Beaumont City Council
February 6, 2024

CITY COUNCIL CLOSED & REGULAR SESSION
AGENDA

Beaumont Financing Authority
Beaumont Successor Agency (formerly RDA)
Beaumont Utility Authority
Beaumont Parking Authority
Beaumont Public Improvement Authority
Community Facilities Districts: 93-1, 2016-1, 2016-2, 2016-3, 2016-4 and 2019-1

Tuesday, February 6, 2024
Closed Session: 5:00 PM Regular Meeting: 6:00 PM
550 E. Sixth Street, Beaumont, CA
Materials related to an item on this agenda submitted to the City Council after distribution of the agenda packets are available for public inspection in the City Clerk’s office at 550 E. 6th Street during normal business hours.

MEETING PARTICIPATION NOTICE
This meeting will will be recorded for live streaming as well as open to public attendance. Please use the following link during the meeting for live stream access: beaumontca.gov/livestream Public comments will be accepted using the following options.

1. Written comments will be accepted via email and will be read aloud during the corresponding item of the meeting. Public comments shall not exceed three (3) minutes unless otherwise authorized by City Council. Comments can be submitted anytime prior to the meeting as well as during the meeting up until the end of the corresponding item. Please submit your comments to:
[email protected] with "Public Comment" in the subject line.

2. Phone-in comments will be accepted by joining a conference line prior to the corresponding item of the meeting. Public comments shall not exceed three (3) minutes unless otherwise authorized by City Council. Please use the following phone number to join the call (951) 922 - 4845.

3. In-person comments are accepted by notifying the City Clerk using a provided Request to Speak Form prior to the start of the Public Comment Period. Public comments shall not exceed three (3) minutes unless otherwise authorized by City Council.

In compliance with the American Disabilities Act, if you require special assistance to participate in this meeting, please contact the City Clerk's office using the above email or call (951) 572 - 3196.

Notification 48 hours prior to a meeting will ensure the best reasonable accommodation.

Pages

CLOSED SESSION
A.CALL TO ORDER
Mayor Fenn, Mayor Pro Tem Lara, Council Member Voigt, Council Member White, Council Member Martinez
B.PUBLIC COMMENTS REGARDING CLOSED SESSION
B.1 Conference with Legal Counsel – Anticipated Litigation Pursuant to Government Code Section 54956.9(d) 2 and/or 3
Regarding November 15, 2023 Claim by Jordan Bevely
B.2 Conference with Real Property Negotiators Pursuant to Government Code Section 54956.8
Property: APN’s 422-170-008, 422-060-016, 017, 018 and a portion of 422-170-005
Agency Negotiator: City Manager Elizabeth Gibbs or her designee.

Negotiating Parties: City of Beaumont as potential purchaser and JRT BP 1, LLC as potential seller.

Under Negotiation: Price and terms.

B.3 Conference with Legal Counsel Regarding Pending Litigation Pursuant to Government Code Section 54956.9(d)(1)
One Case: Beaumont v PB 240, LLC; DTOUR Production, Inc.; Shanna Bottoni- Olive; Jamari Olive
(Case No: CVRI 2305764)
B.4 Conference with Labor Negotiators Pursuant to Government Code Section 54957.6
Agency designated representatives: Mayor Fenn and Councilmember Jessica Voigt. Unrepresented Employee: City Manager
C.ADJOURNMENT TO CLOSED SESSION

REGULAR SESSION
D.CALL TO ORDER
Mayor Fenn, Mayor Pro Tem Lara, Council Member Voigt, Council Member White, Council Member Martinez
Report out from Closed Session
Action on any Closed Session Items
Action of any Requests for Excused Absence
Invocation
Pledge of Allegiance
Adjustments to the Agenda
Conflict of Interest Disclosure
E.ANNOUNCEMENTS / RECOGNITION / PROCLAMATIONS /

CORRESPONDENCE
F.PUBLIC COMMENT PERIOD (ITEMS NOT ON THE AGENDA)
Any one person may address the City Council on any matter not on this agenda.

If you wish to speak, please fill out a “Public Comment Form” provided at the back table and give it to the City Clerk. There is a three (3) minute time limit on public comments. There will be no sharing or passing of time to another person.

State Law prohibits the City Council from discussing or taking actions brought up by your comments.

G.CONSENT CALENDAR
Items on the consent calendar are taken as one action item unless an item is pulled for further discussion here or at the end of action items. Approval of all Ordinances and Resolutions to be read by title only.

G.1 Ratification of Warrants 8
Recommended Action:

Ratify Warrants dated:

January 11, 2024
January 18, 2024
G.2 Approval of Minutes 52
Recommended Action:

Approve Minutes dated January 16, 2024.

G.3 First Amendment to Ramona Humane Society Sheltering Services Agreement
60 Consideration of the first amendment to Ramona Humane Society Sheltering Services Agreement and scope of services.

Recommended Action:

Approve the Amended Agreement with Ramona Humane Society as presented.

G.4 Performance Bond Exoneration 68
Performance and Payment bond exoneration for sewer improvements associated with Tract Map No.18132, storm drain improvements associated with Tract No. 31462, sewer improvements associated with Tract No. 37426, and survey monuments associated with Tract Map No. 32775
Recommended Action:

Authorize City staff to issue a Bond Exoneration Letter for Performance and Payment Bonds and Accept Maintenance Security for (Project / Bond Number / Improvement / Maintenance Bond Number):

Curry’s Mobile Home Park / 72482534 / Sewer / Cash•
Tract Map No. 31462 / 1001124446 / Storm Drain / 1001191180• Tract Map No. 37426 / 0216989 / Sewer / 0216989-M•
Tract Map No. 32775 / 108505 / Monumentation•
G.5 Offer of Dedication for Public Street and Public Utilities 186 A Resolution of the City of Beaumont authorizing the Mayor to accept the Offer of Dedication for Elm Avenue for public street and public utility purposes.

Recommended Action:

Waive the full reading and adopt by title only, “A Resolution of The City of Beaumont Authorizing the Mayor to Accept the Offer of Dedication for Elm Avenue for Public Street and Public Utility Purposes”; Approve the Certificate of Acceptance, and
Record the Offer of Dedication documents with the Riverside County Clerk Recorder’s Office.

G.6 Offer of Dedication for Public Road and Public Utilities 198 A Resolution of the City of Beaumont authorizing the Mayor to accept the Offer of Dedication for Desert Lawn Drive for public road and public utility purposes.

Recommended Action:

Waive the full reading and adopt by title only, “A Resolution of The City of Beaumont Authorizing the Mayor to Accept the Offer of Dedication for Desert Lawn Drive for Public Road and Public Utility Purposes”; Approve the Certificate of Acceptance; and
Record the Offer of Dedication documents with the Riverside County Clerk Recorder’s Office.

G.7 Intent to Vacate Desert Lawn Drive, South of Oak Valley Parkway 210 A Resolution of the City of Beaumont declaring its intention to vacate Desert Lawn Drive, south of Oak Valley Parkway.

Recommended Action:

Waive the full reading and adopt by title only, “A Resolution of The City of Beaumont Declaring its Intention to Vacate Desert Lawn Drive, South of Oak Valley Parkway”.

G.8 Second Reading of Amendments to Beaumont Municipal Code Chapter

13.21 Mobile Home Park Rent Stabilization Ordinance
229
Second reading of an ordinance for the periodic review and recommended changes to Beaumont Municipal Code Chapter 13.21 Mobile Home Park Rent Stabilization for the purposes of streamlining processes and consistency with state law.

Recommended Action:

Waive the second full reading and adopt by title only, “An Ordinance of the City Council of the City of Beaumont California Amending Chapter

13.21 Mobile Home Park Rent Stabilization of the Beaumont Municipal Code”.

G.9 Second Reading of an Ordinance Amending the Beaumont Municipal Code Title of Chapter 12.16, Adding Chapter 12.18 and Amending Chapter 17.04
299
Undergrounding of Existing Overhead Utilities.

Recommended Action:

Waive the second full reading and adopt by title only “An Ordinance of the City Council of the City of Beaumont, California Amending the Title Of Chapter 12.16, Adding Chapter 12.18 and Amending Chapter 17.04 of

the City Of Beaumont Municipal Code Concerning Requirements for Undergrounding of Existing Overhead Utilities Applicable to Discretionary Approvals Related to Land Use and Development”.

G.10 FY2023-2024 2nd Quarter Cash and Investment Report 320 Receive and file the 2nd quarter cash and investment report.

Recommended Action:

Receive and file report.

G.11 FY2023-2024 2nd Quarter City Manager Purchases and Contract Awards
354
Quarterly report pursuant to Beaumont Municipal Code Sections

3.01.030(B), and 3.01.050(B).

Recommended Action:

Receive and file report.

G.12 Merchant Services Agreement 357
Agreement with Open Edge Payments, LLC for a term of 3 years.

Recommended Action:

Review and approve the Merchant Services Agreement accepting the 3- year proposal agreement with Open Edge Payments, LLC and authorize the City Manager to sign the agreement.

G.13 Adoption of the City of Beaumont 2024 Legislative Platform 361 Annual review and adoption of the City’s legislative platform and policies.

Recommended Action:

Hold discussion and approve the City’s 2024 Legislative Platform.

H.YOUTH COUNCIL REPORT
Beaumont Youth Council Report Out and City Council Direction I.PUBLIC HEARINGS
Approval of all Ordinances and Resolutions to be read by title only.

I.1 Public Hearing and Consideration of Amendments to Beaumont Municipal Code Chapter 5.64 Peddlers and Chapter 5.66 Sidewalk Vending
366
Proposed amendments to Beaumont Municipal Code Chapter 5.64 Peddlers and Chapter 5.66 Sidewalk Vending to ensure public health, safety and welfare.

Recommended Action:

Hold a Public Hearing; and
Waive the first full reading and approve by title only, “An Ordinance of the City Council of the City of Beaumont California Amending Chapter 5.64 Peddlers of the Beaumont Municipal Code”; and
Waive the first full reading and approve by title only, “An Ordinance of the City Council of the City of Beaumont California Amending Chapter 5.66 Sidewalk Vending of the Beaumont Municipal Code”.

I.2 Public Hearing of Purchase and Sale Agreement for the property located at 105 W. Sixth Street
396
Consideration of a purchase and sale agreement by and between David and Emeline Schuelke (Seller) and the City of Beaumont (buyer) for the property located at 105 W. Sixth Street.

Recommended Action:

Hold a Public Hearing;
Waive the full reading and approve by title only, “A Resolution of the City Council of the City of Beaumont, California, Approving the Acquisition of Real Property”; and
Approve the Purchase and Sale Agreement by and between the City of Beaumont and David and Emeline Schuelke.

J.ACTION ITEMS
Approval of all Ordinances and Resolutions to be read by title only.

J.1 Discussion and Direction on Establishing a Downtown Market Night 434 Discussion and direction on adopting a policy establishing rules and regulations for a market night.

Recommended Action:

Hold discussion and provide direction to staff on establishing a market night and adopting a market night rules and regulations policy.

J.2 Grease Trap Incentive Program Request by Beaumont Cherry Valley Recreation and Parks District (BCVRPD) for the Noble Creek Park Snack Bar
451
A request to allow the Noble Creek Park snack bar to participate in the Grease Trap Incentive Program.

Recommended Action:

Allow Beaumont Cherry Valley Recreation and Parks District to participate in the Grease Trap Incentive Program for installation of the required, eligible equipment in the snack bar at Noble Creek Park.

J.3 Adoption of Amendments to the Policy on Land Use and Sensitive Receptors (PLUS)
458
Adoption of amendments to the PLUS, formalizing the Community Benefit Fee and updating requirements in the Siting and Design, Operations and Construction Phase sections.

Recommended Action:

Adopt the updated Policy on Land Use and Sensitive Receptors (PLUS) as presented
J.4 FY2023-2024 Mid-Year Budget Report 466
Review mid-year budget status.

Recommended Action:

Receive and file report.

K.LEGISLATIVE UPDATES AND DISCUSSION
L.ECONOMIC DEVELOPMENT UPDATE
Economic Development Committee Report Out and City Council Direction M.CITY TREASURER REPORT
Finance and Audit Committee Report Out and City Council Direction N.CITY CLERK REPORT
O.CITY ATTORNEY REPORT
P.CITY MANAGER REPORT
Q.FUTURE AGENDA ITEMS
Assessment for the need for additional community center(s) (Future)• Annexation Agreement with the County (Future)•
Level of Service Standards for Traffic Levels (March)•
R.COUNCIL REPORTS
Martinez
White
Voigt
Lara
Fenn
S.ADJOURNMENT
The next regular meeting of the Beaumont City Council, Beaumont Financing Authority, the Beaumont Successor Agency (formerly RDA), the Beaumont Utility Authority, the Beaumont Parking Authority and the Beaumont Public Improvement Agency is scheduled for Tuesday February 20, 2024, at 6:00 p.m. unless otherwise posted.

1 CITY COUNCIL CLOSED & REGULAR SESSION

MINUTES

January 16, 2024
Closed Session: 5:00 PM Regular Meeting: 6:00 PM
550 E. Sixth Street, Beaumont, CA

_____________________________________________________________________

CLOSED SESSION
A. CALL TO ORDER at 5:01 p.m.

Present: Mayor Fenn, Mayor Pro Tem Lara, Council Member White, Council Member Martinez

Absent: Voigt

B. PUBLIC COMMENTS REGARDING CLOSED SESSION
B.1 Conference with Legal Counsel Regarding Existing Litigation Pursuant to Government Code Section 54956.9(d)(1):

Carolyn DeRyke v. City of Beaumont, et. al. Riv. Co. Sup. Ct. Case No.

CVRI2300070
No reportable action.

B.2 Conference with Legal Counsel Regarding Existing Litigation Pursuant to Government Code Section 54956.9(d)(1):

Ezekwesili Iloputaife et. al. v. City of Beaumont, et. al. Riv. Sup. Ct. Case No.CVRI2105069.

No reportable action.

B.3 Conference with Legal Counsel Regarding Pending Litigation Pursuant to Government Code Section 54956.9(d)(1)

2 One Case: Beaumont v PB 240, LLC; DTOUR Production, Inc.; Shanna Bottoni- Olive; Jamari Olive
(Case No: CVRI 2305764)
No reportable action.

B.4 Conference with Real Property Negotiators Pursuant to Government Code Section 54956.8
Property: North of Fifth Street, east of California Street (APN’s 418-091- 013, 014, 015 and 016).

Agency Negotiator: City Manager Elizabeth Gibbs or her designee.

Negotiating Parties: City of Beaumont as potential purchaser and Douglas Jones as potential seller.

Under Negotiation: Price and terms.

No reportable action.

C. ADJOURNMENT TO CLOSED SESSION

REGULAR SESSION
D. CALL TO ORDER at 6:08 p.m.

Mayor Fenn, Mayor Pro Tem Lara, Council Member White, Council Member Martinez
Report out from Closed Session
Action on any Closed Session Items
Action of any Requests for Excused Absence: Council Member Voigt Invocation
Pledge of Allegiance
Adjustments to the Agenda
Conflict of Interest Disclosure

E. ANNOUNCEMENTS / RECOGNITION / PROCLAMATIONS /

CORRESPONDENCE
E.1 Recognition of Beaumont High School Football Coach Jeff Steinberg

F. PUBLIC COMMENT PERIOD (ITEMS NOT ON THE AGENDA)
A. Connors - Is having issues with cats on her property and is asking for help from the City.

K. Linton - Thanked the City and the Police Department, gave suggestions for traffic and development.

B. Baltierra - Looking for a solution to the recent mail theft.

3 R. Roy - Spoke in opposition of the Beaumont Pointe Warehouse, public comment process and Commissioners' conflict of interest.

G. CONSENT CALENDAR
Items on the consent calendar are taken as one action item unless an item is pulled for further discussion here or at the end of action items. Approval of all Ordinances and Resolutions to be read by title only.

Motion by Council Member Martinez
Second by Council Member Lara
To approve the Consent Calendar.

Approved by a 4-0 vote

Absent: Voigt
G.1 Ratification of Warrants
Ratify Warrants dated:

December 14, 2023
December 20, 2023
January 4, 2024
G.2 Approval of Minutes
Approve Minutes dated December 19, 2023.

H. YOUTH COUNCIL REPORT
Report by Youth Council Member Carlos Luna from the most recent meeting.

I. PUBLIC HEARINGS
Approval of all Ordinances and Resolutions to be read by title only.

I.1 Public Hearing and First Reading of an Ordinance Amending Beaumont Municipal Code Title of Chapter 12.16, Adding Chapter 12.18 and Amend

17.04 Overhead Utilities
Undergrounding of existing overhead utilities.

Public Hearing opened at 6:39 p.m.

No comments
Public Hearing closed at 6:39 p.m.

Motion by Mayor Pro Tem Lara
Second by Mayor Fenn

4 To waive the first full reading and approve by title only “An Ordinance of the City Council of the City Of Beaumont, California Amending the Title Of Chapter 12.16, Adding Chapter 12.18 and Amending Chapter 17.04 of the City Of Beaumont Municipal Code Concerning Requirements for Undergrounding of Existing Overhead Utilities Applicable to Discretionary Approvals Related to Land Use and Development”.

Approved by a 4-0 vote

Absent: Voigt

I.2 Public Hearing and Consideration of a Resolution for the Third Amendment to the City’s Fiscal Year 2023/2024 – 2027/2028 Capital Improvement Plan
Approval of Resolution to amend the five-year Fiscal Year 2024-2028 Capital Improvement Plan (CIP).

Public Hearing opened at 7:02 p.m.

No comments
Public hearing closed at 7:02 p.m.

Motion by Mayor Pro Tem Lara
Second by Council Member White
To w aive the full reading and adopt by title only, “A Resolution of the City Council of the City of Beaumont Amending the Five-Year Capital Improvement Plan for Fiscal Years 2023/2024-2027/2028”.

Approved by a 4-0 vote

Absent: Voigt

I.3 Public Hearing and First Reading of an Ordinance for the Periodic Review and Recommended Changes to Beaumont Municipal Code Chapter 13.21 Mobile Home Park Rent Stabilization
Consideration of Proposed Amendments to Beaumont Municipal Code Chapter 13.21 Mobile Home Park Rent Stabilization for the purposes of streamlining processes and consistency with State law.

Public Comment opened at 7:10 p.m.

J. Paule - Thanked staff for working through concerns and gave suggestions.

Public Comment closed at 7:14 p.m.

Motion by Council Member White
Second by Council Member Martinez

5 To w aive the first full reading and approve by title only, “An Ordinance of the City Council of the City of Beaumont California Amending Chapter 13.21 Mobile Home Park Rent Stabilization of the Beaumont Municipal Code” with the exemption of the long-term lease.

Approved by a 4-0 vote

Absent: Voigt

J. ACTION ITEMS
Approval of all Ordinances and Resolutions to be read by title only.

J.1 Downtown Business Incentive Program Marketing Options Presentation of marketing options to promote the Downtown Business Incentive Programs.

Direction to staff to use of Downtown Incentive Program funds for advertising in an amount of $30,000 to chose one Eastbound and one Westbound digital billboard and advertise at the movie theater during the peak summer months.

J.2 Update on the Wastewater Treatment Plant Site Improvements Provide an update on the progress of the Wastewater Treatment Plant Site Improvements, including entry monument and landscaping.

Direction to staff to look at a hybrid of Options 1 and 2 as presented.

J.3 Parks and Community Services Master Plan – Quarterly Update of Capital Improvement Project P-17
Strategic Plan – Priority Level 2, Target 5, Goal 3.

Motion by Council Member White
Second by Council Member Martinez
Receive and file.

Approved by a 4-0 vote

Absent: Voigt

J.4 Approve a Professional Services Agreement with Community Works Design Group (CWDG) for the Concept Plans and Construction Documents for Nicklaus Park and Palmer Park Dog Park in an Amount Not to Exceed $358,555

6 To award a contract for design services and construction documents for the Nicklaus Park (P-05) and Palmer Park (P-18) improvements.

Motion by Council Member Martinez
Second by Mayor Fenn
To a pprove the Purchase Order for Community Works Design Group in the amount of $358,555, and
Authorize the City Manager to authorize any necessary change orders in an amount not to exceed $35,855, and
Authorize the Mayor to execute the Professional Services Agreement for construction document and design services for CIP No. P-05 and CIP No. P-18.

Approved by a 4-0 vote

Absent: Voigt

J.5 Advertising Program Proposal
Transit Advertising Program, Policy, and Rates.

Motion by Mayor Pro Tem Lara
Second by Mayor Fenn
To w aive the full reading and adopt by title only, “A Resolution of the City Council of Beaumont Adopting the City of Beaumont Transit Advertising Program Including the City of Beaumont Transit Advertising Policy and Rates”.

Approved by a 4-0 vote

Absent: Voigt

J.6 Approval of City Attorney Invoices for the Month of December 2023 City Attorney Lena Wade recused herself for this item.

Motion by Mayor Pro Tem Lara
Second by Council Member Martinez
Approve invoices in the amount of $102,465.48.

Approved by a 4-0 vote

Absent: Voigt

K. LEGISLATIVE UPDATES AND DISCUSSION
Handout of draft Legislative Platform for review. Will be brought forward in February for formal adoption.

7 L. ECONOMIC DEVELOPMENT UPDATE
Economic Development Committee Report Out and City Council Direction

M. CITY TREASURER REPORT
Finance and Audit Committee Report Out and City Council Direction Next Finance and Audit Committee Meeting will be January 22 at 6:00 p.m.

M.1 Treasurer Reports

N. CITY CLERK REPORT
No report.

O. CITY ATTORNEY REPORT
No report.

P. CITY MANAGER REPORT
Upcoming Veteran's Expo on January 20th. Pennsylvania ribbon cutting will be January 22nd. Coffee with a Cop is scheduled for January 31st.

P.1 Parks Quarterly Update
P.2 Update of Truck Routes Analysis
P.3 Update on Downtown Street Lighting
P.4 Update on Potrero Interchange Phase II Project

Q. FUTURE AGENDA ITEMS
• Assessment for the need for additional community center(s) (Future) • Annexation Agreement with the County (Future)
• Level of Service Standards for Traffic Levels (March) • City Market Night (February)

8 R. COUNCIL REPORTS
Lara - Attended an RCA board meeting, gave a report out from a WRCOG executive meeting, thanked staff for the work on the City magazine.

Congratulated Deputy City Clerk on Master Municipal Certification.

Martinez - Participated in a food distribution, reported out from the Youth Council Meeting and UCR sustainable webinar.

Fenn - Attended the TNOW meeting, the Passcomm meeting, and gave a report out from the Association of Relators meeting where the City shared the new property tax portal, attended the PD swearing in.

White - Announced upcoming RCTC workshop.

S. ADJOURNMENT at 8:39 p.m.

The next regular meeting of the Beaumont City Council, Beaumont Financing Authority, the Beaumont Successor Agency (formerly RDA), the Beaumont Utility Authority, the Beaumont Parking Authority and the Beaumont Public Improvement Agency is scheduled for Tuesday February 6, 2024, at 6:00 p.m. unless otherwise posted.

Staff Report

TO: City Council
FROM: Sean Thuilliez, Chief of Police
DATE February 6, 2024
SUBJECT: First Amendment to Ramona Humane Society Sheltering Services Agreement

Description Consideration of the first amendment to Ramona Humane Society Sheltering Services Agreement and scope of services.

Background and Analysis:

On Monday, December 18, 2023, Animal Control Services staff met with representatives from the Ramona Humane Society CEO to discuss changes in Ramona Humane Society’s business model and the impact to the City of Beaumont.

Ramona intends to shift operations towards animal rescue rather than animal control service. To reflect these changes, they have changed their name to Haven Pet Center effective January 1, 2024, and are rebranding as such.

Over the last few years, the shelter/rescue/animal control busine ss has seen a drastic increase in the number of unwanted/abandoned animals directed to shelters. Ramona’s current capacity for animal sheltering is 150 animals, however they have been providing sheltering services in excess of 400 animals each month. Shift s in the industry have made it difficult to provide staffing to care for the animals, as well as veterinarian services to keep up with the demands for spay/neuter and other services.

Ramona is not alone in this struggle; it is a nationwide issue and organizations are attempting to find ways to address and educate the public on animal ownership and the overcrowding of facilities.

As of February 6, 2024, Ramona Humane Society would like to amend the current agreement with the City of Beaumont for sheltering services to no longer provide services for owner surrenders and feral/stray cat intakes. The City of Beaumont is the only agency that still allows the public to surrender their animals and we have been behind the curve on this trend for several years.

Animal Control Services staff contacted the Riverside County Department of Animal Services, City of Redlands, City of Fontana, City of Moreno Valley, as well as the San Bernardino County Animal Control Services and determined that each of these agencies had stopped providing this service several years ago and now direct animal owners to other resources such as rescues, obedience training, private re-homing, and other animal adoption/foster services.

The end goal is to put the responsibility of pet ownership back on pet owners and reduce pet populations within sheltering organizations, who are often forced to euthanize healthy pets due to lack of space and resources to house them.

Further, Ramona Humane Society would like to end intakes of healthy stray/fera l cats.

Feral/stray cats form colonies and hierarchies, which adapt to the ecosystem in which they live in. Removing healthy stray or feral cats from these colonies, does little to impact the cat populations in the urban and rural areas, but heavily impact shelter services, since many of the cats taken in cannot be rehomed and then are forced to be euthanized.

The current agreement with Ramona Humane Society remains in effect until November 1, 2024, providing all other services as indicated on Exhibit “A,” except Ramona Humane Society would like to amend the agreement to no longer provide the following services:
 ACO-Owner Surrender,
 Owner Surrender-Shelter,
 ACO-Owner Request Euthanasia (except on a case -by-case basis for animals with a history of severe behavioral concerns or bites),  Owner Request Euthanasia (except for sick or dying animals),  Intakes of stray/feral cats.

The current agreement allows for the parties to make amendments to this agreement (Section 24 – Amendments to this Agreement), provided the parties meet and confer, negotiating in good faith to reasonable amendments as deemed appropriate.

The proposed change in services will help to reduce the number of animals taken into the shelter and provide space for animals who either can be reunited with their owners or be adopted to loving homes. The proposed change will also reduce the department’s cost for sheltering services, since many of these animals are not reclaimed or able to be adopted by other owners.

Currently the department takes in approximately 85 owner surrenders and 120 stray/feral cats in a calendar year.

The proposed amendments are in line with current industry practices and will improve conditions within Ramona Humane Society to help to facilitate the adoption or reunification of healthy pets brought in by our Animal Control Service Officers.

Fiscal Impact:

Cost to prepare this staff report is approximately $500. The contract with Ramona Humane Society is based on usage, therefore we will no longer collect fees that would have previously been collected and passed through for these services.

Recommended Action:

Approve the Amended Agreement with Ramona Humane Society as presented.

Attachments:

A. Amendment to Agreement with Ramona Humane Society
B. Exhibit B Scope of Work/Fees

1 690 Humane Way San Jacinto, CA 92582
(951) 654-8002 (951) 654-2830 fax
www.ramonahumanesociety.org

FIRST AMENDMENT TO

SHELTERING SERVICES AGREEMENT

This First Amendment to Sheltering Services Agreement (“First Amendment”) is made and effective as of the ___ day of _________ 2024, by and between the City of Beaumont, a California general law city (“BEAUMONT”), and Ramona Humane Society, a California non-profit corporation (“CONTRACTOR”). BEAUMONT and CONTRACTOR are at times hereinafter collectively referred to as “Parties” or individually as a “Party”.

