Doorbells

Redistricting Referendum: Tuesday February 25
The referendum passed, with over 150 volunteers collecting 7,500 signatures over the holidays. Now, the Referendum Coalition needs support at the City Council meeting Tuesday February 25. If you can’t attend, please email Clerk@cityofberkeley.info to support ITEM 21b: “Choose an Alternate Redistricting Map, not a Special Election.” (A Special Election is recommended in Item 21a from the City Manager.)
Item 21b:
http://www.ci.berkeley.ca.us/Clerk/City_Council/2014/02_Feb/City_Council__02-25-2014_-_Regular_Meeting_Agenda.aspx
Referendum in the news:
http://blog.sfgate.com/stew/2014/02/10/berkeley-voters-overturn-gerrymandering/

Demolition Ordinance
The City Council seems to have put bad changes to the demo ordinance on the back burner. However, some buildings may still have Zoning hearings under the old rules, which include an anti-tenant interpretation by the City Attorney. We will keep you posted.
Berkeley Neighborhoods Council:http://www.berkeleyneighborhoodscouncil.com/Newsletters/2014/Issue5/BNC_eNEWS_5_NHF5.htm
Demolishing older, affordable rentals to replace with luxury apartments is a national trend:
http://www.bloomberg.com/news/2014-01-13/demolitions-dire-for-poor-as-affordable-rent-gap-grows-economy.html

Tenant Sues over Eviction for Air BnB
“…case highlights an ongoing issue of Airbnb and other sites that allow people to rent out spare rooms or entire apartments to temporary visitors. Critics charge that the new sharing-economy services are so lucrative – and so laxly regulated – that they are forcing out residents and driving up rents by reducing the supply of available housing.”
Airbnb profits prompted S.F (PDF)

Rich People Say the Darndest Things
“The problem is that the world and this country should not talk about envy of the 1 percent. It should talk about emulating the 1 percent,” he said. “The 1 percent work harder. The 1 percent are much bigger factors in all forms of our society.” –Billionaire Sam Zell, who owns Equity Residential, now Berkeley’s Largest Landlord.
http://www.huffingtonpost.com/2014/02/05/sam-zell-1-percent_n_4733196.html

Consider the Source
“For moderates like Mayor Ed Lee, appearing to get tough on the Ellis Act is an easy way to address voter discontent about affordability without having to wade into more controversial issues like housing density and planning reform.”
http://www.modernluxury.com/san-francisco/story/the-eviction-crisis-wasnt

Class Action Lawsuit Against Central Valley’s Biggest Slumlord
When repairs are made, the complaint alleges, they are merely cosmetic and fail to address the health and safety issues, and JD Homes often retaliates against tenants who complain to authorities.
http://tenantstogether.org/article.php?id=2944

More on Tenant Displacement in San Francisco
“There’s 50,600 proposed units of housing coming to San Francisco. Approximately 27,000 of these housing units have already been approved by officials, with 6,100 currently under construction. Most of the housing being built is “market rate,” meaning that it’s priced for those who can afford to spend roughly $36,000 a year on rent…The tech boom has conspired with rising housing prices to create an incredibly profitable incentive for landlords to push out low-income tenants and replace them with wealthy buyers, in spite of all the new units coming to market.”
http://www.counterpunch.org/2014/02/13/san-franciscos-displacement-crisis/

day-of-action-2014-flyer-image_Page_1
Renters’ Day of Action
Tuesday February 18
Click to download a PDF

Berkeley Tenants Union members will join with tenants from around the state in the first tenant March and Rally in Sacramento in many years.

On Tuesday February 18, Tenants Together is leading member organizations like BTU to the capital. BTU members and friends are invited to hop on a bus in the morning and return by about 1 PM to the East Bay. If you live in Berkeley, please email us for more information. Sign up directly on the Tenants Together website if you are not a Berkeley tenant.

With evictions in California’s larger cities creating panic among long-term renters, it is time for solidarity. State cuts to affordable housing threaten to have long-term impacts unless restored, and elimination of the renters’ rebate in state income taxes has left low-income senior and disabled tenants with less food on the table. These are the issues we will march to support on the Renters’ Day of Action.

