Ord 840ORDINANCE NO. 840
AN URGENCY ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF POWAY, CALIFORNIA, ENACTED PURSUANT TO
CALIFORNIA GOVERNMENT CODE SECTIONS 8634, 36934,
AND 36937, TEMPORARILY PROHIBITING THE EVICTION OF
ANY COMMERCIAL TENANT WHO SUFFERS A SUBSTANTIAL
LOSS OF INCOME OR SUBSTANTIAL INCREASE IN EXPENSE
RELATED TO COVID-19
WHEREAS, the Novel Coronavirus, Coronavirus Disease 19 ("COVID-19") has spread
globally to over 117 countries, infecting more than 700,000 persons and killing more than 37,000
individuals worldwide, and shows every indication of spreading further before it is controlled;
WHEREAS, the COVID-19 global pandemic in the City of Poway, commencing on or about
January 24, 2020, creates a threat to public health and safety;
WHEREAS, on February 14, 2020, the County of San Diego determined that there is an
imminent and proximate threat to the public health from the introduction of COVID-19 in San
Diego County and declared a Local Health Emergency;
WHEREAS, on March 4, 2020, the Governor of the State of California declared a State of
Emergency in response to the COVID-19 pandemic;
WHEREAS, on March 11, 2020, the World Health Organization ("WHO") publicly
characterized COVID-19 as a pandemic;
WHEREAS, on March 12, 2020, the Health Officer of San Diego County has issued
restrictions relating to public and private gatherings, and this order was subsequently amended
on March 16, 2020, to further restrict public and private gatherings in response to COVID-19;
WHEREAS, on March 12, 2020, the Governor of the State of California issued Executive
Order N-25-20 in a further effort to confront and contain COVID-19 that, among other things,
recognized that individuals exposed to COVID-19 may be temporarily unable to work due to
illness caused by COVID-19 or quarantines related to COVID-19 and, as a result, may be unable
to pay for housing;
WHEREAS, Executive Order N-25-20 also ordered residents to heed any orders and
guidance by local public health officials, including but not limited to social distancing measures;
WHEREAS, Executive Order N-25-20 also provided that local jurisdictions could
determine that promoting stability among commercial tenancies is also conducive to public health,
to help mitigate the economic impacts of COVID-19;
WHEREAS, on March 13, 2020, the President of the United States declared a National
Emergency due to the continuing spread and the effects of COVID-19; and on March 16, 2020,
announced guidelines advising people to avoid gatherings of ten (10) or more persons for a period
of fifteen (15) days;
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WHEREAS, on March 13, 2020, the City Manager, acting pursuant to Government Code
section 8630 and PMC section 2.12.060, proclaimed the existence of a local emergency based
on conditions of extreme peril to the health and safety of persons caused by the COVID-19 global
pandemic, which the City Council ratified at its March 18, 2020 Special Meeting;
WHEREAS, on March 15, 2020, the Governor of the State of California announced via
press conference that he was: (1) calling for home isolation for adults over the age of sixty-five
and individuals with chronic conditions; (2) directing the closure of bars, brewpubs, wineries, and
nightclubs; and (3) calling for restaurants to limit occupancy to half their current allowance and
practice social distancing;
WHEREAS, on March 16, 2020, the Governor of the State of California issued Executive
Order N-28-20, which indicated local jurisdictions take additional measures to promote housing
stability and security in the face of the COVID-19 threat;
WHEREAS, pursuant to the statewide and County stay at home orders, only "essential"
businesses in the City of Poway are permitted to stay open, and except for delivery and take out
services, all restaurants in the City of Poway have been ordered to close;
WHEREAS, on March 18, 2020, the Federal Housing Administration implemented a
foreclosure and eviction moratorium for single family homeowners with FHA -insured mortgages
for 60 days;
WHEREAS, all schools in the Poway Unified School District are currently closed to prevent
the spread of COVID-19;
WHEREAS, on March 25, 2020, the Governor of the State of California issued an
announcement that financial institutions will offer a 90 -day grace period for mortgage payments,
including no negative impacts on credit reporting, and a moratorium on financial institutions
initiating foreclosure sales or evictions;
WHEREAS, on March 27, 2020, the Governor of the State of California issued Executive
Order N-37-20, which had the effect of placing a statewide moratorium on residential evictions
until May 31, 2020;
WHEREAS, as of March 31, 2020, there were 603 confirmed positive COVID-19 cases,
including a number by community transmission, in San Diego County;
WHEREAS, the COVID-19-related social distancing measures imposed by federal, State,
and municipal agencies (such as school and childcare closures, home isolation, quarantines, and
the closure of many workplaces) have resulted and will continue to result in a substantial loss of
income for many residents and businesses;
WHEREAS, pursuant to Government Code Section 8634, during a local emergency, the
City Council may promulgate orders and regulations necessary to provide for the protection of life
and property;
WHEREAS, pursuant to Government Code Sections 36934 and 36937, a city may adopt
an urgency ordinance for the immediate preservation of the public peace, health, or safety; and
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WHEREAS, as set forth in more detail in the declaration of the facts constituting the
urgency in Section 3 below, the threatened displacement of businesses during the COVID-19
pandemic poses numerous threats to the public peace, health, or safety, including increased
joblessness and reduced sales tax revenue for the City.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF POWAY, CALIFORNIA,
DOES HEREBY ORDAIN AS FOLLOWS:
SECTION 1: The above recitations are true and correct.