RECITALS

WHEREAS, BEAUMONT entered into a Sheltering Agreement (“Agreement”) with CONTRACTOR on November 1, 2021 for the purpose of, among others, providing animal control services as described in the Agreement; and

WHEREAS, CONTRACTOR has informed BEAUMONT that CONTRACTOR is shifting operations towards animal rescue rather than animal control service, and CONTRACTOR has changed it name to Haven Pet Center, effective January 1, 2024; and

WHEREAS, paragraph 24 of the Agreement provides that the Parties may meet and confer from time-to-time to negotiate in good faith to determine if reasonable amendments to the Agreement are appropriate; and

WHEREAS, the Parties agreed to meet and confer on December 18, 2023, to discuss and consider CONTRACTOR’s request to amend the Agreement to remove the provision of owner surrenders and feral/stray cat intake services from the Agreement, consistent with CONTRACTOR’s shift in operations; and

WHEREAS, BEAUMONT and CONTRACTOR agree to amend the Agreement to remove the provision of owner surrenders and feral/stray cat intake services from the Agreement as further described below, effective February 1, 2024.

NOW THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration the receipt and adequacy of which are hereby acknowledged, the Parties hereby agree as follows:

AGREEMENT

SECTION 1 - RECITALS

The Recitals set forth above are hereby incorporated into this First Amendment by this reference, as though fully set forth herein.

2 SECTION 2 – AMENDMENTS

a. Exhibit A -SCOPE OF WORK & FEES. For purposes of this First Amendment, Exhibit “A” -Scope of Work & Fees attached to the Agreement shall be replaced with the “Amended Scope of Work & Fees” attached hereto as Exhibit “A” and incorporated herein by this reference.

SECTION 3 - COUNTERPARTS

This First Amendment may be executed in several counterparts, each of which shall be deemed to be an original and shall constitute one and the same instrument and shall become binding upon the Parties when at least a copy hereof shall have been signed by the Parties hereto.

SECTION 4 - CONFLICTS

In the event there exist any conflicts between the terms of this First Amendment and the Agreement, the terms of this First Amendment shall supersede.

SECTION 5- REMAINING PROVISIONS

All other remaining terms and conditions of the Agreement shall remain unchanged.

IN WITNESS WHEREOF, the Parties hereto have caused this First Amendment to be executed as of the date first written above.

CITY OF BEAUMONT RAMONA HUMANE SOCIETY

NOW KNOWN AS HAVEN PET CENTER

By: _______________________________ By: __________________________

DAVID FENN JEFF SHEPPARD
Mayor President/Chief Executive Officer

ATTEST:

By: _______________________________
ELAINE MORGAN, City Clerk

APPROVED AS TO FORM:

___________________________
John O. Pinkney, City Attorney

Exhibit A

EXHIBIT A

FIRST AMENDMENT TO

SHELTERING SERVICES AGREEMENT

AMENDED SCOPE OF WORK & FEES

AMENDED - SCOPE OF WORK & FEES

Prepared By: Jeff Sheppard President/CEO Date 01-11-2024 Project : Beaumont Animal Sheltering Services

Species
Intake

Fee Comment
 Stray Dogs $83.43 No maintenance fee.
 Hold for Hearing, Safe
Keeping, Protective
Custody
$83.43 $15.00 per day maintenance fee until released by Beaumont ACO.
 ACO-Owner Request Euth
(on case by case basis)
$125.00 No maintenance fee. ACO must provide
paperwork signed by Owner
 Livestock: Horse, Burro,
Cow, Pony.
$75.00 $15.00 per day maintenance fee for the first 14
days.
 Pigs, Sheep, Goat. $60.00 $12.00 per day maintenance fee for the first 10 days.
 Fowl: Chicken, Duck,
Goose, Pea Fowl
$10.00 No maintenance fee.
 Wild Life: Raccoons, Bird
Opossum, Foxes, Hawk
etc.
$40.00 No maintenance fee.
 Pet Birds or Reptiles:

Parrots, Doves, Cockatiels,
Snakes, Turtles, Lizards
etc.
$40.00 No maintenance fee.
 Small Animal: Rats, Birds,
Mice, Gerbils, Guinea Pigs,
Hamsters etc.
$5.00 No maintenance fee.
 Rabbits and Ferrets. $40.00 No maintenance fee.
 Rabies Quarantine of Biting
Animals
$40.00 $15.00 per day maintenance fee until released by Beaumont ACO
 Deceased Animals N/C INCLUDED
 Owner Request
Euthanasia (On case by
case basis)
N/C RHS will collect fee. RHS reserves right to refuse.

No maintenance fee.

 Veterinary Exam Fee $120.00 For animals arriving at shelter requiring immediate medical attention and have not already been seen
by a Veterinarian
 License sold 20% We will sell Licensing for Beaumont residents and will credit the amount sold on monthly billing
minus fee.
* In addition a 2% spay/neuter fee per month of the total amount due.

Staff Report

TO: City Council
FROM: Robert Vestal, Public Works Director
DATE February 6, 2024
SUBJECT: Performance Bond Exoneration

Description Performance and Payment bond exoneration for sewer improvements associated with Tract Map No.18132, storm drain improvements associated with Tract No. 31462, sewer improvements associated with Tract No. 37426, and survey monuments associated with Tract Map No. 32775
Background and Analysis:

The City requires all developers to provide construction security for public improvements consisting of, but not limited to, street improvements, sewer improvements, storm drain improvements, and survey monumentation. After the improvements are constructed, City staff verifies that no liens have been filed, that the improvements are completed in accordance with the project’s conditions of approval, design standards, and City requirements, and that all punch list items have been addressed. Once verified, City Council may exonerate the construction security and accept a one-year maintenance security.

During the one-year maintenance period, the developer maintains all associated improvements. After the one-year term has elapsed, the developer may petition the City Council to accept the improvements into the publicly maintained system and exonerate the maintenance security.

The principals are requesting that the performance and payment bonds listed in Table No. 1 be exonerated and that the City Council accept the corresponding maintenance bond for a period not less than one year.

City staff has verified that the improvements were constructed in accordance with the project’s conditions of approval, design standards, and City requirements, and that all punch list items have been addressed.

Table No. 1 – Bond Summary
Project Performance
Bond
Number
Improvement File
Number
Maintenanc
e Bond
Number
Principal
Curry’s
Mobile
Home park
72482534 Sewer 3440 Cash surety
deposit
Curry’s MHP
Tract Map
No. 31462
1001124446 Storm Drain 3093A 1001191180 SDC Fairway
Canyon, LLC
Tract Map
No. 37426
0216989 Sewer 3198 0216989-M TriPointe
Homes
Tract Map
No. 32775
1083505 Monumentation N/A N/A SDC Fairway
Canyon, LLC

Therefore, City staff recommends that City Council accept the maintenance security and authorize City staff to issue a bond exoneration letter for the performance and payment bonds. The survey monuments do not require a maintenance bond.

Fiscal Impact:

The cost of preparing the staff report is estimated to be $350. The principal maintains all associated improvements during the maintenance period. The City is not liable for public improvement maintenance until the public improvements are accepted into the City’s publicly maintained system.

Recommended Action:

Authorize City staff to issue a Bond Exoneration Letter for Performance and Payment Bonds and Accept Maintenance Security for (Project / Bond Number / Improvement / Maintenance Bond Number):
• Curry’s Mobile Home Park / 72482534 / Sewer / Cash
• Tract Map No. 31462 / 1001124446 / Storm Drain / 1001191180 • Tract Map No. 37426 / 0216989 / Sewer / 0216989 -M
• Tract Map No. 32775 / 108505 / Monumentation
Attachments:

A. PW2023-1071 – Curry’s Mobile Home Park Sewer Bond-x Package B. PW2023-1076 - TR 31462 Storm Drain x Package
C. PW2023-1073 – TR 37426 Sewer Improvement x package
D. PW2023-1074 – TR 32775 Monumentation x package

PW2023-1071
3,915.00
R01354759
10/4/2023

[COMPANY NAME]

Punch List

Project Name: Sewer Improvements for Curry’s Mobile Home Park

Address: 1490 East 6th St
PW2023-1071 Bond No. 72482534
Inspected By: Jason Craghead Page: 1 of 1 Date: 10/5/23 Item
No. Description
Completed by
Construction
(Sign/Date)
Accepted by
(Sign/Date)

1 Provide As-Built Plans with Details of
Encasements, Cleanouts
Jason Craghead
10/11/23
Jason Craghead
10/11/23

2 Install Thermoplastic Striping Jason Craghead
Omitted for R-24 Streets
Jason Craghead
12/14/23

3 Remove loose Asphalt from shoulder near
Manhole

Jason Craghead
12/13/23
Jason Craghead
12/14/23

4 Remove Asphalt from Sewer Manhole
Cover

Jason Craghead
Omitted for R-24 Streets
Jason Craghead
12/14/23

January 9, 2024

1490 E 6th St – Curry’s Mobile Home Park

Sewer Improvements Maintenance – Cash Surety Deposit

The City of Beaumont received a Cash Surety deposit for the above Maintenance period of Sewer Improvements. The payment was received on the 8th of January, 2024 by authority of Steven Lansing, with M&S Equipment on behalf of the project. The payment transaction was performed on behalf of the City of Beaumont by Andrea Aguirre, Customer Service Coordinator.

Cash Surety receipt confirmation number is R01373615 and the associated amount is as follows:

Submittal Name

Amount
Curry’s MHP Sewer
Improvements Cash Surety

$5,217.00

Please let me know if you have any questions.

Thank you,

Richard Godsey
Engineering Development Technician I
City of Beaumont
Public Works

E 6TH AVE.

DEVELOPER/APPLICANTENGINEER

INDEX MAP

VICINITY MAP
10 SITE

SHEET INDEX

PROJECT INFO
LEGEND

LOT SUMMARY

ABBREVIATIONS

DECLARATION OF RESPONSIBLE CHARGE
XE
N
I
A

A
V
E
.

ASSESSOR'S PARCEL NO.

BENCHMARK:

ELEV. 2598.22, NGVD 29
BY MARK APPR.DATE

ENGINEER CITY

DESCRIPTION

DATEENGINEER OF WORK
R.C.E. 85665
SEAL DESIGN BY:

DRAWN BY:

CHECKED BY:

SCALE:

DATE:

JOB NUMBER:

CITY OF BEAUMONT, CALIFORNIA
SEWER IMPROVEMENT PLANS FOR:

FILE NO:

TITLE SHEET
Temecula, California 92590
27363 VIA INDUSTRIA
TEL: (951) 217-8732
CURRY'S M.H.P.

GENERAL NOTES

GENERAL NOTES

PRIVATE ENGINEERS NOTICE TO CONTRACTOR(S)
NOTE

SITE ADDRESS

LEGAL DESCRIPTION

WORK TO BE DONE
OF 2 SHEETS
1 E. 6TH AVE. 24+40 TO 26+40
J.C.B.

J.C.B.

J.C.B.
10/9/2023
H: 1"=50'

BASIS OF BEARING

CONSTRUCTION NOTES AND QUANTITIES

TOPOGRAPHY SOURCE
PW2022-0821BOND # 72482534

BEAUMONT-CHERRY VALLEY WATER DISTRICT
BC
V
W
D

#

A
R
7 6
3 3/23/23
3/23/23

BEAUMONT-CHERRY VALLEY WATER DISTRIC BEAUMONT-CHERRY VALLEY WATER DIST 04/12/2023
Digitally signed by Mark Swanson
DN: C=US,
[email protected],
O=BCVWD, OU=Engineering,
CN=Mark Swanson
Reason: I have reviewed this
document
Date: 2023.04.12 12:22:09-07'00'

EXISTING GROUND @
L20' NORTH OF C
27+00 25+0026+00 24+00 23+00 22+00
XE
N
I
A

A
V
E
.

E. 6TH AVE.
2590
2580
2600
2590
2580
2600
VERT. 1" = 4 FT.

HORIZ. 1" = 40 FT.

PROFILE SCALE
BENCHMARK:

ELEV. 2598.22, NGVD 29
BY MARK APPR.DATE

ENGINEER CITY

DESCRIPTION

DATEENGINEER OF WORK
R.C.E. 85665
SEAL DESIGN BY:

DRAWN BY:

CHECKED BY:

SCALE:

DATE:

JOB NUMBER:

CITY OF BEAUMONT, CALIFORNIA
SEWER IMPROVEMENT PLANS FOR:

FILE NO:

PLAN AND PROFILE
Temecula, California 92590
27363 VIA INDUSTRIA
TEL: (951) 217-8732
CURRY'S M.H.P.

OF 2 SHEETS
2 E. 6TH AVE. 24+40 TO 26+40
J.C.B.

J.C.B.

J.C.B.
10/9/2023
H: 1"=50'

CONSTRUCTION NOTES
PW2022-0821BOND # 72482534

SLURRY ENCASEMENT DETAIL
3/23/23

PW2023-1076
R01360014
3,915.00
11/7/2023

[COMPANY NAME]

Punch List

Project Name: Fairway Canyon

Tract No. 31462 PH 4A
PW2023-1076 Bond No. 1001124446
Inspected By: Jason Craghead Page: 1 of 1 Date: 12/13/23 Item
No. Description
Completed by
Construction
(Sign/Date)
Accepted by
(Sign/Date)
1 No items at this time.

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D

CITY OF BEAUMONT, CALIFORNIA

STORM DRAIN INFRASTRUCTURE IMPROVEMENT PLANS
TRACT NO. 31462
LINE "A", "B" , "C", "D", "E", "F", "G", "H", "I"
LEGEND

GENERAL NOTES

CONSTRUCTION NOTES & QUANTITY ESTIMATE
INDEX OF SHEETS:

ASSESSOR'S PARCEL NO.

DECLARATION OF ENGINEER OF RECORD:

APPLICANT/SUBDIVIDER:

PREPARED BY:

NOTE:
1 * RCP NOTES:

PHASE 1 PHASE 2
2/22
02/22/2022

AS-BUILT

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
2 INDICATES SHEET NO.#

INDEX MAP
LEGEND
18"-42" S.D. HEADWALL OUTLET DETAIL
PHASE

1 PHASE

2 10

LINE 'E'
3 4

LINE 'B'
LAT 'C-1A-1'
7 LINE 'H'
5 LINE 'A'
6 8
LINE 'E-5'

LINE 'E'
5 9

LINE 'I'

LINE 'G'LINE 'B'
LINE 'D'8
LINE 'C-1A'
LINE 'C-1A-2'
LINE 'B-2'
LINE 'B-3'
LINE 'B-5'
LINE 'B-6'
LINE 'E-2'
LINE 'H-1'
LINE 'H-2'
LINE 'B-4'
LINE 'C-1'
LINE 'E-3'
LINE 'B-1'
LINE 'E-6'
LINE 'D-2'LINE 'D-3'
LINE 'D-1'

LINE 'C'

LINE 'F'
10A
LINE 'E-4'
LINE 'E-1'
LINE 'E-7'
LINE 'E-8'
2/22
02/22/2022

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
3 MANHOLE & JUNCTION STRUCTURE DATA TABLE

TUKWET CANYON PARKWAY

COUPLES COURT
FUTURE

CONSTRUCTION NOTES
F.S. @ C.L. STORM DRAIN
E.G. @ C.L. STORM DRAIN
@
E.G. @ C.L.

STORM DRAIN
LINE "B-4"
LINE "A"

SORENSTAM DRIVE
C
O
U
R
T
C
O
U
P
L
E
S
EL
S

P
L
A
C
E
LINE "B-1"
2 -
8 "

F
O
R
C
E

M
A
I
N
2 -
8 "

F
O
R
C
E

M
A
I
N
LINE "B-2"
LINE "B-3"
LINE "B"
FU
T
U
R
E
P
H
A
S
E

1 P
H
A
S
E

2 L
I
N
E

"
F
"
2/22
02/22/2022

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
4 CONSTRUCTION NOTES

MANHOLE & JUNCTION STRUCTURE DATA TABLE
@
@@

WEISKOPF WAYZOELLER STREET

SORENSTAM DRIVE
LI
N
E

"
B
-
6 "
8 "

F
O
R
C
E

M
A
I
N
L
I
N
E

"
B
-
5 "
BRAID
P
L
A
C
E

JANSEN STREET
FUTURE
2/22
02/22/2022

5 11
25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D

CONSTRUCTION NOTES

MANHOLE & JUNCTION STRUCTURE DATA TABLE
@
@
@
S
O
R
E
N
S
T
A
M
D
R
I
V
E
@
@

OAK VALLEY PARKWAY

TUKWET CANYON PARKW
A
Y
@
@
2/22
02/22/2022

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
6 CONSTRUCTION NOTES

MANHOLE & JUNCTION STRUCTURE DATA TABLE
F.S. @ C/L STORM DRAIN
E.G. @ C/L STORM DRAIN
F.S. @ C/L STORM DRAIN
E.G. @ C/L

STORM DRAIN
F.G. @ C/L

STORM DRAIN
E.G. @ C/L

STORM DRAIN
SORENS
T
A
M
FA
L
D
O

S
T
R
E
E
T

BALLESTEROS DRIVE
DRI
V
E
LI
N
E

"
C
-
1 A
-
1 "
S
E
E

S
H
E
E
T

7 8
"

F
O
R
C
E

M
A
I
N
L
I
N
E

"
C
-
1 A
"
LINE
"
C
"

LIFT STATION SITE
LI
N
E

"
C
-
1 "
2/22
02/22/2022

7 CONSTRUCTION NOTES

MANHOLE & JUNCTION STRUCTURE DATA TABLE
11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
C.L.
2295
C.L.
2285
C.L.
2275
C.L.
2265
C.L.
2265
C.L.
2265
C.L.
2255
C.L.
2245
C.L.
2275
C.L.
2265
C.L.
2255
C.L.
2255
C.L.
2265
C.L.
2245
C.L.
2245
@
@
@
@
@
@
@
@
@
C.L.
2295
C.L.
2285
C.L.
2275
C.L.
2295
C.L.
2285
C.L.
2275

SORENSTAM DRIVE

LOPEZ LANE

BALLESTEROS DRIVE
L
I
N
E

"
C
-
1 A
-
2 "
LINE "C-1"
S
E
E

S
H
E
E
T

6 8
"

F
O
R
C
E

M
A
I
N
LINE "C-1A-1"
02/22/2022

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
8 CONSTRUCTION NOTES

MANHOLE & JUNCTION STRUCTURE DATA TABLE

SORENSTAM
D
R
I
V
ETUKWE
T

C
A
N
Y
O
N

P
A
R
K
W
A
Y
C/L
2260
C/L
2280
C/L
2270
C/L
2260
C/L
2280
C/L
2270
C/L
2260
C/L
2280
C/L
2270
C/L
2260
C/L
2280
C/L
2270
C/L
2250
C/L
2240
C/L
2230
C/L
2250
C/L
2240
C/L
2230
LI
N
E

"
D
"
LI
N
E

"
D
-
1 "
LI
N
E

"
D
-
2 "
L
I
N
E

"
D
-
3 "
LINE "A"
02/22/2022

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
9 CONSTRUCTION NOTES
2/22
02/22/2022

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
10 CONSTRUCTION NOTES MANHOLE & JUNCTION STRUCTURE DATA TABLE

TUKWETCANYONPARKWAY
LI
N
E

"
E
"
LINE "E-5"
FORD

S
T
R
E
E
T
LINE "E-6"
S
T
R
E
E
T

"
A
"
LINE "E-4"
L
I
N
E

"
E
-
2 "
L
I
N
E

"
E
-
3 "
LINE "E-1"
L
I
N
E

"
E
-
8 "
C/L
2290
C/L
2280
C/L
2270
C/L
2345
C/L
2335
C/L
2325
C/L
2325
C/L
2315
C/L
2305
C/L
2300
C/L
2290
C/L
2300
2310

C/L C/L
2345
C/L
2335
C/L
2325
02/22/2022

11 25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
10A

CONSTRUCTION NOTES

MANHOLE & JUNCTION STRUCTURE DATA TABLE
L
I
N
E

"
E
"
LINE "E-7
"ST
R
E
E
T

"
D
"
ST
R
E
E
T
ST
R
E
E
T

"
I
"
02/22/2022

11 11
25109 jefferson Ave. Suite 200
Murrieta, CA 92562
951-200-6840
#3093D
@
@
@
@
@
02/22/2022

City of Beaumont
550 E. 6th Street
Beaumont, CA 92223
(951) 769-8520
www.ci.beaumont.ca.us

BOND EXONERATION APPLICATION
Bond Type: Performance Maintenance Final Monument Inspection Other:________

1. Contact

2. Contact
City/State/Zip

5.-mail_________________________________________________________

3. Developer Name ______________________________________Phone____________ (If corporation or partnership application must include names of principal officers or partners)

4. Developer Address _____________________________________________________ City/St/Zip

5. Description of Bonds (including Bond Number, Tract Map/Application number, Lot number, and description of improvements covered):
________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

6.CERTIFICATION OF ACCURACY AND COMPLETENESS: I hereby certify that to the best of my knowledge the information in this application and all attached answers and exhibits are true, complete, and correct.
________________________________________________________________________ Print Name and Sign Contact/Applicant Date

7. Contractor shall indemnify, defend, and hold harmless the City and its officers, officials, employees and volunteers from and against any and all liability, loss, damage, expense, costs (including without limitation costs and fees of litigation) of every nature arising out comply with any of its obligations for which this Bond exoneration is requested, except for such loss or damage which was caused by the active negligence of the City. ________________________________________________________________________ Print Name and Sign Contact/Applicant Date
Case No. ________________
Receipt No. ______________
Fee $____________________
Date Paid ________________
PW2023-1073
3,915.00
R01358262
10/19/2023

8. Developer/Contractor has completed all the following items prior to requesting release or has included them in the application.

Remove and replace concrete and AC as needed where lifting.

Provide AC crack fill as needed. Crack fill/seal shall be hot asphaltic emulsion.

Provide Type II slurry coat for all road surfaces.

Restore/Verify pavement striping/markings.

Restore/Verify blue dots and signage as needed.

Clean and camera sewer. Provide report and video copy of camera survey.

Provide all final geotechnical reports.

Pro -of-Way.

Provide Landscape Architects Certification as required. ________________________________________________________________________ Print Name and Sign Contact/Applicant Date

[COMPANY NAME]

Punch List

Project Name: Sundance Blue Orchid & Bluebell

Tract No. 37426
Maintenance PW 2023-1073 Bond No. 0216989-M Sewer
Inspected By: Alex Stanko Page: 1 Date: 10-26-2023
Item
No. Description
Completed by
Construction
(Sign/Date)
Accepted by
(Sign/Date)
1 Provide updated set of as -builts. Alex Stanko
11/08/2023
Alex Stanko
11/08/2023

"AS-BUILT"

CI V I LS
T

ATE OF CA L I F O R NIA
R
EGI

STERE D P R O F E SSIONAL
E
N
G
I
N
E
ERNo. 61561
MIGUEL V . G O NZALEZ
-G
A
L
L
O
Exp. 6/30/25
11/8/2023

"AS-BUILT"

CI V I LS
T

ATE OF CA L I F O R NIA
R
EGI

STERE D P R O F E SSIONAL
E
N
G
I
N
E
ERNo. 61561
MIGUEL V. G O NZALEZ
-G
A
L
L
O
Exp. 6/30/25
11/8/2023

"AS-BUILT"

CI V I LS
T

ATE OF CA L I F O R NIA
R
EGI

STERE D P R O F E SSIONAL
E
N
G
I
N
E
ERNo. 61561
MIGUEL V. G O NZALEZ
-G
A
L
L
O
Exp. 6/30/25
11/8/2023

"AS-BUILT"

CI V I LS
T

ATE OF CA L I F O R NIA
R
EGI

STERE D P R O F E SSIONAL
E
N
G
I
N
E
ERNo. 61561MIGUEL V . G O NZALEZ
-G
A
L
L
O
Exp. 6/30/25
11/8/2023

"AS-BUILT"

CI V I LS
T

ATE OF CA L I F O R NIA
R
EGI

STERE D P R O F E SSIONAL
E
N
G
I
N
E
ERNo. 61561
MIGUEL V. G O NZALEZ
-G
A
L
L
O
Exp. 6/30/25
11/8/2023

PW2023-1074
R01360011
3,915.00
11/7/2023

[COMPANY NAME]

Punch List

Project Name: Fairway Canyon Monumentation Bond

Tract No. 32775
PW2023-1074 Bond No. 1083505 Final Monumentation
Inspected By: Alex Stanko Page: 1 Date: December 14, 2023 Item
No. Description
Completed by
Construction
(Sign/Date)
Accepted by
(Sign/Date)
1 No items.

12/19/23, 12:20 PM Mail - Richard Godsey - Outlook
https://outlook.office365.com/mail/id/AAQkADdiOGE4M2YyLTAyODAtNDg2My1iM2IyLWQ1NjM2MzYzODVjYwAQAPXO%2BjBIrZJMuKaQ5bZ%2B… 1/18 Re: PW2023-1074, PW2023-1075, PW2023-1076, PW2023-1077 Bond Exonerations Miguel Villaseñor
Wed 11/15/2023 1:40 PM
To: Richard Godsey ; Adam Brubaker ; Cherryl Thompson

Cc: Shelby Bundy ; Emma Johnson
Hi Richard,
There are no centerline es for Parcel Map 32775 because no centerline monuments were set.

Thank you,
Miguel Villaseñor-President
Inland Valley Surveying, Inc.
130 W. Walnut Ave. Suite A5
Perris, CA. 92571
(951)657-1200
[email protected]

Visit us at: www.inlandvalleysurveying.com
From: Richard Godsey
Sent: Wednesday, November 15, 2023 12:13 PM
To: Adam Brubaker ; Cherryl Thompson
Cc: Shelby Bundy ; Miguel Villaseñor ; Emma Johnson

Subject: Re: PW2023-1074, PW2023-1075, PW2023-1076, PW2023-1077 Bond Exoneraons

Good aernoon Adam,
Can you provide the Centerline Tie sheets for the TR 32775 Monuments please? I need to send these to the inspectors as well.

Thank you,

Richard Godsey, E.I.T.

Public Works Engineering Development Technician I

City of Beaumont

Staff Report

TO: City Council
FROM: Robert Vestal, Public Works Director
DATE February 6, 2024
SUBJECT: Offer of Dedication for Public Street and Public Utilities

Description A Resolution of the City of Beaumont authorizing the Mayor to accept the Offer of Dedication for Elm Avenue for public street and public utility purposes.

Background and Analysis:

On October 26, 2021, Planning Commission approved Plot Plan 2021 -0335 (Project) for a 100-megawatt lithium-ion stationery battery energy storage project located on the east side of Veile Avenue, west of Elm Avenue, south of Fourth Street, and north of Firs t Street.

The Project was conditioned to construct street improvements along Elm Avenue, coincident with the project frontage. The improvements included the dedication of right - of-way necessary for the construction of a cul-de-sac. The offer of dedication is to satisfy the conditions of approval and dedicate an easement for public street and public utility purposes for the construction of said cul-de-sac.

