Ordinance Number 43913'7
ORDINANCE NO. 439
MOBILEHOME PARK REVIEW COMMITTEE
AN ORDINANCE OF THE CITY OF SAN JUAN CAPISTRANO,
CALIFORNIA, REPEALING ARTICLE 9 OF THE SAN JUAN
CAPISTRANO MUNICIPAL CODE AND ORDINANCES NUMBERED
412, 423, 425, 427 AND 430, AND ENACTING ARTICLE
9, CHAPTER 2, TITLE 2 OF THE SAN JUAN CAPISTRANO
MUNICIPAL CODE (URGENCY)
THE CITY COUNCIL OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA,
DOES HEREBY ORDAIN AS FOLLOWS:
SECTION 1. Enactment.
Article 9 of Chapter 2 of Title 2 of the San Juan
Capistrano Municipal Code is hereby added to read as follows:
"Article 9. Mobilehome Park Review Committee.
"Section 2-2.901. Findings.
"(a) There is presently, within the City of San Juan
Capistrano and the surrounding areas, a
shortage of spaces for the location of
mobilehomes, resulting in a low vacancy rate
and rising space rents.
"(b) Mobilehome owners have invested substantial
sums in their mobilehomes and appurtenances.
"(c) Alternate sites for the relocation of
mobilehomes are difficult to find, and
moving and installation of mobilehomes is
expensive, with possibilities of damage to
the units.
"This Council does, accordingly, find and declare
that it is necessary to protect the residents of mobilehomes
from unreasonable space rent increases, recognizing the need
of mobilehome park owners to receive a 'fair return' on their
investment and revenues sufficient to cover any increased
costs of repairs, maintenance, insurance, upkeep and
additional amenities.
"Section 2-2.902. Definitions.
"For the purposes of this article, unless otherwise
apparent from the context, certain words and phrases used in
this article are defined as follows:
(a) 'Assessment' shall mean the unit allocation of
the cost of installing, improving, repairing,
or maintaining any capital improvement
benefiting the resident.
"(b) 'Committee' shall mean the Mobilehome Park
Review Committee established by this article.
"(c) "Consumer Price Index' shall mean the
Consumer Price Index for all urban consumers
(CPI -U) published for the Los Angeles -Long
Beach -Anaheim area.
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"(d) 'Maximum Allowable Increase' shall, unless
otherwise determined by the Committee or the
City Council on petition as hereinafter
provided, mean the maximum allowable increase
in space rent determined by either of the
following formulae:
111. Take operating expenses of the park for
the twelve month period immediately
preceding the date upon which notification
of any rent increase is to be made;
"Multiply that sum by the percentage of
increase in the CPI -U appearing in the
latest published Consumer Price Index;
"Multiply that product by a factor of
1.1 to arrive at the maximum allowable
annual increase in rent for the entire
park;
"Divide by the number of units in the
park to compute the maximum allowable
annual rent increase (in dollars) for
each space.
or
"2. Secure the percentage of increase in
CPI -U appearing in the latest published
Consumer Price Index prior to the date
upon which notification of'any rent
increase is to be given;
"Compute a 'Modified CPI -U' which applies
to rental of mobilehome spaces by
deleting those items in the CPI -U which
do not have a substantial bearing upon
the rental of mobilehome spaces; i.e.,
Food and Beverage; Apparel and Upkeep;
Entertainment; Medical Care;
"Multiply the above 'Modified CPI -U' by
a factor of 1.1 to arrive at the maximum
allowable rent increase percentage and
apply that product to each space rent.
"The percentage increase computed by either
of the foregoing methods shall be applied
to each space and shall not be applied to
the park's mean rent. There shall,
moreover, be no more than one increase in
space rents within a park during any
twelve month period, without the prior
approval of the Committee or the City
Council.
"(e) 'Owner' shall mean the owner, lessor, or
designated agent of a park.
"(f) 'Park' shall mean a mobilehome park which
rents spaces for mobilehome dwelling units.
"(g) 'Rent' shall mean the consideration, including
any benefit or fee, in connection with the use
and occupancy of a mobilehome space in a park
or the transfer of a lease or rental agreement
for park space, services and amenities, or
subletting, but exclusive of any amount paid
for the use of the mobilehome dwelling unit.
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"(h) 'Resident' shall mean any person entitled to
occupy a mobilehome dwelling unit pursuant to
ownership thereof or a rental or lease
arranagement with the owner of the subject
dwelling unit.
"Section 2-2.903. Mobilehome Park Review Committee:
Created:Members:Duties.
"(a) Created. A Mobilehome Park Review Committee
for the City is hereby created.
