Note: Prior ordinance history: Ords. 51, 96, 119, 142 and 153.
There is presently within the city a shortage of spaces for the location of mobilehomes. Because of this shortage, there is a low vacancy rate and rents have for several years risen rapidly and caused concern among a substantial number of city residents. Because of the high cost of moving mobilehomes, the potential for damage resulting therefrom, the requirements relating to the installation of mobilehomes, including permits, landscaping and site preparation, the lack of alternative home sites for mobilehome residents and the substantial investment of mobilehome owners in such homes, a virtual monopoly exists in the rental of mobilehome spaces, creating a situation where park owners have unbridled discretion and ability to exploit mobilehome park tenants. For these reasons, among others, the city council finds and declares it necessary to protect the owners of mobilehomes from unreasonable rent increases, while at the same time recognizing the need of park owners to receive a fair return on their property and rental income sufficient to cover increases in the costs of repairs, maintenance, insurance, employee services, additional amenities and other costs of operation.
(Ord. 171 § 1, 1993)
For the purposes of this chapter, the terms set forth in this section have the following meanings:
"Accurate"
means correct mathematically on the rent schedule form and any supplemental application material.
"Capital improvement"
means any addition of betterment made to a mobilehome park which consists of more than mere repair or replacement of existing facilities or improvements which has a useful life of five or more years, adds to the value of the property and appreciably prolongs its useful life and which may be amortized in accordance with applicable Internal Revenue Code regulations.
"City staff" or "staff"
means the staff of the city.
"Complete"
means rent schedule forms filed are filled out properly.
"Compliance"
means the submittal of rent schedule forms as approved by the city, the payment of an administrative fee, as established by resolution of the city council, for the submission of mobilehome space rent increase applications, and other requested material, documentation, information and responses to staff questions to comply with this chapter.
"Consumer Price Index"
means the percentage change in the Consumer Price Index for the U.S. City Average, All Urban Consumers, All Items, for the 12 month period ending four months prior to the effective date of the proposed rent increase (e.g., November effective date would be for 12 month period ending June 30th).
"Mobilehome"
means a structure with dimensions larger than eight feet by 40 feet or size larger than 320 square feet designed for human habitation, transported over streets and highways to a permanent occupancy site, and installed on the site either with or without a permanent foundation.
"Mobilehome park" or "park"
means an area of land in the city where two or more mobilehome spaces are rented or leased out for mobilehomes used as residences. Mobilehome park does not include developments which sell lots for mobilehomes or manufactured housing, or which provide condominium, community apartment or stock cooperative ownership, even if any homes in the development are rented or leased out. Mobilehome park includes trailer park.
"Mobilehome park owner" or "owner"
means the owner, lessor, operator or manager of a mobilehome park. Mobilehome park owner includes trailer park owner.
"Mobilehome tenant" or "tenant"
means any person entitled by written or oral agreement or by sufferance to occupy a mobilehome park space to the exclusion of others. Mobilehome tenant includes trailer park tenant.
"Mobilehome park rent review board" or "board"
means the city council.
"Net operating income"
means gross income less operating expenses. "Gross income" includes the sum of the gross space rent plus other income generated as a result of operating the park (i.e., laundry facilities, recreational vehicle storage, etc.) plus revenue received from the sale of utility services (gas, water, electricity, cable TV, refuse, etc.) where such utilities are billed individually to the tenants by the owners. Operating expenses include the costs of operation and maintenance, as defined on the rent schedule forms.
"Operation and maintenance"
means services provided by the owner related to the use or occupancy of a mobilehome park space, including, but not limited to, water and sewer, natural gas, electricity, refuse removal, management and administration (including employee salaries and fringe benefits), maintenance and repairs, supplies, advertising, recreation facilities, laundry facilities, parking, security services, insurance, property taxes, other governmental assessments and other costs reasonably attributable to the operation or maintenance of the park. The term operation and maintenance shall not include legal fees related to rent stabilization or tenant relations, costs incurred in proceedings related to this chapter, or mortgage payments, whether for principal, interest, or both.
