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HomeMy WebLinkAbout1992-01-14 - AGENDA REPORTS - ORD REGARDING MH PARK CLOSURE (2)AGENDA REPORT City Manager A Item to be presentee by,}, 0 NEW BUSINESS DATE: January 14, 1991 SUBJECT: Ordinance regarding the closure of mobilehome parks DEPARTMENT: Community Development BACKGROUND: Mr. Donald Wilder, President of the Santa Clarita Mobile Home Council has submitted a letter to the City along with a draft ordinance which he feels is necessary to ensure the protection of mobilehome park residents in the event of park closures. Mr. Wilder proposes requirements for a "preliminary permit" application to allow for park closures which would include such items as an impact report and the appointment of a "Relocation Specialist" by the City Council to aide in the relocation process. The proposed process is similar to that of a conditional use permit and would be decided by the Planning Commission. Staff estimates that the processing of such a permit would require approximately 35 to 40 hours of staff time. ANALYSIS: State law already requires that, prior to the closure of a mobilehome park, the person or entity proposing the change in use must prepare an impact report addressing the availability of adequate replacement housing in mobilehome parks and the relocation costs incurred by residents. (This is typically done in conjunction with a request to subdivide the property.) The person proposing the change in use is required to notify residents of the proposed change in use and to provide a copy of the report to a resident of each mobilehome at least 15 days prior to the hearing on the impact report (66427.4). This information is reviewed by the Planning Commission which may require the applicant to mitigate any adverse impacts to park residents resulting from the closure. The ordinance submitted by Mr. Wilder proposes that, in addition to reimbursement for relocation costs, the entity proposing the change -in use provide a relocation incentive bonus ($3,500) for tenants who relocate their mobilehomes within 120 days of the commencement of the Plan However, pursuant to state law, the entity proposing the change can only be made responsible for the reasonable costs of relocation of each tenant to an alternative mobilehome park. Following all proceedings by the Planning Commission, residents may request a hearing (to be conducted by the City Council) on the sufficiency of the report (65863.7d). These are minimum standards for local regulation of conversions. The local agency may enact more stringent measures. To date, the City Attorney has not reviewed this ordinance. RECOMMENDATION 1. Receive staff report; 2. Take public testimony; and 3. Provide direction to staff. ATTACHMENT: Proposed ordinance and cover letter submitted by Mr. Wilder •� November 6, 1991 Mayor Carl Boyer and Members of the City Council 23920 Valencia Boulevard Suite 300 City of Santa Clarita, CA 91355 Dear Mayor Boyer and Council Members: On behalf of the Santa Clarita Mobile Home Council, I am submitting an ordinance to the City for consideration regarding the change of mobile home parks for other uses. We believe that this ordinance is necessary to ensure protection for the residents of mobile home parks in the event of park closures. We would appreciate your putting this on the City Council Agenda as soon as possible. , Sincerely yours, 0.YM3J L W.t� AIZV Donald Wilder President Santa Clarita Mobile Home Council DW:tp Enclosure ORDINANCE NO. 00-0 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, ADDING CHAPTER 00-00 TO THE SANTA CLARITA MUNICIPAL CODE REGULATING CONVERSION OF MOBILHOME PARKS TO OTHER USES. The Santa Clarita City Council, hereafter referred to as the City Council, does ordain as follows: SECTION 1: FINDINGS. The City Council hereby does find and declare that the following conditions and circumstances exist within the City of Santa Clarita, hereafter referred to as the City, and that they make necessary the regulations contained in this ordinance: A Within the City there are approximately 2,117 mobilehomes occupied for residential purposes in 17 mobilehome parks. B. There are few vacant spaces available for relocation to mobilehome parks within the City . Most mobilehome parks, when a space becomes vacant, will only entertain new mobilehomes or require that if an older mobilehome is moved into the park, it may = be resold within the park. G The City has established an enlightened and progressive rent stabilization ordinance which helps to hold down housing cost for families with fixed, low, or moderate incomes. D. Mobilehome park housing represents an important component of the few affordable housing options available within the City, especially for senior citizens and persons with low to moderate income. E. When one of the City's mobilehome park properties was converted to other uses, it took two years to relocate a few of the mobilehomes and satisfy the housing requirements of the rest of the tenants. F. Unless mitigation measures are undertaken such conversions of mobilehome parks would have a substantial adverse economic effect upon their occupants In terms of. cost of relocation, scarcity of similar housing within the City , and the significantly higher cost of other types of housing in the immediate area if such occupants cannot relocate to other mobitehome parks. G. It is the purpose of the City Council in enacting this ordinance to provide for uniform procedures and standards for the closure and relocation benefits in the case of such conversions and changes in use so that the owners and occupants of mobilehomes and owners of mobilehome parks understand their