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HomeMy WebLinkAbout245 - Ordinances ORDINANCE NO. 245 AN ORDINANCE OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, AMENDING CHAPTER 8.10 OF THE RANCHO CUCAMONGA MUNICIPAL CODE, PROVIDING FOR Ali ANNUAL MAXIMUM RENT ADJUSTMENT The City Council of the City of Rancho Cucamonsa, California, does ordain as follows: SECTION 1: Chapter 8.10 of the Rancho Cucamonga Municipal Code is hereby amended to read as follows: Chapter 8.1 Mobile Home Park Annual Maximum Rent Adiustment: The Sections to be included will be as follows: 8.10.010 Findings, Purpose and Intent. 8.10.020 Definitions 8.10.030 Applicability 8.10.040 Mobile Home Park Registration 8.10.050 Mobile Home Park Residents Committees 8.10.060 Base Rent 8.10.070 Rent Adjustment 8.10.080 Responsibilities of Park Owner 8.10.090 Mobile Home Park Rent Review Board 8.10.100 Permitted Rent Increases Based Upon An Application Approved by the Board 8.10.110 Enforcement 8.10.120 Retaliation 8.10.130 Severability 8.10.140 Review by City Council SECTION 8.10.010 FINDINGS, PUP. POSE AI~ INTENT There exists within the City of Rancho Cucamonga and the surrounding areas a serious shortage of mobile home rental space, which has resulted in low vacancy rates and rising space rents. Further, because of the high cost 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 home sites for mobile home residences and the substantial investment of mobile home owners in such homes, there exists a virtual monopoly in the rental of mobile home park spaces. Accordingly, the City Council finds and declares that it is necessary to protect the residents of mobile homes from unreasonable space rent increases, While at the same time recognizes the need of mobile home park owners to receive a just and reasonable income sufficient to cover the costs of repairs, maintenance, insurance, employee services, additional amenities and other operations. SECTION 8.10.020 DEFINITIONS 1. '~ommittee" shall mean the mobile home park residents committee created in each mobile home park and established by this ordinance. 2. "Concern" shall mean that situation occurring within a mobile home park which is determined to disadvantage one or more park residents or property. 3. "Consumer Price Index" shall mean 1001 of the average of the Consumer Price Index for Urban Consumers (CPIU) and Consumer Price Index for Urban Wage Earners and Clerical Workers (CPIW) as published for the Los Angeles-Long Beach-Anaheim area by the U. S. Department of L~bor, Bureau of Labor Statistics. 4. '~obile Home" shall mean a dwelling unit, other than a motor vehicle or recreational vehicle, designed or used for human habitation. Ordinance No. 245 Page 2 5. '~obile Home Park" shall mean any area of land within the City of Rancho Cucamonga where two or more mobile home spaces are rented, or held out for rent, to accommodate mobile homes used for human habitation. 6. '~obile Home Space" shall mean the site within a mobile home park intended, designed, or used for the location or accommodation of a mobile home and any accessory structures or appurtenances attached thereto or used in conjunction therewith, or the location or accommodation of a recreational vehicle. 7. "Owner" shall mean the owner or operator of a mobile home park or an agent or representative authorized to act on said owner's or operator's behalf in connection with the maintenance or operation of such park. 8. 'Rent" shall mean the consideration, including services, amenities, and benefits in connection with the use and occupancy of a mobile home space. 9. 'Resident" shall mean any person entitled to occupy a mobile home dwelling unit pursuant to ownership thereof or rental or lease arrangement with the owner of the subject dwelling unit. 10. "Board" shall mean the Mobile Home Rent Review Board of the City of Rancho Cucamonga. 11. "Capital Improvement" shall mean any addition or betterment made to a mobile home park which consists of more than mere repairs or replacements of existing facilities or improvements and which has a useful life of five or more years. SECTION 8.10.030 APPLICABILITY 1. The provisions of this Ordinance shall apply to any mobile home park and mobile home space within the City of Rancho Cucamonga. 2. Section 8.10.060 of this Ordinance shall not apply to residences covered by leases or contracts, at the effective date of this chapter, which provide for more than a month-to-month residency, but only for the duration of such lease or contract. Upon the expiration or other termination of any such lease or contract, all provisions of this chapter shall immediately be applicable to the residency. 3. None of the provisions of this Ordinance shall preclude a mobile home park resident from entering into a written lease or contract with the park owner. SECTION 8.10.040 MOBILE HOME PARK REGISTRATION Within sixty (60) days of the effective date of Chis chapter, all park owners subject to the provisions of this chapter shall be required to file with the City Clerk a rent Registration Statement for each rental unit affected by this chapter. The City Clerk shall devise such registration forms so as to call for information necessary to carry out the purposes and policies of this chapter, and shall mail such forms to all mobile home park owners in the City in sufficient time as to allow such park owners to file their Registration Statements within sixty (60) days of adoption of this chapter. The City Clerk shall forward a certified copy of the registration statement to the residents committee. All rental units shall be registered