Presented By: RSG 1
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Presented By: RSG 2
City of San Jose
Rent Stabilization Program
Presentation by RSG
April 04, 2023
Stakeholder Report Out and Findings
Presented By: RSG 3
Welcome and Agenda
1. Overview
2. Background
3. Findings
4. Next Steps
5. Conclusion
Presented By: RSG 4
Overview
Presented By: RSG 5
Today’s Goal
Report out findings from
Stakeholder Engagement by
summarizing your input
regarding the City of San
Jose Rent Stabilization
program.
Presented By: RSG 6
Today’s Presentation…
…is
• summary of feedback from
stakeholders; and
• brief overview of data
gathered from other
jurisdictions and the rent
registry.
…is not
• exhaustive list of all feedback
received verbatim;
• position taken by either RSG
or the City of San Jose;
• final recommendations for the
City; or
• interactive discussion
opportunity.
Presented By: RSG 7
Background
Presented By: RSG 8
Rent Program Ordinance Overview
• Just Cause for Eviction
• 13 categories to legally evict a tenant
Tenant
Protection
Ordinance
(TPO)
• Rent Stabilization Ordinance, sets rent increase limits • Petition process for landlords and tenants
Apartment
Rent
Ordinance
(ARO)
• Rent Stabilization Ordinance for mobilehome parks, sets rent increase limits
• Landlords may petition for increases above the annual limit Mobilehome
Rental
Ordinance
(MRO)
Presented By: RSG 9
Rent Program Ordinance Overview (Cont’d)
• Process for withdrawing buildings with rent stabilized units from the rental market
Ellis Act
Ordinance
(EAO)
• Prohibits discrimination against housing voucher holders applying for rentals
Housing
Payment
Equality
Ordinance
(HPEO)
Presented By: RSG 10
City’s Purpose and Goals
• Answer key questions about each ordinance
• Tenant Protection Ordinance (TPO)
• Apartment Rent Ordinance (ARO)
• Ellis Act Ordinance (EAO)
• Mobilehome Rent Ordinance (MRO)
• Housing Payment Equality Ordinance (HPEO)
• Develop Strategic Plan for improvement and
success of these programs
Presented By: RSG 11
Findings
Presented By: RSG 12
Stakeholder Engagement: Tenants
• 5% increase cap is necessary to keep housing affordable. • Communication and outreach from the City to ensure landlords and tenants understand the ordinances and enforcement of regulation.
• Fear of eviction due to
a. inability to pay rent increases;
b. landlord retaliation for complaints.
• Expand rent stabilization to cover more units including duplexes and newer units.
Presented By: RSG 13
Stakeholder Engagement: Landlords
• Challenging to get a fair return on property due to:
a) 5% cap,
b) burdensome petition process, and
c) inability to recover repair costs.
• Rent registry creates significant administrative burden • Tenant protections prevent ability to remove problematic tenants and are cost and time prohibitive.
• Partnership between the City and advocacy groups including greater representation and legal support for landlords.
Presented By: RSG 14
Stakeholder Engagement: Mobilehome Residents
• MRO is adequate at keeping mobilehome rents affordable. • Information about space rents is not easily accessible. City should enforce regulations about posting notices and educating residents and owners about these policies.
• Many vulnerable populations rely on mobilehome housing. City and Park Owners should prioritize protecting these groups through accessible information and protection from retaliation.
Presented By: RSG 15
Stakeholder Engagement: Park Owners
• Challenging to get a fair return due to:
a. 75% of CPI cap,
b. lack of vacancy decontrol,
c. the difficult petition process, and
d. increasing property tax and maintenance costs.
• City should avoid complicating mobilehome eviction matters that are regulated by the state.
• Partnership between City and advocacy groups to ensure that regulations are communicated effectively, and Park Owners are included in decision-making.
Presented By: RSG 16
Stakeholder Engagement:
Major Themes
• City Transparency
• Cultural Relevancy/ Protecting Vulnerable Populations • Education about Ordinances
• Partnership between the City and Advocacy Groups
• Equal representation/ mediation services for
Landlords and Tenant
Presented By: RSG 17
Stakeholder Engagement
How effective do you feel the ARO is at
ensuring that rental housing remains
affordable in the City?
Presented By: RSG 18
Stakeholder Engagement
How effective do you feel the TPO is at
protecting tenants from wrongful
evictions?
Presented By: RSG 19
Comparable Jurisdictions
• Researched and interviewed other jurisdictions
with rent stabilization programs.
• Feedback included:
• Program Features
• Strengths and Weaknesses
• Methods of Measuring Effectiveness
• Methods of Receiving Input
• Public Awareness
• Revisions Under Consideration
Presented By: RSG 20
Rent Registry
• Rent Registry contained over 150,000 registrations
over 4 registration periods.
• Period 1 – August 2018 to March 2019
• Period 2 – October 2020 to November 2020
• Period 3 – September 2021 to October 2021
• Period 4 – August 2022 to September 2022
Presented By: RSG 21
Next Steps
• Link to the recording of this report will be posted on the www.sjhousing.org on both Landlord and Tenant pages by nex week.
• Present draft Strategic Plan to Housing and Community Development Commission (tentatively in June 2023)
• Present final Strategic Plan to City Council (tentatively in August 2023)
Presented By: RSG 22
Conclusion
• Rent Stabilization Program
• (408) 975-4480
• [email protected]
Thank You!