"Rehabilitation work"
means work done on or in a mobilehome park in order to comply with an order issued by the city, county or other public agency, or to repair damage resulting from fire, earthquake or other natural disaster.
"Rent schedule forms"
means forms, including any accompanying instructions, provided by the city and required to be filed by the owner for a proposed rent increase.
"Space rent"
means the consideration, including any bonuses, benefits or gratuities, demanded or received in connection with the use and occupancy of a space in a mobilehome park, or for the services provided, but exclusive of any amount paid for the use of a mobilehome or trailer, or utility charges or trash charges which are billed separately whether or not the units are individually metered. "Space rent" does not include (1) reasonable user fees for services actually rendered to some, but not all, of the tenants of a park, or (2) any amount paid as a result of board-approved capital improvements or rehabilitation work.
"Space rent occupancy change"
means any time that a mobilehome in a mobilehome park or the space occupied by such a mobilehome is vacated voluntarily or as a result of an eviction action or a resale of the mobilehome. No space rent occupancy change shall be deemed to have occurred if an existing tenant removes an existing mobilehome from the space that tenant rents in a mobilehome park, in order to replace that mobilehome with another mobilehome, to be installed on the same space.
"Trailer"
means a structure with dimensions of eight feet by 40 feet or less, or a size of 320 square feet or less, designed to be drawn by a motor vehicle and to be used for human habitation or for carrying persons and property, including a trailer coach or house trailer.
(Ord. 171 § 1, 1993; Ord. 242 § 1, 1998)
The provisions of this chapter shall not apply to the following:
A. 
Mobilehome park spaces rented for nonresidential uses;
B. 
Mobilehome parks, the construction of which began after September 1, 1982; provided, however, that additional spaces created by the expansion of existing parks are not exempted from the provisions of this chapter. For the purposes of this section, "construction" means the erection of structures;
C. 
Mobilehome parks owned, leased, managed or operated by the United States government, the state, the county or the city;
D. 
Tenancies which do not exceed an occupancy of 20 days and which do not contemplate an occupancy of more than 20 days;
E. 
Mobilehome parks which are occupied by less than five mobilehomes or trailers;
F. 
Tenancies covered by leases or contracts which provide for more than a month-to-month tenancy. This exemption is only for the duration of such lease or contract. Upon the expiration or other termination of any such lease or contract, this chapter shall immediately be applicable to the tenancy;
G. 
Any mobilehome park which has entered into a contractual obligation with the city to provide for rent stabilization within that park.
(Ord. 171 § 1, 1993; Ord. 268 § 1, 2000)
A. 
Compliance with Chapter. On and after the effective date of the ordinance codified in this chapter, it is unlawful for any owner to (1) increase any space rent, and no increase in space rent shall be effective, unless the increase is made in compliance with the provisions of this chapter, or (2) fail to comply with any provision of this chapter.
B. 
Effect on Leases. In any application for a space rent increase under this chapter, the owner shall indicate which, if any, of the mobilehome park spaces are covered by leases or contracts which provide for more than a month-to-month tenancy, together with the expiration date of each such lease or contract. Any space rent increase approved by the board under this chapter shall not be applicable to spaces covered by such leases or contracts during the terms of such leases or contracts. Upon the expiration of each such lease or contract the space rent contained in that lease or contract shall remain in effect until the next rent adjustment for the particular mobilehome park is decided by the board. This subsection is not intended to preclude the extension or commencement of any lease or contract.
C. 
Effect on Space Rent Occupancy Change.
1. 
