Ordinance - 1648ORDINANCE NO. 1648
AN ORDINANCE OF THE CITY COUNCIL OF
THE CITY OF WEST COVINA, CALIFORNIA,
AMENDING THE WEST COVINA MUNICIPAL CODE
RELATING TO MOBILE HOME PARK SPACE RENTS.
SECTION 1. FINDINGS AND DETERMINATIONS. The City Council finds and
determines that:
a. There is presently within the City of West Covina and surrounding
areas a shortage of mobile home spaces commensurate with the demand therefor.
This inequitable market situation has resulted in low vacancy rates and has
contributed to rapidly escalating rents. This situation has also resulted in
serious concern and hardship among a significant portion of the West Covina
residents living in mobile home parks, especially those on fixed incomes. There
are currently 265 mobile home spaces contained in two mobile home parks. Vacant
spacers or vacant mobile homes are virtually at no vacancy level at both parks.
b. There is a relatively high cost to moving mobile homes; there is
also a high potential for damage resulting therefrom. There are high costs
associated with the installation of mobile homes, including permits, landscaping,
and site preparation. Because there is a lack of alternative homesites for mobile
homes and a substantial investment of mobile homeowners in their homes, a virtual
monopoly exists in the rental of mobile home park spaces in the City of West
Covina.
There are only two mobile home parks in the City of West Covina;
because of the virtual non-existence of vacant land suitable for mobile home
parks within the City, this condition is not expected to be remedied by new
mobile home park development.
c. The above factors have created a situation where park owners can
have unlimited discretion and ability to raise rents in an unreasonable and
extraordinary manner. Further, these factors create an imbalance in the bargaining
position of the park owners and the mobile home park residents in favor of the
park owners. These factors make it extremely difficult for residents to sell
their mobile homes.
d. At the same time, there is a recognition of the need of owners
to receive a fair and equitable return on their property and rental income
sufficient to cover increases in the costs. of repairs, maintenance, insurance,
services, and other related operational costs.
e. Based on the above findings, it is determined that mobile home
rent stabilization 'is needed and can be justified in the City of West Covina.
f. The date of December 1, 1983 is determined to be a reasonable and
justifiable base rent period due to the following factors:
1. The City Council determined in December 1983 that a moratorium
was necessary to consider the mobile home park rent stabilization issue and to
provide temporary relief to mobile home park residents during the study period.
2. Of the two mobile home parks in the City of West Covina, one
had yearly leases with rent increases determined after January 1 of each year,
and the other park owner, while having several residents on multi -year leases,
had been negotiating with all residents for -the several months prior to December
1983 for new leases beginning January 1984. Therefore, in neither case would
the base date of December 1983 undermine or negate any reasonable expectations
of revenues associated with long-term lease agreements.
SECTION 2. The City Council hereby amends the West Covina Municipal
Code to add Article 9 to Chapter 15 to read as follows:
ARTICLE IX. MOBILE HOME PARK SPACE RENTS.
SECTION 15-180. DEFINITIONS. For the purposes of this article, the
following words, terms, and phrases shall be defined as follows:
a. 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.
b. Commission shall mean the Human Resources Commission of the City
of West Covina.
•C. Department shall mean the Human Resources Department of the City
of West Covina.
d. Mobile home shall mean any structure defined as a mobile home in
Section 798.3 of the Civil Code.
e. Mobile Home Park shall mean any area of land within the City of
West Covina where two or more mobile home spaces are rented, or held out for
rent, to accommodate mobile homes used for human habitation as of December 1,
1983.
f. Mobile 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 appuretenances attached thereto or used in
conjunction therewith and that was in existence on December 1, 1983.
g. 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 operation of such park.
h. Rehabilitation Work shall mean work completed on or in a mobile
home park which was performed in order to comply with the direction or order
of a public agency, or to repair damage resulting from fire, earthquake, or other
casualty.
i. Rent shall mean the consideration paid for the use or occupancy
of a mobile home space.
j. Tenancy shall mean the right defined as tenancy in Section 798.12
of the Civil Code.
k. Tenant shall mean any person defined as a homeowner in Section
798.9 of the Civil Code.