Figure 1 - Elm Avenue Cul-de-sac

Figure 2 - Vicinity Map
Fiscal Impact:

The cost to prepare this staff report is estimated to be $350. There is no fiscal impact with the acceptance of the offer of dedication. Future street improvements associated with the offer of dedication are not accepted and are not part of the publicly maintained system.

Recommended Action:

Waive the full reading and adopt by title only, “A Resolution of The City of Beaumont Authorizing the Mayor to Accept the Offer of Dedication for Elm Avenue for Public

Street and Public Utility Purposes”;
Approve the Certificate of Acceptance, and
Record the Offer of Dedication documents with the Riverside County Clerk Recorder’s Office.

Attachments:

A. Offer of Dedication Resolution
B. Certificate of Acceptance
C. Offer of Dedication

1 RESOLUTION NO. _______

A RESOLUTION OF THE CITY OF BEAUMONT AUTHORIZING

THE MAYOR TO ACCEPT THE OFFER OF DEDICATION FOR

ELM AVENUE FOR PUBLIC STREET AND PUBLIC UTILITY

PURPOSES
WHEREAS, Beaumont Industrial Equities, LLC has executed a Formal Offer of Dedication to the City of Beaumont for Public Street and Public Utility; and WHEREAS, Government Code Section 27281 provides that instruments conveying an interest in real property to the City may not be recorded without a Certificate of Acceptance from the City Council; and
WHEREAS, Government Code Section 27281 also provides that the City Council may, by a resolution, authorize one or more officers to accept instruments conveying an interest in real property by executing a Certificate of Acceptance; and
WHEREAS, the City Council desires to delegate to the Mayor the authority to accept the within described real property interests on behalf of the City.

WHEREAS, a certificate of acceptance for accepting the aforementioned easement will be recorded with the Riverside County Clerk Recorder’s Office once the resolution is adopted by City Council; and
NOW, THEREFORE, BE IT RESOLVED, that the City of Beaumont does authorize accepting the offer of dedication for Elm Avenue for public street and public utilities purposes identified in Exhibit “A” attached hereto and made a part hereof by this reference:

Provision 1. Recordation of the aforementioned certificate of acceptance shall be executed by the Mayor and recorded with the Riverside County Clerk Recorder’s Office

MOVED, PASSED AND ADOPTED this 6th day of February 2024.

AYES:

NOES:

ABSTAIN:

ABSENT:

2 By: __________ David Fenn, Mayor, City of Beaumont

ATTEST:

Elaine Morgan

CITY CLERK

By: _____________

When Recorded Return Original To:

City of Beaumont
c/o City Clerk
550 East 6th Street
Beaumont, CA 92223

NO RECORDING FEE REQUIRED PER GOVERNMENT CODE SECTION 27383

CERTIFICATE OF ACCEPTANCE OF GRANT DEED
(GOVERNMENT CODE SECTION 27281)

This is to certify that the interest in real property conveyed by that certain offer of Dedication Deed dated on or about November 29, 2023 from Beaumont Industrial Equities, LLC, a California limited liability Company, to THE CITY OF BEAUMONT, a general law city, is hereby accepted by the undersigned officer on behalf of THE CITY OF BEAUMONT pursuant to the authority conferred by action of the city council of THE CITY OF BEAUMONT on February 6, 2024, and the grantee consents to recordation thereof by its duly authorized officer.

___________________ ______________________________
Date David Fenn,
Mayor, City of Beaumont, CA

Staff Report

TO: City Council
FROM: Robert Vestal, Public Works Director
DATE February 6, 2024
SUBJECT: Offer of Dedication for Public Road and Public Utilities

Description A Resolution of the City of Beaumont authorizing the Mayor to accept the Offer of Dedication for Desert Lawn Drive for public road and public utility purposes.

Background and Analysis:

On July 14, 2021, Planning Commission approved Plot Plan 2018-0119 Beaumont Landing (Project) to construct and operate a gas station with nine (9) fuel pumps (18 fueling positions), a 6,700 square foot canopy, 3,800 square foot convenience store with an off-sale general license (Type 20) for the sale of beer and wine, and an attached 1,500 square foot car wash and a stand-alone 4,000 square foot drive-thru restaurant on a proposed 3.03-acre acre site located on the north side of Desert Lawn Drive, east of Oak Valley Parkway and west side of the I-10 Freeway.

The Project proposes to realign a portion of Desert Lawn Drive w ithin the project limits to increase the buildable area for the Project. Desert Lawn Drive is classified as a local street and only serves the Project and an existing storage facility further south. The Project applicant has been in communication with the storage facility owner about the realignment. The conditions of approval for the Project require the Project to provide access to the storage facility during construction.

The realignment of Desert Lawn requires two actions to complete: dedication of rig ht-of- way and subsequently vacating the previous alignment. In order for the realignment to be completed both actions need to be approved and recorded in sequence. Desert Lawn Drive vacation will be discussed per separate City Council item.

Figure 1- Desert Lawn Offer of Dedication

Figure 2- Desert Lawn Portion to Vacate

Fiscal Impact:

The cost to prepare this staff report is estimated to be $350. There is no fiscal impact with the acceptance of the offer of dedication. Future street improvements associated with the offer of dedication are not accepted and are not part of the publicly maintained system.

Recommended Action:

Waive the full reading and adopt by title only, “A Resolution of The City of Beaumont Authorizing the Mayor to Accept the Offer of Dedication for Desert Lawn Drive for Public Road and Public Utility Purposes”; Approve the Certificate of Acceptance; and record the Offer of Dedication documents with the Riverside County Clerk Recorder’s Office.

Attachments:

A. Offer of Dedication Resolution
B. Certificate of Acceptance
C. Offer of Dedication

1 RESOLUTION NO. _______

A RESOLUTION OF THE CITY OF BEAUMONT AUTHORIZING

THE MAYOR TO ACCEPT THE OFFER OF DEDICATION FOR

DESERT LAWN DRIVE FOR PUBLIC ROAD AND PUBLIC

UTILITY PURPOSES
WHEREAS, Beaumont Landing, LLC has executed a Formal Offer of Dedication to the City of Beaumont for Public Road and Public Utility; and WHEREAS, Government Code Section 27281 provides that instruments conveying an interest in real property to the City may not be recorded without a Certificate of Acceptance from the City Council; and
WHEREAS, Government Code Section 27281 also provides that the City Council may, by a resolution, authorize one or more officers to accept instruments conveying an interest in real property by executing a Certificate of Acceptance; and
WHEREAS, the City Council desires to delegate to the Mayor the authority to accept the within described real property interests on behalf of the City.

WHEREAS, a certificate of acceptance for accepting the aforementioned easement will be recorded with the Riverside County Clerk Recorder’s Office once the resolution is adopted by City Council; and
NOW, THEREFORE, BE IT RESOLVED, that the City of Beaumont does authorize accepting the offer of dedication for Desert Lawn Drive for public road and public utilities purposes identified in Exhibit “A” attached hereto and made a part hereof by this reference:

Provision 1. Recordation of the aforementioned certificate of acceptance shall be executed by the Mayor and recorded with the Riverside County Clerk Recorder’s Office

MOVED, PASSED AND ADOPTED this 6th day of February 2024.

AYES:

NOES:

ABSTAIN:

ABSENT:

2 By: __________ David Fenn, Mayor, City of Beaumont

ATTEST:

Elaine Morgan

CITY CLERK

By: _____________

When Recorded Return Original To:

City of Beaumont
c/o City Clerk
550 East 6th Street
Beaumont, CA 92223

NO RECORDING FEE REQUIRED PER GOVERNMENT CODE SECTION 27383

CERTIFICATE OF ACCEPTANCE OF GRANT DEED
(GOVERNMENT CODE SECTION 27281)

This is to certify that the interest in real property conveyed by that certain offer of Dedication Deed dated on or about November 29, 2023 from Beaumont Landing, LLC, a California limited liability Company, to THE CITY OF BEAUMONT, a general law city, is hereby accepted by the undersigned officer on behalf of THE CITY OF BEAUMONT pursuant to the authority conferred by action of the city council of THE CITY OF BEAUMONT on February 6, 2024, and the grantee consents to recordation thereof by its duly authorized officer.

___________________ ______________________________
Date David Fenn,
Mayor, City of Beaumont, CA

Staff Report

TO: City Council
FROM: Robert Vestal, Public Works Director
DATE February 6, 2024
SUBJECT: Intent to Vacate Desert Lawn Drive, South of Oak Valley Parkway

Description A Resolution of the City of Beaumont declaring its intention to vacate Desert Lawn Drive, south of Oak Valley Parkway.

Background and Analysis:

On July 14, 2021, Planning Commission approved Plot Plan 2018-0119 Beaumont Landing (Project) to construct and operate a gas station with nine (9) fuel pumps (18 fueling positions), a 6,700 square foot canopy, 3,800 square foot convenience store with an off-sale general license (Type 20) for the sale of beer and wine, and an attached 1,500 square foot car wash and a stand-alone 4,000 square foot drive-thru restaurant on a proposed 3.03-acre acre site located on the north side of Desert Lawn Drive, east of Oak Valley Parkway and west side of the I-10 Freeway.

The Project proposes to realign a portion of Desert Lawn Drive w ithin the project limits to increase the buildable area for the Project. Desert Lawn Drive is classified as a local street and only serves the Project and an existing storage facility further south. The Project applicant has been in communication with the storage facility owner about the realignment. The conditions of approval for the Project require the Project to provide access to the storage facility during construction.

The realignment of Desert Lawn requires two actions to complete: dedication of rig ht-of- way and subsequently vacating the previous alignment. In order for the realignment to be completed both actions need to be approved and recorded in sequence.

Figure 1- Desert Lawn Offer of Dedication

Figure 2- Desert Lawn Portion to Vacate

Vacation of Desert Lawn Drive

Before the City Council approves the vacation of Desert Lawn Drive, it must comply with all of the provisions of the California Streets and Highway Code (SHC) applicable for General Vacations. Section 8320 of the SHC allows for the City Council to initiate a street vacation proceeding by causing the City Clerk to set a hearing date for the proposed street vacation. Section 8320 requires the City Council to cause the City Clerk to set the date, hour, and place of the street vacation hearing. Section 8320 also requires specific notices be published by the legislative body before the street vacation hearing date. Prior to the public hearing staff will cause the publishing and posting of the notices required by the SHC.

Section 8320(2) of the SHC requires the City to publish the Notice of Hearing for the proposed street vacation at least fifteen days (15) before the hearing date. Section 8322(a) requires the legislative body to publish the Notice of Hearing for the proposed street vacation in a daily, semi-weekly, or weekly newspaper published and circulated in the city. Staff will publish all such notices.

Section 8323 of the SHC regulation requires the legislative body to post notice s of street vacation along the line of the street at least two weeks before the public hearing. The notices shall be posted not more than 300 feet apart, but at least three (3) notices shall be posted. Staff will cause the posting of all such notices prior to the public hearing.

At the hearing of the proposed street vacation proposed to be held at the regular meeting of the City Council on March 5, 2024, Section 8324 requires the legislative body to hear evidence by persons interested in the proposed street vacation., Section 8324 allows the legislative body to adopt a resolution to vacate the proposed street, if the City Council finds, from all the evidence submitted, that the street described in the notice of hearing is unnecessary for present or prospective public use.

In conjunction with adopting a resolution to vacate the proposed street, Section 8341 requires that the resolution to vacate the street include a recital for the reservation of existing easements such as existing utility easements and existing emergency access easements, if required by the public agency. For this street vacation, City staff have determined that existing public utility easements shall be reserved as is provided in the attached Resolution.

Staff has reviewed the California SHC provisions that a legislative body must follow when processing a street vacation. City staff will adhere to all of the regulations established by the SHC by initiating a proceeding for the proposed street vacation, scheduling a hearing date for the proposed street vacation, and by publishing the required notice of hearing in the local newspaper and posting the same. City staff

recommends City Council adopt a Notice of Intent for the proposed street vacation of Desert Lawn Drive, south of Oak Valley Parkway for the date of the public hearing scheduled on March 5, 2024, under the SHC.

Fiscal Impact:

The cost to prepare this staff report is estimated to be $1 ,500. There is no fiscal impact associated with the recommended action.

Recommended Action:

Waive the full reading and adopt by title only, “A Resolution of The City of Beaumont Declaring its Intention to Vacate Desert Lawn Drive, South of Oak Valley Parkway”.

Attachments:

A. Notice of Vacation Resolution
B. Vacation Plat and Legal
C. Draft Desert Lawn Drive Vacation Resolution
D. SHC General Vacation references

RESOLUTION NO. ________

A RESOLUTION OF THE CITY OF BEAUMONT DECLARING ITS INTENTION TO

VACATE DESERT LAWN, SOUTH OF OAK VALLEY PARKWAY

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Beaumont, State of California, as follows:

SECTION 1. That the Council hereby elects to proceed under Section 8300, et seq., of the Streets and Highways Code, also known as the Public Streets, Highways and Service Easements Vacation Law.

SECTION 2. That the City Council hereby declares its intention to vacate a portion of Desert Lawn Drive, south of Oak Valley Parkway as shown on the plat and legal description, on file in the Office of the City Clerk, a legal description of which is attached hereto, as Exhibit "A" and by this reference made a part thereof.

SECTION 3. That the City Council hereby fixes the 5th of March, at 6:00 P.M., in the City Council Chambers, located at 550 E. Sixth Street, Beaumont, California, which date is more than fifteen days after the adoption of this resolution, as time and place for hearing all persons objecting to the proposed vacation for the purpose of determining whether said street, highway or public service easement is necessary for present or prospective public use.

SECTION 4. That the City shall cause notices to be posted conspicuously along the line of the street or part thereof proposed to be vacated at least two weeks before the hearing, not more than three hundred feet apart and not less than three signs shall be posted, each of which shall have a copy of this resolution on them, and shall have the following title in lettering not less than one inch in height: "NOTICE OF HEARING TO VACATE STREET."

SECTION 5. The subject vacation shall be subject to the easements, rights, reservations and exceptions for existing private and public utilities.

SECTION 6. The City Clerk shall cause this resolution to be published twice for two successive weeks in a newspaper published in the City before the date set for the hearing.

SECTION 7. The City Clerk shall certify to the passage and adoption of this resolution, and it shall thereupon take effect and be in full force.

MOVED, PASSED AND ADOPTED this 6th day of February 2024.

AYES:

NOES:

ABSTAIN:

ABSENT:

By: __________ David Fenn, Mayor, City of Beaumont

ATTEST:

Elaine Morgan

CITY CLERK

By: _____________

EXHIBIT “A’
(attach legal description and plat)

RESOLUTION NO. _______

A RESOLUTION OF THE CITY OF BEAUMONT VACATING THE

STREET RIGHT-OF-WAY EASEMENT FROM DESERT LAWN

DRIVE, SOUTH OF OAK VALLEY PARKWAY
WHEREAS, the City Council initiated a proceeding to vacate the existing street right-of- way within Desert Lawn Driver, south of Oak Valley Parkway on February 6, 2024 and at least fifteen days has elapsed since the initiation of such proceedings; and WHEREAS, the City Clerk has set a hearing on this date by fixing the date, hour, and place of the hearing and causing the publishing and posting of the notices required by the California Streets and Highway Code (SHC) 8340 et. seq.;
WHEREAS, City wishes to vacate the street right-of-way only if the street vacation conforms to the provisions of the (SHC); and
WHEREAS, notice of the hearing on the proposed street vacation was published for at least two successive weeks prior to the hearing in a daily, semiweekly, or weekly newspaper published and circulated in the City;
WHEREAS, at least two weeks before the day set for the hearing, the City posted three conspicuous notices of vacation along the line of Desert Lawn Drive not more than 300 feet apart; WHEREAS, SHC Section 8340 requires that the legislative body determine if reservation of existing utility easements are required in the right of way that is to be vacated and in this case reservation of such existing utility easement is required; and WHEREAS, SHC Section 8320 requires the legislative body to schedule and hold a public hearing on the street is to be vacated and to hear evidence presented by anyone who has opposition to the street vacation; and
WHEREAS, SHC Section 8324 allows the legislative body to determine based on the evidence whether the street is unnecessary for present or prospective public use and if such a finding is made the street may be vacated by adopting a resolution to vacate the street; and WHEREAS, Staff recommends the street vacation of Desert Lawn Drive to proceed if the City Council makes the required findings.

NOW, THEREFORE, BE IT RESOLVED, that the City of Beaumont does authorize the vacation of Desert Lawn per the following provisions:

Provision 1. All existing public utility easements are hereby reserved within area of Desert Lawn Drive being vacated.

Provision 2. This resolution along with the legal description and plat for the vacation of Desert Lawn Drive, in the form attached hereto as Exhibit “A” and made a part hereof by this reference, shall be recorded with the Riverside County Clerk Recorder’s Office by the City Clerk.

MOVED, PASSED AND ADOPTED this 5th day of March 2024.

AYES:

NOES:

ABSTAIN:

ABSENT:

By: __________ David Fenn, Mayor, City of Beaumont

ATTEST:

Elaine Morgan

CITY CLERK

By: _____________

EXHIBIT “A’
(attach legal description and plat)

Code:Select Code Section:1 or 2 or 1001 Search
8320.
8321.

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STREETS AND HIGHWAYS CODE - SHC
DIVISION 9. CHANGE OF GRADE AND VACATION [8000 - 8363] ( Division 9 added by Stats. 1941, Ch. 79. ) PART 3. PUBLIC STREETS, HIGHWAYS, AND SERVICE EASEMENTS VACATION LAW [8300 - 8363] ( Part 3 repealed and added by Stats. 1980, Ch. 1050, Sec. 29. )
CHAPTER 3. General Vacation Procedure [8320 - 8325] ( Chapter 3 added by Stats. 1980, Ch. 1050, Sec. 29. ) (a) The legislative body of a local agency may initiate a proceeding under this chapter in either of the following ways:
(1) On its own initiative, where the clerk of the legislative body shall administratively set a hearing by fixing the date, hour, and place of the hearing and cause the publishing and posting of the notices required by this chapter. (2) Upon a petition or request of an interested person, at the discretion of the legislative body, except as provided in subdivision (e) of Section 8321, where the clerk of the legislative body shall administratively set a hearing by fixing the date, hour, and place of the hearing and cause the publishing and posting of the notices required by this chapter.
(b) The notices required by this chapter shall contain both of the following:
(1) A description of the street, highway, or public service easement proposed to be vacated and a reference to a map or plan, that shows the portion or area to be vacated and includes a statement that the vacation proceeding is conducted under this chapter. In the case of a street or highway, the description shall include its general location, its lawful or official name or the name by which it is commonly known, and the extent to which it is to be vacated.

In the case of a public service easement, the description shall identify it with common certainty. The map or plan showing the location of the street, highway, or public easement proposed to be vacated is sufficient compliance with this paragraph.
(2) The date, hour, and place for hearing all persons interested in the proposed vacation. The date shall not be less than 15 days after the initiation of proceedings.
(Amended by Stats. 1998, Ch. 876, Sec. 20. Effective January 1, 1999.) (a) Ten or more freeholders may petition the board of supervisors to vacate a street or highway under this chapter. At least two of the petitioners shall be residents of the road district in which some part of the street or highway proposed to be vacated is situated and shall be taxable therein for street or highway purposes. (b) Five or more freeholders may petition the board of supervisors to vacate a public service easement under this chapter. At least one of the petitioners shall be a resident of the township in which the public service easement proposed to be vacated is situated.
(c) The residence address of each petitioner shall be set forth in the petition. (d) The board of supervisors may require the payment of a fee for filing a petition to defray the expenses of investigations, mailings, publications, and postings under this chapter. (e) Upon the filing of a petition and the making of the deposit, if any, required under this section, the board of supervisors, by order, shall fix the date, hour, and place of the hearing on the petition. At least two weeks before the day set for the hearing, the clerk of the board shall mail a notice of the date, hour, and place of the hearing to each of the petitioners at the address set forth in the petition. (f ) Nothing in this section shall affect the right of a legislative body to initiate a proceeding under this chapter upon its own initiative, or upon petition or request of an interested person, or prevent the board of supervisors from Home Bill Information California Law Publications Other Resources My Subscriptions My Favorites

8322.
8323.
8324.
8325.
vacating a street, highway, or public service easement without charging costs if the board determines it is in the public interest to do so.
(Amended by Stats. 1981, Ch. 64, Sec. 1.)
(a) Except as provided in subdivisions (b) and (c), notice of the hearing on the proposed vacation shall be published for at least two successive weeks prior to the hearing in a daily, semiweekly, or weekly newspaper published and circulated in the local agency conducting the proceeding and which is selected by the legislative body for that purpose or by the clerk or other officer responsible for the publication where the legislative body has not selected any newspaper for that purpose.
(b) If the proceeding is conducted by a city and there is no daily, semiweekly, or weekly newspaper published and circulated in the city, the notice shall be published in some newspaper published in the county in which the city is located.
(c) Notice need not be published under this section where there is no daily, semiweekly, or weekly newspaper published and circulating in the county in which the local agency conducting the proceeding is located. (Amended by Stats. 1998, Ch. 876, Sec. 21. Effective January 1, 1999.) At least two weeks before the day set for the hearing, the legislative body shall post conspicuously notices of vacation along the line of the street, highway, or public service easement proposed to be vacated. The notices shall be posted not more than 300 feet apart, but at least three notices shall be posted. If the line of the street, highway, or public service easement proposed to be vacated exceeds one mile in length, the legislative body may, in lieu of posting not more than 300 feet apart, post notices at each intersection of another street or highway with the street, highway, or public service easement to be vacated and at one point approximately midway between each intersection, but at least three notices shall be posted. (Amended by Stats. 1998, Ch. 876, Sec. 22. Effective January 1, 1999.) (a) At the hearing, the legislative body shall hear the evidence offered by persons interested. (b) If the legislative body finds, from all the evidence submitted, that the street, highway, or public service easement described in the notice of hearing or petition is unnecessary for present or prospective public use, the legislative body may adopt a resolution vacating the street, highway, or public service easement. The resolution of vacation may provide that the vacation occurs only after conditions required by the legislative body have been satisfied and may instruct the clerk that the resolution of vacation not be recorded until the conditions have been satisfied.
(Amended by Stats. 1998, Ch. 876, Sec. 23. Effective January 1, 1999.) (a) The clerk shall cause a certified copy of the resolution of vacation, attested by the clerk under seal, to be recorded without acknowledgment, certificate of acknowledgment, or further proof in the office of the recorder of the county in which the property is located. No fee shall be charged for recordation. (b) Upon such recordation, the vacation is complete.
(Added by Stats. 1980, Ch. 1050, Sec. 29.)

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8340.
8341.

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STREETS AND HIGHWAYS CODE - SHC
DIVISION 9. CHANGE OF GRADE AND VACATION [8000 - 8363] ( Division 9 added by Stats. 1941, Ch. 79. ) PART 3. PUBLIC STREETS, HIGHWAYS, AND SERVICE EASEMENTS VACATION LAW [8300 - 8363] ( Part 3 repealed and added by Stats. 1980, Ch. 1050, Sec. 29. )
CHAPTER 5. Reservation and Preservation of Easements [8340 - 8349] ( Chapter 5 added by Stats. 1980, Ch. 1050, Sec. 29. )
ARTICLE 1. Reservation of Easements [8340 - 8341] ( Article 1 added by Stats. 1980, Ch. 1050, Sec. 29. ) In a proceeding to vacate a street or highway:
(a) A public entity may reserve and except from the vacation the easement and right at any time, or from time to time, to construct, maintain, operate, replace, remove, and renew sanitary sewers and storm drains and appurtenant structures in, upon, over, and across a street or highway proposed to be vacated and, pursuant to any existing franchise or renewals thereof, or otherwise, to construct, maintain, operate, replace, remove, renew, and enlarge lines of pipe, conduits, cables, wires, poles, and other convenient structures, equipment, and fixtures for the operation of gas pipelines, telegraphic and telephone lines, railroad lines, and for the transportation or distribution of electric energy, petroleum and its products, ammonia, and water, and for incidental purposes, including access to protect these works from all hazards in, upon, and over the street or highway proposed to be vacated.
(b) A local agency may reserve and except from vacation an easement for a future street or highway, unless the local agency finds that the street or highway is unnecessary for prospective public use. (c) If there are in-place public utility facilities that are in use, a public entity shall, unless the legislative body determines the public convenience and necessity otherwise require, reserve, and except from the vacation any easement and right necessary to maintain, operate, replace, remove, or renew the public utility facilities. (d) A public entity may reserve and except from the vacation, or may grant to another state or local public agency, an easement and right, at any time or from time to time, to construct, maintain, operate, replace, remove, and renew vehicular or nonvehicular trails for use by the public in, upon, over, and across a street or highway proposed to be vacated.
(Amended by Stats. 1990, Ch. 248, Sec. 1.)
(a) In a proceeding to vacate a street or highway, if the legislative body determines that the public convenience and necessity require the reservation and exception of easements and rights-of-way for works enumerated in Section 8340, such reservations and exceptions shall be recited in the resolution of vacation, in addition to any other matter required to be recited therein. The recital may describe the reservations and exceptions by reference to a precise map which is recorded or to which reference is made in the resolution and which is permanently maintained by the public entity.
(b) Subsequent proceedings of the public entity in relation to the vacation, including a deed or conveyance of title to or an interest in the property, are subject to, and governed by, the reservations and exceptions recited in the resolution of vacation and the deed or conveyance shall contain a recital to that effect. (Added by Stats. 1980, Ch. 1050, Sec. 29.)
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Staff Report

TO: City Council
FROM: Christina Taylor, Deputy City Manager
DATE February 6, 2024
SUBJECT: Second Reading of Amendments to Beaumont Municipal Code Chapter

13.21 Mobile Home Park Rent Stabilization Ordinance

Description Second reading of an ordinance for the periodic review and recommended changes to Beaumont Municipal Code Chapter 13.21 Mobile Home Park Rent Stabilization for the purposes of streamlining processes and consistency with state law.

Background and Analysis:

A Public Hearing and first reading of this ordinance was held on January 16, 2024.

On November 7, 2023, the City Council met regarding proposed amendments to City Code, Chapter 13.21, the “Mobile Home Park Rent Stabilization” or dinance, which has been in effect since around 1996. Prior to the November 7, 2023 City Council meeting, the City Attorney’s office and staff reviewed the current mobile home rent stabilization provisions and recommended certain amendments be made to the ordinance. Following public comment and Council questions, Council requested staff come back with additional amendments. Per Council request, the updated proposed ordinance does the following:

1. Removes/amends outdated and/or unnecessary recitals.

2. Provides that the administration of the ordinance be under the general direction of the City Manager and/or their designee, rather than the Planning Director, in-which the position no longer exists.

3. Removes outdated statutory and other exemptions. Per public comm ent and Council direction, an exemption for vacancies has been added.

4. Updates/adds definitions and the CPI Index as applicable. During the November 7, 2023 City Council meeting, Council discussed whether the definition of “Mobile home park” should be further amended to raise the number of mobile home sites sufficient to fall within the ordinance. Currently, the proposed definition includes two or more mobile home sites, which mirrors state law. However, the Council may consider raising this limit to three o r four.

5. Removes duplicative requirement for park registration, as mobile home park owners are required to obtain a business license, which serves the same purpose. In lieu of the registration requirement, the proposed amendments require mobile home park owners to provide specified information upon City request.