"(b) Membership. The Mobilehome Park Review
Committee shall consist of a total of five (5)
voting members: two (2) resident electors who
are mobilehome owners; two(2) mobilehome park
owners, operators, or managers who are not
required to be resident electors; and one
resident elector who is neither a mobilehome
owner, mobilehome park owner, operator, nor
manager. If, however, any membership cannot
be reasonably filled from the designated
categories, the Council may appoint such other
person who is capable of fulfilling the duties
and obligations set forth in this article. A
quorum shall consist of three (3) members, and
any action of the Committee shall require an
affirmative vote of not less than three (3)
members.
"(c) Duties. The Mobilehome Park Review Committee
shall undertake and have the following duties,
responsibilities, and functions, together with
the powers incidental thereto:
"(1) To investigate, hold hearings, mediate
insofar as possible, and make recommendations
to the Council on issues, problems, and
legislation relating to mobilehome parks;
"(2) To meet upon the filing of a petition by
residents or an owner requesting a hearing
concerning space rent; to receive testimony
and other evidence relating to such
petition; and to make appropriate
recommendations to the Council; and
"(3) To undertake such other duties as may be
assigned by the Council from time to time.
"Section 2-2.904. Mobilehome Park Review Committee:
Membership:Meetings:Compensation.
"(a) Appointment. Members of the Mobilehome Park
Review Committee shall be appointed by the
affirmative votes of not less than three (3)
members of the Council and shall be resident
electors of the City, except as expressly
provided in this article.
"(b) service. Each member of the Committee shall
serve for a one-year term.
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"(c) Removal. Any member of the Committee may be
removed from such office, with or without
cause, at any time, by the Council. No such
removal shall be effective unless a motion to
that effect, made at a regular, adjourned
regular, special, or adjourned special meeting,
is carried by the affirmative votes of not
less than three (3) Members of the Council.
"(d) Meetings. Except as expressly provided in
this article, the Committee shall establish
the time and place of its regular meetings.
All such meetings shall be conducted in
accordance with the provisions of the
Ralph M_ Brown Act. The Committee shall adopt
rules for the transaction of its business and
shall keep a record of its proceedings,
which shall be open for inspection by any
member of the public.
"(e) Absence of members. Any member of the Committee
who is absent, without sufficient cause, from
three (3) successive regular meetings of the
Committee shall be deemed to have vacated
his office.
"An absence due to illness or an unavoidable
absence from the City shall be deemed an
excused absence of sufficient cause provided
notice thereof is given to the secretary
of the Committee by such member on or before
the day of any regular meeting of the Committee.
(f) Organization. The Committee shall annually
elect one of its members as chariman and one
of its members as vice-chairman. Such election
shall take place at the first regular meeting
in July.
"(g) Vacancies: Qualifications of successors.
Whenever a vacancy occurs on the Committee;
such vacancy shall be filled in the manner set
forth in subsection (a) of this section. Where
a vacancy occurs leaving an unexpired term, the
subsequent appointment shall be made for the
balance of such unexpired term.
"Except for the removal of a Committee member,
as provided in subsection (c) of this section,
or a vacancy due to absence as provided in
subsection (e) of this section, notwithstanding
the expiration of the term of a Committee member,
such member shall continue to serve as such
until his successor is appointed and qualified.
"(h) Compensation. Each member of the Committee
shall be entitled to such compensation as may
be set by the Council. Such members shall be
entitled to reimbursement for expenses
incurred in the performance of their duties
if the same is approved, in advance, by the
Council. The Committee shall not have the
authority to expend or authorize the expenditure
of any public funds, except with the prior
express approval of the Council.
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"(i) Terms.
"(1) Expiration of terms. The term of a
Committee office shall expire on June 30
of the designated expiration year.
"(2) Continuance in office. Each member of the
Committee holding such office on December 5,
1980, shall continue in such office for the
term to which he was appointed; provided,
however, the provisions of this article
shall control and govern such continuance
in office.
"(j) Secretary. The City Manager shall designate
the Secretary of the Committee and such other
advisory positions as he may deem appropriate.
He shall provide appropriate clerical assistance
for the Committee and shall be responsible for
the maintenance of all its permanent records.
"Section 2-2.905. Review and Hearing Process.
"(a) Upon the written petition of an owner, or of
residents representing more than fifty (50%)
percent of the spaces within a park, excluding
management space, concerning space rents, the
Committee shall hold a public hearing. Any
such public hearing shall be held not later
than thirty (30) days after receipt of the
petition by the Secretary, and the Secretary
shall notify the Park owner, Petitioner and
all other persons specifically requesting such
notice at least ten (10) days prior to the
date set for hearing.
