeal. 5.44.120 Rent increases not made in conformity with provisions--Tenant's right to refuse to pay. 5.44. 130 Actions brought to recover possession of mobile home space--Retaliatory eviction grounds for denial. 5.44.140 Owner to provide tenants with copy of this chapter. 5.44.141 Amendment. 5.44. 142 Severability. 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. DRAFT MEF"NG AGENDA 4r ''''; ji`I!'iii ���►�'�I �� I DAk FLO 2 99 ITEM # colty o sAn 990 Palm Street/Post Office Box 8100 • San Luis Obispo, CA 93403-8100 (805) 549-7140 CG • �OUhci•/ T Ovh� January 29. 1988 S. rlG�/G7P.� MEMORANDUM To: Honorable Mayor and Members onfYeCthe City Council From: Roger Picquet, City Attorney )-- \1 Subject: Ad Hoc Committee's Recommendations on Mobilehome Park Rent Stabilization Part of Council's action at the last Council meeting regarding this subject was to direct me to meet with Mr. Dennis Law to discuss minor changes to the Ad Hoc Committee's proposed amendments to Chapter 5.44. This meeting was held on Wednesday, January 27, 1988. Attached is a "smooth" copy of Chapter 5.44 as proposed by the Committee. The substantive amendments have been addressed by Mr. Law' s letter of December 23, 1987, which was included in your agenda packet materials for the January 25 meeting. The resvisions referred to above were minor grammatical corrections to several definitions and typographical errors, and a specific clarification that it was the intent that the appellate panel's decision was to be final and not appealable to Council. Also, a few minor details regarding administration of the ordinance were added. Please call mf if you have any questions. RP:ajr Attachment c: CAO DRAFT January 28, 1988 Chapter 5.44 MOBILE HOME PARR RENT STABILIZATION Sections: 5.44.010 Purpose and intent. 5.44.020 Definitions. 5.44.030 Exemptions. 5.44.040 (Repealed. ) 5.44.050 City Council--Powers and duties. 5.44.060 Base space rent--Determination--Allowable increases without hearing 5.44.070 Application for rent adjustment--Fee--Contents-- Notice of request--Hearing. 5.44 . 080 Application for rent adjustment--Conduct of hearing. 5.44 . 090 Application for rent adjustment--Evaluation-- Relevant factors. 5.44.100 Application for rent adjustment-- Hearing-- Determina- tion. 5.44.110 Application for rent increase--Hearing--Appeal. 5.44.120 Rent increases not made in conformity with provisions--Tenant's right to refuse to pay. 5.44. 130 Actions brought to recover possession of mobile home space--Retaliatory eviction grounds for denial. 5.44. 140 Owner to provide tenants with copy of this chapter. 5.44.141 Amendment. 5.44.142 Severability. 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. DRAFT 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 rent 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 present inflationary rent increases could not reasonably have been foreseen. E. 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. (Ord. 923 §1 (part) , 1982: prior code §4800) 5.44. 020 Definitions For the purpose of this chapter, certain words and phrases used herein are defined as follows: A. "Capital improvements" means those improvements, not previously located in the mobile home park, that materially add to the value of the property and appreciably prolong its useful life or adapt it to new uses, and which may be amortized over the useful life of the improvement in accordance with the Internal Revenue Code and regulations issued pursuant thereto; 2 provided, that this definition shall be limited to capital improvements approved by more than fifty percent of the tenants in the affected park. B. "Mobile home park" means an area of land which rents spaces for mobile home dwelling units. C. "Mobile home park owner" or "owner" means the owner, lessor, operator or manager of a mobile home park. D. (Repealed) D. "Mobile home tenant" or "tenant" means any person entitled to occupy a mobile home within a mobile home park pursuant to ownership of the mobile home or under a rental or lease agreement with the owner of the mobile home. E. "Rehabilitation work" means any renovation or repair work completed on or in a mobile home park performed in order to comply with the direction or order of a public agency or public utility, or to maintain existing improvements in a safe and usable condition, or to repair damage resulting from fire, earthquake or other casualty. F. "Space rent" means the consideration, including any security deposits, bonuses, benefits or gratuities, demanded or received in connection with the use and occupancy of a mobile home space in a mobile home park, or for housing services provided, but exclusive of any amount paid for the use of a mobile home dwelling unit. (Ord. 923 §1 (part) , 1982: prior code §4801) G. "Change of ownership" means the sale, rental transfer, or exchange of a mobile home subject to the provisions of this chapter excepting the transfer to tenant's spouse by gift, bequest or devise. H. "Hearing Officer" means the duly appointed hearing officer selected from a panel of qualified hearing officers. A hearing officer shall have no financial interest in either a mobile home park or a mobile home nor have been a resident of nor reside in a mobile home park. I. "Appellate Panel" means a panel of three qualified hearing officers. A panelist shall have no financial interest in either a mobile home park or a mobile home nor have been a resident of nor reside in a mobile home park. 3 J. "CPI" shall be the Consumer Price Index (1967=100) All Items, All Urban Consumers, for the Los Angeles/Long Beach/Riverside standard metropolitan statistical area published by the Bureau of Labor Statistics, United States Department of Labor. If the CPI is not hereafter published, then any substitute index, or, if none, then the index most closely resembling the CPI shall become the new CPI. R . "Qualified Hearing Officer" . The City Administrative Officer shall maintain a list of available qualified hearing officers. Qualified hearing officers shall be persons experienced in financial and accounting methods with knowledge of mediation process and rules of evidence. 