rights and responsibilities In such situations. The City Council will appoint a Relocation Specialist to aide in the decisions to be made. The Park Owner will pay for the Relocation Specialist's time. SECTION 2: Section 100.100 through 100.110 are hereby added to the City Ordinance to read as follows: "Section 100.100-- MOBILHOME PARK CLOSURES. Prior to conversion of a mobilehome park to another use, or prior to closure of a mobilehome park or Cessation of use of land as a mobilehome park, in whole or in part, a final permit must. be obtained pursuant to section 100.106 of this Code. "Section 100.101-- Notice to Residents. The park owner will give notice In accordance to the Civil Code of the proposed closure of the park. In addition, the Park Owner will notify all residents and coach owners in the affected park, and shall give notice to all potential residents. This Notification shall include the final date that the homeowner may occupy space in the park. "Section 100.102 --Preliminary Permit Application Requirements. A person or entity seeking to convert a mobilehome park to another use, or to close a mobilehome park or cease a use of land as a mobilehome park, in whole or in part, will apply for a preliminary permit to do so on forms provided by the City Planning Commission hereafter referred to as the Planning Commission. The application will be accompanied by payment of a filing fee in an amount as prescribed by City Council Resolution and will include a report on the impact of the proposed conversion, closure, or cessation of use upon the residents of the mobilehome park who would be displaced and a proposed relocation assistance plan, each of which will be prepared in accordance with the requirements hereinafter set forth. The application will not be accepted for filing unless accompanied by the required impact report and relocation assistance plan. The Preliminary Permit Application will include each of the following: A. CONCEPT PLAN. A written statement and concept plan indicating the use the park site is intended to accommodate, including the approximate number of proposed residential units, if any; approximate square footage and use of any buildings proposed; and the probable impacts/benefits to the community created by the proposed project. B. SITE PLAN. A site plan of the existing mobilehome park showing the existing layout, with all existing mobilehome spaces identified by number and indicating whether the space is currently occupied, and other site features. C. RESIDENTS LIST. A list of the names and addresses of all current residents of the mobilehome park. D. IMPACT REPORT. A report on the housing and financial impacts of the removal of the mobilehomes upon all displaced residents. The report will include, but not be limited to, the following items, except where the applicant can demonstrate that the necessary Information is not available: 1. Rental rate history for each space for the previous five (5) years. 2. Monthly vacancy rate for each month during the preceding two (2) years. 3. Makeup of existing resident households, including family size, length of residence, age of residents, estimated household income, and whether receiving Federal or State rent subsidies. 4. The date of manufacture and size of each mobilehome in the park. 5. An analysis of moving existing mobilehomes which will include, but not be limited to, the availability of other sites; the total costs of relocating mobilehomes to a new location in accordance with section 100.112 of this ordinance; and the feasibility of existing mobilehomes being accepted at other locations. E. RELOCATION ASSISTANCE PLAN. A proposed Relocation Assistance Plan will be prepared by or on behalf of the applicant which states all measures proposed by the applicant to mitigate any identifiable adverse impacts of the proposed closure or conversion of use on the residents of the mobile home park who would be displaced thereby. Every proposed Relocation Assistance Plan will provide, at a minimum. that displaced residents will be provided relocation benefits that relate to the Identified Impact Report. Relocation benefits must bear a relationship to the cost of displaced residents finding alternative housing and will be determined on a case by case basis. With regard to mobile homes which cannot be moved to another mobile home park, consideration will be given to the purchase of such mobile homes by the applicant at their appraised on-site value, as determined by a qualified, Independent appraiser, as approved by the City Council, utilizing principles applicable in relocation matters. The on-site value shall take Into account the value of the mobile home in the park as if the park were not being closed and the final purchase price shall at least cover liquidation of any outstanding liens or mortgages against the mobile home plus any equity accrued in the mobile home. The foregoing applies whether or not the mobile home owner resides in the unit. Persons who own mobile homes or who are tenants in the mobile home park at the time notice is given pursuant to Section 100.101 will be eligible for relocation assistance as determined in the fully approved Relocation Assistance Plan. Persons who become mobile home owners or tenants after the time notice is provided pursuant to Section 100.101, will be eligible for relocation assistance as -determined in the fusty approved Relocation Assistance Pian. F. PROOF OF SERVICE OF NOTICE. The applicant will provide evidence, by proof of service, that he/she has given the notice required by Section 100.101 to all applicable residents and coach owners, and continues to give such notice to all new potential