2401 Warring
2401 Warring

We at the Berkeley Tenants Union need your support on Tuesday, December 9 at the City Council meeting.

First, Council are considering a suggestion to tax the benefits of rent control on any long time tenant the government decides is earning a living wage. (Item 17)

Also, BTU members have appealed a dangerous decision by the Zoning Board which would set bad precedent and put over 4,000 units in Berkeley at risk. (Item 39)

Both items are expected to be near the beginning of the meeting, as early as 7:30 PM. Council meetings take place in Old City Hall, 2134 Martin Luther King Jr. Way.

2401 Warring Street Appeal by Harr and Stephens

This is the latest in a series of disputes BTU has fought at the Zoning Board – at the core is the interpretation of the Demolition Ordinance. In this case, a huge building on Warring near Channing has been under rent control for many years because it was used as a boarding house. Now, a new owner has removed all the renters and wants to turn it into a triplex. Rent Board staff and the owner appeared at the Zoning Board in the summertime. BTU was there as well. Everyone – even the owner Nathan George – seemed to agree that it was fair that one of the triplex units would be new construction because the owner is adding a lot of space, but that the other two units needed to stay under rent control.

Yet when the decision was written up by the staff from the Planning department, they chose to word the agreement in a way that would be legally unenforceable. This can get complex, but the gist of it is that Planning wants to give the building a new certificate of occupancy, and state law Costa Hawkins says a new COO means no rent control.

This is not what the Zoning Board intended. So BTU members Katherine Harr and Lisa Stephens filed an appeal.

Once again, the City Attorney is saying the units are empty and therefore not rent controlled units under the Demolition Ordinance. This means any building where the landlord can get the tenants out could easily be torn down with no mitigations for the loss of rent controlled housing.

The City is also saying that although Planning was aware that the building was a boarding house, it was not licensed to be one. This opens up over 4,000 units that have rent control but are not in Planning records as “permitted units” to lose rent control because they, too, could get a new certificate of occupancy.

Means Testing

Yes, you heard us right: the Housing Advisory Commission has asked Council to begin the process of means testing rent controlled tenants. Item 17 on the City Council agenda for Tuesday is the first step toward a plan by certain bitter property owners and the Council majority to tax middle income renters on their low rents.

One approach we believe should be explored is to determine if some of the long term tenants in Berkeley’s rent controlled housing have been enjoying low rents while their incomes have been rising,” they wrote. There are many disturbing things about the proposal: the underlying assumption that rent control is a charity program and only the very poor deserve housing stability; the invasive nature of the proposal wherein longer term renters would be forced to disclose their income while owners do not have to do so; and the idea that measuring only income and rent would give the government any idea who can afford to pay more for housing, without considering medical bills, student tuition or student loans, number of dependents or other factors.

While BTU is pretty sure portions of the plan are actually illegal, and we expect the Rent Board will work to educate Council on that aspect, we need renters to stand together to show that local efforts to whittle away tenant protections and pit lower income folks against teachers, firefighters and small business owners making mid-range salaries will not be tolerated. Means testing would make Berkeley a city of just the very rich and very poor – just what rent stabilization was designed to prevent!

This type of proposal would never have been considered in the progressive Berkeley of the past and is clearly retaliation against tenants for supporting the “Robin Hood” ballot measures to tax owners of multiple rental units on their profits under vacancy decontrol.

JOIN US TUESDAY at CITY COUNCIL – items are early on the agenda

RSVP to info at berkeley tenants dot org to learn the plan!

Council Item 17
http://www.ci.berkeley.ca.us/Clerk/City_Council/2014/12_Dec/City_Council__12-09-2014_-_Regular_Meeting_Agenda.aspx

Warring Street Appeal

Council Item 23
http://www.ci.berkeley.ca.us/Clerk/City_Council/2014/12_Dec/City_Council__12-09-2014_-_Regular_Meeting_Agenda.aspx

Because of the appeal of the Zoning Board ruling, tenants who lost almost everything in the 2012 fire at 2227 Dwight Way will be given relocation benefits and the units, once rebuilt, will remain under rent control. City Council voted to uphold the ZAB ruling, but “clarified” that previous tenants have the right to reoccupy the apartments at the previous rent-controlled rates. The units will remain under rent control, but if the old tenants don’t move back in, new rents can be set at market.

