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O2383City Council Meeting: December 13, 2011 Santa Monica, California ORDINANCE NUMBER 2383 (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING CHAPTERS 4.36 AND 4.56 OF THE SANTA MONICA MUNICIPAL CODE TO INCREASE PERMANENT RELOCATION BENEFITS; CHANGE ELIGIBILITY REQUIREMENTS FOR RELOCATION ENHANCEMENTS; EXTEND TENANT HARASSMENT PROTECTIONS TO ALL TENANTS COVERED BY JUST CAUSE EVICTION RULES; AND CORRECT CERTAIN CODE SECTION REFERENCES WHEREAS, Santa Monica has not increased its permanent relocation benefit amounts (other than for cost of living increases) since 2007, during which time rent levels in the City have increased and vacancies have decreased; and WHEREAS, Council wishes to extend additional permanent relocation benefits to households with seniors, disabled, and children tenants regardless of their date of occupancy because these households are particularly vulnerable; and WHEREAS, certain code section references in the permanent relocation ordinance are outdated and inaccurate; and WHEREAS, Measure RR has extended just cause eviction protections to most residential tenants in the City regardless of rent control status; and WHEREAS, certain non -rent controlled tenants are therefore newly subject to potential unlawful harassment for the purpose of forcing them to vacate their units; and WHEREAS, Council wishes to extend tenant harassment protections to all tenants in the City who have just cause eviction protections, regardless of their rent control status. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Municipal Code Section 4.36.020 is amended to read as follows: 4.36.020 When relocation fee required. (a) A relocation fee shall be paid in accordance with the provisions of this Chapter by any landlord who terminates or causes the termination of a tenancy for any of the following reasons: (1) The landlord seeks to withdraw all rental housing units from the rental housing market as provided in Government Code Sections 7060 et seq. (2) The landlord seeks to recover possession of a rental housing unit pursuant to Sections 1806(a)(8), 1806(a)(9), 2304(a)(8), or 2304(a)(9) of the City Charter. (3) The landlord seeks to recover possession to demolish or otherwise withdraw a rental housing unit from residential rental housing use, including units that were illegally converted to residential use, after having obtained all proper permits from the City, if any such permits are required. (b) A relocation fee shall be paid in accordance with the provisions of this Chapter to a displaced tenant who serves a landlord with a notice to 2 terminate tenancy after having received written notice from either the landlord or the Santa Monica Rent Control Board that the landlord has filed a Notice of Intent to Withdraw Residential Rental Units pursuant to Government Code Section 7060.4 and Santa Monica Rent Control Board Regulation 16002(a) or an Application for Removal Permit pursuant to Santa Monica Charter Section 1803(t). (c) The fee required by this Chapter shall be due and payable to a displaced tenant whether or not the landlord actually utilizes the rental housing unit for the purposes stated in the notice of eviction. SECTION 2. Municipal Code Section 4.36.040 is amended to read as follows: 4.36.040 Amount of relocation fee. The amount of the permanent relocation fee payable pursuant to the provisions of this Chapter shall be established in accordance with the following formula: 2011 relocation fee adjusted for inflation by the percentage change in the rent of primary residence component of the CPI - W Index for the Los Angeles /Riverside /Orange County area, as published by the United States Department of Labor, Bureau of Labor Statistics, between November 2011 and the July 1st preceding the date of vacancy rounded to the nearest fifty dollars. This amount shall be updated annually commencing on July 1, 2012 and on July 1st of each year thereafter. (a) The 2011 relocation fee established pursuant to Ordinance 2383CCS and determined according to the size of the retail housing unit, was as follows: 3 AlaggMaLaim 2011 relocation amount 2011 augmented amount Single or studio 7 800 8 MOP One bedroom $12,050 111850 Two or more bedrooms $16.300 $18,750 (b) If a tenant is evicted from more than one rental housing unit on a property, the tenant shall not be entitled to receive separate relocation fees for each rental housing unit. The tenant shall receive a single relocation fee based on the combined total number of bedrooms in the rental housing units from which the tenant is being evicted. If one of the rental housing