residents. G. OTHER INFORMATION. The applicant will provide any other information which the City Planner reasonably believes is necessary for purposes of properly evaluating the preliminary permit request. The application will not be accepted as complete until and unless all materials required hereby have been submitted. The person or entity proposing the change in use must make a copy of the Impact Report and of the Relocation Assistance Plan available to each resident of the mobilehome park at least 45 days prior to the Planning Commission hearing on the preliminary permit application. H. FINAL RELOCATION AGREEMENT. The applicant will provide a completed written agreement signed by the mobile home owner or tenant spelling out the plan for relocation or buy-out of the mobile home persuant to the terms of this ordinance. "Section 100.103 -- bearing, A hearing will be held on the preliminary permit application before the Planning Commission. The Commission shall not approve a preliminary permit unless it finds that: (a) Conversion, closure, or cessation of use of the land as a mobilehome park will not be materially detrimental to the housing needs and public interest of the affected neighborhood and of the City as a whole; and (b) Measures to and adequately mitigate any adverse impact of the proposed conversion, closure, or cessation of use on the mobilehome park residents who will be displaced will be incorporated as conditions of the permit approval. If either the Impact Report or Relocation Assistance Plan are found to be Inadequate, insufficient, or incomplete, the preliminary permit may be denied without prejudice. If the applicant thereafter cures the deficiencies, the applicant may re -apply without payment of a new filing .fee. In passing on and approving any preliminary permit hereunder, reasonable conditions may be imposed to mitigate adverse impacts on mobilehome park residents who will be displaced, including, by way of example, but without limitation, relocation assistance requirements, phasing of the conversion, closure or cessation of use, bonding requirements, and any other requirements in the facts and circumstances of the particular permit request. _'Section 100.104 -- Notice of approval of Preliminary Permit. Written notices will be mailed to all residents in the mobilehome park within ten (10) days after the approval of a preliminary permit. Such notice will state all of the conditions of approval of the preliminary permit. The mobilehome park owner will pay the City's costs of doing said mailing. _'Section 100.105 -- Denial of Permit For Coercion. A permit will be denied where there is substantial or credible evidence that mobilehome park residents have been coerced to support or approve closure, proposed conversion of a mobilehome park to another use, or cessation of the use of the land as a mobilehome park, or to refrain from opposing the same, or to forego any assistance to which they might be entitled. It will be against public policy to avert the provisions of sections 100.100 through 100.109, or any of them, by coercing the waiver of any rights or privileges created or protected thereby. Any provision of a lease or agreement which purports directly or Indirectly to waive or require waiver of a resident's rights under said sections or which requires prior consent to the conversion, closure, or cessation of use of land as a mobilehome park shall be null and void. "Section 100.106 -- Finalep rmit. When the conditions of a preliminary permit have been fulfilled or that performance and/or compliance has been sufficiently guaranteed in a manner acceptable to the City Council or as specified in the preliminary permit, application may be submitted to the Planning Division for a final permit. A public hearing shall be held before the Planning Commission. If it is found that the conditions of the preliminary permit have been fulfilled or that performance and/or compliance has been guaranteed in a manner acceptable to the City Council or as specified in the preliminary permit, a final permit shall be approved. If all requirements have not been satisfactorily met, the final permit shall be denied. "Section 100.107 — Appeals, Any interested or aggrieved person shall have the right to appeal a decision of the Planning Commission on a preliminary permit or final permit request to the City Council by paying the appeal fee established by the City Council resolution and filing a notice of appeal with the City Clerk within ten (10) days of the date of the Planning Commission's action. "Section 100.108 -- Duration of Permit. The final permit granted pursuant to this Section 100.106 shall be valid for a period of one (1) year after approval by the Planning Commission or City or City Council on appeal, except that if such one year period terminates prior to the proposed closing final occupancy date given in section 100.101, the permit shall remain valid until such notice date. Any and all rights to close a park pursuant to such a permit shall lapse at the expiration of the permit. The City Council may, for good cause shown, grant an extension to the final permit. Unless an extension is granted by the City Council to delay the closure, the permit shall lapse. _'Section 100.109 — Effect on Existing Conditional Use Permits. The requirements of sections 100.100 through 100.109 will apply to all existing mobilehome parks within the City, regardless of any time limitations that may exist with respect to the term of any conditional use permit issued for any mobilehome park. "Section 100.110 - Relocation of mobilehomes. The relocation of mobilehomes will be to sites within the City limits. The purpose of this ordinance is to protect the mobile home owner from loss including loss of rent stabilization afforded by the City. Therefore, if a site outside of the city is otherwise agreeable to the moble home owner, the park applicant will include a plan for stabilizing rent increases in accordance with City ordinance. "Section 100.111 — Rental Rate: During the terms of the plan as set forth the rental rate currently in effect for the rental of spaces in the Park will remain constant and will not be Increased or decreased. _'Section 100.112 -- Relocation Benefits. Relocation assistance will consist of the following benefits for the persons designated to be eligible for them: A. Moving costs: The Park Owner will pay all the reasonable cost of the following items. 