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· CITY OF SAN BE'OARDINO-
REQUESHOR COUNCIL ACTION
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From: James F. Penman
Subject: AN ORDINANCE OF THE CITY OF SAN
BERNARDINO ADDING SUBSECTION
8.90.050.B.2 TO THE SBMC RELATING T
THE ALLOWED RENTAL RATE INCREASES
UPON THE SALE OF MOBILEHOMES IN
MOBILEHOME PARKS AND DECLARING ~HE
URGENCY THEREOF.
Dapt: City Attorney
Date: April 2, 1992
Synopsis of Previous Council action:
Chapter 8.90 added to the San Bernardino Municipal Code by Ordinance No. MC-72
on April 9, 1990.
Amended by Ordinance No. MC-764 on November 26, 1990.
Amended by Ordinance No. MC-769 on March 11, 1991.
Amended by Ordinance No. MC-79B on July 1, 1991.
Amended by Ordinance No. MC-802 on July 15, 1991.
Amended by Ordinance No. MC-819 on February 4, 1992, repealing the 10% cap in
rental increases on sale of a mobilehome remaining in the mobilehome park.
Recommended motion:
Waive further reading and adopt the urgency ordinance.
(either option 1 or option 2)
(}~~ J
/ Signature
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Contact parson:
Dennis A. Barlow
Phone: 384-5355
Supporting data attached:
Ward:
FUNDING REQUIREMENTS:
Amount:
Source: (Acct. No.)
(Acct. DescriPtion)
Finance:
Council Notes:
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75-0262
Agenda Item No.
S-:J,.
. CITY OF SAN BEIQARDINO - REQUEST()OR COUNCIL ACTION
STAFF REPORT
In February of this year in an attempt to limit the potential
exposure to the City, the Mayor and Council repealed the cap on the
amount of rental increase that could be imposed on a mobile home
that was sold, but that remained in the same mobile home park. The
previous ordinance had allowed no more than a 10% increase. At the
time the Mayor and Council was aware of the Yee v Escondido case
which was pending before the United States Supreme Court on this
very issue.
On Wednesday, April 1, the Supreme Court issued its decision
on Yee, and by a 9-0 margin upheld the right of Escondido to impose
a cap on such rent increases against a challenge that such an
action is a physical taking of property. This action essentially
rejects a series of federal cases in California beginning with Hall
v Santa Barbara. -
We have presented two alternative proposed ordinances for your
review and possible action.
The first would r' ~state the previous cap in San Bernardino's
ordinance.
The second proposed ordinance would impose a zero cap on
increases when mobile homes are sold. That is, the only rental"
increases which would be allowed are those which would have been
applicable had the mobile home not been sold.
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i" 75.0264
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ORDINANCE NO.
AN ORDINANCE OF THE CITY OF SAN BERNARDINO ADDING SUBSECTION
8.90.050.B.2 TO THE SAN BERNARDINO MUNICIPAL CODE RELATING TO THE
ALLOWED RENTAL RATE INCREASES UPON THE SALE OF MOBILE HOMES IN
MOBILE HOME PARKS AND DECLARING THE URGENCY THEREOF.
THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO
DO ORDAIN AS FOLLOWS:
SECTION 1. Subsection 8.90.050.B.2 is hereby added to the
San Bernardino Municipal Code to read as follows:
"2. Subject to the provisions of Civil Code S798.l7,
if the mobile home is sold and is to remain on site,
the landlord may only increase the rental rate to the
new owner by the amount which would have been allowed
pursuant to this chapter if the mobile home had not
been sold."
SECTION 2. URGENCY. The Mayor and Common Council do hereby
find that due to the federal court decisions of Hall v Santa
Barbara (1986) 833 F2d 1270, and Azul Pacifico, Inc. v City of Los
Angeles (1991) 948 F 2d 575, the City did in February of this year
repeal the vacancy control protection for its citizens in
Mobilehome Parks in order to protect the City from possibly
significant damages should the current lawsuit filed by park
owners against the City result in an adverse decision. It was
understood that this issue was under review by the United states
Supreme Court in Yee v Escondido and if the decision were
favorable the vacancy control protection would be reinstituted as
soon as possible. On April 1, 1992 the Supreme Court issued its
opinion in Yee rej_ cting the "physical taking" theory espoused in
Hall and Azul Pacifico and upholding Escondido's ordinpnce. The
Mayor and Common Council do hereby find that it is in the best
DAB/ses/Rate.ord
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interests of the citizens of the City of San Bernardino to assist
those who are seeking to sell their mobilehomes and those who are
seeking to buy such homes to have the same fair rental protection
as is afforded to those who remain in their mobilehomes without
sale. The Mayor and Common Council do further find that many such
tenants (both buyers and sellers) are elderly andlor on fixed
means and need the opportunity to protect their incomes. To delay
the implementation of this ordinance would be to allow
unnecessary, unjustified and possibly financially devastating
rental increases while the Supreme Court has determined that
mobilehome rental protection is legal. In order to protect the
public health, safety and welfare it is necessary that this
ordinance take effect immediately to insure that prospective
sellers and buyers of mobilehomes be protected in the value of
their investments and that the rents charged be maintained at a
fair and equitable level.
