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sr-012379-8bR.LK:SSS:mc Council P4tg. -?3-79 Sa i PRonica, California SAN 3 ?8T9 TO: Mayor and City Council FROb1: City Attorney SUBJECT: ORDINANCE LIMITING OF RENT RAISES PERMISSIBLE s^dITHIN ONE (1) YEAR. Introduction This report transmits for introduction and first reading an ordinance limiting the number of rent raises per- missible on a unit of residential real property to one (1) per year. Background At its meeting of January 9, 1979, the City Council directed the City Attorney to prepare an ordinance limiting the number of .rent raises permissible for any residential unit that had not been voluntarily vacated to one (1) per year. The attached ordinance accomplishes this by adding Chapter'6 to Article IV of the Santa Monica b4unicipal Code. The rent limiting ordinance is a non-confiscatory _forrr of rent regulation. It is based on the recognition by the Council that some abuses and inflationary rent raises are occurring within the Santa Monica rental housing market. r^actual suuport for ti;is exercise of the police power may be found in the staff reports and public comment at the City Council 'Zeetinas of September 12, 1973 and January 9, 1979, JAN 2 ~ 1973 RL?~:SSS:mc Council :Mtg. _-23-79 Sar A4onica, California concerning the regulation of rental property. The first section of the proposed ordinance contains a legislative finding that abuses exist in the rental housing market and states a legislative purpose to curb those abuses. ^1 he second section of the proposed ordinance recognizes the existence of state law governing landlord-tenant relations and unlawful detainer actions, as well as the charter initiative that will be placed on the April 10, 1979 ballot. This section declares that the rent limit la~•~ is intended to be construed in harmony with the state procedures and independent of any comprehensive rent control provisions. The heart of the ordinance is contained in Section 3, which provides that during the period covered by the ordinance, January 23, 1979 to December 31, 1930, no landlord of any residential rental unit within the City of Santa Monica may increase the rent for that unit if the rent has already been increased within a previous twelve (12) month period. These provisions do not apply to residential units that have been voluntarily vacated by tenants, or where the tenant has been evicted for non-~oayment of rent, misconduct, or other similar cause. The ordinance does not contain a separate remedy section. Under Sectior. 1200 of the Santa "Monica Municipal Code a violation of any code section is both a misdemeanor and a public nuisance; criminal prosecution or injunctive _~_ RLY:SSS:mc Council Mtg. 1-23-79 Sang ionica, California relief may be had in an appropriate case. Alternative Solutions As this ordinance was prepared at the express direction of the City Council, alternative solutions are not applicable. Recommendation It is respectfully recommended that the;Cty Council pass the attached ordinance for introduction and first reading. Prepared By: Richard L. ?knickerbocker, City Attorney Stephen Shane Stark, Assistant City Attorney -3-