HomeMy WebLinkAbout2000-12-19 Ordinance 4672follows:
ORDINANCE NO. 4672
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO
APPROVING THE BUENA VISTA MOBILEHOME PARK
AFFORDABLE HOUSING PRESERVATION STRATEGY AND A
VOLUNTARY 5% CAP ON RENT INCREASES FOR MOBILEHOME
PARK SPACES AT THE BUENA VISTA MOBILEHOME PARK
AND DECLARING THE URGENCY THEREOF, TO TAKE EFFECT
IMMEDIATELY
The City Council of the City of Palo Alto does ordain as
SECTION 1. Findings and Declaration of Urgency. The
Council finds and declares:
A. Th~ City Council hereby finds that the purpose of
this Ordinance is to maintain the status quo whi the City and
the owners of the Buena Vista Mobilehome Park pursue cooperative
analysis and implementation of strategies to maintain the Park
as affordable housing in the City of Palo Alto.
B. The City Council hereby finds that the Buena
Vista Mobilehome Park is an essential source of affordable
housing Palo Alto. In recognition of this fact and the
City's Comprehensive Plan affordable housing policies and
programs, the owners of the Buena Vista Mobilehome have agreed
to suspend any changes in rent or to the terms of tenancy for
existing tenants while this Ordinance is in ef ct, up to and
including May 1, 20D1.
C. During this period, the City· and the owners of
the Buena Vista Mobilehome Park have committed to work
cooperatively to develop mutually satisfactory strategies that
will lead to the long-term preservation of the Buena Vista
Mobilehome Park as affordable housing. The work process is
outlined and approved by this ordinance (Exhibit \\ A") and shall
be known as the \\ Buena Vista Mobilehome Park A££ordable Housing
Pre s erva tion Strategy;"
D. During this period, the City and the owners of
the Buena Vista Mobilehome Park have agreed that no rent
increases in s of 5% will be levied upon or collected from
any mobilehome.
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E. For each of the foregoing
Council hereby finds that this Ordinance is
the public peace, health, safety and weI
ordinance and shall take effect immediately.
reasons, the City
necessary to protect
is an urgency
SECTION 2.
the rent payment
Ordinance:
Rent Increases Prohibited. Beginning with ------------------------------first due after effective date of this
A. An Owner shall not demand, accept or retain rent
for a currently occupied space in a mobilehome park exceeding
the rent effect for such space on December 19, 2000, plus 5%,
except as otherwise provided in this Ordinance. This ordinance
does not apply to spaces that are shown to be vacant or
unoccupied as of December 19, 2000, nor shall this ordinance be
construed to apply to structures or dwellings within a
mobilehome park that are not mobilehome spaces.
B. The Owner of any mobilehome park shall provide
all services to the park and/or homeowners and tenants of the
spaces as were provided and in effect on December 19, 2000,
under the same terms and conditions as such services were
provided on that date. Any reduction or discontinuation of
services or establishment of any new or increased charge or
payment for services (other than City-provided utility servicesJ
that were provided on December 19, 2000, shall constitute an
increase of rent in violation of this Ordinance unless done in
accordance with Civil Code Section 798.41.
C . Nothing in this Ordinance shall be construed to
enti tIe a homeowner/tenant to a refund for any unlawful rent
payment made prior to the effective date of this Ordinance.
D. The provisions of t s Ordinance shall not apply to
spaces exempt from local rent control pursuant to Civil Code
Section 798.17 or new construction exempt from local rent
control pursuant to Civil Code Section 798.45.
E. The provisions of this Ordinance shall not apply to
the rent f charged to a new homeowner moving into a
Mobilehome Park on or after December 19, 2000, provided that any
subsequent rent increases shall be regulated by this Ordinance.
SECTION 3. Refusal to Pay Illegal Rent.
A homeowner/tenant may refuse to pay any rent
of the maximum rent permitted by this Ordinance. The
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in excess
that
, .
such unpaid rent is in excess of t maximum rent shall be a
defense in any action brought to collect illegal rent or to
recover possession of a space for nonpayment of rent.
SECTION 4. Remedies.