Upon a space rent occupancy change that occurs on or after November 6, 1992, that results from a mobilehome in a mobilehome park being vacated voluntarily or involuntarily, leaving the mobilehome in place upon the space, the mobilehome park owner may increase the space rent in effect for that particular space at the time of the change by an amount not to exceed the lesser of 5% or the Consumer Price Index. Such an increase shall not be applied more than once in a 12 month period and not more than two times in any five year period. Nor shall such an increase constitute a space rent increase for the purpose of determining when the last space rent increase became effective under Section 5.52.050A(2) or Section 5.52.060A(1).
2. 
Upon a space rent occupancy change that occurs on or after July 1, 1998, that results from the complete removal of a mobilehome coach from the space it formerly occupied in a mobilehome park, that same space shall no longer be subject to the provisions of this chapter, except Section 5.52.120.
(Ord. 171 § 1, 1993; Ord. 242 § 1, 1998)
A. 
Basis for Determination. The procedures and fees set forth in Section 5.52.060 shall not apply to any proposed space rent increase which does not exceed the adjusted Consumer Price Index ("CPI") of the total space rent of each affected mobilehome park space, provided that:
1. 
The adjusted Consumer Price Index means the full CPI up to and including 7% and 2/3 of the CPI above the 7% up to and including 18% for a maximum total increase of fourteen point thirty-three percent (14.33%).
2. 
The proposed space rent increase is to become effective no sooner than one year from the date the last increase became effective at the particular mobilehome park.
3. 
Not less than 90 days prior to the effective date of the proposed increase, the owner or property manager shall file with the board a rent schedule form and supporting documentation together with a copy of the written notice of the proposed increase and proof that the owner or property manager has served each affected tenant, personally or by mail, with the notice. The notice shall state: (a) the number of the space or other means by which the space is routinely identified; (b) the proposed rent for the space and the effective date thereof; and (c) that a copy of the rent schedule form and supporting documentation is available to any affected tenant, free of charge, upon request at the owner's office in the particular mobilehome park. Mailed notice shall be deemed served as of the second day after deposit in the U.S. mail, postage prepaid. The rent schedule form shall show the existing rent and proposed new maximum rent for each affected space together with the percentage increase and shall include the Consumer Price Index together with documentation thereof.
4. 
If a space rent increase exceeds subsection A of this section, the proposed increase may not be implemented by the owner unless and until approved by the board in accordance with Section 5.52.060.
B. 
Procedure. The proposed rent increase shall become effective as of the date specified in the notice to affected tenants described in subsection A of this section.
(Ord. 171 § 1, 1993; Ord. 191 § 1, 1994; Ord. 242 § 1, 1998)
A. 
Basis for Determination.
1. 
The proposed space rent increase shall become effective no sooner than one year from the date the last increase became effective at the particular mobilehome park.
2. 
For purposes of determining allowable increases, the space rent shall be divided into two components as follows:
a. 
Operation and Maintenance. The portion of the space rent attributable to the cost of operation and maintenance. This component shall be increased as necessary to cover documented increases in this component. Increases in income from other park-related sources shall be deducted in determining the amount of increase in costs. In the event a mobilehome park owner who does not separately bill utilities converts from a commonly shared metered system to each space, or when the owner initiates a segregated charge or a separate trash or utility billing to the space, the owner shall file a written report of such change with the board on or before the effective date of the charge. The board shall determine the amount to be deducted from the space rent as a result of such separate charges or billing. Thereafter, such charges or billings shall not be a part of space rent;
b. 
Remainder. The remainder of the space rent. This component may be increased by not more than the Consumer Price Index. In no event, however, shall the increase exceed 5%. Supporting documentation shall be filed to justify the requested increase.
3. 
Calculations of space rent increases for the particular mobilehome park, as provided in this section, shall be based upon the consecutive 12 month period ending four months prior to the effective date of the proposed increase. In no event, however, shall the operation and maintenance component for any month, or portion thereof, be used in the calculations for more than one space rent increase.
B. 
Procedure.
1. 
