HomeMy Public PortalAboutOrdinance 6021
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ORDINANCE NO. 602
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF BEAUMONT, CALIFORAIIA, ADDING CHAPTER 13.16
TO THE BEAUMONT MUNICIPAL CODE ESTABLISHING
A MOBILE HOME RE14T REVIEW COMMISSION.
THE CITY COUNCIL OF THE CITY OF BEAUMONT DOES ORDAIN AS FOLLOWS:
SECTION I: New Chapter 13.16 is added to the Beaumont Municipal
Code to read as follows:
CHAPTER 13.16
MOBILE HOME REPT REVIEW COMMISSION
Section 13.16.010. Recital.
(a) The City of Beaumont desires to resolve and harmonize
disputes that may exist between residents and owners of mobile home
=ti=rks which may arise from the failure of either party to recognize the
property rights of the other or to engage in acts or practices which may
jeopardize the public health, safety or interest of one another.
(b) The City of Beaumont has undertaken extensive public
hearings during which representatives of both parties have expressed in
great detail their point of view concerning their respective property
rights.
Section 13.16.020. Findings.
(a) The City of Beaumont recognizes that residents of mobile
home parks, unlike apartment tenants or residents of other rental
properties, are in a unique position in that they have made a
substantial investment in a residence for which space is rented or
leased, and that the removal and/or relocation of a mobile home from a
park space is generally accomplished at substantial cost, and such
removal or relocation may cause extensive damage to the mobile home.
(b) Rents have been for several years, and are presently in
mobile home parks within the City of Beaumont, rising rapidly causing
concern and anguish among a substantial number of mobile home owners and
residents of mobile homes in said areas, most of whom are elderly
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persons on fixed incomes and persons with low incomes.
(c) It is necessary to protect owners and residents of mobile
homes from unreasonable rent increases while at the same time
recognizing the need of mobile home park owners to receive a just and
reasonable return on their property and rental increases sufficient to
cover the increased cost of repairs, maintenance, service, insurance,
upkeep and other amenities.
(d) The adoption of this ordinance will not have a significant
effect on the physical environment of the community in that there will
be no deviation from the general plan and no change in the present use
of property within the City of Beaumont.
Section 13.16.030. Definitions.
Whenever in this ordinance the following terms are used, they
shall have the meanings respectively ascribed to them in this section.
(a) "Administrative Officer" is the Finance Director or his
designated representative.
(b) "Commission" is the Mobile Home Rent Review Commission.
(c) "Dispute" is any contention, problem, issue or any other
unresolved concern related to a park.
(d) "Mediator" is a professional mediator by virtue of his or
her training or experience or combination of such training and
experience.
(e) "Park owner" is the owner, lessor, operator, manager, or
designated agent of a mobile home park.
(f) "Park" is a mobile home park that rents spaces or sites for
two or more mobile home dwelling units.
(f) "Mobile home owner" or "resident" is any person entitled to
occupy a mobile home dwelling unit pursuant to ownership thereof or a
rental or lease agreement with the owner thereof.
(h) "Space rent" is the consideration, including services,
amenities and benefits received in connection with the use and occupancy
of a mobile home space or site in a park.
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SECTION 13.16.040. Applicability.
None of the provisions of this ordinance shall preclude a
mobile home owner of a park from entering into a written lease with
the park owner which, by its terms, provides for rental increases
greater than would be allowed under this ordinance.
Section 13.16.050. Advance Notice of Rent Increases.
Not later than sixty (60) calendar days before an increase
in rent is to become effective in a given park, the park owner
thereof shall give notice thereof, in writing, to the mobile home
owners therein.
Section 13.16.060. Park Committee.