1. Consumer Price Index shall mean the Consumer Price Index for Rent
Residential in the Los Angeles/Long Beach area, averaged for the year ending
September 1 of each year.
SECTION 15-181. COMMISSION AS MOBILE HOME PARK RENTAL REVIEW BOARD.
The Commission shall serve as the Mobile Home Park Rental Review Board and as
such shall have the following duties and responsibilities:
a. The Commission shall hear and investigate all supplemental rent
increase applications and determine whether to approve or disapprove the
supplemental increase in the manner provided by Section 15-184.
b. The Commission shall report at least annually to the City Council
concerning its activities and actions or any other matters pertinent to mobile
home park rental review.
SECTION 15-182. BASE RENT. Except as provided in Section 15-183 and
15-184, an owner shall not demand, accept or retain rent for a mobile home space
•. in existence on December 1, 1983 that exceeds the base rent established
hereinafter:
a. The base rent for a mobile home space that was rented on December
1, 1983 shall be the rent charged by the owner for that space on said date.
-2-
b. If a mobile home space was in existence but was not rented on
December 1, 1983, the base rent shall be the rent charged by the owner for the
first month that space is rented after said date.
c. Whenever a mobile home space is re -rented after the base rent is
established pursuant to subsection (a) or (b), a new base rent shall be
established. Said base rent shall be the rent charged by the owner for the first
month that space is re -rented. For the purpose of this subsection, re -rented
shall mean that there has been a change of tenancy of the mobile home space and
• the mobile home space is used or occupied by a new or different mobile home.
SECTION. 15-183. PERMITTED ANNUAL RENT INCREASES. The base rent as
established in Section 5-182 may be increased by the owner once each year based
upon the prior year's increase in the Consumer Price Index as defined in Section
5-180, except that such an increase shall not be less than 5 percent or more
than 9 percent annually. Owners may provide for an increase lower than 5 percent
at their sole option. Increases shall be effective as of January 1, 1984 and
annually thereafter, except that overcharges, if any, from January 1, 1984 to
the effective date of this ordinance shall be either refunded or credited against
rent remaining due for the 1984 year and no penalties for this overcharge shall
be imposed if so refunded or credited. No owner shall increase rents above that
allowed under this section prior to receiving approval of such a supplemental
rent increase from the Commission pursuant to the conditions outlined in Section
15-184.
SECTION 15-184. PERMITTED SUPPLEMENTAL RENT INCREASES BASED UPON AN
APPLICATION APPROVED BY THE COMMISSION.
a. An owner may file with the Department a supplemental rent increase
application for one or more mobile home spaces for approval by the Commission.
b. An application for a rent increase pursuant to this section shall
be filed upon a form prescribed by the Department and shall be accompanied by
the payment of a fee as established by Resolution of the City Council. 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 Department, any records, receipts, reports,
or other documents that the Department may deem necessary for the Commission
to make a determination whether to approve a supplemental rent increase. The
application shall be made under penalty of perjury and supporting documents shall
be certified or verified as requested by the Department.
c. Upon receipt of a complete supplemental rent increase application,
the Department shall mail a notice to the affected tenants at the mobile home
spaces designated in the application,. informing them of 1) the receipt of such
application; 2) the amount of the requested rent increase; 3) a brief summary
of the owner's justification for the request, and that any supporting documents
may be inspected at City Hall; 4) the tenants' 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
or documents may be mailed or delivered.
d. The Department shall determine within thirty (30) days after receipt
of a supplemental rent increase application whether said application is complete.
If the Department determines that an application is not complete, it shall notify
the applicant in writing as to what additional information is required.
e. The Commission shall hold a public hearing on the supplemental
•rent increase application within forty-five (45) days after said application
-is determined to be complete, except as provided in subsection (k). Notice of
the time, date, and place of the hearing shall be mailed to the applicant and
the affected tenants at the mobile home spaces designated in the application
at least ten (10) days prior to the hearing.
-3-
f. At the hearing, the applicant and the affected tenants may offer
any testimony that is relevant to the requested rent increase. The applicant
and affected tenants 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 (k), within fifteen (15) days after the close of the hearing, the
Commission shall make its determination, pursuant to the standards established
by subsection (g) of this section, approving or disapproving a supplemental rent
. increase for the mobile home space or spaces specified in the supplemental rent
increase application.
g. The Commission shall approve such supplemental rent increase as
it determines to be just, fair, and reasonable. The Commission shall consider
the following factors, in addition to any other factors it considers relevant,
in making such determination:
1. The rent lawfully charged for comparable mobile home spaces
in the City of West Covina.