The appeal challenged the ZAB decision that the owners, the infamous Lakireddy family, would not have to pay the affordable housing mitigation fee. At issue was the possibility that the owners were at fault for the extend of the fire damage because smoke detectors and fire alarms may not have sounded, and the fire may have been caused by a faulty water heater.

Because of the appeal, the City Council also plans to clarify what constitutes “fault” when properties destroyed by fire are exempt from city fees like the affordable housing mitigation fee. In the appeal, it was suggested that city staff only looks for arson and does not consider negligence when determining fault.

Several BTU members wrote to the City Council in support of the appeal, and many tenant advocates spoke at the meeting.

According to Inside Bay Area, Council also voted to make rental housing inspection safety reports from the Dwight property public documents.

Inside Bay Area
http://www.insidebayarea.com/breaking-news/ci_24420395/berkeley-council-upholds-affordable-housing-exemption-rebuilt-apartments

Daily Californian
http://www.dailycal.org/2013/10/30/fire-damaged-building-retain-rent-controlled-status/

Berkeleyside
http://www.berkeleyside.com/2013/10/31/fire-damaged-berkeley-apartments-to-stay-rent-controlled/comment-page-1/

Daily Planet
http://berkeleydailyplanet.com/issue/2013-10-26/article/41579?headline=Berkeley-City-Council-to-Decide-on-Appeal-Brought-by-Former-Tenants-of-Fire-Ravaged-Building-with-History-of-Landlord-Negligence–By-Marcia-Poole

Tenants from the building on Dwight partly destroyed by fire are asking for support on October 29. Renters and friends from 2227 Dwight, owned by Lakireddy Bali Reddy, the famous Berkeley landlord who plead guilty to federal charges about immigration fraud, transporting a minor for sex and tax evasion, are appealing the Zoning Board ruling that allows the owner to rebuild without paying mitigation fees. At issue is whether the owner was at fault for the extent of the fire because the smoke alarms may have been disconnected.

This is from BTU member Luis Amezcua:

The tenants of 2227 Dwight Way, on March 8, 2013, lost most, if not all, their personal possessions due to the fire that happened that night. The Zoning Adjustments Board (ZAB) approved a use permit to reconstruct the building, but there are some uncertainties that need to be addressed before the reconstruction can begin. For clarification, the appeal does not object to the reconstruction to the building, since it would remove a blight from the neighborhood and provide needed housing.

The ZAB was not fully informed of 2227 Dwight, and were unsure as to whether the fee and other mitigations applied. Even with the testimony of one tenant about the fire and the owner’s negligence, Staff determined that, because the fire was not arson, it was accidental. Staff failed to fully analyze the issue of fault, and restricted themselves between two possibilities (either arson or accidental) when making their determination; however, there is evidence that suggests that the landlord is fault due to negligence. The fire report states that “the building’s fire alarm system was not sounding when fire units arrived at the scene and was not heard sounding by firefighters at any point during the incident”, and that “the full circumstances surrounding the failure of the fire alarm system are still under investigation”. Tenants testify that the landlord disabled the fire alarm system due to false alarms, and it is a factor that needs to be considered when determining fault. Furthermore, there is still pending litigation between some of the former tenants and the property owner, with the question of who’s at fault being key. A few of the former tenants received settlement payments from the property owners – something that wouldn’t happen if this was an open and shut case where the property owner clearly was not at fault.

The ZAB’s decision on 2227 Dwight Way encourages owners of older housing to not adequately maintain their properties by creating unsafe housing which result in fire incidents. When a building is burned down, the owner can put the new units at market rate, lowering the amount of affordable housing in Berkeley, and allowing owners to avoid the Affordable Housing Mitigation Fee. All we ask is that the Council either require affordable housing to be built on site, an in-lieu payment be made to the Housing Trust Fund, or staff thoroughly investigate the issue of fault and remand this project back to the Zoning Adjustments Board with sufficient information so that they can make the proper findings (including the determination of fault).

City Council hears the appeal on October 29 and the tenants are asking for support at the meeting.