File #: 2016-3060 (90 minutes)   
Type: Regular Agenda Item
Body: City Council
On agenda: 7/19/2016
Title: Recommendation to Accept Certificate of Sufficiency for an Initiative Entitled A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies; Adoption of Resolution Calling an Election in the City of Alameda on November 8, 2016, for the Purpose of Submitting to the Electors an Initiative Entitled A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies; Provide Direction to Staff on Whether the City Council Wants to Place a City Sponsored Charter Amendment on the November 8, 2016 Ballot; and Consider Adoption of Resolution Revising the 2016 Regular City Council Meeting Dates to Add August 8, 2016. (City Clerk 2220)
Attachments: 1. Exhibit 1 - Notice of Intent and Full Text of Measure, 2. Exhibit 2 - Title and Summary, 3. Exhibit 3 - Certificate of Sufficiency, 4. Resolution - Calling Election, 5. REVISED Resolution - Calling Election, 6. Resolution - Revising Council Meeting Dates, 7. Correspondence, 8. Correspondence2, 9. Correspondence3, 10. Correspondence4

Title

Recommendation to Accept Certificate of Sufficiency for an Initiative Entitled A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies;

 

Adoption of Resolution Calling an Election in the City of Alameda on November 8, 2016, for the Purpose of Submitting to the Electors an Initiative Entitled A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies; 

 

Provide Direction to Staff on Whether the City Council Wants to Place a City Sponsored Charter Amendment on the November 8, 2016 Ballot; and

 

Consider Adoption of Resolution Revising the 2016 Regular City Council Meeting Dates to Add August 8, 2016.  (City Clerk 2220)

 

Body

 

To: Honorable Mayor and Members of the City Council

 

From: Lara Weisiger, City Clerk

 

Re: Recommendation to Accept Certificate of Sufficiency for an Initiative Entitled A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies;

 

Adoption of Resolution Calling an Election in the City of Alameda on November 8, 2016, for the Purpose of Submitting to the Electors an Initiative Entitled A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies; 

 

Provide Direction to Staff on Whether the City Council Wants to Place a City Sponsored Charter Amendment on the November 8, 2016 Ballot; and

 

Consider Adoption of Resolution Revising the 2016 Regular City Council Meeting Dates to Add August 8, 2016

 

BACKGROUND

 

A Notice of Intent to Circulate Petition to amend the Alameda City Charter was filed in the Office of the City Clerk on February 29, 2016.  The Notice of Intent and text of the measure of the Initiative titled: A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies (Renters’ Initiative) is attached (Exhibit 1).  The City Attorney’s Ballot Title and Summary (Exhibit 2) was transmitted to the proponents on March 14, 2015.  On May 24, 2016, the Renters’ Petition was filed with the City Clerk and transmitted to the Registrar of Voters to examine signatures.  On July 6, 2016, based on a random sample examination pursuant to Elections Code Section 9266, the Registrar of Voters determined that the Renters’ Initiative contains sufficient valid signatures to qualify for placement on the ballot.  Elections Code Section 9266 requires the attached Certificate of Sufficiency (Exhibit 3) to be presented at the next regular City Council meeting. 

 

In addition to the Renters’ Initiative, a second Initiative titled: A Proposed Charter Amendment to Prohibit the City from Imposing Restrictions on the Price for which Real Property may be Rented or Sold (Landlords’ Initiative) was submitted on June 14, 2016.  The County Registrar of Voters is currently reviewing the petitions for the Landlords’ Initiative to determine if the required number of signatures has been obtained.  The random sample check deadline for the Landlords’ Initiative is July 27, 2016.  If the Landlords’ Initiative is found sufficient, the Initiative could be placed on the November 2016 ballot, but to accomplish that, the Council would need to accept the Certificate of Sufficiency at a regular meeting.  Accordingly, to place the Landlords’ Initiative on the November 2016 ballot, the Council would need to add a regular meeting on August 8 since August 12 is the last day the City can transmit a measure to the Registrar to have a measure included on the November ballot.

 

At its July 5 meeting, the Council: (a) accepted the comparison of the City’s Rent Review, Rent Stabilization and Limitations on Evictions Ordinance (City Ordinance), the Renters’ Initiative and the Landlords’ Initiative; (b) voted that the Council as a whole or as a Council majority would not draft an argument against (or for) the Renters’ Initiative measure; (c) discussed placing a City Council sponsored measure on the November 8th ballot; and (d) directed staff to return with options concerning a City Council sponsored measure. Additionally, Council agreed to consider adding a regular meeting in August for the reasons set forth above.

 

DISCUSSION

 

Placing Renters’ Initiative on the November 8, 2016 Ballot

 

Pursuant to Elections Code Sections 1201, 1301, 1415 and 9255, the City Council is required to submit the Renters’ Initiative to the voters at the next general municipal election that occurs no sooner than 88 days after the date calling the election. 

 

State election law requires that the ballot pamphlet include a ballot question of no more than 75 words. The City Council is to approve the wording of the ballot question. The proposed question is:

 

Shall the Alameda City Charter be amended to (a) limit annual residential rent increases for certain units to 65% of the Consumer Price Index, (b) create an elected Rent Control Board separate from the City with authority to hire staff, impose fees on landlords to fund the program and assess penalties, (c) limit the reasons for terminating tenancies and (d) require rental property owners to pay relocation fees to tenants when terminating certain tenancies?

 

Although State election law allows the City Council to determine its interest in authoring an argument, the City Council voted at its July 5, 2016 meeting that neither the Council as a whole nor as a Council majority would author an argument against (or for) the Renters’ Initiative. However, individual Councilmembers may choose to author and sign such argument(s) for or against the Initiative identifying him/herself a member of the City Council. 