Signing an online petition is not enough. Even writing to your state representatives is not enough. It’s time to take to the streets!

◘ Restore the Renter’s Rebate For Seniors and Disabled

In 2008 the Governor cut the Senior Citizens Renters Tax Assistance Program from the California budget. The program allowed disabled and senior tenants making less than $44,096 a tax rebate of about $300. Fixed income renters relied on this rebate.

http://www.tenantstogether.org/section.php?id=136

◘ Support the Homes and Jobs Act

State Bill 391 puts a fee on recording of real estate transactions – except home sales – which would generate $500 million a year to fund construction of housing for working people. California could use this money to leverage another $2.78 billion in federal assistance and bank loans to boost construction and create 29,000 jobs.

Homes and Jobs PDF

◘ Reform the Ellis Act

Speculators are misusing the state law to get around local tenant protections. In San Francisco, over 3,700 families have lost their homes through this type of eviction. This reform asks that local governments have more control over how Ellis evictions are carried out.

http://www.antievictionmappingproject.net/ellis.html

If you have not, please sign the ELLIS REFORM PETITION:

http://bit.ly/reformellis

Photo courtesy of Tenants Together.
Photo courtesy of Tenants Together.

Berkeley is one of 14 cities in California that enjoys strong protections for tenants. San Francisco has decent protections, but has seen a huge wave of evictions that use a state law, the Ellis Act, to get around local rules.

Now there is a statewide effort to reform the Ellis Act. The law was intended to allow long-term owners to “go out of the rental business” but instead allows investment companies and other speculators to buy rent controlled buildings, evict all the tenants, and sell the units as condos or tenancies-in-common at huge profits.

Activists from San Diego to Redding are hoping a reformed law might require an owner to hold the building for at least five years before they could “go out of business” – this would eliminate speculators who buy rental properties only to flip them after evictions. However, in 2007 a bill in the California legislature which called for a five-year delay failed miserably. If a broad coalition from many cities – including Berkeley – doesn’t support the current reform, we could end up with a state exemption to the law that will only protect San Francisco.

And you know what they say – “When San Francisco sneezes, Berkeley get a cold!” If SF was able to curb their epidemic of evictions, speculators will quickly turn to Berkeley. This is why the Berkeley Tenants Union wants you to join with us in supporting broad statewide reform of the Ellis Act now!

Our friends at Tenants Together have put together a petition as a first step:

A state law, The Ellis Act, is responsible for the unfair eviction of thousands of seniors and families in California. In the past few years Ellis Act evictions have surged, with thousands of long-term tenants displaced from their homes.

Send the message that we will stand up for our communities against speculation.
http://org2.salsalabs.com/o/5247/p/dia/action3/common/public/?action_KEY=15820

San Francisco is taking other steps to end their eviction crisis – Berkeley should also increase Ellis relocation payments, restrict unit mergers, and give evicted residents priority for local affordable housing – join BTU to fight for this today! Right now, the revisions to the Berkeley Demolition Ordinance proposed by Mayor Bates will make it easier to eliminate rent controlled units by merging them to create big houses for the wealthy — the exact opposite of how San Francisco is changing their law!
http://sfpublicpress.org/news/2013-12/supervisors-approve-plan-to-protect-tenants-against-displacement

Hundreds of seniors, families and long-term renters evicted in San Francisco
http://www.beyondchron.org/articles/Stopping_Ellis_Act_s_Economic_Terrorism_12134.html

The Ellis reform bill would allow local governments more say in preventing evictions:
http://m.sfexaminer.com/sanfrancisco/tenant-advocates-seek-support-for-reforming-ellis-act/Content?oid=2665435

CIty Council Finally Making Seismic Retrofits the Law
http://www.dailycal.org/2013/11/20/city-property-owners-may-required-retrofit-seismically-unsafe-buildings/