SECTION 2: The City Council finds and determines that the adoption of this Urgency
Ordinance is exempt from the California Environmental Quality Act ("CEQA") under State CEQA
Guidelines Section 15060(c)(2), in that the adoption of this Ordinance will not result in a direct or
reasonably foreseeable indirect physical change in the environment, and is further and
independently exempt from the California Environmental Quality Act under State CEQA
Guidelines Section 15061(b)(3), in that it can be seen with certainty there is no possibility the
adoption of this Ordinance will have a significant effect on the environment.
SECTION 3: The adoption of this Urgency Ordinance is necessary to provide for the
protection of life and property (as those terms are used in Government Code Section 8634) and
necessary for the immediate preservation of the public peace, health, or safety (as those terms
are used in Government Code Section 36937(b)) in at least the following respects:
A. For all of the reasons set forth in the recitals, COVID-19 has become a National,
State, and local emergency that will result in a substantial loss of income for many
commercial renters, particular for those "non-essential" businesses that have been forced
to close.
B. Promotion of stability in commercial tenancies is important in the City of Poway,
given the number of small businesses in the community, and the need to preserve the
existing commercial core of businesses, as a foundation not only for the City to recover
quickly from losses of sales tax revenues expected to occur as a result of immediate
shutdowns and curtailment of business activities in compliance with local, State, and
federal health orders, but also for the ability to meet the need to attract new commercial
tenants, and to minimize the job losses that might occur from displacement, relocation, or
bankruptcies businesses that might follow commercial evictions caused by socially
responsible activities of commercial tenants in response to the COVID-19 crisis; which in
turn would exacerbate the impacts of residential evictions and its contributing impact to
homelessness.
C. Evicting renters who are temporarily unable to pay rent due to a COVID-19-related
Toss of income or expense poses an immediate threat to life, property, and the public
peace, health, or safety, in that it would displace some of Poway's most vulnerable
residents and businesses, and likely increase homelessness and/or the risk of COVID-19
transmission. Therefore, it is imperative that the City implement temporary strategies to
keep people and businesses housed.
SECTION 4: Temporary Prohibition on Commercial Evictions Caused By Financial
Impacts of COVID-19.
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a) Prohibition. During the term of this moratorium, a commercial tenant shall not be
evicted for nonpayment of rent when the tenant can demonstrate that they have
suffered one or more financial impacts related to COVID-19.
b) Definitions. As used herein, "financial impacts" means a substantial loss of
business income. A financial impact is "related to COVID-19" if it was caused by
the COVID-19 pandemic, the President of the United States' Declaration of
National Emergency, the Governor of the State of California's Declaration of State
Emergency, the County of San Diego and/or City of Poway's Proclamation of Local
Emergency, or compliance with public health orders related to COVID-19 from
local, State, or federal authorities, including compliance with employer dictates or
policies regarding shutdowns, limitations on gatherings or operations of
businesses or groups, social distancing, self -isolation or self -quarantine, or like
measures.
