There is presently within the City and the surrounding areas a shortage of space for the location of mobilehomes. This has resulted in a low vacancy rate and rents have been and are presently rising rapidly and causing concern among a substantial number of Union City residents. Rent stabilization is necessary, based on the testimony of the citizens in their view of the Bay Area Consumer Price Index. Because of the high cost of moving mobilehomes and the potential for damage resulting therefrom, the requirements relating to the installation of mobilehomes, including permits, landscaping and site preparation, the lack of alternative homesites for mobilehome owners in such homes and the substantial investment of mobilehome owners in such homes, the City Council finds and declares it necessary to protect the owners and occupiers of mobilehomes from unreasonable rent increases, while at the same time recognizing the need of the park owners to receive both a fair return on their property and rental income sufficient to cover increasing costs of repair, maintenance, insurance, employee service and utility-government assessments.
(Ord. 296-87 § 1, 1987; Amended during 1990 republication)
"Capital improvement"
means those improvements 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.
"Consumer Price Index"
means the Consumer Price Index for all Urban Consumers San Francisco-Oakland Area, published by the U.S. Department of Labor, Bureau of Labor Statistics.
"Hearing Officer"
shall be either retired administrative law judge or Superior Court Judge.
"Housing services"
are services provided by the owner related to the use or occupancy of a mobilehome space, including, but not limited to, insurance, repairs, replacement, maintenance, painting, lighting, heat, water, refuse removal, laundry facilities, recreation facilities, parking security and employee services.
"Mobilehome park owner"
means the owner, lessor, operator or manager of a mobilehome park in the City.
"Mobilehome tenant/resident"
means any person entitled to occupy a mobilehome dwelling unit pursuant to ownership of the dwelling unit and subject to any rent or lease payment for a mobilehome space in a mobilehome park in the City. "Mobilehome tenant/resident" shall be understood to mean not only a person who has an existing tenancy in a mobilehome park, but also a person who has purchased or is in the process of purchasing or otherwise acquiring a mobilehome that will remain in that particular park.
"Park"
means a mobilehome park which rents or leases spaces for mobilehome dwelling units in Union City.
"Percent change in Consumer Price Index."
Percent change in Consumer Price Index means the percent change published for the month of February, issued in the month of March. In the event that a percent change is not published for the month of February, the closest preceding month for which a percent change is published shall be used.
"Rehabilitation"
means that work done by an owner to a mobilehome space, or to the common area of the property containing a mobilehome space, which is performed either to secure compliance with any State or local law or to repair damage resulting from fire, earthquake, or other casualty or natural disaster to the extent such repair is not reimbursed by insurance proceeds.
"Rent"
means the consideration, including any bonus, benefits or gratuity demanded or received in connection with the use and occupancy of a mobilehome space in a mobilehome park, but exclusive of any amounts paid for the use of the mobilehome dwelling unit, subletting or security deposit.
(Ord. 296-87 § 2, 1987; amended during 1990 republication; Ord. 447-95 § 2, 1995; Ord. 460-95 §§ 1, 2, 1996)
A. 
Commencing with the effective date of the ordinance codified in this chapter the maximum increase in rent payable for use or occupancy of any mobilehome space shall be:
1. 
Seven percent; or
2. 
Ninety percent of the percent change of the Consumer Price Index, whichever is less.
B. 
No mobilehome park owner or operator shall be allowed to increase the rent paid for the use or occupancy of a space by the lesser of the two factors stated in subsection A of this section more than once in any twelve-month period. Said period shall run twelve months from the last permissible rent increase.
C. 