Not less than 90 days prior to the effective date of the proposed increase, the owner or the property manager shall file with the board a rent schedule form and supporting documentation together with proof that the owner or property manager has served each affected tenant, personally or by mail, with written notice of the proposed increase. The written notice shall state: (a) The proposed rent and effective date thereof; and (b) that a copy of the rent schedule is available to any affected tenant, free of charge, upon request at the owner's office in the particular mobilehome park. Mailed notice shall be deemed served as of the second day after deposit in the U.S. mail, postage prepaid. The rent schedule form shall show the existing rent and proposed new maximum rent for each affected space, calculated according to subsection A of this section, and shall include documentation supporting the requested increase in the remainder component.
2. 
The owner shall deposit $1,000 as a fee to cover the costs of processing the proposed space rent increase. Upon conclusion of such processing, the balance of the deposited processing fees, if any, shall be refunded to the owner. If additional costs are incurred, the owner shall be billed for, and shall be liable for, payment of such additional costs.
3. 
The board shall hear any request complying with the requirements of subdivisions 1 and 2 of this subsection not later than 45 days after receipt thereof. At least 10 days prior to the hearing, the board shall give written notice of the time and place set for the hearing to the owner, the tenants' representative and any person who has filed with the city clerk a written request to be notified. No hearing or any part thereof may be continued beyond 20 days after the initial hearing date without the owner's consent. If the board approves the increase as requested, or lower than requested, the same shall take effect as noticed by the owner or as the board may otherwise direct.
4. 
The board shall make a final decision no later than 10 days after the conclusion of the hearing. The board's decision shall be based on the preponderance of the evidence submitted at the hearing. The owner and all tenants requesting written notice shall be advised of the board's decision and given a copy of the findings upon which the decision is based. The decision of the board shall be final.
5. 
The board may, with respect to:
a. 
The operation and maintenance component, approve or deny the increase noticed by the owner. Approval shall be based on a finding that the relevant portion of the rent schedule form, as originally filed by the owner or as amended by the owner prior to the close of the hearing, is accurate, complete and in compliance with this section. A reduction shall be based on a finding that circumstances, as determined by the board, justify a lesser increase than that noticed by the owner;
b. 
The remainder component, (i) approve the increase noticed by the owner, in whole or in part, based upon a finding that the increase, as approved, permits a fair return and sufficient rental income in accordance with the purpose and intent of this chapter, or (ii) deny in total the increase noticed by the owner, based upon a finding that an increase shall not be necessary for the owner to receive a fair return and sufficient rental income in accordance with the purpose and intent of this chapter.
(Ord. 171 § 1, 1993; Ord. 191 § 2, 1994)
A. 
Basis for Determination.
1. 
An owner may apply to the board for a discretionary space rent increase above that otherwise allowed by Section 5.52.050 or 5.52.060 of this chapter in cases where he contends that the facts and circumstances of the particular case warrant such an increase. It is not the intent of this section to require the owner to justify space rent increases previously approved by the board.
2. 
It shall be the responsibility of the owner to provide sufficient supporting documentation to justify the requested increase. The supporting documentation must demonstrate that as a result of one or more factors, as proposed by the owner, an increase not otherwise allowed by Section 5.52.050 or 5.52.060 of this chapter is necessary to permit a fair return and sufficient rental income in accordance with the purpose and intent of this chapter. The owner shall comply with any staff request for additional documentation to permit evaluation of the requested increase.
3. 
No increase in space rent shall be approved because of increased principal, interest or other expenses resulting from:
a. 
The refinancing of the mobilehome park;
b. 
The sale of the mobilehome park, except for changes to property taxes and/or other governmental assessments as a result of such sale;
c. 
Capital improvements;
d. 
Rehabilitation work.
B. 
Procedure.
1. 
The procedures set forth in subsections (B)(1) through (4) of Section 5.52.060 of this chapter shall be applicable to discretionary space rent increases, except that the initial deposit is $1,500.
