Item 26 - Long-Term Implementation Plan for the Rent Stabilization and Just Cause Eviction Ordinances

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10 10 In addition to the benefits that rental registries provide for rent-stabilized units, the implementation of a rental registry also provides stronger protections for rental units that are covered only by the JCEO. The registry can be used to determine whether a landlord serving an eviction notice is in compliance with all aspects of the ordinance and inform tenants who have received eviction notices of their rights and responsibilities. Furthermore, registries all ow for the monitoring of rental activity after a landlord has evicted a tenant for no-fault just cause reasons. A rental registry provides the following benefits to both tenants and landlords:  Landlords and tenants will be able to regularly access and verify their units’ rental information, increasing transparency.  A rental registry will eliminate doubt regarding which units are covered under the ordinances.  Additional support will be available for mediating disputes and settling matters outside of the Court system, resolving issues more quickly and efficiently.  Staff will be able to communicate with both landlords and tenants more effectively, which will allow both parties to better understand their rights and responsibilities under the RSO and JCEO. There was an overwhelming recommendation from the Sample Jurisdictions encouraging the City to explore contracting with 3Di Systems to develop a database to organize the rental registry. 3Di Systems is a software development firm, based in the City of Brea, that specializes in working with local governments in the areas of housing, public safety, and community engagement. They have been in business for over twenty (20) years and expressed during an inquiry meeting with City staff that they have never had a client change services. Five (5) of the seven (7) Sample Jurisdictions use their services and all have expressed positive interactions and outcomes with them. Many expressed that they appreciated that 3Di Systems tailored the rental registry to meet the specific needs and nuances requested for program implementation. 3. Adopt a Rental Registry Fee – A rental registry fee is collected to offset and ultimately cover 100% of the cost of the programs, including maintaining the registry, program administration, and compliance activities. This fee ensures that the program is completely cost-neutral to the City. Sample Jurisdiction rental registry fees average approximately $195 per unit. Many of the Sample Jurisdictions used a consultant to conduct a fee study to determine the rental registry fee amount. However, it should be noted that the City will need to develop a work plan before hiring a consultant to complete a fee study. Depending on the work plan, this framework can be prepared and provided to the consultant that will be responsible for determining the rental registry fee. During this process, the City can determine if they would like the fee to be adjusted annually by the Rental Housing Board, or if routine fee studies will be completed to adjust the rental registry fee amount. Another consideration related to the rental registry fee is whether the City would like to establish a fee for fully and partially covered units and/or make certain units exempt from paying a registration fee. Generally, a fully covered unit refers to rental units where both the RSO and JCEO apply, and partially covered units refer to units where only the JCEO applies. The City may consider making certain units exempt from the requirement to pay a rental registry fee, such as rental units occupied by rent-subsidized tenants (e.g. Housing Choice Voucher / Section