6. Updates the available annual adjustments and petition requirements.

Consistent with the current ordinance provisions, mobile home park owners may adjust the maximum rent ceiling annually in an amount equal to 100 percent of the CPI for that year. The proposed amendment recommends an increase cap at 7% per year, as well as an increase floor of 3% per year, per public request. In addition, mobile home park owners can petition for Net Operating Income Adjustments (if they are not receiving a just and reasonable rate of return on their property) or for costs of certain capital improvements.

7. Provides that petitions for adjustments be heard by the City Administrative Appeals Board, and makes corresponding reference changes throughout.

The City Code already provides that the Administrative Appeals Board has the duty to conduct administrative hearings on appeals pertaining to Mobile home Park Rent Stabilization (City Code Chapter 2.30.040). This amendment creates consistency between the two provisions.

8. Removes provisions permitting petitions by tenants and landlords to seek determinations of whether proposed or actual actions by landlords are permitted under the ordinance. These provisions have not been us ed by tenants or landlords in at least the past several years, if at all.

9. Removes provisions related to appeals to an arbitrator. Administrative Appeals Board decisions are currently appealable to Court pursuant to Code of Civil Procedure Sections 1094.5 and 1094.6.

10. Updates enforcement provisions.

11. Removes requirement for periodic review.

12. Removes provisions related to introduction, effective date and repeal, which are governed by state law.

13. Adds language as to when a capital improvement shall be “deemed completed” for purposes of increasing rent pursuant to a capital improvement increase petition.

In addition to the above, there has been a public request to add an exemption at the local level for long-term leases. Previously, state law expressly exempted long-term leases from local rent control ordinances, provided certain requirements were met. This state exemption is now being phased out over concerns that residents lacked bargaining power and/or were being incentivized to enter such leases, without knowledge that such lease would remove residents from the protection of local rent control. If Council requests an exemption for long-term agreements be added at the

local level, the following language (with or without change), may be added at Section

13.21.050, subsection C.

C. Long Term Rental Agreement.

1. Any rental agreement in excess of 12-months duration which also meets all criteria specified below shall be exempt from the space rent ceiling provisions of this ordinance. To qualify for this exemption, the rental agreement must meet all of the following criteria:

a. The rental agreement shall be in excess of 12 months duration. b. The rental agreement shall be entered into between the management and the homeowner for the personal and actual residence of the homeowner. c. The homeowner shall have at least 30 days from the date the rental agreement is first offered to the homeowner to a ccept or reject the rental agreement.
d. The homeowner who signs the rental agreement pursuant to this section may void the rental agreement by notifying management in writing within 72 hours of returning the signed rental agreement to management. e. The homeowner who signs a rental agreement pursuant to this section may void the agreement within 72 hours of receiving an executed copy of the rental agreement in accordance with the Mobilehome Residency Law.

This paragraph shall only apply if management does not p rovide the homeowner with a copy of the signed rental agreement at the time the homeowner returns the signed rental agreement.
f. The rental agreement contains a statement in the first sentence of the first paragraph, in at least twelve-point type or capital letters, giving notice to the mobilehome resident that, by entering into the lease, the rent control provisions of this ordinance will be automatically superseded by the lease provisions regarding rent and rent increases.

2. The exemption shall apply only during the term of such rental agreement or any uninterrupted, continuous extensions thereof. If such rental agreement is not extended and no new rental agreement in excess of 12-months duration is entered into, then the last month's rent under the expired rental agreement shall be the base rent for purposes of this ordinance.

3. Any rental agreement exempt from this ordinance by virtue of this section shall remain so exempt despite voluntary amendments made thereto, as long as any amendments extending the term contain the disclosures required above.

4. If, pursuant to paragraph (c) or (d) of subsection (1), the homeowner rejects the offered rental agreement or rescinds a signed rental agreement, the homeowner shall be entitled to instead accept a rental agreeme nt for a term of 12 months or less from the date the offered rental agreement was to have begun. 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 rental agreement offered pursuant to subdivision (1), during the first 12 months, except for options, if any, contained in the offered rental agreement to extend or renew the rental agreement.

5. No rental agreement shall contain any terms or conditions with respect to charges for rent, utilities, or incidental reasonable service charges that would be different during the first 12 months of the rental agreement from the corresponding terms or conditions that would be offered to the homeowners on a month-to-month basis.

6. No rental agreement for a term of 12 months or less shall include any provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement beyond the initial term for a term longer than 12 months at the sole option of either the management or the homeowner.

7. Nothing in this section shall be construed to prohibit the management from offering gifts of value, other than rental rate reductions, to homeowners who execute a rental agreement pursuant to this section.

8. At the time the rental agreement is first offered to the homeowner, the management shall provide written notice to the homeowner of the homeowner’s right (1) to have at least 30 days to inspect the rental agreement, and (2) to void the rental agreement by notifying management in writing within 72 hours of receipt of an executed copy of the rental agreement. The failure of the management to provide the written notice shall m ake the rental agreement voidable at the homeowner’s option upon the homeowner’s discovery of the failure. The receipt of any written notice provided pursuant to this subdivision shall be acknowledged in writing by the homeowner.

9. No rental agreement shall have a provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement for a period beyond the initial stated term at the sole option of either the management or the homeowner.

Alternatively, Council may elect to exempt only those long-term leases already in effect, during the current term of the long-term lease. If Council requests this exemption, the following language (with or without change), may be added at Section 13.21.050, subsection C.

C. Long Term Rental Agreement.

1. Subject to subsection 2, any rental agreement entered into on or before December 31, 2023, which is in excess of 12-months duration and meets the criteria specified in the Mobilehome Residency Law, including Section 798.15 and Section 798.17 of the California Civil Code.

Any long-term rental agreement that meets the requirements of subsection 1, above, shall be exempt from this Ordinance during the current term of the agreement in effect on or before December 31, 2023, only.

Fiscal Impact:

The cost to prepare this staff report is approximately $1,000 .

Recommended Action:

Waive the second full reading and adopt by title only, “An Ordinance of the City Council of the City of Beaumont California Amending Chapter 13.21 Mobile Home Park Rent Stabilization of the Beaumont Municipal Code”.

Attachments:

A. Ordinance Amending Chapter 13.21
B. Proposed Chapter 13.21 – Redline Version
C. Proof of Public Notice

1 ORDINANCE NO. __________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY

OF BEAUMONT, CALIFORNIA, AMENDING BEAUMONT
MUNICIPAL CODE CHAPTER 13.21 “MOBILE HOME
PARK RENT STABILIZATION”

THE CITY COUNCIL OF THE CITY OF BEAUMONT DOES ORDAIN AS FOLLOWS:

SECTION 1. CEQA. The City Council finds that the actions contemplated by this Ordinance are exempt from the California Environmental Quality Act (“CEQA”) pursuant to Section 15060 (c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly.

SECTION 2. Prosecution of Prior Ordinances. Neither the adoption of this Ordinance nor the repeal of any other ordinance of this City shall in any manner affect the prosecution of any violation of any City ordinance or provision of the City of Beaumont Municipal Code, committed prior to the effective date hereof, nor be construed as a waiver of any penalty or the penal provisions applicable to any violation thereof.

SECTION 3. City Code Chapter 13.21, Section 13.21.020 “Statement of purpose and findings” is amended to read as follows:

13.21.020 Statement of purpose and findings.

A. Mobile home owners have a substantial investment in their residences and appurtenances for which space is rented or leased. Alternate sites for relocation of mobile homes are difficult to find due to restrictions of age, size, or style of mobile homes permitted in many parks, and related to the installation of mobile homes, including permits, landscaping and site preparation. Additionally, the cost of moving a mobile home may be substantial, and the risk of damage in moving is significant.

B. Mobile homes are often occupied by senior citizens, persons on fixed income and persons of low or moderate income, where extreme rent adjustments fall upon these individuals with particular harshness. Many mobile home owners have a substantial portion of their net asset worth invested in their mobile homes. The continuing possibility of unreasonable space rental adjustments in mobile home parks threatens to diminish the value of the investment of the mobile home owners in their homes.

Further, existing state law permits mobile home park owners to require mobile home owners to make modifications to their homes for reasons of aesthetics or conformity to park standards that amount to capital improvements which would accrue to the benefit of the park owner by potentially increasing the market value of the park itself.

2 C. The result of these conditions is the creation of a captive market of mobile home owners and tenants. This, in turn, contributes to the creation of an imbalance in the bargaining relationship between park owners and mobile home park tenants in favor of the park owners.

D. The City Council of the City of Beaumont finds and declares it necessary to facilitate and encourage fair bargaining between mobile home owners and park owners in order to achieve mutually satisfactory agreements regarding space rental rates in mobile home parks (a) to preserve to the residents the value of their mobile homes and (b) to preserve to the park owners the value of their parks. Absent such agreements, the City Council further finds and declares it necessary to protect the owners and residents of mobile homes from unreasonable space rental adjustments while simultaneously recognizing and providing for the need of park owners to receive a just and reasonable return on their property.

E. The City Council of the City of Beaumont finds that it is the goal of the City's Housing Element to "conserve and improve the condition of the existing stock of affordable housing" in the City, and to encourage conversion of mobile home rental units or mobile home parks to ownership in a way that maintains existing affordable conditions.

F. The City Council of the City of Beaumont finds and declares that Ordinance No. 602, enacted in 1984, and amendments, adding Chapter 13.16 to the Beaumont Municipal Code, entitled Mobile Home Rent Revenue Commission, has been reviewed and evaluated and is found to be inadequate for the needs and purposes of the City as reflected in the above findings and should, therefore, be repealed with the adoption of this Ordinance.

G. Administration of this Ordinance shall be under the general direction of the City Manager or their designee.

SECTION 4. City Code Chapter 13.21, Section 13.21.030 “Application” is amended to read as follows:

13.21.030 Application.

The provisions of this Ordinance shall apply to all mobile home residential rental spaces located within the City of Beaumont unless otherwise exempt from the provisions of this Ordinance by the Mobilehome Residency Law, this Ordinance, or by applicable State or Federal law. Nothing in this Ordinance shall be deemed to supersede any provision of California Civil Code Section 798 et seq., and as it may be amended.

SECTION 5. City Code Chapter 13.21, Section 13.21.040 “Definitions” is amended to read as follows:

3 13.21.040 Definitions.

In construing the provisions of this Ordinance, the following definitions shall apply:

A. "Base year" is the calendar year 1995.

B. "Capital Improvement" means the installation of new improvements and facilities, and/or the replacement or reconstruction of existing improvements and facilities which consist of more than ordinary maintenance or repairs, with a useful life of at least five years.

C. “City” means the City of Beaumont, California.

D. "Consumer Price Index" or "C. P. I." means the Index known as the "Consumer Price Index for all Urban Consumers for the Riverside-San Bernardino-Ontario Area”, or the index which may replace this index if it is discontinued.

E. "Mobile home" shall have the same meaning as set forth in California Civil Code section 798.3, as may be amended from time to time. Notwithstanding the above, mobile home does not include "recreational vehicle" as defined in Section 799.29 of the Civil Code or a "commercial coach" as defined in Section 18001.8 of the Health and Safety Code.

F. “Mobilehome owner” or “homeowner” means any person who has a tenancy in a Mobile home Park under a rental agreement.

G. “Mobile home park” means any area of land in the City where two or more mobile home sites are rented, or held out for rent, to accommodate mobile homes used for human habitation.

H. "Mobile home park owner" or "park owner" means the owner, lessor, operator, manager or designated agent thereof of a mobile home park; sometimes referred to as "owner” or “landlord.”

I. “Mobilehome Residency Law” means and refers to Chapter 2.5 of the California Civil Code section 798, et seq., as may be amended from time to time.

J. "Mobile home space" or "space" means the site within a mobile home park intended, designed, or used for the location or accommodation of a mobile home and any accessory structures or appurtenances attached thereto or used in conjunction therewith.

K. "Rent adjustments" means any rent increase or decrease demanded of or paid by a tenant, including any reduction in housing services without a corresponding reduction in the monies demanded or paid for rent.

4 L. "Rental agreement" means an agreement between a mobile home park owner and tenant establishing the terms and conditions of a tenancy in a mobile home park. A lease is a rental agreement.

M. “Resident” is a homeowner or other person who lawfully occupies a mobile home in the City.

N. "Residential rental space" means any mobile home space occupied by any person other than the owner of the park for payment of rent pursuant to an oral or written lease, or other form of rental agreement.

O. "Space rent" means the consideration, including any bonuses, benefits, or gratuities demanded or received for and in connection with the use or occupancy of a mobile home space within a mobile home park, or for housing services provided and security deposits, but exclusive of any amounts paid for the use of the mobile home as a dwelling unit. The use or occupancy of a mobile home space shall include the exercise of all rights and privileges and the use of facilities, services and amenities accruing to the residents thereof. "Space rent" shall not include any separately billed utility fees and charges for natural gas or liquid propane gas, electricity, water, cable television, garbage or refuse service and sewer service.

P. "Tenancy" means the right of a homeowner to the use of a site within a mobile home park on which to locate, maintain, and occupy a mobile home, site improvements and accessory structures for human habitation, including the use of the services and facilities of the mobile home park.

Q. "Tenant" means any person entitled to occupy such mobile home space pursuant to an oral or written lease with the owner thereof, or pursuant to some other rental agreement with the owner, lessor, operator or manager thereof.

SECTION 6. City Code Chapter 13.21, Section 13.21.050 “Exemptions from coverage” is hereby amended to read as follows:

13.21.050 Exemptions from coverage.

The provisions of this Ordinance shall not apply to the following:

A. Any rental agreement exempt from local rent control regulations pursuant to the Mobilehome Residency Law, as may be amended from time to time.

B. Vacancies.

1. Subject to the exceptions in paragraphs 2 and 3 below, if the mobile home space or mobile home is (a) voluntarily vacated, abandoned, or repossessed, or (b) vacated pursuant to the Mobilehome Residency Law, the landlord may adjust the rental rate to an amount as he or she in his or her discretion may determine.

5 2. If the mobile home is sold in place and is to remain on site, the landlord may only increase the rental rate of the space to the new owner to an amount that is no greater than the average of the three highest rentals then currently being charged by the park owner for resident owner-occupied spaces of comparable size, location and amenities in the park.

3. In the event a resident owner must move from his or her mobile home because of a need for long term medical or custodial care, the space shall remain subject to this Ordinance during the time that the owner is absent and remains incapacitated. In those parks that allow subletting, the absent and incapacitated owner may sublet the mobile home for a charge not to exceed the space rent and utilities and all legally allowable pass thorough costs for a period of time not to exceed 24 months without removing the space from the protection of this Ordinance.

C. Long Term Rental Agreement.

1. Any rental agreement in excess of 12-months duration which also meets all criteria specified below shall be exempt from the space rent ceiling provisions of this Ordinance. To qualify for this exemption, the rental agreement must meet all of the following criteria:

a. The rental agreement shall be in excess of 12 months’ duration.

b. The rental agreement shall be entered into between the management and the homeowner for the personal and actual residence of the homeowner.

c. The homeowner shall have at least 30 days from the date the rental agreement is first offered to the homeowner to accept or reject the rental agreement.

d. The homeowner who signs the rental agreement pursuant to this section may void the rental agreement by notifying management in writing within 72 hours of returning the signed rental agreement to management.

e. The homeowner who signs a rental agreement pursuant to this section may void the agreement within 72 hours of receiving an executed copy of the rental agreement in accordance with the Mobilehome Residency Law. This paragraph shall only apply if management does not provide the homeowner with a copy of the signed rental agreement at the time the homeowners returns the signed rental agreement.

f. The rental agreement contains a statement in the first sentence of the first paragraph, in at least twelve point type or capital letters, giving

6 notice to the mobilehome resident that, by entering into the lease, the rent control provisions of this ordinance will be automatically superseded by the lease provisions regarding rent and rent increases.

2. The exemption shall apply only during the term of such rental agreement or any uninterrupted, continuous extensions thereof. If such rental agreement is not extended and no new rental agreement in excess of 12-months duration is entered into, then the last month's rent under the expired rental agreement shall be the base rent for purposes of this Ordinance.

3. Any rental agreement exempt from this Ordinance by virtue of this section shall remain so exempt despite voluntary amendments made thereto, as long as any amendments extending the term contain the disclosures required above.

4. If, pursuant to paragraph (c) or (d) of subsection (1), the homeowner rejects the offered rental agreement or rescinds a signed rental agreement, the homeowner shall be entitled to instead accept a rental agreement for a term of 12 months or less from the date the offered rental agreement was to have begun. 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 rental agreement offered pursuant to subdivision (1), during the first 12 months, except for options, if any, contained in the offered rental agreement to extend or renew the rental agreement.

5. No rental agreement shall contain any terms or conditions with respect to charges for rent, utilities, or incidental reasonable service charges that would be different during the first 12 months of the rental agreement from the corresponding terms or conditions that would be offered to the homeowners on a month-to-month basis.

6. No rental agreement for a term of 12 months or less shall include any provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement beyond the initial term for a term longer than 12 months at the sole option of either the management or the homeowner.

7. Nothing in this section shall be construed to prohibit the management from offering gifts of value, other than rental rate reductions, to homeowners who execute a rental agreement pursuant to this section.

8. At the time the rental agreement is first offered to the homeowner, the management shall provide written notice to the homeowner of the homeowner’s right (1) to have at least 30 days to inspect the rental agreement, and (2) to void the rental agreement by notifying management

7 in writing within 72 hours of receipt of an executed copy of the rental agreement. The failure of the management to provide the written notice shall make the rental agreement voidable at the homeowner’s option upon the homeowner’s discovery of the failure. The receipt of any written notice provided pursuant to this subdivision shall be acknowledged in writing by the homeowner.

9. No rental agreement shall have a provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement for a period beyond the initial stated term at the sole option of either the management or the homeowner.

D. Violation. No person shall perform any act of duress, menace, or undue influence with the intent of thereby obtaining the consent of any other person to enter into any lease for the occupancy of a residential rental space in a mobile home park or to otherwise force compliance with an applicable exemption from this Ordinance.

SECTION 7. City Code Chapter 13.21, Section 13.21.060 “Registration and fees” is hereby repealed. City Code Chapter 13.21, Section 13.21.060 “Information Upon Request” is added to read as follows:

13.21.060 Information Upon Request.

A mobile home park owner shall provide the following information to the City upon request: the number of mobile home rental spaces within the park, the space rent charged for each space, and the number of spaces currently exempt from this Chapter.

SECTION 8. City Code Chapter 13.21, Section 13.21.090 “Space rent ceiling adjustment— Annual adjustments” is hereby amended to read as follows:

13.21.090 Space rent ceiling adjustment—Annual adjustments.

Commencing in calendar year 1996, park owners shall be entitled to the following annual adjustments.

A. Permissive Annual Adjustment.

A park owner shall be entitled to one annual permissive adjustment of gross space rental income equal to 100 percent of the percentage adjustment in the CPI for that year, but in no case more than 7% per year or less than 3% per year. A park owner shall not impose more than one (1) rent increase for a covered residential rental space in any 12-month period, calculated from the date the rent increase takes effect, unless otherwise permitted pursuant to this Ordinance. No application or permission is required for the annual CPI adjustment under this section.

B. Net Operating Income (NOI) Adjustment.

8 1. In the event a park owner believes he or she does not receive a just and reasonable return on park property after receiving the maximum permissive CPI adjustment provided for above, the park owner may, upon payment of all filing or other fees required, file a petition with the Administrative Appeals Board for an adjustment of the space rent ceiling, providing adequate justification for the proposed increase.

2. In addition to any other applicable information required by the Administrative Appeals Board, any such petition shall be in writing verified by the applicant, and shall contain the names, address and telephone number of the applicant, the name and address of the tenant of each rental space which would be affected if the petition were granted, a statement of the facts giving rise to the petition for an NOI adjustment in sufficient detail that, if established, such facts would demonstrate the existence of a decrease in the NOI warranting such NOI adjustment.

3. Within 30 working days after the petition has been submitted to the Administrative Appeals Board for filing, petitioner shall be given notice of the time and place of the hearing, which notice together with a copy of the petition shall be served upon or mailed to each tenant of a rental space which would be affected by the NOI adjustment, if granted. When a declaration of service has been submitted to the Administrative Appeals Board, the petition for an NOI adjustment shall be deemed filed.

4. Upon filing of a complete petition, and presentation of sufficient facts demonstrating the existence of a decrease in the NOI warranting such NOI adjustment, a park owner shall be entitled to an adjustment of the space rent ceiling so as to enable the park owner's NOI for the subsequent year to be increased by a rate which, when added to the maximum permissible CPI adjustment provided for above will give the park owner a just and reasonable return on park property. In determining whether the current NOI is adequate in comparison with the base year NOI, the NOI for the park earned in the base year shall be increased by the amount of the CPI increase from the base year to the date of the proposed rental increase.

5. During the hearing, any tenant which would be affected if the petition is granted shall be permitted to be heard and to present any evidence for or against the proposed NOI adjustment.

6. No annual adjustment shall become effective if a previous annual adjustment became effective within the previous 12 months unless approved by the Administrative Appeals Board

C. Rent Increase Based upon Capital Improvements.

9 1. A park owner shall be permitted to increase rent for a capital improvement upon petition to the Administrative Appeals Board where:

(a) the improvement has been agreed upon between the park owner, and by more than 50 percent of the owners of all mobile homes affected by the improvement in an election called to consider the matter with each space casting one vote by written ballot; or

(b) the improvement is required (a) to maintain the common facilities and other areas of the park in a safe and sanitary condition (b) to maintain the existing level of park amenities and services, or (c) to comply with the law or an administrative regulation. No vote of mobile home owners shall be required for approval under this provision.

2. Capital improvement costs for items which are not necessary or approved as described above in paragraph 1, shall be allowable rent increases only upon petition to the Administrative Appeals Board which establishes that the park owner has (a) consulted with the park residents to be affected prior to initiating construction of such improvements, regarding the nature and purpose of such improvements and the estimated cost of such improvements, and (b) demonstrated the need for the improvements and the reasonableness of the anticipated costs.

3. The petition for the cost of a completed capital improvement or the estimated cost of a proposed capital improvement under this section shall be filed by the park owner with the Administrative Appeals Board, including payment of filing or other fees, and shall contain:

(a) A description of the capital improvement;

(b) A copy of all estimates, contracts, bills, invoices, canceled checks and other documentation reasonably necessary to establish the cost of the capital improvement and the reasonable cost of financing the capital improvement. If, instead of borrowing the money to make the capital improvement, the park owner uses his or her own funds, the reasonable cost of financing which will be allowed shall be the average federal prime rate charged for the three months preceding the start of construction of the capital improvement; and

(c) If the capital improvement has been agreed upon between the park owner and by more than 50 percent of the owners of all mobile homes affected by the improvement, proof of that fact will be submitted with the application.

10 4. Capital improvement rent increases shall be amortized over the useful life of the improvement as set forth in Internal Revenue "class life" tables then in effect, unless the Administrative Appeals Board, in its discretion determines that the use of such tables is unreasonable under the circumstances.

5. In addition to the reasonable cost of the improvement(s) and the reasonable costs of financing, the rent increase shall include a return of two percent over the federal prime rate in effect at the time the rent increase is approved calculated annually on the unamortized cost improvement.

6. In the event the need for the capital improvement is a result of an accident, disaster, or other event for which the park owner receives insurance benefits, only those capital improvement costs which exceed such insurance benefits may be amortized as operating expenses unless the uncovered loss or portion thereof is a result of an underinsured or uninsured loss in which event the underinsured or uninsured portion is disallowed unless prudent business practices would not require it to be insured.

7. Capital improvement rent increases shall be apportioned equally among all spaces in the mobile home park affected thereby and shall be payable monthly, and shall be set forth by the park owner as a separate item from the space rent. The increase shall remain in effect until the cost of the improvement, plus reasonable costs of financing as set forth above, have been fully recovered.

8. The Administrative Appeals Board may, in its discretion, approve the capital improvement without the necessity of a hearing, as provided for in this Ordinance.

9. No rent increase for a proposed capital improvement may be collected until the improvement has been completed. The capital improvement shall be deemed completed upon satisfactory final inspection by the City of any approved plans, permitted construction work or permit issued.

SECTION 9. City Code Chapter 13.21, Section 13.21.100 “Required certification on rental adjustment notice” is hereby amended to read as follow:

13.21.100 Required certification on rental adjustment notice.

The Administrative Appeals Board shall have the right to deny any rent adjustment under this Ordinance if the owner has failed to comply with any provisions of this Ordinance.

SECTION 10. City Code Chapter 13.21, Section 13.21.110 “Petition by tenant” is hereby repealed and reserved.

11 SECTION 11. City Code Chapter 13.21, Section 13.21.120 “Petition by landlord” is hereby repealed and reserved.

SECTION 12. City Code Chapter 13.21, Section 13.21.130 “Appeal to Arbitrator” is hereby repealed and reserved.

SECTION 13. City Code Chapter 13.21, Section 13.21.140 “Arbitration” is hereby repealed and reserved.

SECTION 14. City Code Chapter 13.21, Section 13.21.150 “Selection of Arbitrator” is hereby repealed and reserved.

SECTION 15. City Code Chapter 13.21, Section 13.21.160 “Conduct of Arbitration” is hereby repealed and reserved.

SECTION 16. City Code Chapter 13.21, Section 13.21.070 “Appeal to court” is hereby amended to read as follows:

13.21.170 Appeal to court.

The findings and decision of the Administrative Appeals Board shall be a final administrative action. There shall be no right of appeal to the City Council, but appeal may be made to Court pursuant to Code of Civil Procedure Sections 1094.5 and 1094.6. Such findings and decision shall be public records, and may be certified by the City Clerk. Each decision shall set forth a Notice as required by Code of Civil Procedure Section 1094.6. The decision shall become effective and final upon mailing to the parties.

SECTION 17. City Code Chapter 13.21, Section 13.21.090 “Rental adjustment regulations” is hereby amended to read as follows:

13.21.190 Rent adjustment regulations.

For purposes of determining allowable NOI rent adjustments pursuant to Section

13.21.090B, the principles set forth in this section shall be used. The Administrative Appeals Board may consider all relevant factors including, but not limited to: increases or decreases in operating and maintenance expenses, the extent and cost of utilities paid by the park owner, necessary and reasonable capital improvements of the park as distinguished from normal repair, replacement and maintenance, increases or decreases in amenities, equipment, insurance, services, substantial deterioration of the park other than as a result of ordinary wear and tear, failure on the part of the park owner to provide timely and/or adequate maintenance and repair, federal and state income tax benefits, the speculative nature of the investment, whether or not the property was acquired or is held as a long term or short term investment, the owner's rate of return on investment, the owner's method of financing and prudent use and need thereof, the owner's current and base year net operating income (NOI) as inflated to date by current CPI and any other factors deemed relevant by the Administrative Appeals Board, in providing the owner a fair return.

12 The fact that a park is old shall not, of itself, be indicative that maintenance has deteriorated. The Administrative Appeals Board shall distinguish between normal deterioration and obsolescence of the park due to age and failure to adequately maintain.

In the event any such claim or claims of failure to adequately maintain are proven, the Administrative Appeals Boards may take one or more of the following actions:

A. Deny any rental increase.

B. Offset any allowable rental increase by an amount that is adequate to reflect the degree of failure to adequately maintain.