The maximum increase in rent provided for in this section shall be implemented by the park owner or operator on an annual basis. Failure to do so will result in the loss of any potential increases that have not been previously implemented. For illustrative purposes, and by way of example, the effect of this section is as follows: The increases in the consumer price index for Year 1 was six percent, for Year 2 was six percent and Year 3 was five percent. The park owner did not implement rent increases following Year 1 or Year 2. At the end of Year 3 the maximum rent increase he may implement is ninety percent of five percent, being four and one-half percent. The increases in Year 1 and Year 2 cannot be "banked" and they cannot be implemented following Year 3. If the park owner believes that an increase greater than four and one-half percent is necessary to maintain a just and reasonable rate of return, he may request an adjustment in rents pursuant to Section 16.40.040 of this chapter. This subsection is intended as a clarification of the meaning of this section and is declaratory of existing law
(Ord. 296-86 § 3, 1987; Ord. 343-90 § 1, 1990; amended during 1990 republication; Ord. 385-92 § 2, 1992; Ord. 565-01 § 1, 2001)
Leases in excess of twelve months shall be treated as follows:
A. 
Before any rental agreement or lease in excess of twelve months is executed by a mobilehome tenant/resident, the park owner or manager must: (1) offer the mobilehome tenant/resident the option of a rental agreement for a term of twelve months or less; (2) provide the mobilehome tenant/resident with a copy of the mobilehome rent review ordinance (Chapter 16.40 Union City Municipal Code); and (3) provide the mobilehome tenant/resident with the notice provided for in Section 16.40.035D.
B. 
No mobilehome tenant/resident may be denied tenancy in a mobilehome park because the mobilehome tenant/resident will not sign a lease or rental agreement with a term in excess of twelve months, but instead chooses the option of a rental agreement of a term of twelve months or less.
C. 
A lease or rental agreement in excess of twelve months executed by a mobilehome tenant/resident shall not be exempt from the mobilehome rent review ordinance unless it complies with each and every requirement in California Civil Code Section 798.17(a) through (c) for exemption for such leases or rental agreements offered to homeowners.
D. 
Unless the mobilehome tenant/resident is already renting the same mobilehome space at the time that a mobilehome tenant/resident is provided with a proposed lease or rental agreement, the park owner or manager shall also provide the mobilehome tenant/resident with a notice setting out the current space rent being paid by the seller of the mobilehome coach and the date of the next anticipated increase. In addition, the mobilehome tenant/resident shall be provided with a notice in type of no less than 10 point in size, in substantially the form of the following:
WARNING–Read This Carefully Before Signing Any Lease or Rental Agreement.
State law (California Civil Code Section 798.17) provides that rental agreements in excess of 12 months duration are exempt from local rent control. The City of Union City has adopted a Mobilehome Rent Control Ordinance, and, therefore, if you sign a lease or rental agreement with a term in excess of 12 months, you will not be covered by the City's rent control protection. The City has also adopted a law that a prospective purchaser of a mobilehome may not be required to sign a lease or rental agreement with a term in excess of 12 months, must be offered the option of a rental agreement of 12 months or less and cannot be denied tenancy in the park because the buyer will not sign a lease or rental agreement with a term in excess of 12 months.
Before you sign any lease, you should carefully consider whether or not you want to be covered by the City's rent control protection. In making this decision, you may want to review the City's Rent Control Ordinance, have an attorney review the provisions of the lease that you are being asked to sign, or check with other sources such as representatives of homeowner organizations like the Golden State Mobilehome Owners League.
Such notice shall also be provided to the mobilehome tenant/resident by the person selling the mobilehome, or the agent representing the seller. No park owner or manager shall require that a mobilehome tenant/resident sign any rental agreement or lease, unless the foregoing notice and notice of current rent have been provided and the prospective mobilehome tenant/resident has been given an opportunity to review said notice and has signed a declaration so stating.
E. 
Any lease or rental agreement entered into in violation of this section shall be void.
(Ord. 447-95 § 3, 1995)
A. 
If dissatisfied with the maximum rent permitted by Section 16.40.030 of this chapter, an owner may request an adjustment in rents according to the provisions established by this chapter. However, no owner of a mobilehome park may request more than one adjustment to rents during the twelve-month period following the first full day the permissible rent increase is put into effect.
B. 
An owner may request an adjustment in excess of the permissible rent increase by conforming to the following procedures.
1. 
The owner of a mobilehome park seeking an adjustment in rents must submit a petition for certification to the City and said petition shall contain the relevant and detailed documentation supporting the level of rent increase requested that exceeds or would exceed that permitted by Section 16.40.030;
2. 
