Measure U1 Debate Continued
The Berkeley City Council carried items about spending Measure U1 money to their July 25 meeting. See Items 48, 50 and 51 on that agenda.
http://www.ci.berkeley.ca.us/Clerk/City_Council/City_Council__Agenda_Index.aspx

The State of Berkeley
Mayor Jesse Arreguin is a renter who rose to prominence as strong voice for tenants when he chaired Berkeley’s Rent Board and while he represented the downtown area on City Council. His first State of the City address highlighted his dedication to affordable housing and antidisplacement.

He said the city needs to fight the ravages of gentrification, strengthen defenses against eviction of tenants, work to eliminate the state Costa-Hawkins Rental Housing Act, and do more to protect undocumented immigrants from deportation.”
http://www.eastbaytimes.com/2017/07/11/mayors-address-cites-berkeleys-disparities-role-in-national-politics/

“Arreguín said he is also proud of the $650,000 included in the new city budget for eviction defense and housing subsidies — and of the plan to build affordable and permanent supportive housing, along with more shelter beds and transitional units for veterans, at Berkeley Way. The council voted unanimously to prioritize that ambitious plan in June, though its success depends on securing more funding for the $90 million project.”
http://www.berkeleyside.com/2017/07/11/mayor-jesse-arreguin-pledges-re-earn-berkeleys-progressive-reputation-city-address/

BCA Progressive Town Hall Sunday July 15
Progressive Town Meeting with many City Council members – sponsored by our good friends at Berkeley Citizens Action: Sunday July 16, 3-5pm at the South Berkeley Senior Center, 2939 Ellis Street.

Berkeley Rent Control – in 1942!
Bay Area housing rent control went into effect July 1, 1942, and the first day of required registration was July 15. Anyone who rented an apartment, house, or room had to register and list the rents. “No landlord may now charge a rent higher than that prevailing on March 1, 1942”, the Gazette noted on July 15. “Any tenant who for personal reasons, privately agrees to pay more than the legal rate is equally guilty of evading the law.” Six stations had been set up to receive registration forms.
http://www.eastbaytimes.com/2017/07/10/berkeley-a-look-back-wartime-introduces-city-to-rent-control/

On Student Housing
“The old dorms, forced by state policy to be financially self-sustaining, are already insanely expensive. And now, with UC Berkeley pitching itself to wealthy out-of-state students who pay high fees , with an emphasis on the privileged offspring of well-off foreigners, even pricier alternatives are on offer, under the rubric of “Affiliated Properties.” What does this mean? If you click under this heading on the UC Housing website, you see these three buildings: Garden Village Apartments; New Sequoia Apartments; Panoramic Residences. The first two were originally permitted by the city of Berkeley as tax-paying private rental development, the kind marketed as “luxury apartments. Presumably the third, developed in San Francisco by Patrick Kennedy, who made his original fortune in Berkeley, is in the same category. Now, however, they seem to have been subsumed into UCB’s housing schemes. Are they consequently off the tax rolls?”
http://www.berkeleydailyplanet.com/issue/2017-07-07/article/45868?headline=UC-expansion-engulfs-Berkeley–Becky-O-Malley

Op Ed on Berkeley Development Policies
“It is not true that asking developers to pay higher fees will kill their incentive to build. Just look at all the cranes out there.”
http://www.berkeleyside.com/2017/06/13/opinion-berkeley-needs-new-housing-policy-works-many-not-just/

New York Times on Berkeley Housing Crisis
The New York paper interviewed Mayor Arreguin.
https://www.nytimes.com/2017/06/15/us/california-today-the-housing-crisis-hits-berkeley.html

Mother Jones Mocks Berkeley Housing Policies
http://www.motherjones.com/environment/2017/06/climate-change-housing-berkeley/

In Other Places 

San Mateo County Study on Displacement
If you know me, you know I love data. Data from this new study of evictions and displacement in San Mateo County could help Berkeley leaders make the case for more funding for enforcement of eviction protections and rental assistance as a means of homelessness prevention.
“The surveys found that of the people who reported being displaced in the last two years, one in three had experienced homelessness or marginal housing (defined as living in a motel or hotel, renting a garage, or “couch-surfing”); only one in five was able to find a new place to live within a mile of their former residence; and one in three left the county. Several reported that their families had to split up to find housing.”

