Mountain
View is considering a proposed ordinance that would require landlords
to give tenants money if forced to leave, but some city council members
and others say that might ultimately do more harm than good.
The
proposed "tenant relocation assistance ordinance" says landlords who
redevelop, demolish or otherwise change their buildings in a way that
forces the tenants to leave permanently must give those with very low
incomes the cash equivalent of two months' rent, a full security
deposit refund, a 60-day subscription to a rental agency and an
additional $2,000 if they have special circumstances such as a
dependent child.
"Unanticipated moves for very-low-income tenants
can be difficult and require a large amount of money for moving
expenses, first and last month's rent, and security deposits," said
Linda Lauzze, city administrative and neighborhood services manager.
The
city began working on tenant assistance in 2007, to help renters
displaced for the proposed redevelopment of the SummerHill Apartments
on Evandale Avenue. In that case, about $127,000 in city affordable
housing funds were used to help 33 households move.
City council
members in 2007 asked for an official rental assistance ordinance based
on that, and it was presented for the first time at the council's
Tuesday meeting. After a 1½-hour discussion, council members appeared
split and sent the ordinance back to city staff.
The ordinance would apply only to very-low-income
tenants, traditionally identified as households making less than 50
percent of the area's median income — about $80,000 in 2008, according
to city documents. It would also require landlords to give tenants 60
days' notice before applying for a redevelopment or other permit from
the city, and a 180-day notice of termination.
Council members
said they support the goal of helping low-income tenants, and many said
they were inclined to support the ordinance if the notification
requirements were more lenient.
But Council Member Mike Kasperzak
and others worried that the policy could unintentionally encourage
landlords to abandon affordable housing.
"My concern is more the
noncorporate landlord starting to say, 'You know what, I'm not going to
deal with this stuff,'" Kasperzak said. "'I'm going to raise my rents
so I don't rent to very-low-income people anymore.'"
Under a rental law called the Ellis Act, cities with rent control are required to provide tenant relocation assistance.
But
John Tripp, a director at the Silicon Valley Association of Realtors,
said Wednesday that Mountain View would be the first city without rent
control he's heard of to consider such an ordinance.
If he was a
landlord under the proposed rules, Tripp said he would likely postpone
renovations to his apartments to avoid the extra costs.
"There's
no question, in my mind at least, that in Mountain View there has not
been a problem to date," Tripp said, "and I don't know if we're
creating a problem (with this ordinance)."
Council Member Laura Macias, though, said she doesn't think the ordinance would have an impact on the city's rental market.
"This
is a Band-Aid to help a family, a working family," Macias said. "No
one's going to get rich off of this. There's just not enough here to
make this a game-changer in terms of property management."
E-mail Diana Samuels at dsamuels@dailynewsgroup.com.
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