C. Condition any allowable rental increase upon a remediation of the failure to maintain by the park owner. In this regard, the Administrative Appeals Board may freeze rents at the pre-increase level until such time as the park owner has come into compliance with the Administrative Appeal Board’s decision.

D. The Administrative Appeals Board may recess the hearing for a period not to exceed 90 days to allow the park owner to correct the condition or conditions of inadequate maintenance.

E. The Administrative Appeals Board may combine any two or more of the above- listed actions and/or may take any other action or actions that it deems necessary to correct the problem of inadequate maintenance.

SECTION 18. City Code Chapter 13.21, Section 13.21.210 “Gross income” is hereby amended to read as follows:

13.21.210 Gross income.

Gross income equals:

A. Gross rents, computed as gross rental income at 100 percent paid occupancy, plus

B. Interest from rental deposits, unless directly paid by the landlord to the tenants, plus

C. Income from miscellaneous sources, including, but not limited to, laundry facilities, vending machines, amusement devices, cleaning fees or services, garage and parking fees, plus

D. All other income or consideration received or receivable for or in connection with the use or occupancy of rental units,

E. Minus uncollected rents due to vacancy and bad debts to the extent that the same are beyond the landlord's control.

13 SECTION 19. City Code Chapter 13.21, Section 13.21.220 “Allowable operating expenses” is hereby amended to read as follows:

13.21.220 Allowable operating expenses.

Operating expenses shall include but not be limited to the following:

A. Real property taxes,

B. Utility costs. Utility costs are for natural gas or liquid propane gas, electricity, water, cable television, garbage or refuse service, and sewer service, unless billed separately to and paid by the park residents in which case the park owner may not deduct such costs. It is assumed that charges for utility services billed to the tenant separately include an adequate reserve amount to repair and upgrade meters, lines and equipment and the park owner shall have the burden of showing by clear and convincing evidence that any additional expense is necessary to cover such repairs or upgrade.

C. Management fees actually paid if management services are contracted for. If all or a portion of management services are performed by the landlord, management fees shall include the reasonable value for such landlord performed services.

Management fees greater than five percent of gross income are presumed to be unreasonable. Such presumption may be rebutted.

D. Other reasonable management expenses, including, but not limited to, necessary and reasonable advertising, accounting and insurance.

E. Normal repair and maintenance expenses, including, but not limited to, painting, normal cleaning, fumigation, landscaping, and repair of all standard services, including electrical, plumbing, carpentry, furnished appliances, drapes, carpets, and furniture.

F. Owner-performed labor, which shall be compensated at the following hourly rates upon documentation of the date, time, and nature of the work performed:

1. At the general prevailing rate of per diem wages for the Riverside area, for the specific type of work performed, as determined and published by the Director of the Department of Industrial Relations of the State of California pursuant to Section 1770 et seq. of the Labor Code of the State of California.

2. If no such general prevailing rate has been determined and published, then a cost per hour for general maintenance and a cost per hour for skilled labor as established by Riverside County Office of Economic Development.

3. Notwithstanding the above, a landlord may receive greater or lesser compensation for self-labor if the landlord proves by clear and convincing

14 evidence that the amounts set forth above are substantially unfair in a given case.

4. Owner performed labor in excess of five percent of gross income shall not be allowed unless the landlord proves by clear and convincing evidence that such excess labor expenses resulted in proportionately greater services for the benefit of tenants.

G. License and registration fees required by law to the extent same are not otherwise paid by tenants.

H. The reasonable cost of the capital improvement including reasonable financing costs, plus two percent over the federal prime rate in effect at the time of the assessment computed in accordance with any useful life table utilized by the Internal Revenue Service.

I. Reasonable attorneys' fees and costs incurred as normal reasonable costs of doing business, including, but not limited to, good faith attempts to recover rents owing and good faith unlawful detainer actions not in derogation of applicable law, to the extent same are not recovered from tenants.

SECTION 20. City Code Chapter 13.21, Section 13.21.230 “Operating expenses not allowable” is hereby amended to read as follows:

13.21.230 Operating expenses not allowable.

Operating expenses shall not include the following:

A. Avoidable, unreasonable or unnecessary expenses. All expenses allowed must be reasonable. To the extent that the Administrative Appeals Board finds any expense(s) to be unreasonable, the Administrative Appeals Board shall adjust such expense(s).

B. Mortgage principal and interest payments. In refinancing, increased interest shall be permitted to be considered as an operating expense only where the park owner can show that the refinancing was reasonable and consistent with prudent business practices under the circumstances.

C. Lease purchase payments; and rent or lease payments to park owner's lesser; except that increases in such payments in any year may be allowed if found by the Administrative Appeals Board to be reasonable and consistent with prudent business practice under the circumstances.

D. Excessive costs of maintenance caused by delaying normal maintenance.

15 E. A cost that results because the loss is uninsured where prudent business practice would expect insurance coverage or the cost for that portion of a loss above a normal deductible, if underinsured.

F. Depreciation of the real property.

G. Any expenses for which the landlord has been reimbursed by any security deposit, insurance settlement, judgment for damages, settlement, or any other method.

H. Attorneys’ fees and other costs incurred for preparation and presentation of proceedings before the Administrative Appeals Board, or in connection with civil actions or proceedings against the City or the Administrative Appeals Board.

I. Penalties, fees or interest assessed or awarded for violation of this or any other statute or ordinance.

SECTION 21. City Code Chapter 13.21, Section 13.21.250 “Rebutting the presumption” is hereby amended to read as follows:

13.21.250 Rebutting the presumption.

It may be determined that the base year net operating income yielded other than a fair return on property, in which case, the base year Net Operating Income may be adjusted. In order to make such a determination, the Administrative Appeals Board must make at least one of the following findings:

A. The owner's operating and maintenance expenses in the base year were unusually high or low in comparison to other years. In such instances, adjustments may be made in calculating such expenses so the base year operating expenses reflect average expenses for the property over a reasonable period of time. The Administrative Appeals Board shall consider the following factors:

1. The owners made substantial capital improvements during the base year which were not reflected in the rent levels on the base date.

2. Substantial repairs were made due to damage caused by natural disaster, vandalism or other cause which management has taken appropriate action to reduce.

3. Maintenance and repair were below accepted standards so as to cause significant deterioration in the quality of housing services.

4. Other expenses were unreasonably high or low notwithstanding the following of prudent business practices by management.

16 B. The rental rates in the base year were disproportionate due to enumerated factors below. In such instances, adjustments may be made in calculating gross rents consistent with the purpose of this Ordinance.

1. The rental rates in the base year were substantially higher or lower than in preceding months by reason of premiums being charged or rebates being given for reasons unique to particular units or limited to the period determining the base rent.

2. The rent in the base year was substantially higher or lower than at other times of the year by reason of seasonal demand or seasonal variations in rent.

3. The rental rates in the base year were exceptionally high or low due to other factors which would cause the application of the base year net operating income to result in gross inequity to either the owner or tenant.

SECTION 22. City Code Chapter 13.21, Section 13.21.260 “Determination of base year net operating income” is hereby amended to read as follows:

13.21.260 Determination of base year net operating income.

A. To determine the net operating income during the base year, there shall be deducted from the annualized gross income being realized in 1991, a sum equal to the actual operating expenses for calendar year 1991, unless the owner demonstrates to the satisfaction of the Administrative Appeals Board that the use of some other consecutive 12-month period is justified by reasons consistent with the purposes of this section.

B. In the event the owner did not own the subject property during the base year, the operating expenses for 1991 shall be determined by one of the following methods, whichever the Administrative Appeals Board determines to be more reliable in the particular case:

1. The previous owner's actual operating expenses as defined in Section

13.21.220 and 13.21.230 if such figures were available, or

2. Actual operating expenses for the first calendar year of new ownership, adjusted to 1991.

C. Park owners shall be entitled to maintain and increase their net operating income from year to year in accordance with the guidelines set forth in this Ordinance. It shall further be rebuttably presumed that where the net operating income is less than 50 percent of gross income in the base year, the park owner was receiving less than a just and reasonable return on the mobile home park.

17 SECTION 23. City Code Chapter 13.21, Section 13.21.270 “Determination of current year net operating income” is hereby amended to read as follows:

13.21.270 Determination of current year net operating income.

To determine the current year net operating income there shall be deducted from the annualized gross income, determined by analyzing the monthly rents in effect at the time of filing of a petition, a sum equal to the actual operating expenses for the last calendar year (unless the owner demonstrates to the satisfaction of the Administrative Appeals Board that the use of some other consecutive 12-month period is justified by reasons consistent with the purposes of this section).

SECTION 24. City Code Chapter 13.21, Section 13.21.290 “Discretionary Considerations” is hereby amended to read as follows:

13.21.290 Discretionary considerations.

While the net operating income formula should operate to provide a park owner a fair return on the park, the Administrative Appeals Board considering a request for rent increases shall consider all relevant factors presented in making a determination, as set forth in this Ordinance.

SECTION 25. City Code Chapter 13.21, Section 13.21.300 “Increases pending hearing” is hereby amended to read as follows:

13.21.300 Increases pending hearing.

Rent increases which require petition with the Administrative Appeals Board may not be collected by the park owner until such time as ordered by a final decision of the Administrative Appeals Board or unless agreed upon by the residents and the park owner; however, a park owner may continue to collect the full amount of rent permitted, including any permissive CPI adjustment, which does not require such approval.

SECTION 26. City Code Chapter 13.21, Section 13.21.310 “Rent adjustments for reduction in utility services” is hereby amended to read as follows:

13.21.310 Rent adjustments for reduction in utility services.

A. If a mobile home park provides in the rent, without separate charge, utilities or similar services (including, but not limited to, natural gas, electricity, water, sewer, trash, and/or cable television) and converts to separate charge for such service by separate metering, separate charge or other lawful means of transferring to the tenant the obligation for payment for such services, the cost savings shall be passed through to tenants by a rent adjustment equal to the actual cost to the park of such transferred utility or similar service (less common area usage) based on costs for the 12 months period prior to notice to the tenants of the change. It is the intent of this Section for those rental agreements entered into on or after January 1, 1991, to

18 be consistent with the provisions of Mobilehome Residency Law, including Civil Code Section 798.41 as adopted by Chapter 1013, Section 2 of the Statutes of 1990, as may be amended from time to time.

B. For purposes of this section, in determining cost savings to be passed on to tenants in the form of decreased rent, the cost of installation of separate utility meters, or similar costs incurred by the owner to shift the obligation for payment of utility costs to the tenants shall not be considered. However, this shall not be construed to prohibit or prevent the consideration of inclusion of such costs as an increased operating expense.

SECTION 27. City Code Chapter 13.21, Section 13.21.320 “Quantum of proof and burden of proof” is hereby amended to read as follows:

13.21.320 Quantum of proof and burden of proof.

The decision of the Administrative Appeals Board must be supported by the evidence submitted. The petitioning party shall have the burden of going forward with the evidence and the burden of persuasion by a preponderance of the evidence.

SECTION 28. City Code Chapter 13.21, Section 13.21.330 “Remedies for violation” is hereby amended to read as follows:

13.21.330 Remedies for violation.

A. Civil Remedies. Any person who demands, accepts, or retains any payment in violation of any provision of this Ordinance shall be liable in a civil action to the person from whom such payment is demanded, accepted, or retained, together with reasonable attorney's fees and costs as determined by the Court.

B. Criminal Remedies. It shall be unlawful for any owner to willfully and knowingly adjust any rent in an amount in excess of that allowed under this Ordinance. Any owner who willfully and knowingly violates any of the provisions of this Ordinance shall be guilty of a misdemeanor punishable by a fine not exceeding $1,000 or six months in jail or both.

C. Injunctive and Other Civil Relief. Any Mobile home park operated, conducted, or maintained contrary to the provisions of this Ordinance shall be, and is hereby declared to be, unlawful and a public nuisance, and the City may, in addition to or in lieu of prosecution in a civil or criminal action under this Ordinance, commence an action or actions, proceeding or proceedings for the abatement, removal, and enjoinment thereof, in the manner provided by law, and shall take such other steps, and shall apply to such courts or court as may have jurisdiction to grant such relief as will abate, remove, and/or restrain and enjoin any person from operating, conducting, or maintaining a Mobile home park contrary to the provisions of this

19 Ordinance. Such remedies shall be in addition to any other judicial or administrative remedies available to the City under the City Code or state law.

D. Non-waiver of Rights. Any waiver or purported waiver by a tenant or prospective tenant of rights granted under this Ordinance prior to the time when such rights may be exercised, whether oral or written, shall be void as contrary to public policy.

E. All remedies prescribed by this Ordinance are cumulative and the election of one or more remedy does not bar the City from the pursuit of any other remedy to enforce this Ordinance.

F. Each violation of this Ordinance shall constitute a separate violation and each violation may be charged as a separate count in the event of administrative or criminal enforcement action.

SECTION 29. City Code Chapter 13.21, Section 13.21340 “Periodic review of Ordinance” is hereby repealed and reserved.

SECTION 30. City Code Chapter 13.21, Section 13.21.370 “Prospective effect” is hereby repealed and reserved.

SECTION 31. City Code Chapter 13.21, Section 13.21.380 “Introduction” is hereby repealed and reserved.

SECTION 32. City Code Chapter 13.21, Section 13.21.390 “Effective date” is hereby repealed and reserved.

SECTION 33. Effective Date and Publication. The Mayor shall sign and the City Clerk shall certify to the passage of this Ordinance and cause the same or a summary thereof to be published within 15 days after adoption in accordance with Government Code Section 36933. This Ordinance shall take effect 30 days after adoption in accordance with Government Code Section 36937.

NOW, THEREFORE, BE IT ORDAINED that the City Council of the City of Beaumont, California, approves an amendment to the City Code.

INTRODUCED AND READ for the first time and ordered posted at a regular meeting of the City Council of the City of Beaumont, California, held on the 16th day of January, 2024, by the following roll call vote:

AYES:

NOES
ABSENT

ABSTAIN

20 PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Beaumont, California, held on the ______ day of ________________, 2024.

AYES:

NOES:

ABSENT:

ABSTAIN:

_______________________
David Fen, Mayor

Attest: ______________________
Elaine Morgan, City Clerk

1 Chapter 13.21 MOBILE HOME PARK RENT STABILIZATION

13.21.010 Title.

This Ordinance may be cited as the Mobile Home Park Rent Stabilization Ordinance of the City of Beaumont.

13.21.020 Statement of purpose and findings.

A. Mobile home owners have a substantial investment in their residences and appurtenances for which space is rented or leased. Alternate sites for relocation of mobile homes are difficult to find due to restrictions of age, size, or style of mobile homes permitted in many parks, and related to the installation of mobile homes, including permits, landscaping and site preparation. Additionally, the cost of moving a mobile home may be substantial, and the risk of damage in moving is significant.

B. Mobile homes are often occupied by senior citizens, persons on fixed income and persons of low or moderate income, where extreme rent adjustments fall upon these individuals with particular harshness. Many mobile home owners have a substantial portion of their net asset worth invested in their mobile homes. The continuing possibility of unreasonable space rental adjustments in mobile home parks threatens to diminish the value of the investment of the mobile home owners in their homes.

Further, existing state law permits mobile home park owners to require mobile home owners to make modifications to their homes for reasons of aesthetics or conformity to park standards that amount to capital improvements which would accrue to the benefit of the park owner by potentially increasing the market value of the park itself.

C. The result of these conditions is the creation of a captive market of mobile home owners and tenants. This, in turn, contributes to the creation of an imbalance in the bargaining relationship between park owners and mobile home park tenants in favor of the park owners.

D. The City Council of the City of Beaumont finds and declares it necessary to facilitate and encourage fair bargaining between mobile home owners and park owners in order to achieve mutually satisfactory agreements regarding space rental rates in mobile home parks (a) to preserve to the residents the value of their mobile homes and (b) to preserve to the park owners the value of their parks. Absent such agreements, the City Council further finds and declares it necessary to protect the owners and residents of mobile homes from unreasonable space rental adjustments while simultaneously recognizing and providing for the need of park owners to receive a just and reasonable return on their property.

2 E. The City Council of the City of Beaumont finds that it is the goal of the City's Housing Element to "conserve and improve the condition of the existing stock of affordable housing" in the City, and to encourage conversion of mobile home rental units or mobile home parks to ownership in a way that maintains existing affordable conditions.

F. The City Council of the City of Beaumont finds and declares that Ordinance No. 602, enacted in 1984, and amendments, adding Chapter 13.16 to the Beaumont Municipal Code, entitled Mobile Home Rent Revenue Commission, has been reviewed and evaluated and is found to be inadequate for the needs and purposes of the City as reflected in the above findings and should, therefore, be repealed with the adoption of this Ordinance.

G. Administration of this Ordinance shall be under the general direction of the City Manager or their designee.

13.21.030 Application.

The provisions of this Ordinance shall apply to all mobile home residential rental spaces located within the City of Beaumont unless otherwise exempt from the provisions of this Ordinance by the Mobilehome Residency Law, this Ordinance, or by applicable State or Federal law. Nothing in this Ordinance shall be deemed to supersede any provision of California Civil Code Section 798 et seq., and as it may be amended.

13.21.040 Definitions.

In construing the provisions of this Ordinance, the following definitions shall apply:

A. "Base year" is the calendar year 1995.

B. "Capital Improvement" means the installation of new improvements and facilities, and/or the replacement or reconstruction of existing improvements and facilities which consist of more than ordinary maintenance or repairs, with a useful life of at least five years.

C. “City” means the City of Beaumont, California.

D. "Consumer Price Index" or "C. P. I." means the Index known as the "Consumer Price Index for all Urban Consumers for the Riverside-San Bernardino-Ontario Area”, or the index which may replace this index if it is discontinued.

E. "Mobile home" shall have the same meaning as set forth in California Civil Code section 798.3, as may be amended from time to time. Notwithstanding the above, mobile home does not include "recreational vehicle" as defined in Section 799.29 of the Civil Code or a "commercial coach" as defined in Section 18001.8 of the Health and Safety Code.

3 F. “Mobilehome owner” or “homeowner” means any person who has a tenancy in a Mobile home Park under a rental agreement.

G. “Mobile home park” means any area of land in the City where two or more mobile home sites are rented, or held out for rent, to accommodate mobile homes used for human habitation.

H. "Mobile home park owner" or "park owner" means the owner, lessor, operator, manager or designated agent thereof of a mobile home park; sometimes referred to as "owner” or “landlord.”

I. “Mobilehome Residency Law” means and refers to Chapter 2.5 of the California Civil Code section 798, et seq., as may be amended from time to time.

J. "Mobile home space" or "space" means the site within a mobile home park intended, designed, or used for the location or accommodation of a mobile home and any accessory structures or appurtenances attached thereto or used in conjunction therewith.

K. "Rent adjustments" means any rent increase or decrease demanded of or paid by a tenant, including any reduction in housing services without a corresponding reduction in the monies demanded or paid for rent.

L. "Rental agreement" means an agreement between a mobile home park owner and tenant establishing the terms and conditions of a tenancy in a mobile home park. A lease is a rental agreement.

M. “Resident” is a homeowner or other person who lawfully occupies a mobile home in the City.

N. "Residential rental space" means any mobile home space occupied by any person other than the owner of the park for payment of rent pursuant to an oral or written lease, or other form of rental agreement.

O. "Space rent" means the consideration, including any bonuses, benefits, or gratuities demanded or received for and in connection with the use or occupancy of a mobile home space within a mobile home park, or for housing services provided and security deposits, but exclusive of any amounts paid for the use of the mobile home as a dwelling unit. The use or occupancy of a mobile home space shall include the exercise of all rights and privileges and the use of facilities, services and amenities accruing to the residents thereof. "Space rent" shall not include any separately billed utility fees and charges for natural gas or liquid propane gas, electricity, water, cable television, garbage or refuse service and sewer service.

4 P. "Tenancy" means the right of a homeowner to the use of a site within a mobile home park on which to locate, maintain, and occupy a mobile home, site improvements and accessory structures for human habitation, including the use of the services and facilities of the mobile home park.

Q. "Tenant" means any person entitled to occupy such mobile home space pursuant to an oral or written lease with the owner thereof, or pursuant to some other rental agreement with the owner, lessor, operator or manager thereof.

13.21.050 Exemptions from coverage.

The provisions of this Ordinance shall not apply to the following:

A. Any rental agreement exempt from local rent control regulations pursuant to the Mobilehome Residency Law, as may be amended from time to time.

B. Vacancies.

1. Subject to the exceptions in paragraphs 2 and 3 below, if the mobile home space or mobile home is (a) voluntarily vacated, abandoned, or repossessed, or (b) vacated pursuant to the Mobilehome Residency Law, the landlord may adjust the rental rate to an amount as he or she in his or her discretion may determine.

2. If the mobile home is sold in place and is to remain on site, the landlord may only increase the rental rate of the space to the new owner to an amount that is no greater than the average of the three highest rentals then currently being charged by the park owner for resident owner-occupied spaces of comparable size, location and amenities in the park.

3. In the event a resident owner must move from his or her mobile home because of a need for long term medical or custodial care, the space shall remain subject to this Ordinance during the time that the owner is absent and remains incapacitated. In those parks that allow subletting, the absent and incapacitated owner may sublet the mobile home for a charge not to exceed the space rent and utilities and all legally allowable pass thorough costs for a period of time not to exceed 24 months without removing the space from the protection of this Ordinance.

C. Long Term Rental Agreement.

1. Any rental agreement in excess of 12-months duration which also meets all criteria specified below shall be exempt from the space rent ceiling provisions of this Ordinance. To qualify for this exemption, the rental agreement must meet all of the following criteria:

a. The rental agreement shall be in excess of 12 months’ duration.

5 b. The rental agreement shall be entered into between the management and the homeowner for the personal and actual residence of the homeowner.

c. The homeowner shall have at least 30 days from the date the rental agreement is first offered to the homeowner to accept or reject the rental agreement.

d. The homeowner who signs the rental agreement pursuant to this section may void the rental agreement by notifying management in writing within 72 hours of returning the signed rental agreement to management.

e. The homeowner who signs a rental agreement pursuant to this section may void the agreement within 72 hours of receiving an executed copy of the rental agreement in accordance with the Mobilehome Residency Law. This paragraph shall only apply if management does not provide the homeowner with a copy of the signed rental agreement at the time the homeowners returns the signed rental agreement.

f. The rental agreement contains a statement in the first sentence of the first paragraph, in at least twelve point type or capital letters, giving notice to the mobilehome resident that, by entering into the lease, the rent control provisions of this ordinance will be automatically superseded by the lease provisions regarding rent and rent increases.

2. The exemption shall apply only during the term of such rental agreement or any uninterrupted, continuous extensions thereof. If such rental agreement is not extended and no new rental agreement in excess of 12-months duration is entered into, then the last month's rent under the expired rental agreement shall be the base rent for purposes of this Ordinance.

3. Any rental agreement exempt from this Ordinance by virtue of this section shall remain so exempt despite voluntary amendments made thereto, as long as any amendments extending the term contain the disclosures required above.

4. If, pursuant to paragraph (c) or (d) of subsection (1), the homeowner rejects the offered rental agreement or rescinds a signed rental agreement, the homeowner shall be entitled to instead accept a rental agreement for a term of 12 months or less from the date the offered rental agreement was to have begun. 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 rental agreement offered pursuant to subdivision (1),

6 during the first 12 months, except for options, if any, contained in the offered rental agreement to extend or renew the rental agreement.

5. No rental agreement shall contain any terms or conditions with respect to charges for rent, utilities, or incidental reasonable service charges that would be different during the first 12 months of the rental agreement from the corresponding terms or conditions that would be offered to the homeowners on a month-to-month basis.

6. No rental agreement for a term of 12 months or less shall include any provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement beyond the initial term for a term longer than 12 months at the sole option of either the management or the homeowner.

7. Nothing in this section shall be construed to prohibit the management from offering gifts of value, other than rental rate reductions, to homeowners who execute a rental agreement pursuant to this section.

8. At the time the rental agreement is first offered to the homeowner, the management shall provide written notice to the homeowner of the homeowner’s right (1) to have at least 30 days to inspect the rental agreement, and (2) to void the rental agreement by notifying management in writing within 72 hours of receipt of an executed copy of the rental agreement. The failure of the management to provide the written notice shall make the rental agreement voidable at the homeowner’s option upon the homeowner’s discovery of the failure. The receipt of any written notice provided pursuant to this subdivision shall be acknowledged in writing by the homeowner.

9. No rental agreement shall have a provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement for a period beyond the initial stated term at the sole option of either the management or the homeowner.

D. Violation. No person shall perform any act of duress, menace, or undue influence with the intent of thereby obtaining the consent of any other person to enter into any lease for the occupancy of a residential rental space in a mobile home park or to otherwise force compliance with an applicable exemption from this Ordinance.

13.21.060 Information Upon Request.

A mobile home park owner shall provide the following information to the City upon request: the number of mobile home rental spaces within the park, the space rent charged for each space, and the number of spaces currently exempt from this Chapter.

7 13.21.070 Space rent ceiling or maximum allowable space rent.

Beginning the first month which commences following the day after the effective date of this Ordinance, no mobile home park owner shall charge space rent for any mobile home space in an amount greater than (a) the space rent in effect on December 31, 1995 increased by the increase in the CPI since that date or (b) the rent for the space that is in effect on the effective date of this Ordinance. The space rent in effect on that date shall be known as the "space rent ceiling."

If there was no space rent in effect on December 31, 1995, the space rent ceiling shall be the space rent that was charged on the first date that space rent was charged after December 31, 1995 (with the exception above noted) adjusted by the CPI to the current date as indicated above or the rent for the space that is in effect on the effective date of this Ordinance. If a mobile home park space is exempted from the application of this Ordinance by reason of the existence of a space rent agreement and the agreement expires, the space rent ceiling for that space shall be the space rent in effect on the date the agreement expires.

13.21.080 Space rent ceiling adjustment—Initial adjustment.

A. No adjustment in space rent ceilings shall be permitted except as provided for herein.

B. Permissive Adjustment. A park owner shall be entitled to an initial permissive adjustment gross space rental income equal to 100 percent increase in the Consumer Price Index (CPI) from the end of the base year (1991) to the date of application for the adjustment. The percentage adjustment in the CPI shall be calculated by subtracting the CPI reported for December, 1995, from the most recently reported monthly CPI preceding the application and then dividing this remainder by the December, 1995, CPI.

13.21.090 Space rent ceiling adjustment—Annual adjustments.

Commencing in calendar year 1996, park owners shall be entitled to the following annual adjustments.

A. Permissive Annual Adjustment.

A park owner shall be entitled to one annual permissive adjustment of gross space rental income equal to 100 percent of the percentage adjustment in the CPI for that year, but in no case more than 7% per year or less than 3% per year. A park owner shall not impose more than one (1) rent increase for a covered residential rental space in any 12-month period, calculated from the date the rent increase takes effect, unless otherwise permitted pursuant to this Ordinance. No application or permission is required for the annual CPI adjustment under this section.

8 B. Net Operating Income (NOI) Adjustment.

1. In the event a park owner believes he or she does not receive a just and reasonable return on park property after receiving the maximum permissive CPI adjustment provided for above, the park owner may, upon payment of all filing or other fees required, file a petition with the Administrative Appeals Board for an adjustment of the space rent ceiling, providing adequate justification for the proposed increase.

