HomeMy WebLinkAboutORDINANCE 2908 N.C.S. 08/04/2025 Ordinance No. 2908 N.C.S.
EFFECTIVE DATE
OF ORDINANCE
August 4, 2025
ORDINANCE NO. 2908 N.C.S.
Introduced by: Janice Cader Thompson Seconded by: Karen Nau
ADOPTION OF AN URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
PETALUMA TO AMEND SPECIFIED PROVISIONS OF CHAPTER 6.50 OF THE PETALUMA
MUNICIPAL CODE ENTITLED “MOBILEHOME PARK SPACE RENT STABILIZATION
PROGRAM,” AND TO MAINTAIN IN EFFECT THE REMAINDER OF CHAPTER 6.50 OF THE
PETALUMA MUNICIPAL CODE
WHEREAS, in response to requests from Petaluma mobilehome park residents, beginning in 1993, the
Petaluma City Council commenced efforts to consider enacting mobilehome park space rent stabilization
regulations, including by forming a review committee, holding meetings, and retaining Connerly and Associates,
Inc. to conduct a survey and prepare a report on mobilehome park resident characteristics, space rents and
mobilehome parks in Petaluma; and
WHEREAS, Connerly and Associates submitted their report to the City Council on November 15, 1993, and
the report found that according to the responses of the Petaluma mobilehome park residents surveyed:
• Nearly 60 percent were single adults, and the remainder lived in two-person households;
• Nearly 90 percent were low income residents, earning less than $23,850 per year for single person
households and less than $29,500 for two person households;
• Over 50 percent of residents in all but one mobilehome park reported incomes in the very low
income range of $16,150 per year for single person households and $18,700 per year for two person
households, with 60 percent of respondents in all parks reporting their income as “very low
income” or less;
• Just over half the respondents in all parks reported paying more than 30 percent of their income
for housing expenses, and about 40 percent of respondents reported paying more than 35 percent
of their income for housing expenses;
• Reported average rents in the parks ranged from a low of $189 per month to $375 per month, with
an average reported monthly rent for all parks of $284, in comparison with an average reported
space rent in 1986 of $202 per month;
• Average space rent increases between 1986 and 1993 was 5 percent per year;
• No responding mobilehome park owners reported vacant mobilehome spaces; and
WHEREAS, the City Council discussed and reviewed the Connerly and Associates report findings and
conclusions, and received information through public hearings and concluded, and, following its deliberations on
the report and information received, the City Council adopted mobilehome space rent control regulations in 1994
by enacting Chapter 6.50 of the Petaluma Municipal Code entitled “Mobilehome Park Space Rent Stabilization
Program;” and
WHEREAS, according to findings included in the new Chapter 6.50, in enacting the chapter, the City Council
found it was necessary and in the public interest to establish a mechanism to assist in the resolution of disputes
that may arise from time to time between residents and park owners regarding the rates charged for rental or lease
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Ordinance No. 2908 N.C.S.
