Case raises questions over rent control laws
CITY HALL — A Santa Monica renter who claims he’s been charged exorbitant rent to live in a house in slum conditions can’t get any satisfaction from local rent control officials.
The Rent Control Board (RCB), reviewing an appeal by the tenant on Thursday, sided with city staff that local government did not have the jurisdiction to intervene in the dispute.
“We’d like to help, but the law doesn’t allow us to,” said Joel Koury, an RCB commissioner.
City staff, in a report, referred to the state’s Coastal Hawkins law, which allows the landlord to establish initial and all subsequent rental rates for tenants signing a lease after Jan. 1, 1996. As a result, city governments have been severely hindered by what they can do to regulate rental rates.
Anthony Schmitt, the tenant in the dispute, moved in 1999 from Venice into the dining room of a small house at 2525 Fourth St. He paid $440 per month for rent, plus utilities.
In addition to the dining room, the house consists of a living room, two bedrooms, a small sunroom used as a bedroom, a half and full bathroom, a hall, kitchen, garage, basement and an enclosed back porch area. There were six other tenants living in the house when Schmitt moved in.
In 2003, Schmitt discovered the maximum allowable rent for the unit was $1,500.
Jim Rex, the property’s manager, had rental checks paid to him and was in charge of maintenance for the site on behalf of owner Lilly Dowler, an elderly woman. Rex, who began renting the unit as late as 1996, does not live in the house.
In 2004, Schmitt also rented the garage, basement and sunroom, which brought his total rent to $1,150 a month. There were four other tenants, each paying hundreds of dollars in rent, Schmitt said. Despite the fact the tenants were paying well over the maximum allowable rent, much needed maintenance work wasn’t being done to the property, according to Schmitt.
Schmitt’s testimony included a laundry list of items needing attention. Documents and photographs he provided showed broken windows, doors, plumbing problems, leaks, deteriorated paint inside the home, and substandard electrical outlets.
Rex said in his testimony that he agreed with Schmitt there were a few things in the house that needed to be fixed.
Schmitt, who has subsequently moved out of the house, told the RCB on Thursday he was appealing city staff’s earlier decision to not make a decision on the case because Rex’s previous testimony had indicated he would take care of the property’s maintenance needs, but never did.
Schmitt said he was continuing his fight at the RCB level because he believed it wasn’t fair that Rex — who may be pocketing hundreds of dollars of rent money each month — failed to take care of the home.
“Is a new law needed to protect subtenants from neglect and slum conditions?” Schmitt asked the RCB. “The photos and testimony are clear, and it seems the rent control office can allow itself the authority to alter slumlords in Santa Monica.”
Originally published in the Santa Monica Daily Press print edition on December 10, 2005. Read the original PDF.