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10A Action 2019 0603
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10A Action 2019 0603
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7/3/2019 3:20:09 PM
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5/29/2019 3:40:55 PM
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CM City Clerk-City Council
CM City Clerk-City Council - Document Type
Agenda
Document Date (6)
6/3/2019
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PERM
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Ord 2019-010 PAD
(Approved)
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\City Clerk\City Council\Ordinances\2019
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8 <br /> <br />constitute a voluntary removal of the mobilehome under this section. <br /> <br />3. A vacancy occurring after the Park Owner obtains a judgment of unlawful <br />detainer (an eviction), a judgment of abandonment for an “abandoned <br />mobilehome” as defined by and pursuant to the Mobilehome Residency Law, or <br />other termination of the tenancy of the Affected Mobilehome Owner in <br />accordance with the Mobilehome Residency Law, California Civil Code Sections <br />798.55 through 798.60, as amended. <br /> <br />4. Abandonment of the mobilehome as determined by a judgment of abandonment <br />pursuant to section 798.61 of the Mobilehome Residency Law. <br /> <br />B. Rent Increases authorized by this Section shall be in addition to any other Rent Increases <br />authorized by this Chapter. <br /> <br />[4-39-217] Fair Return Rent Increases. <br /> <br />A. Fair Return. A Park Owner has the right to obtain a Rent Increase to maintain net operating <br />income (“MNOI”) equal to the Base Year net operating income adjusted by the percentage <br />increase in the CPI since the Base Year. It shall be presumed this standard provides a fair <br />return. Nothing in this Article shall preclude the Rent Review Officer, or Hearing Officer if on <br />appeal, from granting a Rent Increase that is necessary in order to meet constitutional fair <br />return requirements. <br /> <br />B. If a Park Owner presents evidence to the Rent Review Officer, or Hearing Officer if on appeal, <br />including any financial records requested by the Rent Review Officer, which proves that the <br />Park Owner is denied a fair return by the provisions of this Article, the Rent Review Officer, <br />or Hearing Officer if on appeal, may authorize an increase in Rent as deemed appropriate by <br />the Rent Review Officer, or Hearing Officer if on appeal, to provide a fair return to the Park <br />Owner. The Rent Review Officer, or Hearing Officer if on appeal, shall use the method set <br />forth in this Article to determine the fair return. <br /> <br />[4-39-220] Method to Determine a Fair Return. <br /> <br />A. Maintenance of Net Operating Income: It shall be presumed that the net operating income <br />produced by the property during the Base Year provided a fair return. A Park Owner shall be <br />entitled to Rents sufficient to earn a fair and reasonable return and to maintain and increase the <br />Base Year net operating income in accordance with this Section. This method shall be called <br />maintenance of net operating income (“MNOI”) and shall be included in all Fair Return <br />Applications. <br /> <br />B. Adjustment of Base Year Net Operating Income: The Park Owner or the Affected <br />Mobilehome Owners may apply to the Rent Review Officer to rebut the presumption of fair <br />and reasonable return based upon the Base Year net operating income. To make such a <br />determination and in order to adjust to the Base Year net operating income, the Rent Review <br />Officer, or Hearing Officer on appeal, must make the following findings: <br /> <br />1. Exceptional Expenses in the Base Year. The Park Owner’s operating expenses in <br />the Base Year were unusually high or low in comparison to other years. In such <br />instances, adjustments may be made in calculating operating expenses so the Base <br />Year operating expenses reflect average expenses for the park over a reasonable <br />period of time. The following factors shall be considered in making such a <br />finding: <br />706
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