Laserfiche WebLink
Pg. 23 CHAPTER IV – COST RECOVERY RECOMMENDATIONS <br /> <br />City of Santa Ana Rent Stabilization Program Fee – March 2023 <br />Option 2: Petition Fees Separate from the Rental Registry Fee <br />Fee Title Suggested Fee # of Units/ <br />Petitions Revenues <br />Annual Registration $86.12 per unit 32,450 Units $2,794,654 <br />Fair Return Petition $21,357 per petition 4 Petitions $85,428 <br />Capital Improvement Petition $13,442 per petition 4 Petitions $72,680 <br />Tenant Petition $350 per petition 958 Petitions $311,150 <br /> Total: $3,245,000 <br /> <br />Option 3: No Petition Fees <br />Fee Title Suggested Fee # of Units/ <br />Petitions Revenues <br />Annual Registration $86.12 per unit 32,450 Units $2,794,654 <br />Fair Return Petition $0 per petition 4 Petitions $0 <br />Capital Improvement Petition $0 per petition 4 Petitions $0 <br />Tenant Petition $0 per petition 958 Petitions $0 <br /> Total: <br />$2,794,654 <br />-$3,245,000 <br />(-$450,346) <br /> <br />Under Option 3, the removal of petition fees results in an annual operating deficit of up to <br />(-$450,346) to pay for all costs associated with the Rent Stabilization and Just Cause Eviction <br />Ordinance. As a result, the City’s General Fund would have to annually subsidize the petition fees <br />with up to $450,346 in order to ensure the Rent Stabilization Program can process Fair Return <br />Petitions, Capital Improvement Petitions and Tenant Petitions. Fair Return Petitions are a <br />constitutional right for landlords. Meanwhile, Capital Improvement Petitions and Tenant Petitions <br />are available options for landlords and tenants in the Ordinance. <br /> <br />Option 1 is recommended to the City of Santa Ana because it provides a simple streamlined fee for <br />program participants that includes all of the costs to implement, administer, monitor, support, and <br />enforce the provisions of the Ordinance, while supporting cost recovery and no impact to the City’s <br />General Fund. Option 1 also adheres to the principles approved by City Council for the Rental <br />Registry Fee to be as low and lean as possible to not create an unnecessary burden on tenants and <br />landlords; to blend a hybrid of services between consultants and City staff; and builds upon other <br />existing services across the City to administer the Ordinance. <br />OTHER CONSIDERATIONS <br />In considering all options related to the Rental Registry Fee, we also analyzed the number of rental <br />units that would be only partially covered by the Rent Stabilization and Just Cause Eviction