annually thereafter. No rent increases permitted under this chapter shall be allowed to park owners who have failed to properly register all mobile home spaces. Ordinance No. 245 Page 3 SECTION 8.10.050 MOBILE HOME RESIDENTS COMMITTEE 1. Creation of: Within sixty (60) days of the effective date of this chapter, each mobile home park within the City shall create, by election of the park residents, a five-member residents committee. The City Clerk shall ca~l for and schedule such election for each park at an appropriate time when such election may be held. Residents shall notify the City Clerk as to their intent of election, and submit a listing of committee nominees. Each park resident may cast up to five (5) votes, but shall not cast more than one (1) vote for each nominee. Those five nominees receiving the most votes shall be elected to the residents co~unittee. A representative of the City shall be in attendance at the election to conduct the election proceedings and to verify the election results upon completion of the ballot caucus. The City representative shall not vote or influence any vote. 2. Powers and Duties of: Except as otherwise provided by law, the residents committee shall have the following powers and duties: (a) Meet to discuss problems and concerns within the mobile home park and when necessary to recommend further action on such problems and concerns. (b) Inform all residents of the park as to developments of proposed rent increases and other park concerns. (c) Negotiate with the park owner in order to resolve resident concerns. (d) Elect one of its members to serve as chairman, one to serve as vice-chairman, and one to serve as secretary. The chairman shall preside at all committee meetings and shall exercise general supervision of the affairs and activities of the committee. The vice-chairman shall assume the duties and powers of the chairman in the event of the chairman's absence. The secretary shall record and maintain all minutes of actions and meetings for the committee. (e) Any action of the committee shall require affirmative votes of not less than a quorum, except that less than a quorum may adjourn a meeting sine die or to a specified time and place. A quorum shall consist of a majority of the members not counting vacant positions. (f) The committee shall prepare specific guidelines for the election of alternate committee members to fill vacancies, and the length of terms for all committee members and officers. (g) The committee shall act on behalf of park resident(s) if such action is authorized in writing. SECTION 8.10.060 BASE RENT An owner shall not demand, accept, or retain rent for a mobilehome space excluding the rent in effect for said space on November 21, 1984 and as adjusted each subsequent rent adjustment date in accordance with the requirements of Section 8.10.070, Rent Adjustment. If a previously rented mobilehome space was not rented on November 21, 1984, the ovner may charge rent including adjustments the same as if the space had been rented continually in accordance with Section 8.10.070, Rent Adjustment. If a mobilehome space is rented for the first time after November 21, 1984, the ovner shall not demand, accept, or retain rent for said space exceeding the rent first established and charged for the particular space as adjusted each subsequent rent adjustment date in accordance with the requirements of Section 8.10.070, Rent Adjustments. Ordinance No. 245 Page 4 SECTION 8.10.070 RENT ADJUSTMENT 1o Advance Notice of: At least sixty (60) days prior to the effective date of a rental adjustment, the park owner or representative shall serve all mobile home residences, either personally or by mail, with notice of the proposed adjustment in accordance with State law. Said notice shall also include the recent consumer price index as established by the City Manager. Within three (3) days of notice to park residents of a rent adjustment, the park owner or representative shall provide the City Clerk with the following information: (a) The effective date of the noticed adjustment. (b) Identification of the residents or mobile home spaces affected. (c) The amount of the rent prior to the effective date of the notice for each of those mobile home spaces. (d)The amount of the increase (in dollars) for each of those mobile home spaces. (e) The quantity and identity of residents or spaces under lease or contract. 2. Period of: No rental adjustment shall be noticed or permitted or enforced more frequently than once every 365 days per mobile home park. 3. Maximum Allowable Adiustment: Once each year, park owners shall be permitted to charge rents in excess of that which they are lawfully charging during the previous year based on one-hundred percen: {1001) of the average of the Consumer Price Index for all Urban Consumers (CPIU) and Consumer Price Index for Urban Wage Earners and Clerical Workers (CPIW) as established by the City Manager. The Consumer Price Index percentage change shall be for that one year period starting the first day of the fourteenth (14) month and ending the last day of the second month prior to the proposed rent adjustment date. Monthly, beginning on the effective date of this Chapter the City Hanager shall determine the most recent published Consumer Price Index which the City Clerk shall record. The City Clerk, upon request, shall notify each park owner of such maximum allowable yearly percentage change involved in a rent adjustment. Computation of rent increases allowable under this Section shall be according to the following formula: Multiply the base rent and the allowable percentage adjustment in the Consumer Price Index as provided herein to determine the maximum allowable rent adjustment, rounded off to the nearest dollar, which may be granted to the park owner. 