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September 16, 1997

September 16, 1997B>

 

 

 

MINUTES OF THE REGULAR MEETING OF
THE SAN FRANCISCO RESIDENTIAL RENT
STABILIZATION & ARBITRATION BOARD,

Tuesday, September 16, 1997 at 6:00 p.m. at
25 Van Ness Avenue, Suite 70, Lower Level

  1. Call to Order

    Commissioner Becker called the meeting to order at 6:10 p.m.

  2. Roll Call

    Commissioners Present: Becker; Bierly; Gruber; Moore.

    Commissioners not Present: Lightner; Marshall; Wasserman.

    Staff Present: Grubb; Wolf.

    Commissioner Mosser appeared on the record at 6:13 p.m.; Commissioner Murphy arrived at 6:15.

  3. Approval of the Minutes

    MSC: To approve the Minutes of September 2, 1997.
    (Bierly/Gruber: 3-0)

  4. Remarks from the Public

    Robert Pender announced that the Affordable Housing Alliance will be holding an endorsement meeting for candidates running for office in the November election on September 22nd from 5:15 - 6:30 p.m. at 25 Van Ness, Lower Lobby, Studio B.

  5. Consideration of Appeals

    1. 4163 - 23rd St. S001-04R
      (post. from 8/19/97)

      The landlord’s petition for certification of capital improvement costs was granted, resulting in capital improvement passthroughs in excess of $400 to the tenants in four units. One tenant appeals the decision, asserting that: the two new decks added to the structure should be considered "luxury items", her deck is smaller than that of her neighbor’s, and the new decks are smaller than the original decks; she should not have to pay for energy conservation work because she was not provided with low-flow water devices and she purchased her own shower assembly; the costs of new carpet and mini-blinds should be allocated separately to each unit, and not equally to all units in the building; allocation of the costs of garden renovation should factor in use of the garden by tenants who reside in an adjacent building owned and occupied by the same landlord; the rebuilding of the rear stairs and decks was due to the landlord’s deferred maintenance and the costs were found to be excessive by the independent estimator; and she derives no benefit from work done in the basement area of the building.

      MSF: To accept the appeal and remand the case on the issues of: whether the rebuilding of the rear stairs and decks was due to the landlord’s deferred maintenance; the discrepancy between the landlord’s costs and the amount deemed to be reasonable by the independent estimator; and whether the costs of garden renovation should factor in the use of the garden by tenants who reside in an adjacent building owned and occupied by the same landlord. (Becker/Bierly: 2-2; Gruber, Murphy dissenting)

      Consideration of this matter was therefore continued to the next meeting.

    2. 2844 Lyon St. R001-71A
      (cont. from 8/19/97)

      The tenant’s petition alleging substantial decreases in housing services was granted, in part, and the landlord was found liable to the tenant in the amount of $7,745.00 due to serious habitability defects on the premises. The landlord failed to appear at the hearing and maintained on appeal that the Notice of Hearing was sent to an incorrect address. Additionally, the landlord claimed that a $100.00 per month rent reduction due to lack of heat was excessive because the heat is defective but operative; that the common area lighting problem was corrected immediately after notice; that the cracked and broken windows are the fault of the tenant; that the tenant painted the unit with the wrong paint, which created peeling; that there is mildew in the unit due to the tenant’s failure to ventilate; and that the tenant’s filing of the petition was not in good faith but was in retaliation for the landlord’s service of a 3-Day Notice to Pay Rent or Quit. As the landlord had informed the Director that she would be sending the Board a copy of her Declaration of Non-Receipt of Notice, which she believed her attorney had already mailed to the Board, the Board continued consideration of this case from the meeting on August 5, 1997. The Declaration of Non-Receipt of Notice of Hearing was subsequently received.

      As there were several inconsistencies in the landlord’s communications regarding her correct address and notations in the file that she had been called twice regarding the hearing by staff, it was the consensus of the Board at the August 19th meeting for staff to write a letter requesting clarification under penalty of perjury. The matter was therefore further continued. Upon discussion of the landlord’s response to the Board’s queries, the Commissioners in attendance voted as follows:

      MSF: To deny the appeal. (Becker/Bierly: 2-2; Gruber, Murphy dissenting)

      Consideration of this case was again continued, to the September 23rd meeting.

    3. 1830 Jackson St. #A, B D & E S001-13A

      The landlord’s appeal was filed 16 days late because the decision was mailed and received while the landlord’s representative was on vacation.

      MSC: To find good cause for the late filing of the appeal. (Gruber/Murphy: 4-0)

      The landlord’s petition for certification of capital improvement costs was granted, in part. The portion of the petition requesting rent increases based on increased operating expenses was denied due to the landlord’s failure to prove an increase in the aggregate cost of operating and maintenance expenses for the building. On appeal, the landlord alleges that: the hearing officer made inconsistent distinctions between capital improvements and repairs; he was unaware that a computer printout would have been acceptable in lieu of invoices and canceled checks, and he requests the opportunity to obtain such evidence now; costs attributable to owner-occupied units should be considered as part of the aggregate in exactly the same manner as costs attributable to tenant-occupied units; and that the increase in debt service alone should serve to justify the requested increases.

      MSC: To deny the appeal. (Becker/Bierly: 3-1; Gruber dissenting)

    4. 930 Sutter St. #107 S001-13R

      The landlords’ petition for certification of capital improvement costs and rent increases based on increased operating expenses was granted, in part. On appeal, the case was accepted and remanded to the hearing officer to make certain corrections, and to add two units improperly deemed to have been withdrawn from the petition. One of the tenants who had been thought to have been withdrawn appeals the remand decision on due process grounds, claiming that he was denied his right to a hearing. He did not appear at the original hearing, of which he had been sent notice.

