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257 13. The ordinance also provided that any extension of the surcharge fee beyond the sunset date would require further action by the City Council. 14. Continuation of Proactive Rental Enforcement Program is essential to the neighborhoods in Santa Ana to provide assurances that the rental housing will not be allowed to revert to the condition which led to the initial concerns for the implementation of an inspectionprogram in 1992. 15. Recurrent poor management by rental owners has become a challenge for the Proactive Rental Enforcement Program inspectors in maintaining improvements gained in the previous areas while conducting inspections in the next neighborhood. 16. The 1999 fee study reports that funding the cost of the required staff and operational costs associated with the continuation of the Proactive Rental Enforcement Program would amount to an estimated $608,410. 17. The extension of the $17.50 inspection surcharge fee would only amount to $498,750, thereby generating less than the amount necessary to continue funding the cost of the program. 18. In an effort to continue monitoring the results of the program, PREP will continue for another four-year period, commencing on January 1, 2000 and will sunset on December 31, 2003, to allow for review of the program. : SECTION 2: The City Council has reviewed and considered the information contained in the initial study and the negative declaration prepared with respect to this Ordinance. The City Council has, as a result of its consideration, and the evidence presented at the hearings on this matter, determined that, as required pursuant to the California Environmental Quality Act ("CEQA") and the State CEQA Guidelines, a Negative Declaration adequately addresses the expected environmental impacts of this Ordinance. On the basis of this review, the City Council finds that there is no evidence from which it can be fairly argued that the project will have a significant adverse effect on the environment. The City Council hereby certifies and approves the negative declaration and directs that the Notice of Determination be prepared and filed with the County Clerk of the County of Orange in the manner required by law. SECTION3: Section 21-120r. l(a) of the Santa Ana Municipal Code is hereby amended, which amendment only extends the sunset clause currently in said section from 1999 to 2003, to read in full as follows: Ordinance No. NS - ~ Page 3 of 6