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A Moratorium We Can Get Behind
By Jarryd Gonzales

There are some words that, when uttered, just hit you wrong — they illicit a visceral reaction. In recent years, for mobilehome parkowners and private property rights advocates, that word is “moratorium.” For example, suppose a local jurisdiction contemplates a rent control ordinance. 

In that situation, it is almost always the case that a temporary rent increase “moratorium” is enacted while the issue is studied and voted on. During the pandemic, nearly every jurisdiction in California instituted some eviction and/or rent increase “moratorium.” It wasn’t until recently that the pandemic-related moratoria began to be lifted — save for the City of Los Angeles and the County of Los Angeles. The ten-letter word has been the mobilehome park industry’s four-letter word for quite some time, perhaps until now.

What changed? A new statewide mobilehome park rent control bill, Assembly Bill 1035, was authored by Assemblymember Al Muratsuchi. Under the initial draft of the bill, rents would be capped at 5% per year and include full vacancy control unless a new home is placed on the space. The only positive outcome of Assembly Bill 1035 being introduced is that it provides a compelling rationale for local jurisdictions considering rent control ordinances to push the pause button and wait out the legislative process. 

Several cities are contemplating a rent control ordinance or re-examining an existing ordinance or model lease in light of the higher-than-usual change in CPI. However, it costs a lot of money to administer a rent control ordinance and even more for a new one. Rent control is also a divisive issue that forces elected officials to choose sides. 

Therefore, it behooves local elected officials, their staffs and their budgets to hold off on deciding on all current and future local rent control ordinances and allow the State Legislature to run through its legislative process on Assembly Bill 1035. Essentially, embrace a “moratorium” on local rent control ordinances. Now that’s a moratorium parkowners and private property rights advocates can get behind.

Jarryd Gonzales is WMA’s Regional Representative for Central/Southern California, and may be reached at jarryd@goodgroup.com.
 

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