Chapter 9.84
CONVERSION OF MOBILEHOME PARKS TO RESIDENT OWNERSHIP

Sections:

9.84.010    Applicability.

9.84.015    Definitions.

9.84.020    Disclosure and notification requirements.

9.84.025    Notification to existing residents.

9.84.030    Contents of application.

9.84.035    Tenant impact report.

9.84.040    Tentative map requirements.

9.84.045    Application for the conversion of a mobilehome park to resident ownership.

9.84.050    Criteria for approval of a conversion application.

9.84.055    Criteria for determining whether a proposed conversion is bona fide resident conversion.

9.84.060    Waiver of tentative and parcel map requirement.

9.84.065    Administration fee.

9.84.010  Applicability.

This section shall apply to all applications for the conversion of a mobilehome park to resident ownership as defined in SMC 9.82.015. This section shall not apply to applications involving the redevelopment, closure or conversion of a mobilehome park as defined in SMC 9.82.015  . The provisions of Chapter 9.82 SMC shall apply only as set forth herein. (Ord. 08-2008 § 1, 2008).

9.84.015  Definitions.

Definitions used to interpret terms in this chapter shall be as set forth in SMC 9.82.015, as applicable unless otherwise set forth herein. (Ord. 08-2008 § 1, 2008).

9.84.020  Disclosure and notification requirements.

When an application has been made to the city for the conversion of a mobilehome park to resident ownership, the city shall inform the applicant, in writing, of local regulations regarding notifications to residents within the affected park, as well as the notification requirements set forth in Section 798.56 of the Civil Code. Disclosure of notice requirements by the city shall be made at least 30 days prior to any hearing on the application required by SMC 9.84.050. No hearing on the application shall be held or any other action on the application taken until the applicant has submitted written verification that the applicant has provided residents with all required notices. (Ord. 08-2008 § 1, 2008).

9.84.025  Notification to existing residents.

The following resident notifications are required:

A. Notice of Filing of Application. The applicant shall carry out the notice requirements set forth in Government Code Section 66427.1. The applicant shall provide written verification to the city documenting that these requirements have been met.

B. Notice of All Reports. The applicant shall provide a copy of the report required by Government Code Section 66427.5(b) and this chapter to the resident(s) of each mobilehome lot within the affected mobilehome park. Such notice shall be provided within 15 days after completion of the report, but in no case later than 30 days prior to the public hearing on the application. The applicant shall also provide a copy of the report to any new or prospective residents.

C. Exclusive Right to Purchase. At the time of filing the application, the applicant shall provide the homeowner(s) of each mobilehome lot written notice of the exclusive right to purchase as set forth in SMC 9.84.045(C).

D. Right to Continue Residency as a Tenant. At the time of filing the application, the applicant shall provide the resident(s) of each mobilehome lot written notice of the “right to continue residency as a tenant” in the mobilehome park as required by Government Code Section 66427.5(a) and the right to enter into a lifetime lease agreement as set forth in SMC 9.84.045(D).

1. “Right to Continue Residency as a Tenant.” As used in this section and SMC 9.84.045(D), and consistent with Government Code Section 66427.5(a), the “right to continue residency as a tenant” shall refer to the right of a homeowner to continue to lease or rent a mobilehome lot in the mobilehome park for the purpose of maintaining a mobilehome thereon, regardless of whether the homeowner(s) rent or lease the mobilehome to a tenant(s) as defined in SMC 9.82.010.

E. Notice to New Residents. After an application for a conversion of a mobilehome park to resident ownership has been filed with the city, the applicant shall advise each prospective resident who thereafter proposes to occupy a mobilehome lot within the mobilehome park, in writing, that such application has been filed. Notice shall be provided prior to the execution of a rental agreement or commencement of such occupancy, whichever occurs first. The applicant shall also provide a copy of the tenant impact report to any new or prospective residents. (Ord. 08-2008 § 1, 2008).

