Local Pasadena Grassroots Organization Hopes to Get Rent Control Initiative on Next Year’s Ballot

Severe cost burden is the greatest predictor of homelessness risk in Pasadena. Populations paying more than 50 percent of their income towards housing costs or having incomes at or below 50 percent AMI have the greatest risk of becoming homeless (Draft-Five-Year 2015-2019 Consolidated Plan)-Photo by Terry Miller/Beacon Media News

By Terry Miller

Pasadena is unquestionably an expensive city in which to live.  For those of us who cannot afford to buy the multi-million dollar homes, we are forced to rent properties.  The problem Pasadena and surrounding communities face is not only affordable rent but also ensuring they don’t get roped into a contract with unscrupulous landlords.

The Pasadena Tenants Union (PTU) officially notified Pasadena City Officials Nov. 15 of a ballot initiative—“The Pasadena Fair and Equitable Housing Charter Amendment.”  Why?  To bring “rent control” and “just cause” to Pasadena.

According to the PT Union, “the City of Pasadena is in a housing crisis.”

The average rent for a one-bedroom unit in Pasadena has risen 51.7 percent in the last 6 years.

Tenants are receiving rental increases of $200, $800 and more a month and are at risk of being evicted for no just cause.

Nicole Marie Hodgson, member of the PTU and one of three proponents who signed the initiative, says, “Fifty-six percent of Pasadena residents are renters, and yet we have no housing security within the City.  Pasadena has always valued a diverse community and as a community if we do not have a rental policy that recognizes both tenant and landlord stability we’ll be left with a community that no longer strives to be inclusive.  How many neighbors who are renters have disappeared due to the rental-housing crisis? Renters are part of the fabric of Pasadena and we are your neighbors who care for and love Pasadena. Once we are gone who is left?”

What is Rent Control and Just Cause?

Rent control provides renters assurances the rents may increase a certain reasonable amount each year while providing landlords the assurance of economic security.

Just Cause provides the security to tenants that evictions are based on lease violations while protecting landlords with cause to evict tenants for non-payment of rent and unlawful activity.

Pasadena Tenants Union (PTU) is a grassroots movement founded in November 2016 by tenants and homeowners.  They are a membership body of volunteers and have no paid staff.

The implementation of rent relief strategies is supported by the City’s adopted 2014 to 2021 Housing Element: “Pasadena residents have an equal right to live in decent, safe and affordable housing in a suitable living environment for the long-term well-being and stability of themselves, their families, their neighborhoods, and their community. The housing vision for Pasadena is to maintain a socially and economically diverse community of homeowners and renters who are afforded this right.”

Severe cost burden is the greatest predictor of homelessness risk. Populations paying more than 50 percent of their income towards housing costs or having incomes at or below 50 percent AMI have the greatest risk of becoming homeless (Draft-Five-Year 2015-2019 Consolidated Plan)

Excessive rental increases have resulted in increased homelessness, families living in vehicles, and the displacement of low-income families in the Pasadena.

The current housing and economic conditions create a detrimental effect on substantial numbers of renters in the City and are a threat to the public health, safety and welfare, and a particular hardship for senior citizens, persons on fixed incomes, families with children, and other vulnerable tenants.

“Pasadena Fair and Equitable Housing Charter Amendment.”

The City of Pasadena does not currently regulate the amount of rent a landlord may charge, nor does it establish limitations on the termination of tenancies. This measure would prohibit landlords from evicting a tenant except for specified reasons and limit the amount that landlords could increase the rent.

Certain types of rental units would be either fully or partially exempt from regulation under the measure, including single family homes and condos.

For all rental units in the City subject to the measure, a landlord may terminate a tenancy only for the reasons specified in the measure.

Landlords can continue to terminate a tenancy for reasons such as failure to pay rent, a breach of the lease, or using the unit for an illegal purpose. However, landlords are restricted from terminating a tenancy when the tenant is not at fault for the eviction, subject to a few exemptions, such as owner move-in. In the case of these “no-fault” evictions, landlords must pay relocation benefits to the displaced tenants.

The measure would set base rents for those rental units covered under the measure. The base rent would be set at the rent in effect on Nov. 15, 2017. If the tenancy began after this date, the base rent would be the rent charged upon initial occupancy. A landlord would be able to raise the rent annually by the percentage increase of the Consumer Price Index, though the annual rent increase would be capped at 4.5 percent.

The Rental Housing Board will manage the implementation and administration of this measure. The Board will consist of five members appointed by the City Council.

The Board will establish regulations, determine the allowable annual rent adjustment, hear individual rent adjustment petitions and go to court to enforce the measure. The Board would exercise its powers and duties independently from the City Council and City Attorney, except by request.

A landlord can file an Individual Rent Adjustment Petition with the Rental Housing Board to raise the rent more than the annual allowable increase if necessary to provide a fair return on the landlord’s investment. The Board will consider details such as the cost of capital improvements, the reasonable costs in maintenance and operating expenses, and the cost of landlord-performed labor. Rent could also be decreased if the landlord fails to maintain a habitable rental unit or charges unlawful rent. Both tenants and landlords can sue in court to challenge a Board’s decision.

Landlords could not retaliate or harass their tenants for reporting violations of the measure, exercising tenants’ rights, or participating in tenant organizations.

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