Loading...
HomeMy WebLinkAbout1991-04-23 - AGENDA REPORTS - LEGISLATION (2)CONSENT CALENDAR DATE: April 23, 1991 SUBJECT: Legislation DEPARTMENT: City Manager BACKGROUND AGENDA REPORT City Manager.Approval \ Item to be presented by: Michael P. Murphy At the .April 9, 1991, City Council meeting, three pieces of legislation, two state and one federal, were identified as possibly having., an impact on the City's ability to enact certain forms of mobilehome park space rental agreement control ordinances. The two pending state bills, Senate Bill 132 and Senate Bill 360, delineate the state's preemption of local ordinances in this subject area. The federal legislation was only identified by number (1158) without reference to Congressional house of origin or session. The City Attorney's Office has determined that this citation is not relevant to the current session. It appears to relate to existing statutes on discrimination in residential sale or rental housing transactions. Support both Senate Bill 132 and Senate Bill 360 and transmit letters of support to the Bills' authors, Santa Clarita's legislative delegation, appropriate legislative committees, Governor Wilson, and the League of California Cities. ATTACHMENTS Senate Bill 132 Senate Bill 360 MPM/spk 2318 1111 P11 MIM� CITY OF SANTA CLARITA I N T E R O F F I C E M E M O R A N D U M TO: Mayor and City Council FROM: Michael P. Murphy, Intergovernmental Relations Officer MP( DATE: April 23, 1991 SUBJECT: Senate Bill 132 Backaround: In 1985, mobilehome park tenant and mobilehome park owner organizations in California collectively arrived at a compromise which stated in essence, that if there exists a long term rental agreement between mobilehome park tenants and owners, then an exemption from local mobilehome park rent control ordinances is created. Almost immediately after enactment of this state legislation, reports began to circulate of possible coercion of tenants by park owners in an effort to meet state exemption mandates. Subsequent legislation in this subject area established a number of corrective changes including a 72 hour "cooling off" period. Tenants could also have 30 days to review leases from the date first presented. While state law provided either long term (over 12 months) lease or short term (12 months or less) rental options to existing mobilehome park tenants, the law was silent on the status of prospective tenants. The majority of mobilehome park owners throughout the statetook the approach that prospective tenants need only be offered long term leases and were not entitled to theshortterm rental options afforded existing residents. In 1990, in an effort to more clearly delineate the xights of prospective tenants, the Legislature enacted Senate Bill 2009, Chapter 1406, Statutes of 1990. An inadvertent outcome of.the state legislation was to pre-empt the ordinances of at least fifteen local jurisdictions which had previously enacted ordinances specifically addressing the rights of prospective tenants. Senate Bill 132 (Craven) would repeal SB 2009 and reverse SB 2009's unintended effects. Enactment.of.this measure would note the Legislature's intent not to pre-empt local control measures relating to the rental of park spaces to new tenants. Those code sections in place prior to the effective date of SB 2009 remain unchanged. Senate Bill 132 is an urgency ordinance and would, if enacted, become effective upon the Governors's approval or May 10, 1991 whichever date is later. Local Impact• Passage of SB 132 would impact the City of Santa Clarita in that state law would no longer pre-empt the City from passing an ordinance specifically outlining the rights of prospective mobilehome tenants. The City Council could, if desired, enact an ordinance affording prospective tenants the same rights as existing tenants with respect to lease term offerings. Long term leases would still be permitted but must be voluntarily agreed to by both park owner and tenant in keeping with the intended spirit of Santa Clarita Ordinance 90-38. Recommendation: Support SB 132 and transmit letters of support to Senator Craven, Santa Clarita's legislative delegation, Governor Wilson, the League of California Cities. MPM/nr 157 CA SB 132 Amended 04/10/91 AMENDED IN ASSEMBLY APRIL 9, 1991 AMENDED IN SENATE MARCH 7, 1991 AMENDED IN SENATE FEBRUARY 28, 1991 AMENDED IN SENATE FEBRUARY 20, 1991 SENATE BILL v vavvv va vvaavaavvvvv. saaa Page 1 No. 132 aasaaa aavvaavaaavaaavaavaaavvaaavv Introduced by Senators Craven, Alquist, Ayala, Calderon, Cecil Green, Killea, McCorquodale, Mello, Presley, Roberti, and