9.84.030  Contents of application.

An application for a subdivision map involving a conversion of a mobilehome park to resident ownership shall include:

A. A “survey of resident support” conducted in compliance with Government Code Section 66427.5. The applicant shall submit the completed survey and ballots as part of the application. In the event more than one homeowner’s association purports to represent the homeowners in the mobilehome park, the agreement required by Section 66427.5 shall be with the resident homeowner’s association which represents the greatest number of mobilehome lots in the park.

B. A “tenant impact report” setting forth the impact of the conversion on residents of the mobilehome park. The tenant impact report shall, at a minimum, include all of the information required by SMC 9.84.035.

C. The most recent “Title 25 report” conducted on site by a qualified inspector demonstrating compliance with Title 25 of the California Code of Regulations and documentation and/or proof of remediation of any Title 25 violations, whether created by the applicant or previously received from the California Department of Housing and Community Development (“HCD”).

D. A “tentative map” containing all the information required in a tentative map for any subdivision subject to the provisions of SMC 9.84.040.

E. Written verification from the applicant to the city documenting that the requirements of Government Code Section 66427.5 and this section have been met. (Ord. 08-2008 § 1, 2008).

9.84.035  Tenant impact report.

A. The tenant impact report shall, at a minimum, include all of the following:

1. Identification of the number of mobilehome lots in the mobilehome park and the rental rate history for each mobilehome lot over the two years prior to the filing of the application;

2. For nonpurchasing homeowners who are not low income under Government Code Section 66427.5(F)(1), identification of the anticipated method and anticipated timetable for determining the rents for the mobilehome lot occupied by such homeowners pursuant to Government Code Section 66427.5(F)(1), and to the extent available, identification of the number of mobilehome lots likely to be subject to these provisions;

3. For nonpurchasing homeowners who are low income under Government Code section 66427.5(F)(2), identification of the anticipated method and anticipated timetable for determining the rents for the mobilehome lot occupied by such homeowners pursuant to Government Code Section 66427.5(F)(2), and to the extent available, identification of the number of mobilehome lots likely to be subject to these provisions;

4. If the useful life of any common facilities or infrastructure is less than 30 years, a study estimating the cost of replacing such facilities over their remaining useful life, and the applicant’s plan, if any, to provide funding for same;

5. An estimate of the annual overhead and operating cost of maintaining the mobilehome park, its common areas and landscaping, including replacement costs as necessary, over the next 30 years and the applicant’s plan, if any, to provide funding for the same;

6. The name and address of each resident, household size and length of time at address;

7. An estimate of the number of residents who are seniors or disabled. An explanation of how the estimate was derived must be included;

8. An estimate of the number of mobilehomes that are homeowner-occupied and the number that are occupied by a tenant(s). For rented mobilehomes, the nature of the tenancy (for instance, by lease or month-to-month) and identity of the leasor;

9. The age of each mobilehome; whether it is a single, double, or triple; and the nature of all site improvements made to the mobilehome lot by the homeowner which are known or reasonably known to the applicant;

10. A survey of existing mobilehome parks, separately listing those within the city and those within a 50-mile radius of the mobilehome park, indicating the availability of vacant mobilehome lots and whether or not the mobilehome park will accept relocating mobilehomes, an estimate of the cost of relocation to mobilehome parks with vacancies, the monthly rent payable in the mobilehome parks, the amenities offered, and any restrictions on the type or age of the mobilehomes that may occupy the mobilehome lot.

B. Except as required by state law, the city’s planning director shall have the authority to waive any of the requirements for the tenant impact report set forth in subsection A of this section upon determination that the information is not relevant to a particular application under consideration. (Ord. 08-2008 § 1, 2008).

9.84.040  Tentative map requirements.

The tentative map shall contain all the information required on a tentative map for any subdivision, subject to the following alterations and additions:

A. In lieu of the contour lines normally required on a tentative map, sufficient elevations of the existing ground so that average slope of the ground can be determined at a minimum of two-foot intervals where the slope is less than 50 percent, and 10-foot intervals where the slope is greater than 50 percent.

B. Locations of existing buildings, whether temporary or permanent, swimming pools, recreational areas, mobilehomes and structures appurtenant to those mobilehomes.