"(b) The Committee shall make its decision no later
than ten (10) days after the conclusion of the
hearing and forthwith submit its findings and
recommendations to the Council.
"(c) The Council, based upon its findings, may
require the owner to reduce, increase, maintain,
or modify the space rent.
"(d) Any space rent increases which have been
collected by an owner pursuant to an increase
which is the subject of a petition for hearing,
and which is later determined by the Council to
have been excessive, shall be either returned to
the residents or credited to future space
rents; provided, however, no increase collected
prior to December 5, 1980, shall be returned.
"(e) In evaluating the rent increase proposed or
effected by the mobilehome park owner, the
Committee shall consider all relevant factors,
including, but not limited to, increased or
decreased costs to the mobilehome park owner
attributable to utility rates, property taxes,
insurance, advertising, governmental assessments,
cost of living increases attributable to incidental
services, normal repair and maintenance,
capital improvements, and the upgrading and
addition of amenities or services, as well as
a fair rate of return on investments and
increased property values.
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"Section 2-2.906. Sales of Parks and Mobilehomes:
Notices.
"(a) Sales of parks. Before the sale of any
mobilehome park, the park owner shall notify
a designated representative of the residents
of his intent to sell. Such notification shall
specify the sales price; the terms and conditions
of the sale; and a date (not to exceed ten
(10) days) within which a response from the
residents will be accepted. The residents,
through their designated representative, within
the specified time, shall notify the park
owner that the residents will purchase the park
on the terms and conditions set forth in the
notice; present a counter offer; or decline to
purchase the park.
"If the residents elect to purchase the property
in accordance with the terms and conditions set
forth in the park owner's notice, the sale
shall be consummated in accordance with the
terms and conditions set forth therein. If a
counter offer is made by the residents, the
park owner shall have ten (10) days within
which to respond thereto. If the residents
decline to purchase the park, or if their
counter offer if rejected by the park owner,
the park owner shall be free to sell the park
in accordance with the terms and conditions
set forth in his original notice.
"'(b) Sales of mobilehomes. Before the sale of any
mobilehome, the mobilehome owner shall notify
a designated representative of the park owner
of his intent to sell. Such notification shall
specifiy the sales price; the terms and
conditions of the sale; and a date (not to
exceed ten (10) days) within which a response
from the park owner will be accepted. The park
owner, through his designated representative,
within the specified time, shall notify the
home owner that the park owner will purchase the
mobilehome on the terms and conditions set
forth in the notice; present a counter offer;
or decline to purchase.
"If the park owner elects to purchase the
property in accordance with the terms and
conditions set forth in the home owner's
notice, the sale shall be consummated in
accordance with the terms and conditions set
forth therein. If a counter offer is made by
the park owner, the home owner shall have
ten (10) days within which to respond thereto.
If the park owner declines to purchase the
mobilehome, or if his counter offer is rejected
by the home owner, the home owner shall be free
to sell the mobilehome in accordance with the
terms and conditions set forth in his original
notice.
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SECTION 2. Effective Date.
This Ordinance is for the immediate preservation of the
public peach, health or safety and shall, accordingly, take effect
immediately. The facts constituting the urgency are: It is the
opinion of the City Attorney, based upon judicial decisions and
the statues of the State of California, that portions of the
original ordinance as amended may be pre-empted; similarly other
portions are inapplicable or require clarification. Immediate
repeal of such portions of the ordinance is, therefore, necessary
to clarify the rights and responsibilities of park owners as well
as residents of mobilehome parks in San Juan Capistrano.
SECTION 3. Citv Clerk's Certification.
The City Clerk shall certify to the adoption of this
Ordinance and cause same to be posted in the duly designated
posting places within the City of San Juan Capistrano within
fifteen (15) days after its passage.
PASSED, APPROVED AND ADOPTED this 3rd day of
Nnrremhar , 1981 , by the following vote, to wit:
AYES: Councilmen Friess,Buchheim, Bland, Hausdorfer
and Mayor Schwartze
NOES: None
ABSENT: None
PI
TILLIP 7. SCHWARTZE, MAYOR
ATTEST:
CITY CLERI
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF SAN JUAN CAPISTRANO )
I, MARY ANN HANOVER, City Clerk of the City of San Juan
Capistrano, California, DO HEREBY CERTIFY that the foregoing is a
true and correct copy of Ordinance No. 93.9 , adopted by the
City Council of the City of San Juan Capistrano, California, at a
regular meeting thereof held on the 3rd day of November
1981.
(SEAL) �J (
CHECK LISTMARY ANN H OVER,-I—TYCLERK
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City Seal stamped
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