That any petition for certification be received no later than ninety calendar days before the desired date the requested increase is to take effect;
3. 
That any petition for certification shall contain one copy of a certified letter sent to the affected tenants notifying them of the petition for certification and the amount of increase requested;
4. 
That the petition for certification shall contain a statement attesting to the availability of any and all records required by the Hearing Officer to complete the review of the request for certification. Records for this part shall include, but not be limited to, any audits of mobilehome parks books, financial statements and records relating to any governmental or utility assessments which have been levied upon the mobilehome park operations after June 1, 1983;
5. 
That the petition submitted by an owner or responsible party designated by the owner shall include a declaration signed by the owner that they agree to pay all costs incurred by the City in reviewing the application. The applicant further agrees that the City's costs shall be paid in full in the event that the request for a rent increase is denied or overruled by an appeal to any court. The City may in its discretion request and the owner shall submit advance payments of the estimated costs prior to the conduct of the hearing on the requested increase. Failure to pay by the applicant on a request for advance payment shall relieve the City of its responsibility to conduct a hearing in the manner required by Section 16.40.070. Costs incurred by the City shall include, but not be limited to advertising, mailing, legal fees and audit services;
6. 
That the petition is made under penalty of perjury;
7. 
Any park owner who has submitted a petition for a rent increase since January 1, 1994 may under the provisions of the ordinance codified in this section resubmit a petition for review under the provisions of this chapter.
(Ord. 296-87 § 4, 1987; amended during 1990 republication; Ord. 378-92 § 1, 1992; Ord. 460-95 § 3, 1996)
A. 
The maximum rent which may be charged pursuant to this chapter shall not be modified upon the sale of the mobilehome. Subsequent rent adjustment shall be governed by the provisions of this chapter without regard for such sale.
B. 
This section is intended as a clarification of the meaning of this chapter and is declaratory of existing law.
(Ord. 437-94 § 2, 1994; Ord. 565-1 § 2, 2001)
A. 
Purpose. The purpose of this section is to encourage the placement of new, improved, and modem mobile homes in Union City's mobile home parks while remaining faithful to the findings and purpose of this chapter to protect the owners and occupiers of mobile homes from unreasonable rent increases while recognizing the need of park owners to receive a fair return on their property.
B. 
Exception to Vacancy Control.
1. 
The maximum rent which may be charged for a mobile home space pursuant to this chapter may be modified in the event of a "dealer pull out." A "dealer pull out" occurs when an existing mobile home park tenant/resident (hereinafter "old resident") transfers his mobile home to any person (including but not necessarily limited to a mobile home dealer, his agents or employees), voluntarily terminates his tenancy, and ceases to be a resident of the park, and the transferee removes the old resident's mobile home, installs a new mobile home in the now vacant space and sells it to another person who becomes a tenant/resident of the mobile home park.
2. 
The aforesaid exception to vacancy control shall not apply and space rent shall not modified in the event that an old resident replaces his existing mobile home with a new or different mobile home installed on the same space.
3. 
The mobile home park owner shall not condition the approval of the replacement of the old resident's mobile home or the installation of a new mobile home by the old resident on the old resident's acceptance of a modification of the space rent or acceptance of a long-term lease. The provisions of Health and Safety Code Section 1855 1.1 and the California Department of Housing and Community Development Regulations which permit a mobile home park owner to approve the installation of a mobile home in a mobile home park are deemed to allow only conditions unrelated to the modification of space rent or execution of a long term lease.
C. 
For purposes of this section, an "old resident" is defined as: (1) a mobile home tenant/resident who was paying rent in a mobile home park in the City for the month in which this ordinance becomes effective, or (2) a mobile home tenant/resident who has paid rent in a mobile home park in the City for the same space in the same park for twelve consecutive calendar months.
D. 
This section in no way supersedes, modifies, replaces or affects the Regulatory Agreement & Declaration of Restrictive Covenants (Tropics Mobile Home Park) dated August 8, 2001.