of space as well as instances where there is a sale or transfer of the mobilehomes by the mobilehome residents ;
recognizing the right of the park owners to obtain a fair and reasonable rate of return and for their property to
generate income to cover costs of operation and servicing of reasonable financing and to have under the auspices
of the city an administrative procedure which will operate effectively and expeditiously to approve rent increases
as are reasonable to meet said ends; as well as the need to establish a means which if followed can provide
protection to tenants from unreasonable rent increases resulting in loss of value to their property; and
WHEREAS, the purposes of the City’s Mobilehome Park Space Rent Stabilization regulations as enacted by
the City Council included:
• Preventing the imposition of exploitive, excessive and unreasonable mobilehome space rent increases;
• Assisting in alleviating the unequal bargaining power which exists between mobilehome park residents
and mobilehome park owners;
• Providing mobilehome park owners with a guaranteed rate of annual space rent increase which over
time adequately adjusts mobilehome space rents to account for the impact of inflation on park owner
rates of return;
• Providing an efficient and speedy process to ensure mobilehome park owners receive a fair, just and
reasonable rate of return in cases where the guaranteed annual space rent increases provided by this
chapter prove insufficient to realize a reasonable rate of return; and
• In the absence of a lawful vacancy, preventing excessive or exploitive rent increases upon the transfer of
a mobilehome-on-site (i.e., on the mobilehome pad) to a new mobilehome owner while at the same time
providing a process whereby mobilehome park owners are assured of receiving a fair and reasonable
return; and
WHEREAS, since their enactment in 1994, the Mobilehome Park Space Rent Stabilization regulations in
Chapter 6.50 of the Petaluma Municipal Code have generally resulted in stable and secure, affordable housing for
residents in the approximately 850 households renting mobilehome spaces, and sustained successful operations
in the City’s seven mobilehome parks - Capri Villas, Leisure Lake Mobile Home Park, Little Woods Mobile
Villa, Petaluma Estates Mobile Home Park, Royal Oaks Senior Mobile Home Park, the Cottages of Petaluma,
and Youngstown Mobile Home Park, with five of the seven parks operating as senior parks, and two parks - Little
Woods and Capri Villas - operating as all-age parks, with few and infrequent rent increase arbitrations pursuant
to the regulations in Chapter 6.50; and
WHEREAS, since 2020 multiple mobilehome parks have been acquired by new owners and the City and
mobilehome park residents have experienced increased litigation, rent increase arbitration petitions, park closure
threats, and other actions by park management including threatened termination of tenancies, and reduced resident
parking, leaving park residents in fear of losing their housing and their homes; and
WHEREAS, in response, the City Council has directed staff to take steps to defend and uphold the City's
regulations intended to protect mobilehome communities, and their homeowners and residents, and where
appropriate and consistent with the regulations' purposes, to strengthen protections for mobilehome park
residencies within the City, consistent with the City's stated purposes in enacting its mobilehome regulations,
which include promoting sustainable, affordable homeownership opportunities for low-income and middle
income residents, and reducing the risk of displacement and loss of equity for vulnerable populations such as
seniors and individuals with disabilities; and
WHEREAS, the purpose of this ordinance, consistent with the City Council’s direction to defend and uphold
and where appropriate to strengthen the Petaluma Mobilehome Park Space Rent Stabilization regulations in
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Ordinance No. 2908 N.C.S.
Chapter 6.50 of the Petaluma Municipal Code, is to amend specified provisions in Chapter 6.50 of the Municipal
Code to, among other things, establish maintenance of net operating income (“MNOI”) as the standard for
determining a fair return for mobilehome park owners in accordance with Petaluma Municipal Code Section
6.50.220, and to otherwise implement changes to the Chapter to prohibit actions directed at Petaluma mobilehome
park residents and otherwise that are inconsistent with the purposes of the City’s regulations; and
WHEREAS, the City Council hereby finds in accordance with the holding in Rainbow Disposal Co. v.
Escondido Mobile Home Rent Review Board (1998) 64 C.A.4th 1159, that an MNOI standard is a “fairly
constructed formula” that provides a fair return; and
WHEREAS, this ordinance amending Chapter 6.50 of the Petaluma Municipal Code consistent with the
chapter’s purposes is not a “project” within the meaning of Section 15378 of the California Environmental
Quality Act (CEQA) Guidelines, because it is an administrative activity that has no potential for resulting in
physical change in the environment, in that this ordinance implements changes to Chapter 6.50 to prohibit
actions directed at Petaluma mobilehome park residents and otherwise that are inconsistent with the purposes of
the City’s regulations;
NOW THEREFORE BE IT ORDAINED by the council of the City of Petaluma, as follows:
Section 1. Recitals Findings. The foregoing recitals are hereby declared to be true and correct and are incorporated
into this Ordinance as findings and determinations of the City Council.