The study also shows the environmental impacts of the housing emergency.
”Those who did leave the county saw their one-way commute time increase by an average of 47 minutes and commute cost rise by $390 a month for the main household earner.”
https://almanacnews.com/news/2017/06/22/study-displaced-residents-face-many-other-adverse-effects

 

UC Berkeley Institute of Governmental Studies Displacement Report
http://www.urbandisplacement.org/sites/default/files/images/impacts_of_displacement_in_san_mateo_county.pdf

 

Oakland Wants Berkeley’s Protections
Jonah Strauss of the Oakland Warehouse Coalition said that the referral of the owner move-in exemption to the rent board is a good move. He said Oakland should adopt strong rules like those in Berkeley, and that if a landlord does carry out an owner move-in eviction they should be required to pay a “substantial” amount to help their tenants relocate.”
https://www.eastbayexpress.com/SevenDays/archives/2017/07/11/oakland-looks-to-close-owner-move-in-and-occupancy-loopholes-reduce-evictions-and-harmful-rent-increases

Fremont Wants Rent Control
“The tenants are really in an unleveraged position,” Bonaccorsi said. “They don’t have equal bargaining power. There is a lot of fear, there is a lot of anxiety, there is a lot of stress, there’s a lot of families that have been displaced.”
http://www.eastbaytimes.com/2017/07/12/fremont-isnt-ready-for-rent-control-council-decides/

San Francisco Wants Vacancy Tax
https://sf.curbed.com/2017/7/12/15961486/sf-tax-landlord-homes-apartments-vacant 

Los Angeles Short Term Rentals Debate
https://patch.com/california/studiocity/airbnb-supporters-flood-city-hall-fight-limits-rentals

Airbnb to Collect Taxes for Puerto Rico
https://www.usnews.com/news/best-states/california/articles/2017-06-22/airbnb-to-collect-room-tax-in-puerto-rico-for-government

Airbnb Still Fighting Paris 
https://www.reuters.com/article/us-airbnb-hotels-reaction-idUSKBN19R2TT

After a year of public hearings and debate, Berkeley Mayor Tom Bates is proposing to change the Short Term Rentals law which Berkeley City Council passed on May 31. Every law in Berkeley must be voted on twice, and in between vote one and vote two, Berkeley leaders are appearing to waiver.

Berkeley City Council votes Thursday, July 7th at a special 5:30pm meeting.

Bates has introduced a proposed contract with Airbnb to collect tax for Berkeley if Berkeley does not compel Airbnb to share any data that might allow our city to enforce the law and protect our housing supply. This contract comes at the same time that Oakland has cut a similar deal, but while San Francisco is increasing fines and being sued by the corporate platform.

The new law is already a compromise which allows residents to rent their homes, or rooms in their homes, while continuing the (as yet unenforced) ban on rentals of empty homes. The reason that rentals of less than 14 days have been against the law in Berkeley is because such rentals allow an owner to get around tenant protections and rent control.

It is important that Berkeley Tenants who have not written to Council since May 31 send them a letter asking that they approve the second reading of the law which has gone through a long public process already. It is important that everyone read this ridiculous contract with Airbnb and let the Mayor know that he can’t give away our hard-won tenants rights as one of his last acts in office!

WE CANNOT ALLOW HOUSING TO BE CONVERTED TO HOTEL ROOMS

WE MUST REQUIRE LICENSE NUMBERS ON ADVERTISING

BERKELEY SHOULD NEVER SIGN A CONTRACT WITH AUDIT RESTRICTIONS

Proposed Berkeley Contract With Airbnb http://www.eastbayexpress.com/SevenDays/archives/2016/06/29/will-berkeley-cut-a-deal-with-airbnb-or-vote-to-regulate-short-term-rentals

The Contract Offer:
– Stays over 29 days in duration will not be subject to tax
– Berkeley waives all taxes not paid before contract date
– The Department of Finance will not directly or indirectly audit any Host
– Airbnb will not provide personally identifiable information regarding its Hosts
– Berkeley can audit Airbnb no more frequently than every four years
2016 STRs air bnb contract

NY TIMES: SF and NYC Crack Down on Illegal Hotels
Airbnb sued San Francisco over a unanimous decision on June 7 by the city’s Board of Supervisors to fine the company $1,000 a day for every unregistered host on its service. If Airbnb does not comply, it could face misdemeanor charges. The suit follows a bipartisan move by New York lawmakers who voted this month to heavily fine anyone who uses Airbnb to rent a whole apartment for fewer than 30 days, a practice that has been illegal in the state since 2010.”
http://mobile.nytimes.com/2016/06/29/technology/airbnb-sues-san-francisco-over-a-law-it-had-helped-pass.html?referer=https://www.google.com/