2. The length of time since either the last hearing and final
determination by the Commission on a supplemental rent increase application or
the last rent increase if no previous supplemental rent increase has been made.
3. The completion of any capital improvements or rehabilitation
work related to the mobile home space or spaces specified in the supplemental
rent increase application, and the cost thereof, including without limitation
such items of cost, as materials, labor, construction interest, permit fees,.
and other items as the Commission deems appropriate.
4. Changes in property taxes or other taxes related to the subject
mobile home park.
5. Changes in the rent paid by the applicant for the lease of
• the land on which the subject mobile home park is located.
6. Changes in the utility charges for the subject mobile home
park paid by the applicant and the extent, if any, of reimbursement from the
affected tenants.
7. Changes in reasonable operating and maintenance expenses.
8. The need for repairs caused by circumstances other than ordinary
wear and tear.
9. The amount and quality of services provided by the applicant
to the affected tenants.
10. Any existing written lease lawfully entered into between the
applicant and the affected tenants.
h. The Commission may provide that a supplemental increase in rent
or a portion of an increase in rent granted by the Commission be limited to the
length of time necessary to allow the park owner to reasonably amortize the cost
of a capital improvement or rehabilitation work, including interest. Such increase
granted as a result of the capital improvement or rehabilitation work shall not
continue beyond the time necessary for reasonable amortization of the cost of
such improvement or work.
i. Notice of the Commission's determination shall be mailed to the
applicant and all affected tenants at the mobile home spaces designated in the
application. The determination of the Commission shall be final unless appealed
to the City Council as specified in subsection (1).
j. In the event that the Commission is unable to act and make its
final determination on a completed rent increase application within the time
limitations prescribed by subsections (e)-(f) of this section, and after the
thirty (30) days for the tenant to file statements or documents in opposition
to the application under subsection (c) shall have expired, the Commission may
- 4-
approve such interim supplemental 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 (g) of this section are considered, based
upon the facts stated in the application, any written statements or documents
filed with the Department by the affected tenants, and any other facts known
to the Commission. An approved. interim supplemental rent increase shall expire
on either 1) the last day of the month within which the Commission 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 Commission.
• k. The time within which the Commission may conduct a hearing as
provided in subsection (e) or make its determination as provided in subsection
(f) may be extended twice by the Commission for periods of time not to exceed
sixty (60) days each if the Commission approves an interim rent increase pursuant
to subsection (j).
1. The applicant or any affected tenant who presented testimony in
accordance with subsection (c) or (f), may appeal the determination of the
Commission to the City Council by filing a written appeal with the City Clerk
within ten (10) days after notice of the determination is mailed pursuant to
subsection (i).
The City Council shall sustain, modify or reverse the determination
of the Commission based solely upon the record of the Commission's determination,
inclusive of staff reports, written evidence, and minutes, together with the
applicants' written appeal, which shall be transmitted to the City Council. The
City Council shall render its decision within forty-five (45) days after the
appeal has been filed. The decision of the City Council shall be final.
SECTION 15-185. FEES. A tenant whose tenancy is not regulated by
the provisions of the Mobile Home Residency Law (Civil Code Section 798 et sec.)
shall not be charged a fee for anything other than rent or utilities with the
exception of incidental reasonable charges for services actually rendered.
SECTION 15-186. PERMISSIBLE REASONS FOR TERMINATING OR REFUSING TO
RENEW A TENANCY.
a. A tenancy which is not subject to the provisions of the Mobile
Home Residency Law (Civil Code Section 798 et seq.) shall not be terminated nor
shall its renewal be refused, except for one or more of the following reasons:
1. Failure of the tenant to comply with a local ordinance or State
law or regulation relating to mobile homes within a reasonable time after the
tenant receives a notice of non-compliance from the appropriate governmental
agency.
2. Conduct by the tenant, upon the mobile home park premises,
which constitutes a substantial annoyance to other tenants.