Section 2. CEQA Findings. This ordinance amending Chapter 6.50 of the Petaluma Municipal Code consistent
with the chapter’s purposes is not a “project” within the meaning of Section 15378 of the California Environmental
Quality Act (CEQA) Guidelines, because it is an administrative activity that has no potential for resulting in
physical change in the environment, in that this ordinance implements changes to Chapter 6.50 to prohibit actions
directed at Petaluma mobilehome park residents and otherwise that are inconsistent with the purposes of the City’s
regulations. The City’s existing mobilehome rent stabilization regulations resulted from a solely administrative
process resulting in no physical changes to the environment, and any potential amendments of the City’s
mobilehome rent regulations would involve no modifications to the physical design, development, or construction
of residences or nonresidential structures. Additionally, the amendments discussed in this staff report are exempt
pursuant to Section 15269(c) of the CEQA Guidelines, as specific actions necessary to prevent or mitigate an
emergency, in view of the City Council’s action on September 13, 2021, to declare a shelter crisis in the City.
Section 3. Amendment of Specified Provisions of Petaluma Municipal Code Chapter 6.50. The following
provisions of Chapter 6.50 of the Petaluma Municipal Code are hereby amended as specified in the following:
A. Paragraph A of Section 6.50.020 is amended to read as follows:
“Affected tenants” means those tenants who qualify for the rent control and other protections of this
chapter in accordance with the provisions of this chapter and other applicable law.
B. Paragraph C of Section 6.50.020 is amended to read as follows:
“Base rent” means the authorized rent, calculated pursuant to the provisions of Section 6.50.030, plus
any rent increase allowed under this chapter or any rent adjustment as provided in Section 6.50.220.
C. Paragraph D of Section 6.50.020 is amended to read as follow:
“Base year” means the 1993 calendar year.
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D. A new paragraph H is hereby added to Section 6.50.020 to read as follows, and existing paragraphs H
through V are renumbered accordingly:
“Current year” means the calendar year that precedes the year in which the petition is filed.
E. Renumbered paragraph O of Section 6.50.020 is amended to read as follows:
“Mobilehome tenant” or “tenant” means a tenant, subtenant, lessee, or sublessee, or any other person
entitled to the use or occupancy of any mobilehome space not otherwise a party to a rental agreement
exempt from regulation under this chapter or other applicable laws or regulations.
F. A new paragraph V is hereby added to Section 6.50.020 to read as follows, and existing renumbered
paragraphs V and W are renumbered as paragraphs W and X, respectively:
“Service reduction” for purposes of calculating reductions in housing services without a corresponding
rent reduction and that therefore constitute rent increases pursuant to Section 6.50.020(S) mean a
decrease or reduction of services provided by a park owner after the effective date of thi s chapter,
including but not limited to, services the park owner is required to provide pursuant to
1. California Civil Code Section 1941.1
2. The Mobilehome Residency Law, California Civil Code Section 798 et seq.
3. The Mobilehome Parks Act, California Health and Safety Code Section 18200 et seq.
4. The park owner’s implied warranties, including the implied warranty of habitability
5. An express or implied agreement between the park owner and tenant
6. Applicable provisions of this code, or the Petaluma Implementing Zoning Ordinance, Ordinance
2300 N.C.S.
7. Other reductions in services provided to tenants within a park compared with services previously
provided to tenants within the park.
The term “service reduction” expressly includes, but is not limited to, reductions in parking spaces
provided to tenants within a park compared with parking spaces previously provided to tenants within
the park.
G. Paragraph A of Section 6.50.040 is hereby amended to read as follows:
A. The space rent payable for use or occupancy of any mobilehome space shall not be increased
within twelve months of the effective date of the preceding rent increase. Rent increases permitted
under this chapter may not exceed the lesser of:
1. Seventy percent of the percent change in the CPI; or
2. Four percent,
except pursuant to paragraphs D or E of this section and in accordance with the procedures in Sections
6.50.050 and 6.50.060 of this chapter. If the change in the CPI is negative, no rent increase is
permitted.