2. In addition to any other applicable information required by the Administrative Appeals Board, any such petition shall be in writing verified by the applicant, and shall contain the names, address and telephone number of the applicant, the name and address of the tenant of each rental space which would be affected if the petition were granted, a statement of the facts giving rise to the petition for an NOI adjustment in sufficient detail that, if established, such facts would demonstrate the existence of a decrease in the NOI warranting such NOI adjustment.

3. Within 30 working days after the petition has been submitted to the Administrative Appeals Board for filing, petitioner shall be given notice of the time and place of the hearing, which notice together with a copy of the petition shall be served upon or mailed to each tenant of a rental space which would be affected by the NOI adjustment, if granted. When a declaration of service has been submitted to the Administrative Appeals Board, the petition for an NOI adjustment shall be deemed filed.

4. Upon filing of a complete petition, and presentation of sufficient facts demonstrating the existence of a decrease in the NOI warranting such NOI adjustment, a park owner shall be entitled to an adjustment of the space rent ceiling so as to enable the park owner's NOI for the subsequent year to be increased by a rate which, when added to the maximum permissible CPI adjustment provided for above will give the park owner a just and reasonable return on park property. In determining whether the current NOI is adequate in comparison with the base year NOI, the NOI for the park earned in the base year shall be increased by the amount of the CPI increase from the base year to the date of the proposed rental increase. 5. During the hearing, any tenant which would be affected if the petition is granted shall be permitted to be heard and to present any evidence for or against the proposed NOI adjustment.

6. No annual adjustment shall become effective if a previous annual adjustment became effective within the previous 12 months unless approved by the Administrative Appeals Board.

9 C. Rent Increase Based upon Capital Improvements.

1. A park owner shall be permitted to increase rent for a capital improvement upon petition to the Administrative Appeals Board where:

(a) the improvement has been agreed upon between the park owner, and by more than 50 percent of the owners of all mobile homes affected by the improvement in an election called to consider the matter with each space casting one vote by written ballot; or

(b) the improvement is required (a) to maintain the common facilities and other areas of the park in a safe and sanitary condition (b) to maintain the existing level of park amenities and services, or (c) to comply with the law or an administrative regulation. No vote of mobile home owners shall be required for approval under this provision.

2. Capital improvement costs for items which are not necessary or approved as described above in paragraph 1, shall be allowable rent increases only upon petition to the Administrative Appeals Board which establishes that the park owner has (a) consulted with the park residents to be affected prior to initiating construction of such improvements, regarding the nature and purpose of such improvements and the estimated cost of such improvements, and (b) demonstrated the need for the improvements and the reasonableness of the anticipated costs.

3. The petition for the cost of a completed capital improvement or the estimated cost of a proposed capital improvement under this section shall be filed by the park owner with the Administrative Appeals Board, including payment of filing or other fees, and shall contain:

(a) A description of the capital improvement;

(b) A copy of all estimates, contracts, bills, invoices, canceled checks and other documentation reasonably necessary to establish the cost of the capital improvement and the reasonable cost of financing the capital improvement. If, instead of borrowing the money to make the capital improvement, the park owner uses his or her own funds, the reasonable cost of financing which will be allowed shall be the average federal prime rate charged for the three months preceding the start of construction of the capital improvement; and

(c) If the capital improvement has been agreed upon between the park owner and by more than 50 percent of the owners of all mobile homes affected by the improvement, proof of that fact will be submitted with the application.

10 4. Capital improvement rent increases shall be amortized over the useful life of the improvement as set forth in Internal Revenue "class life" tables then in effect, unless the Administrative Appeals Board, in its discretion determines that the use of such tables is unreasonable under the circumstances.

5. In addition to the reasonable cost of the improvement(s) and the reasonable costs of financing, the rent increase shall include a return of two percent over the federal prime rate in effect at the time the rent increase is approved calculated annually on the unamortized cost improvement.

6. In the event the need for the capital improvement is a result of an accident, disaster, or other event for which the park owner receives insurance benefits, only those capital improvement costs which exceed such insurance benefits may be amortized as operating expenses unless the uncovered loss or portion thereof is a result of an underinsured or uninsured loss in which event the underinsured or uninsured portion is disallowed unless prudent business practices would not require it to be insured.

7. Capital improvement rent increases shall be apportioned equally among all spaces in the mobile home park affected thereby and shall be payable monthly, and shall be set forth by the park owner as a separate item from the space rent. The increase shall remain in effect until the cost of the improvement, plus reasonable costs of financing as set forth above, have been fully recovered.

8. The Administrative Appeals Board may, in its discretion, approve the capital improvement without the necessity of a hearing, as provided for in this Ordinance.

9. No rent increase for a proposed capital improvement may be collected until the improvement has been completed. The capital improvement shall be deemed completed upon satisfactory final inspection by the City of any approved plans, permitted construction work or permit issued.

13.21.100 Required certification on rental adjustment notice.

The Administrative Appeals Board shall have the right to deny any rent adjustment under this Ordinance if the owner has failed to comply with any provisions of this Ordinance.

13.21.110 [RESERVED].

13.21.120 [RESERVED].

13.21.130 [RESERVED].

13.21.140 [RESERVED].

13.21.150 [RESERVED].

11 13.21.160 [RESERVED].

13.21.170 Appeal to court.

The findings and decision of the Administrative Appeals Board shall be a final administrative action. There shall be no right of appeal to the City Council, but appeal may be made to Court pursuant to Code of Civil Procedure Sections 1094.5 and 1094.6. Such findings and decision shall be public records, and may be certified by the City Clerk. Each decision shall set forth a Notice as required by Code of Civil Procedure Section 1094.6. The decision shall become effective and final upon mailing to the parties.

13.21.180 Priorities.

All petitions for hearings shall be heard in order of date filed.

13.21.190 Rent adjustment regulations.

For purposes of determining allowable NOI rent adjustments pursuant to Section

13.21.090B, the principles set forth in this section shall be used. The Administrative Appeals Board may consider all relevant factors including, but not limited to: increases or decreases in operating and maintenance expenses, the extent and cost of utilities paid by the park owner, necessary and reasonable capital improvements of the park as distinguished from normal repair, replacement and maintenance, increases or decreases in amenities, equipment, insurance, services, substantial deterioration of the park other than as a result of ordinary wear and tear, failure on the part of the park owner to provide timely and/or adequate maintenance and repair, federal and state income tax benefits, the speculative nature of the investment, whether or not the property was acquired or is held as a long term or short term investment, the owner's rate of return on investment, the owner's method of financing and prudent use and need thereof, the owner's current and base year net operating income (NOI) as inflated to date by current CPI and any other factors deemed relevant by the Administrative Appeals Board, in providing the owner a fair return.

The fact that a park is old shall not, of itself, be indicative that maintenance has deteriorated. The Administrative Appeals Board shall distinguish between normal deterioration and obsolescence of the park due to age and failure to adequately maintain.

In the event any such claim or claims of failure to adequately maintain are proven, the Administrative Appeals Boards may take one or more of the following actions:

A. Deny any rental increase.

B. Offset any allowable rental increase by an amount that is adequate to reflect the degree of failure to adequately maintain.

C. Condition any allowable rental increase upon a remediation of the failure to maintain by the park owner. In this regard, the Administrative Appeals Board may

12 freeze rents at the pre-increase level until such time as the park owner has come into compliance with the Administrative Appeal Board’s decision.

D. The Administrative Appeals Board may recess the hearing for a period not to exceed 90 days to allow the park owner to correct the condition or conditions of inadequate maintenance.

E. The Administrative Appeals Board may combine any two or more of the above- listed actions and/or may take any other action or actions that it deems necessary to correct the problem of inadequate maintenance.

13.21.200 Net operating income.

Net operating income (NOI) shall be gross income less allowable operating expenses.

13.21.210 Gross income.

Gross income equals:

A. Gross rents, computed as gross rental income at 100 percent paid occupancy, plus

B. Interest from rental deposits, unless directly paid by the landlord to the tenants, plus

C. Income from miscellaneous sources, including, but not limited to, laundry facilities, vending machines, amusement devices, cleaning fees or services, garage and parking fees, plus

D. All other income or consideration received or receivable for or in connection with the use or occupancy of rental units,

E. Minus uncollected rents due to vacancy and bad debts to the extent that the same are beyond the landlord's control.

13.21.220 Allowable operating expenses.

Operating expenses shall include but not be limited to the following:

A. Real property taxes,

B. Utility costs. Utility costs are for natural gas or liquid propane gas, electricity, water, cable television, garbage or refuse service, and sewer service, unless billed separately to and paid by the park residents in which case the park owner may not deduct such costs. It is assumed that charges for utility services billed to the tenant separately include an adequate reserve amount to repair and upgrade meters, lines and equipment and the park owner shall have the burden of showing by clear and

13 convincing evidence that any additional expense is necessary to cover such repairs or upgrade.

C. Management fees actually paid if management services are contracted for. If all or a portion of management services are performed by the landlord, management fees shall include the reasonable value for such landlord performed services.

Management fees greater than five percent of gross income are presumed to be unreasonable. Such presumption may be rebutted.

D. Other reasonable management expenses, including, but not limited to, necessary and reasonable advertising, accounting and insurance.

E. Normal repair and maintenance expenses, including, but not limited to, painting, normal cleaning, fumigation, landscaping, and repair of all standard services, including electrical, plumbing, carpentry, furnished appliances, drapes, carpets, and furniture.

F. Owner-performed labor, which shall be compensated at the following hourly rates upon documentation of the date, time, and nature of the work performed:

1. At the general prevailing rate of per diem wages for the Riverside area, for the specific type of work performed, as determined and published by the Director of the Department of Industrial Relations of the State of California pursuant to Section 1770 et seq. of the Labor Code of the State of California.

2. If no such general prevailing rate has been determined and published, then a cost per hour for general maintenance and a cost per hour for skilled labor as established by Riverside County Office of Economic Development.

3. Notwithstanding the above, a landlord may receive greater or lesser compensation for self-labor if the landlord proves by clear and convincing evidence that the amounts set forth above are substantially unfair in a given case.

4. Owner performed labor in excess of five percent of gross income shall not be allowed unless the landlord proves by clear and convincing evidence that such excess labor expenses resulted in proportionately greater services for the benefit of tenants.

G. License and registration fees required by law to the extent same are not otherwise paid by tenants.

H. The reasonable cost of the capital improvement including reasonable financing costs, plus two percent over the federal prime rate in effect at the time of the assessment computed in accordance with any useful life table utilized by the Internal Revenue Service.

14 I. Reasonable attorneys' fees and costs incurred as normal reasonable costs of doing business, including, but not limited to, good faith attempts to recover rents owing and good faith unlawful detainer actions not in derogation of applicable law, to the extent same are not recovered from tenants.

13.21.230 Operating expenses not allowable.

Operating expenses shall not include the following:

A. Avoidable, unreasonable or unnecessary expenses
All expenses allowed must be reasonable. To the extent that the Administrative Appeals Board finds any expense(s) to be unreasonable, the Administrative Appeals Board shall adjust such expense(s).

B. Mortgage principal and interest payments.

In refinancing, increased interest shall be permitted to be considered as an operating expense only where the park owner can show that the refinancing was reasonable and consistent with prudent business practices under the circumstances.

C. Lease purchase payments; and rent or lease payments to park owner's lesser; except that increases in such payments in any year may be allowed if found by the Administrative Appeals Board to be reasonable and consistent with prudent business practice under the circumstances.

D. Excessive costs of maintenance caused by delaying normal maintenance.

E. A cost that results because the loss is uninsured where prudent business practice would expect insurance coverage or the cost for that portion of a loss above a normal deductible, if underinsured.

F. Depreciation of the real property.

G. Any expenses for which the landlord has been reimbursed by any security deposit, insurance settlement, judgment for damages, settlement, or any other method.

H. Attorneys’ fees and other costs incurred for preparation and presentation of proceedings before the Administrative Appeals Board, or in connection with civil actions or proceedings against the City or the Administrative Appeals Board.

I. Penalties, fees or interest assessed or awarded for violation of this or any other statute or ordinance.

15 13.21.240 Presumption of fair base year net operating income.

Except as provided in below, it shall be presume that the Net Operating Income produced by a park owner during the base year, provided a fair return on property. Owners shall be entitled to maintain and increase their Net Operating Income from year to year in accordance with Sections

13.21.080B and 13.21.090B.

13.21.250 Rebutting the presumption.

It may be determined that the base year net operating income yielded other than a fair return on property, in which case, the base year Net Operating Income may be adjusted. In order to make such a determination, the Administrative Appeals Board must make at least one of the following findings:

A. The owner's operating and maintenance expenses in the base year were unusually high or low in comparison to other years. In such instances, adjustments may be made in calculating such expenses so the base year operating expenses reflect average expenses for the property over a reasonable period of time. The Administrative Appeals Board shall consider the following factors:

1. The owners made substantial capital improvements during the base year which were not reflected in the rent levels on the base date.

2. Substantial repairs were made due to damage caused by natural disaster, vandalism or other cause which management has taken appropriate action to reduce.

3. Maintenance and repair were below accepted standards so as to cause significant deterioration in the quality of housing services.

4. Other expenses were unreasonably high or low notwithstanding the following of prudent business practices by management.

B. The rental rates in the base year were disproportionate due to enumerated factors below. In such instances, adjustments may be made in calculating gross rents consistent with the purpose of this Ordinance.

1. The rental rates in the base year were substantially higher or lower than in preceding months by reason of premiums being charged or rebates being given for reasons unique to particular units or limited to the period determining the base rent.

2. The rent in the base year was substantially higher or lower than at other times of the year by reason of seasonal demand or seasonal variations in rent.

16 3. The rental rates in the base year were exceptionally high or low due to other factors which would cause the application of the base year net operating income to result in gross inequity to either the owner or tenant.

13.21.260 Determination of base year net operating income.

A. To determine the net operating income during the base year, there shall be deducted from the annualized gross income being realized in 1991, a sum equal to the actual operating expenses for calendar year 1991, unless the owner demonstrates to the satisfaction of the Administrative Appeals Board that the use of some other consecutive 12-month period is justified by reasons consistent with the purposes of this section.

B. In the event the owner did not own the subject property during the base year, the operating expenses for 1991 shall be determined by one of the following methods, whichever the Administrative Appeals Board determines to be more reliable in the particular case:

1. The previous owner's actual operating expenses as defined in Section

13.21.220 and 13.21.230 if such figures were available, or

2. Actual operating expenses for the first calendar year of new ownership, adjusted to 1991.

C. Park owners shall be entitled to maintain and increase their net operating income from year to year in accordance with the guidelines set forth in this Ordinance. It shall further be rebuttably presumed that where the net operating income is less than 50 percent of gross income in the base year, the park owner was receiving less than a just and reasonable return on the mobile home park.

13.21.270 Determination of current year net operating income.

To determine the current year net operating income there shall be deducted from the annualized gross income, determined by analyzing the monthly rents in effect at the time of filing of a petition, a sum equal to the actual operating expenses for the last calendar year (unless the owner demonstrates to the satisfaction of the Administrative Appeals Board that the use of some other consecutive 12-month period is justified by reasons consistent with the purposes of this section).

13.21.280 Schedule of increases in operating expenses.

Where scheduling of rental increases, or other calculations, require projections of income and expenses, it shall be assumed that operating expenses, exclusive of property taxes, and management expenses, increase at five percent per year, that property taxes increase at two percent per year, and that management expenses constitute five percent of gross income, provided,

17 however, that if actual increases are greater or less than those listed in this section, the actual increases shown according to proof shall be the increases applicable.

13.21.290 Discretionary considerations.

While the net operating income formula should operate to provide a park owner a fair return on the park, the Administrative Appeals Board considering a request for rent increases shall consider all relevant factors presented in making a determination, as set forth in this Ordinance.

13.21.300 Increases pending hearing.

Rent increases which require petition with the Administrative Appeals Board may not be collected by the park owner until such time as ordered by a final decision of the Administrative Appeals Board or unless agreed upon by the residents and the park owner; however, a park owner may continue to collect the full amount of rent permitted, including any permissive CPI adjustment, which does not require such approval.

13.21.310 Rent adjustments for reduction in utility services.

A. If a mobile home park provides in the rent, without separate charge, utilities or similar services (including, but not limited to, natural gas, electricity, water, sewer, trash, and/or cable television) and converts to separate charge for such service by separate metering, separate charge or other lawful means of transferring to the tenant the obligation for payment for such services, the cost savings shall be passed through to tenants by a rent adjustment equal to the actual cost to the park of such transferred utility or similar service (less common area usage) based on costs for the 12 months period prior to notice to the tenants of the change. It is the intent of this Section for those rental agreements entered into on or after January 1, 1991, to be consistent with the provisions of Mobilehome Residency Law, including Civil Code Section 798.41 as adopted by Chapter 1013, Section 2 of the Statutes of 1990, as may be amended from time to time.

B. For purposes of this section, in determining cost savings to be passed on to tenants in the form of decreased rent, the cost of installation of separate utility meters, or similar costs incurred by the owner to shift the obligation for payment of utility costs to the tenants shall not be considered. However, this shall not be construed to prohibit or prevent the consideration of inclusion of such costs as an increased operating expense.

13.21.320 Quantum of proof and burden of proof.

The decision of the Administrative Appeals Board must be supported by the evidence submitted. The petitioning party shall have the burden of going forward with the evidence and the burden of persuasion by a preponderance of the evidence.

18 13.21.330 Remedies for violation.

A. Civil Remedies. Any person who demands, accepts, or retains any payment in violation of any provision of this Ordinance shall be liable in a civil action to the person from whom such payment is demanded, accepted, or retained, together with reasonable attorney's fees and costs as determined by the Court.

B. Criminal Remedies. It shall be unlawful for any owner to willfully and knowingly adjust any rent in an amount in excess of that allowed under this Ordinance. Any owner who willfully and knowingly violates any of the provisions of this Ordinance shall be guilty of a misdemeanor punishable by a fine not exceeding $1,000 or six months in jail or both.

C. Injunctive and Other Civil Relief. Any Mobile home park operated, conducted, or maintained contrary to the provisions of this Ordinance shall be, and is hereby declared to be, unlawful and a public nuisance, and the City may, in addition to or in lieu of prosecution in a civil or criminal action under this Ordinance, commence an action or actions, proceeding or proceedings for the abatement, removal, and enjoinment thereof, in the manner provided by law, and shall take such other steps, and shall apply to such courts or court as may have jurisdiction to grant such relief as will abate, remove, and/or restrain and enjoin any person from operating, conducting, or maintaining a Mobile home park contrary to the provisions of this Ordinance. Such remedies shall be in addition to any other judicial or administrative remedies available to the City under the City Code or state law.

D. Non-waiver of Rights. Any waiver or purported waiver by a tenant or prospective tenant of rights granted under this Ordinance prior to the time when such rights may be exercised, whether oral or written, shall be void as contrary to public policy.

E. All remedies prescribed by this Ordinance are cumulative and the election of one or more remedy does not bar the City from the pursuit of any other remedy to enforce this Ordinance.

F. Each violation of this Ordinance shall constitute a separate violation and each violation may be charged as a separate count in the event of administrative or criminal enforcement action.

13.21.340 [RESERVED].

13.21.350 Severability.

If any provision of this Ordinance or application thereof to any person or circumstances is held to be invalid, this invalidity shall not affect other applications of this Ordinance which can be given effect without the invalid provision or application, and to this end, the provisions of this Ordinance are declared to be severable.

19 13.21.360 Ordinance to be liberally construed.

This Ordinance shall be liberally construed to achieve the purposes of this Ordinance and to preserve its validity.

13.21.370 [RESERVED].

13.21.380 [RESERVED].

13.21.390 [RESERVED].

13.21.400 Repeal of Ordinance No. 602, and amendments thereto.

Ordinance 602, and amendments thereto, enacted in 1984 adding Chapter 13.16 entitled Mobile Home Rent Review Commission to the Beaumont Municipal Code, is hereby repealed and superseded by the adoption of this Ordinance.

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Chapter 13.21 MOBILE HOME PARK RENT STABILIZATION

13.21.010 Title.

This Ordinance may be cited as the Mobile Home Park Rent Stabilization Ordinance of the City of Beaumont.

13.21.020 Statement of purpose and findings.

A. Mobile home owners have a substantial investment in their residences and appurtenances for which space is rented or leased. Alternate sites for relocation of mobile homes are difficult to find due to restrictions of age, size, or style of mobile homes permitted in many parks, and related to the installation of mobile homes, including permits, landscaping and site preparation. Additionally, the cost of moving a mobile home may be substantial, and the risk of damage in moving is significant.

B. A significant percentage (nearly 11%) of the residential population of the City of Beaumont resides in mobile homes.

BC. Mobile homes are often occupied by senior citizens, persons on fixed income and persons of low or moderate income, where extreme rent adjustments fall upon these individuals with particular harshness. Many mobile home owners have a substantial portion of their net asset worth invested in their mobile homes. The continuing possibility of unreasonable space rental adjustments in mobile home parks threatens to diminish the value of the investment of the mobile home owners in their homes.

Further, existing state law permits mobile home park owners to require mobile home owners to make modifications to their homes for reasons of aesthetics or conformity to park standards that amount to capital improvements which would accrue to the benefit of the park owner by potentially increasing the market value of the park itself.

CD. The result of these conditions is the creation of a captive market of mobile home owners and tenants. This, in turn, contributes to the creation of an imbalance in the bargaining relationship between park owners and mobile home park tenants in favor of the park owners.

DE. The City Council of the City of Beaumont finds and declares it necessary to facilitate and encourage fair bargaining between mobile home owners and park owners in order to achieve mutually satisfactory agreements regarding space rental rates in mobile home parks (a) to preserve to the residents the value of their mobile homes and (b) to preserve to the park owners the value of their parks. Absent such agreements, the City Council further finds and declares it necessary to protect the owners and residents of mobile homes from unreasonable space rental adjustments

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while simultaneously recognizing and providing for the need of park owners to receive a just and reasonable return on their property.

EF. The City Council of the City of Beaumont finds that it is the goal of the City's Housing Element to "conserve and improve the condition of the existing stock of affordable housing" in the City, and to encourageprohibit conversion of mobile home rental units or mobile home parks to ownership or other uses unless conditions are adopted toin a way that maintains existing affordable conditions.

FG. The City Council of the City of Beaumont finds and declares that Ordinance No. 602, enacted in 1984, and amendments, adding Chapter 13.16 to the Beaumont Municipal Code, entitled Mobile Home Rent Revenue Commission, has been reviewed and evaluated and is found to be inadequate for the needs and purposes of the City as reflected in the above findings and should, therefore, be repealed with the adoption of this Ordinance.

GH. Administration of this Ordinance shall be under the general direction of the City Manager or their designee.Planning Director hereinafter referred to as "Director," with general oversight responsibility vested in the City Manager.

13.21.030 Application.

The provisions of this Ordinance shall apply to all mobile home residential rental spaces located within the City of Beaumont unless otherwise exempt from the provisions of this Ordinance by the Mobilehome Residency Law, , as such exemptions are provided for hereinafter in this Ordinance, and by law.or by applicable State or Federal law. Nothing in this Ordinance shall be deemed to supersede any provision of California Civil Code Section 798 et seq., and as it may be amended.

13.21.040 Definitions.

In construing the provisions of this Ordinance, the following definitions shall apply:

A. "Base year" is the calendar year 1995.; or the year established by the most recent (prior) hearing before the Arbitrator or Board; or, if necessary, the year established by the Arbitrator or Board in parks that have been sold since 1995.

B. "Capital Improvement" means the installation of new improvements and facilities, and/or the replacement or reconstruction of existing improvements and facilities which consist of more than ordinary maintenance or repairs, with a useful life of at least five years.

A.C. “City” means the City of Beaumont, California.

B.D. "Consumer Price Index" or "C. P. I." means the Index known as the "Consumer Price Index for all Urban Consumers for the Los Angeles-Anaheim- Formatted: Not Highlight
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RiversideRiverside-San Bernardino-Ontario Area”, , (1982-1984) and thereafter or the index which may replace this index if it is discontinued.

C. "Landlord" means any owner, lessor, operator or manager of a mobile home park.

D.E. "Mobile home" shall have the same meaning as set forth in California Civil Code section 798.3, as may be amended from time to time. means a structure designed for human habitation and for being moved on a street or highway under permit pursuant to Section 35790 of the Vehicle Code. Except as provided in Civil Code Section 798.3, Notwithstanding the above, mobile home does not include "recreational vehicle" as defined in Section 799.29 of the Civil Code or a "commercial coach" as defined in Section 18001.8 of the Health and Safety Code.

E.F. "“Mobile home owner"” or "“resident"homeowner” means any person who has a tenancy in a Mobile home Park under a rental agreement. entitled to occupy a mobile home dwelling space pursuant to ownership thereof or a rental or lease agreement with the owner thereof.

G. “Mobile home park” means any area of land in the City where two or more mobile home sites are rented, or held out for rent, to accommodate mobile homes used for human habitation.

F.H. "Mobile home park owner" or "park owner" means the owner, lessor, operator, manager or designated agent thereof of a mobile home park; sometimes referred to as "owner” or “landlord.”r."

I. “Mobilehome Residency Law” means and refers to Chapter 2.5 of the California Civil Code section 798, et seq., as may be amended from time to time.

G.J. "Mobile home space" or "space" means the site within a mobile home park intended, designed, or used for the location or accommodation of a mobile home and any accessory structures or appurtenances attached thereto or used in conjunction therewith.

K. H. "Rent adjustments" means any rent increase or decrease demanded of or paid by a tenant, including any reduction in housing services without a corresponding reduction in the monies demanded or paid for rent.

H.L. I. "Rental agreement" means an agreement between a mobile home park owner and tenant establishing the terms and conditions of a tenancy in a mobile home park. A lease is a rental agreement.

M. J. “Resident” is a homeowner or other person who lawfully occupies a mobile home in the City.

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I.N. "Residential rental space" means any mobile home space occupied by any person other than the owner of the park for payment of rent pursuant to an oral or written lease, or other form of rental agreement.

J.O. K. "Space rent" means the consideration, including any bonuses, benefits, or gratuities demanded or received for and in connection with the use or occupancy of a mobile home space within a mobile home park, or for housing services provided and security deposits, but exclusive of any amounts paid for the use of the mobile home as a dwelling unit. The use or occupancy of a mobile home space shall include the exercise of all rights and privileges and the use of facilities, services and amenities accruing to the residents thereof. "Space rent" shall not include any separately billed utility fees and charges for natural gas or liquid propane gas, electricity, water, cable television, garbage or refuse service and sewer service.

K.P. L. "Tenancy" means the right of a homeownertenant to the use of a site within a mobile home park a mobile home site within a mobile home park on which to locate, maintain, and occupy a mobile home, site improvements and accessory structures; for human habitation, including the use of the services and facilities of the mobile home park.

L.Q. M. "Tenant" means any person entitled to occupy such mobile home space pursuant to an oral or written lease with the owner thereof, or pursuant to some other rental agreement with the owner, lessor, operator or manager thereof.

13.21.050 Exemptions from coverage.

The provisions of this Ordinance shall not apply to the following:

A. Newly Constructed Space. Space rent or space rent adjustments for new mobile home spaces whether in parks constructed after January 1, 1990 or spaces rented out for the first time after January 1, 1990 shall be exempt from the provisions of this Ordinance.

Civil Code Section 798.45.

A. Any rental agreement exempt from local rent control regulations pursuant to the Mobilehome Residency Law, as may be amended from time to time.

B. Vacancies.

1. Subject to the exceptions in paragraphs 2 and 3 below, if the mobile home space or mobile home is (a) voluntarily vacated, abandoned, or repossessed, or (b) vacated pursuant to California Civil Code Sections 798.56 or 798.75the Mobilehome Residency Law, the landlord may adjust the rental rate to an amount as he or she in his or her discretion may determine.

2. Subject to the provisions of Civil Code Section 798.17, Iif the mobile home is sold in place and is to remain on site, the landlord may only increase the rental rate of the space to the new owner to an amount that is no greater than the Formatted: Not Highlight
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average of the three highest rentals then currently being charged by the park owner for resident owner- occupied spaces of comparable size, location and amenities in the park.

3. In the event a resident owner must move from his or her mobile home because of a need for long term medical or custodial care, the space shall remain subject to this Ordinance during the time that the owner is absent and remains incapacitated. In those parks that allow subletting, the absent and incapacitated owner may sublet the mobile home for a charge not to exceed the space rent and utilities and all legally allowable pass thorough costs for a period of time not to exceed 24 months without removing the space from the protection of this Ordinance.

C. Space Rent Agreement Exemption. Any rental agreement in excess of 12- months duration which also meets all criteria specified by Section 798.15 and Section 798.17 of the California Civil Code, including, but not limited to, the tenant notification requirement within the first paragraph of such rental agreements, shall be exempt from the space rent ceiling provisions of this Ordinance, but only during the term of such rental agreement or any uninterrupted, continuous extensions thereof. If such rental agreement is not extended and no new rental agreement in excess of 12-months duration is entered into, then the last month's rent under the expired rental agreement shall be the base rent for purposes of this Ordinance. Any rental agreement exempt from this Ordinance by virtue of this subsection shall remain so exempt despite voluntary amendments made thereto, as long as any amendments extending the term contain the disclosures required by Section 798.17 of the California Civil Code.
but only during the term of such rental agreement or any uninterrupted, continuous extensions thereof. If such rental agreement is not extended and no new rental agreement in excess of 12-months duration is entered into, then the last month's rent under the expired rental agreement shall be the base rent for purposes of this Ordinance.

D. Lease Agreement Exemption. Section 7 of this Ordinance does not apply to any residential rental space for the rental of which the mobile home park owner and the tenants have mutually agreed to enter into a lease which conforms to the provisions of California Civil Code Section 798.15 et seq.

E. Tenant Approval. This Ordinance does not apply if two-thirds of all mobile homes affected by the rent increase or other action give their approval in writing as evidenced by the signature of one tenant for each space or in an election called to consider the matter with each space casting one vote. The park owner shall supply proof of such approval to the Director for verification.

CF. Long Term Rental Agreement.

1. Any rental agreement in excess of 12-months duration which also meets all criteria specified below shall be exempt from the space rent ceiling Formatted: Indent: Left: 1", Numbered + Level: 1 +Numbering Style: 1, 2, 3, … + Start at: 1 + Alignment:Left + Aligned at: 0.25" + Indent at: 0.5" Formatted: Font: 12 pt

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provisions of this Ordinance. To qualify for this exemption, the rental agreement must meet all of the following criteria:

a. The rental agreement shall be in excess of 12 months’ duration. b. The rental agreement shall be entered into between the management and the homeowner for the personal and actual residence of the homeowner. c. The homeowner shall have at least 30 days from the date the rental agreement is first offered to the homeowner to accept or reject the rental agreement.
d. The homeowner who signs the rental agreement pursuant to this section may void the rental agreement by notifying management in writing within 72 hours of returning the signed rental agreement to management.
e. The homeowner who signs a rental agreement pursuant to this section may void the agreement within 72 hours of receiving an executed copy of the rental agreement in accordance with the Mobilehome Residency Law. This paragraph shall only apply if management does not provide the homeowner with a copy of the signed rental agreement at the time the homeowners returns the signed rental agreement.
f. The rental agreement contains a statement in the first sentence of the first paragraph, in at least twelve point type or capital letters, giving notice to the mobilehome resident that, by entering into the lease, the rent control provisions of this ordinance will be automatically superseded by the lease provisions regarding rent and rent increases.

2. The exemption shall apply only during the term of such rental agreement or any uninterrupted, continuous extensions thereof. If such rental agreement is not extended and no new rental agreement in excess of 12-months duration is entered into, then the last month's rent under the expired rental agreement shall be the base rent for purposes of this Ordinance.

3. Any rental agreement exempt from this Ordinance by virtue of this section shall remain so exempt despite voluntary amendments made thereto, as long as any amendments extending the term contain the disclosures required above.

4. If, pursuant to paragraph (c) or (d) of subsection (1), the homeowner rejects the offered rental agreement or rescinds a signed rental agreement, the homeowner shall be entitled to instead accept a rental agreement for a term of 12 months or less from the date the offered rental agreement was to have begun. 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 rental agreement offered pursuant to subdivision (1), during the first 12 months, except for options, if any, contained in the offered rental agreement to extend or renew the rental agreement.

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5. No rental agreement shall contain any terms or conditions with respect to charges for rent, utilities, or incidental reasonable service charges that would be different during the first 12 months of the rental agreement from the corresponding terms or conditions that would be offered to the homeowners on a month-to-month basis.

6. No rental agreement for a term of 12 months or less shall include any provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement beyond the initial term for a term longer than 12 months at the sole option of either the management or the homeowner.

7. Nothing in this section shall be construed to prohibit the management from offering gifts of value, other than rental rate reductions, to homeowners who execute a rental agreement pursuant to this section.

8. At the time the rental agreement is first offered to the homeowner, the management shall provide written notice to the homeowner of the homeowner’s right (1) to have at least 30 days to inspect the rental agreement, and (2) to void the rental agreement by notifying management in writing within 72 hours of receipt of an executed copy of the rental agreement. The failure of the management to provide the written notice shall make the rental agreement voidable at the homeowner’s option upon the homeowner’s discovery of the failure. The receipt of any written notice provided pursuant to this subdivision shall be acknowledged in writing by the homeowner.

9. No rental agreement shall have a provision which authorizes automatic extension or renewal of, or automatically extends or renews, the rental agreement for a period beyond the initial stated term at the sole option of either the management or the homeowner.

D. Violation. No person shall perform any act of duress, menace, or undue influence with the intent of thereby obtaining the consent of any other person to enter into any lease for the occupancy of a residential rental space in a mobile home park. or to otherwise force compliance with an applicable exemption from this Ordinance.

13.21.060 Information Upon Request.

13.21.060 Registration and fees.

A mobile home park owner shall provide the following information to the City upon request: the number of mobile home rental spaces within the park, the space rent charged for each space, and the number of spaces currently exempt from this Chapter.

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A. Within 90 calendar days after the effective date of this Ordinance, mobile home park owners are required to register all mobile home parks and mobile home rental spaces within such parks with the Director. The initial registration shall include: the name(s), business address(es), business telephone number(s) of each person or legal entity possessing an ownership interest in the park and the nature of such interest; the number of mobile home rental spaces within the park; the space rent charged for each space during the base year; and the number of spaces currently exempt under Civil Code Sections 798.17 and 798.45. The Director is hereby empowered to establish procedures for requiring such re-registration as he or she deems necessary.

B. After initial registration and on an annual basis, if needed thereafter, each space in the park then subject to the provisions of this Ordinance and not otherwise exempt under provisions in the Mobile Home Residency Law, i.e., Civil Code Sections 798.17 [or such other amount as the City Council may establish] and 798.45, may be assessed a fee of up to $12 per space per year to cover the anticipated costs of administering this Ordinance. The fee shall be collected by the park owner who shall promptly remit all of the per space fee collected except $1.00 per space to the Director who shall use the monies so received to cover the costs of administering this Ordinance. The park owner shall be entitled to retain $1.00 of the fee amount collected to cover the park owner's expenses in complying with this Ordinance.

C. No park owner shall be eligible to receive any rent ceiling adjustment as provided for under the provisions of this Ordinance unless such current registration information as may then be required for the mobile home park is on file with the Director at the time the petition for the rent ceiling adjustment is filed. The registration and re-registration requirements provided for in this section, or which may be hereafter established by the City Council, shall apply to all mobile home parks including those exempt from the space rent ceiling limitation by reason of the existence of a valid space rent agreement. Registration shall not apply to parks that were constructed in 1990 or later.

13.21.070 Space rent ceiling or maximum allowable space rent.

Beginning the first month which commences following the day after the effective date of this Ordinance, no mobile home park owner shall charge space rent for any mobile home space in an amount greater than (a) the space rent in effect on December 31, 1995 increased by the increase in the CPI since that date or (b) the rent for the space that is in effect on the effective date of this Ordinance. The space rent in effect on that date shall be known as the "space rent ceiling."

If there was no space rent in effect on December 31, 1995, the space rent ceiling shall be the space rent that was charged on the first date that space rent was charged after December 31, 1995 (with the exception above noted) adjusted by the CPI to the current date as indicated above or the rent for the space that is in effect on the effective date of this Ordinance. If a mobile home park space is exempted from the application of this Ordinance by reason of the existence of a space

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rent agreement and the agreement expires, the space rent ceiling for that space shall be the space rent in effect on the date the agreement expires.

13.21.080 Space rent ceiling adjustment—Initial adjustment.

A. No adjustment in space rent ceilings shall be permitted except as provided for herein.

B. Permissive Adjustment. A park owner shall be entitled to an initial permissive adjustment gross space rental income equal to 100 percent increase in the Consumer Price Index (CPI) from the end of the base year (1991) to the date of application for the adjustment. The percentage adjustment in the CPI shall be calculated by subtracting the CPI reported for December, 1995, from the most recently reported monthly CPI preceding the application and then dividing this remainder by the December, 1995, CPI.

13.21.090 Space rent ceiling adjustment—Annual adjustments.

Commencing in calendar year 1996, park owners shall be entitled to the following annual adjustments.

A. Permissive Annual Adjustment.

1. A park owner shall be entitled to one annual permissive adjustment of gross space rental income equal to 100 percent of the percentage adjustment in the CPI for that year, but in no case more than 7% per year or less than 3% per year. A park owner shall not impose more than one (1) rent increase for a covered residential rental space in any 12-month period, calculated from the date the rent increase takes effect, unless otherwise permitted pursuant to this Ordinance. from the date of the most recent initial or annual adjustment to the date of application for the proposed adjustment. No application or permission is required for the annual CPI adjustment under this section.

B. Net Operating Income (NOI) Adjustment.

1. In the event a park owner believes he or she does not receive a just and reasonable return on park property after receiving the maximum permissive CPI adjustment provided for above, the park owner may, upon payment of all filing or other fees as hereinafter provided,required, file a petition with the Director Administrative Appeals Board for an adjustment of the space rent ceiling, providing adequate justification for the proposed increase.

(a) Upon the filing by a park owner of a petition for hardship rent increase, the Director shall request a deposit from the petitioner who shall pay 50 percent of the anticipated cost of the proceedings. Any final decision of the Arbitrator or Mobile Home Board (or final decision of a Hearing Officer if not appealed to the City Council) Formatted: Underline
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shall contain an estimate of the total expenses of the Hearing process. The petitioner shall be obligated to pay, as a fee, one-half of the total cost of said hearing process (less the deposit). Any hardship rent increase may be conditioned upon the payment of said fee. In the event that the deposit exceeds one-half of the expense of the hearing process, the petitioner will be entitled to a refund of that difference.

If the City shall establish forms for such a petition, the petition shall be prepared and submitted using such a form. In the absence of such designated form, such

2. In addition to any other applicable information required by the Administrative Appeals Board, any such petition shall be in writing verified by the applicant, and shall contain the names, address and telephone number of the applicant, the name and address of the tenant of each rental space which would be affected if the petition were granted, a statement of the facts giving rise to the petition for an NOI adjustment in sufficient detail that, if established, such facts would demonstrate the existence of a decrease in the NOI warranting such NOI adjustment.

1. 3. Within 30 working days after the petition has been submitted to the Director Administrative Appeals Board for filing, petitioner shall be given notice of the time and place of the hearing, which notice together with a copy of the petition shall be served upon or mailed to each tenant of a rental space which would be affected by the NOI adjustment, if granted. When a declaration of service has been submitted to the Director,Administrative Appeals Board, the petition for an NOI adjustment shall be deemed filed.

2. 4. Upon filing of a complete petition, and presentation of sufficient facts demonstrating the existence of a decrease in the NOI warranting such NOI adjustment, Aa park owner shall be entitled to an adjustment of the space rent ceiling so as to enable the park owner's net operating income (NOI) for the subsequent year to be increased by a rate which, when added to the maximum permissible CPI adjustment provided for above will give the park owner a just and reasonable return on park property. In determining whether the current NOI is adequate in comparison with the base year NOI, the NOI for the park earned in the base year shall be increased by the amount of the CPI increase from the base year to the date of the proposed rental increase.

C. 5. During the hearing, any tenant which would be affected if the petition is granted shall be permitted to be heard and to present any evidence for or against the proposed NOI adjustment.

6. No annual adjustment shall become effective if a previous annual adjustment became effective within the previous 12 months unless approved by the Administrative Appeals BoardArbitrator.

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CD. Rent Increase Based upon Capital Improvements.

1. A park owner shall be permitted to increase rent for a capital improvement upon petition to the Administrative Appeals Board where:

(a) the improvement has been agreed upon between the park owner, and by more than 50 percent of the owners of all mobile homes affected by the improvement in an election called to consider the matter with each space casting one vote by written ballot; or

(b) the improvement is required (a) to maintain the common facilities and other areas of the park in a safe and sanitary condition (b) to maintain the existing level of park amenities and services, or (c) to comply with the law or an administrative regulation. No vote of mobile home owners shall be required for approval under this provision.

2. Capital improvement costs for items which are not necessary or approved as described above in paragraph 1, shall be allowable rent increases only upon petition to the Administrative Appeals Board which establishes that the park owner has (a) consulted with the park residents to be affected prior to initiating construction of such improvements, regarding the nature and purpose of such improvements and the estimated cost of such improvements, and (b) demonstrated the need for the improvements and the reasonableness of the anticipated costs.

3. The petition for the cost of a completed capital improvement or the estimated cost of a proposed capital improvement under this section shall be filed by the park owner with the Administrative Appeals Board, including payment of filing or other fees, and shall contain:

(a) A description of the capital improvement;

(b) A copy of all estimates, contracts, bills, invoices, canceled checks and other documentation reasonably necessary to establish the cost of the capital improvement and the reasonable cost of financing the capital improvement. If, instead of borrowing the money to make the capital improvement, the park owner uses his or her own funds, the reasonable cost of financing which will be allowed shall be the average federal prime rate charged for the three months preceding the start of construction of the capital improvement; and

(c) If the capital improvement has been agreed upon between the park owner and by more than 50 percent of the owners of all mobile homes affected by the improvement, proof of that fact will be submitted with the application.

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An application for a rent increase based on the cost of a proposed or completed capital improvement may be filed by the park owner with the Director pursuant to this subsection. For the purposes of this subsection "Capital Improvement" is defined as the installation of new improvements and facilities, and/or the replacement or reconstruction of existing improvements and facilities which consist of more than ordinary maintenance or repairs, with a useful life of at least five years.

1. A capital improvement shall be approved by the Arbitrator where the improvement has been agreed upon between the park owner, and by more than 50 percent of the owners of all mobile homes affected by the improvement in an election called to consider the matter with each space casting one vote. A capital improvement shall be approved if the improvement is required (a) to maintain the common facilities and other areas of the park in a safe and sanitary condition (b) to maintain the existing level of park amenities and services, or (c) to comply with the law or an administrative regulation. No vote of mobile home owners shall be required for approval under this provision.

2. Capital improvement costs for items which are not necessary or approved as described above, in paragraphs 1 and 2, shall be allowable rent increases only if the park owner has (a) consulted with the park residents to be affected prior to initiating construction of such improvements, regarding the nature and purpose of such improvements and the estimated cost of such improvements, and (b) demonstrated the need for the improvements and the reasonableness of the anticipated costs.

4. 3. Capital improvement rent increases shall be amortized over the useful life of the improvement as set forth in Internal Revenue "class life" tables then in effect, unless the Administrative Appeals Board, in its discretionArbitrator at its discretion determines that the use of such tables is unreasonable under the circumstances.

4.5. In addition to the reasonable cost of the improvement(s) and the reasonable costs of financing, the rent increase shall include a return of two percent over the federal prime rate at Bank of America in effect at the time the rent increase is approved calculated annually on the unamortized cost improvement.

6. 6. In the event the need for the capital improvement is a result of an accident, disaster, or other event for which the park owner receives insurance benefits, only those capital improvement costs which exceed such insurance benefits may be amortized as operating expenses unless the uncovered loss or portion thereof is a result of an underinsured or uninsured Formatted: Indent: Left: 1.5", No bullets or
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loss in which event the underinsured or uninsured portion is disallowed unless prudent business practices would not require it to be insured.ensued.

7. 7. Capital improvement rent increases shall be apportioned equally among all spaces in the mobile home park affected thereby and shall be payable monthly, and shall be set forth by the park owner as a separate item from the space rent. The increase shall remain in effect until the cost of the improvement, plus reasonable costs of financing as set forth above, have been fully recovered.

8. The application for the cost of a completed capital improvement or the estimated cost of a proposed capital improvement shall contain:

(a) A description of the capital improvement;

(b) A copy of all estimates, contracts, bills, invoices, canceled checks and other documentation reasonably necessary to establish the cost of the capital improvement and the reasonable cost of financing the capital improvement.

If, instead of borrowing the money to make the capital improvement, the park owner uses his or her own funds, the reasonable cost of financing which will be allowed shall be the average prime rate charged by the Bank of America for the three months preceding the start of construction of the capital improvement; and

(c) If the capital improvement has been agreed upon between the park owner and by more than 50 percent of the owners of all mobile homes affected by the improvement, proof of that fact will be submitted with the application.

9. A petition by tenants, as allowed by Section 13.21.120, will be limited to challenging the special increase for a capital improvement only on the basis that it does not meet the criteria established by Section 13.21.090.D of this Ordinance.

8. 10. The Hearing Officer or ArbitratorAdministrative Appeals Board may, in its discretion, approve the capital improvement without the necessity of a hearing, as provided for in this Ordinance.

9. 11. No rent increase for a proposed capital improvement may be collected until the park owner provides proof to the Director that the improvement has been completed. The capital improvement shall be deemed completed upon satisfactory final inspection by the City of any approved plans, permitted construction work or permit issued.

13.21.100 Required certification on rental adjustment notice.

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The Arbitrator Administrative Appeals Board shall have the right to deny any rent adjustment under this Ordinance if the owner:

A. Hhas failed to comply with any provisions of this Ordinance and/or regulations issued there under by the Director or the City Council. .

13.21.110 [RESERVED].

13.21.110 Petition by tenant.

A. Any tenant of a mobile home rental space affected by this Ordinance, upon payment of a filing fee of $1.00 and joined by at least 30 percent of the other tenants similarly affected (each of whom pays $1.00 per space), may petition for a determination whether a proposed or actual action by the landlord affecting such tenant(s) is within the terms of this Ordinance. If the City shall establish forms for such petitions, the petition shall be prepared and submitted upon such form. In the absence of such designated form, the petition shall contain the name, address and telephone number, if known, of the landlord, owner, manager, or other person authorized to represent the owner of the mobile home park, a brief statement of the facts giving rise to the petition and a statement that a copy of the petition has been personally served or mailed to the owner, manager or other person authorized to accept and receive notices to the landlord.

B. The petition shall also include the name, address, and telephone number of the designated representative of the petitioner(s) to whom notices and other communications respecting the petition are to be transmitted.

C. In the event a petition by a tenant(s) results in a downward adjustment in the space rent, the park owner shall not be obligated to adjust any rent except the rent of those tenant(s) who signed the petition and paid the established filing fee.

D. A petition must be filed within 60 days of notice being given by the park owner or within 90 days of the action actually taken by the park owner when no written notice preceded the action.

E. In the event the petitioner or petitioners are claiming that a net operating income rental increase otherwise allowed by Section 13.21.090B above should be disallowed in whole or in part because of conditions of deteriorating maintenance the petitioner(s) shall specify the conditions of deteriorating maintenance in their petition with the specificity required by Civil Code Section 798.84(b).

F. Upon receipt of the petition, the Director shall determine whether or not the petition contains the minimum number of signatures required. Thereafter, the Director shall notify, in writing, the park owner and the residents of the results of his/her determination.

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G. The Director shall in a timely manner assign a Hearing Officer who shall conduct an informal hearing in an attempt to resolve the matter. In making his/her recommendation(s), the Hearing Officer may consider all relevant factors including those listed in this Ordinance.

H. The Hearing Officer shall, if he/she finds it practical to do so, hold the informal hearing at the mobile home park. In any event, the Hearing Officer shall use all reasonable efforts to hold the hearing at a location which is convenient for the residents of the park.

I. The hearing may be attended by no more than two representatives from the affected tenants and two representatives from the park owner. Attorneys shall not be present at the informal hearing(s) unless agreed to in writing, by both sides except in a case where the park owner or petitioning tenant(s) is an attorney in which case the other party may be accompanied by its own attorney.

J. Either side may submit written, photographic or other type of documentary evidence to support their contentions, but is not required to do so.

K. The Director shall set time lines by which the informal hearing process must be concluded and shall take all appropriate steps to see that the informal hearing process is conducted in a manner that respects the rights of both sides.

L. The Hearing Officer shall serve, by his/her final recommendations in written form to both sides and to the Director.

M. Any agreements reached by the parties shall be reduced to writing and be signed by them and the Hearing Officer.

N. No statement(s) made by a party in the informal hearing process may be introduced into evidence or presented before the Arbitrator unless agreed to by the party making the statement.

13.21.120 [RESERVED].

13.21.120 Petition by landlord.

Any landlord of a mobile home park affected by this Ordinance may, upon payment of a filing fee of $1.00 per space affected under this Ordinance, petition for a determination whether a particular course of action by said landlord is allowable, valid and in conformity with this Ordinance. The Director may designate forms for the filing of such petitions. In the event that no such form has been designated, the petition shall be in writing, and shall contain the name, address and telephone number, if any, of the person requesting the interpretation or opinion, the name and address of each tenant of a rental space owned or managed by the person requesting the interpretation or opinion, if it is intended that such interpretation or opinion affects such rental space, a brief statement of the facts giving rise to the request for interpretation or opinion, and a Formatted: Not Highlight

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statement that a copy of such petition has been personally served upon or mailed to each such tenant who might be affected thereby.

The Hearing Officer procedures specified in Section 13.21.110G—N inclusive of this Ordinance shall be used for the initial consideration of the landlord's petition.

13.21.130 [RESERVED].

13.21.130 Appeal to Arbitrator.

Any party to a hearing conducted by a Hearing Officer shall be entitled to appeal the decision of the Hearing Officer to the Arbitrator.

13.21.140 [RESERVED].

13.21.140 Arbitration.

A. If a majority of the petitioning parties or the park owner wish to proceed to arbitration they shall, within 20 days of the date of service of the written notification of the Hearing Officer's final recommendation, notify the Director in writing of their decision to proceed to arbitration.

B. Within 30 days of notice of the filing of the request for arbitration the mobile home owner(s) and park owner shall contribute and deposit a sum of money with the Director for the estimated costs of, and as determined by, the Director. In no event shall the mobile home owner(s) contribution exceed $300.00 or such other amount (greater or lesser) as the Director may establish.

Failure on the part of the petitioner(s) to deposit its share, shall terminate the proceedings and will be deemed a denial of the request. In the event the park owner fails to deposit his share, the Arbitrator shall enter an order as to such park owner denying any increase in rent or any other new "pass through" charge for a 12-month period, beginning the date of the notice of increase that is the subject of dispute. This order shall become effective 30 days from the date it is mailed by the Director unless a court-ordered stay of execution is granted. Unless such a stay is granted, any rent increase collected by park owner while this procedure was pending shall be refunded to residents within 60 days of the date of mailing of the notice denying the increase pursuant to this Section, by the Director. If no contrary court order is entered, and the amounts owed are not repaid in 60 days, affected residents may reduce their rental payments next due by the amount overpaid. If the amount exceeds one month's payment, the balance shall be deducted the next month until resident has received the overpayment plus ten percent of the total as a penalty for park owner not having complied with the provisions of this Ordinance.

C. In the event a petition by a tenant(s) results in a downward adjustment in the space rent, the park owner shall not be obligated to adjust any rent except the rent of those tenant(s) who signed the petition and paid the established filing fee.

13.21.150 [RESERVED].

13.21.150 Selection of Arbitrator.

A. The City Manager shall, if the parties cannot otherwise agree, select the person who is to be the Arbitrator. The Arbitrator shall be selected from a list of recommendations provided by the Formatted: Not Highlight
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Board of Directors of the Riverside County Bar Association or such other organization(s) as the City Manager deems appropriate. The Arbitrator shall be a resident of Riverside County and be qualified by education, training and experience.

B. The City shall pay the Arbitrator his or her fees as agreed between the Arbitrator and the City Manager.

13.21.160 [RESERVED].

13.21.160 Conduct of Arbitration.

A. The following is applicable to all hearings before the Arbitrator.

B. Each party to a hearing may have assistance in presenting evidence or in setting forth by argument his or her position, from an accountant, attorney or such other person of his own choosing as may be designated by said party.

C. Formal rules of evidence shall not apply in such proceedings; however, all testimony (oral or written) offered as evidence shall be submitted under oath.

D. In the event any party shall fail to appear at the time and place set for hearing of a petition without good cause as determined by the Arbitrator, the Arbitrator may hear and review such evidence as may be presented by those present, and may make such findings and decisions as shall be supported by the evidence placed into the record.

E. The Arbitrator, shall make findings based on the evidence as presented as to each fact relevant to its decision on the petition. The decision shall be based upon the findings, and shall:

1. Determine whether the action or proposed action of a landlord is valid, authorized, and in conformity with this Ordinance;

F. The decision shall be made no later than 30 days after the matter has been submitted for determination. No rent adjustment shall be authorized unless supported by a preponderance of the evidence. A written notice of the decision shall be sent to each party to a proceeding.

13.21.170 Appeal to court.

The findings and decision of the Arbitrator Administrative Appeals Board shall be a final administrative action. There shall be no right of appeal to the City Council, but appeal may be made to Court pursuant to Code of Civil Procedure Sections 1094.5 and 1094.6. Such findings and decision shall be public records, anrid may be certified by the Director, or by the City Clerk. Each decision shall set forth a Notice as required by California Government CodeCode of Civil Procedure Section 1094.6. The decision shall become effective and final upon mailing to the parties.

13.21.180 Priorities.

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All petitions for hearings shall be heard in order of date filed.