5.44. 030 Exemptions. The provisions of this chapter shall not apply to the following tenancies in mobile home parks: A. Mobile home park spaces rented for nonresidential uses; B. Mobile home parks managed or operated by the United States Government, the state of California, or the county of San Luis Obispo; C. Tenancies which do not exceed an occupancy of twenty days and which do not contemplate an occupancy of more than twenty days. D. Tenancies for which any federal or state law or regulation specifically prohibits rent regulation; E. Tenancies covered by leases or contracts which provide for a tenancy of more than a year, but only for the duration of such lease or contract. Upon the expiration of or other termination of any such lease or contract, this chapter shall immediately be applicable to the tenancy. No rent increases other than that allowed under the provisions of the lease, shall be allowed during the duration of such a lease or contract. F. Spaces in a mobile home park in which at least 66.67% of said spaces are governed by a lease with an initial term of more than one year. G. Mobile home parks which sell lots for factory- built or manufactured housing, or which provide 4 condominium ownership of such lots, even if one or more homes in the development are rented or leased out. (Ord. 923 §1 (part) , 1982: prior code §4802) 5.44.040 (Repealed) 5. 44.050 City Council--Powers and duties. Within the limitations provided by law and in addition to any other powers and duties the Council has, the City Council shall have the following powers and duties: A. To meet from time to time as required to receive, investigate, hold hearings on, and pass upon the issues relating to mobile home park rent stabilization as set forth in this chapter; B. To direct staff to make or conduct such independent hearings or investigations as may be appropriate to obtain such information as is necessary for Council to carry out its duties; C . To adopt, promulgate , amend and rescind administrative rules, as it deems appropriate to effectuate the purposes and policies of this chapter. (Ord. 923 §1 (Part 1952: prior code §4804) 5.44.060 Base space rent----Allowable increases without hearing. A. The "base space rent" for purposes of this chapter shall be the monthly space rent charged as of March 15, 1982 plus any increases otherwise allowed, pursuant to this Chapter. The maximum monthly space rent for any space under a lease, upon expiration of the lease shall be no more than the rent charged in the last month of said lease. In parks where there is an exemption because 66.67% of the spaces are governed by a lease with an initial term of no less than one year, then the maximum monthly space rent shall be the space rent designated in leases for comparable spaces. A schedule of current rents in the park shall be posted in a conspicuous place in the park. B. Except as otherwise provided in this chapter, the maximum monthly space rent may be increased no more than once a year based on the percentage change in the 5 CPI, or 9%, whichever is less, calculated as follows: 1. The maximum monthly space rent may be increased at a rate equal to 100 percent (100%) of. the CPI up to 5 percent (5%) and 75 percent (75%) of .the CPI in excess of 5 percent (5%) calculated as follows: .a. The change in space rent shall be calculated by dividing the ending CPI index by the beginning CPI index. .b. If the resulting quotient is less than 1. 05, then it shall be multiplied by the space rent. The resulting product shall be the new space rent. .c. If the resulting quotient is greater than 1.05, then 'the difference between the resulting product and 1.05 shall be multiplied by 75 percent. The resulting product shall be multiplied by the space rent and that product shall be added to the sum derived from 5.44.060 B.2 above. The sum shall be the new space rent. .d. The beginning CPI index shall be the index for the month used as the ending index for the last CPI adjustment. .e. The ending CPI index shall be the index for the month twelve months after the beginning index. 2. Each month the City Administrative Officer shall publish the percentage change of the CPI allowed under this Section B for the 12-month period immediately preceding the month for which CPI information has been most recently published. 3 . It is the intention of this paragraph 5.44.060 B to allow for automatic increases in space rent based on changes in the cost of living as measured by the CPI. The limitations on such increases are intended to minimize the immediate impact drastic changes in the CPI might have on residents. The limitations are not intended to prevent ultimate adjustments to allow owners to receive a fair return on their property. 