To reduce the impact of such conversions on residents in the rental housing, especially elderly and handicapped tenants, who may be required to relocate due to the conversion of rental housing to community housing, by providing for procedures for notification and adequate time for such relocation;

To assure that prospective purchasers of converted community housing have been properly informed as to the physical condition of the structure and common equipment which is offered for purchase;

To assure the conformity of the physical condition of the building to the Housing Code requirements for all multifamily residential structures in the City and with the Building Code of the City in effect at the time the converted building was constructed;

To insure a reasonable balance in the owner versus rental housing mix and to maintain the supply of low to moderate income units available in the City for both owners and renters;

To promote the concept of home ownership and to bring a greater amount of owner-occupied housing on the market affordable by all economic segments of the community, thus encouraging participation in the various economic and social benefits associated with home ownership.

Any condominium project containing two (2) or more condominium units;

Any community apartment project containing two (2) or more apartments;

Any stock cooperative having or intended to have two (2) or more shareholders.

Property Report and Warranty. A property report describing the condition and estimating the probable remaining useful life of each of the following elements of each structure situated within the project proposed for conversion: foundations, exterior walls, fire walls, roof, stairways and exits, interior insulation (sound and thermal), exterior insulation (sound and thermal), light and ventilation, plumbing, electrical, heating and air conditioning, fire and earthquake safety provisions, security provisions, interior common or public areas, landscaping, trash control, off-street parking. Such report shall be prepared by an appropriately licensed civil engineer or an architect registered in California, and shall contain recommendations for the correction or improvement of any deficiencies noted. An estimate of future property maintenance costs shall also be provided.

The developer shall inform the buyer of the age of all equipment in private ownership including, but not necessarily limited to, dishwashers, garbage disposals, stoves, water heaters, refrigerators and heating, ventilating and air conditioning appliances that are provided.

At such time as the Homeowners' Association takes over the management of the development, the developer shall provide a one (1) year warranty to the Association that any pool and pool equipment (filter, pumps, chlorinator) and any appliances and mechanical equipment to be owned in common by the Association, is in operable working condition.

Acoustical Report. Indicating:

Utility Metering Reports. If the units of the building are not individually metered, a report indicating the feasibility of individual or submetering, prepared by qualified engineers.

Geological Conditions Report. A report on any known soil and geological conditions regarding soil deposits, rock formations, faults, groundwater and landslides in the vicinity of the project, and a statement regarding any known evidence of soils problems relating to the structures. Reference shall be made to any previous soils reports for the site, and a copy submitted with the report.

Pest Control Report. A structural pest control report prepared by a licensed structural pest control operator (pursuant to Section 8516 of the Business and Professional Code).

Demographic and Rental Structure Report. Specific information concerning the demographic characteristics of the project including, but not limited to, the following:

Relocation Assistance Report. A written description of all relocation and moving assistance and information to be given to each tenant, and all the steps the subdivider will take to insure the successful relocation of each tenant, in the event that conversion takes place. The report, to be given to all tenants, should pay particular attention to what assistance will be provided to the elderly, handicapped and other tenants who may encounter difficulty finding new quarters. In order to reduce the number of such tenants being displaced, subdivider shall consider incentives and inducements that would permit tenants to become owners in the condominium. Subdivider shall also consider procedures that would allow such hard-to-relocate tenants to stay on as tenants, or to give such tenants additional time after termination of tenancy, due to the conversion, for permanent relocation.

Statement of Improvements To Be Made. A statement of repairs and improvements to be made by the subdivider, necessary to refurbish and restore the project to achieve a high degree of appearance and safety.

Proposed Organization and Items To Be Included in Covenants, Conditions and Restrictions. A written description regarding the proposed project organization including the use and control of the common elements and recreation facilities within the project. The statement shall detail any proposed control of common facilities to be retained by the developer, or by the owner or maintained by a Homeowners' Association of unit owners, or any other organization.

The applicant shall also indicate, in writing, that the following items will be included in the Covenants, Conditions and Restrictions:

Organization Documents. A copy of the covenants, conditions and restrictions, including those items listed in subsection 20.60.030, paragraph g, and any other items which may be required by the Planning Commission.

