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10 <br /> <br />ii. Charges for water, refuse disposal, sewer service, and/or other services <br />which are either provided and charged to Mobilehome Owners solely on a <br />cost pass- through basis and/or are regulated by state or local law. <br /> <br />iii. Any amount paid for the use and occupancy of a Mobilehome unit (as <br />opposed to amounts paid for the use and occupancy of a Mobilehome <br />Space). <br /> <br />iv. Charges for laundry services. <br /> <br />v. Storage charges. <br /> <br />vi. Rental Income from Spaces exempted from Rent limitation by state law or <br />this Chapter. <br /> <br />3. Operating Expenses. <br /> <br />a. Operating expenses shall include the following: <br /> <br />i. Reasonable costs of operation and maintenance. <br /> <br />ii. Management expenses. It shall be presumed that management expenses <br />increase by the percentage increase in Rents or the CPI, whichever is greater, <br />between the Base Year and the prior year unless the level of management <br />services has either increased or decreased significantly between the Base <br />Year and the prior year. <br /> <br />iii. Utility costs, except where the consideration of the income associated with <br />the provision of the utility service is regulated by state law and consideration <br />of the costs associated with the provision of the utility service is preempted <br />by state law. <br /> <br />iv. Real property taxes attributable to the Base Year or prior year regardless of <br />when actually paid. <br /> <br />v. License and registration fees required by law to the extent these expenses are <br />not otherwise paid or reimbursed by Mobilehome Owners. <br /> <br />vi. Park Owner-performed labor compensated at reasonable hourly rates. No <br />Park Owner-performed labor shall be included as an operating expense <br />unless the Park Owner submits documentation showing the date, time, and <br />nature of the work performed. There shall be a maximum allowed under this <br />subsection of five percent of gross income unless the Park Owner shows <br />greater services were performed for the benefit of the Mobilehome Owners. <br /> <br />vii. Legal Expenses incurred (1) in connection with successful good faith <br />attempts to recover Rents owed, (2) pursuit of rights under or in relationship <br />to this Article, including Legal Expenses incurred in the course of pursuing <br />successful Fair Return Applications, (3) under unlawful detainer actions not <br />in derogation of applicable law and, when incurred in the normal operation <br />of the Park, to the extent such expenses are not recovered from adverse or <br />other parties. <br /> <br />708