H. Paragraph C of Section 6.50.040 is hereby amended by adding at the end of the paragraph the
following:
, including the requirements that apply to notices of rent increase pursuant to this chapter and the
Mobilehome Residency Law.
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I. Paragraph A of Section 6.50.050 is hereby amended to add at the end of the paragraph the following:
, and such other information as the Clerk may prescribe.
J. Paragraph B of section 6.50.060 is hereby amended to add at the end of the paragraph the following:
The clerk shall reject a petition filed in contravention of the 12-month refiling prohibition of Section
6.50.060(G)(6).
K. Paragraph E of Section 6.50.060 is hereby amended to add at the end of the paragraph the following:
The arbitrator may set a schedule for briefing or other written submissions in advance of the hearing
date and may issue other orders related to prehearing procedure.
L. A new provision 2 is hereby inserted following Paragraph G, Arbitration Hearing, in Section 6.50.060,
to read as follows, and the current provisions 2 through 8 are renumbered as provisions 3 through 9,
respectively:
2. The arbitrator shall determine whether a park owner is earning a reasonable return by applying the
Maintenance of Net Operating Income (“MNOI”) standard. Any decision pursuant to this
subsection shall include a determination of:
a. Base year and current year gross rental income;
b. Base year and current year operating expenses by category;
c. Base year and current year overall operating expenses;
d. Base year and current year net operating income;
e. The percentage change in net operating income between the base period and the current period;
f. The percentage change in the CPI between the base period and the current period;
g. The ratio of the percentage change in net operating income to the percentage change in the CPI
between the base period and the current period;
h. The rent adjustment required, if any, under an MNOI standard pursuant to Section 6.50.100
and this section.
The allowance or disallowance of any proposed rent increase or portion thereof may be reasonably
conditioned in any manner necessary to effectuate the purposes of this chapter.
M. Renumbered provision 3 following Paragraph G, Arbitration Hearing, in Section 6.50.060, is hereby
amended to add at the end of the provision the following:
Unless the arbitrator, for good cause shown, increases the maximum time for party presentations and
cross examination, presentations of each party including their witnesses and experts shall be limited
to a total of two hours for each party, and each party shall be permitted up to a total of one hour for
each party to cross examine the other parties’ witnesses and experts. For purposes of this paragraph,
in determining whether the “good cause” standard has been met, the arbitrator may consider the
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complexity of the arguments presented, the number of witnesses to be presented, any stipulation of the
parties as to the time needed to fairly present the matter, and similar factors. Time limitations imposed
by the arbitrator shall be applied equally to the parties.
N. Renumbered provision 5 following Paragraph G, Arbitration Hearing, in Section 6.50.060, is hereby
amended to read as follows:
5. An arbitrator shall not allow more than one rent increase per park in the twelve-month period
following the effective date of the preceding rent increase.
O. Renumbered provision 6 following Paragraph G, Arbitration Hearing, in Section 6.50.060, is hereby
amended by adding at the end of the paragraph the following:
Upon an arbitrator issuing a decision that denies a rent increase, the owner is precluded from filing a
subsequent petition for rent increase at the park for a period of 12 months following the date the denied
rent increase would have been effective had the petition been successful.
P. A new provision 10 is hereby added following Paragraph G, Arbitration Hearing, in Section 6.50.060,
to read as follows:
Arbitrators acting pursuant to this chapter shall lack the jurisdiction to award and may not award
attorneys’ fees or experts’ or witness’ fees or costs or other costs of the arbitration proceedings brought
pursuant to this chapter, whether pursuant to Galland v. City of Clovis (2001) 24 Cal.4th 1003 or any
other authority. Award of attorneys’ fees or expert witness’ fees or cost or other costs of arbitration
proceedings in response to rent increase petitions filed by park owners pursuant to this chapter may
incentivize rent increase petitions and penalize residents for merely exercising their rights under this
chapter, contrary to the purposes of this chapter. Any such award shall be reversible error in any
proceedings brought under Code of Civil Procedure Section 1094.5 regarding an arbitration decision
pursuant to this chapter.
