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HomeMy WebLinkAbout3/5/2024 Item 8a, Price (SLO Rent Coalition) Wilbanks, Megan From:SLO Rent Coalition <slorentcoalition@gmail.com> Sent:Tuesday, March 5, 2024 1:55 PM To:E-mail Council Website Subject:March 5, 2024, Meeting: Agenda Item 8a This message is from an External Source. Use caution when deciding to open attachments, click links, or respond. Dear Mayor Stewart, Council Members, and Staff: Thank you for the opportunity to participate in the Housing Needs and Opportunities study session and offer comments and recommendations. The accessibility of safe, secure, and affordable housing at all levels is directly tied to our homelessness response. As Director Tway noted in her Staff Report, fair housing, affordability, and community stability are integrated into many of our Major City Goals. As a regulator, the City has an important role to play in securing the housing market, not only to remove barriers to construction, but also to erect guardrails for tenants to ensure they have homes that are safe, healthy, and fit to live in; are protected from no-fault evictions; and are not subjected to illegal rent increases in violation of the California Tenant Protection Act. I encourage the City to update and modernize our housing codes and provide more resources to Code Enforcement for Safe Housing and Neighborhood Wellness response. We understand that Director Tway is working on a memo regarding some policy options to protect tenants and help preserve and expand the stock of low-cost rental housing. When do you anticipate distributing that memo? The best way to prevent homelessness is to help keep people who are already housed in their homes. That can be challenging, especially in light of some key statistics cited in the Staff Report: the cost of housing in our community is more than 50% higher than the national average—fourth highest in the entire nation; average rent is now upwards of $2500 per month; the median rental household spends 38% of its income on housing; and nearly a third of our residents experience poverty. The risk of losing your home due to one unforeseen medical expense, one major car problem, or other unanticipated circumstances makes life extremely precarious for many of your constituents. One of the most demonstrably effective ways to do keep people housed is to ensure legal representation for any tenant in the City who has received an eviction notice or been served with an unlawful detainer lawsuit. Rates of eviction are significantly lower for tenants who are represented in housing court compared to those who are not, yet just 3% of tenants are represented in eviction cases, compared to over 80% of landlords. Providing representation is a cost-effective measure for the City when taking into account the resulting burdens on the healthcare, foster care, emergency shelter, education, and correctional systems. This might be accomplished in collaboration with the SLO Legal Assistance Foundation (SLOLAF), CRLA, San Luis Obispo College of Law, and similar agencies. Perhaps the existing SLO Solutions program could be expanded to include this service? At present, however, these agencies only serve a very small segment of the affected population and don’t have the resources or capacity to serve the vast majority of tenants in distress. It’s been noted that the City has met its RHNA target for above-moderate income housing. At this point, I urge you to signal to the development community that you’re not going to approve any more applications for above-moderate housing—end of story! If they want to build in the City, they need to build the kind of housing our residents need, not just what generates the most profit. 1 The City is already supporting transitional housing at Welcome Home Village and other properties, and we encourage you to push Welcome Home Village to completion. Moving forward, we urge you to put available funding into permanent housing, not transitional. We are very supportive of downpayment assistance and would like to see the City apply a racial equity screen to applicants to ensure the broadest possible representation when providing such assistance. We believe that programs funded and managed by local agencies are more effective and more equitable than those funded and managed by the developer/builder, with payments going into the revolving fund to enable program sustainability and expansion. Pairing this program with a “right of first offer” policy would enable the City to ensure that such subsidized homes remain available for the program when buyers elect to put them on the market. It’s also important to recognize the need to develop other funding sources besides developer fees to supplement the Affordable Housing Fund. Some of the sources you might consider to generate additional revenue that would support permanent supportive housing and BMR housing include:  Fees on residential and commercial buildings that sit vacant for extended periods. In addition to artificially suppressing the housing supply, vacant homes and businesses attract crime and blight and become an added burden on our public safety resources.  Transfer fees on high-end real estate sales, both residential and commercial. Here’s an informative article from the LA Times on transfer fees.  Additional fees for second homes and properties not occupied by owners. Although the City does not currently build or manage housing directly, that landscape is shifting and the City should be prepared to reconsider its role in that regard. With the anticipated passage of ACA 1 and the Justice for Renters Act in November, new avenues will open up to create BMR housing and institute more protections for tenants. I ask that you include support for the Justice for Renters Act and ACA 1 in your legislative platform, and begin preparing now to respond promptly to the passage of these measures. Thank you for the opportunity to offer this feedback. Barry Price SLO Rent Coalition -- To help protect your privacy, Microsoft Office prevented automatic download of this picture from the Internet. We are a Tenant-led organization dedicated to defending and advancing the right to safe, secure, and affordable housing for all in San Luis Obispo County. 2