June 2005
Court Strikes Down Local Ellis-Act Law
The Ellis Act allows property owners to evict tenants in apartment buildings as long as the building is not rented out for five years afterwards. Originally enacted in 1985, it was intended for long-term landlords who wanted to get out of the business of being a landlord. But local tenant groups hold that it’s mainly used by real-estate speculators who profit from selling the buildings later as tenancies-in-common. In January, the Board of Supervisors passed an ordinance that increased the amount a landlord must pay evictees from $4,500 per unit to $4,500 per tenant with a cap of $13,500 for a single unit. Recently, San Francisco Superior Court Judge James Warren ruled that the ordinance violated the spirit of the Ellis Act and was invalid.
SFPUC Water Rates Increase / Tenant Passthroughs
The San Francisco Public Utilities Commission adopted the 2005-06 water- and sewer-rate increases and a new water- and sewer-rate package. Beginning July 1, 2005, a San Francisco household with median water and sewer use will be hit with an increase of approximately 6% in their water/sewer bill. Those with higher than average water and sewer service will have a higher percentage rate increase, while those who conserve more will have a lower percentage. The Hetch Hetchy Water Bond 50/50 Passthrough (enacted April 30, 2003) allows property owners to passthrough 50% of their water rate increases to tenants. However, Janan New, executive director at the San Francisco Apartment Association, says, “The passthroughs were authorized by the voters, but the mechanism on how to do that hasn’t been decided yet—we’re working on it right now.”
Rent Board Commission Makeup: Tenants Union Plans More Reforms
In July, 2004, the Board of Supervisors killed a proposal put forth by tenant groups to restructure the Rent Board Commission. The proposal, which would have had to go before the voters, sought to expand the Rent Board from five to seven members, with proportional representation for tenants and landlords. Two-thirds of San Francisco residents are tenants and the board is now split evenly between tenants and landlords with one homeowner representative. Tenant activists are planning a more aggressive package of reforms, including the proposal for an elected board. The Board of Supervisors overwhelmingly rejected a previous plan to elect the Rent Board in 2003. “The Tenants Union is still talking about changing the structure of the Rent Board,” says Janan New. “We thought it went away–but it’s not, and our readership should be aware of that.”
MiniFestiva 2005
Join the festivities—a great chance for networking, marketing and getting in front of property owners! In the past, the event has brought out somewhere between 200-400 members. This year’s theme is tamales (hence the name change from MiniFest to MiniFestiva) and businesses can choose from four sponsorship types—from a $200 regular participant level to the $3,000 “Whole Enchilada” package (with premier stage space, co-branding, promotional material and signage, etc.).
When: Monday, September 19, 2005, 6 p.m.
Where: Fort Mason Center, Building A, San Francisco
Don’t miss out on this great opportunity! Tables will be reserved on a first-come, first-serve basis. Call Jennifer Finlay, MiniFestiva Coordinator, at 415-255-2288 ext. 10 to reserve a table or for more information.
Correction to Graffiti Abatement Article
Tim Falvey, President of Hanford • Freund, pointed out that the article “City Tags Property Owners in Graffiti Abatement” in our February issue had a minor error. Property owners are not required to take post-graffiti removal photos and submit them as proof to the DPW as the article stated. Actually, the DPW is supposed to take photos of the graffiti and must provide them to property owners upon request. Property owners have no obligation to take photos and submit them—they only have to clean the building and then it’s up to the city to ascertain whether it has been cleaned or not.