2. 
The board shall with respect to space rent increase noticed by the owner, (a) approve the increase, in whole or in part, based upon a finding that the increase, as approved, permits a fair return and sufficient rental income in accordance with the purpose and intent of this chapter, or (b) deny in total the increase, based upon a finding that an increase is not necessary for the owner to receive a fair return and sufficient rental income in accordance with the purpose and intent of this chapter.
(Ord. 171 § 1, 1993)
A. 
Basis for Determination.
1. 
An owner may apply to the board for approval of a capital improvement or rehabilitation work amortization schedule within 12 months after completion of the improvement or work. It is not the intent of this section to require the owner to justify the improvement or work, provided that the improvement or work satisfies the definition of either a capital improvement or rehabilitation work.
2. 
It shall be the responsibility of the owner to provide sufficient supporting documentation to demonstrate that the improvement or work satisfies the definition of either a capital improvement or rehabilitation work and to justify the requested amortization schedule. The owner shall comply with any staff request for additional documentation to permit evaluation of the requested schedule.
3. 
The amortization schedule shall spread the cost of the capital improvement or rehabilitation work uniformly among all of the mobilehome park spaces in the particular mobilehome park, including spaces covered by leases or contracts which provide for more than a month-to-month tenancy, unless the owner can demonstrate with supporting documentation that the improvement or work does not benefit all of the spaces or that the spaces are not uniformly benefitted.
B. 
Procedure.
1. 
The procedures set forth in subsections (B)(1) through (4) of Section 5.52.060 of this chapter shall be applicable to the amortization schedule for a capital improvement or rehabilitation work, except that:
a. 
The owner shall file an amortization schedule in place of a rent schedule form. The schedule shall show that the improvement or work satisfies the definition of either a capital improvement or rehabilitation work, the total cost of the improvement or work and the amortization of such cost by mobilehome park space on a monthly basis.
b. 
The initial deposit shall be $1,500.
2. 
The board shall approve, in whole or in part, the amortization schedule noticed by the owner, based upon findings that:
a. 
The improvement or work satisfies the definition of either a capital improvement or rehabilitation work;
b. 
The amortization schedule spreads the cost of the capital improvement or rehabilitation work to all of the mobilehome park spaces that are benefitted, consistent with subsection (A)(3) of this section;
c. 
The financing of the improvement or work is at an interest rate that does not exceed the rate generally available to preferred customers for similar projects from commercial lending institutions located in Ventura County; and
d. 
The amortization schedule permits a fair return and sufficient rental income in accordance with the purpose and intent of this chapter.
C. 
Effect of Amortization Schedule. No owner shall demand or receive in connection with the use and occupancy of a space in a mobilehome park any consideration, including bonuses, benefits or gratuities, for any capital improvement or rehabilitation work, unless an amortization schedule has been approved by the board as set forth in this section. The amount a tenant is to pay pursuant to an approved amortization schedule shall be in addition to, and not part of, the space rent. Such amount shall not be used in calculating any increase in space rent.
(Ord. 171 § 1, 1993)
Meetings and hearings of the board shall be conducted in accordance with the following:
A. 
Except as authorized by state law, all meetings and hearings conducted by the board shall be open to the public.
B. 
All 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 any interested tenant(s) should fail to appear at the hearing at the specified time and place, the board may hear and review such evidence as may be presented and make such decisions as if both parties had been present.
D. 
All hearings shall be tape recorded. Tapes shall be preserved for two years, or longer if requested by any party affected by the hearing.
(Ord. 171 § 1, 1993)
A. 
The procedures of this chapter are intended to result in a final decision prior to the effective date of a proposed space rent increase. If staff or board actions do not result in a final decision by the effective date of the proposed increase, the decision shall be retroactive to the noticed effective date. The tenants shall pay the retroactive amount to the owner within 30 days after the decision of the board is announced.
B. 
