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Minutes 1992-06-30 ) 16 -, MINUTES SPECIAL MEETING OF THE CITY COUNCIL THURSDAY, JUNE 30, 1992 CITY COUNCIL CHAMBERS, 215 EAST BRANCH STREET ARROYO GRANDE, CALIFORNIA ~he City Council of the City of Arroyo Grande met at 7:30 P.M., with Mayor Mark M. Millis presiding, to discuss a proposed ordinance amending the Mobile Home Rent Stabilization Ordinance. 1. FLAG SALUTE Mayor Millis led the Pledge of Allegiance to our Flag. 2. ROLL CALL Present were Mayor Millis and Council Members A. K. "Pete" Dougall, M. P. "Pete" Gallagher, Gene Moots and B'Ann smith. Staff Members present were City Manager Chris Christiansen, city Attorney Judy Skousen, Parks and Recreation Director John Keisler and City Clerk Nancy Davis. _ 3. ORAL COMMUNICATIONS MRS. ROBERTA FOWLER of 226 Rodeo Drive expressed the opinion that many people in the audience were not residents of Arroyo Grande. She said she would speak later in the meeting. Mayor Millis acknowledged the many items of correspondence concerning the subject of this meeting received by Council Members. The city Manager read the proposed ordinance with recent revisions. 4. PUBLIC HEARING - PROPOSED ORDINANCE AMENDING THE MOBILE HOME RENT STABILIZATION ORDINANCE. TITLE 5. CHAPTER 16. OF THE ARROYO GRANDE MUNICIPAL CODE. TO INCLUDE VACANCY CONTROL AND TO ESTABLISH A MOBILE HOME RENT REVIEW BOARD After being assured that the Public Hearing had been duly published and all legal requirements met, Mayor Millis declared the hearing open and said all persons would be heard regarding the matter. Speaking in favor of the proposed ordinance and a roll back of rents for those mobile home owners, whose rents were raised after they purchased their homes, were BERNIE BURKE of 1227 Priscilla Lane, representing the city's senior Advisory Commission: TED HYATT of 800 Glenoaks Drive, president of the Sunrise Terrace Mobile Home Association; HOLLIS MC NEELEY of 293 Sunrise Drive; DICK HART of pismo Beach: KEN SCHULTZ of 364 Sunrise Drive; ED OTTO of 311 Sunrise Drive: MORRIS LEVIN of pismo Beach; CHARLENE HALL of Oceano; EVELYN KRAUCH of Sunrise Terrace Mobile Horne Park; MARY MC NEELEY; ALBERT ST. PETER of 350 Sunrise Drive: JACK DE PEW of 836 Devonshire Drive, and WALT GARNER of 848 Broadmoor Drive. They said that roll backs of rent are necessary because mobile home park owners had raised the rents too high after sales of the mobile homes." They said if the mobile home park owners threaten lawsuits after passage of the proposed ordinance, the city could use the Eminent Domain law. They said park owners were making too high a profit on their investment, and could use the "hardship exception" clause in the ordinance if they felt they were not making a reasonable profit. '..-/ Speaking against the proposed ordinance were MRS. FOWLER, MELVIN JOHNSON, owner of Vagabond Mobile Home Park; MARLENE JOHNSON: GLENN MARTIN of 858 Grand Avenue, resident manager of Arroyo Trailer Park: MATTHEW KENNEDY of San Luis Obispo, attorney for some residents, and JANET GILBERT of Costa Mesa, representing the owners of Sunrise Terrace Mobile Home Park, who suggested the residents or the city may wish to purchase the park. They said present rents are fair, the price of land and taxes is increasing: home owners are asking too much for their coaches; mobile home living gives the most for the dollar; the Council should not make a decision until the legal issues are resolved by the courts, and 1 . , . ~-'. 1 i CITY COUNCIL MINUTES JUNE 30, 1992 homes are not selling because the entire real estate market is in a "slump." The Council recessed from 9:07 to 9:17 P.M. When no one further came forward to speak, the Mayor closed the hearing to the floor. Council Member Smith said she would like to continue the meeting to another date so that she could meet with the City Attorney, and read all the correspondence presented at this meeting. Council Member Dougall agreed and said he would like to hear more about the purchase of the park through a lease revenue bond. ~ ,Council Member Moots said there did not seem to be a salvation for those leasing spaces in the park, and that he would like to learn more about the Lucas case and the purchase of the park by the tenants. Council Member Gallagher said he would like to see the letter referred to by MR. OTTO, who said the park management seemed to be saying that some rents were too high. Mayor Millis agreed that more time was needed for the above issues. The Council decided to hold a meeting at 7:00 P.M. Thursday, July 16, 1992, at the Community Center, 211 Vernon Avenue. The Council recessed from 9:48 to 9:53 P.M. 5. WRITTEN COMMUNICATIONS Council Member Smith requested placement on the next Council agenda of a letter from the City of Duarte regarding a Constitutional Amendment that would ensure fiscal stability of California cities. 6. ORAL COMMUNICATIONS Mayor Millis read a statement saying that he would not be seeking reelection in November,1992. He said he had served on the Council for 18 years, longer than anyone in the history of the City. He said it was time for a new generation of leadership. 7. CLOSED SESSION It was moved by Smith/Dougall, and the motion passed unanimously to adjourn at 10:00 P.M. to a Closed Session on potential litigation, pursuant to Government Code Section 54954.6. 8. ADJOURNMENT It was moved by Moots/Smith, and the motion passed unanimously to adjourn the meeting at 10:15 P.M. '- '..B~'::i1~~~ ATTEST: ~a, fJn1;;.A.J NANCY A. AVIS, CITY CLERK 2