Airbnb Sues San Francisco
The largest corporation making money off illegal hotels is suing the City of SF over their new policy of fining the hosting platform for listing illegal rentals.
http://fortune.com/2016/06/27/airbnb-san-francisco-lawsuit/

SF WANTED Posters for Illegal Hotel Operators
http://www.nbcbayarea.com/news/local/Wanted-Flyers-Across-Chinatown-Accuse-12-San-Francisco-Residents-of-Airbnbing-Our-Community-384774561.html

LA City Attorney Files Suit Over Illegal Hotels
“Given that shortage of affordable housing, illegally converting rental units to hotels or short-rentals has got to stop,” City Atty. Mike Feuer said at a news conference Monday. “My office is going to intervene to preserve rent-stabilized units and restore those units when we allege they’ve been unlawfully taken off the market.”
http://www.latimes.com/local/california/la-me-ln-landlords-illegal-rentals-20160620-snap-story.html

City Council continues discussion on #1 (Airbnb) on June 9.

 AirBnB in BerkeleyAirBnB in Berkeley

1) CHANGE Council Item 21: Short-Term Rental Regulations:
This Tuesday, Berkeley City Council will outline their directive for legalizing short-term rentals in Berkeley. Right now, rentals of less than 14 days are prohibited, but over 1,000 such illegal rentals are listed online.

Mayor Bates, who co-sponsored the item with new Councilperson Droste, assured Rent Board Commissioners at Thursday’s 4×4 Committee that his proposal will protect rent controlled units by continuing the ban on short-term rentals in unoccupied housing. The Mayor seemed surprised when Rent Board folks told him that about 400 rent controlled units were currently used only for vacation rentals, and that several large landlords are renting multiple units on Airbnb.

However, the Mayor and Councilman Capitelli were noncommittal when the Commissioners asked to be included in the Council referral and pointed out that proposals such as requiring the owner’s permission before a tenant rents their unit on Airbnb may conflict with state and local laws.

Councilman Arreguin and Rent Board Commissioners also raised the importance of enforcing the existing law and considering enforcement when creating the new law.

BTU is still formatting our position on the issue, which must have at least one public hearing at the Planning Commission before it becomes law, but we stand with the Rent Board in believing that short-term rentals are taking away needed housing.

We call for continuation of the ban on renting whole, empty apartments only for short stays. We need those homes for Berkeley students, Berkeley families, and Berkeley workers! We call for the elected Rent Board to be included in the process of making the new laws, and we call for enforcement of the existing laws when large landlords rent multiple units only for short term guests.

2) SUPPORT Council Item 19, State Short-Term Rentals Regulation:
The Council will also vote regarding support for a state bill which would compel hosting platforms like Home Away and Airbnb to share information with local governments. California Senate Bill 593, by McGuire and Leno, is essential to regulating vacation rentals.

3) SUPPORT Council Item 25: Amend the Housing Element
Councilmember Arreguin has introduced changes to the Housing Element that BTU members and friends called for at the Planning Commission in February, but City Council left out of the draft they approved. The proposal returns essential language about Berkeley values that was taken out of the Housing Element, such as, “Ensure rent control and/or other tenant protections for all tenants, including vulnerable populations,” and “All Berkeley residents should have access to decent housing at a range of prices and rents in pleasant neighborhoods that meet standards of quality.”
Most importantly, Arreguin’s amendments put back the priority that we should protect rent controlled housing from demolition and enforce those laws!

4) CHANGE Council Item 35, Community Benefits from Tall Buildings
Downtown developers must contribute more toward affordable housing.

TO LEARN MORE:

City Council Agenda
http://www.ci.berkeley.ca.us/Clerk/City_Council/2015/05_May/City_Council__05-26-2015_-_Regular_Meeting_Agenda.aspx

Rent Board on Short Term Rentals, Item 21:
“A summary of our major Rent Board concerns are as follows:
1) Loss of Housing: We hope that any Council policy recommendations to the Housing Advisory Commission and Planning Commission will focus on ensuring that whole units with kitchens that are not occupied by the host most of the year will remain available for permanent residents. Owners of multiple rental units in Berkeley should not be allowed to go into the hotel business.
2) Enforcement: Regulations must provide a workable enforcement mechanism with adequate funding and staffing. Penalties and remedies should be clear.
3) Tenants Rights: Berkeley’s new regulations must preserve rights tenants currently hold, such as the right to quiet enjoyment of their home as well as the right to sublet if they already hold that privilege. Council should include the Rent Board for input in their referral.”
Letter from the Rent Board regarding Short-Term Rentals