C. The boundaries of each individual mobilehome lot.

D. The location of utility pads serving each mobilehome lot.

E. Existing storm drain lines, sanitary sewer and mains, sanitary laterals, water mains, gas mains, underground electric facilities and other underground structures or facilities within the boundaries of the tract and any extension of those facilities beyond the tract boundaries necessary to provide service to the subdivision.

F. Additional information as required by the city’s planning director so that an accurate evaluation of existing and any proposed facilities can be made. The planning director may approve a map prepared from an aerial photograph where, in the opinion of the planning director, sufficient ground measurements are available to evaluate existing facilities. (Ord. 08-2008 § 1, 2008).

9.84.045  Application for the conversion of a mobilehome park to resident ownership.

The conversion of a mobilehome park to resident ownership shall be regulated as set forth in this section. Additionally, the applicable requirements associated with review of a subdivision map application set forth in SMC Title 19 shall apply.

A. Time Limit on Decision. Once a complete application for the conversion of a mobilehome park to resident ownership has been filed, the city council shall approve or disapprove the application within 120 days.

B. Avoidance of Economic Displacement. If the application is approved, the applicant shall in all cases avoid the economic displacement of non-purchasing or nonparticipating homeowners by implementing the offer and avoidance of economic displacement requirements set forth in Government Code Section 66427.5.

C. Tenant Right to Purchase. The applicant shall offer each homeowner the right to purchase the mobilehome lot currently occupied by the homeowner’s mobilehome at the same or more favorable terms and conditions than those on which the mobilehome lot shall initially be offered to the general public. The right shall run for a period of 90 days from the issuance of the subdivision public report by the California Department of Real Estate pursuant to California Business and Professions Code, Section 11018.2, unless the applicant received prior written notice of the homeowner’s intent not to exercise the right. The applicant shall provide written verification to the city documenting that these requirements have been met.

D. Lifetime Leases. The applicant shall offer each homeowner, who elects not to purchase or relocate, a lifetime lease for the mobilehome lot currently occupied by the homeowner’s mobilehome. The right to enter into the lifetime lease shall expire no earlier than 180 days after the issuance of the subdivision public report by the California Department of Real Estate pursuant to California Business and Professions Code, Section 11018.2, unless the applicant received prior written notice of the homeowner’s intent not to exercise the right. Lifetime leases shall include the following conditions:

1. The homeowner cannot be evicted except pursuant to Article 6 of the California Civil Code (commencing at Section 798.55 et seq.).

2. The rent adjustments permitted by Government Code Sections 66427.5(F)(1) and (2) shall take effect no earlier than the first full month following the sale of at least one mobilehome lot to the homeowner whose mobilehome currently occupies that mobilehome lot.

3. All subsequent rent adjustments shall be governed by Government Code Sections 66427.5(F)(1) and (2).

4. Except as provided hereinabove, the terms and conditions of the lifetime mobilehome lot lease shall be the same as those contained in the current lease or rental agreement for that mobilehome lot. (Ord. 08-2008 § 1, 2008).

9.84.050  Criteria for approval of a conversion application.

The city council shall not approve the conversion of a mobilehome park to resident ownership unless the city council finds, after hearing on the application and based on the evidence in the record that:

A. The conversion to resident ownership is consistent with the general plan and any applicable specific or area plan, and the provisions of SMC Title 19.

B. The conversion is a bona fide resident conversion as set forth in SMC 9.84.055;

C. An appropriate provision has been made for the establishment and funding of an association or corporation adequate to ensure proper long-term management and maintenance of all common facilities and infrastructure; and

D. There are no conditions existing in the mobilehome park that are detrimental to public health or safety; except, that if any such conditions exist, the application for conversion may be approved if:

1. All of the findings required under subsections A through C of this section are made and the applicant has instituted corrective measures adequate to ensure prompt and continuing protection of the health and safety of mobilehome park residents and the general public.

2. The mobilehome park is suitable for conversion as determined by a review of its physical characteristics, including the report on the existing condition of the mobilehome park.