Q. Section 6.50.100, “Standard of Review,” is hereby retitled “Fair Return Standard,” and replaced with
the following:
6.50.100 Fair Return Standard
A. Presumption of Fair Base Year Net Operating Income. It shall be presumed that the net operating
income received by the owner in the base year provided the park owner with a fair return.
B. Fair Return. A park owner has the right to obtain a net operating income equal to the base year net
operating income adjusted by one hundred percent of the percentage increase in the CPI since the base
year. It shall be presumed this standard provides a fair return. The base year CPI shall be the annual
average CPI for 1993. The current year CPI shall be the annual average CPI for the calendar year
which is used as the current year in the application.
C. Adjustment of Base Year Net Operating Income. The parties may present evidence regarding the
presumption of fair return based upon the base year net operating income as set forth in subsection A
of this section to establish or rebut at least one of the following findings:
1. Exceptional Expenses in the Base Year. The park owner’s operating expenses in the base year
were unusually high or low in comparison to other years. In such instances, adjustments may be
made in calculating operating expenses so the base year operating expenses reflect average
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expenses for the property over a reasonable period of time. The following factors shall be
considered in making such a finding:
a. Extraordinary amounts were expended for necessary maintenance and repairs.
b. Maintenance and repair was below accepted standards so as to cause significant
deterioration in the quality of services provided.
c. Other expenses were unreasonably high or low notwithstanding the application of
prudent business practices.
2. Exceptional Circumstances in the Base Year. If the gross income during the base year was
disproportionately low due to exceptional circumstances, adjustments may be made in calculating
base year gross rental income consistent with the purposes of this chapter. The following factors
shall be considered in making such a finding:
a. If the gross income during the base year was lower than it might have been because
some residents were charged reduced rent.
b. If the gross income during the base year was significantly lower than normal because
of the destruction of the premises and/or temporary eviction for construction or repairs.
c. The pattern of rent increases in the years prior to the base year and whether those
increases reflected increases in the CPI.
d. Base year rents were disproportionately low in comparison to the base year rents of
other comparable parks in the city.
e. Other exceptional circumstances.
D. Calculation of Net Operating Income.
1. Net Operating Income. Net operating income shall be calculated by subtracting operating
expenses from gross rental income.
2. Gross Rental Income.
a. Gross rental income shall include:
i. Gross rents calculated as gross rental income at one hundred percent occupancy,
adjusted for uncollected rents due to vacancy and bad debts to the extent such vacancies
or bad debt are beyond the control of the owner. Uncollected space rents in excess of
three percent of gross space rent shall be presumed to be unreasonable and shall not be
included in computing gross income, unless the reasonableness is established to the
satisfaction of an arbitrator based on the preponderance of the evidence.
ii. All other income or consideration received or receivable in connection with the use
or occupancy of the rental unit, except as provided in subsection (D)(2)(b) of this
section.
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b. Gross rental income shall not include:
i. Utility charges for charges for sub-metered gas and electricity.
ii. Charges for water, refuse disposal, sewer service, and/or other services which are
either provided and charged to mobile home residents solely on a cost pass-through
basis and/or are regulated by state or local law.
iii. Any amount paid for the use and occupancy of a mobile home unit (as opposed to
amounts paid for the use and occupancy of a mobile home space).
iv. Charges for laundry services.
v. Storage charges.
