Empower individuals & families ● Build community resilience ● Promote housing opportunities ● Enhance quality of life
HOUSING &
HOMELESS SERVICES
Presented by:
Item 9.1
Amendments to CVMC 9.50
Mobilehome Park Space Rent Review
& Adoption of FY 24-25 Fee
Stacey Kurz, Director
Carlos Rodriguez, Management Analyst II
Fees equal
between
residents &
owners
100% CPI
Rental Index
Mediation
Park
Commission
1982 100% CPI
Consumer
Index
1987
Arbitration
1988 Fees split 75%
owner & 25%
resident
1989
History of Mobilehome “Rent Control”
Chula Vista Municipal Code Chapter 9.50
Mobilehome
Rent Review
Commission
1991 Rent Review
Hearing
Process
1998 Formula of
CPI CPI up to
3% + 75% >
3%
2002
Fees 100%
resident
No petition
on change of
ownership
2011
Rent Review Process
At or below
Annual
Permissive
Rate
Greater than
Annual
Permissive
Rate
90 Day Notice
of Increase
Mandatory
Park Meeting
within 10
days of
Notice Petition
within 30
days of
Notice
> 50% of
Residents
agree to
increase
Hearing
Scheduled
within 30
days of
Petition
Commission
Hearing
Appeal via
LitigationRate fixed
Eligible Households for
Rent Review Services
1. Own coach/trailer;
2. Valid space rental
agreement for term
of ≤ 12 months;
3. Home is principal
residence; and
4. Pay the annual
administrative fee.
Commission Quorum
• Lack of cases & limited Commission purview
have led to infrequent meetings
Accumulation of Administrative Fee Funds
• Accumulated funds may only be used for on-going expenses in relation to the benefits and services provided by Chapter 9.50
• Lack of rent review hearings have led to minimal spending of administrative funds & need to decrease fee several times
Current Conditions
FY 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Spaces
Paid 2,157 1,907 2,104 2,144 2,247 2,251 2,309 2,390 2,354 2,332 2,358 Fee $60 $60 $40 $40 $30 $25 $25 $12 $12 $12 $10
Administrative Authority
• Create a Hearing Officer instead of Commission
• Internal staff or third party
Administrative Fee
• Repeal 9.50.030 “Administrative fee”
• Require park owners provide an initial deposit and full cost recovery for hearings
Considered Solutions
Meetings
• Park owners - April 5, 2024 (virtual)
• Residents - April 8, 2024 (in-person)
Feedback
• Hearing Officer should be known and neutral
• Do not eliminate Administrative Fee, rather consider suspending or reducing Stakeholder Engagement
Administrative Authority
• Add definition 9.50.010(K) & section 9.50.025,
creating a Hearing Officer for Rent Review Hearings
• Update references throughout
Administrative Fee
• Amend section 9.50.030, removing annual reporting requirement Minor Administrative Clean-Up
Staff Recommended Actions:
Amend CVMC 9.50
Staff Recommended Actions:
Rent Review Process
At or below
Annual
Permissive
Rate
Greater than
Annual
Permissive
Rate
90 Day Notice
of Increase
Mandatory
Park Meeting
within 10
days of
Notice Petition
within 30
days of
Notice
> 50% of
Residents
agree to
increase
Hearing
Scheduled
within 30
days of
Petition
Commission
Hearing
Appeal via
LitigationRate fixed
Create
Hearing
Officer
Eligible Households for
Rent Review Services
1. Own coach/trailer;
2. Valid space rental
agreement for term
of ≤ 12 months;
3. Home is principal
residence; and
4. Pay the annual
administrative fee.
FY 23-24 Revenues & Expenditures
Staff Recommended Actions:
Administrative Fee
Projected FY 24-25
Table 2: FY 25 BUDGET SUMMARY
Budget
Revenues: Projected Fund Balance as of 7/1/24 $ 219,838 Anticipated Fee Revenues (2,350 @ $5) $ 11,750
TOTAL ANTICIPATED REVENUES $ 231,588
Expenditures: Staff Charges $ 35,000
Experts $ 25,000
Administrative/Billing Costs $ 5,000
TOTAL ANTICIPATED EXPENDITURES $ 65,000
Contingency for Expert $25,000
Anticipated Fund Balance as of 6/30/24 $ 141,588
Table 1: FY 24 BUDGET SUMMARY
Budgeted Actual
Revenues:
Fund Balance as of 7/1/23 $ 229,127
Fee Revenues $ 23,000 $ 23,670
Investment Earnings $ 0 $ 0 TOTAL FUNDS $ 252,797
Expenditures:
Staff Charges $ 37,000 $ 28,000*
Experts $ 25,000 $ 0
Administrative/Billing Costs $ 5,000 $ 4,959 TOTAL EXPENDITURES $ 32,959
Surplus/Deficit $ 219,838
*Projected charges through June 30, 2024
Empower individuals & families ● Build community resilience ● Promote housing opportunities ● Enhance quality of life Recommendation
A. Ordinance amending CVMC 9.50:
1. Add section 9.50.025, Mobilehome Rent Review Hearing Officer - Creation of Position – Authority;
2. Amend Section 9.50.030, Administrative Fee for reporting; and
3. Update sections to reflect Hearing Officer.
B. Ordinance repealing Chapter 2.31, Mobilehome Rent Review Commission
C. Resolution amending Chapter 18 of the Master Fee Schedule reducing fee to $5
Monitor Fund Balance
• Reassess annually
• Report to Housing & Homeless
Advisory Commission
Continue Stakeholder Meetings
• Options to suspend or repeal
administrative fee
Next Steps
Table 3: FUND BALANCE PROJECTIONS
0 50000
100000
150000
200000
250000
300000
FY23 FY24 FY25 FY26 FY27 FY28
$5
$10
$12
$15
$20