BILL NUMBER: AB 930	CHAPTERED  09/30/02

	CHAPTER  1143
	FILED WITH SECRETARY OF STATE  SEPTEMBER 30, 2002
	APPROVED BY GOVERNOR  SEPTEMBER 30, 2002
	PASSED THE SENATE  AUGUST 30, 2002
	PASSED THE ASSEMBLY  AUGUST 30, 2002
	AMENDED IN SENATE  AUGUST 26, 2002
	AMENDED IN SENATE  AUGUST 13, 2002
	AMENDED IN SENATE  JUNE 26, 2002
	AMENDED IN ASSEMBLY  MAY 2, 2001

INTRODUCED BY   Assembly Member Keeley

                        FEBRUARY 23, 2001

   An act to amend Section 66427.5 of the Government Code, relating
to housing.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 930, Keeley.  Mobilehome parks:  conversion to resident
ownership.
   Existing law requires a subdivider, at the time of filing a
tentative or parcel map for a subdivision to be created from the
conversion of a rental mobilehome park to resident ownership, to
avoid the economic displacement of nonpurchasing residents by
limiting the amount of rent increases, as specified.  The subdivider
is required to offer each existing tenant the option to purchase his
or her condominium unit and is subject to a hearing on the matter,
the scope of which is limited to the issue of compliance with these
provisions.
   This bill would require the subdivider to obtain a survey of
support of residents of the mobilehome park for the proposed
conversion pursuant to a written ballot, to be conducted as
specified, with results to be submitted to the local agency upon
filing of the tentative or parcel map, and considered as part of the
hearing.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 66427.5 of the Government Code is amended to
read:
   66427.5.  At the time of filing a tentative or parcel map for a
subdivision to be created from the conversion of a rental mobilehome
park to resident ownership, the subdivider shall avoid the economic
displacement of all nonpurchasing residents in the following manner:

   (a) The subdivider shall offer each existing tenant an option to
either purchase his or her condominium or subdivided unit, which is
to be created by the conversion of the park to resident ownership, or
to continue residency as a tenant.
   (b) The subdivider shall file a report on the impact of the
conversion upon residents of the mobilehome park to be converted to
resident owned subdivided interest.
   (c) The subdivider shall make a copy of the report available to
each resident of the mobilehome park at least 15 days prior to the
hearing on the map by the advisory agency or, if there is no advisory
agency, by the legislative body.
   (d) (1) The subdivider shall obtain a survey of support of
residents of the mobilehome park for the proposed conversion.
   (2) The survey of support shall be conducted in accordance with an
agreement between the subdivider and a resident homeowners'
association, if any, that is independent of the subdivider or
mobilehome park owner.
   (3) The survey shall be obtained pursuant to a written ballot.
   (4) The survey shall be conducted so that each occupied mobilehome
space has one vote.
   (5) The results of the survey shall be submitted to the local
agency upon the filing of the tentative or parcel map, to be
considered as part of the subdivision map hearing prescribed by
subdivision (e).
   (e) The subdivider shall be subject to a hearing by a legislative
body or advisory agency, which is authorized by local ordinance to
approve, conditionally approve, or disapprove the map.  The scope of
the hearing shall be limited to the issue of compliance with this
section.
   (f) The subdivider shall be required to avoid the economic
displacement of all nonpurchasing residents in accordance with the
following:
   (1) As to nonpurchasing residents who are not lower income
households, as defined in Section 50079.5 of the Health and Safety
Code, the monthly rent, including any applicable fees or charges for
use of any preconversion amenities, may increase from the
preconversion rent to market levels, as defined in an appraisal
conducted in accordance with nationally recognized professional
appraisal standards, in equal annual increases over a four-year
period.
   (2) As to nonpurchasing residents who are lower income households,
as defined in Section 50079.5 of the Health and Safety Code, the
monthly rent, including any applicable fees or charges for use of any
preconversion amenities, may increase from the preconversion rent by
an amount equal to the average monthly increase in rent in the four
years immediately preceding the conversion, except that in no event
shall the monthly rent be increased by an amount greater than the
average monthly percentage increase in the Consumer Price Index for
the most recently reported period.
  SEC. 2.  It is the intent of the Legislature to address the
conversion of a mobilehome park to resident ownership that is not a
bona fide resident conversion, as described by the Court of Appeal in
El Dorado Palm Springs, Ltd. v. City of Palm Springs (2002) 96
Cal.App.4th 1153.  The court in this case concluded that the
subdivision map approval process specified in Section 66427.5 of the
Government Code may not provide local agencies with the authority to
prevent nonbona fide resident conversions.  The court explained how a
conversion of a mobilehome park to resident ownership could occur
without the support of the residents and result in economic
displacement.  It is, therefore, the intent of the Legislature in
enacting this act to ensure that conversions pursuant to Section
66427.5 of the Government Code are bona fide resident conversions.
  SEC. 3.  The changes in law enacted by this act shall not apply to
any application for parcel map approval for conversion of a rental
mobilehome park to resident ownership approved by the local agency
under Section 66427.5 of the Government Code prior to January 1,
2003.