3. Operating Expenses.
a. Included in Operating Expenses. Operating expenses shall include the following:
i. Reasonable costs of operation and maintenance.
ii. Management Expenses. Management expenses including the compensation of
administrative personnel, including the value of any mobilehome space offered as part
of compensation for such services, reasonable and necessary advertising to ensure
occupancy only, legal and accounting services as permitted herein, and other
managerial expenses. Management expenses in excess of five percent of gross income
are presumed unreasonable and shall not be included in computing operating expenses,
unless the reasonableness is established to the satisfaction of an arbitrator based on the
preponderance of the evidence.
iii. Utility Costs. Utility costs except where the consideration of the income associated
with the provision of the utility service is regulated by state law and consideration of
the costs associated with the provision of the utility service is preempted by state law.
iv. Real Property Taxes. Real property taxes, subject to the limitation that property
taxes attributable to an assessment in a year other than the base year or current year
shall not be considered in calculating base year and/or current year operating expenses.
v. License and Registration Fees. License and registration fees required by law to the
extent these expenses are not otherwise paid or reimbursed by tenants.
vi. Owner-Performed Labor. Owner-performed labor compensated at reasonable
hourly rates.
(A). No owner-performed labor shall be included as an operating expense
unless the owner submits documentation showing the date, time, and nature of
the work performed.
(B). Owner-performed labor expenses in excess of five percent of gross
income are presumed unreasonable and shall not be included in computing
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operating expenses, unless the reasonableness is established to the satisfaction
of an arbitrator based on the preponderance of the evidence that the greater
services performed a demonstrable benefit for the residents.
vii. Costs of Capital Replacements. Costs of capital replacements plus an interest
allowance to cover the amortization of those costs where all of the following conditions
are met:
(A). The capital improvement is made at a direct cost of not less than one hundred
dollars per affected rental unit or at a total direct cost of not less than five thousand
dollars, whichever is lower.
(B). The costs, less any insurance proceeds or other applicable recovery, are
averaged on a per unit basis for each rental unit actually benefited by the
improvement.
(C). The costs are amortized over a period of not less than thirty-six months.
(D). The costs do not include any additional costs incurred for property damage or
deterioration that result from any unreasonable delay in undertaking or completing
any repair or improvement.
(E). The costs do not include costs incurred to bring the facilities into compliance
with a provision of applicable city code and/or state law where the original
installation of the improvement was not in compliance with then-applicable code
requirements.
(F). At the end of the amortization period, the allowable monthly rent is decreased
by any amount it was increased because of the application of this provision.
viii. Legal Expenses. Allowable attorneys’ fees and costs include: those incurred in
the course of successful, good faith attempts to recover rents owing and successful,
good faith unlawful detainer actions in compliance with applicable law; legal expenses
necessarily incurred in dealings with respect to the normal operation of the park to the
extent such expenses are not recovered from adverse or other parties or other sources;
and reasonable fees, expenses, and other costs incurred in the course of successful, good
faith proceedings under this chapter, and regulations adopted pursuant to the chapter,
including such costs incurred in the course of pursuing successful fair return petitions.
Legal expenses incurred in the course of proceedings under this chapter will only be
considered “successful” and thus treated as operating expenses under this section in
direct proportion to the success of the proceedings and in accordance with the following
example: if a park owner petitions for a rent increase in excess of the amount permitted
without an arbitration pursuant to Section 6.50.040 of this chapter, and the arbitrator
awards a rent increase that equals 10% of the amount of the increase sought, 10% of
the legal expenses incurred may treated as operating expense pursuant to this section in
a subsequent rent arbitration proceeding pursuant to this chapter; provided further that,
the percentage of legal expenses incurred that may be treated as operating expense
pursuant to this provision is further reduced by the percentage rent increase permitted
without an arbitration pursuant to Section 6.50.040 of this chapter. For example, in a
rent arbitration where an arbitrator awards a rent increase that equals 10% of the amount
of the increase sought, and amount permitted without an arbitration pursuant to Section
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6.50.040 of this chapter in that year was 2%, then the amount of legal expenses treated
as operating expenses in a subsequent rent arbitration proceeding pursuant to this
chapter shall be further reduced by the 2% rent increase permitted without an arbitration
in that year, such that a maximum of 8% of the legal expenses incurred in that
arbitration may be treated as operating expenses in subsequent arbitrations pursuant to
this chapter. Legal expenses that may be treated as operating expenses pursuant to this
section shall be amortized over a five-year period in determining net operating income.
ix. Interest Allowance for Expenses That Are Amortized. An interest allowance shall
be allowed on the cost of amortized expenses; the allowance shall be the interest rate
on the cost of the amortized expense equal to the “average rate” for thirty -year fixed
rate on home mortgages plus two percent. The “average rate” shall be the rate Freddie
Mac last published in its weekly Primary Mortgage Market Survey (PMMS) as of the
date of the initial submission of the petition. In the event that this rate is no longer
published, the index which is most comparable to the PMMS index shall be used.
b. Exclusions from Operating Expenses. Operating expenses shall not include the following:
i. Mortgage principal or interest payments or other debt service costs.
ii. Any penalties, fees or interest assessed or awarded for violation of any provision of
this chapter or of any other provision of law.
iii. Land lease expenses.
iv. Political contributions and payments to organizations which are substantially
devoted to legislative lobbying purposes.
v. Depreciation.
vi. Any expenses for which the owner has been reimbursed by any utility rebate or
discount, security deposit, insurance settlement, judgment for damages, settlement or
any other method or device, including payment of the expense by tenants on a pass-
through basis.
vii. Unreasonable increases in expenses since the base year.
viii. Expenses associated with the provision of master-metered gas and electricity
services.
ix. Expenses which are attributable to unreasonable delays in performing necessary
maintenance or repair work or the failure to complete necessary replacements (e.g., a
roof replacement may be a reasonable expense, but if water damage occurred as a result
of unreasonable delays in repairing or replacing the roof, it would not be reasonable to
pass through the cost of repairing the water damage).
E. Assurance of a Fair Return. It shall be presumed that the MNOI standard provides a fair return.
Nothing in this chapter shall preclude an arbitrator from granting an increase that is necessary in order
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to meet constitutional fair return requirements providing that all the other requirements of this chapter
are satisfied.
R. Section 6.50.200 is hereby amended to insert a new paragraph E to read as follows and to renumber
the current paragraph E as paragraph F.
E. Violations of this chapter may be civilly enforced as unfair business practices by any competent
authority, including, but not limited to, the city attorney, in accordance with California Business and
Professions Code Section 17200 et seq.
S. Provision (A)(1) of Section 6.50.220 is hereby amended to read as follows:
1. A vacancy occurring because of the termination of the tenancy of the affected mobilehome tenant
in accordance with the Mobilehome Residency Law pursuant to Civil Code Section 798.56. Notice
given by a tenant to the manager or owner of a mobilehome park 60 days prior to vacating
a tenancy pursuant to Civil Code Section 798.59 does not create a lawful vacancy permitting the
charging of a new base rent pursuant to this section.
T. Paragraph A of Section 6.50.230 is hereby amended to add a new provision 7 to read as follows:
7. Such other information as the Clerk may prescribe.
U. Paragraph B of Section 6.50.230 is hereby amended to add a new provision 8 to read as follows:
8. Such other information as the Clerk may prescribe.
Except as modified pursuant to this ordinance, Chapter 6.50 of the Petaluma Municipal Code remains unchanged
and in full force and effect.
Section 4. Urgency Findings. Adoption of this ordinance as an urgency ordinance with immediate effect is
necessary for the preservation of the public health, safety, and welfare in accordance with Section 76A of the
Petaluma City Charter. The urgency arises from increased litigation, rent increase arbitration petitions, park
closure threats, and other actions by park management in Petaluma mobilehome parks, including threatened
termination of tenancies, and reduced resident parking, leaving park residents in fear of losing their housing and
their homes. Immediate adoption of this ordinance is necessary to defend and uphold the City's regulations
intended to protect mobilehome communities, and their homeowners and residents, to strengthen protections for
mobilehome park residencies within the City, consistent with the City's stated purposes in enacting its mobilehome
regulations, which include promoting sustainable, affordable homeownership opportunities for low -income and
middle income residents, and reducing the risk of displacement and loss of equity for vulnerable populations such
as seniors and individuals with disabilities.