 

Direct arguments for or against the Renters’ Initiative are to be submitted to the City Clerk’s office by 6:00 p.m. on Tuesday, August 2, 2016, are limited to 300 words and can have no more than five signers.  Arguments must be accompanied by the printed name(s) and signature(s) of the author(s) submitting it, or if submitted on behalf of an organization, the name of the organization, and the printed name and signature of at least one of its principal officers who is the author of the argument.  (A Declaration of Author(s) form is available from the City Clerk’s office.) 

 

The resolution provides that rebuttal arguments against the Renters’ Initiative can be filed.  Rebuttals are to be submitted by 6:00 p.m. on August 11, 2016, are limited to 250 words and can have no more than five signers. 

 

Lastly, the resolution directs the City Attorney to prepare an impartial analysis not exceeding 500 words in length to be printed in the ballot. 

 

Placing Both Initiatives for Consideration at the Same Election

 

As noted above, the Landlords’ Initiative has not yet been qualified for placement on the ballot.  The Registrar has until July 27, 2016, to confirm, using the random sample method, that there are a sufficient number of signatures to qualify the Initiative for the ballot.  Based on the Council’s current regular meeting schedule, July 19 is its last meeting until September 6, 2016.  Once an initiative is found sufficient, the matter must go on the next regular City Council meeting and the Council calls the election.  However, for an initiative to be considered for the November 8, 2016 ballot, the Council must certify the sufficiency of the petitions and call the election before August 12.  Accordingly, the Council should discuss whether it wishes to revise its regular meeting schedule to add a regular meeting on August 8, in order to have the opportunity to place the Landlords’ Initiative on the November ballot should it qualify based on the random sample method.

 

Staff believes there are merits to both Initiatives being considered at the same election. First, it would provide the voters with clear choices: (a) vote no on both Initiatives and keep the City Ordinance in full force and effect; (b) vote for the Renters’ Initiative if stricter rent control is favored, or (c) vote for the Landlords’ Initiative if no rent control is favored. If both Initiatives are on the same ballot and both were to pass, the Landlords’ Initiative provides that if it receives a greater number of affirmative votes, it would control in its entirety and any other measure dealing with rent control would be rendered void and without any legal effect.  Moreover, if both Initiatives were on the same ballot and both were to pass but the Renters’ Initiative receives a greater number of affirmative votes, the rent control (and other) provisions of the Renters’ Initiative would take effect over the Landlords’ Initiative because the Renters’ Initiative imposes rent control (on certain units) but the Landlords’ Initiative does not. 

 

Second, if only the Renters' Initiative were on the November 2016 ballot and it passed, it not only creates a whole new set of rules and regulations than currently exists as to rent control, but it also calls for an election of a Rent Board within 90 days, in March 2017. If the Landlords' Initiative were on the March 2017 ballot as well and passed, it would presumably negate the primary reason for the Rent Board and other rent control provisions of the Renters' Initiative, but leave intact other provisions of the Renters' Initiative that are not directly related to rent control, such as the limitations on the grounds for terminating a tenancy and the payment of relocation benefits when certain tenancies are terminated.  This situation could cause more confusion to the entire rental community that staff is currently trying to manage with the assistance of the Housing Authority.

 

Third, the situation in the paragraph above would be more problematic if the Landlords' Initiative did not appear on the ballot until November 2018 and was then passed, as the community would have had in place for nearly two years a complex rent control program contemplated by the Renters' Initiative, including the elected Rent Board and staff that the Board had hired, thereby exacerbating the issues described in the paragraph above.

 

Options for a City Measure

 

On July 5, the City Council voted to direct staff to provide options for the City Council to place a City Council sponsored Charter Amendment on the ballot.  Staff is reviewing options for Council consideration.  One option would be to add the provisions created by Ordinance 3148 into the City Charter.  This would allow voters an option to endorse the City’s program which has already been fully vetted and established.  Staff is reviewing others options for a City Council sponsored Charter Amendment that would address residential rents in the City but needs additional time to flesh these issues out.  Staff will be prepared to discuss these options at the July 19 meeting and if the Council adds a regular meeting in August, such options could be drafted and considered at that time.

 

FINANCIAL IMPACT

 

Since the City will be conducting a General Municipal Election on November 8, 2016, the cost of placing the Renters’ Initiative on the ballot is approximately $8,000 for translation, typesetting, and printing the measure.  Any additional measures placed on the ballot would also cost approximately $8,000.  Additionally, the cost of an election in March 2017 could range from $540,000 to $675,000, which was not included in the Fiscal Year 2016-17 General Fund Budget.

 

MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE

 

The Renters’ Initiative adds Article 29 to City Charter.  Council meetings are established pursuant to Charter Section 3-7(B).

 

ENVIRONMENTAL REVIEW

 

This action is not a project and is exempt from the California Environmental Quality Act (CEQA) pursuant to section 15378(b) (3) of CEQA Guidelines, as it concerns the submittal of a proposal to the Voters of the City.

 

RECOMMENDATION

 

1) Accept Certificate of Sufficiency; 2) adopt a resolution calling an election in the City of Alameda on November 8, 2016, for the purpose of submitting to the electors an Initiative entitled A Proposed Charter Amendment to Establish Rent Control, a Rent Control Board, and Regulate Termination of Tenancies; 3) provide direction on placing a City Council sponsored Charter Amendment on the November ballot; and 4) consider adopting a resolution revising the 2016 regular City Council meeting dates to add August 8, 2016.

 

Respectfully submitted,

Lara Weisiger, City Clerk

 

Financial Impact Section Reviewed,

Elena Adair, Finance Director

 

Exhibits: 

1.                     Notice of Intent to Circulate Petition and Text of Measure

2.                     Ballot Title and Summary

3.                     Certificate of Sufficiency

 

cc:                     Initiative Proponents