City Hall
1 Dr. Carlton B. Goodlett
Place
San Francisco, CA 94102-
4689
City and County of San Francisco
Legislation Details
File #:
Version:
2
020716
Name:
Settlement of lawsuit and, as part of the settlement,
amending the Rent Control Ordinance
Status:
Type:
Ordinance
Passed
File created:
In control:
5/6/2002
Board of Supervisors
On agenda:
Final action:
1/21/2003
Enactment date:
2-03
Enactment #:
Title:
Ordinance authorizing settlement of the lawsuit filed by residential landlords against the City and
County of San Francisco to invalidate Proposition H passed in the November 2000 general election,
concerning the pass through of capital improvement costs by landlords to tenants; the lawsuit was
filed on November 22, 2000, in San Francisco Superior Court, Case No. 316-928 entitled Quigg v.
City and County of San Francisco, et al.; and, as part of the settlement, amending the Residential
Rent Stabilization and Arbitration Ordinance (Administrative Code Chapter 37) regarding permissible
passthrough of bond costs from landlords to tenants by providing for 50% passthrough of the change
in the landlord's property tax resulting from the repayment of general obligation bonds of the City and
County of San Francisco approved by the voters in the future; and regarding permissible passthrough
from landlords to residential tenants of certain costs for capital improvements, rehabilitation, energy
conservation improvements, and renewable energy improvements, by codifying and expanding
existing amortization schedules, by establishing specified maximum annual passthroughs at 5% of a
tenant's base rent for properties with five or fewer units and at 10% of a tenant's base rent for
properties with six or more units, by capping certification for work and improvements on properties
with six or more residential units at 50% of landlord costs unless the tenant elects 100% passthrough
of costs with a lifetime rent increase cap of 15% of base rent, by lengthening the amortization period
from 10 years to 20 years for certain improvements required by law (including certain seismic
improvements to unreinforced masonry buildings), by providing tenants and the Rent Board with pre-
application notice of large projects, by providing that each petition totaling more than $25,000 must
pay the cost of an estimator hired by the Rent Board unless the applicant provides copies of
competitive bids received or copies of time and materials billing, by providing for the Commission on
the Environment to conduct hearings and recommend new passthrough provisions encouraging
energy conservation improvements and renewable energy improvements, and by expanding the
provisions for tenant hardship applications for relief from such passthroughs by providing that a tenant
can file such an application at any time instead of only at the time the passthrough is originally
approved. This Ordinance amends Sections 37.2, 37.3, and 37.7, and 37.8B, with most provisions
operative May 1, 2002 or 60 days prior to passage of this Ordinance on Second Reading by the Board
of Supervisors, whichever is later.
Sponsors:
Tom Ammiano, Sophie Maxwell
Attachments:
1. Leg_Ver1, 2. Leg_Ver2, 3. Leg_Final
Action By
Date
Action
Result
Ver.
ASSIGNED UNDER 30 DAY RULE
President
5/6/2002
1
SUBSTITUTED
Supervisor(s)
12/9/2002
1
ASSIGNED
President
12/9/2002
2
RECOMMENDED AS COMMITTEE
REPORT
Health and Human Services
Committee
12/16/2002
2
Pass
PASSED ON FIRST READING
Board of Supervisors
12/16/2002
2
Pass
FINALLY PASSED
Board of Supervisors
1/13/2003
2
Pass
APPROVED
Mayor
1/21/2003
2