4. No Adiustment Allowed: No general annual adjustment or adjustment of rent viii be permitted any park owner who: (a) Has continued to fail to comply with any provisions of this Ordinance and/or orders or regulations issued hereunder, or (b)Has failed to bring the rental unit into compliance with the implied warranty of habitability, or (c)Has failed to register all mobile home spaces as provided under this Ordinance. 5. Other Adiustments: May be considered. Refer to Section 8.10.100. Ordinance No, Page SECTION 8.10.080 RESPONSIBILITIES OF PAP~ OWNER 1. Park Services: It is the responsibility of the park owner to provide and maintain the physical improvements and the common facilities of the Park in good working order and condition, and in doing so comply with the requirements as set forth in the Mobile Home Residency Law. If a service or amenity is eliminated or reduced or changed in such a manner to effect the resident(s), the change shall first be discussed with the effected residents and the residents committee and approval, including rent reduction be agreed upon. If agreement is not obtained, the condition shall be referred to the Board for final decision. 2. Meeting with Residents: The park owner shall meet upon reasonable notice with the residents committee as required by the Mobile Home Residency Law. It shall be presumed that the intent of good faith negotiation as established under this chapter shall be practiced by the park owner and residents committee in attempting to reach agreement and resolve resident concerns. There shall be a minimum of one meeting per year to discuss park welfare in general or city and conununity items of importance. SECTION 8.10.090 THE MOBILE HOME PARK REFt REVIEW BOARD 1. The Mobile Home Park Rental Review Board is hereby established and shall consist of seven (?) members and three (3) alternates. In order to provide varied and balanced backgrounds and experience two (2) members and one (1) alternate shall be residents of mobile home parks; two (2) members and one (1) alternate shall be owners of mobile home parks; and three (3) members and one (1) alternate shall be "public members" who are neither residents nor owners. The members of the Board shall be appointed as follows: (a) One (1) of the three (3) public members shall be appointed by the City Council from a list of one (1) or more qualified persons nominated by the resident members of the Board. (b) One (1) of the three (3) public members shall be appointed by the City Council from a list of one (1) or more qualified persons nominated by the owner members of the Board. (c) One (1) of the three (3) public members, each resident and owner member, and each alternate shall be appointed by the City Council from a list of one (1) or more qualified persons nominated by the City Council. If the resident or owner members should fail to nominate a public member who meets with the City Council's approval the City Council shall so notify the resident or owner members entitled to nominate, and if a further nomination satisfactory to the City Council is not made within ten (10) days after such notice, the City Council may make an appointment to the office concerned without a nomination. An alternate shall serve as a member of the Board during the absence of a member of the Board with the same experience background as the alternate. If necessary to make a quorum for a meeting or a hearing, an alternate may serve in place of an absent member alternate with a different experience background than the Mobile Home Rent Review Board alternate. In such an event, the at-large alternate shall serve first, and, if still necessary to make a quorum, the resident and owner alternates shall be chosen to serve in an order to be determined by lot. 2. Each member an alternate shall be appointed by a majority vote of the City Council for a one (1) year term to end on June 30 next after the appointment and until a successor is appointed. Any member or alternate may be removed, with or without cause, by a majority vote of the City Council. Should a vacancy exist, an appointment shall be made by a majority vote of the City Council for the unexpired portion of the term. The compensation of Board members and alternates shall be determined by the City Council. Ordinance No. 245 Page 6 3. If a member of the Board is absent from three (3) successive meetings without being excused by the Board, or is absent for more than six (6) meetings in any twelve (12) month period without being excused by the Board, the office of such member shall be vacated and the Chairman shall immediately notify the City Manager who shall notify the City Council that said office is vacant. Upon such notification, the City Council shall appoint a successor for the remainder of the term of such member. 4. The Board shall establish the time of any hearings or meetings held pursuant to this chapter and such hearings or meetings shall be held in a City designated facillty as often as the Board determines to be necessary to discharge its duties hereunder. 5. The Board shall elect one (1) of its members as chairperson and said election shall be held as soon as practicable after each new term commences. Five (5) members shall constitute a quorum, where equal representation of park owners and resident representatives exist, for the purpose of conducting a hearing or meeting. Decisions of the Board shall be made by a majority vote of the members present. 