1978 REG MTG MIN MAR 21 - Laserfiche WebLink

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42 Mr. Calabrese also outlined current legislation on this issue, Assembly Bill 450 that would establish rent stabilization controls for mobile home parks, which has passed out of the Assembly and is being heard in committee of the Senate; and Assembly Bill 2820, introduced March 13, which proposes to estab- lish owner -tenant commissions for mobile home parks patterned after those presently existing in Florida. Mr. Thomas Lee, resident of the Lake Cadena Mobile Home Park, stated that he and other residents of Lake Cadena Mobile Home Park are requesting that the City Council establish an ordinance on rent stabilization and/or commission to control the continuation of exceedingly high and unjust rental increases being imposed by property owners of mobile home parks. Mr. Lee explained that the residents at Lake Cadena are not opposed to a fair or justified rent increase, they realize and understand that the property owner of the park should realize some profit from his investment; however, the residents are opposed to the unreasonably high percentage of rent increases, and they have been notified they will now be faced with another increase ef- fective May 1. Mr. Lee stated that the owner of Lake Cadena is overcrowding the park with mobile homes, and placing double -wide trailers in spaces to be used by single -wide trailers, which creates an almost impossible condition for any kind of landscaping, porches, parking, etc. Mr. Lee presented figures and percentages of rental increases over the past few years, stating that in one instance a tenant's rent was increased from $75. per month to $132. per month, over a period of two years. Mr. Lee said the residents have no protection or laws to prevent these constant rent in- creases, and advised he has a petition containing approximately 260 signatures of the residents at Lake Cadena, opposing the continuation of this situation. Mr. Ed Traffinger stated that he is an owner/operator of mobile home parks in this area and the Los Angeles area, and their annual rent increases average approximately seven percent over the last seven years, with an average fee for rental space of $74. per month. Mr. Traffinger said in listening to the comments made this evening, there is something wrong in this particular case and these residents are not getting a fair shake. Councilman Rehrer stated he felt this matter should be referred back to Staff for review, however, he also wanted legal counsel's advice on this issue. Councilman Hayes stated he concurred with Councilman Rehrer, and also recom- mended that the Planning and Engineering Departments make studies and pro- vide reports for Council's review. Mayor Gonzales stated he was also in agreement with Council Members, and recommended that Staff prepare a draft ordinance for the Council's review and consideration. City Attorney Edwards stated under existing law, the City may act in the area of rent control, depending on certain facts existing and on the scope and manner of the control; however, such controls are usually tested in court and more often than not, they fail to stand up due to technical shortcomings. Mr. Edwards said if the City Council wishes to venture into this, a general decision may be made to that effect, but implementation requires referral to Staff. Mr. Edwards advised the State Legislature is now acting on AB 450, and if it becomes law, it may pre-empt the field which will invalidate local regu- lation. Mr. Edwards continued proponents of such controls have the option of the initiative process and they can take the issue to an election; Council action, then, is not required. Mr. Edwards concluded the people directly decide the policy issue involved - whether rent control prolongs the very condition that gave it birth. MAR 21.1978 .