HomeMy WebLinkAbout06/19/1990, 4 - THE CONTROL OF RENTS UPON THE SALE OF MOBILE HOMES LOCATED IN PARKS SUBJECT TO MOBILE HOME RENT STA illUlU city of Sar `UIS OBIS pO EE71N%90�
COUNCIL AGENDA REPORT MENA NUMBER
From: - Jeffrey G. Jorgensen,
City Attorney
Subject: The Control of rents upon the sale of mobile homes
located in parks subject to Mobile Home Rent
Stabilization.
CAO Recommendation:
Introduce to print an ordinance amending Section
5.44.060C of the San Luis Obispo Municipal Code to
provide for the establishment of fair market rent
whenever there is a change of ownership affecting a
mobile home subject to the Mobile Home Rent Stabilization
Ordinance.
Discussion:
At the May 15, 1990 City Council meeting, the Council
introduced to print an Ordinance amending Section 5.44.060C of the
San Luis Obispo Municipal Code to provide for decontrol of rents
upon the sale of mobile homes located in parks subject to Mobile
Home Rent Stabilization. In addition, Council directed staff to
come back with additional amendments
Stabilization Ordinance which would estabto the Mobile Home Rent
lish a procedure for the
determination of Fair Market rent when there is a change of
ownership affecting a mobile home. Requiring a list of fair market
rents (which would be applied to each space in a mobile home park
upon change of ownership) to be established annually would provide
some certainty to both buyers and sellers of mobile homes as to
what the new rent would be and thereby help to avoid favoritism,
discrimination, or evasion of the Rent Stabilization Ordinance.
Staff has drafted proposed amendments to Section 5.44.060C which,
together with the amendments adopted by the Council on May 15, 1990
would provide 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.
Provided, however, it shall be unlawful and a
violation of this Chapter for an owner to
intentionally and willfully increase the
monthly space rent of a tenant above the fair
market rent in the community for the purpose
of forcing the tenant to sell his mobile home
to the owner, his agent, or representative.
sha1� usa �oz'mai "�tnd pr�tdsn� �t�� �'
practices in �stabl,isk�ing the n+aw .fn:ir �ark�
dent amount k#or tach�$�� *" The' fir '�out't ,
l
�8enever trhere , 3e > a tchattge :of , �wn+ership �
ff$ctin >aobiie ha#tss thereast cati 1e ,kt
favaritis� discrimination, eva.s�on o� the rent
�tabiiizat +�n pz'dix#�irit�, anti; ~ stetantia�'
economic , ancerta3nty fox k�both buyers arid.
�seilers of tnoii homes. f'3' ie�reoz8, h8sie
of each 3ecile Noma kpark shall Yatdo
more thais cfiCe gt t the 5egintiin a
calendar year. post Tsar eac3i spacers thea '
the �a�v fair �sar"ket r�rit amort 3� ;s�ii� :fie
established upoc the change of as�►nershipYuz3g
khat +ceaendar yew c the �obie..}�nme sut�ad
upan any given .spare., the park aw°�ert. �all;
provide sa3 •.�istwsLo �e Citp Ce�k, a ' ��'
post a copy of said list � the a�#icy af, tae
�nobii$ ham$ p$rk ado rent shall: be .imposed a
collected Gln excess of fixe praysiatas;.„i�f asa'�+
dist:
Fiscal impacts
There are no anticipated impacts on City funding either in
terms of expenses or savings.
Attachments:
Proposed Ordinance (1990 series)
• I
C'
ORDINANCE NO. (3990 series)
AN ORDINANCE AMENDING SECTION 5.44.060 (C) OF THE
SAN LUIS OBISPO MUNICIPAL CODE CONCERNING THE
ESTABLISHMENT OF FAIR MARKET RENT UWN THE
CHANGE OF OWNERSHIP OF A MOBILE HOME
BE IT ORDAINED by the .Council of the City of San Luis Obispo:
SECTION 1: Section 5.44.060(C) of the San Luis Obispo
Municipal Code is amended to read as �follows:
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.
Provided, however, it shall be unlawful and a
violation of this Chapter for an owner to
intentionally and willfully increase the
monthly space rent of a tenant- above the fair
market rent in the community for the purpose
of forcing the tenant to sell his mobile home
to the owner, his agent, or representative_
The owner shall use normal and prudent
business practices in establishing the new
fair market rent amount for each space. The
City Council recognizes that the ad hoc
establishment of a fair market rent amount for
any given space whenever there is a change of
ownership affecting a mobile home thereon can
lead to favoritism, discrimination, evasion of
the rent stabilization ordinance,. and O
substantial economic uncertainty for both
buyers and sellers of mobil homes. Therefore,
the owners of each mobile home park. shall
once, and not more than once at the .beginni-
of each calendar year, post for each space in
the park the new fair market rent amount which
will be established upon the change of
ownership during that calendar year for the
mobile home situated upon any given space.
The park owner shall provide said list to the
City Clerk, and shall post a copy of said list
in the office of the mobile home park. No
rent shall be imposed or collected in excess
of the provisions of said list.
SECTION 2. This ordinance, together with the names of
councilmembers voting for and against, shall be published once in
full, at least (3) days prior to its final passage, in the
Telegram-Tribune, a newspaper published and circulated in this
city. This ordinance shall go into effect at the expiration of
thirty (30) days after its final passage.
INTRODUCED AND PASSED TO PRINT by the Council of the
City of San. Luis Obispo at its meeting held on the day of
1990, on motion of
,seconded
by , and on the following roll call
vote:
AYES:
I
NOES:
ABSENT:
Mayor Ron Dunin
ATTEST:
City Clerk Pam Voges
APPROVED:
.,�_.
(lel
City A inistrative Officer
�Ll tto
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Direc oro finance