Item Coversheet
Agenda Item

DATE: 

3/28/2017
TO:

HONORABLE MAYOR AND CITY COUNCIL
FROM:

BENJAMIN T. REYES II, CITY ATTORNEY
SUBJECT:

INTRODUCE AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF UNION CITY ADDING CHAPTER 5.50 “RESIDENTIAL LANDLORD AND TENANT RELATIONS” TO THE UNION CITY MUNICIPAL CODE

 

The City of Union City is proposing to add Chapter 5.50 “Residential Landlord and Tenant Relations” to Title 5, of the Municipal Code to:

  • Require landlords to provide cause for termination of tenancy; and
  • Prohibit landlords from harassing tenants and engaging in other prohibited activities in bad faith, with ulterior motive, or without honest intent; and
  • Require landlords to notify tenants of their rights under the proposed ordinance.

 

Staff recommends that the City Council introduce the attached Ordinance that would add Chapter 5.50 “Residential Landlord and Tenant Relations” to require landlords to provide cause for termination of tenancy, prohibit landlords from engaging in specified harassing activity and to require that landlords notify tenants of their rights under the proposed ordinance. 



BACKGROUND


The City Council first held a study session in May 2016 to address and consider potential rent protection measures and formed a Rent and Tenant Taskforce (“Taskforce”) in July 12, 2016 in order to assist with the consideration of possible tenant protection measures.  The Taskforce held multiple public meetings between October 2016 and January 2017. 

 

City staff returned to the City Council with the Taskforce’s recommendations on January 31, 2017.  After considering the Taskforce’s recommendations, the City Council directed staff to prepare a Just Cause for Eviction and Anti-Harassment Ordinance. 



DISCUSSION

State Law Requirements for Termination of Tenancy

Landlords are permitted to terminate a tenancy under state law pursuant to the following notice requirements:

  • 3-Day Notice: A landlord must provide a tenant with a 3-day notice to vacate if the tenant has violated their lease terms or engaged in improper conduct that is specified by state law.
  • 30-Day Notice: A landlord must provide a tenant a 30-day notice to vacate if the tenant has lived in the unit for less than one year.
  • 60-Day Notice – A landlord must provide a tenant a 60-day notice to vacate if the tenant has lived in the unit for one year or more.
  • 90-Day Notice – A landlord must provide a tenant a 90-day notice to vacate if the tenant receives subsidized housing.

 

Thus, under state law, a landlord can terminate a tenancy without cause with 30, 60, or 90 days’ notice, depending on the circumstance.  

 

Existing Federal and State Law Harassment Protections

Existing federal and state law provides protections for tenants from landlord discrimination.  The federal Fair Housing Act and the Fair Housing Amendment Acts (42 U.S. Code 3601-3619, 3631) prohibit a landlord from selecting, or discriminating against, tenants based on certain criteria:

  • Race or color
  • National origin
  • Religion
  • Disability or handicap, including physical and mental impairment
  • Sex, including sexual harassment
  • Familial status (includes protection for people with children under age 18 or pregnant women)

 

In addition to the grounds listed above, California housing discrimination laws also prohibit discrimination on the basis of sexual orientation, gender identity, genetic information, source of income, age, and marital status.

 

Effect of Text Amendments

 

The California Constitution provides the City with authority to use its police power to regulate landlord-tenant relationships, as long as such regulations do not conflict with state law. The proposed text amendments are designed to create stability and security for residential tenants by:

 

  • Requiring landlords to provide cause for termination of tenancy;
  • Prohibiting landlords from harassing tenants;  and
  • Requiring that landlords notify tenants of their rights under the Municipal Code.

 

The proposed ordinance applies to all residential rental units within the City but excludes traditionally transient type uses including hotels, certain owner-occupied residences, and housing accommodations for nonprofit facilities that provide short term treatment as well as certain housing units owned or regulated by local, State or Federal government agencies.

 

Cause for Termination of Tenancy

 

The proposed text amendments prohibit landlords from terminating a tenancy unless certain conditions are met. As a prerequisite to terminating tenancy, a landlord must show that he or she has done all of the following:

 

  • Possesses a valid business license and has a properly registered the rental unit;
  • Has provided the tenant with a notice of tenant rights;
  • Served a notice of termination stating the permitted basis for termination;
  • Has not accepted and will not accept rent or any other consideration in return for the continued use of the rental unit beyond the term of the terminated tenancy in compliance with California Civil Code Sections 1945, 1946 and 1946.1.

 

After establishing the above, a landlord may only terminate a tenancy for cause pursuant to the proposed ordinance. Examples of such circumstances that establish cause for termination include, but are not limited to:

 

  • Failure of the tenant to pay rent; or
  • A continued violation by the tenant of a material term of the lease; or
  • A tenant’s use of the rental unit for illegal activities; or
  • The decision of the landlord to remove the unit from the rental market for certain specific reasons.

 

If the landlord removes the unit from the rental market, the proposed ordinance provides that the tenant has a right to return to the unit if the landlord brings the unit back onto the rental market within a specified period of time.

 

Anti-Harassment Protections

 

The proposed ordinance also prohibits landlords from engaging in harassment or certain other activities that disturb a tenant’s use and enjoyment of the unit. Examples of such activities include, but are not limited to:

 

  • Threatening to interrupt or failing to provide any housing services under the rental agreement, including but not limited to, utility services and other amenities and services agreed to by contract;
  • Failing to perform repairs or maintenance required by contract or by law;
  • Attempting to influence the tenant to vacate the unit by means of fraud, intimidation, or coercion, including but not limited to, threats based on immigration status; and
  • Requesting information that violates the tenant(s) right to privacy.

 

Notice and Enforcement

 

The proposed ordinance requires landlords to provide tenants with a notice of tenant rights in the three (3) predominant languages spoken in the City. Such notice must be provided to tenants within sixty (60) days of the effective date of the proposed ordinance, whenever entering into or renewing a rental agreement, and when issuing a notice of termination.  The City will develop a form notice that landlords can use to satisfy this requirement.

 

Tenants may enforce their rights under the proposed text amendments by instituting civil proceedings.



FISCAL IMPACT

There are no direct fiscal impacts as a result of adopting the attached Ordinance.



RECOMMENDATION

  1. Introduce the attached ordinance to add Chapter 5.50 “Residential Landlord and Tenant Relations” of the Union City Municipal Code.
  2. Adopt the ordinance following second reading on April 11, 2017, or at another meeting selected by the City Council if directed.


Prepared by:

Kristopher J. Kokotaylo, Deputy City Attorney

Submitted by:

Benjamin T. Reyes II, City Attorney
ATTACHMENTS:
DescriptionType
Residential Landlord and Tenant Relations OrdinanceOrdinance
Exhibit A to Residential Landlord and Tenant Relations OrdinanceExhibit