Report to Prospective Buyers. This report shall consist of the final version of the property and structural reports required in subsection 20.060.030.

Public Report Application. A full and complete copy of all information submitted to the City must be submitted to the California Department of Real Estate.

Compliance with Applicable Codes and Additional Standards. The project shall conform to the applicable standards of the City's Housing Code, and shall be found to be in compliance with the City Building Code in effect on the date that the building was constructed. Additionally, the project shall conform with the following standards:

Inspection and Performance. The City Building Inspector shall inspect the building to review the accuracy of the property report required by subsection 20.60.030A, and to determine compliance with this subsection. Any required structural repair work shall be completed, or funds for the completion of the work shall be either escrowed or bonded to the satisfaction of the Building Official, to assure completion of the work prior to the closing of escrow for the sale of any unit in the project.

Any physical elements of the project found to impose a hazard to the health and safety of the occupants of the project shall be corrected prior to the approval of the Final or Parcel Map, or funds shall be adequately escrowed or bonded, to the satisfaction of the Building Official, to assure completion of such corrective work, prior to the closing of escrow of any unit in the project.

General Plan Conformity. The Planning Commission shall not approve a tentative map or preliminary parcel map for a condominium conversion project if it finds that any applicable General Plan or Specific Plan provision contains a definite statement of policies and objectives explicitly applicable to condominium conversion projects, and the proposed map is not substantially consistent with such provision.

Impact on Senior Citizen, Disabled and Low/Moderate Income Tenants. The Planning Commission shall not approve an application for condominium conversion unless the Planning Commission finds that:

Annual Limitation. The total number of rental units eligible for conversion to condominiums each year shall not exceed three (3%) percent of the City's total multi-family rental housing stock as of January 1 of that year. Multifamily housing under the jurisdiction of nonprofit motivated organizations shall not be included in the determination of the quantity of rental housing stock.

Review Procedure. Applications for proposed condominium conversions shall be accepted twice annually: the last Friday in April and the last Friday in October. The Planning Commission shall meet to consider the applications no later than sixty (60) days from the dates of application. The total number of rental units approved for conversion to condominiums in the first annual consideration shall not exceed sixty (60%) percent of the total annual allotment, and the number of units approved for conversion in the second annual consideration, when added to the number of units approved for conversion in the first annual consideration shall not exceed one hundred (100%) percent of the total annual allotment. Allocations for conversions shall not be cumulative from year to year. Single structures containing a number of units in excess of the prescribed allotments for either of the two (2) annual considerations, may be approved on a variance basis (see subsection 20.100.040).

Approval Evaluation Factors. In reviewing applications for conversions, and in selecting from applications for conversion proposals, the Planning Commission shall include the consideration of the following:

The City shall notify, in writing, each present tenant of the time and place of the meeting date when tentative parcel or subdivision map is to be discussed by the Planning Commission at least ten (10) days prior to such meeting.

Within five (5) days of issuance of the subdivision public report, pursuant to Section 11018.2 of the Business and Professions Code, the subdivider shall notify all tenants, in writing, of the date of issuance of the report. The Notice of Intention to Convert shall also state the following:

Termination of Lease by Tenant. The subdivider shall, where possible, permit a tenant to terminate any lease or rental agreement without forfeiture of rent for the remaining portion of the lease period after notice has been given of the intention to convert to community housing, if such tenant notified the developer in writing thirty (30) days in advance of such termination.

Notice to New Tenants. After submittal of the tentative map, any prospective tenants shall be notified in writing of the intent to convert prior to leasing or renting any unit.

Special Consideration. Developer shall submit proposals for giving special consideration to tenants over seventy-two (72) years of age or disabled persons, who have been tenants for eight (8) years or more, and whose income is not above the low-moderate income level. The proposals shall be considered by the Planning Commission to assure optimum consideration for substantial property rights involved, as well as for the health, safety, convenience and general welfare of the tenants. The proposals could include, but are not limited to, the following: