Page 44 - AAGLA-FEB 2022

Local Advocacy Update
Continued from page 42
Beverly Hills Rent Stabilization Commission Approves Resolution For New RSO Relocation Fee Calculation
At the January 5th, Beverly Hills Rent Stabilization Commission meeting, the Commission approved a resolution recommending a new relocation fee formula for the City Council’s consideration. The City Council has the sole authority to adopt the proposed formula and can reject the Commission’s recommendation entirely or modify it further.
The Commission’s recommended proposed relocation formula includes:
• Beginning July 1, 2022, adjusting relocation fees based on the formula of three times the median monthly rent for the same size unit, 0,1,2,3, and 4 bedrooms, established on each immediately preceding July 1st calculated based on data of newly occupied units registered in the City’s rent registry from the preceding January 1st through May 31st, plus an additional $1,000 for moving expenses plus an additional $2,000 for households with qualifying seniors, disabled, or with a minor child. This proposed formula for calculating relocation fees, expands upon the current bedroom size categories to include three- and four-bedroom sizes, while maintaining the current $2,000 enhanced relocation assistance for qualified renters.
• Defines small “Mom and Pop” owner as owners of 4 or fewer multifamily residential units plus a single-family home, all of which are within the City of Beverly Hills not including (1) a real estate investment trust, as defined in Section 856 of the Internal Revenue Code; (ii) a corporation (iii) a limited liability company in which at least one member is, or is controlled by, a corporation; or (iv) a partnership in which at least one partner is, or is controlled by, a corporation.
• Provides a base relocation fee reduction of 25%
to small “Mom and Pop” owners as defined above, where the no-fault tenancy termination is based on owner occupancy and where the renter(s) has resided in the unit for less than ten years. Where the renter(s) has resided in the unit for 10 years or more, the small “Mom and Pop” owner would be provided a 15% base relocation fee reduction.
• Small “Mom and Pop” owners seeking the above relocation fee reductions would be required to submit a declaration under penalty of perjury that the owner meets the definitional requirements using a form provided by the City.
The City’s current Rent Stabilization Ordinance (RSO) provisions set forth the required relocation fee structure based on unit size of bachelor or single, one bedroom, and two or more bedrooms with the base fee ranging from $6,988.87 to $13,986.75. Households with renters that are seniors, disabled or with a minor child receive an additional amount of $2,000. On July 1st of each year, the fees are adjusted based on the Consumer Price Index.
Beverly Hills’ Rent Stabilization Commission Continues Discussions on Establishing Local Habitability Standards, Proactive Inspections, and Creation of an Administrative Hearing Board
At the January 5th Beverly Hills Rent Stabilization Commission meeting, the Commission continued discussions regarding habitability standards and proactive inspections. The key questions that the Commission are seeking to address are (i) whether to establish local Habitability/Maintenance standards, (ii) whether to establish a local Proactive Inspection process, (iii) whether to establish an Administrative Hearing Board, and (iv) whether to restrict annual rent increases for properties with habitability violations. During the January meeting, the Commission focused on two of the issues: whether to establish an Administrative Hearing Board and whether to institute a local proactive
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