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Honorable Mayor and City Council Persons City of Santa Ana Hearing: October 5, 2021; Item: Consent Calendar 9 October 1, 2021 Page 2 of 4 To facilitate your time and consideration of the issues, this correspondence will not reiterate the detailed Opposition presented by Terry Dowdall, Dowdall Law Offices, dated September 16, 20210 and by this reference hereby incorporates said correspondence and attachment as though fully set forth hereat. The Ordinances apply without, except as noted below, any distinction between small, medium and large apartment complexes, mobilehome parks and single family residential rentals and does not take into consideration requirements for rehabilitation on older properties, damage from natural disasters and simple distinctions. The requirements for maintenance and operation various significantly among the various rental properties in the City of Santa and the cost therefor. Further, there is no acknowledgment of the change in the cost of repairs due to significant increase in goods required for repair nor of the time delays in obtaining those goods and the challenges in obtaining contractors and other laborers to do the work. The lack of distinction is clearly presented, among numerous other sections, in the Rent Stabilization Ordinance, Section 12, Santa Ana Rent Board wherein the representation of "landlords" is limited to two (2) out of seven (7) members. The following "bullet points" relate to the application of the Ordinances to Mobilehome Parks but are not inclusive, but rather illustrative, of all objections to the respective proposed ordinances and our clients reserve all objections and rights under State and Federal law, and the case law interpreting the same: RENT STABLIZATION ORDINANCE 1. Rent Stabilization Ordinance Applicable Only to Mobilehome Parks Built December 31, 1989, or before. Most Parks were built in the late 60s and early 70s. Obviously some earlier and some a little later. The exemption for "new parks" in 1989 was to encourage the construction of new Parks in response to the serious disincentive to build new Parks created by rent control enacted that time.' As of October 2021, the older Parks range in development age from approximately 55 to 40 years — that means the infrastructure has aged and will require substantial capital expenditures over the next years. This is the same issue local jurisdictions are facing, except the local jurisdiction can raise taxes, pass bond issues, require new developers to pay for the replacement/upgrades but as to the older mobilehome parks and other rental properties, there is no taxpayer or developer source of funding. The funding for major infrastructure repair and replacement is from the mobilehome park owner. There is not a reasonable, practical or legal provision in the Ordinances to address the undue burden placed on this category of mobilehome park owners. 2. No Factual Determination in Findings related to Mobilehome Park rent increases. All statistics presented are related to Orange County and not specifically to the City of Santa Ana nor are any statistics presented based upon the type of rental housing. (See, Section LB.C.D.J) Finding that it is necessary to limit rent increases to require the landlords (i) to fulfill the local jurisdictions obligation to provide .................................................. _ The legislative history of California Civil Code section 798.17(a), clearly demonstrates the negative impacts of rent control on the development of new rental housing development. Kingsley — 426 Santa Ana Ordinances