(a) Upon the filing of a petition, in writing, with the
park owner and the Administrative Officer, which contains the
signatures of the residents of more than fifty percent (50%) of the
occupied spaces of a park, except those receiving remuneration in
any form from the park owner, and within thirty (30) days from the
receipt of any notice given pursuant to Section 13.16.050 of this
chapter, or within thirty (30) days after the effective date of the
ordinance enacting this chapter relating to any increase in rent
between March 1, 1983 and such effective date or within thirty (30)
days after any other dispute arises, a Park Committee shall be es-
tablished for t -le purposes of meeting and conferring on the rental
increase or other dispute, endeavoring to reach a mutual under-
standing of one another's viewpoint, and negotiating an agreement
in conjunction therewith. Upon receipt of the petition, the
Administrative Officer shall determine whether or not the petition
contains the number of signatures as required by this Section
13.16.060 (a) ,
and thereafter, he shall notify, in writing, the park
owner and the residents of the results of his determination. The Par
Committee shall be composed of two (2) members appointed by the park
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owner and two (2) members shall be elected by secret ballot by the
residents. The fifth member be a mediator appointed by the
unanimous vote of the other four (4) members. In the event the members,
appointed by the park owner and elected by the residents, cannot agree
on the appointment of the fifth member within ten (10) days after their
appointments, they shall request, in writing, the Administrative Officer
to appoint a fifth member. Within (10) days after receipt of such
request, the Administrative Officer shall appoint a mediator from a list
of mediators approved by the City Council to serve as a member of the
Park Committee. Any fees, charges or other costs that may be required
by such mediator, whether he or she is appointed by the park owner and
resident members of the Park Committee or by the Administrative Officer,
shall be borne equally by the park owner and the residents.
(b) The Park Committee shall establish procedures for the
conduct of its affairs not otherwise in conflict with the provisions of
this chapter, including, but not limited to, the number of affirmative
votes it may require to take or effect any action. If the Park
Committee negotiates a proposed agreement, written notice thereof shall
be given to all of the residents of the park and the park owner. Within
ten (10) days from the receipt of such notice, the residents shall take
a secret ballot. If the residents of more than fifty percent (50%) of
the occupied spaces of the park, other than those receiving remuneration
from the park owner, either:
(1) concur with, and the park owner approves, the agreement,
then it shall be deemed approved; or
(2) reject the agreement, or the park owner rejects the
agreement, then it shall be deemed disapproved.
(c) In the event the agreement is rejected as provided in
Section 13.16.060(b) of this chapter, the Park Committee shall meet
within ten (10) days after such rejection for the purpose of
renegotiating another proposed agreement. If such a proposed agreement
is unanimously renegotiated, written notice thereof by the Park
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Committee shall be given and a secret ballot by the residents shall be
taken in accordance with the provisions of Section 13.16.060(b) of this
Chapter.
Section 13.16.070. Petition.
The residents of more than fifty percent (50%) of the occupied
spaces of a park, except those receiving remuneration in any form from
the park owner, may file a petition, in writing, with the Commission,
which contains the signatures of such residents and such petition
relates exclusively to a rental iricrease, in the event:
(a) The Park Committee fails to negotiate a proposed agreement
relating to a rental increase within thirty (30) days after the
appointment of the fifth member; or
(b) The Park Committee fails to renegotiate a proposed agreement
relating to a rental increase within thirty (30) days after the
agreement is rejected; or
(c) Such residents have, or the park owner has, rejected a
proposed agreement relating to a rental increase renegotiated by the
Park Committee within fifteen (15) days after such vote has been taken.
Section 13.16.080. Commission.
The Mobile Home Rent Review Commission is hereby established and
shall consist of five (5) regular members and two (2) alternate members
appointed by the City Council, and the composition shall be subject to
the following:
(a) Two (2) regular members and one (1) alternate member shall
be park owners, two (2) regular members and one (1) alternate member
shall be mobile home owners, and the other regular member shall be a
mediator selected by the Administrative Officer from a list of mediators
approved by the City Council. Any fees, charges or other costs that may
be required by such mediator shall be borne equally by the park owner
and the residents as provided in Section 13.16.100 of this chapter.
The term of office of the regular and alternate members who
are park owners and mobile home owners appointed initially shall
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commence on the date of appointment and terminate on July 30, 1985, and
thereafter, the term of office for such members shall be for two (2)
years commencing on the first day of July. The term of office of the
member who is a mediator shall be on an as required basis.