Thompson (Coauthorss Assembly Members Clute, Cortese, [A> Eastin, <A] Eaves, Elder, Farr, Gotch, Hansen, Hauser, Hunter, O'Connell, Peace, Sher, and Woodruff) December 21, 1990 av vavaaavavvaavavvavaavvaaavaavaanaavvvvvvvvavaaaaaavvaaavav aaavvaaavaaaaaaavaa An act to amend Section 798.17 of the Civil Code, relating to mobilehome parks, and declaring the urgency thereof, to take effect immediately. LEGISLATIVE COUNSEL'S DIGEST SB 132, as amended, Craven. Mobilehome parks: rental agreements and rent control. Existing law authorizes a dobilehome park to require a prospective tenant, as a condition of tenancy in the park, to accept a rental agreement for a term -longer than 12 months and which meets, other prescribed criteria for making the agreement exempt from local rent controls. Existing law, however, gives existing tenants•in a mobilehome park an option to reject such a rental agreement and instead accept a rental agreement for 12 months or less that is not exempt from local rent controls. This bill would delete the above described authorization andthus the distinction between existing and prospective tenants with respect to rental agreements exempt from rent controls. [A> The bill's changes would become operative on the later of May 10, 1991, or the.bill's ,effective date. <A] The bill would declare that it is to go into effect immediately as an urgency statute. Votes 2/3. Appropriation: no. Fiscal committees no. State -mandated local program: no. CA SB 132 04/10/91 Page 2 The people of the State of California do enact as follows: SECTION 1. Section 798.17 of the Civil Code is amended to read: 798.17. (a) Rental agreements meeting the criteria of subdivision (b) shall be exempt from any ordinance, rule, regulation, or initiative measure adopted by any local governmental entity which establishes a maximum amount that a landlord may charge a tenant for rent. The terms of such a rental agreement shall prevail over conflicting provisions of such an ordinance, rule, regulation, or initiative measure limiting or restricting rents in mobilehome parks only during the term of the rental agreement or one or more uninterrupted, continuous extensions thereof. If the rental agreement is not extended and no new rental agreement in excess of 12 months' duration is entered into, then the last rental rate charged for the.space under the previous rental agreement shall be the base rent for purposes of applicable provisions of law concerning rent regulation, if any. The first paragraph of a rental agreement entered into pursuant to this section shall contain a provision notifying the homeowner that the rental.agreement will be exempt from any ordinance, rule, regulation, or initiative measure adopted by any local governmental entity which establishes a maximum amount that a landlord may charge a tenant for rent. (b) Rental agreements subject to this section shall meet all of the following criteria: (1) The rental agreement shall be in excess of 12 months' duration. (2) The rental agreement shall be entered into between the management and a homeowner for the personal and actual residence bf the homeowner. (3) The homeowner shal-1 have at least 30 days from the date the rental agreement is first offered to the homeowner to accept or reject the rental agreement. (4) The homeowner who.executes a rental agreement offered pursuant to this section may void the rental agreement bynoti€ying management in writing within 72 hours.of the homeowner's execution of the rental agreement. (c) The homeowner shall have the option to reject the offered rental agreement and instead accept a rental agreement for a term of 12 months or less from the date the offered rental agreement begins. In the event the homeowner elects to have a rental agreement for a term of 12 months or less, including a month-to-month rental agreement, the rental agreement shall contain the same "rental charges" terms and conditions as the offered rental agreement during the first 12 months, except for options contained in the offered rental agreementto extend or renew the rental agreement. (d) Nothing in subdivision (c) shall be construed to prohibit management from offering gifts of value, other than rental rate reductions, to homeowners who execute a rental agreement pursuant to CA SB 132 04/10/91 Page 3 this section. (e) With respect to any space in a mobilehome park which is exempt under subdivision (a) from any ordinance, rule, regulation, or initiative measure adopted by any local governmental entity that establishes a maximum amount that