Tacoma looks to update its rental housing code and wants input on proposed changes

The City of Tacoma is considering changes to its Rental Housing Code and is asking for feedback from renters, property managers and landlords.

The changes would update the code, which provides protections for tenants and specific guidance to landlords who own or operate residential rental property in Tacoma. The Rental Housing Code also includes a provision for relocation assistance to low-income tenants who are displaced under certain circumstances.

The City Council passed the code in late 2018. It was updated in October 2021 to include just-cause eviction standards, to prohibit illegal rental agreement provisions and to prohibit landlords from requiring tenants to provide more than a 20-day termination of tenancy.

The proposed changes are for rent increases, shared housing standards, late fee standards, restriction of evictions without a rental business license and screening criteria.

Rent increases proposals

Under the proposed changes, property managers would need to give a 60-day notice for a 6 percent or less increase in rent, a 90-day notice for a 6-10% increase in rent, and a 180- to 220-day notice for an increase of 10% more.

Landlords would not be able to charge for those notices to be served.

Landlords would be required to provide options to tenants who can’t afford the rental increase and need to vacate a unit.

Landlords also would need to waive the requirement for a tenant to serve a proper 20-day written notice to vacate, or the tenant would not be penalized if the tenant vacates based on rent increase.

Shared housing standards

The proposed changes include requirements for the master lease holder to provide contact information for sublet tenants and the property owner at time at tenancy.

It would also require separate leases when renting to four or more tenants.

The lease would need to state the legal number of occupants and habitable spaces in the unit.

Housing providers would be required to serve any notices that could lead to eviction to all sublet tenants at the time the master lease holder is served. Housing providers would be prohibited from starting an eviction if they could not show that notices were served to all sublet tenants.

Late fee standards

The potential policy would require housing providers to take steps to recover late fees during tenancy by serving monthly or quarterly notices.

It would prohibit housing providers who do not address late fees during tenancy from reporting the tenant to a prospective housing provider at the end of tenancy.

The late fees that could be charged by a housing provider could be limited. The late fee could be capped at $75 as outlined in the Washington State Residential Landlord-Tenant Act, or to 3% to 5% of the monthly rental amount.

Restriction on evictions

The change would require a housing provider to provide its rental business license during a show-cause hearing. A show-cause hearing allows the tenant to contest the eviction. Property owners are required to register every rental property in Tacoma when they are licensing and certify that each property meets the requirement of state law.

The policy aims to ensure those operating a rental business in the city limits are complying with the city’s policies, which requires all rentals to have a rental business license, according to the city’s website.

Screening criteria

The city is also considering policy requirements for limits on the rent-to-income ratio of three times the monthly rent and limits on rent-to-income ratio on tenants who are on fixed income, which would include Supplemental Security Income, Social Security Disability or retirement benefits.

The proposed policy changes would restrict housing providers from requiring a Social Security number to apply for housing and restrict housing providers from having a blanket criminal-history policy.

The policy aims to help those who are more likely to become homeless if they are not able to secure affordable healthy housing, according to the city’s website.

City of Tacoma survey on changes

The city’s Equity and Human Rights office is conducting a survey for tenants, landlords and property managers in Tacoma to provide feedback on the proposed changes. The survey is at surveymonkey.com/r/COTRental23.

The survey asks tenants about late fees, business license requirements to operate rental property and screenings. It also asks if the 60-day notice period to raise rents should be greater and if the notice period increase should be based on the rent increase.