Notwithstanding a specified length of term for a member any member may
be removed at any time by the City Council. No members, either regular
or alternate, may serve more than two (2) consecutive full terms.
In the event a regular member who is a park owner or mobile
home owner is either absent or disqualified to serve, the alternate
member of the same category shall replace the regular member during his
or her absence or period of disqualification.
Vacancies shall be filled for the unexpired term of the
prior incumbent. A vacancy shall be deemed to exist upon the
resignation, death or loss of residency requirements of an incumbent.
For the purpose of appointment, a vacancy shall be deemed to exist upon
the expiration of a term.
Section 13.16.090. Powers, Duties and
Limitations of Commission.
Except as otherwise provided by law, the Commission shall have
the following powers, duties and limitations:
(a) Meet from time to time as requested by the Administrative
Officer, or upon the filing of a petition which relates exclusively to a
proposed rental increase.
(b) Elect one of its members to serve as chairman and one of its
members to serve as vice chairman. The chairman shall preside at all
Commission meetings and hearings, and shall exercise general supervision
of the affairs and activities of the Commission. The vice chairman
shall assume the duties and powers of the chairman in the event of the
chairman's absence, resignation or inability to perform his or her
duties and powers prescribed herein.
(c) Any action shall require affirmative votes of not less than
a quorum, except that less than a quorum may adjourn a meeting sine die
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or to a specified time and place. A quorum shall consist of a majority
of the members not counting vacant positons and such majority shall
consist of one (1) member who is a park owner, one (1) member who is a
mobile home owner and one (1) member who is neither a park owner, or a
mobile home owner.
(d) No member shall maks, participate in making or in any way
attempt to use his or her membership position to influence any action or
decision by the Commission in which he or she knows or has reason to
know he or she has a financial interest. Any member has a financial
interest in a decision or action if it is reasonably foreseeable that
the decision or action will have a material financial effect,
distinguishable from its effect on the public generally, on any park in
which he or she resides, has a direct or indirect investment or
interest, or is a director, officer, partner, trustee, employee, or
holds any positon of management. For the purposes herein, indirect
investment or interest means any investment or interest owned by the
spouse or dependent child of a Member, by an agent on behalf of a
member, by any business entity controlled by the member or by a trust in
which he or she has a substantial interest.
(e) Use City of Beaumont offices and/or facilities as needed.
(f) Establish guidelines for the purpose of evaluating a rental
increase, and in connection therewith, to consider all relevant factors
in determining whether such increase yields a just and reasonable return
on the park owner's property, such factors to include, but not to be
limited to, the following:
(1) The original investment in the park. In evaluating the
park, it shall be valued as its current use as a park, with known rental
fees at the time of purchase as a basis for rent increase, and not by
considering a higher value of the land which might result because of an
alternative or higher and better use. In determining the allowable
return on the park, all relevant factors, including the following, shall
be considered:
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(a) Level of services or amenities, such as laundry
facilities, recreation facilites, resident manager, refuse removal,
parking and any other benefits, facilities and privileges.
(b) Failure to perform ordinary repair, replacement
and maintenance.
(c) Whether the increase is currently and annually
greater than 75% of the current Consumer Price Index.
(2) The net operating income of a park which shall equal
gross income less operating expenses. All operating expenses, normal
and necessary, to the operation of the park shall be considered. The
computation of net operating incore shall include consideration of, but
shall not be limited to, the following:
(a) Increases or decreases in property taxes,
government assessments, utility rates, insurance, advertising.
(b) Increases or decreases in operating and
maintenance expenses.
(c) Capital improvements as distinguished from
ordinary repair, replacement and maintenance.
(3) The rate of return to be earned after the rental
increase which shall be compared to the rate of return determined to be
just and reasonable.
(4) The rate of return to be earned after the rental
increase shall be calculated by dividing the net operating income minus
the operating cost by the original investment in the park in accordance
with the foregoing factors.
