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CITY OF SAN LEANDRO <br />STAFF REPORT <br />DATE: February 13, 2001 ` <br />TO: John Jermanis, City Manager <br />FROM: Debbie Potter, Redevelopment Administrator <br />BY: Neusa R. Pollard, Housing Specialist 1 <br />SUBJECT PROJECT/PROJECT DESCRIPTION <br />APPROVED AND FORWARDED <br />TO CITY COUNCIL <br />I <br />City Mager Q <br />�aso7 <br />Matter of a proposed Rent Review Program for residential units. The proposed program allows for <br />the creation of a Rent Review Board and spells out a process to review the reasonableness of <br />residential rent increases exceeding $75 or 10% of the tenant's rent within a 12-month period. <br />SUMMARY AND RECOMMENDATION <br />In September 2000, the City Council created an Ad Hoc Rental Housing Committee. The <br />Committee met several times and in December of last year, appointed a Working Group made <br />up of landlord and tenant representatives to study the issue of rising rents and help develop a <br />plan to halt the trend of extreme rent increases that has impacted many San Leandro residents in <br />recent months. <br />The Working Group met with staff and joined the Ad Hoc Committee in meetings to consider <br />alternatives for a program which allows for reasonable increases to keep up with the market and at the <br />same time prevents gouging in -place tenants during periods of high rental housing demand. It was <br />agreed that a measure milder than rent control but stronger than voluntary mediation is needed. <br />The Ad Hoc Committee, with the support of the Working Group, opted for a program which would <br />institute a Review Board made up of community representatives and require that tenants who receive <br />monthly increases higher than $75 or 10% of their rent amount have the right to a hearing to <br />determine the reasonableness of the increase and obtain the Board's recommendation. <br />The Ad Hoc Committee recommends that the City Council review and comment upon the proposed <br />Rent Review Program and direct staff to prepare an Ordinance to implement the proposed program. <br />If approved, the public hearing on the Ordinance would be set for March 19, 2001. This <br />recommendation is based on the many hardship cases brought to the attention of City Council <br />members, City staff and ECHO Housing. It is further recommended that the Ad Hoc Committee be <br />retained as a Nominating Committee to recommend members to serve on the Rent Review Board to <br />the full Council. The Ad Hoc Committee would continue to meet and it is anticipated that the Board <br />members could be nominated at the March 19 meeting. <br />ot <br />1 6�5 <br />