BILL NUMBER: AB 761	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MARCH 24, 2010
	AMENDED IN ASSEMBLY  MAY 28, 2009
	AMENDED IN ASSEMBLY  MAY 6, 2009

INTRODUCED BY   Assembly Member Charles Calderon

                        FEBRUARY 26, 2009

   An act to add Section 798.47 to the Civil Code, relating to
mobilehomes.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 761, as amended, Charles Calderon. Mobilehomes: rent control.
   The Mobilehome Residency Law generally regulates the terms and
conditions of mobilehome tenancies in mobilehome parks. Existing law
permits rent control in mobilehome parks. Existing law exempts
certain rental agreements relating to mobilehomes from any local
measure establishing the maximum amount that a landlord may charge a
tenant for rent.
   This bill would provide  , in addition,  that
 ,  upon the sale, assignment, transfer, or termination of
an interest in a mobilehome or a mobilehome tenancy in a mobilehome
park, the management of the park may offer a new rental agreement
containing an initial rent that is  the lesser of an amount
 in excess of the maximum rent established by a local
measure by  specified percentages, which would increase,
beginning January 1, 2011, up to 100% of the last-charged rent, or
market levels, as specified. The bill would except certain mobilehome
parks from its provisions, including those that have common
facilities that have been cited as health and safety risks that
remain unabated for 6 months or longer. The bill would provide that,
after an increase in initial rent, the rent should be governed by the
local measure   a minimum of 20% or $100, whichever is
greater, as specified. The bill would permit not more than one
increase within a 36-month period, as specified  . The bill
would specify that it does not apply to rental rate adjustments
 provided under a local rent control ordinance that are in
excess of what the bill's provisions would permit, or  that
are not subject to a local rent control ordinance  and does not
apply under other specified circumstances  .
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


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

   SECTION 1.    Section 798.47 is added to the 
 Civil Code   , to read:  
   798.47.  (a) Notwithstanding any contrary provision of law, and
except as provided in subdivisions (b) and (c), upon the sale,
assignment, transfer, or termination of an interest in a mobilehome
or a mobilehome tenancy in a mobilehome park, the management of the
park may offer a new rental agreement containing an initial rent in
excess of the maximum rent established by an ordinance, rule,
regulation, or initiative measure adopted by a city, county, or city
and county, by a minimum of 20 percent or one hundred dollars ($100),
whichever is greater. The increase will be added to the base rent
and shall be the base rent for purposes of applicable provisions of
law concerning rent regulation.
   (b) No increase in the rent that may be charged pursuant to
subdivision (a) shall be permitted within 36 months of the last
increase pursuant to subdivision (a).
   (c) No rent increase upon a sale or transfer described in
subdivision (a) shall be permitted if the sale or transfer is either
to a trust, provided that all members of the trust are existing
homeowners, or to a member of a homeowner's immediate family, as
defined in Section 798.35, and the mobilehome becomes the principal
place of residence for the immediate family member.
   (d) This section does not apply if any of the following
circumstances exist:
   (1) An assignment of a rental agreement has been entered into
pursuant to Section 798.17.
   (2) The circumstances in which the exemptions described in Section
798.21 or 798.45 apply.
   (3) The circumstances described in Section 66427.5 of the
Government Code apply.
   (4) The sale, assignment, transfer, or termination of an interest
in a mobilehome or a mobilehome tenancy in a mobilehome park is not
subject to an ordinance, rule, regulation, or initiative measure
adopted by any local governmental entity that establishes a maximum
amount that a landlord may charge a tenant for rent.
   (5) Any applicable ordinance, rule, regulation, or initiative
measure adopted by any local governmental entity that establishes a
maximum amount that a landlord may charge a tenant for rent
authorizes a greater increase than that provided in subdivision (a).
 
  SECTION 1.    Section 798.47 is added to the Civil
Code, to read:
   798.47.  (a) Notwithstanding any contrary provision of law, upon
the sale, assignment, transfer, or termination of an interest in a
mobilehome or a mobilehome tenancy in a mobilehome park, the
management of the park may offer a new rental agreement containing an
initial rent in excess of the maximum rent established by an
ordinance, rule, regulation, or initiative measure adopted by a city,
county, or city and county as specified in subdivision (c).
   (b) This section shall not apply to either of the following:
   (1) A change in ownership or tenancy due to the death of a
mobilehome owner or tenant when the spouse of the deceased homeowner
or tenant becomes the sole owner or tenant.
   (2) An assignment of any existing lease that specifies the amount
of rent applicable to the assignee upon a transfer of the interest in
the mobilehome.
   (3) A park that contains common facilities or improvements that
constitute an unreasonable risk to life, health, or safety for which
a citation has been issued by the appropriate governmental agency
that remains unabated for six months or longer preceding the vacancy.

   (c) Notwithstanding any ordinance, rule, regulation, or initiative
measure adopted by a city, county, or city and county which
establishes a maximum amount that may be charged for rent, beginning
January 1, 2011, a mobilehome park owner may establish the initial
rental rates for a mobilehome tenancy in accordance with the lesser
of either of the following:
   (1) Market levels, as defined in an appraisal conducted in
accordance with nationally recognized professional appraisal
standards.
   (2) The amount specified in subparagraphs (A) to (G), inclusive:
   (A) Beginning January 1, 2011, the initial rental rate may be
increased by up to 14.285 percent of the last-charged rent.
   (B) Beginning January 1, 2012, the initial rental rate may be
increased by up to 28.57 percent of the last-charged rent.
   (C) Beginning January 1, 2013, the initial rental rate may be
increased by up to 42.85 percent of the last-charged rent.
   (D) Beginning January 1, 2014, the initial rental rate may be
increased by up to 57.14 percent of the last-charged rent.
   (E) Beginning January 1, 2015, the initial rental rate may be
increased by up to 71.425 percent of the last-charged rent.
   (F) Beginning January 1, 2016, the initial rental rate may be
increased by up to 85.71 percent of the last-charged rent.
   (G) Beginning January 1, 2017, and thereafter, the initial rental
rate may be increased by up to 100 percent of the last-charged rent.
   (d) No rent adjustment as provided in subdivision (c) shall exceed
market levels, as defined in an appraisal conducted in accordance
with nationally recognized professional appraisal standards.
   (e) After an increase in the initial rental rate as permitted in
subdivision (c), rent shall be subject to any ordinance, rule,
regulation, or initiative measure adopted by any local governmental
entity which establishes a maximum amount that a landlord may charge
a tenant for rent for the term of that tenancy.
   (f) The restrictions of this section do not apply to an assignment
of a rental agreement entered into pursuant to Section 798.17,
798.21, or 798.45, or Section 66427.5 of the Government Code, or the
sale or other transfer of a mobilehome in a mobilehome park which is
not subject to, or which is subject to adjustments greater than those
provided in subdivision (c) by, an ordinance, rule, regulation, or
initiative measure adopted by any local governmental entity that
establishes a maximum amount which a landlord may charge a tenant for
rent.