Text of the SB593 for Item 19: https://legiscan.com/CA/text/SB593/2015

Also on Item 19, SB 593: “This legislation is simple…It makes online vacation rental businesses follow local laws just like the rest of us.”  With concerns “about loud parties, traffic and other problems,” on the rise, this move could not come at a better time….If passed, Senate Bill 593 will help ensure short-term online rental companies follow some simple rules and regulations to preserve our neighborhoods, ensure consumer safety, and protect the well-being of longtime residents in communities across California.”
http://www.overnightoversight.com/ca-legislation-addresses-short-term-online-rental-concerns/

On Item 25, the Housing Element: https://www.berkeleytenants.org/?p=1195

On Item 35, Community Benefits from Downtown Buildings:
http://berkeleydailyplanet.com/issue/2015-05-22/article/43322?headline=Significant-Community-Benefits-an-open-letter-to-the-Berkeley-City-Council

In Other News

Thanks to BTU Members Who Sent in Most of These Stories

Windfall Profits Tax On High Rents (Fund Affordable Housing)
The only way off the treadmill is to build or buy housing that will be owned by non-profit organizations, land trusts and limited-equity cooperatives. And that takes money, a lot of money. So let’s tax the rising rents that increase the need for affordable housing in the first place.”
http://www.berkeleydailyplanet.com/issue/2015-05-22/article/43326?headline=Fund-Affordable-Housing-with-Windfall-Profits-Tax-on-Rising-Rents-News-Analysis—Stephen-Barton

Berkeley Development: Call for Moratorium on Luxury Construction
“…while the City is fully caught up and already ahead on its higher income units, we haven’t even made our quota for moderate or lower income units for 2006 yet. This makes the big push to build block after block of high rent homes and apartments unfathomable.”
http://www.berkeleydailyplanet.com/issue/2015-05-15/article/43314?headline=Berkeley-Needs-a-Moratorium-on-High-Rent-Units–Rhiannon 

California: Rents Go Up Fast, Income Goes Up Slow
“Since the end of 2010, rental prices have surged at nearly twice the pace of average hourly wages, according to data from the real estate firm Zillow and the Labor Department.
More than 30 percent of renters in California, Florida, New Jersey and New York state devote at least half their incomes to housing and utilities, according to the analysis.”
http://m.sfexaminer.com/sanfrancisco/1-in-4-us-renters-must-use-half-their-pay-for-housing-costs/Content?oid=2928601

California: Wall Street Invests in Single-Family Home Rentals
“California tenants renting single-family homes from the three biggest Wall Street landlords in the state, Blackstone/Invitation Homes, Waypoint Homes, and Colony American Homes, pay higher rents than their neighbors and face challenges getting repairs,” according to a new research report by Tenants Together.
http://org2.salsalabs.com/o/5247/p/salsa/web/common/public/signup?signup_page_KEY=9191

SF: Mission Renters in NY Times
“When a family in a rent-controlled apartment leaves or is forced out, the rent is jacked up to market rate, apartments become condominiums or are advertised by the landlord on Airbnb as a good place for short-term visits.”
http://mobile.nytimes.com/2015/05/23/us/high-rents-elbow-latinos-from-san-franciscos-mission-district.html

City of Alameda Considers Eviction Protections
“Advocates for local renters, who make up about half the Island’s population, have pressed for rent control and other protections. But at least three members of the council have questioned whether rent control would be an effective solution to renters’ woes, or whether the city should get involved in rents issues at all.”
http://thealamedan.org/news/rents-blog-just-cause-eviction

San Jose Renters Hold Rally
http://kron4.com/2015/05/13/activists-hold-rally-in-support-of-san-jose-renter-protections/

Lafayette Considers Rent Control or Rent Freeze May 26
“…City Council acknowledged that high rents are a problem all over the Bay Area, but also expressed sympathy for the renters, saying that 90% increases were “crazy” and “beyond the pale.”   In the end, the Council asked for more information from small towns similar to Lafayette that have adopted rent control or stabilization policies (such as Los Gatos).  It also asked the City Attorney to investigate whether the City could impose a temporary moratorium on rent increases.”
http://lovelafayette.org/Home/Components/News/News/966/18?backlist=%2Fhome