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City of San Leandro Meeting Date: July 3, 2017 Staff Report Agenda Section:File Number:17-387 ACTION ITEMS Agenda Number:10.A. TO:City Council FROM:Chris Zapata City Manager BY:Cynthia Battenberg Community Development Director FINANCE REVIEW:Not Applicable TITLE:Staff Report for an Ordinance Adding a Tenant Relocation Assistance Program to the City of San Leandro Municipal Code to Require the Payment of Tenant Relocation Assistance for Landlord-Caused Terminations of Tenancy and to Require Additional Notice Prior to Termination of Tenancy SUMMARY AND RECOMMENDATIONS On June 19, 2017, the City Council voted 6 -1 to add the following changes to the proposed Ordinance to establish a Tenant Relocation Assistance Program: 1) Decrease the rent increase threshold from greater than 15% to greater than 12% of current rent, 2) Exempt rental properties of 4 units or less from the proposed Ordinance, 3) Allow landlords to deduct tenant relocation assistance payments required under California Health and Safety Code Sections 17975-17975.10 from the relocation assistance payment imposed by the City’s Ordinance. The deduction relates to State law that allows local building officials to issue enforcement orders for uninhabitable residential rental properties (e.g., red-tagging), which triggers payment of relocation expenses for the displaced tenants, and 4) Allow landlords to deduct from the final tenant relocation assistance payment the tenant-caused damages not covered by a security deposit. Staff recommends that the City Council adopt the attached Ordinance adding Chapter 4.37 “Tenant Relocation Assistance” to the San Leandro Municipal Code. BACKGROUND AND ANALYSIS Below are notable features of the proposed Ordinance based on the City Council Rules Committee’s comments, and public input. Page 1 City of San Leandro Printed on 6/27/2017 27