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 10% of the then existing space rent and may not be relied upon any more often 6 than once in any 36-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 State law, should such become State law, then upon any such subletting then the space rent may be increased up to lot 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. D. No owner shall either (1) demand, accept or retain a rent of or from a tenant in excess of the maximum rent permitted by this chapter, or (2) effect a prohibited rent increase by a reduction of general park facilities and services. However, an owner may modify the nature of park services if reasonable allowance is provided to the tenant. For example, if the owner elects to submeter water so that tenants pay for water consumed by them, then tenants shall receive a reasonable reduction from their base space rent. (Ord. 1079 §11 1986; Ord. 1020 §11 1984: Ord. 923 §1 (part) , 1982: prior code §4805) E. Space rent may be automatically adjusted based on increases in expenses for common area utilities; new government mandated services; garbage service and cable television, where applicable. The space rent may be adjusted by dividing the total increase in any such expenses incurred during a twelve-month period by twelve, less the percentage in the CPI index for the twelve-month period. The quotient shall be allocated to the space rent for each space in the park based on the amount the space rent relates to total space rent for the park. Notice of the increase shall be in writing and shall be given as required by law no less than 60 days prior to any such increase being effective. The notice shall state the amount of the rent increase, the new space rent, the amount of the total increase in expenses and the nature of the expense. A copy of the notice shall be given to the City Administrative officer. The City Administrative Officer shall have the authority to resolve questions regarding computation of the space rent increase based on this section. There shall only be one such increase in any twelve-month period. 5.44.070 Application for rent adjustment--Fee--Contents-- Notice of request--Hearing. A. Except for automatic increases in base rent allowed under Section 5.44. 060, an owner or tenant may file with the City Clerk an application for a rent 7 adjustment ("application") . The application shall state the amount of the adjustment for each space affected and the reasons for the adjustment. 1. An application shall be accompanied by the payment of a fee as may be established from time to time by the council. 2. An application filed by an owner shall be accompanied by a statement stating that the tenant for each space affected has been served either personally or by mail with a notice describing the application and the change in rent or services. 3. An application filed by a tenant shall be accompanied with a statement stating that the owner has been either personally or by mail served with the application and with a statement designating not more than three persons to act as representatives for the spaces affected and containing the names and addresses of tenants representing no less than 51% of the spaces affected by the application and supporting the application and established by a secret election. 4. A statement shall accompany the application and shall notify the receiving party that he/she has 30 days to file an objection and if one is not filed within the time allowed, then the application will be automatically granted. B. An objection to the application may be filed with the City Clerk within 30 days after the notice of application has been served. The objection shall identify the portions of the application objected to and shall state the grounds of the objection. 1. A copy of an objection filed by an owner shall be mailed to each of the designated tenant representatives. 2. A copy of an objection filed by a tenant shall be mailed to the owner. The tenant's objection shall designate not more than three persons to act as representatives for the objecting tenants. The objection must be accompanied by a statement containing the names and addresses of tenants representing no less than 51% of the spaces affected by the owners application and verifying that they object to the application, established by secret ballot election. 8 C. If no objection is filed to an application within the time allowed, or if less than 51% of the tenants support an objection to an application, then the application will be automatically granted. D. If an objection is filed within the time provided, then the owner and the tenant representatives shall meet and confer to negotiate in good faith an agreement regarding the application. Either party may request a mediator of their choice to assist in the negotiations, but this is not required. If an agreement is reached within 60 days, then the tenant representatives shall notify all tenants affected by the agreement. The tenants shall have 10 days to approve or disapprove of the agreement. If tenants representing a majority of the spaces affected fail to disapprove of the agreement then the agreement shall be binding on the owner and all tenants affected. The City Clerk shall be notified that an agreement