pages: CityCouncil/2021-01-19.pdf, 20
This data as json
body | date | page | text | path |
---|---|---|---|---|
CityCouncil | 2021-01-19 | 20 | 46 a fair return process requires petitions, hearings and will cause difficulty especially for landlords with fewer units. Vice Mayor Vella inquired the reason for moving away from the net operating income (NOI) to the new structure. The Chief Assistant City Attorney responded staff is not moving away from NOI; stated at present it is a standalone item; should a person go through the CIP process, they will add the amount not as a pass through but added to the tenants' rent as a rent increase; the annual general adjustments will be based on a higher number than the current recommendation; the recommendation is not moving away from a fair return process; staff can return with a fair return process of Council desires; the policy is being fine-tuned. Urged Council take a look at the concept of pass-through and the effects on rent increases; stated pass-through has the potential to destroy the protection of the rent cap; discussed Ordinance 3250; questioned the good being done in establishing a rent cap and adding pass- throughs; pass-throughs go against the intention of the rent cap ordinance; the proposal brings a heavy burden and will lead to displacement; guaranteeing a fair rate of return will not discourage a landlords from making property improvements: Toni Grimm, Alameda. Stated Council should not implement a new CIP and pass-through during the local emergency period; Council has passed an urgency ordinance for the same period to protect renters against the economic hardship of rent increases and displacement; should Council choose to proceed, ARC requests the changes not begin until after the time period renters are given to pay back rent due to COVID-19; guaranteeing landlords fair return should not discourage landlords from the process: Catherine Pauling, Alameda Renters Coalition (ARC). Councilmember Knox White moved approval of the staff recommendation with the following adjustment: while people can apply for the Capital Improvement Program, no pass-through payments will be allowed to start until January 1, 2022. Vice Mayor Vella seconded the motion. Under discussion, Councilmember Daysog stated Council should be working closely with small mom and pop landlords in understanding the correct amount; the $25,000 threshold is a number generated in City Hall; City Hall is not the right place to generate the amount; Council does not have the experience to evaluate amounts; noted that he will not support the motion. Mayor Ezzy Ashcraft stated that she is comfortable with the motion; expressed concern about the condition of the rental housing stock; stated it is reasonable to delay any implementation until January 2022; she is satisfied with staff's analysis. Vice Mayor Vella expressed concern about implementation being earlier than the 12 months beyond the period of the State of Emergency; requested a friendly amendment to the motion to not implement until 12 month from the end of the declaration of the State of Emergency. Councilmember Knox White accepted the friendly amendment to the motion. Vice Mayor Vella stated ordinances can be amended; there are problems with the pass-through and duration of time; expressed support for the matter moving forward. Regular Meeting Alameda City Council January 19, 2021 | CityCouncil/2021-01-19.pdf |