Berkeley Backs Off Supporting Richmond, CA on Foreclosure Efforts
Item 32 for December 2nd was amended to remove references to joining
Richmond’s Joint Powers Authority, making the Council’s deliberations meaningless:
www.ci.berkeley.ca.us/Clerk/City_Council/2013/12Dec/Documents/2013-12-03_Item_32_Supporting_City_of_Richmond_-_Rev.aspx

LWV Directors Live in Berkeley’s Wealthiest Areas
LWV Directors Live in Berkeley’s Wealthiest Areas

Berkeley’s League of Women Voters tells Rent Board to Cut Staff, Services:
http://www.lwvbae.org/league-news/league-urges-rent-board-improvements/

San Francisco Holds Hearings on Evictions:
“Overall evictions in San Francisco rose from 1,242 to 1,716 over the past three years, he said, reflecting an increase of 38.2 percent. Ellis Act evictions rose by 169.8 percent in that same time frame.”
http://www.sfbg.com/2013/11/19/eviction-epidemic-spurs-legislative-solutions
http://www.sfbg.com/politics/2013/11/14/hundreds-attend-hearing-call-action-evictions

Even San Francisco’s Mayor Wants to Stop Ellis Act Evictions:
http://www.sfgate.com/bayarea/article/S-F-politicians-Restrict-Ellis-Act-evictions-4981974.php

Tenants Together has a Statewide Petition to Change the Ellis Act:
“…then real estate speculators starting abusing the Ellis Act to turn a quick profit by evicting long-term tenants and selling the units. Ellis Act evictions are now surging. In San Francisco and Los Angeles in particular, thousands of rent-controlled tenants are being displaced by Ellis Act evictions.” – and Berkeley could be next!
http://org2.salsalabs.com/o/5247/p/dia/action3/common/public/?action_KEY=15820

Banks “Securitize” Rents, Cause Concern:

http://www.sacbee.com/2013/11/21/5932043/wall-street-firm-sells-bonds-backed.html

http://www.salon.com/2013/11/06/wall_street_slumlords_outrageous_new_scheme_how_they_could_wreck_economy_again/

http://www.washingtonpost.com/blogs/wonkblog/wp/2013/11/08/wall-street-figured-out-how-to-securitize-your-rent-should-you-worry/

DEMO_1106
Scenes like this will no longer be confined to Southside if revisions to the Demolition Ordinance allow destruction of small rental properties to build expensive commuter apartments.

DATE: November 5, 2013
TO: Planning Commissioners
RE: Demolition Ordinance

SUMMARY: Please preserve affordable housing by again recommending the June 4 compromise on the Demolition Ordinance. Please find attached our petition — with 270 signatures.

Respected Planning Commissioners:

The Berkeley Tenants Union is extremely concerned about proposed changes to the demolition ordinance. As you may recall, you already approved changes to this zoning code in the spring. We think it might be a bit confusing that this law is before you once again, so we have tried to provide a comprehensive summary with links to all relevant documents in this correspondence.

In December of 2011, the Berkeley City Council directed staff to draft amended language to Berkeley Municipal Code Chapter 23C.08, the “Demolition and Elimination of Dwelling Units Ordinance.” (Document: Council Direction 12-6-11) In June of 2013, staff presented a draft that met all the requests Council made in 2011, and was approved by the Rent Board and the Planning Commission. The same draft has also been presented one month before, at the 4×4 Committee, and neither Mayor Bates nor Councilman Capitelli voiced any concerns with the draft. On June 4, it looked like Council was going to pass this compromise draft (Document: June 4 draft), until time ran out on the meeting.

Then something changed. The Council began to question the June 4 compromise, and considered a new draft, perhaps hastily prepared, presented at the July 2 Council meeting. (Document: July 2 Draft). The new draft appeared to be based on requests made by developer Equity Residential (Document: ER Letter to Council), who are now Berkeley’s largest landlord. Since Council got letters of objection from many civic groups, including the Sierra Club, Berkeley Architectural Heritage Association, Berkeley Neighborhoods Council, and Berkeley Tenants Union, they sent the Ordinance back to the Planning Commission and the Housing Advisory Commission.