c) Notice to Landlord. Tenants who wish to avail themselves of the protections
afforded by this moratorium must first notify their landlords that they cannot pay
rent due to a COVID-19-related financial impact. Within one week of providing this
notice, tenants must provide documentation to their landlords) corroborating that
they have suffered a COVID-19-related financial impact. A statement signed under
penalty of perjury outlining the specific details of the COVID-19-related financial
impact the tenant has suffered shall constitute sufficient corroborating
documentation.
d) Repayment of Unpaid Rent. This Urgency Ordinance imposes a moratorium on
evictions — but is not, and should not be interpreted as — a moratorium on the
payment of rent, or any forgiveness of same Tenants who avail themselves of the
protections afforded by this moratorium shall remain responsible for ultimate
payment of rent. Unless a landlord agrees to a longer repayment term, tenants
shall have up to three (3) months after the City of Poway proclaims the termination
of the Local Emergency to repay any unpaid rent.
SECTION 5: A landlord's failure to comply with this Urgency Ordinance shall render any
notice of termination of tenancy issued during the term of this moratorium void. For notices of
termination issued during the term of this moratorium, this Urgency Ordinance may be asserted
as an affirmative defense in an unlawful detainer action. A landlord's failure to comply with this
Urgency Ordinance does not constitute a criminal offense. All penalties that are set forth in State
Law and the Poway Municipal Code shall apply to violations of the provisions of this Urgency
Ordinance.
SECTION 6: This Ordinance is declared to be an Urgency Ordinance by authority
conferred on the City Council of the City of Poway by Government Code Sections 8634, 36934,
and 36937, and shall be in full force and effect immediately upon its adoption by a four-fifths vote
of the City Council.
SECTION 7: The moratorium created by this Urgency Ordinance shall be in effect until
May 31, 2020, unless extended by action of the City Council, which may occur at a meeting
complying with the interim orders regarding the Brown Act in the Governor's Executive Order No.
N-25-20, as amended by Executive Order N-29-20. If a term of the moratorium is not extended,
then it shall automatically expire at 11:59 p.m. on its last day without further action of the City
Council.
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If, during the effective period of this ordinance, a moratorium on commercial evictions is
enacted by either the federal government, the State of California, or the County of San Diego,
and such moratorium is effective as to the City of Poway, this ordinance shall automatically expire
upon the date such statute, ordinance or law becomes effective as to the City of Poway.
If the City Council proclaims the termination of the Local Emergency based on COVID-19,
the moratorium shall automatically cease to be in effect without further action of the City Council.
SECTION 8: If any section, subsection, subdivision, paragraph, sentence, clause or
phrase, or portion of this Urgency Ordinance is, for any reason, held to be unconstitutional or
invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the
validity or effectiveness of the remaining portions of this Urgency Ordinance or any part thereof.
The City Council hereby declares that it would have adopted this Urgency Ordinance and each
section, subsection, subdivision, paragraph, sentence, clause or phrase of this Urgency
Ordinance irrespective of the fact that one or more sections, subsections, subdivisions,
paragraphs, sentences, clauses or phrases be declared unconstitutional or invalid or ineffective.
To this end, the provisions of this Urgency Ordinance are declared to be severable.
SECTION 9: The Mayor shall sign this Urgency Ordinance and the City Clerk shall attest
and certify to its passage and adoption. The City Clerk shall cause this Urgency Ordinance to be
published or posted as required by law. In accordance with Government Code Section 8634, this
ordinance and any amendments, extensions, and rescissions thereof shall be given "widespread
publicity and notice," including but not limited to providing notice of, and a copy of, the ordinance
on the City's website, issuance of a press release to local media, and offering notice of same via
local public access television.
EFFECTIVE DATE: This Ordinance shall take effect and be in force immediately.
CERTIFICATION/PUBLICATION: The City Clerk shall certify the adoption of this Ordinance and
cause it or a summary of it, to be published with the names of the City Council members voting
for and against the same in the Poway News Chieftain, a newspaper of general circulation in the
City of Poway within fifteen (15) days after its adoption and shall post a certified copy of this
Ordinance in the Office of the City Clerk in accordance with Government Code § 36933.
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PASSED AND ADOPTED at a Regular Meeting of said City Council held the 7th day of
April, 2020 by the following vote, to wit:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
MULLIN, LEONARD, GROSCH, VAUS
NONE
FRANK
NONE
Steve Vaus, Mayor
ATTEST:
Faviola Medina, CMC, City Clerk