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1 <br /> <br />SECTION 1. Article 1, Mobilehome Park Rent Stabilization, is hereby created in <br />[Chapter 4-39, Mobilehome Park Regulations, of Title 4 Public Welfare] of the San Leandro <br />Municipal Code as follows: <br /> <br />TITLE [4] – [PUBLIC WELFARE] <br />CHAPTER [4-39] – MOBILEHOME SPACE RENT STABILIZATION <br />ARTICLE [1] – DEFINITIONS <br /> <br />[4-39-100] Short Title. <br /> <br />This Chapter shall be known as the “Mobilehome Space Rent Stabilization Ordinance.” <br /> <br />[4-39-105] Definitions. <br /> <br />For purposes of this Chapter, the following words, terms and phrases shall be defined as follows: <br /> <br />A. “Affected Mobilehome Owners” means those Mobilehome Owners whose Space Rent is <br />affected by a Rent adjustment made pursuant to this Chapter that is not covered by a valid <br />lease meeting the requirements of California Civil Code section 798.17(b) of the Mobilehome <br />Residency Law, or otherwise legally exempt from local rent stabilization regulation. <br /> <br />B. “Base Rent” means the Rent in effect for that Space on July 1, 2018, as adjusted in <br />accordance with this Chapter. <br /> <br />C. “Base Year” means the 2018 calendar year or, if a Fair Return Application <br />subsequently establishes a new Base Rent pursuant to this Chapter, the calendar year <br />preceding the year the application is made for the new Base Rent that is established. <br /> <br />D. “Capital Improvement” means the installation of new improvements and facilities not <br />including ordinary maintenance or repairs or Capital Replacement Costs. Capital <br />Improvements are required to be amortized over the useful life of the improvements <br />pursuant to the provisions of this Chapter and the United States Internal Revenue Code. <br /> <br />E. “Capital Improvement Costs" means all costs reasonably and necessarily related to the <br />planning, engineering and construction of Capital Improvements and shall include debt <br />service costs, if any, incurred as a direct result of the Capital Improvements. Capital <br />Improvement Costs does not include ordinary maintenance or repairs or Capital Replacement <br />Costs. <br /> <br />F. “Capital Replacement” means an improvement required to maintain the common facilities <br />and areas of the park in a decent, safe and sanitary condition or to maintain the existing level <br />of park amenities and services. A Capital Replacement is an expenditure as defined by the <br />United States Internal Revenue Code which that replaces, upgrades or repairs an existing <br />improvement, such as, but not limited to, an onsite water or electrical distribution or sewage <br />collection system, a street, a parking area, or common facility, such as a laundry, community <br />kitchen or meeting room. If the expenditure qualifies for treatment as a capital expenditure <br />which must be depreciated under the Internal Revenue Code, it is a Capital Replacement. If <br />it can be fully deducted in one year as a business expense, it does not qualify as a Capital <br />Replacement. <br /> <br />G. “Capital Replacement Costs” means all costs reasonably and necessarily related to the <br />planning, engineering and construction of Capital Replacement and shall include debt <br />service costs, if any, incurred as a direct result of the Capital Replacement. Capital