(Ord. 565-01 § 2, 2001)
A. 
The Hearing Officer shall either be a retired administrative law judge or retired Superior Court Judge.
B. 
There is created by the ordinance codified in this chapter a Hearing Officer to be selected by the park owner and tenants or tenants' representative. The names of five retired judges shall be obtained from the Alameda County Courts within ten working days of the submittal of the petition for a rent increase. The process for selection shall require a coin toss, the winner of which shall strike one name from the panel list. The other party shall strike one name alternately until only one name remains who shall serve as the Hearing Officer.
C. 
The park owner and tenants or tenants' representative shall meet within five working days of the date notified by the City that the names of five retired judges have been obtained to conduct the selection of the Hearing Officer as provided in subsection B of this section.
(Ord. 296-87 § 5, 1987; amended during 1990 republication; Ord. 460-95 § 4, 1996)
Within the limitations provided by law, the Hearing Officer shall have the following powers and duties:
A. 
To meet when required on the filing of petition upon notice by the City Clerk of the City;
B. 
To receive, investigate, hold hearings upon and pass upon the petitions of mobilehome operators as set forth in this chapter;
C. 
To make or conduct such independent hearings or investigations as may be appropriate to obtain such information as is necessary to carry out the duties;
D. 
The Hearing Officer shall have the power to fix the amount of the rent adjustment at an amount less than requested;
E. 
To adopt, promulgate, amend and rescind administrative rules to effectuate the purposes and policies of this chapter;
F. 
To maintain and keep at City Hall rent review hearing files and dockets listing the time, date and place of hearings, the parties involved, the addresses involved and the final disposition of the petition.
(Ord. 296-87 § 6, 1987; amended during 1990 republication; Ord. 460-95 § 5, 1996)
A. 
The appointed Hearing Officer shall have the authority to set the hearing dates necessary to complete the review of the submitted petition;
B. 
In the event that either the owner or the tenant 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 decision just as if both parties had been present;
C. 
Any and all materials received by the Hearing Officer in conjunction with the petition for adjustment shall be maintained in the City Clerk's office and shall be available for review by the public during normal working hours;
D. 
Any hearing conducted in accordance with this chapter shall be conducted in the City.
(Ord. 296-87 § 7, 1987; amended during 1990 republication; Ord. 460-95 § 6, 1996)
In evaluating the rent increase lawfully proposed or effected by the mobilehome park owner, the Board shall consider, among other relevant factors, the rent lawfully charged for comparable mobilehome spaces in the City, changes in cost 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, governmental assessments and fees, incidental services, employee costs, normal repair and maintenance, and other considerations, including, but not limited to, capital improvements, upgrading and addition of amenities or services and net operating income, as well as a just and reasonable return on the owner's property.
(Ord. 296-87 § 8, 1987; Amended during 1990 republication)
A tenant may refuse to pay any increase in rent which is in violation of this chapter. Such refusal to pay shall be a defense in any action brought to recover possession of a mobilehome space or to collect the rent increase.
(Ord. 296-87 § 10, 1987)
Notwithstanding Section 16.40.100, in any action brought to recover possession of a mobilehome 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. Any action brought within three months of the determination of a petition or complaint filed with the Board pursuant to this chapter shall be presumed to be retaliatory; this presumption affects the burden of proof and is rebuttable by the owner.
(Ord. 296-87 § 11, 1987; Amended during 1990 republication)
If any section, subsection, sentence, clause or phrase, or if this chapter is held for any reason to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portion of this chapter. The City Council declares that it would have passed this chapter and each section, subsection, sentence, clause and phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases had been declared invalid or unconstitutional and if for any reason this chapter should be declared invalid or unconstitutional, then the original chapter shall be in full force and effect. Nothing in this chapter shall affect any lease of a term of more than one year. All terms and conditions contained herein shall apply upon the expiration of the lease existing at the date of adoption of the ordinance codified in this chapter and to any lease entered into subsequent to the effective date of this chapter.
(Ord. 343-90 § 4, 1990; Amended during 1990 republication)