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
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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
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Page 1
No. 132
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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
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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.
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