HomeMy WebLinkAboutCAP 2016-12-12 Item 2A - Discussion - Source of Income Discrimination LegislationCity of Tukwiia
Allan Ekberg, Mayor
INFORMATIONAL MEMORANDUM
TO: Community Affairs and Parks Committee
FROM: Laurel Humphrey, Council Analys
CC: Mayor Ekberg
DATE: December 7, 2016
SUBJECT: Source of Income Discrimination Legislation
ISSUE
Source of Income Discrimination (SOID) Legislation is a mechanism to prevent landlords from
denying tenancy to renters based solely on their source of income. This is intended to serve as
an opportunity for the Committee to discuss this issue, raise questions for staff follow-up, and
provide direction on next steps for the City of Tukwila.
DISCUSSION
In a competitive housing market such as King County's, families or individuals receiving housing
subsidies such as Section 8 vouchers can be subject to discrimination by landlords. There have
been other documented discrimination to people with sources of income such as Social
Security, alimony and others. Some communities are responding by enacting laws to prevent
this discrimination and thereby helping to decrease barriers to housing access.
Washington agencies that have enacted SOID legislation include King County, Renton,
Redmond, Kirkland, Turnwater, Bellevue, Seattle, and Vancouver. Seattle and Vancouver's
ordinances prohibit discrimination on the basis of all types of housing assistance while the
others in the list are targeted only to Section 8 vouchers. The City of Renton enacted
emergency legislation on November 7, 2016 in response to actions taken by certain landlords
who gave notice to all Section 8 tenants that their leases would not be renewed. Renton's
legislation sunsets in August of 2017 in order to allow them to assess the ramifications of the
legislation and to potentially work with stakeholders to develop more a more permanent
solution. The eviction notices in question were rescinded or extended due in part to the swift
response by the City. The Kent City Council just recently gave staff direction to develop
legislation that would cover all sources of income and Tukwila staff will monitor their progress.
In other communities, the Rental Housing Association has raised concerns about unintended
consequences, particularly ones relating to the impact of short term housing vouchers.
RECOMMENDATION
Staff is seeking direction from the Committee to further research this issue in partnership with
the City Attorney and other affected departments. Joy Scott, Planner with the South King
Housing and Homelessness Partnership, offered technical assistance on this legislation during
her presentation at the August 22, 2016 Committee meeting.
ATTACHMENTS
1. Policy brief distributed at August 22, 2016 Community Affairs and Parks Committee
Meeting
2. City of Renton Ordinance 5826
3. Vancouver, WA Municipal Code Chapter 8.45
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Source of Income Discrimination Protection (SOID)
Description
In a competitive housing market, Section 8 voucher
holders and people whose primary income comes
from public assistance often face discrimination in
the private market, making it difficult for them to
access housing. Source of Income Discrimination
(SOID) disproportionately affects African
Americans, who make up the majority of Section 8
voucher recipients in Washington State, as well as
people with disabilities, veterans, and elderly
people. Under the Fair Housing Act and the
Washington Law Against Discrimination, it is
already illegal for landlords to discriminate based
on gender, race, ethnicity, religion, familial status
and other characteristics. Local and state Iegislation
to prevent discrimination based on source of
income can decrease barriers to accessing housing.
✓ Expands anti- discrimination
laws
✓ Increases access to housing for
vulnerable and very low
income residents
✓ Increases success of public
benefit programs
✓ Target Population: 50% AMI &
Below
HDC Recommended Tool
Benefits
This policy ensures that people already facing high barriers to housing are not discriminated
against and have access to available housing that they can afford. A 2001 study showed that Section
8 voucher holders experiences higher success rates in areas with SOID Protection legislation in
place..' Without SOID protection, many public benefit programs cannot achieve their goals of
stabilizing individuals and preventing homelessness.
Agencies that work with Section 8 voucher holders in South King County report an increase in
difficulty for their clients finding housing in the tight rental market of 2016. Renton Housing
Authority reported one instance of a family who lived in an apartment for several years receiving a
letter from the owner stating that they will no longer accept vouchers from any tenants, and the
family would need to move out. The difficulty of locating permanent housing for individuals and
families who have both a voucher and money available for move in expenses can put a strain on
local shelter systems that are already at capacity2.
Considerations for Implementation
This policy is relatively easy to enact from a technical perspective. However, the policy will likely
face political opposition from the property owner and management community. When
implementing, it is important to consider how that ordinance will be enforced and what
consequences landlords may face if they violate the ordinance. Advocates in Washington State have
been working for many years to pass SOID legislation at the state level.
1 Meryl Finkel and Larry Buron, "Study on Section 8 Voucher Success Rates: Volume I Quantitative Study of Success Rates In
Metropolitan Areas," Abt Asosications, Cambridge, MA, 2001, http: / /www.huduser.gov/ publications /pdf /sec8success.pdf.
2 http: / /kuow.org /post /seattle- shelters - are -so- crowded- some - people - sleep- chairs
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Application:
Redmond: After one of Redmond's large property owners, a national company called Archstone,
terminated tenancies of all their Section 8 voucher holders throughout the country, the Tenants
{lDiln and the Northwest Justice Project started organizing to fight for the tenants who lost
housing. Archstone responded to the public pressure and reinstated the residents, however only
three of the residents returned to Archstone housing, one after temporarily being homeless. After
this incident, Redmond City Council recognized the importance of protecting residents io their city
against source of income discrimination. In February 2012, Redmond City Council went outn pass
Ordinance 2645 which bans discrimination against Section 8 voucher holders.