6. The duties and responsibilities of the Board shall include the following: (a) The Board shall make any recommendations it deems appropriate to the City Council regarding the implementation and enforcement of the provisions of this Section. (b) The Board shall hear all rent increase applications and determine whether to approve or disapprove a rent increase in the manner provided by Section 8.10.090. 7. All public members and their alternates shall be residents of the City of Rancho Cucamonga. SECTION 8.10.100 PERMITTED INCREASES BASED UPON AN APPLICATION APPROVI~D BY THE BOARD 1. An owner may file with the City Clerk a rent increase application for one or more mobile home spaces for approval by the Board. 2. A~ application for a rent increase pursuant to this section shall be filed upon a form prescribed by the City Clerk and shall be accompanied by the payment of a fee of one hundred dollars ($i00); provided, however, that no fee shall be charged for applications filed within the first one hundred eighty (180) days after the effective date of this Chapter. Said application shall specify the address of the mobile home park, the space number or numbers for which rent is requested to be increased, the amount of the requested rent increase, and the facts supporting the requested increase. The applicant shall produce at the request of the Board any records, receipts, reports, or other documents that the Board may deem necessary to make a determination whether to approve a rent increase. The application shall be made under penalty of perjury and supporting documents shall be certified or verified as requested by the City Clerk. 3. Upon receipt of a rent increase application, the City Clerk shall mail a notice to the affected residents at the mobile home spaces designated in the application and to the residents committee chairman, informing them of the receipt of such application, the amount of the requested rent increase, a brief summ~ry of the owner's justification for the request, any supporting documents which may be inspected at the City Hall, the resideut's right to submit written statements, photographs or other documents relating to the application within thirty (30) days after the date the notice is mailed, and the address where such statements are documents may be mailed or delivered. 4. The City Clerk shall determine within thirty (30) days after receipt of a rent increase application whether said application is complete. If the City Clerk determines that an application is not complete, it shall notify the applicant in writing as to what additional information is required. Ordinance No. 245 Page ? 5. A copy of each rent increase application shall be provided to each m~mber of the Board after such application is determined to be complete. The Board shall hold a hearing on said application within sixty (60) days after such determination is made except as provided in subsection (10). Notice of the time, date, and place of the hearing shall be mailed to the applicant and the affected residents at the mobile home spaces designated in the application at least ten (10) days prior to the hearing. 6. At the hearing, the applicant and the affected residents may offer any testimony that is relevant to the requested rent increase. The applicant and affected residents may offer documents, written declarations, or other written evidence for the first time at the hearing only if good cause is shown why such evidence was not filed with the Department prior to the hearing. Formal rules of evidence shall not be applicable to such proceedings. Except as provided in subsection (11), within fifteen (15) days after the close of the hearing, the Board shall make its determination, pursuant to the standards established by subsection (8) of this section, approving or disapproving a rent increase for the mobilehome space or spaces specified in the rent increase application. ?. The purchase of a new park or refinancing of an existing park are not to be considered as reasons for considering a rent increase. 8. The Board shall approve such rent increase as it determines to be just, fair and reasonable. The Board shall consider the following factors, in addition to any other factors it considers relevant, in making such determination, if the items are not considered in determining the Consumer Price Index by the U.S. Department of Labor statistics. (a) Changes in property taxes or other taxes related to the subject mobile home park. (b) Changes in the rent paid by the applicant for the lease of the land on which the subject mobile home park is located. (c) Changes in the utility charges for the subject mobile home park paid by the applicant and the extent, if any, of reimbursement from the residents. (d) Changes in reasonable operating an maintenance expenses. (e) The need for repairs caused by circumstances other than ordinary wear and tear. (f) The amount and quality of services provided by the applicant to the affected resident. (g) Any existing written lease lawfully entered into between the applicant and the affected resident. 9. The Board may provide that an increase in rent or a portion of an increase in rent granted by the Board be limited to the length of time necessary to allow the park owner to reasonably amortize the cost of a capital improvement, including interest and a reasonable profit, but not be able to continue to receive the increase or portion thereof granted as a result of the capital improvement beyond the time necessary for reasonable amortization. A capital improvement over $5,000.00 must be approved by majority of residents through the residents committee. 