Local Rental Housing Regulation Watch - 06

RHAWA is working hard to keep track of the ever-changing landscape of rental housing regulation in various jurisdictions across Washington State. Feedback from the membership regarding these issues, or any other issue not mentioned below, is welcomed, and encouraged. Member participation in local government affairs is vital to letting the government know RHAWA, rental housing providers and managers are an important group at both the State and local level because we provide a vital service to our communities. Contact Tim Hatley at (206) 905-0601 or at thatley@RHAwa.org with any questions. If you would like to get involved in any of our advocacy efforts, contact Daniel Bannon at (206) 905-0609 or at dbannon@RHAwa.org, or contact Corey Hjalseth at (206) 905-0603 or at chjalseth@RHAwa.org. 

Local governments will be quietly busy this summer as they tackle their required state mandate to update their comprehensive plans while not worrying about re-election since most all local elections are held in the odd years, while the major statewide and national elections are held in the even years.  Local governments will also be locked into their review and adoption of their annual or semi-annual budgets.  As has been well reported, most local governments – particularly large ones like King County and the City of Seattle face major budget shortfalls.  The politics of land use and financial revenues is what is being discussed in the back rooms.

So, what’s at stake during the budget review and the comprehensive plan updates?  Plenty if you are a renter, housing provider, or business owner.

With regards to comprehensive plans and land use, all jurisdictions must update their targets for new housing to meet state compliance.  Many will be required to modify their zoning codes to provide additional densities to meet those targets.  In some cities and neighborhoods that may become controversial.  Notably recently passed state Growth Management Laws require local jurisdictions to increase their density capacity.  This has caused some local communities angst while gaining much applause from growth activists such as Futurewise.

In terms of budget decisions, public safety, homelessness, and basic quality of life will be the priorities.  For renters and housing providers alike, a focus on public safety and ensuring adequate funding is available for police to quickly respond to threats or dangerous situations in neighborhoods to protect residents is something we all agree.

Another item to be aware of, the Housing Justice Project has been making a very aggressive outreach effort to local cities and counties to brief them on their services and lay the groundwork for seeking additional governmental funds to pay their attorneys.

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Everett

The May 1, 2024 meeting of the Health and Human Services Committee, members had a briefing and discussion on the local rental housing market and a discussion.  This briefing was accompanied by a PowerPoint presentation from HJP raising concerns about the increased eviction rate now that the pandemic area and the need for additional resources. Expect continued discussion by the council.

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Seattle

Watchers of the Seattle comprehensive plan review process have already shown a bit of spark to Mayor Bruce Harrell’s proposed draft 2024 comprehensive plan update called One Seattle.  For a bit of flavor, The Urbanist, a local online Transportation and Housing Watchdog noted in a May 5, 2024, article “Whether the proposal plans for enough housing growth is an open question up for debate. Seattle’s growth strategy anticipates adding about 200,000 residents and at least 100,000 homes over the next 20 years. This would put Seattle’s population on the cusp of one million. It sounds impressive — though neighboring Bellevue’s plan adds enough capacity for 152,000 homes in its proposed growth strategy even working less than half as much land — through Bellevue’s 20-year growth target is officially 35,000 homes.”  Other local blog pro-growth websites have echoed similar sentiments.  

With regards to issues of most direct concern to small housing providers, key city councilmembers have expressed interest in potentially modifying existing rental regulation codes to help stabilize the small housing providers.  While discussions are in the very early stages, anticipate a lively and robust discussion as the council considers revisions.

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Spokane

In a pivotal decision on April 30, 2024, Spokane City Council voted 5-2 in favor of Ordinance C36515, marking a significant shift in rental housing regulations. With Councilmen Bingle and Cathcart casting the dissenting votes, the ordinance is set to take effect on June 1, 2024. The ordinance introduces nuanced guidelines for rent increases, mandating a 120-day notice for increases equal to or less than 3%, while requiring a longer 180-day notice for increases exceeding 3%. Additionally, a 30-day notice is stipulated for subsidized tenancies where rent is based on specific circumstances. Notably, rental housing providers must include detailed information in the notice, such as the percentage of increase, the new rent amount, and the effective date. Failure to comply with these regulations may result in tenants seeking legal recourse within three years of the violation, potentially leading to penalties, compensatory damages, and injunctive relief.

Amidst these ongoing regulatory changes, the Rental Housing Association of Washington (RHAWA) has played a proactive role in shaping the discourse surrounding Ordinance C36515 and any future regulation that will impact the rental housing and real estate industries. RHAWA, serving as the chair of the Spokane Real Estate Coalition, has spearheaded efforts to advocate for policies that balance the needs of rental housing providers, tenants, and the broader community. RHAWA staff actively testified against the ordinance, engaging with the City Council to discuss potential negative outcomes based on similar legislation's implementation in other jurisdictions. Furthermore, RHAWA facilitated discussions among coalition members, providing essential materials and resources to empower stakeholders to articulate their concerns effectively. Through these collaborative efforts, RHAWA and its coalition partners are committed to promoting a vibrant and inclusive real estate landscape for Spokane and Eastern Washington.

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Tacoma

The City of Tacoma Charter Review Committee is proposing a series of substantive governance changes to potentially be presented to Tacoma voters this fall.  These proposed changes include: the City Council by 2027 would shrink from nine members to seven, including two at-large positions, Executive authority would be held by an elected mayor, who would team up with the council to hire a Chief Administrative Officer (CAO) . The CAO would then report to both the council and the mayor. Other cities such as Renton and Portland use the CAO form of governance.  The Council will likely make a decision to place these charter amendments on the November ballot before the end of summer.  

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Vancouver 

The Rental Habitability Action Plan was presented by the City of Vancouver's Economic Development Director at the April 29, 2024, City Council Meeting with a lead emphasis on creating a Rental Registration and Inspection Plan.  In addition, they laid the groundwork to create a tenant advocate advisory committee to develop additional new regulations to present to the city council by the end of the year.

Formal legal advice and review is recommended prior to selection and use of this information. RHAWA does not represent your selection or execution of this information as appropriate for your specific circumstance. The material contained and represented herein, although obtained from reliable sources, is not considered legal advice or to be used as a substitution for legal counsel.