Renter Relocation Assistance Economic Development & Regulatory - - PowerPoint PPT Presentation

CITY OF MINNEAPOLIS

Renter Relocation Assistance

Economic Development & Regulatory Services Committee

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December 4, 2019

Rationale + Findings

• Revocations occur when a dwelling fails to comply

with licensing standards, typically due to substandard building conditions with multiple serious and unresolved violations.

• When a property owner is held accountable for the

condition of their building, renters can get unexpectedly displaced through no fault of their

• wn.
• To obtain new housing, renters require time and

unanticipated funds, especially in Minneapolis’s tight rental market.

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Ordinance

• When a rental license has been revoked, denied, or

canceled, the landlord is responsible for relocation assistance to renters equal to 3 months of rent.

• Assistance serves as an additional safety net for

displaced renters.

• Benefits are given per unit and are not contingent

upon having a lease.

• The ordinance applies only to situations where a

renter is forced to vacate due to conditions that were within the property owner’s or manager’s control.

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Policy development process

• Early stakeholder engagement and input informed
• rdinance creation.
• Engagement meetings took place with:
• Property owners/managers
• Nonprofit organizations working with renters
• Rental Properties Advisory Committee
• Housing Advisory Committee
• Inspections staff
• Additionally, stakeholders were asked for feedback
• n draft ordinance language and the majority of

suggestions were incorporated into the final

• rdinance.

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Renter Relocation Assistance Ordinance

CONDEMNATION Send letter with intent to condemn to property

• wner hang + notice on the

building + inform renter about the ordinance. If in rent escrow, court will decide if renter gets rent escrow back. If escrow denied to renter, property

• wner required to pay.

If no rent escrow, property

• wner pays relocation

assistance. If property owner does not pay, City pays utilizing revolving fund and assesses property. RENTAL LICENSE DENIAL If renters already living at property, send letter discussing ordinance. REVOCATION Send revocation letter to property owner + hang notice on the building. Inform renter they can enter into rent escrow with LegalAid, ideally at the beginning of the revocation process.

Payment Options Rental License Action

Revocation Appeals Process Lasts 6 - 8 weeks + If revocation is upheld, property owner receives final revocation notice and renter gets order to vacate. *Relocation assistance equal to 3-months’ rent due within 7 days after order to vacate or final revocation notice, whichever is soonest.

Implementation + Enforcement

• Before considering revocation, cancelation, or denial,

Regulatory Services employs housing tools that aim to preserve renter stability including, but not limited to, administrative citations, voluntary conditions on rental licenses, Tenant Remedies Action (TRA’s), Emergency Tenant Remedies Actions (eTRA’s), the Emergency Repair Board.

• At the start of a revocation or after a denial or cancelation, City

will send letter to both renter and property owner informing them of ordinance requirements.

• Enforcement will be done on a complaint basis.
• Over the next 6 months, staff will examine additional code

changes and solidify internal policies.

• The ordinance is effective June 1, 2020.

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