a landlord may charge a tenant for rent, the mobilehome park shall be exempt from any fee or other exaction imposed pursuant to such an ordinance, rule, regulation, or initiative measure or imposed for the purpose of defraying the cost of administration thereof. (f) This section does not apply to or supersede other provisions of this part or other state law. SEC. 2. [A> The amendments to Section 798.17 of the Civil Code set forth in Section 1 of this act shall become operative on May 10, 1991, or the effective date of this act, whichever is later. <A] [A> SEC. 3. <A] This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety.within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity aree Due to the inadvertent preemption of local ordinances by Chapter 1046 of the Statutes of 1990, it is the intent of, the Legislature to repeal the changes made by Chapter 1046 of the Statutes of 1990 and to reinstate the state law as :it existed on December 31, 1990. It is therefore necessary that this act take effect immediately. END OF REPORT CITY OF SANTA CLARITA I N T E R O F F I C E M E M O R A N D U M TO: Mayor and City Council FROM: Michael P. Murphy, Intergovernmental Relations Officer M`l DATE: April 16, 1991 SUBJECT: Senate Bill 360 Backaround: Prior to legislation enacted in 1985 relative to mobilehome park rental agreements, state law only addressed two major areas of this subject. These two areas required: (1) a 60 -day written notice requirement for rent increases; and (2) leases could be no longer than twelve months in duration. Subsequent state legislation, among other provisions, authorized long term lease (beyond twelve months) exemptions, drew distinctions between existing tenants and prospective tenants, and pre-empted local ordinances in certain situations applicable to local establishment of mobilehome rental agreement rent maximum levels. SB 360 would repeal Civil Code Section 798.17 in its entirety. This code section currently allows exemptions from local mobilehome rent control ordinances thus creating state preemption in this subject area. The practical effect of enacting SB 360 is to eliminate most exemptions from local mobilehome rent control measures. State law would continue to allow "new construction" to be exemptfromlocal rent control ordinances which establish a maximum amount that landlords may charge a tenant for rent. "New construction" means any newly constructed spaces initially held out for rent after January 1, 1990. Local Impact• The Santa Clarita City Council enacted Ordinance 90-38 which specifies local manufactured home park . rent adjustment procedures within the confines presently allowed by state law. Enactment of SB 360 would return to local jurisdictions the ability to pass ordinances fully regulating mobilehome park rental agreements with the exception of "new construction" exemptions. Page 2 The Council could, if desired, amend the existing ordinance to address those subject areas previously retained by the state for legislative authority. Recommendation: Support SB 360 and transmit letters of support to the Bills' authors, Senator Leroy Greene, Santa Clarita's legislative delegation, appropriate legislative committees and the League of California Cities. MPM/spk 2319 CA SB 360 Introduced SENATE BILL 04/10/91 Page 1 No. 360 ......................................................... a ............00.0 ..... Introduced by Senator Leroy Greene (Principal coauthor: Assembly Member Hauser) (Coauthors: Senators Ayala, Calderon, Dills, Killea, Marks, McCorquodale, Presley, and Roberti) (Coauthors: Assembly Members Alpert, Cannella, Clute; Cortese, Hunter, and Umberg) February 14, 1991 ............................................................................... An act to repeal Section 798.17 of the Civil.Code, relating to mobilehome parks. LEGISLATIVE COUNSEL'S DIGEST SB 360, as introduced, L. Greene. Hobilehome parks: rent control. Under existing law, a mobilehome park space rental agreement meeting specified criteria is exempt from local rent controls. This bill .would repeal that provision. Votes majority. Appropriations no.. Fiscal committee: no. State -mandated local programs no. The people of the State of California do enact as follows SECTION 1. Section 798.17 of the Civil Code is repealed. not xten A*d ad, no new rointal agreement inemeess -f 12 nth5' duratien iLata then the last vent&! rate ah arq_ __—€er spaes under tha psevi-ams rent -1 aicjreenisat shall be the 1—se vent purposes .,a _=p, i _a.,, aT-_. I aI _ 04 law eeneern#ng rent regulation, any: so I #Q� f -