Monday, January 23, 2023

Rent control bills in the Washington Legislature

Price control has always created a loss of supply.  Rent control will work the same way.  Housing would become more rare and more people would be unable to find housing, even though the price might be "controlled." 

Under these bills, rent increases would be limited to cost of maintenance increases.  The effect of general inflation is ignored.  Thus there is no reason to provide housing.  The rental 'stock' supply will decrease.  Over time, rentals will be sold as private dwellings, or the rental will simply wear out, and the rental supply will shrink even further.  This effect is always seen first among small landlords.

The authoritarian Democrats are complicit in the rental supply problem.  They continue to restrict rental availability by zoning regulation. 

What good is cheap if the house isn't available?

Rent Control bills are headed to hearing Tuesday January 24th at 4PPM.

These links take you to videos that explain the effect of these bills:
  • To Provide opposition to be noted for the legislative record, click here

HB 1389 - https://youtu.be/kziGM6hgLi8
  • To Provide opposition to be noted for the legislative record, click here

 

Please note that you must sign in 1 hour before the hearing to testify or provide position to be placed on legislative record. After the hearing, you have 24 hours to submit written testimony.

 

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The Washington Landlord Association provided the following information about the negative effects this bill would have.


Please oppose HB 1388 & HB 1389 – Rent Control Bills

Tuesday, January 24 at 4:00 p.m.

 

Come to Olympia to oppose Rent Control bills – HB 1388 & HB 1389


HB 1388 Residential rent practices - Testimony



HB 1389 Residential rent increases - Testimony



Please note that you must sign in 1 hour before the hearing to testify or provide position to be placed on legislative record. After the hearing, you have 24 hours to submit written testimony.

 

HB 1388  – Protecting tenants by prohibiting predatory residential rent practices and by applying the consumer protection act to the residential landlord-tenant act and the manufactured/mobile home landlord-tenant act.

  • A landlord may not rent or seek to rent a dwelling unit at an excessive rent if such rent increase is not justified by costs necessary to maintain the dwelling unit.
  • A landlord may not charge a higher rent or include terms of payment that are more burdensome to a tenant for a month-to-month rental agreement than for a rental agreement where the term is greater than month-to-month, or vice versa
  • A landlord may not charge a tenant move-in fees or security deposits before a tenant takes possession of a dwelling unit that exceed one month’s rent.
  • $25,000 per violation. Additional civil penalties may not be assessed for the same violation under the consumer protection act pursuant to RCW 19.86.140.12
  • A tenant can be awarded damages equal to three months of the unlawful higher rent or charges that the tenant paid, and reasonable attorneys’ fees and costs incurred in bringing the action.
  • Defines “Excessive rent” as a rent increase during any 12-month period that is greater than the rate of inflation up to 7% percent above the existing rent.
  • The Attorney General is given authority to prosecute and provide a cease-and-desist order.
  • The Attorney General would have until July 2024 to post the bill in 10 languages on its website.


Sponsors:  RepresentativesMacri, Ramel, Peterson, Thai, Gregerson, Hackney, Ormsby, Alvarado, Doglio, Cortes, Riccelli, Mena, Kloba, Bateman, Fitzgibbon, Street, Taylor, Lekanoff, Simmons, Farivar, Pollet, Stonier, Berry, Reed, Bergquist, Morgan, Davis, Santos, Chopp, Reeves, Stearns, Fosse

 

TVW:  House Housing Committee

Hearing: Tuesday, January 24 at 4:00 p.m.

 

 

HB 1389 – Concerning residential rent increases under the residential landlord-tenant act and the manufactured/mobile home landlord-tenant act.

  • A landlord may not increase the rent for a month-to-month tenancy or a tenancy with a term greater than month-to-month:
  • During the first 12 months after the tenancy begins; in an amount greater than the rate of inflation or 3%, whichever is greater, up to a maximum of 7% above the existing rent.
  • If a landlord increases the rent above the amount allowed, the landlord must include facts supporting the exemption claimed in the notice.
  • Exemptions include federally subsidized housing such as Section 8, and houses built within the last 10 years.
  • Other justification but still limited to 4-7% increase include improvements to the property, significant hardship to be approved by the Dept of Commerce (which needs to be granted prior and attached to the increase notice); and banked capacity program as defined by this bill an additional 3% a year, or banked capacity plus 3% a year. This requires annual notice prior to new tenants to participate in the program including current banked capacity.
  • If the tenant is evicted the rent increase for the property is limited to 3%
  • New owners of a property may not increase rent beyond what the original landlord could.
  • The Department of commerce will list the maximum calculated rent increase percentage for any given year on its website by September 30th, 2023.
  • Annual notices to current and prospective tenants of rent increases and future possible rent increases. The bill provides the format of the new annual notice requirement.


Sponsors:  RepresentativesRamel, Macri, Peterson, Duerr, Gregerson, Alvarado, Ormsby, Doglio, Riccelli, Cortes, Mena, Thai, Kloba, Bateman, Street, Taylor, Lekanoff, Simmons, Farivar, Pollet, Stonier, Berry, Reed, Bergquist, Davis, Santos, Senn, Reeves, Stearns, Fosse

 

TVW  House Housing Committee

Hearing: Tuesday, January 24 at 4:00 p.m.

 

 

Please note that you must sign in 1 hour before the hearing to testify or provide position to be placed on legislative record. After the hearing, you have 24 hours to submit written testimony.

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