(5) The just and reasonable return is that rate of return
which satisfies the following criteria:
(a) It is commensurate and comparable with rates of
return earned on investments in other enterprises having corresponding
risks.
(b) It is commensurate with and reflects general
market conditions in conjunction with the latest official Consumer Price
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Index.
(c) It is sufficient to guarantee confidence in the
financial integrity of the park so as to attract capital, maintain its
credit and assure the continuing operation and value of the park.
(6) Whether or not at the time when instituted rent
increases are to be the same for all spaces within a park.
(g) Receive, investigate and conduct, or cause hearings to be
conducted, relative to petitions under this ordinance, and to approve,
deny or make adjustments, as appropriate, in connection with a rental
increase.
(h) Submit a written rdport on a quarterly basis to the
Administrative Officer of the activities, actions, investigations,
hearings and all other matters pertinent to the Commission.
(i) Maintain and keep at the office of the Administrative
Officer, mobile home rent review investigation and hearing files and
dockets containing data as to the petitions filed, the dates and places
of hearings, the parties involved and their addresses, and the final
dispositon of the petition.
Section 13.16.100. Commission Review and
Hearing Procedures.
(a) A petition to be submitted pursuant to Section 13.16.070 of
this chapter shall be filed with the Administrative Officer, on a form
prescribed by the Commission, and signed under penalty of perjury,
together with a verification that a copy thereof has been served by
registered or certified mail on the park owner at his or her last known
address. Upon receipt thereof, the Commission shall review and
investigate the petition, and thereafter conduct a public hearing. Any
such public hearing shall be held not later than thirty (30) days after
receipt of the petition, and the Administrative Officer shall notify, in
writing, the park owner, petitioner and any other persons specifically
requesting such notice of the time, date and place set for the hearing
at least fifteen (15) days prior thereto.
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(b) At the request of the Commission, the petitioner and the
park owner shall deposit with the Commission a sum of money estimated by
the Commission to cover the fees, charges and other costs that may be
required by the mediator. Failure on the part of petitioner to deposit
its share shall be a sufficient basis for the Commission to terminate
the proceedings and deny the petition, and in the event the park owner
fails to deposit its share, such park owner shall be guilty of a
misdemeanor and upon conviction thereof, shall be punishable by a fine
not to exceed $500.00, or by imprisonment in the County jail for a
period of not more than six (p6) months, or by both such fine and
imprisonment, and each day such failure occurs or is permitted to
continue shall constitute a separate offense.
After the Commission has rendered its decision, the mediator
shall submit his or her billing to said Commission. If the deposit
submitted by the petitioner and phrk owner exceeds such billing, the
difference shall be refunded equally to the petitioner and park owner.
If such deposit is less than the billing, the difference shall be paid
forthwith by the petitioner and park owner equally upon a billing and
accounting therefor.
(c) At the request of the Commission, the petitioner shall
produce such records, receipts or reports as the Commission may require.
The technical rules applicable in a court of law relating to evidence
and discovery shall apply with respect to the production of such
records, receipts or reports. Failure to produce such requested
documents shall be sufficient basis for the Commission to terminate the
proceedings and deny the petition.
(d) At the request of the Commission, the park owner shall
produce specified financial records with respect to the production of
such records. Upon failure of the park owner to produce such requested
documents, the Commission may request the City Council of the City of
Beaumont to issue a subpoena directed to the park owner pursuant to
Section 27104 et seq. of the Government Code, commanding the park owner
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to produce to the Commission the requested documents in his or her
possession or under his or her control relating to the affairs of the
park.
(e) At the hearing:
(1) The parties may offer any testimony, documents, written
declarations or other evidence that is relevant to the subject of the
hearing.
(2) The parties may have assistance in presenting evidence,
or in setting forth by argument their position, from an attorney or such
other person as may be designated by said parties; provided, however,
that each party may have only one (1) such spokesperson at the hearing.
(3) In the event either the petitioner or the park owner
should fail to appear, the Commission may hear and review such evidence
as may be presented and make such decisions as if both parties were
present.
