Inclusionary Housing Laws Successfully Appealed
Recently, a California Appellate court ruled that a Los Angeles inclusionary housing law was preempted by the Costa-Hawkins Rental Housing Act. As a result of this decision, inclusionary housing laws across the state could be repealed.
Under these laws, local approval of a development project is conditioned on the developer agreeing to include a certain number of affordable units. Some of these laws, like the Los Angeles law, allow the developer to pay an “in lieu” fee so that the city can finance the construction of affordable units elsewhere—if the developer doesn’t want to include them in the proposed project. San Francisco has a similar policy.
In the Los Angeles case, a low-income residential hotel previously existed at the site to be developed. The city, under its ordinance, imposed a condition when it approved the proposed development requiring that the developer either agree to provide the specified number of affordable units in the project, or pay the in-lieu fee. The developer sued, claiming the requirements were invalid under California’s Costa Hawkins Rental Housing Act.
A Superior Court judge ruled in the developer’s favor in December 2007. The city appealed the ruling, and recently the Second Circuit Court of Appeal also ruled in the developer’s favor. While the December ruling applied only to the developer’s specific case, the appellate court ruling is precedent setting. That means the developer’s victory could open the door to further affordable housing challenges.
Yehaw! It’s Time for the SFAA Trade Show
SFAA’s annual trade show will be held September 21, 2009, at Fort Mason. The “Wild, Wild West” event runs from 4:00 p.m. to 7:30 p.m. and will take the place of the monthly membership meeting. An enlightening bedbug class will kick off the program, and professionals who provide products and services to property owners will be on hand to talk with all attendees. This western-themed event is open to the general public and is free.
SFAA is still looking for sponsors for its lively trade show. Sponsorship is the simplest way to distribute information about your business to property owners. Participation is important for retaining current customers and showing your business off to potential new clients. Sponsorship is available at all levels, from the Lone Ranger level ($500 for booth space and signage at the event) to the Big Guns ($1,000 for a corner table, promotional flyers, signage and your company name listed on the cover of a future issue of SF Apartment Magazine). For more information, please contact Vanessa Khaleel at 415-255-2288 x16 or vanessa@sfaa.org or check out pages 23 and 49.
Luncheon Speaker Presents the Latest on Identity Theft Protections
Every other month, SFAA provides an opportunity for the city’s property managers to get together for an elegant luncheon at Absinthe in Hayes Valley. The event includes not only a delicious three-course lunch and the opportunity to network with other property managers but also a rotating group of speakers who talk about the latest changes and updates in the property management and rental housing industry.
At the most recent luncheon, Kathy Parsons of CBA gave attendees an in-depth look at how credit screenings will be affected by the so-called “red flag rules,” which went into effect on August 10, 2009. The rules are a product of the Fair and Accurate Credit Transaction Act. The 2003 act was created to fight fraud and identity theft, and requires many businesses, including rental housing providers, to implement a written Identity Theft Prevention Program to detect the warning signs or “red flags” of identity theft in their day-to-day operations. “The goal is to have the program in place, educate employees, and identify a manager and a trainer—which can be the same person—as well as who will log red flags into a log book,” Parsons explained.
Some property managers at the event expressed frustration that a “red flag” could be something as common as an address mismatch, but Parsons explained that the red flag only needs to be logged if there is cause for concern. If you reasonably believe you have the right person, you don’t need to worry. “Some of you may go your lifetime without getting a true hit,” she counseled. Parsons offered to do a more in-depth class on the new rules for SFAA members to further explain the details of the FACT Act.
For more information on the Property Manager’s Luncheon or to attend the next one on September 17, contact SFAA Deputy Director Vanessa Khaleel at vanessa@sfaa.org or 415-255-2288.
Let the Voting Begin
SFAA is now accepting nominations for the 2009 Trophy Awards. The Trophy Awards will honor the best of San Francisco’s rental housing community on November 19, 2009, at The Palace Hotel.
Nominate your favorite firms, employees and properties for any of the following Trophy Award categories: Independent Owner, Property Management Firm, General Manager, Resident Manager, Green Building, Assistant Manager, Residential Amenities, Leasing Consultant, Repositioned Property, Administrative Professional, New Development, Maintenance Manager, Industry Partner and Maintenance Technician.
Nominate your favorite Business, Company or Property here, or nominate your favorite Individual here. For more information about the 2009 Trophy Awards, contact Vanessa Khaleel at 415-255-2288 x16 or vanessa@sfaa.org.