1. Moving preparation and "take down" charges incidental to preparation of the mobilehome for moving. Towing, mileage and insurance charges for movement of the mobilehome to within a two (200)hundred mile radius. 3. Setup charges as necessary to install the mobilehome in the new location, including replacement or reconstruction of blocks, skirting, ship lap siding, porches, decks, awnings, sheds; fences, earth quack bracing and any other items that area part of the home site. 4. The Park Owner shall pay for packing, moving and storage of all Tenant's household articles and other personal property. The jenant may elect to move household and personal items and the Tenant will refive $1000.00 from the owner. 5. In the instances in which the Tenant is unable to occupy the mobilehome due to activitys or events which occur because of the move, such as inspection requirements or matters beyond the Tenants reasonable control, the Park Owner will pay the reasonable costs of lodging, meals and kennel fees for pets, or any other accured expenses. 6. In the event that the basic monthly park rental at the new location exceeds the basic monthly rental in the park, the Park Owner.will pay the excess for a period of seven (7) years. The Park Owner shall pay for all utility hook-up charges, including cable, phone and water filtration and any required deposits. 7. The owner shall replace any damage done to the mobilehome In the move and give a written home protection plan for five (5) years on the mobilehome against any roof leakage, re -leveling or other damage caused by the move. 8. In the event the mobilehome is destroyed or heavily damaged in the period of relocation, the Park Owner will be liable to replace it with a current year comparable home. 9. Each Tenant shall receive an adjustment allowance of $7,000.00 for single -residents and $10,000.00 for multi -residents. 10. The Park Owner will make all payments, by certified check, payable to the registered owner of the mobilehome. 11. Payment of the moving costs, permits and other expenses, hook-ups, deposits, and other household and other moving expenses will be placed in an escrow account, on the date that the Tenant's mobilehome is removed from the park. 12. Payment of the moving costs, permits and other expenses, hook-ups, deposits, and other household expenses will be placed in an escrow account, on the last business date that the Tenant's mobilehome is removed from the park Section 100.113 -- Park Owner'c P ur hac . of Mobil _hom This plan recognizes that there are some mobilehomes for which relocation is not a solution because of such factors as the age and condition of the mobilehome. The plan also recognizes that some Tenants are unable or unwilling to relocate their mobilehomes because of the unavailability of park spaces within a limited commuting distance, the unavailability of parks which will accept children or pets, and certain Tenants individual desire to continue to reside in the City. It recognized that there will be situations in which relocation of the Tenant's mobilehome is not a workable solution, but that the Tenant could achieve satisfactory relocation if the Tenant could sell its mobilehome for its Fair Market Value. A. Determination of Whether or Not Park Owner Shall P ur hac • Within thirty (30) days of commencement of the Plan the Relocation Specialist will meet with each Tenant for the purpose making a determination as to whether or not relocation may be achieved based upon the age and condition of the mobilehome. 1. In those instances in which the Relocation Specialist determines that the mobilehome may not be relocated to a comparable mobilehome park, the Park Owner will make an offer to purchase the mobilehome at On -Site Value. 2. In those instances where the Relocation Specialist determines that the mobilehome could be relocated subject to availability of other park spaces, the Relocation Specialist will consult with the Tenant on an on-going basis, in a continuing attempt to effect relocation. 3. Sixty (60) days after commencement of the Plan the Relocation Specialist will again meet with each remaining Tenant specifically to review relocation alternatives. B. Determination of Purchase Price: Once it has been determined that an offer to purchase a Tenant's mobilehome under the provisions of Section 100.113 (A) of this Plan, the Park Owner, at Park Owner's cost, will order an appraisal of value of the Tenant's mobilehome from an appraisal service to be designated by the City Council. The appraisal service will be requested to make a written appraisal of the On -Site Value of Tenant's mobilehome and determine the On -Site Value as a price that would reasonably be expected to be paid by a willing buyer to a willing seller taking into consideration the age and condition of the mobilehome and shall value the mobilehome as though it was located in a comparable park not subject to closure. 