A. Any person or entity who demands, accepts or
retains any payment of rent in violation the provisions of
this Ordinance shall be liable in a civil action to the person
from whom such payment is demanded, accepted or retained for
damages in a sum equal to the amount by which the payment or
payments demanded, accepted or retained exceeded the maximum
rent which could be lawfully demanded, accepted or retained
together with reasonable attorneys' and costs as determined
by the court.
B. Any person or entity violating any of the provisions
of this Ordinance shall be guilty of a misdemeanor. Any person
or entity convicted of a misdemeanor under the provisions of
this Ordinance shall be punishable by a of not more that
$500.00 or by imprisonment fora period of time not exceeding 6
months, or by both. Each violation of any provision of this
Ordinance and each day during which any such violation is
committed or continued, shall constitute a separate offense. No
person shall be cited under this section unless the person
engages in conduct prohibited by this section after having been
notified by the City of Palo Alto that he or is in violation
of the prohibition in this section.
SECTION 5. Definitions. For the purpose of this
Ordinance, the following words and terms shall be construed as
defined in this section.
A. "Mobilehome" is a structure designed human
habitation and for being moved on a street or highway under
permit pursuant to Vehicle Code Section 35790. Mobilehome
includes a manufactured home, as defined Health and
Code Section 18007, and a mobilehome as defined in Health and
Safety Code Section 18008, but does not include a recreational
vehicle, as defined in Civil Code Section 799.29 and Health and
Safety Code Section 18010 or a commercial coach as de
Health and Safety Code Section 18001.8.
B. "Mobilehome Park" is an are~ of land where two or
more mobllehome sites or "spaces" are rented, or held out for
rent, to accommodate mobilehomes for human habitation.
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C. "Rental Agreement" is an Agreement between the
Owner or management of a mobilehome park and the
homeowner/tenant establishing the terms and conditions of a park
tenancy. A lease is a rental agreement.
D. "Homeowner" is a person who has a tenancy in a
mobilehome park under a rental agreement.
E. "Tenancy" is the right of a homeowner to use a
sitelspace within a mobilehome park on which to locate,
maintain, and occupy a mobilehome, site improvements, and
accessory structures for human habitation, including the use of
services and 1 ies of the mobilehome park.
F. "Owner" means the owner of a mobilehome park or an
agent or representative authorized to act on the owner's behalf
in connection with matters relating to a tenancy in the
mobilehome park.
G. \\ 5%" means five per cent rounded to the nearest
dollar.
SECTION 6. Effective Date and ration. This ----------------------------~-------Ordinance shall be effective immediately .
. expire on May 1, 2001.
This Ordinance shall
SECTION 7. The Council finds that this Ordinance is
exempt from the provisions of the California Environmental
Quality Act ("CEQA") because it can be seen with certainty that
it will have no effect on the environment because it maintains
the status quo a temporary term and because it regulates the
economic relationship between mobilehome park owners and
mobilehome owners who are park tenants.
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This Ordinance was introduced -at an adjourned regular
meeting of the Council of the City of Palo Alto which commenced
on Monday, December 11, 2000, and was passed by a four-fifths
vote of all Council Members present at the meeting on December
19, 2000, as follows:
INTRODUCED AND PASSED: Decemb€·r 19, 2000
AYES: BEECHAM, BURCH, EAKINS, FAZZINO, KLEINBERG, KNISS, LYTLE,
MOSSAR, OJAKIAN
NOES:
ABSTENTIONS:
-ABSENT:
ATTEST:
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BUENA VISTA MOBILEHOME PARK AFFORDABLE HOUSING
____________ P'----'R'--'>JE-.,S ...... E ..... R.1.lVLLLA TION STRA TE"'-"G=--Y'----_
A Cooperative Agreement Between the City of Palo Alto and the Owners of
the Buena Vista Mobilehome Park
December 19, 2000
.' The City of Palo Alto, a chartered city, ("City") and Toufic, Eva and Joe Jisser,
the sole owners and managers of the Buena Vista Mobilehome Park located at
3980 EI Camino Real in Palo Alto, ("Owners") enter into the following agreement
as of the date listed above.
