April 01, 1997

I. Call to Order

President Lightner called the meeting to order at 6:05 p.m.

II. Roll Call

Commissioners Present: Becker; Bierly; Gruber; Lightner; Marshall; Moore; Murphy; Palma; Wasserman.

Commissioners not Present: Mosser.

Staff Present: Grubb; Wolf.

III. Approval of the Minutes

MSC: To approve the Minutes of March 18, 1997.

(Palma/Gruber: 5-0)

IV. Consideration of Appeals

A. 375 Euclid Ave. #104 R002-07R

The tenant’s petition alleging a substantial decrease in housing services due to noise emanating from an upstairs unit was denied because the hearing officer found that the tenant’s expectations regarding noise were not reasonable. On appeal, the tenant asserts that: other tenants in the building have also complained of noise from the neighbors’ unit; the fact that she failed to raise this issue in a prior petition should not have been held against her; the landlord failed to respond to specific suggestions as to how the noise could be abated; and the landlord’s attorney should have been present at the hearing.

MSC: To deny the appeal. (Palma/Gruber: 5-0)

B. 948A Rhode Island St. R002-08R

The tenant’s appeal was filed forty-one days late because at the time the decision was issued the tenant had been informed that she could remain in the unit during the period of construction work and, therefore, the issue was moot.

MSC: To find good cause for the late filing of the appeal. (Becker/Palma: 5-0)

The landlord’s petition for extension of time to complete capital improvement work was granted because the hearing officer found that the work in the tenant’s unit could not be performed while the tenant was in possession of the premises and that the landlord’s request that the tenant vacate the unit for a ten-month period was reasonable. On appeal, the tenant alleges that: subsequent to issuance of the decision, the landlord was granted an alteration to his building permit which made it possible for the tenant to remain in the unit during the work, and which reduced the amount of time necessary for the work to be completed; the hearing officer granted the landlord more time than he had requested in his petition; and the blue prints proffered by the landlord do not provide a sound basis for estimates of the time necessary for completion of the project.

MSC: To accept the appeal and remand the case to the hearing officer for a new hearing to look at the new facts alleged in the appeal; to correct the amount of time granted from 10 to 8 months; and to encourage the parties to mediate the dispute. (Marshall/Palma: 5-0)

V. Communications

The Commissioners received the following communications:

A. A letter from Al Goodwin regarding Section 1466 of the California Civil Code regarding covenants running with the land.

B. A new staff roster.

C. The office workload statistics for the month of February.

VI. Director’s Report

Executive Director Grubb provided the Commissioners with Notice of Absence forms to be completed any time that they will be out of State; and informed them that he will be on vacation from April 14th through May 2nd.

VII. Old Business

Evictions Pursuant to Ordinance Section 37.9(a)(10)

The Board continued their discussion of the issue of evictions under Ordinance Section 37.9(a)(10), which specifies that a tenant may be evicted if a landlord has the necessary permits to physically demolish or otherwise permanently remove a unit from housing use. The Policies and Procedures Manual developed and referenced by Rent Board staff states that the "Unit must be physically demolished or otherwise permanently removed from RESIDENTIAL HOUSING (e.g., turned into storage, laundry room, office or garage--with proper permits--.) The unit cannot be made into a family room, additional bedroom, or other space for residential use and still comply with this section."

At the January 7, 1997 Board meeting, Executive Director Joe Grubb brought to the Commissioners’ attention the fact that the above interpretation of what is permissible under Section 37.9(a)(10) was in conflict with the requirements of other City departments. It was the consensus of the Commissioners present at that meeting that, although Section 37.9(a)(10) requires the permanent removal of the residential unit, the space may then be used for any use permissible under applicable planning or building codes.

As Commissioner Marshall was not present at the January 7th meeting and had concerns about the change in policy, the issue was re-calendared for discussion. The tenant Commissioners present expressed concerns that evictions due to "mergers", or expansions of the landlord’s unit (e.g., for use as a family room), should properly come under Ordinance Section 37.9(a)(8) [owner-occupancy], which contains a one-year rebuttable presumption for determinations of "good faith." The landlord Commissioners felt that the Rent Board should not stand in the way of the removal of illegal units with potentially hazardous conditions and, after such removal, restricting the use of such space contributes to the wasting of housing resources. There was a feeling among some Commissioners that a distinction should be drawn between situations where the landlord has been ordered by the Department of Building Inspection (DBI) to dismantle the unit and cases where the landlord is voluntarily doing so. It was the consensus of the Board that any policy adopted should be reconciled with the policies of the other City agencies involved (DBI, Planning), and that this problem is only part of a City-wide failure to address the issue of illegal units. Therefore, the Commissioners asked that Executive Director Joe Grubb draft a letter to the above-cited agencies for the Board’s approval, and passed the below motion:

MSC: To state that the Board’s policy on the issue of permissible actions under Ordinance Section 37.9(a)(10) is not as currently expressed in the Policies and Procedures Manual used by Rent Board staff; nor is it the statement regarding this issue contained in the Minutes of January 7, 1997. Rather, the Rent Board Commission takes no position on this issue until such time as there is better coordination between the relevant City agencies. All interested parties are reminded that Ordinance Section 37.9(a)(10) requires that any eviction carried out pursuant to that Section be effectuated in good faith, without ulterior reasons and with honest intent.

(Marshall/Gruber: 4-1; Lightner dissenting)

VIII. Calendar Items

April 8 & 15, 1997 - NO MEETINGS

April 22, 1997

8 appeal considerations

IX. Adjournment

President Lightner adjourned the meeting at 7:50 p.m.