What do these drafts say?

Currently BMC 23C says “controlled rental units” cannot be eliminated unless the owner “cannot make a fair return on investment by maintaining the dwelling unit as a part of the rental housing market” and that those apartments must also be “seriously deteriorated beyond the conditions which might reasonably be expected due to normal use.” It also says that demolished rent controlled units must be replaced with permanently affordable housing. (Document: DemoCURRENT)

Problems with the current law arose because the City Attorney decided that empty units which would otherwise be under rent control are not “controlled rental units” and therefore not subject to the rules above. This means any empty unit can be torn down with no mitigation for the loss of affordable older units which would be under rent control if they were rented. Such a policy encourages owners to leave buildings to rot, promotes evictions and harassment, and may violate not only the Demolition law, but also the voter-approved Neighborhood Preservation Ordinance. (Document: NPO)

To end the controversy about the interpretation of the law, the Rent Board and the City Council called for revisions, but Council also asked that new rules require “units are replaced with an equal or greater number of new units inclusive of the current number of existing affordable units.” (Document: Council Direction 12-6-11) Likewise, the June 4 draft required developers who tear down multiunit buildings built before 1980 (those covered by rent control) replace them with “designated below-market rate units equal in number and comparable in size to the demolished units.”

However, the July and August drafts do not call for one-for-one replacement of affordable rent controlled units with housing for low-income renters. The July 2 and August 30 drafts both require developers pay a fee into the Housing Trust Fund. However, the fee in the July 2 draft is about 10% of what it costs to build an affordable unit, and the fee in the August 30 draft is unspecified and thus could be changed by City Council at any time. (Document: Worse Aug 30 draft)

There are numerous other problems with the July and August drafts. For example, one scheme outlined by developer Equity Residential was included in the July draft. This calls for replacement units in the new building which would be “designated rent increase restricted” – however, the Rent Board (Document: Berkeley Rent Board letter) and East Bay Community Law Center (Document: EBCLC Letter) have both pointed out that this violates the state law called Costa-Hawkins, because that law banned any new rent control in California, even if you call it by another name.

In addition, later drafts contradict the voter-approved Neighborhood Preservation Ordinance and may be challenged in court if they are made law. (Document: NPO)

Several community groups have sent communications on this issue that raise various additional concerns, such as the wisdom of tearing down perfectly fine small buildings at all, and the environmental impact of encouraging growth through demolition. You can find copies of public communications from The Sierra Club, Berkeley NAACP, Berkeley Neighborhoods Council, and Berkeley Architectural Heritage Assn. on our website along with all documents we have linked to in the text above.

The real question here is what kind of community benefits does Berkeley need in exchange for allowing speculators to tear down a useable rent controlled building in order to build a bigger one with market rate apartments? This is not just about what legal mitigations a nexus study might allow. We can actually choose, as Berkeley did in the 1970s, to ban demolition altogether. BTU hopes you might realize that rent control has been Berkeley’s most successful affordable housing program, and that rent controlled units should be preserved, even if they are not rented at this time.

You can choose not to allow demolition – and you should choose this if there is going to be a long wait for a Nexus study.

Please see the attached petition, with 270 signatures. Please note that, following pages with electronic signatures and comments, there are scans of the paper petitions.

Please again recommend the June 4 compromise draft.

Sincerely,
Berkeley Tenants Union Steering Committee, on behalf of the tenants of Berkeley

P.S. All documents mentioned in this correspondence can be found here:
https://www.berkeleytenants.org/?page_id=773

Couch_1017Date Change: Seismic Retrofits
The Berkeley City Council vote on mandatory Seismic Retrofits for “soft story” buildings is now scheduled for Tuesday, November 19.