10. Notice of the Board's determination shall be mailed to the applicant, all affected residents, and to the residents committee chairman at the mobile home spaces designated in the application. The determination of the Board shall be final. Ordinance No. 245 Page 8 11. In the event that the Board is unable to act and make its final determination on a completed rent increase application within the time limitations prescribed by subsections (4)-(6) of this Section, and after the thirty (30) days for the resident to file statements or documents in opposition to the application under subsection (3) shall have expired, the Board may approve such interim rent increase for the mobile home space or spaces specified in said application which clearly appears to be warranted when the factors set forth in subsection (8) of this Section are considered, based upon the facts stated in the application, any written statements or documents filed with the City Clerk by the affected residents, and any other facts known to the Board. An approved interim rent increase shall expire on either (1) the last day of the month within which the Board makes its final determination disapproving a rent increase, or (2) the effective date of a rent increase which is approved by a final determination of the Board. 12. The time within which the Board may conduct a hearin$ as provided in subsection (5) or make its determination as provided in subsection (6) may be extended twice by the Board for periods of time not to exceed sixty (60) days each if the Board approves an interim rent increase pursuant to subsection (il). 13. No Rent Review Board action or consideration viii be necessary if the adjustment prepared by the park owner, as advised by the City Clerk, is no more than the allowable percentage increase and the Board has received no question from the resident(s) involved or the Park Committee within ten (10) working days of receipt of the notice of rent adjustment by the resident(s) or Park Committee. SECTION 8.10.110 ENFORCEMENT 1. Any resident or park owner aggrieved by the willful violation of any of the provisions of this chapter may sue thereon and recover actual damages therefor, plus a civil penalty as provided herein. Any park owner or representative who demands, accepts, receives or retains any payment of space rent in excess of the maximum lawful space rent, in violation of the provision of this chapter or any rule, regulation or order hereunder promulgated, shall be liable as hereinafter provided to the resident from who such payments are demanded, accepted, received or retained, for damages as a civil penalty in an amount of five-hundred dollars ($500.00) or three (3) times the amount by which the payment so demanded, accepted received or retained exceeds the maximum lawful space rent, whichever is the greater. The park owner is also liable to the resident for any such payments actually collected and refunded, if any, plus interest from the date received, reasonable attorney's fees, and costs as determined by the court. 2. The fact of any willful violation of this chapter may be used by the aggrieved resident as a defense to any action for unlawful detainer based on non-payment of rent. The park owner may use the fact of any willful violation of this chapter as a defense to recover any rent due under this chapter. 3. Any willful violation of this chapter shall be a misdemeanor and shall be punishable by a fine of not more than five-hundred dollars ($500.00) or by imprisomuent in the County jail for a period not exceeding six (6) months or by both such fine and impriaomaent. Each continuing day of violation shall be deemed to be a separate violation. SECTION 8.10.110 RETALIATION It is unlawful for the management or any owner of any mobile home perk to harass, evict, retaliate against or otherwise discriminate against any retaliation against a person who has opposed any practice believed unlawful under this chapter, has informed law enforcement agencies of practice believed unlawful under this chapter, has asserted any rights under this chapter, or has petitioned, testified or attested in any proceeding under this chapter. Ordinance No. 245 Page 9 SECTION 8.10.130 SEVERAEILITY If any provision or clause of this chapter or the application thereof to any person or circumstance is held to be unconstitutional or to be otherwise invalidated by a final judgement of any court of competent jurisdiction, such invalidity shall not affect other provisions or clauses or applications thereof which can be implemented without the invalid provision or clause or application, and to this end, the provisions and clauses of this chapter are declared to be severable. SECTION 8.10.140 REVIEW BY CITY COUNCIL The City Council shall review the provisions of this chapter two (2) years after the date of adoption thereof, and at any other time deemed appropriate, in order to consider the effectiveness and necessity of the provisions of this chapter, and the need to amend such provisions as to provide more effective regulation or to avoid unnecessary hardship. SECTION 2: The Mayor shall sign this Ordinance and the City Clerk shall cause the same to be published within fifteen (15) days after its passage at least once in The Daily Report, a newspaper of general circulation published in the City of Ontario, California, and circulated in the City of Rancho Cucamonga, California. TABLED this 19th day of December, 1984. AYES: NOES: ABSENT: Jou D. Mikels, Mayor ATTEST: Beverly A. Authelet, City Clerk