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DAB/ses/Rate.ord
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April 2. 1992
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AN ORDINANCE.. .ADDING SUBSECTION 8.90.050.B.2 TO TIlE SAN
BERNARDINO MUNICIPAL CODE RELATING TO THE ALLOWED RENTAL RATE
INCREASES UPON THE SALE OF MOBILE HOMES IN MOBILE HOME PARKS AND
DECLARING THE URGENCY THEREOF.
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
, 1992, by the following vote, to wit:
Council Members:
AYES
NAYS
ABSTAIN ABSENT
ESTRADA
REILLY
HERNANDEZ
MAUDSLEY
MINOR
POPE-LUDLAM
MILLER
City Clerk
The foregoing ordinance is hereby approved this day
of
, 1992.
W. R. Holcomb, Mayor
City of San Bernardino
Approved as to form
and legal content:
JAMES F. PENMAN,
City Attorney
B//JtN~-I
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DAB/ses/Rate.ord
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April 2. 1992
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ORDINANCE NO.
AN ORDINANCE OF THE CITY OF SAN BE ARDINO ADDING SUBSECTION
8.90.050.B.2 TO THE SAN BERNARDINO CIPAL CODE RELATING TO THE
ALLOWED RENTAL RATE INCREASES UPON HE SALE OF MOBILE HOMES IN
MOBILE HOME PARKS AND DECLARING TH URGENCY THEREOF.
THE MAYOR AND COMMON COUNC L OF THE CITY OF SAN BERNARDINO
DO'ORDAIN AS FOLLOWS:
Subsection is hereby added to the
San to read as follows:
"2.
rovisions of Civil Code S798.l7,
if the
is sold and is to remain on site,
y, only increase the rental rate to the
10% of the current allowable rent."
SECTION 2.
The Mayor and Common Council do hereby
find that due
court decisions of Hall v Santa
Barbara
Pacifico Inc. v Cit of Los
Angeles
948 F 2d 575,
did in February of this year
repeal
vacancy control protec
for its citizens in
Parks in order to protect
Ci ty from possibly
filed by park
should the current
gainst the City result in an adverse decision. It was
ood that this issue was under States
Court in Yee v Escondido and if
decision were
able the vacancy control protection would be
possible. On April 1, 1992 the Supreme Cou t issued its
in Yee rejecting the "physical taking" theory spoused in
all and Azul Pacifico and upholding Escondido's ordinance. The
ayor and Common Council do hereby find that it is in the best
interests of the citizens of the City of San Bernardino ,to assist
,
those who are seeking to sell their mobilehomes and those who are
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seeking to buy such homes to have the same fair rental protection
as is afforded to those who remain in their mobilehomes without
sale. The Mayor and Common Council do further find that many such
tenants (both buyers and sellers) are elderly andlor on fixed
means and need the opportunity to protect their incomes. To delay
the implementation of this ordinance would be to allow
unnecessary, unjustified and possibly financially devastating
rental increases while the Supreme Court has determined that
mobilehome rental protection is legal. In order to protect the
public health, safety and welfare it is necessary that this
ordinance take effect immediately to insure that prospective
sellers and buyers of mobilehomes be protected in the value of
their investments and that the rents charged be maintained at a
fair and equitable level.
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DAB/ses/Rate-2.ord
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April 2. 1992
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AN ORDINANCE.. . ADDING SUBSECTION 8.90.050.B.2 TO THE SAN
BERNARDINO MUNICIPAL CODE RELATING TO THE ALLOWED RENTAL RATE
INCREASES UPON THE SALE OF MOBILE HOMES IN MOBILE HOME PARKS AND
DECLARING THE URGENCY THEREOF.
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
, 1992, by the fOllowing vote, to wit:
Council Members:
AYES
NAYS
ABSTAIN ABSENT
ESTRADA
REILLY
HERNANDEZ
MAUDSLEY
MINOR
POPE-LUDLAM
MILLER
City Clerk
The foregoing ordinance is hereby approved this
day
, 1992.
W. R. Holcomb, Mayor
City of San Bernardino
Approved as to form
and legal content:
JAMES F. PENMAN,
City Attorney
B/~PJL'
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DAB/ses/Rate-2.ord
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April 2. 1992