Berkeley’s Demolition Law and Recent Zoning Changes
“…this new demolition ordinance draft which paves the way for developers to demolish all of the existing apartments in downtown Berkeley.”
http://www.berkeleydailyplanet.com/issue/2013-10-04/article/41520?headline=New-Berkeley-Demolition-Ordinance-Proposal-Threatens-Rent-Controlled-Housing–By-Stephen-Stine

Brown Vetos Affordable Housing Bill
BTU will report back on how this veto may impact changes to the Demolition Ordinance
http://www.sfgate.com/realestate/article/Brown-vetoes-bill-requiring-affordable-rental-4901709.php

Ellis Evictions Skyrocket: Protests in San Francisco
It won’t be long before the eviction wave comes across the Bay.
http://evictionfreesummer.wordpress.com/ 

San Francisco Housing Crisis in the New Yorker
SF Mayor says, “We’ve got to…make sure we protect many of the rent-controlled apartments that we have.” With his campaign to relax rules about demolition of rent controlled buildings, we are not sure the Berkeley Mayor would agree!
http://www.newyorker.com/online/blogs/currency/2013/09/at-the-rent-board-new-tales-of-the-city.html?mobify=0

Berkeley’s Progressive Days
At Berkeley History Center on Center Street
http://www.sfgate.com/bayarea/article/Everybody-got-together-in-Berkeley-commune-days-4889254.php

100913Thursday, October 10 at 5 PM
Final Public Hearing on Seismic Retrofits
City of Berkeley Hearing sponsored by ASUC
UC Berkeley Alumni Hall: 2537 Haste Street

Currently, the plan is to allow landlords to pass costs onto tenants if the landlord can claim paying for the retrofit is a hardship. Since Rent Board rules already allow owners to pass costs on to tenants if they are not making a fair return on their investment, these new hardship rules imply that owners who “need” to raise rents for seismic safety are already making a fair return, so where is the hardship??!

REVISED DATE! Tuesday, November 19 at 7 PM
Seismic Retrofits to City Council
Council Chambers: 2134 Martin Luther King Jr. Way

The Rent Board recommendations were posted in a recent BTU update: Rent Board Seismic
The Housing Advisory Commission recommendations: HAC Memo SWOF with HAC amendments

more info:
http://www.ci.berkeley.ca.us/Planning_and_Development/Building_and_Safety/Soft_Story_Program.aspx

city-to-suburb_stamenreprisedforwired-660x5891Oakland fights to close rent control loophole:
Berkeley tenants enjoy protections against bad business decisions by owners. Here, landlords can only passthrough “capital” costs if they were not foreseeable when they set the initial rent or they can’t make a fair return on their investment. In Oakland, their weaker rent control law is further undermined by broad rules which allow landlords who paid too much for a building to then raise the rents to pay their mortgage. Oakland is fighting to close this loophole even as Berkeley tenants could see passthrough rules relaxed so that landlords can charge for seismic retrofits:

“Of the ten major jurisdictions in California that have rent control laws, only four allow landlords to pass on the costs of debt service. Of those four, Oakland is the only municipality that allows landlords to force tenants to pay up to 95 percent of their debt.”

http://www.eastbayexpress.com/oakland/oakland-rent-laws-to-be-debated/Content?oid=3719780#fromMobile

In San Francisco, the rents are too damn high:
The SF Department of Public Health made an interactive map which shows how many full-time minimum wage jobs it takes to pay rent on the average market rate apartment in each SF neighborhood. For example, in the Mission District, it would take 5.5 minimum wage jobs to pay rent on a new 2-bedroom apartment, because market rent is $2,920. The actual median income of the neighborhood is about half of what it takes to pay that rent.
http://www.sfphes.org/news/211-rent-affordability-in-san-francisco

Thoughtful tech industry comments on gentrification, development, and the “Google Bus” phenomena:
Whichever side of this issue you’re on, it’s clear that we’re looking at a reversal of the historical norm: The workers that used to live in residential suburbs while commuting to work in the city are now living in the city, while the largest technology companies are based in the suburbs and increasingly draw their labor supply from dense urban neighborhoods…That they’re young and educated and lots of them are millionaires is kind of beside the point. It’s about more than gentrification as we’ve experienced it thus far: It’s about an entirely reconfigured relationship between density and sprawl…