3. Failure of the tenant to comply with any reasonable rule or
regulation of the mobile home park. No act of omission of the tenant shall
constitute such a failure to comply unless and until the owner has given the
tenant written notice of the alleged rule or regulation violation and the tenant
has failed to adhere to the rule or regulation within seven (7) days of such
notice.
4. Non-payment of rent, utility charges, or reasonable incidental
service charges.
5. Condemnation of the mobile home park.
6. Change of use of the mobile home park, provided that the
provisions of Subsection (f) of Section 798.56 of the California Civil Code are
followed.
-5-
b. Notice of termination or refusal to renew must be given in writing
in the manner prescribed by Section 1162 of the Code of Civil Procedure at least
sixty (60) days prior to the termination date of the tenancy. Said notice shall
state the date the tenancy terminates, the reason for termination or refusal
to renew, and the specific facts upon which the owner is relying.
SECTION 15-187. REFUSAL OF TENANT TO PAY ILLEGAL RENT. A tenant may
refuse to pay any rent in excess of the maximum rent permitted by this article.
•The fact that such unpaid rent is in excess of maximum rent shall be a defense
in any action brought to recover possession of a mobile home space for non-payment
of rent or to collect the illegal rent.
SECTION 15-188. RETALIATORY EVICTION. In any action brought to recover
possession of any mobile home space, the court may consider as grounds for denial
any violation of any provision of this article. Further, the determination that
the action was brought in retaliation for the exercise of any rights conferred
by this article shall be grounds for denial. Any action brought within three
(3) months of August 13, 1984, or within three (3) months of any appeal by an
affected tenant of any supplementary rent increase application pursuant to Section
15-1840 ), shall be presumed to be retaliatory.
SECTION 15-189. REMEDIES.
a. Any person who demands, accepts, or retains any payment of rent
in violation of the provisions of this article shall be liable in a civil action
to the person from whom such payment is demanded, accepted, or retained for damages
in the sum of three (3) times the amount by which the payment or payments demanded,
accepted, or retained exceed the maximum rent which would be lawfully demanded,
accepted, or retained together with reasonable attorneys' fees and costs as
determined by the court.
b. Any person violating any of the provisions of this article shall
be guilty of a misdemeanor and shall be punishable in the manner provided by
Section 1-37 of the West Covina Municipal Code.
• SECTION 15-190. CITY COUNCIL REVIEW OF THIS ARTICLE. The City Council
may review the provisions of this article one 1 year after the date of adoption
thereof, and at any other time deemed appropriate, in order to consider the
following:
'a. Whether mobile home space rent control continues to be necessary
to protect the public health, safety, and welfare;
b. Whether the implementation of the provisions of this article have
been adequate; and
c. Whether the provisions of this article should be amended to provide
more effective regulation or to avoid unnecessary hardship.
SECTION 3. The City Clerk shall certify to the passage of this ordinance
and shall publish the same as required by law.
0 ATTEST:
Passed and approved this lOthday of September , 1984.
City Clerk
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS.
CITY OF WEST COVINA )
I, Helene Mooney, City Clerk of the City of West Covina, do hereby
certify that the foregoing Ordinance No. 1648 was regularly introduced and
placed upon its first reading at a regular meeting of the City Council on the
27th day of August, 1984. That thereafter, said ordinance was duly adopted and
•
passed at a regular meeting of the City Council on the loth day of September,
1984, by the following vote, to wit:
AYES Councilmembers: Manners, Chappell, Tennant, Bacon
NOES Councilmembers: None
ABSENT Councilmembers: Shearer
ABSTAIN: Councilmembers: None
APPROVED AS TO FORM:
• City Attorney
i
y �
City Clerk
-7-
• C R T I F I C A T I O N
State of California )
County of Los Angeles ) ss.
City of West Coyina )
I, JANET BERRY,. -Deputy City Clerk of the City -of
West Covina., State of California, do hereby certify
that a true and accurate copy of Ordinance No. f%
Was published, pursuant to law, in the West Covina
Tribune, a newspaper of general circulation published
and circulated in the City of West Covina.
r
anet Berry, aputy City Clerk
city of West Coyina, California
Dated—L�
i f