has been reached. The statements made in negotiations and any agreements reached but not approved shall not be admissible in any subsequent hearings regarding the application. E. If the owner and the tenant representatives fail to reach an agreement within the time provided or if a majority of the tenants disapprove of an agreement reached, then the applicant shall within 10 days notify the City Administrative Officer that an agreement has not been reached. The City Administrative Officer shall obtain a list of no less than five (5) qualified hearing officers. Owners and tenants may each delete one person from the list of qualified hearing officers within seven (7) days and one of the remaining persons shall be selected by the City Administrative Officer as the hearing officer. Appointment of the hearing officer shall be completed no later than twenty-one days after filing of the notice that an agreement has not been reached. F. The hearing officer shall set a hearing on the application complying with the requirements of this section no less than ten days and no more than thirty days after his appointment. The hearing officer shall notify the owner and tenants, in writing, of the time, place and date set for the hearing. No hearing or any part hereof may be continued beyond thirty days after the initial hearing date, without the applicant's consent. If the hearing officer approves an application as requested or as modified, the same shall 9 take effect as noticed by the owner or as the hearing officer may otherwise direct. (Ord. 1077 §2, 1986; Ord. 923 §1 (part) , 1982: prior code §4806) 5.44. 080 Application for rent adjustment--Conduct of hearing. A. All review hearings conducted by the hearing officer shall be conducted in accordance with the Ralph M. Brown Act, at Section 54950 et seq. of the California Government Code and according to the rules of the American Arbitration Association. B. All interested parties to a hearing may have assistance from an attorney or such other person as may be designated by the parties in presenting evidence or in setting forth by argument their position. All witnesses shall be sworn in and all testimony shall be under penalty of perjury. 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 hearing officer may hear and review such evidence as may be presented and make such decisions as if all parties had been present. D. Owner and affected tenants may offer any testimony, documents, written declarations or other relevant evidence. E. Formal rules of evidence shall not apply. F. Minutes shall be taken at all hearings. (Ord. 923 §1 (part) , 1982: prior code §4807) 5.44.090 Application for rent adjustment--Evaluation-- Relevant factors. In evaluating the application the hearing officer may consider, along with all other factors it considers relevant, changes in costs to the owner attributable to increases or decreases in master land and/or facilities lease rent, utility rates, property taxes, insurance, advertising, variable mortgage interest rates, employee costs, normal repair and maintenance, and other considerations, including, but not limited to, rehabilitation work, 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. 10 (Ord. 923 §1 (part) , 1982: prior code § 4808) A. In applying the foregoing factors, the hearing officer shall utilize the maintenance of net operating income (MNOI) formula. Under the MNOI allowable gross rents are calculated as follows: All operating expenses for the twelve-month period ending December 31, 1981 are subtracted from all operating expenses for the twelve-month period immediately preceding the date of the application for which expense data is available. In the event operating expenses are not available for the period ending December 31, 1981, then expenses for a twelve-month period reasonably close to December 31, 1981 may be substituted. The difference shall be added to gross annual rent based on rental rates in effect on March 15, 1982. The sum shall. be the allowable gross annual space rent. The allowable gross space rent shall be fairly apportioned between all spaces in the park. The space rent determined under the MNOI formula shall be adjusted as follows: 1. There shall be an adjustment to allow for inflation calculated as follows. The net operating income (NOI) for the base period shall be calculated by subtracting the park's operating expenses for the twelve-month period ending December 31, 1982, from the park's annual gross space rent based on the space rent in effect on March 15, 1982. The CPI index for the month most recently available prior to filing the application shall be divided by the CPI index for March, 1982. The resulting quotient shall be multiplied by the base period NOI. This shall be the adjusted NOI. The operating expenses for the twelve-month period immediately preceding the date of the application for which information is available shall be added to the adjusted NOI. The sum shall be the inflation adjusted gross space rent. The allowable space rent shall be the greater of the space rent calculated using the MNOI formula and the space rent adjusted for inflation. 2. In calculating MNOI there shall be an adjustment to the gross space rent in effect on March 15, 1982, if- the hearing officer determines that the gross space rent in effect on that date did not allow the owner to receive a just and reasonable return on his property. 