Section 5. Retroactivity. The City Council finds that the amendments specified herein are to be applied
retroactively to petitions that are pending before effective date of this Ordinance. In making this finding, the City
Council “has affirmatively considered the potential unfairness of retroactive application and determined that it is
an acceptable price to pay for the countervailing benefits” of applying the ordinance to pending arbitrations.
(McClung v. Employment Development Dept. (2004) 34 Cal.4th 467, 476.)
The Council further finds that the application of these specified provisions to pending matters is procedural in
nature, promotes fairness and uniformity in administrative proceedings, and advances the City’s interest in
effectively administering Petaluma Municipal Code Chapter 6.50. The rule against the presumption of
retroactivity without clear legislative intent “[d]oes not preclude the application of new procedural or evidentiary
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Ordinance No. 2908 N.C.S.
statutes to trials occurring after enactment, even though such trials may involve the evaluation of... conduct
occurring before enactment.” (Elsner v. Uveges (2004) 34 Cal.4th 915, 936.)
Alternatively, the City Council finds that these amendments are interpretive in nature, enacted in response to
ambiguities that have arisen in the administration of the existing ordinance, and do not alter substantive rights. As
such, they clarify existing provisions and are presumed to apply to pending matters without impairing vested
rights or causing unfair surprise. (Western Security Bank v. Superior Court (1997) 15 Cal.4th 232, 243; Elsner v.
Uveges (2004) 34 Cal.4th 915, 936–937; see also A.J Fistes Corp. v. GDL Best Contractors, Inc. (2019) 38
Cal.App.5th 677, 690-691 (a statute operates retroactively when it "substantially affects existing rights and
obligations."); Landgraf v. Usi Film Prods (1993) 511 U.S. 244,270 (a statute operates retroactively when it
attaches "new legal consequences to events completed before its enactment.")
Accordingly, the following provisions of Section 3 of this Ordinance shall apply to those petitions currently filed
and pending: A through H, inclusive; K through Q, inclusive; and S.
Section 6. Severability. If any section, subsection, sentence, clause, phrase, or word of this ordinance, including
any retroactive application to pending matters is for any reason held to be unconstitutional, unlawful, or otherwise
invalid by a court of competent jurisdiction or preempted by State legislation or determined not to apply
retroactively in a particular case, such decision or legislation shall not affect the validity or retroactivity of the
remaining portions of this ordinance. The City Council of the City of Petaluma hereby declares that it would have
passed and adopted this ordinance and each and all provisions thereof irrespective of the fact that any one or more
of said provisions be declared unconstitutional, unlawful or otherwise invalid, or not to apply retroactively.
Section 7. Posting/Publishing of Notice. The City Clerk is hereby directed to publish or post this ordinance or a
synopsis for the period and in the manner provided by the City Charter and any other applicable law.
Section 8. Effective Date. This ordinance shall take immediate effect upon passage by unanimous vote of the City
Council members present as an urgency ordinance in accordance with Section 76A of the Petaluma Charter. This
ordinance shall automatically be repealed and cease to be in effect without further action by the City Council
immediately upon Ordinance no. 2909 N.C.S. taking effect.
ADOPTED and ordered published and posted this 4th day of August 2025 by the following vote:
Ayes: McDonnell, Barnacle, Cader Thompson, DeCarli, Nau, Quint, Shribbs
Noes: None
Abstain: None
Absent: None
Kevin McDonnell, Mayor
ATTEST: APPROVED AS TO FORM:
Caitlin Corley, City Clerk Eric Danly, City Attorney
Docusign Envelope ID: 47758E5E-86AB-4F3E-ABBF-0B4AA65C20F0