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Rent Stabilization Ordinance and Just Cause Eviction Ordinance <br />September 21, 2021 <br />Page 2 <br />2 <br />1 <br />2 <br />6 <br />ALTERNATIVE OPTION: <br />1. Approve first reading of a rent stabilization ordinance prohibiting residential real <br />property and mobilehome space rental increases that exceed three percent (3%) <br />annually, or eighty percent (80%) of the change in Consumer Price Index, whichever <br />is less, within the City. <br />2. Approve first reading of an ordinance requiring just cause evictions. <br />3. Adopt a Resolution directing further study and implementation of the additional <br />regulatory framework and infrastructure necessary to implement residential rent <br />stabilization, just cause eviction, and other protections for tenants facing housing <br />instability. <br />4. Authorize the City Manager to reallocate up to $300,000 from the Revive Santa Ana <br />Plan to create an Eviction Defense Fund by entering into an Agreement with a <br />consultant for the administration, management and implementation of the rent <br />stabilization ordinance and just cause eviction ordinance, and direct the City Attorney <br />to finalize and authorize the City Manager to enter into negotiations, execute <br />agreements, and approve any other required actions necessary with various service <br />providers, contractors, and sub-recipients, who will implement and manage the <br />ordinances, subject to non-substantive changes approved by the City Manager and <br />City Attorney. <br />DISCUSSION <br />On March 2, 2021, the Mayor and City Council formed a Housing Ad Hoc Committee. The <br />Housing Ad Hoc Committee members consist of Mayor Sarmiento and Councilmembers <br />Lopez and Phan. The Committee convened its first meeting on March 22, 2021, and has <br />since conducted four additional meetings to discuss various housing issues. The first set <br />of recommendations from the Committee are related to the Housing Opportunity <br />Ordinance, which is still being reviewed and considered by City Council. The next set of <br />recommendations from the Committee are related to rent stabilization, rental protections <br />for tenants, just cause eviction policies, and tenant displacement and protection policies. <br />On September 9, 2021, and September 15, 2021, the Housing Ad Hoc Committee <br />convened and directed staff to: <br />1. Draft a rent stabilization ordinance and a just cause eviction ordinance. <br />2. Draft a Resolution to conduct due diligence and research into the administrative <br />formation of a rent control board following the adoption of a rent stabilization ordinance <br />and a just cause eviction ordinance.