      MSC: To deny the appeal. (Becker/Bierly: 4-0)

    5. 1450 Washington St. #7 S001-14R

      The landlord’s petition for a rent increase on the grounds that the last original tenant had vacated the rental unit was granted, resulting in a rent increase from $1,422.00 to $2,000.00 per month. The tenant, who failed to appear at the hearing, appeals on the grounds that the hearing officer’s decision is heavily weighted in favor of the landlord. She claims that she was unable to attend on the day of the hearing; was unaware of how the process works; and requests an opportunity to submit evidence and present her version of the facts.

      MSC: To deny the appeal. (Becker/Murphy: 4-0)

    6. 905 Columbus St. #134 S001-15R

      The landlords’ petition for certification of capital improvement costs resulting from seismic work on an unreinforced masonry building was approved, resulting in a passthrough in the amount of $11.61 per month to the tenants in twenty units. One tenant appeals the decision on the grounds of financial hardship.

      MSC: To accept the appeal and remand the case for a hearing on the tenant’s claim of financial hardship. (Gruber/Murphy: 4-0)

    7. 1464 - 45th Ave. S001-14A

      The portions of the tenant’s petition alleging unlawful increases in rent and the landlord’s failure to make requested repairs were denied. The landlord was, however, found liable to the tenant in the amount of $1,639.50 due to substantial decreases in housing services. The landlord appeals the decision on the grounds that: the tenant knew of the condition of the unit prior to the inception of the tenancy and accepted it "as is"; the tenant owes him additional amounts due to late charges, rent withholding, and unilateral lowering of her base rent amount; the broken window latch was caused by a contractor hired by the tenant; the fact that the skylights in the unit are covered with clear plastic does not make them unsafe and there has only been leakage on one occasion; and the kitchen exhaust fan cannot be broken because there is no exhaust fan in the kitchen.

      MSC: To accept the appeal and remand the case to the hearing officer only on the issue of the kitchen exhaust fan. A hearing will be held only if necessary, at the discretion of the hearing officer. (Becker/Gruber: 4-0)

    8. 2890 California St. S001-16R

      This case arose pursuant to a landlord petition for certification of capital improvement costs, which was granted. The instant tenant’s appeal on the basis of financial hardship was granted, and the case was remanded to the hearing officer for a hearing on that claim. In the Decision on Remand, the hearing officer found sufficient hardship to warrant permanent waiver of any retroactive amounts owing and to prevent a third year phase-in in the amount of $80.11 from taking effect. The tenant appeals the remand decision, asserting that the landlords made clear in their response to the tenant’s original appeal that they did not object to a complete waiver of the entire amount granted for this tenant.

      MSC: To accept the appeal and remand the case to the hearing officer on the record. Pursuant to the landlord’s statement in response to the tenant’s original appeal, the approved capital improvement passthrough shall be waived in its entirety unless and until the tenant’s financial circumstances should change. (Gruber/Bierly: 4-0)

    9. 119 Hancock St. S001-17R

      The landlord’s petition for a rent increase based on comparables for a Newly Covered Unit under Proposition I was granted, allowing the landlord to raise the rent from $920.00 to $1,267.58 per month. The tenant appeals the decision, asserting that: he was not permitted to see nor respond to the measurements taken of the size of the unit, upon which the hearing officer relied; a minimal amount of refurbishing of the unit was done prior to his moving in; and the hearing officer seriously undervalued the rental value of a unit with an additional bedroom and panoramic view, skewing the comparables analysis used to justify the amount approved.

      MSC: To deny the appeal. (Gruber/Murphy: 4-0)

  6. Communications

    In addition to correspondence concerning cases on the calendar, the Commissioners received the following communications:

    1. The monthly Summary of Mediation Agreements for July, 1997.

    2. A letter from Attorney Mary Jane Foran, urging the Board to adopt regulations clarifying whether a landlord has a right to unilaterally change the terms of a long-term tenancy.

    3. A job description for the position of Rent Board Hearing Officer.

  7. Director’s Report

    In the absence of Executive Director Joe Grubb, Deputy Director Delene Wolf informed the Commissioners that hearing officers Rennika Pickman-Thoon and Erika Pardo have resigned. Senior Hearing Officer Sandra Gartzman is currently recruiting in order to fill one permanent full-time position; one temporary full-time position (through June, 1998); and one permanent half-time position. The Commissioners were encouraged to refer any qualified applicants.

  8. Remarks from the Public (cont.)

    Ken Miller from Catholic Health Care West, a property management firm, remarked that the Board’s consideration of deferred maintenance as a defense to a capital improvement passthrough should include some consideration of the landlord’s financial situation.

  9. Calendar Items

    September 23, 1997

    Discussion of "Remarks from the Public" portion of the Agenda with the City Attorney

    Discussion of Proposed Amendments and Additions to the Rules and Regulations Pertaining to Material Changes in the Terms of a Tenancy; Rent Paid by "Master Tenants"; and Changes in Roommates

    September 30, 1997 - NO MEETING

    October 7, 1997

    8 appeal considerations (1 cont. from 9/2/97)

  10. Adjournment

    Commissioner Becker adjourned the meeting at 7:25 p.m.

Last updated: 10/9/2009 11:26:15 AM