BACKGROUND INFORIVIATION
A.' The Owners have owned and managed the Buena Vista Mobilehome Park
("BVMHP") since 1986. In the summer of 2000, the Owners acquired sole
possession and control of the BVMHP following dissolution of a partnership: The
Owners have incurred' substantial expenses related to the BVMHP due to the
partnership dissolution, maintenance and improvements. The Owners further
anticipate substantial increa~es in property taxes due to the dissolution.
B. The City's Comprehensive Plan Housing Element has recognized the
BVMHP as an important affordable housing resource since at least 1990.
C. In compliance with State law, the Owners have' notified the BVMHP
residents of their intention to i.ncrease space rents effective JanuarY 1,' 2001.
D. The' proposed rent increases have the potential to create extreme
. hardship for some BVMHP residents, including very low and low-income
residents, senior citizens and persons with disabilities.
E. The City of Palo Alto prefers not to regulate the economic relationship
between the Owners and the owners of individual mobilehomes; however,
preservation of affordable housing is an urgent responsibility of the City.
F. In view of this background information, the City and the Owners have
reached an agreement to cooperate in the identification and development of
several strategies for long-term preservation of the BVMHP as affordable
housing. In addition, the Owners have voluntarily agreed to suspend and limit
the previously noticed rent increases so that the status quo can be maintained
while the Owners and the City study long term preservation strategies.
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EXHIBIT "A"
AGREEMENT
1. . 5% Limit on Rent Increase. The Owners agree to all terms of the .
ordinance approving this Agreement. Those.terms include, but are not limited to,.
the Owners' vol·untary agreement to suspend and forego any increase in rent in
excess of 5% of the rental rates in. effect on December 19, 2000. This
agreement shall remain in effect up to and including May 1, 2001; but may be
. terminated sooner by mutual agreement of the parties· if long term strategies or
other actions are identified and resolvec;t earlier. .
2. Develop Long Term Strategies For Preservation of the BVMHP. The
City and Owners agree that during the term of this Agreement they will cooperate
in good faith to pursue all reasonable strategies for long-term preservation of
BVMHPas· affordable housing. including but nQt limited to the following: .
A. Consideration of appropriate annual rent increases taking into
. account hardship adjustments for extraordinary expenses.
B. Developing housing expense subsidy programs such as the City's
Utilities Ratepayer Assistance Program, federal or state housing vouchers or
subsidies, and tax relief:
C. .Jointly reviewing City planning and zoning policies to develop
cooperative strategies that. would permit the owners> a fair return on their
investment while protecting all or part of the park for very low, low, and moderate
income residents.
D. Jointly considering the form and· contents of a mobilehome park
clqsure ordinance to imp.lement state law.
E. Facilitating the use of mediation programs for the private,
consensual resolution of future concerns that may arise between the Owners and
individual mobilehome owners. .
3. Assure Community Participation. The Owners ·and the City acting
through the Mayor shall cooperate to establish a special committee comprising
representatives of the City, the Owners, individual mobilehome owners, and
other community· representatives (such as the City's Human Relations
Commission and Project Sentinel) to address community needs and concerns
related to mediation and long term affordable housing preservation strategies.
OTHER TERMS
This Agreement is a legally binding contract between 'the City and the Owners. It
shall remain in effect until May 1, 2001, unless extended or terminated by mutual
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EXHIBIT "A"
I 'r-'.
.• 4
agreement. While ,it is intended to develop strategies that will affect other
______ persons, nQ other p-'erson or entity is inte~nded to be a third· party beneficiary or to
otherwise have any right of action or authority to enforce this Agreement. The
. parties further agree that any disputes arising under this Agreement will be
mediated before any other enforcement action is taken. The only other
enforcement action available to the parties will-be submission of the dispute to a
mutually acceptable arbitrator. Neither the City nor the Owners shall have any
right to damages for the performance of or failure to perform any action. The
backgroundinformatiori recited above is considered reliable by the parties but
shall not be deemed to admit any facts 'for any purpose other than performance
of this Agreement. The City may act.and be bound under this Agreement by its
City Manager with approval of its City Attorney. The Owners may act and be
, bound under this Agreement by Toufic or Joe Ji~ser. '
City of Palo Alto . . ~/~/~ Buena Vista Mobilehome Park
Mayo . .
A~ ~ ~. ~ .?A-
Cily Clerk . f} ~ -
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EXHIBIT "AfT