125% of the On -Site Value as so determined by the appraisal service shall be the price at which the Park Owner will offer to purchase the mobilehome. The Park Owner will advise the Tenant of the purchase price as so determined and will provide a copy of the appraisal to the Tenant. 2. In the event the on-site value falls below the mortgage owed the Park Owner shall offer 125% of mortgage plus equity. C. Purchase Transaction: Upon a Tenant's acceptance of the Park Owner's offer to purchase, the.Park Owner shall cause an escrow to be opened. The Park Owner will provide instructions to the Escrow Department to preform a title examination to assure that the Park Owner's purchase shall be free and clear of any liens against the mobilehome. The Park Owner will pay the escrow fee, title search and transfer costs, and applicable sales tax. The Park Owner will provide funds to the escrow to pay the purchase price within five (5) business days of the Tenants written acceptance of Park Owner's offer to purchase the mobilehome. The Escrow Department will be instructed to close the escrow and pay the purchase price, less any lien or other charges against the mobilehome, as soon thereafter as title free and clear of liens can be delivered to Park Owner and the Relocation Specialist has verified and notified the Escrow Department that.the Tenant has vacated the mobilehome and left the mobilehome and park space in a reasonably clean condition. D. Adiustment Allowance and Moving Allowance: The Park Owner agrees that In addition to the purchase price it shall pay to the Tenant an Adjustment Allowance as in accordance with Section 100.112, A.(10) of the Plan. The Park Owner further agrees that it shall pay to Tenant a moving allowance. The Park Owner will pay the Adjustment Allowance and the Moving Allowance to the Tenant by cashiers check given at the time the Tenant delivers to Park Owner the Tenant's written acceptance of the Park Owner's offer to purchase the mobilehome. No other fee or allowance shall be due from or paid by Park Owner. "Section 100.114 -- Incentive Relocation Bonus: In those instances where a Tenant consummates arrangements to relocate its mobilehome to another mobilehome park and effects removal from the Park within one hundred twenty (120) days of the commencement of the Plan, the Park Owner will pay such Tenant a $3500.00 bonus. The Park Owner will also pay all the relocation benefits in section 100.112. "Section 100.115 --Tenant's Safe of Mobilehome to Purchaser Other Than Park Owner- In wn _r:In the event that the Tenant consummates the sale of its mobilehome to someone other than the Park Owner and causes the mobilehome to be removed from the Park within the Term of this Relocation Plan, the Park Owner shall pay the Tenant the Household and other Moving Expense Allowance and the Adjustment Allowance in the same dollar amount as would be paid Tenant had Tenant relocated its own mobilehome consistent with Section 100.114 of this Plan. Payment will be made to Tenant on the day upon which the mobilehome is removed from the Park. The Tenant will be responsible for leaving the Park mobilehome space in a reasonably clean condition and Tenant shall waive all claim to personal property not removed from the Park on the date that Tenants mobilehome is removed from the Park. In the event that Tenant sells its mobilehome to a purchaser other than Park Owner, the only obligation of the Park Owner to the Tenant shall be payment of.the Household and other Moving .Expense and Adjustment Allowance, and the Park Owner shall have no obligation to the purchaser. The Purchaser shall be responsible for all costs of relocating the mobilehome from the Park and must remove it within thirty (30) days of purchase. Summary: This Plan includes provisions to provide consultation and financial assistance. to Tenants who effect relocation of their mobilehome, who sell their mobilehome to someone other than the Park Owner, or who qualify to have the Park Owner purchase their mobilehome. The Park Owner will provide assistance to all Tenants who are willing to cooperate in good faith to achieve relocation under the Plan. This Plan formalizes the financial and other assistance that Park Owner agrees to provide to Tenants in order that each Tenant may more specifically consider the alternatives available and cooperate with the Relocation Specialist to achieve satisfactory placement. The Relocation Specialist's objective will be to resolve the most satisfactory relocation of each Tenant within the spirit and intent of the Plan. It is believed that this Plan which incorporates the provision of professional relocation services with financial assistance provided by Park Owner will enable satisfactory placement of all Tenants who are willing to cooperate and realistically consider the suggestions, alternatives and relocation possibilities as will be presented to each Tenant by the Relocation Specialist. The Home Owner reserves the right to offer and make available alternate or supplemental assistance in those instances where the particular circumstances of a Tenant's relocation may warrant that the mitigation measures included in this plan be revised in order to make the particular tenant's relocation possible. Any such alternative will be made available only after Park Owner has been advised of the full particulars of the situation by the Relocation Specialist and the Relocation Specialist advises the Park Owner that the particular Tenant has cooperated in good faith to achieve relocation in accordance with this Plan. The dollar figures are based on 1991 dollar values, and will be adjusted annually to reflect current dollar values.