City Council OKs Changes to Rent Control Law for November Ballot, Rejects More Sweeping Revisions

On Monday, the Pasadena City Council voted to prepare a series of targeted amendments to the city’s rent control law for inclusion on the November ballot but stopped short of enacting more substantive changes sought by some property owner groups.

In the unanimous June 17 vote, the Council supported the preparation of all six recommendations from the Pasadena Rental Housing Board to revise Article XVIII of the City Charter.

Previously known as Measure H, the measure was originally passed by voters in November 2022 and established rent control and eviction protections.

On Monday, the Council agreed to direct City staff to prepare the necessary resolutions to amend the City Charter for:

1. Removing outdated implementation deadlines for the rental registry and annual landlord registration.
2. Aligning relocation assistance rules with state law.
3. Adjusting the schedule for setting annual interest rates on security deposits.
4. Partially exempting units occupied by tenants receiving government rent subsidies from rent increase limitations.
5. Allowing the Board to initiate removal of a member for conduct violations, subject to City Council approval.
6. Making technical corrections to align with court decisions and state law.

The Rental Board had considered 13 other suggestions, including broader exemptions for certain properties like duplexes and tax credit projects, but ultimately did not recommend them to the Council for consideration.

In addition to the six recommendations from the Pasadena Rental Housing Board that received Council support, the Council also approved three minor City staff-recommended cleanup items and adjustments. These included:

1.  Removing the outdated implementation deadline for the first Annual General Adjustment.

1.  Making technical corrections to other references within the City Charter and Municipal Code.

1.  Adding language to assist the City Clerk in administering petitions for Board member removal.

During nearly three hours of public comment, numerous landlords urged the Council to go further, arguing the law is overly burdensome. Several called for increasing the Rental Board’s composition of property owners from four to six out of the Rental Board’s 11 seats.

“The Housing Rental Board needs more property owners or people with property management experience in order to provide insight and knowledge,” said Deborah Lutz, a housing provider for over 21 years.

Councilmember Tyron Hampton said he was open to adding “at least one or two extra seats for property owners,” a sentiment echoed by Councilmember Felicia Williams. But others pushed back on the idea.

“Article 18 currently allows for four of the 11 seats to be held by landlords, which is over one third of the seats,” said Councilmember Jess Rivas. “So if anything, four out of 11 seats, which is 37%, is hugely overrepresenting landlords compared to their actual number.”

Tenant advocates, meanwhile, urged the Council to reject any changes beyond the Board’s limited recommendations. Many speakers recounted stories of hardships faced by renters.

“Measure H isn’t just a law, it’s a lifeline for people like me who are doing our best to stay afloat,” said Maria Castañeda, a long-time Pasadena resident, speaking through a Spanish interpreter. “This isn’t just about politics, it’s about people’s lives.”

In the end, a majority of Councilmembers agreed it was premature to consider more than minor revisions, stressing the need to allow the law to be fully implemented first. 

The Rental Board is still in the process of standing up the administrative framework called for in the measure.

“It’s simply too early to start meddling with the substance of Article 18,” said Rivas. “The Rental Housing Board has made great strides in implementing the provisions of Article 18, and there’s still more work to be done.”

The Council did direct the Board to discuss the additional proposals and report back if it sees an opportunity for consensus, but made clear it intends to move forward with placing only the six approved amendments on the November 2024 ballot barring any major new developments.

If voters approve the limited changes, they will take effect after the election. Based on the City’s election schedule, the law will then remain unaltered until at least 2026.

“I suspect every couple of years we’re going to be tweaking this measure for a while as we see how it plays out in reality,” said Vice Mayor Steve Madison. “I realize that that’s frustrating for people, but that’s the process we have to do.”

The approved potential amendments received varying levels of support from the Board, with some passing unanimously while others faced opposition. 

The recommendations to remove implementation deadlines, align with state law, and make technical corrections were unopposed. However, the proposal to allow removal of Board members saw two “no” votes and one abstention.

The Council was considering whether to place these amendments on the November 2024 ballot for voter approval. The deadline to submit ballot measures is August 9, with the last scheduled Council meeting before that set for July 22.

City staff will now prepare the necessary resolutions for the approved Charter amendments. The Council could opt to review these again at its July 8 or July 22 meetings if needed, but otherwise, the measures are expected to proceed to the ballot.

Measure H, which made significant changes to the city’s housing policies, has been a topic of intense debate since its passage. Key provisions include limiting annual rent increases, establishing “just cause” requirements for evictions, and creating the Rental Housing Board to oversee implementation.

Mayor Victor Gordo was not present during the meeting. He is currently one of four mayors on an official U.S. State Department-sponsored trip to Armenia.