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Correspondence - #33
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Correspondence - #33
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requirements make it very difficult for landlords to get dangerous, bad actors out of their <br />properties and require neighbors to testify in court against their neighbor. More <br />stringent, local "just cause" protections are unnecessary. <br />Rent Control is harmful to tenants and property owners. <br />Living in a manufactured housing community is unique. There are two payments or <br />purchases made when a resident buys a mobilehome in a mobilehome park. They buy <br />their home and they agree to pay a monthly lot rent to the parkowner. When you add a <br />rent control scheme to this system, it erodes the affordability of mobilehome community <br />living. When lot rents are artificially capped with rent control, the price of the home <br />skyrockets —removing the affordability of the home. The adoption of a rent control <br />ordinance is the cause for this phenomenon. It actually becomes more expensive to live <br />in our communities with rent control. This will diminish Santa Ana's affordable housing <br />stock. <br />The staff report suggests that landlords will bear the costs of the rent control ordinance. <br />This isn't accurate. On this point, case law provides landlords with protections of due <br />process. Landlords can not be required to pay the costs associated with bringing a <br />successful petition for a fair rate of return or an MNOI increase to the city for <br />consideration. Suggesting otherwise may discourage a landlord from applying and place <br />the city in legal jeopardy. <br />Staff is mute on an important aspect of mobilehome rent control —Vega adjustments. <br />Vega adjustments are permitted in the early stages of the onset of a rent control <br />ordinance to determine if rents are at market before a rent control regulation is put in <br />place. Many mobilehome park owners intentionally leave below market rents as is to <br />benefit their renter. However, with passage of this proposal, they will have no choice but <br />to require hearings to bring those spaces to market immediately. This alone could mean <br />shocking increases to residents. <br />Process is broken, lacks transparency with no outreach to rental housing <br />providers. <br />It is stunning to learn in three days, a city council is going to consider a harmful, wide - <br />sweeping ordinance that will negatively impact their entire housing stock with no study <br />session, no outreach to learn of impacts or to receive input from all stakeholders. It <br />seems other housing policy decisions, such as the HOO, are receiving more study and <br />consideration from stakeholders. Why would rental housing providers not be provided <br />the same access for input? With the existence of Exhibit 5, staff acknowledges the lack <br />of research, fiscal analysis, and due diligence still needed will take a year to collect. <br />Why is the city council considering passage of legislation with so many unanswered <br />questions? Past city councils took the time to study the issue and to hear from experts <br />on both sides. After deliberation and input, they rejected a rent control. <br />Rental Assistance Funds have gone unused with no discussion about existing <br />statewide tenant protections. <br />Western Manufactured Housing Communities Association Z <br />Sacramento Office: 455 Capitol Mall Suite 800, Sacramento, CA 95814 1 (916) 448-7002 <br />Regional Office: 40335 Winchester Rd. #E165, Temecula, CA 92596 1 (951) 704-2427 1 julie@pauleconsulting.com <br />
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