HomeMy WebLinkAbout55-Economic Development Agency
:~~T~ ~OF SAN BERQRDINO - REQUEST O>>R COUNCIL ACTION
From: Gerald W. Butl er, Oi rector
Subject: Ordinance Amendment
Mobilehome Rent Board
Dept:
Om:
May 16, 1991
Synopsis of Previous Council ection:
NONE
Recommended motion:
That further reading of the ordinance be waived and said ordinance be laid
over for final adoption.
~1J~
- Signature
Supporting data attached:
Yes
Phone: 384-5157
Ward: All
Contect person:
Gerald W. Butler
FUNDING REQUIREMENTS:
Amount:
-0-
Source: (Acct. No.1
(Acct. DescriDtionl
Fimlllce:
Council Notes:
," \
AlIIlnda Item No-5S
CITY OF SAN BER~DINO - REQUEST OR COUNCIL ACTION
STAFF REPORT
The Mobilehome Rent Board at its March 26, 1991 meetinq by a
3-2 vote is recommendinq to the Mayor and Common Council the
followinq chanqe in the Ordinance qoverninq Mobilehome Parks
within the City of San Bernardino, as found in the attached
ordinance amendment.
The reasons for this chanqe are the followinq:
1. When a Mobilehome Park is purchased, the new owner
is aware that the taxes on the mobilehome park will
increase siqnificantly, especially if the previous
owner had purchased the park prior to the passinq
of Proposition 13. It should not be the responsi-
bility of the homeowners to pay for this as an
added rent increase as it is part of the cost of
doinq business.
2. The owner of the park is the property owner and
thus can reap the benefit of the tax break avail-
able to the owner of a property. It is inconqruant
to expect the homeowner to pay the new taxes while
the parkowner is the beneficiary of the income tax
reduction.
doc. staffreport. 1
75.0264
. ~
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
o
o
1 ORDINANCE NO.
2 AN ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING SECTION
8.90.170 OF THE SAN BERNARDINO MUNICIPAL CODE RELATING TO
3 HARDSHIP MOBILE HOME RENT INCREASES.
4 THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO
DO ORDAIN AS FOLLOWS:
5
6
7
8
9
SECTION 1.
Chapter 8.90 of the San Bernardino Municipal
Code regulates rate increases in Mobile Home Parks pursuant to
the findings and conclusions stated therein.
In addition to
automatic rent increases Chapter 8.90 allows hardship rent
increases as approved by the Mobile Home Rent board to allow the
Mobile Home Park owner to pass on to the Mobile Home owner
unanticipated increased costs of doing business and of providing
the services which benefit the Mobile Home Owner. The Mayor and
Common Council do hereby find and conclude that a property tax
reassessment under California Constitution Article XIII A,
Section 2 and Revenue and Taxation Code Section 50 et seq. and
Section 60 et seq. due to the purchase of the Mobile Home Park by
the Mobile Home Park owner is an anticipated cost of doing
business and is a cost that is taken into consideration when
deciding to purchase the Mobile Home Park. For the purposes of
Chapter 8.90, such cost shall not be considered in the review of
a hardship rent increase application.
SECTION 2.
Section 8.90.170 of the San Bernardino
Municipal Code is hereby amended to read as follows:
"8.90.170. Hardship Rent Increase Regulations
For purposes of determining allowable hardship rent
increases, the rules and regulations set forth in this
Section shall be used.
In authorizing individual
DAB/ses/MobiHom2.ord
May 16, 1991
1
. .
. ..
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26 /
27 /
28 /
o
o
adjustments of the rent ceilings, the Board, its hearing
officers and the Director shall consider the purposes of
this Ordinance and the requirements of law. The Board may
consider all relevant factors including: increases or
decreases in operating and maintenance expenses, the extent
and cost of utilities paid by the owner, necessary and
reasonable capital improvements of the park as
distinguished from normal repair, replacement and
maintenance, increases or decreases in amenities,
equipment, insurance or services, substantial deterioration
of the park other than as a result of ordinary wear and
tear, failure on the part of the owner to provide adequate
repair, housing services or failure on the part of the
owner to comply with applicable housing, health and safety
codes, federal and state income tax benefits, the
speculative nature of the investment, whether or not the
property as acquired or is held as a long term or short
term investment, the owner's rate of return on investment,
the owner's current and base year Net Operating Income and
any other factors deemed relevant by the Board, its
Director, or its hearing officer in providing the owner a
fair return.
A sale of a mobile home park by the owner,
subsequent to June 3, 1991, which results in a Proposition
13 tax increase, cannot be a factor to be considered in a
hardship request for a rent increase by the new owners."
/ /
/ /
/ /
DAB/ses/MobiHom2.ord
May 16, 1991
2
"". '
.
.>
o
o
1 AN ORDINANCE...RELATING TO HARDSHIP MOBILE HOME RENT
INCREASES.
10
11
12
13
14
15
16
17
18
19
20
2
3
4
5
6
I HEREBY CERTIFY that the foregoing ordinance was duly
adopted by the Mayor and Common Council of the City of San
Bernardino at a
meeting thereof, held on the
day of
, 1991, by the following vote, to wit:
7
8
9
Council Members:
AYES
NAYS
ABSTAIN
ESTRADA
REILLY
FLORES
MAUDSLEY
MINOR
POPE-LUDLAM
MILLER
City Clerk
The foregoing ordinance is hereby approved this
day
of
, 1991.
W. R. Holcomb, Mayor
21 City of San Bernardino
22 Approved as to form
and legal content:
23
24
25
JAMES F. PENMAN,
City Attorney
;;4>~~P~1A J
26
27
28
DAB/SeS/MobiHom2.ord
May 16, 1991
3