3. If the hearing officer concludes that the MNOI formula, and the adjustments thereto, does not provide a just and reasonable return to the owner, 11 then the hearing officer may apply any reasonable formula, including a return on investment, a return on fair market value, or return on equity, to determine a space rent which will allow the owner to receive a fair and reasonable return on his property. B. The hearing officer shall not consider income arising from spaces leased in the park pursuant to 5.44.030 (E) of this chapter. Likewise, the hearing officer shall not consider a pro rata portion of the expenses of park operation attributable to the leased spaces. 5.44. 100 Application for rent adjustment--Hearing-- Determination. A. The hearing officer shall make a final decision no later than twenty days after the conclusion of its hearing. The hearing officer's decision shall be based on the preponderance of the evidence submitted at the hearing. The decision shall be based on findings. All parties to the hearing shall be advised by mail of the hearing officer's decision and findings. B. Pursuant to its findings, the hearing officer may: 1. Permit the requested adjustment to become effective, in whole or in part; or 2. Deny the requested adjustment; or 3 . Permit or deny, in whole or in part, requested reductions of, or charges for, facilities or services. C. Any decision of the hearing officer shall be final unless, within fifteen days after mailing of the decision and findings the owner or any affected tenant appeals the decision. (Ord. 923 §1 (part) , 1982 ; prior code §4809) D. The hearing officer's charges shall be paid by the City. 5.44. 110 Application for rent adjustment--Appeal--Hearing. A. Any appeal from a decision of the hearing officer shall be filed with the City Clerk. The appellant shall also mail a copy of the appeal to the responding party. The appeal shall state the grounds on which it is based. An appeal filed by a ' tenant shall be accompanied by a statement containing the names and 12 addresses of the tenants supporting the appeal. The appeal must be supported by at least 51 percent of the tenants affected by the appeal. B. Upon filing of a valid appeal, the City Administrative Officer shall obtain a list of no less than seven (7) qualified hearing officers. The hearing officer who previously acted shall not qualify. Owners and tenant representatives may each delete one person from the list of qualified hearing officers within seven days, and three of the remaining persons shall be selected by the City Administrative Officer as the Appellate Panel. Appointment of the Appellate Panel shall be completed no later than twenty-one (21) days after filing the appeal. C. At the time set for consideration of the appeal the Appellate Panel shall review and consider the record of the hearing officer's hearing as well as the decision and finding of the hearing officer. After review and consideration the Appellate Panel may either (1) determine that a further hearing shall be held, or (2) ratify and adopt the decision and findings of the hearing officer. If a further hearing is conducted, the Appellate Panel may upon conclusion of that hearing and in no event more than thirty days thereafter, modify or reverse the decision of the hearing officer, only if the Appellate Panel finds that there has been an abuse of discretion or that there is no substantial evidence to support the hearing officer's decision. (Ord. 923 §1 (part) , 1982: prior code §4810) The Appellate Panel 's decision shall be final and no appeal may be taken to Council. D. If the party filing the appeal is unsuccessful, then that party shall pay the Appellate Panel 's charges. If the responding party is unsuccessful, then both parties and the City shall share equally in payment of the Appellate Panel 's charges. . 13 5.44.120 Rent increases not made in conformity with provisions--Tenant's right to refuse to pay. A tenant may refuse to pay any increase in rent not made in conformity with this chapter. Such refusal to pay shall be a defense in any action brought to recover possession of a mobile home space or to collect the rent increase. (Ord. 923 §1 (part) , 1982: prior code §4811) 5.44.130 Actions brought to recover possession of mobile home space--Retaliatory eviction grounds for denial. Notwithstanding Section 5.44.120, in any action brought to recover possession of a mobile home space, the court may consider as grounds for denial any violation of any provision of this chapter. Further, the determination that the action was brought in retaliation for the exercise of any rights conferred by this chapter shall be grounds for denial. (Ord. 923 §1 (part) , 1982: prior code §4812) 5.44.140 Owner to provide tenants with copy of this chapter. Any tenant offered a lease or contract which if accepted and fully executed would be exempt from the provisions of this chapter (Section 5.44.030E) shall at the time of the offer also be provided with a copy of this chapter. (Ord. 923 §1 (part) , 1982: prior code §4813) 5.44.141 Amendment The provisions of this Chapter 5.44 may be amended by a majority vote of the City Council. 5.44. 142 Severability If any portion of this Chapter is found to be invalid, then that shall in no way affect the validity of the remaining portions of this Chapter. ord\mobile.rin (01/28/88) 14