13.21.190 Rent adjustment regulations.

For purposes of determining allowable NOI rent adjustments pursuant to Section

13.21.090B,, except those specified in Section 13.21.090 A for permissive annual adjustment and in Section 13.21.090 D for capital improvements, the principles set forth in this section shall be used. The Arbitrator Administrative Appeals Board may consider all relevant factors including, but not limited to: increases or decreases in operating and maintenance expenses, the extent and cost of utilities paid by the park owner, necessary and reasonable capital improvements of the park as distinguished from normal repair, replacement and maintenance, increases or decreases in amenities, equipment, insurance, services, substantial deterioration of the park other than as a result of ordinary wear and tear, failure on the part of the park owner to provide timely and/or adequate maintenance and repair, federal and state income tax benefits, the speculative nature of the investment, whether or not the property was acquired or is held as a long term or short term investment, the owner's rate of return on investment, the owner's method of financing and prudent use and need thereof, the owner's current and base year net operating income (NOI) as inflated to date by current CPI and any other factors deemed relevant by the ArbitratorAdministrative Appeals Board, in providing the owner a fair return.

The fact that a park is old shall not, of itself, be indicative that maintenance has deteriorated. The Arbitrator Administrative Appeals Board shall distinguish between normal deterioration and obsolescence of the park due to age and failure to adequately maintain.

In the event any such claim or claims of failure to adequately maintain are proven, the Arbitrator Administrative Appeals Boards may take one or more of the following actions:

A. Deny any rental increase.;

B. Offset any allowable rental increase by an amount that is adequate to reflect the degree of failure to adequately maintain.

C. Condition any allowable rental increase upon a remediation of the failure to maintain by the park owner. In this regard, the Arbitrator Administrative Appeals Board may freeze rents at the pre-increase level until such time as the park owner has come into compliance with the Arbitrator's Administrative Appeal Board’s decision.

D. The Arbitrator Administrative Appeals Board may recess the hearing for a period not to exceed 90 days to allow the park owner to correct the condition or conditions of inadequate maintenance.

E. The Arbitrator Administrative Appeals Board may combine any two or more of the above- listed actions and/or may take any other action or actions that it deems necessary to correct the problem of inadequate maintenance.

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13.21.200 Net operating income.

Net operating income (NOI) shall be gross income less allowable operating expenses.

13.21.210 Gross income.

Gross income equals:

A. Gross rents, computed as gross rental income at 100 percent paid occupancy, plus

B. Interest from rental deposits, unless directly paid by the landlord to the tenants, plus.

C. Income from miscellaneous sources, including, but not limited to, laundry facilities, vending machines, amusement devices, cleaning fees or services, garage and parking fees, plus

D. All other income or consideration received or receivable for or in connection with the use or occupancy of rental units,

E. Minus uncollected rents due to vacancy and bad debts to the extent that the same are beyond the landlord's control.

13.21.220 Allowable operating expenses.

Operating expenses shall include but not be limited to the following:

A. Real property taxes,,

B. Utility costs. Utility costs are for natural gas or liquid propane gas, electricity, water, cable television, garbage or refuse service, and sewer service, unless billed separately to and paid by the park residents in which case the park owner may not deduct such costs. It is assumed that charges for utility services billed to the tenant separately include an adequate reserve amount to repair and upgrade meters, lines and equipment and the park owner shall have the burden of showing by clear and convincing evidence that any additional expense is necessary to cover such repairs or upgrade.

C. Management fees actually paid if management services are contracted for. If all or a portion of management services are performed by the landlord, management fees shall include the reasonable value for such landlord performed services.

Management fees greater than five percent of gross income are presumed to be unreasonable. Such presumption may be rebutted.

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D. Other reasonable management expenses, including, but not limited to, necessary and reasonable advertising, accounting and insurance.

E. Normal repair and maintenance expenses, including, but not limited to, painting, normal cleaning, fumigation, landscaping, and repair of all standard services, including electrical, plumbing, carpentry, furnished appliances, drapes, carpets, and furniture.

F. Owner-performed labor, which shall be compensated at the following hourly rates upon documentation of the date, time, and nature of the work performed:

1. At the general prevailing rate of per diem wages for the Riverside area, for the specific type of work performed, as determined and published by the Director of the Department of Industrial Relations of the State of California pursuant to Section 1770 et seq. of the Labor Code of the State of California.

2. If no such general prevailing rate has been determined and published, then a cost per hour for general maintenance and a cost per hour for skilled labor as established by Riverside County Department Office of Economic Development.

3. Notwithstanding the above, a landlord may receive greater or lesser compensation for self-labor if the landlord proves by clear and convincing evidence that the amounts set forth above are substantially unfair in a given case.

4. Owner performed labor in excess of five percent of gross income shall not be allowed unless the landlord proves by clear and convincing evidence that such excess labor expenses resulted in proportionately greater services for the benefit of tenants.

G. License and registration fees required by law to the extent same are not otherwise paid by tenants.

H. The reasonable cost of the capital improvement including reasonable financing costs, plus two percent over the federal prime rate at Bank of America in effect at the time of the assessment computed in accordance with any useful life table utilized by the Internal Revenue Service.

I. Reasonable attorneys' fees and costs incurred as normal reasonable costs of doing business, including, but not limited to, good faith attempts to recover rents owing and good faith unlawful detainer actions not in derogation of applicable law, to the extent same are not recovered from tenants.

13.21.230 Operating expenses not allowable.

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Operating expenses shall not include the following:

A. Avoidable, unreasonable or unnecessary expenses;

1. All expenses allowed must be reasonable. To the extent that the Arbitrator Administrative Appeals Board finds any expense(s) to be unreasonable, the ArbitratorAdministrative Appeals Board shall adjust such expense(s).

B. Mortgage principal and interest payments.;

1. In refinancing, increased interest shall be permitted to be considered as an operating expense only where the park owner can show that the refinancing was reasonable and consistent with prudent business practices under the circumstances.

C. Lease purchase payments; and rent or lease payments to park owner's lesser; except that increases in such payments in any year may be allowed if found by the Administrative Appeals Boardrbitrator to be reasonable and consistent with prudent business practice under the circumstances.

D. Excessive costs of maintenance caused by delaying normal maintenance.;

E. A cost that results because the loss is uninsured where prudent business practice would expect insurance coverage or the cost for that portion of a loss above a normal deductible, if underinsured, shall not be included as an operating expense..

F. Depreciation of the real property.;

G. Any expenses for which the landlord has been reimbursed by any security deposit, insurance settlement, judgment for damages, settlement, or any other method.

H. Attorneys’ fees and other costs incurred for preparation and presentation of proceedings before the Arbitrator orAdministrative Appeals Board, or in connection with civil actions or proceedings against the Arbitrator orCity or the Administrative Appeals Board.

I. Penalties, fees or interest assessed or awarded for violation of this or any other statute or ordinance.;

13.21.240 Presumption of fair base year net operating income.

Except as provided in below, it shall be presume that the Net Operating Income produced by a park owner during the base year, provided a fair return on property. Owners shall be entitled to maintain and increase their Net Operating Income from year to year in accordance with Sections

13.21.080B and 13.21.090B.

13.21.250 Rebutting the presumption.

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It may be determined that the base year net operating income yielded other than a fair return on property, in which case, the base year Net Operating Income may be adjusted. In order to make such a determination, the Arbitrator or its designeeAdministrative Appeals Board must make at least one of the following findings:

A. The owner's operating and maintenance expenses in the base year were unusually high or low in comparison to other years. In such instances, adjustments may be made in calculating such expenses so the base year operating expenses reflect average expenses for the property over a reasonable period of time. The Arbitrator Administrative Appeals Board shall consider the following factors:

1. The owners made substantial capital improvements during the base year which were not reflected in the rent levels on the base date.

2. Substantial repairs were made due to damage caused by natural disaster, vandalism or other cause which management has taken appropriate action to reduce.

3. Maintenance and repair were below accepted standards so as to cause significant deterioration in the quality of housing services.

4. Other expenses were unreasonably high or low notwithstanding the following of prudent business practices by management.

B. The rental rates in the base year were disproportionate due to enumerated factors below. In such instances, adjustments may be made in calculating gross rents consistent with the purpose of this Ordinance.

1. The rental rates in the base year were substantially higher or lower than in preceding months by reason of premiums being charged or rebates being given for reasons unique to particular units or limited to the period determining the base rent.

2. The rent in the base year was substantially higher or lower than at other times of the year by reason of seasonal demand or seasonal variations in rent.

3. The rental rates in the base year were exceptionally high or low due to other factors which would cause the application of the base year net operating income to result in gross inequity to either the owner or tenant.

13.21.260 Determination of base year net operating income.

A. To determine the net operating income during the base year, there shall be deducted from the annualized gross income being realized in 1991, a sum equal to the actual operating expenses for calendar year 1991, unless the owner demonstrates to the Formatted: Not Highlight
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satisfaction of the Arbitrator Administrative Appeals Board that the use of some other consecutive 12-month period is justified by reasons consistent with the purposes of this section.

B. In the event the owner did not own the subject property during the base year, the operating expenses for 1991 shall be determined by one of the following methods, whichever the Arbitrator or BoardAdministrative Appeals Board determines to be more reliable in the particular case:

1. The previous owner's actual operating expenses as defined in Section

13.21.220 and 13.21.230 if such figures were available, or

2. Actual operating expenses for the first calendar year of new ownership, adjusted to 1991.

C. Park owners shall be entitled to maintain and increase their net operating income from year to year in accordance with the guidelines set forth in this Ordinance. It shall further be rebuttably presumed that where the net operating income is less than 50 percent of gross income in the base year, the park owner was receiving less than a just and reasonable return on the mobile home park.

13.21.270 Determination of current year net operating income.

To determine the current year net operating income there shall be deducted from the annualized gross income, determined by analyzing the monthly rents in effect at the time of filing of a petition, a sum equal to the actual operating expenses for the last calendar year (unless the owner demonstrates to the satisfaction of the Arbitrator Administrative Appeals Board that the use of some other consecutive 12-month period is justified by reasons consistent with the purposes of this section).

13.21.280 Schedule of increases in operating expenses.

Where scheduling of rental increases, or other calculations, require projections of income and expenses, it shall be assumed that operating expenses, exclusive of property taxes, and management expenses, increase at five percent per year, that property taxes increase at two percent per year, and that management expenses constitute five percent of gross income, provided, however, that if actual increases are greater or less than those listed in this section, the actual increases shown according to proof shall be the increases applicable.

13.21.290 Discretionary considerations.

While the net operating income formula should operate to provide a park owner a fair return on the park, the Hearing Officer or ArbitratorAdministrative Appeals Board considering a request for rent increases shall consider all relevant factors presented in making a determination, as set forth in this Ordinance.

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13.21.300 Increases pending hearing.

Rent increases which require petition with the Administrative Appeals Board may not be collected in full by the park owner until such time as ordered otherwise by a final decision of the Arbitrator Administrative Appeals Board or unless agreed upon by the residents and the park owner; however, a park owner may continue to collect the full amount of rent permitted, including any permissive CPI adjustment, which does not require such approval..

13.21.310 Rent adjustments for reduction in utility services.

A. If a mobile home park provides in the rent, without separate charge, utilities or similar services (including, but not limited to, natural gas, electricity, water, sewer, trash, and/or cable television) and converts to separate charge for such service by separate metering, separate charge or other lawful means of transferring to the tenant the obligation for payment for such services, the cost savings shall be passed through to tenants by a rent adjustment equal to the actual cost to the park of such transferred utility or similar service (less common area usage) based on costs for the 12 months period prior to notice to the tenants of the change. It is the intent of this Section for those rental agreements entered into on or after January 1, 1991, to be consistent with the provisions of Mobilehome Residency Law, including Civil Code Section 798.41 as adopted by Chapter 1013, Section 2 of the Statutes of 1990, as may be amended from time to time.

B. For purposes of this section, in determining cost savings to be passed on to tenants in the form of decreased rent, the cost of installation of separate utility meters, or similar costs incurred by the owner to shift the obligation for payment of utility costs to the tenants shall not be considered. However, this shall not be construed to prohibit or prevent the consideration of inclusion of such costs as an increased operating expense. at arbitration.

13.21.320 Quantum of proof and burden of proof.

The decision of the Arbitrator, the Director, or the Hearing OfficerAdministrative Appeals Board must be supported by the evidence submitted. In Arbitration, Tthe petitioning party shall have the burden of going forward with the evidence and the burden of persuasion by a preponderance of the evidence.

13.21.330 Remedies for violation.

A. Civil Remedies. Any person who demands, accepts, or retains any payment in violation of any provision of this Ordinance shall be liable in a civil action to the person from whom such payment is demanded, accepted, or retained for damages in the sum of three times the amount by which the payment or payments demanded, accepted or retained exceed the maximum rent which could lawfully be demanded, accepted, or retained, together with reasonable attorney's fees and costs as determined by the Court.

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B. Criminal Remedies. It shall be unlawful for any owner to willfully and knowingly adjust any rent in an amount in excess of that allowed under this Ordinance or by order of the Arbitrator. Any owner who willfully and knowingly violates any of the provisions of this Ordinance or the orders of the Arbitrator shall be guilty of a misdemeanor punishable by a fine not exceeding $1,000 or six months in jail or both.

C. Injunctive and Other Civil Relief. Any Mobile home park operated, conducted, or maintained contrary to the provisions of this Ordinance shall be, and is hereby declared to be, unlawful and a public nuisance, and the City may, in addition to or in lieu of prosecution in a civil or criminal action under this Ordinance, commence an action or actions, proceeding or proceedings for the abatement, removal, and enjoinment thereof, in the manner provided by law, and shall take such other steps, and shall apply to such courts or court as may have jurisdiction to grant such relief as will abate, remove, and/or restrain and enjoin any person from operating, conducting, or maintaining a Mobile home park contrary to the provisions of this Ordinance. Such remedies shall be in addition to any other judicial or administrative remedies available to the City under the City Code or state law. The Arbitrator, the Director, the City, and/or the Tenants and Owners may seek relief from the appropriate Court within the jurisdiction in which the rental unit is located to enforce any provision of this Ordinance or its implementing regulations or to restrain or enjoin any violation of this Ordinance and of the rules, regulations, orders and decisions of the Arbitrator or City Council.

D. Non-waiver of Rights. Any waiver or purported waiver by a tenant or prospective tenant of rights granted under this Ordinance prior to the time when such rights may be exercised, whether oral or written, shall be void as contrary to public policy.

E. All remedies prescribed by this Ordinance are cumulative and the election of one or more remedy does not bar the City from the pursuit of any other remedy to enforce this Ordinance.

F. Each violation of this Ordinance shall constitute a separate violation and each violation may be charged as a separate count in the event of administrative or criminal enforcement action.

13.21.340 [RESERVED].

13.21.340 Periodic review of Ordinance.

The City Council shall review the provisions of this Ordinance following a report by the Director one year following the date of adoption thereof, and at any other time deemed appropriate, in order to consider the following:

1. Whether this Ordinance continues to be necessary to protect the public health, safety, and welfare.

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2. Whether the implementation of the provisions of this Ordinance have been adequate; and

3. Whether the provisions of this Ordinance should be amended to provide more effective regulations or to avoid unnecessary hardship.

13.21.350 Severability.

If any provision of this Ordinance or application thereof to any person or circumstances is held to be invalid, this invalidity shall not affect other applications of this Ordinance which can be given effect without the invalid provision or application, and to this end, the provisions of this Ordinance are declared to be severable.

13.21.360 Ordinance to be liberally construed.

This Ordinance shall be liberally construed to achieve the purposes of this Ordinance and to preserve its validity.

13.21.370 [RESERVED].

13.21.370 Prospective effect.

This Ordinance is intended to operate prospectively from its effective date, and anything which occurred prior to the effective date of this Ordinance which was otherwise lawful shall not be affected.

13.21.380 [RESERVED].

13.21.080 Introduction.

This Ordinance was duly and regularly introduced as a meeting of the City on the 12th day of March, 1996.

13.21.390 [RESERVED].

13.21.390 Effective date.

This Ordinance is effective 31 days after adoption.

13.21.400 Repeal of Ordinance No. 602, and amendments thereto.

Ordinance 602, and amendments thereto, enacted in 1984 adding Chapter 13.16 entitled Mobile Home Rent Review Commission to the Beaumont Municipal Code, is hereby repealed and superseded by the adoption of this Ordinance.

Staff Report

TO: City Council
FROM: Robert Vestal, Public Works Director
DATE February 6, 2024
SUBJECT: Second Reading of an Ordinance Amending the Beaumont Municipal Code Title of Chapter 12.16, Adding Chapter 12.18 and Amending Chapter 17.04

Description Undergrounding of Existing Overhead Utilities.

Background and Analysis:

The Beaumont Municipal Code (BMC) has two sections that discuss undergrounding of utilities: Chapter 12.16 - Utility Undergrounding and Chapter 17.04.100 – Utilities.

Chapter 12.16 - “Utility Undergrounding” provides the City the ability to create Underground Utility Districts, levy an assessment of the cost to underground the existing utilities against the property owners, and perform the undergrounding of utilities within the district. There are currently four Utility Undergrounding Districts within Beaumont.

 Resolution 1978-35: District 101 -Area near Highland Springs and Sixth Street  Resolution 1989-01: District 89-1 - Area along Sixth Street, between American and Allegheny
 Resolution 1998-27: Along an 880 feet portion Brookside Avenue and 1,940 feet portion of Beaumont Avenue
 Resolution 2005-31: District 2 - Beaumont Avenue between Eighth Street and I- 10 Freeway

Chapter 17.04.100 – “Utilities” establishes the requirements of new and existing utilities associated with the development of a project. 17.04.100(B) specifically identi fies undergrounding of utility lines having 16 kilovolts or less. However, Chapter 17.04.100 does not explicitly state that existing poles must be undergrounded which provides opportunity for challenges. Additionally, Chapter 17.04.100 is located in the Zo ning section of the BMC.

City staff is requesting the following changes to the BMC:

1. Chapter 12.16 - “Utility Undergrounding” be renamed to “Utility Undergrounding Districts” to more clearly reflect its application.

2. Add Chapter 12.18 – “Utility Undergrounding Requirements” to incorporate the City’s policies requiring the conversion of existing overhead utilities into new underground systems as a condition related to the City’s approval for land use and development applications and permits.

3. Amend the Zoning Code in section 17.04.100 – “Utilities” to clarify the City’s requirements applicable to both the undergrounding of existing overhead utilities and the installation of new underground utility systems as a condition related to approvals for land use development applicants.

Proposed Chapter 12.18 – Undergrounding of Existing Overhead Utilities

Chapter 12.18 – “Undergrounding of Existing Overhead Utilities” will establish uniform provisions for the regulation of requiring conversions of existing overhead utility systems into new underground systems. The chapter will be divided accordingly:

 12.18.010 – Purpose and Authority
 12.18.020 – Definitions
 12.18.030 – Requirements to Underground Existing Overhead Utility Lines  12.18.040 – Application to Developments and Improvements  12.18.050 – Utility Assessment Form
 12.18.060 – Exempted Utility Devices
 12.18.070 – Exemption and Deferral of Certain Improvements  12.18.080 – Wavier and Deferral
 12.18.090 – Appeals

Requirements

The requirement to underground existing overhead utilities will be imposed on each and every permit required from the City for development or improvement of private property.

Existing overhead utility lines located on, extending across, or located adjacent to private property, including those overhead utility lines located along the perimeter of private property within public rights-of-way of City streets bordering private property, shall be placed underground into new underground systems. Existing overhead utility lines shall be placed underground on the property subject to the development or improvement as follows:

A. Except as otherwise provided in this subsection, the existing overhead utility lines shall be placed into a new underground system located along the entire frontage of the subject property from boundary line to boundary line as depicted in Figure C-1;

B. Whenever a utility pole is located on the frontage of the subject property and within five feet of its boundary line, existing utility pole may remain to be used as a riser with the existing overhead utility lines placed underground into a new underground system located along the frontage of the property from boundary line to the existing utility pole except for that distance of five feet or less between the utility pole and the other boundary line as depicted in Figure C-2;

C. Whenever an existing utility pole is located within one hundred fifty (150) feet of a boundary line of the subject property, the existing overhead utility lines shall be placed into a new underground system located along the entire frontage of the subject property from boundary line to boundary line and from one of the boundary lines to the existing utility pole as depicted in Figure C-3.

Whenever a utility pole is located more than one hundred fifty (15 0) feet from a boundary line of the subject property, a new utility pole may be installed at one boundary line of the subject property and the existing overhead utility lines shall be placed into a new underground system along the entire frontage of the subject property from one boundary line to the newly installed utility pole as depicted in Figure C-3;

D. In the event that the subject property is located on a corner where two streets intersect, the existing overhead utility lines shall be placed into a new underground system extending across one or both of the streets to the next existing utility pole provided that the utility pole is within one hundred fifty (150) feet of one of the boundary lines of the subject property as depicted in Figure C-4.

Exemptions

The following existing overhead utility lines shall be exempted from the requirement to be placed underground as otherwise required in this chapter:

A. Existing overhead utility lines operated at voltages in excess of thirty-four thousand five hundred volts (> 34.5 kV);

B. In residential in-fill areas where property is to be developed for residential purposes where existing overhead utility lines are located along or near the rear property lot lines of the subject property to be developed and where those existing overhead utility lines provide service to adjoining residential properties that are not the subject of the development or improvement;

C. Appurtenances and associated equipment including, but not limited to, surface mounted transformers and switches, pedestal mounted terminal boxes and meter cabinets which may be left in place above ground;

D. Improvements to an existing commercial or industrial building where the improvement increases the building footprint or total square footage by less than 300 square feet, ref BMC 17.11.050(A);

E. Improvements to an existing residential building where the improvement increases the building footprint or total square footage by less than twenty- five percent (25%), ref BMC 17.11.050(A).

F. Whenever the owner or developer of a subject property is required to underground existing overhead utility lines but the length of the property frontage is less than three hundred (300) feet, the City may allow the owner or developer to pay a fee to the City that is equal to the unit cost of placing the existing overhead utility lines underground, multiplied by the length over which the undergrounding is required.

34.5kV Threshold

Current BMC Chapter 12.16 - “Utility Undergrounding” has an exemption from undergrounding utility lines that exceed 34.5 kilovolts (kV). Chapter 17.04.100 – “Utilities” has an exemption from undergrounding utility lines that exceed 16 kV. City staff conducted a survey of twenty-eight surrounding cities’ kV exemptions. Twelve cities use approximately 34.5 kV. Only Beaumont and Rialto have lower kV exemptions.

The remaining cities do not list the kV. The following table show the results of the survey:

City Code Section kV Requirement Waiver?
Banning 17.24.170 <33 kV No
Beaumont 17.04.100 <=16 kV No
Calimesa 17.15.140 <=34.5 kV Yes - City Engineer
Cathedral City 8.30.050 Not specified No
Chino 13.32 <=34.5 kV Listed exceptions
Coachella 16.28.150 Not specified Yes - City Council
Corona 15.60 <34 kV Yes - City Council
Fontana 27-50 to 27-54 <36 kV Listed exceptions
Hemet 82-172 <=34.5 kV Yes - City Engineer
Highland 16.40.380 <=34.5 kV Listed exceptions
Indio 156.106 Not specified Yes - PW Director
La Quinta 13.24.110 Not specified Yes - City Manager
Menifee 9.23 Not specified Yes - varies
Moreno Valley 9.14.130 <115 kV Yes - City Engineer
Norco 13.08 <40 kV Yes -City Council
Ontario 7-7 <=34.5 kV Listed exceptions
Palm Desert 12.16.020,

25.40.120
<=16 kV Listed exceptions
Palm Springs 8.04.402, 9.60.030 <35 kV ; <=33 kV Yes - City Engineer Perris 19.02.070 Not specified No
Pomona 62-31 Not specified Listed exceptions
Rancho
Cucamonga

16.36.090 PUC exempted Yes - City Council
Rancho Mirage 12.16.010 Not specified No
Redlands 17.17.020 Not specified Yes - Approving Body
Rialto 15.32 <=16 kV Yes - varies
Temecula 15.04.090 <34 kV Yes - Planning
Commission
San Bernardino 19.30.110 <33 kV Listed exceptions
San Jacinto 15.32 <66 kV Listed exceptions
Yucaipa 83.041120 Not specified If <4 poles removed

Waiver

If an owner or developer who is the applicant of a land use or development application believes that the undergrounding requirement is impractical and will cause practical difficulties and unnecessary hardship due to certain topographical conditions, stree t configurations, underground obstacles, soil, water or other natural conditions which would make the placement of existing overhead utilities into new underground systems

unreasonable, the owner or developer shall provide such notice of intent to pursue a waiver with the Utility Assessment Form required by Section 12.18.050. The burden is imposed on the owner or developer to provide sufficient justification for a waiver to be considered by the City Council. The waiver, if requested, shall be considered pri or to the time the approval authority considers the land use or development application. If such waiver is granted, the City may require the owner or developer to pay an in lieu fee.

On January 16, 2024, a public hearing was held with no public comments. The City Council approved the ordinance as presented.

Fiscal Impact:

The cost of preparing the staff report is estimated to be $1 ,000.

Recommended Action:

Waive the second full reading and adopt by title only “An Ordinance of the City Council of the City of Beaumont, California Amending the Title Of Chapter 12.16, Adding Chapter 12.18 and Amending Chapter 17.04 of the City Of Beaumont Municipal Code Concerning Requirements for Undergrounding of Existing Overhead Utilities Applicable to Discretionary Approvals Related to Land Use and Development”.

Attachments:

A. Ordinance
B. Proof of Publication

ORDINANCE NO. XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY

OF BEAUMONT, CALIFORNIA AMENDING THE
TITLE OF CHAPTER 12.16, ADDING CHAPTER

12.18 AND AMENDING CHAPTER 17.04 OF THE CITY

OF BEAUMONT MUNICIPAL CODE CONCERNING

REQUIREMENTS FOR UNDERGROUNDING OF

EXISTING OVERHEAD UTILITIES APPLICABLE TO

DISCRETIONARY APPROVALS RELATED TO LAND USE

AND DEVELOPMENT

WHEREAS, the City has implemented policies requiring the conversion of existing overhead utilities into underground systems for many years as a condition related to approvals for land use and development applications; and

WHEREAS, the City’s consistent practice to implement polices requiring the undergrounding of existing utility poles, overhead utility lines and related transmission devices serves the public health, safety and welfare in the following respects:

a) Undergrounding of existing overhead utilities eliminates potential hazards to life and property in the event of emergencies or disasters such as earthquakes, fires, floods, hazardous or toxic waste releases, rains, and riots;
b) Undergrounding of existing overhead utilities facilitates the delivery of emergency services to persons and property located adjacent to the public right-of-way; c) Undergrounding of existing overhead utilities improves or increases the accessibility of the public right-of-way for such public uses as pedestrian travel, ease of deliveries to adjacent property, and landscaping treatments;
d) Undergrounding of existing overhead utilities eliminates the threat of downed powerlines and the resulting fires that can be caused by high winds.
e) Undergrounding of existing overhead utilities enhances the appearance of the City and eliminates cluttered and obstructed views

WHEREAS, the City Council desires to clarify the provisions related to and applicability of undergrounding of existing overhead utilities on approvals of applications and permits related to land use and development as identified in the Beaumont Municipal Code; and

WHEREAS, the City has proposed to amend the title of Chapter 12.16 to more clearly reflect its application to “Utility Undergrounding Districts;” and

WHEREAS, the City has proposed to add Chapter 12.18 “Utility Undergrounding Requirements” to incorporate the City’s policies requiring the conversion of existing overhead utilities into new underground systems as a condition related to the City’s approvals for land use and development applications and permits; and