(4) All testimony shall be taken under oath or affirmation.
(5) It need not be conducted according to the technical
rules relating to evidence and witnesses, as applicable in courts of
law. To be admissible, evidence shall be of the type on which
responsible persons are accustomed to rely in the conduct of serious
affairs. A full and fair hearing shall be accorded to the petitioner
and park owner.
(6) The proceedings shall be tape recorded. Any party who
desires that the proceedings be recorded stenographically shall make
arrangements with the Administrative Office at least five (5) days
before the hearing. Any transcript prepared by a reporter at the
party's request shall be filed with the Administrative Officer. If the
party makes a request for a transcript of the tape recording at the time
of or after the hearing, he or she shall make arrangements to copy the
official tape recording with the Administrative Officer. A copy of the
transcript shall be given to the Administrative Officer. All expenses
incurred for the transcript will be borne by the requesting party.
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(7) Any person may be excluded during the hearing by the
Commission if that person is disruptive or otherwise interferes with the
orderly conduct of the proceedings.
(f) The Commission shall render its decision no later than ten
(10) days after the conclusion of the hearing, and such decision shall
be final and there shall be no right of appeal to the City Council of
the City of Beaumont.
(g) Except as provided in Section 13.16.040(b) of this chapter,
in the event any moneys have beep collected by the park owner which
exceed an amount allowed pursuant to a decision of the Commission, such
excess shall be refunded by the park owner in full to the residents no
later than thirty (30) days following notice of such decision.
(h) It shall be unlawful for any person subject thereto to fail
or refuse to comply with any order, directive or decision made by the
Commission.
Section 13.16.110. Annual Report.
The Administrative Officer shall submit a report, in writing, to
the City council on each and every anniversary of the effective date of
this chapter, which report shall include the number of petitions filed
relative to the establishment of a Park Committee and the number of
appointments made by the Administrative Officer in connection therewith,
and the number of petitions filed with the Commission, names of the
parties involved and their addresses, the final dispositon of the
petition and any other matters deemed pertinent thereto.
Section 13.16.120. Defense to Unlawful
Detainer Proceeding.
In the Event a park owner increases rents without complying
with the provisions of this ordinance, such an increase shall be deemed
null and void, residents shall not be required to pay such increase
except as provided in Section 13.16.040(b) of this chapter, and any
resident who is sought to be evicted from the park through an unlawful
detainer action brought by the park owner shall have the right to assert
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the invalidity of such increase as a defense to the unlawful detainer
proceedings for the failure of the resident to pay such increase.
Section 13.16.130. Other Remedies.
The provisions of Section 13.16.120 of this chapter are to be
construed as added remedies and not in conflict with or in derogation of
any other actions or proceedings or remedies otherwise provided by law.
SECTION II. Severability. If any provision, clause, sentence or
paragraph of this ordinance or the application thereof to any person or
circumstances shall be held invalid, such invalidity shall not affect
the other provisions or applications of the provisons of this ordinance
which can be given effect without the invalid provision or application,
and to this end, the provisions of this ordinance are hereby declared to
be severable.
SECTION III. This ordinance shall take effect 30 days after its
adoption and shall expire June 30, 1990, unless renewed not less than 30
days prior to the expiration date.
MOVED, PASSED, and ADOPTED this 8th day of October
1984.
YOR OF THE CITY OF BEAU NT
ATTEST:
CITY CLERK
CERTIFICATION
I, Theresa Thompson, Deputy City Clerk of the City of Beaumont DO
HEREBY CERTIFY that the foregoing Ordinance was introduced at a regular
meeting of the City Council of said City held on the 27th day of
Septembe 1984, and was duly adopted upon second reading on the 8th day
of October , 1984, upon the following roll call vote:
AYES: Councilmen Lowry, May, Russo and Mayor Thompson.
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NOES: Councilman Mitchell.
ABSTAIN: None.
ABSENT: None.
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C a'.' '` CLERK, CITY OF B UMONT