Santa Barbara City Council Votes 4-3 in Favor of Rent Stabilization Ordinance & Registry

SANTA BARBARA, Calif.(KEYT) – The Santa Barbara City Council voted 4-to-3 to approve its first rent stabilization and rental registry programs.

Mayor Pro Tem Kristen Sneddon said it has been talked about for nine years.

"I want people to know that this has been a very long process, it has been through public process, city process, and what we put forward actually years ago it has been multiple times brought forward and today multiple times and today is symbolic of everybody finding a way to make it work and it is going to be stability for the people of Santa Barbara," said Sneddon," I really want to keep the communication open this is more restrictive then it was when we first proposed it, more restrictive then we started, but it can be adjusted and we need to find out and keep that conversation going but it's a historic day."

The Santa Barbara city council welcomed public comments before deliberating.

Most of the speakers urged the council not to exempt Section 8 housing, but changing the language in the ordinance would have delayed the vote.

It appeared Councilmember Wendy Santamaria had the deciding vote as she agreed with many of those speakers.

"Today we took an historic step to introduce a rent stabilization ordinance that is going to cap rent increases for tenants and when it come to the most vulnerable and addressing health and habitability issues that is going to be addressed in our Just Cause Ordinance that will be introduced soon," said Santamaria, "I think we all played a big role in this it is all about us coming together and finding common ground I think we all want to protect tenants, we all want to avoid those rent spikes that displace people and we are going to be addressing the habitability, health and safety issues for Section 8 Housing Authority and other deed-restricted units in Just Cause."

The city's Housing Authority Executive Director Rob Frederick said that would be double the regulations.

"Section 8 and Capital A affordable housing, deed-restricted affordable housing should be exempt from the ordinance because it is already regulated and rent restricted and we are already regulated on health safety habitability concerns," said Frederick. "We don't need to duplicate a bureaucracy of things that already exist to create a good system, there's already avenues of residents to come to whether they are section 8 or the open market to get their habitability concerns addressed."

The staff also voted to allocate half a million dollars to implement the programs.

The ordinance is intended to cap annual rent increases at 3 percent or 60 percent of the Consumer Price Index if it is lower.

It will take effect in January and replace a rent freeze that is facing a legal challenge.

The ordinance introduced amends the municipal code to establish, "Residential Rent Stabilization and Residential Rental Registry Programs."

Councilmember Meagan Harmon said exempting Section 8 would inhibit more landlords from taking those vouchers.

Harmon said there are 1,518 people on the waiting list for a vouchers that closed in 2023.

She urged to council to pass the ordinance with the exemptions already discussed.

Councilmember Wendy Santamaria disagreed and had the deciding vote.

After asked city staff questions she said her habitability concerns will be addressed under the Just Cause ordinance.

She said she intends to keep fighting for the tenants with habitability concerns.

Santamaria made the final motion that was seconded by Meagan Harmon.

Santamaria said there are usually landlords willing to take vouchers since there is less risk when the government is good for the rent.

The staff also voted to allocate $500,000 from the Measure I Flexible Housing and Homelessness Fund, to support the implementation of both the Residential Rent Stabilization and Rental Registry.

Last week the council voted to remove some of the language from an earlier ordinance.

There will also be a registry grace period.

Councilmember Kristen Sneddon said it has been in the works for nine years and shared her feelings about being "played" by the delays.

"Please I am imploring us not to gamble on peoples lives by not having this in place at all," said Sneddon before the vote.

She was elated by the final vote and even took photos with Meagan Harmon.

Eric Friedman said the goal coasts have changed too many times.

Both Sneddon and Friedman are running for mayor and will take part in a debate on Wednesday.

Friedman said debating the RSO again and again was not good governance.

Friedman voted 'no' and said he believes it will cost more for developers to borrow money to build with an RSO is in place.

Although he is opposed to the ordinance he said is willing to participate in making it work.

Landlords and opponents have said this will discourage mom and pop landlords from creating new rental spaces and may lead to units being taken off the market.

Mike Jordan also voted 'no.'

He has shared concerns about a negative impact on rental housing supply and demand.

Mayor Randy Rowse voted 'no' saying it exposes the city to litigation, and is can be confusing.

Rowse said it could interfere with other projects going forward.

The SRO willbe on the consent calendar next Tuesday and then take effect in January when the rent freeze comes to a close.

For more information visit https://santabarbaraca.gov

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