E. All of the required notifications and findings required by state law have been made, including but not limited to:

1. A survey of resident support has been conducted and filed with the city in accordance with the requirements of Government Code Section 66427.5 and this chapter.

2. A tenant impact report has been completed and filed with the city in accordance with the requirements of Government Code Section 66427.5 and this chapter. (Ord. 08-2008 § 1, 2008).

9.84.055  Criteria for determining whether a proposed conversion is bona fide resident conversion.

A. Bona Fide Resident Conversion Defined. A “bona fide resident conversion” is a conversion to resident ownership that is pursued for the primary purpose of conveying mobilehome lots to current homeowners, rather than to avoid the city’s rent control regulations.

B. In determining whether a conversion to resident ownership is a bona fide resident conversion as required by SMC 9.84.050(B), the following rebuttable presumptions shall apply:

1. Where the survey of resident support conducted in accordance with Government Code Section 66427.5 and this chapter shows that the homeowners of more than 50 percent of mobilehomes in the mobilehome park support the conversion to resident ownership, the conversion shall be presumed to be a “bona fide resident conversion.”

2. Where the survey of resident support conducted in accordance with Government Code Section 66427.5 and this chapter shows that the homeowners of at least 20 percent, but not more than 50 percent, of mobilehomes support conversion of the mobilehome park to resident ownership, the applicant shall have the burden of demonstrating that the proposed conversion is a bona fide resident conversion in accordance with subsection C of this section.

3. Where the survey of resident support conducted in accordance with Government Code Section 66427.5 and this chapter shows that the homeowners of less than 20 percent of mobilehomes support the conversion to resident ownership, the conversion shall be presumed not to be a bona fide resident conversion.

C. An applicant may satisfy the burden established by subsection (B)(2) of this section by demonstrating, at a minimum, that a viable plan is in place to convey mobilehome lots to the current homeowners of the mobilehome park within a reasonable period of time. The city council shall have discretion to determine whether the plan presented by the applicant is viable in light of:

1. The tenant impact report required by Government Code Section 66427.5 and this chapter.

2. The measure of homeowner support, as demonstrated by the survey of resident support required by Government Code Section 66427.5 and this chapter.

3. The Title 25 report required by this chapter and documentation and/or remediation of any Title 25 violations.

4. Any and all relevant evidence submitted to the city council by the applicant, residents of the mobilehome park, and/or other interested parties at or prior to the hearing on the application.

D. The presumptions established by subsections (B)(1) and (B)(3) of this section may be rebutted by a showing that, despite the measure of support demonstrated by the survey of resident support, the primary purpose of the conversion is to convey mobilehome lots to current homeowners rather than to avoid the city’s rent control regulations. In determining whether the applicable presumption has been rebutted, the city council shall take into consideration the factors set forth in subsections (C)(1) through (C)(4) of this section. (Ord. 08-2008 § 1, 2008).

9.84.060  Waiver of tentative and parcel map requirement.

Where two-thirds of homeowners express support for conversion by signing a petition substantially in the form provided by Government Code Section 66428.1, the applicant may seek a waiver of the tentative and parcel map requirements provided by statute and under this chapter.

A. The waiver shall be granted by the planning commission unless any of the following exceptions apply:

1. Significant health and safety concerns require design or improvement.

2. Exterior boundary discrepancy requires recordation of new parcel/tentative and final maps.

3. The conversion to resident ownership creates additional mobilehome lots that did not exist prior to conversion.

4. Existing parcels were not created by a parcel or final map.

B. The applicant shall be entitled to a decision on the waiver within 50 days of requesting such a waiver. That decision is appealable to the city council. (Ord. 08-2008 § 1, 2008).

9.84.065  Administration fee.

The city council may establish by resolution reasonable fees to cover any costs incurred by the city in implementing this chapter. Such fees shall be paid by the applicant subject to the provisions of this chapter in accordance with the limitation of Section 65863.7(g) of the Government Code. (Ord. 08-2008 § 1, 2008).