This article contains a really cool map but it doesn’t show that these tech industry shuttles now pick up at MacArthur, Ashby and North Berkeley BART stations as well.
http://www.wired.com/opinion/2013/09/mapping-silicon-valleys-corporate-shuttle-problem/

Nob Hill building with 33 units would be largest Tenancy in Common:
Over in San Francisco, investors would like to use the state Ellis Act to evict rent controlled tenants and turn buildings in condominiums. Only they can’t, because like Berkeley, San Francisco has tight restrictions on how many precious affordable rent controlled units can be turned into condos each year. So speculators turn them into Tenancies-in-Common, which are like condos, only not. Pretty soon investors in Berkeley will be exploiting similar loopholes, so let’s get ready!
http://www.sfgate.com/realestate/article/Park-Lane-tenants-protest-conversion-plans-4853226.php

Meanwhile back in Berkeley, BNC issues strong statement on Demolition Ordinance:
The Berkeley Neighborhoods Council newsletter discusses how revisions to the Demo Ordinance are not only bad for tenants, but also for neighborhood stability:

“This provision puts multiple unit buildings that are well-integrated parts of neighborhoods throughout the city at risk of being demolished for no other reason than a developer sees an opportunity to replace it with a new and bigger building.”

In their September newsletter, BNC reminds everyone that the Ordinance will be discussed November 6 at the Planning Commission.
http://www.berkeleyneighborhoodscouncil.com/Newsletters/2013/Issue2/BNC_eNEWS_2_NNRaA2.htm

Speculators Driving Up Rents in East and West Oakland:
Big national companies are outbidding regular folk and buying up foreclosures all over Oakland’s flatlands, breaking up long-standing African American communities. Some firms just slap a new coat of paint on the “distressed property” and resell them right away, at prices working people can’t afford. Others are offering these homes at San Francisco-type rents, but plan to sell them in five to seven years. Several nonprofits – including Oakland Community Land Trust and Restoring Ownership Opportunities Together –are working to keep owners in their homes, or buy foreclosures and keep them affordable to working people. If you think this is going on in Berkeley, let us know!
http://www.eastbayexpress.com/oakland/whos-jacking-up-housing-prices-in-west-oakland/Content?oid=3726518

garages
2091 California is already retrofitted.

This Thursday, October 3, the Housing Advisory Commission will vote on their recommendations to Council regarding the law to require landlords to fix unsound buildings. BTU attended the last HAC meeting to speak about our concern:

Tenants should not have to pay extra rent for safe housing!

The City will hold the final public hearing on the law to require seismic retrofits for Berkeley’s most unstable rental housing on October 10 at 5 PM. Since the first hearing was held over the summer, and so many students live in these “soft story” buildings, the October hearing is cosponsored by Berkeley’s ASUC and will be held on campus but open to everyone. Only five tenants spoke at the July 27 hearing, although more than 40 landlords were present.

On September 16, the Berkeley Rent Board finished their recommendations to Council, which cite many ways that owners with financial hardship could pay for retrofits without raising rents. However, even the Rent Board voted to consider amending rules so that landlords can raise rents! If tenants do not speak out at the meetings listed below, Berkeley tenants could see increases under the new mandatory retrofit rules like those in San Francisco, where rents in unsafe buildings are going up an average of $900 a year!

Seismic Retrofit Recommendations
Thursday October 3 – 7 PM
Housing Advisory Commission
South Berkeley Senior Center

Final Public Hearing on Seismic Retrofits
Thursday October 10 — 5 PM
City of Berkeley Hearing sponsored by ASUC
UC Berkeley Alumni Hall – 2537 Haste Street

Seismic Retrofits to City Council
REVISED DATE November 19 — 7 PM

Council Chambers: 2134 Martin Luther King Jr. Way

City website, including draft law and inventory of unsafe buildings:
http://www.ci.berkeley.ca.us/Planning_and_Development/Building_and_Safety/Soft_Story_Program.aspx

Rent Board recommendations:
Rent Board Seismic