units is a bachelor or single unit, it shall be counted as a one bedroom unit for purposes of determining the amount of the relocation fee (e.g., a tenant who is evicted from a bachelor rental housing unit and a one bedroom rental housing unit would receive relocation benefits for a two bedroom unit). (c) If the rental housing unit from which the tenant is being evicted is furnished, two hundred fifty dollars shall be deducted from the amount set forth in subsection (a) of this Section. For purposes of this subsection, a rental housing unit shall be considered to be furnished if the landlord has provided substantial furnishings in each occupied room of the rental housing unit. (d) If one or more of the displaced tenants is a senior citizen or disabled person, or is a tenant with whom a minor child resides, an augmented amount shall be paid as set forth in subsection (a) of this Section. The amount added pursuant to this subsection shall be adjusted 0 annually pursuant to the formula specified above commencing on July 1, 2012, and each July 1st thereafter. (e) Any tenant still in possession of a rental unit after the relocation amounts have been updated pursuant to this Section, shall be entitled to the updated relocation amounts even if the landlord commenced the termination of the tenancy prior to the update. In the event that a landlord has already complied with the provisions of Section 4.36.060 based on the relocation amounts previously in effect, but has not yet received a written request from a tenant for distribution of the fee pursuant to Section 4.36.070, the landlord shall place in escrow the additional amount of relocation fee required by this Section within five working days of the effective date of the updated amount. SECTION 3. Municipal Code Section 4.56.010 is amended to read as follows: 4.56.010 Definitions. (a) Fraud. Intentional misrepresentation, deceit or concealment of a material fact. (b) Housing Service. Housing services include, but are not limited to, hot and cold water, heat, electricity, gas, refrigeration, elevator service, window shades and screens, storage, kitchen, bath and laundry facilities and privileges, janitor services, refuse removal, furnishings, telephone, parking, effective waterproofing and, weather protection, painting, and any other benefit, privilege or facility that has been provided by the landlord to the tenant with use or occupancy of any rental housing unit. Services to a 5 rental housing unit shall include a proportionate part of services provided to common facilities of the building in which the rental housing unit is contained. (c) Landlord. An owner, lessor, sublessor, or any other person entitled to receive rent for the use and occupancy of any rental housing unit, or an agent, representative or successor of any of the foregoing. (d) Malice. An intent to vex, annoy, harass or injure another person. (e) Rental Housing Agreement. An agreement, oral or written or implied, between a landlord and tenant for use or occupancy of a rental housing unit and for housing services. (f) Rental Housing Unit. A housing unit in the City that constitutes either a controlled rental unit pursuant to City Charter Section 1800 et seq. (including a room in a single - family home, hotel or motel, rooming house or apartment, single - family home, mobile home or mobile home space, trailer or trailer space); or a rental unit pursuant to City Charter Section 2300 et seq. (g) Tenant. A tenant, subtenant, lessee, sublessee or any other person entitled under the terms of a rental housing agreement to the use or occupancy of any rental housing unit. SECTION 4. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. SECTION 5. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional. SECTION 6. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall become effective 30 days from its adoption. APPROVED AS TO FORM: 7 Approved and adopted this 13th day of December, 2011. Richard Bloom, Mayor State of California ) County of Los Angeles ) ss. City of Santa Monica ) I, Denise Anderson - Warren, Acting City Clerk of the City of Santa Monica, do hereby certify that the foregoing Ordinance No. 2383 (CCS) had its introduction on December 6, 2011, and was adopted at the Santa Monica City Council meeting held on December 13, 2011, by the following vote: Ayes: Council members: Holbrook, McKeown, O'Connor, Shriver Mayor Pro Tern Davis, Mayor Bloom Noes: Council members: None Absent: Council members: O'Day A summary of Ordinance No. 2383 (CCS) was duly published pursuant to California Government Code Section 40806. ATTEST: Denise Anderson - Warren, Acting City Clerk