Santa Barbara County Municipal Code § 44-14 Temporary prohibition on commercial real property evictions stemming from…

This article prohibits commercial real property evictions through March 31, 2021, for any commercial real property tenant who can demonstrate with a declaration of COVID-19-related financial distress: that they have received a notice of eviction for failure to pay rental payments; that such failure is related to a substantial loss of income or substantial out-of-pocket medical expenses resulting from the 2020 novel coronavirus pandemic or any local, state, or federal government response to the pandemic; and that for unpaid rent for September 1, 2020 to March 31, 2021, the tenant has paid twenty-five percent of rental payments due for that time period consistent with existing lease obligations (Example: twenty-five percent each month in an underlying lease that requires payment each month). The urgency ordinance from which this article derives does not relieve a tenant's obligation to pay rental payments or restrict a landlord's ability to recover rental payments due.

(Ord. No. 5117, § 2, 9-29-2020; Ord. No. 5128, § 2, 1-26-2021)

The following words and phrases, whenever used in this article, shall be construed as defined in this section.

(A) "Commercial real property" means any real property that is used for business or income producing purposes.

(B) "Declaration of COVID-19-related financial distress" means the declaration as defined in Cal. Code Civil Procedure Section 1179.02(d) (AB 3088).

(C) "Owner" means any person, acting as principal or through an agent, providing commercial real property for rent, and includes a predecessor in interest to the owner.

(D) "Rental payment" means rent or any other financial obligation of a tenant under the tenancy.

(E) "Tenancy" means the lawful occupation of commercial real property and includes a lease or sublease.

(F) "Tenant" means a person or entity lawfully occupying commercial real property and includes a lease or sublease.

(Ord. No. 5117, § 2, 9-29-2020; Ord. No. 5128, § 2, 1-26-2021)

(A) Through March 31, 2021, the owner of commercial real property shall not terminate a commercial tenancy for failure to pay rental payments if: the tenant demonstrates that the failure to pay rental payments is directly related to a substantial loss of income or substantial out-of-pocket medical expenses associated with the coronavirus pandemic or any local, state, or federal government response to the pandemic; and the tenant meets the other requirements of this article.

(B) In order for this section to apply, a tenant must provide written notice to the owner and demonstrate by providing a "declaration of COVID-19-related financial distress" under Cal. Code Civil Procedure section 1179.02(d) (AB 3088):

(1) Substantial loss of income from (a) job loss; (b) layoffs; (c) a reduction in the number of compensable hours of work; (d) a store, restaurant, office, or business closure; (e) a substantial decrease in business income caused by a reduction in opening hours or consumer demand; (f) the need to miss work to care for a home-bound school-age child or a family member infected with coronavirus; or (g) other similarly-caused loss of income that resulted from the pandemic and that for unpaid rental payments for September 1, 2020 to March 31, 2021, the tenant has paid twenty-five percent of rental payments due for that time period consistent with existing lease obligations (Example: twenty-five percent each month in an underlying lease that requires payment each month); or

(2) Substantial out-of-pocket medical expenses related to the pandemic and that for unpaid rental payments for September 1, 2020 to March 31, 2021, the tenant has paid twenty-five percent of rental payments due for that time period consistent with existing lease obligations (Example: twenty-five percent each month in an underlying lease that requires payment each month).

(C) This prohibition shall also apply to an owner's action that constitutes constructive eviction under California law. An owner's failure to comply with this article shall render any notice of termination of tenancy void. This section may be asserted as an affirmative defense in an unlawful detainer action. Terminations that are required to comply with an order issued by a government agency or court requiring that the real property be vacated are excepted from this prohibition. An owner's failure to comply with this article does not constitute a criminal offense but will subject an owner to civil fines and penalties as set forth in this Code.

(D) Nothing in this article shall relieve a tenant of the obligation to pay rental payments, nor restrict a landlord's ability to recover rental payments due.

(E) This article shall be liberally construed to provide the broadest possible protection for commercial tenants in the unincorporated area of the county.

(Ord. No. 5117, § 2, 9-29-2020; Ord. No. 5128, § 2, 1-26-2021)

If any provision of the urgency ordinance from which this article derives or application thereof to any person or circumstance is held invalid, such invalidity shall not affect the other provisions of the urgency ordinance which can be given effect without the invalid provision or application. To this end, the provisions of the urgency ordinance are severable. The board of supervisors hereby declares that it would have adopted the urgency ordinance irrespective of the invalidity of any particular portion thereof.

(Ord. No. 5117, § 2, 9-29-2020; Ord. No. 5128, § 2, 1-26-2021)

This article ordinance, sections 44-12 through 44-18, shall take effect and be in full force immediately upon adoption by at least a four-fifths vote of the board of supervisors pursuant to Government Code Section 25123 and shall remain in effect and operative through March 31, 2021. County Code section 44-4 shall not apply to sections 44-12 through 44-18.

(Ord. No. 5117, § 2, 9-29-2020; Ord. No. 5128, § 2, 1-26-2021)

This article is not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15269(c) (specific action to mitigate an emergency), Section 15061(b)(3) (no possibility the activity may have a significant effect on the environment), and Section 15378(b)(5) (the administrative activity is not a project because it will not result in any direct or indirect physical changes in the environment.)

(Ord. No. 5117, § 2, 9-29-2020; Ord. No. 5128, § 2, 1-26-2021)