“Fair Rent and Home Ownership” Initiative on November Ballot
By Mariandrea Mueller — Wednesday, July 29th, 2009
El Dorado resident David Roegner addressed the El Dorado Rent Control issue at Thursday night’s city council meeting. The Fair Rent and Home Ownership Initiative will be the only item on Fillmore’s November ballot. Fillmore City Council Chambers were packed last Thursday, July 23rd, for a Special City Council and Budget Workshop Meeting. Most of the audience was there to hear and comment on the Fair Rent and Home Ownership Initiative impact reports. The Council was legally required to either adopt the Initiative or put it on the November ballot. The atmosphere was tense as audience members whispered to each other about various speakers: “Is he on our side?” At one point, Mayor Patti Walker threatened to clear the room because a few who were apparently in favor of the Initiative were booing while people tried to speak. The Initiative will be the only item on Fillmore’s November ballot. Manuel Minjares, Assistant Planner, presented the Planning Department’s report on how the Fair Rent and Home Ownership Initiative would impact the General Plan, Housing Element, Zoning Ordinance, vacant land, agricultural lands, traffic congestion, and existing business districts. The City, at the Council’s direction, had hired Management Partners Inc. to conduct a fiscal impact study. Andrew Belknap, Regional VP, and Jovan Grogan, Management Advisor, presented the fiscal impact report at the July 23rd meeting. The Planning Department’s report notes, “If the initiative serves to facilitate a conversion of the El Dorado Mobile Home Park from rental to resident-ownership, with no age restriction, then it should be expected that traffic will increase as families move into the mobile home park.” According to the Planning Department’s analysis, the initiative would not significantly impact vacant land, agricultural land, open space regulations, or any business district in Fillmore. Minjares explained that the Initiative calls for the creation within the General Plan of a new land use designation, “Mobile Home Park Exclusive”, and would alter the Zoning Ordinance. The Initiative would theoretically allow El Dorado to grow to 562 units (the maximum is now set at 412), but El Dorado currently has only 302 units and it would be physically difficult to add more. The fiscal analysis covered both the rent control and condominium conversion aspects of the Initiative. Belknap pointed out that although the Initiative’s “Notice of Intent to Circulate Petition” states that there will not be a cost impact to taxpayers, there would be set-up costs, ongoing costs, personnel costs, and legal costs resulting from a need for forms, hearings, and administrative and clerical work related to the implementation of the Initiative. The largest fiscal impact of the initiative would result from its need for either a Rent Review Board or a Rent Review Administrator. According to the analysis, the cost to implement rent control as described in the Initiative would be approximately $30,000 - $105,000 for the first year, with ongoing costs of about $5000 - $13,500. The initial cost of the Initiative’s subdivision and condo conversion process would be less than $3000, and would cost the City approximately $1600 per conversion. The Initiative would prohibit the City from imposing any condition on the approval of mobile home park conversions (except to remedy existing health and safety violations). The Initiative calls for financial assistance to help low and moderate income households purchase mobile home lots and condominiums, but Grogan pointed out that the City already has such programs, and the Initiative does not expand them. The Initiative’s rent control would be unusually limited. Belknap said that the Initiative’s rent control restrictions were “very strange” compared to rent control in other cities. There would be a one-time qualification process, and people who were not residents as of a certain date would be disqualified. Only households with very low or extremely low income would qualify for rent control. Fair Rent and Home Ownership Initiative §7.37.040(3) states “All residents claiming to be a Qualified Mobilehome Tenant must give notice to the City Manager and park owner…on a form to be approved by the City Manager…Such form shall require the tenant claiming to be a Qualified Mobilehome Tenant to supply documentation of their age, current income and disclose all real property or other mobilehomes owned by the tenant.” Rent increases for Qualified Tenants would be based on the previous year’s CPI, which can vary by several percentage points from year to year. Several residents of El Dorado spoke out against the Initiative. Tom Anderson noted that residents who did not qualify for rent control would receive at most $750 in relocation assistance if rents increased beyond their capacity to pay. He said that the usual five-year leases had not been renewed this year. Sandra Pella, President of El Dorado Home Owners Association, called attention to the unfair discrepancies between the notice of intent to circulate the Initiative and the Initiative itself. She explained that households making more than 50% of the median income of Ventura County would not have any rent control under the Initiative. Later, Minjares reported that the threshold for very low income in Ventura County is $30,650. Laura Fletcher, Margie Massar, David Reeves, and others described the devaluation of mobile homes in El Dorado and complained that conversion would force them to sell at a massive loss, because the homes could not be sold without their lots. The lot prices would be set by the park owner. Dave Roegner said that rent control for all would return some equity to the mobile homes. Many speakers urged the Council to put the Initiative on the ballot so that Fillmore citizens would have time to learn about the Initiative and vote against it. The two notable exceptions were Jim Heady, El Dorado resident since 1975, and Mark Alpert, who represents the mobile home park’s owner. Heady argued in support of management and against rent control. He said the City of Thousand Oaks was in litigation over a rent control plan similar to Dave Roegner’s plan. Alpert said that the Initiative would provide rent control for those who need it and that if more rent control were provided, it would be a burden to the taxpayers. The park owner has applied for permission from the City to subdivide, and Alpert complained about the City’s application process. The Council members weighed in with their opinions before unanimously voting to put the Initiative on the ballot rather than adopt it. Patti Walker pointed out that the Initiative proponents had not provided any factual information to refute the fiscal analysis. She said it was the second time the Council had to deal with the rent control issue because previous promises were not kept. She wants to maintain the park's age limit, does not want to link rent increases to CPI, does not want zoning ordinances nullified, and is concerned about common area maintenance, including storm drains. Laurie Hernandez is in favor of the Council writing its own ordinance for future consideration. She noted that a household earning more than “very low income” might later lose income but already be disqualified for rent control. She was disappointed by the lapse of last year’s rent control agreement after less than a month, and disapproved of Alpert’s sometimes threatening tone. Jamey Brooks said that right versus wrong takes precedence over saving money. He said he would vote against the Initiative on the ballot, and hoped it would be voted down. Gayle Washburn said, regarding the Initiative, "There is nothing fair about the it." She was concerned about the "very low income" qualification, and said that rent increases should not be based on CPI. Steve Conaway said that he was disturbed by what the controversy has done to relationships between neighbors. He believes in a free economy, indicated contracts were a critical part of the issue, and hoped that El Dorado residents come together to educate Fillmore citizens about this Initiative. Council members thanked the public for attending the meeting. |