If the board finds that a space rent increase went into effect in violation of this chapter, or any portion thereof, the owner shall refund the amount of the increase to the tenant(s) within 30 days after the decision of the board.
(Ord. 171 § 1, 1993)
Formal rules of evidence or procedure which must be followed in court shall not apply to the board proceedings, except to the extent that the board shall determine. No action of the board shall be held void or invalid or be set aside by any court on the ground of the improper admission or rejection of evidence, or by reason of any error, irregularity, informality, neglect or omission (hereinafter called "error") as to any matter pertaining to applications, notices, findings, records, hearings, reports, recommendations, or any matters of procedure whatever, unless after an examination of the entire case, including the evidence, the court shall be of the opinion that the error complained of was prejudicial, and that by reason of such error the party bringing the action or suit sustained and suffered substantial injury, and that a different result would have been probable if such error had not occurred or existed. There shall be no presumption that error is prejudicial or that injury was done if error is shown.
(Ord. 171 § 1, 1993)
Prior to, or at the time of, agreeing to rent or lease a mobilehome park space to a new tenant, the owner shall provide the new tenant with a copy of this chapter, as currently in force, along with a summary of this chapter's key provisions and projections regarding the effect such provisions may have on tenants. This summary shall be prepared and provided by the city to mobilehome park owners for their distribution to current and incoming new tenants. Within 30 days after receiving such summary from the city, the mobilehome park owner shall provide a copy of same to all current tenants, whether tenants are renting or leasing space.
(Ord. 171 § 1, 1993; Ord. 242 § 1, 1998)
A tenant may refuse to pay any increase in space 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 park space or to collect the space rent increase.
(Ord. 171 § 1, 1993)
A. 
Hardship Assistance Program. The city may establish, by resolution, a program for providing hardship financial assistance to tenants of mobilehome parks located within the city. Such resolution shall establish the procedures for receipt and review of applications for such program.
B. 
Statement from Tenant. If such a program is established, any tenant affected by a proposed space rent increase or payments resulting from an approved amortization scheduled (collectively "the adjustment") may file a statement of unreasonably severe economic hardship with the city not less than 45 days prior to the effective date of the proposed adjustment. The statement shall be made on a form that is available from the city and shall be processed in accordance with the procedures set forth in the resolution.
C. 
Unreasonably Severe Economic Hardship. Any tenant whose household income and monthly housing expense meet the criteria established by the Housing Assistance Payments Program under Section 8, existing housing provisions of the Housing and Community Development Act of 1974 (P.L. 93-383) and the regulations pertaining thereto, or any successor program, shall be deemed to be suffering under unreasonably severe economic hardship. The burden of proof in establishing any other form of unreasonably severe economic hardship shall be on the tenant.
(Ord. 171 § 1, 1993; Ord. 242 § 1, 1998; Ord. 254 § 1, 1999)
Notwithstanding Section 5.52.130 of this chapter, in any action brought to recover possession of a mobilehome park 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 request for a space rent increase pursuant to Section 5.52.060 or 5.52.070 of this chapter, including a determination made as a result of a petition filed with the board by a tenant pursuant to Section 5.52.050 of this chapter, shall be presumed to be retaliatory. This presumption affects the burden of proof and is rebuttable by the owner.
(Ord. 171 § 1, 1993)
If any owner demands, accepts, receives or retains any payment of space rent in excess of the maximum approved by the board under this chapter, the tenants affected by such violation, individually or by class action, may seek relief in a court of competent jurisdiction for injunctive relief or damages or both. In any such court proceeding, the prevailing party shall be awarded his or her reasonable attorney's fees and court costs. In its discretion and in addition to any other relief granted or damages awarded, the court shall be empowered to award to each tenant who is a party to the action or suit, civil damages in the sum of not more than three times the total monthly space rent demanded by the owner from each such tenant in violation of this chapter.
(Ord. 171 § 1, 1993)