Other cities in Washington State withS0lD protection include Bellevue, Kirkland, Redmond,
Unincorporated King County, Seattle, and Vancouver.
Enacted Ordinances (see city municipal codes ordinance text)
Redmond (Ordinance Z645); "No personal shall refuse to rent a dwelling unit to any rental
applicant solely on the basis that the applicant proposes to rent such unit pursuant to a Section 8
voucher or certificate issued under the Housing and Community Development Act of 1974 (42 USC
1437(F)); provided this section shall only apply with respect to a Section 8 certificate if the monthly
rent on such residential unit is within the allowable rent as established by the Department of
Housing and Urban Dmve)opcueot."
Seattle (SM[14.Q8: Unfair Housing Practicey):''"Discriroiuutioo" means any conduct, whether
by single act oraa part of a practice, the effect of which isto adversely affect ocdifferentiate
between or among individuals or groups of individuals, because of race, color, creed, religion,
ancestry, national origin, age, sex, marital status, parental status, sexual orientation, gender
identity, political ideology, honorably discharged veteran or military status, participation in a
Section 8 program, the presence of any disability or the use of a service animal by a disabled
person."
Vancouver (VMC 8.45): "No person shall refuse to rent a dwelling unit to any rental applicant on
the basis that the applicant proposes to rent such unit with a "source of income" as defined in this
Chapter."...""Source of income" includes income derived from social security, supplemental security
income, other retirement programs, and any federal, state, local, ornouprnfiL'adnoiuisterodbenefit
or subsidy programs, including housing assistance, public assistance, and general assistance
programs. "Source of income" does not include income derived in an illegal manner."
Resources
• Galvcz, Martha. What do We Know About Housing Choice Voucher Program Location
Outcomes: A Review of Recent Literature. What Works Collaborative. Aug. ZOl0.
• Finkel, Meryl, and Larry Buron. "Study on Section 8 Voucher Success Rates: Volume I
Quantitative Study of Success Rates In Metropolitan Areas." Cambridge, MA: 2001.
• Poverty & Race Research Action ConuciL
a Successful Housing Mobility Program. APPENDIX B: State, Local, and Federal Laws Barring
Discrimination. Updated March %O16.
• Washington Low Income Housing Alliance. "Provide
Discrimination." Jan. 23, 201S.
• Tenants Union of Washington State. "Source " Accessed Sept. 9,
El
CITY OF RENTON, WASHINGTON
ORDINANCE NO, 5826
AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, AMENDING TITLE VI
(POLICE REGULATIONS) OF THE RENTON MUNICIPAL CODE, BY ADOPTING A
NEW CHAPTER 6 -32, ENTITLED FAIR HOUSING REGULATIONS, TEMPORARILY
PROHIBITING PROPERTY OWNERS AND PROPERTY MANAGERS FROM
DISCRIMINATING AGAINST TENANTS OR POTENTIAL TENANTS ON THE BASIS OF
PARTICIPATION IN A SECTION 8 HOUSING CHOICE PROGRAM, ESTABLISHING
PENALTIES AND AN APPEAL PROCESS, AND DECLARING AN EMERGENCY AND
IMMEDIATE NEED FOR THIS ORDINANCE TO TAKE EFFECT UPON PASSAGE.
WHEREAS, a significant number of people are not able to secure adequate rental housing
without financial assistance, such as that provided pursuant to a Section 8 housing choice
voucher or certificate issued under the Housing and Community Development Act of 1974 (42
USC 1437f) ( "Act "); and
WHEREAS, there are limited quantities of dwelling units available for rent to those using
government assistance and the number of available units is decreasing as rents increase and
landlords are increasingly discriminating against and refusing to rent to those receiving
government assistance; and
WHEREAS, people receiving government assistance for housing are among Renton's most
vulnerable population; and
WHEREAS, when families lose their homes as a result of income source based
discrimination, they lack funds to move, risk being unable to find replacement housing close to
their workplace, risk becoming homeless, and their children risk disruption to their education and
social development by being forced to move away from their friends and schools in the middle
of the school year; and
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WHEREAS, it is essential to assure that housing is available to persons who need financial
assistance to secure decent housing; and
WHEREAS, there is currently state legislation planned to be introduced in the 2017
legislative session that would, if passed, help to address income source discrimination; and
WHEREAS, with winter approaching, children in the middle of their school year, and an
alarming increase in the number of landlords refusing to accept Section 8 housing choice
vouchers, it is necessary and appropriate to take immediate action to prohibit landlords from
discriminating solely on the basis of a tenant or potential tenant's source of income; and
WHEREAS, participation by landlords in government assistance housing programs is not
burdensome and provides a reliable steady source of income; and
WHEREAS, the Washington State Department of Commerce operates a landlord
mitigation program that provides financial resources to landlords in order to mitigate damages
that may be caused by tenants in the Section 8 housing choice voucher program; however, such
resources are only available to landlords in jurisdictions that pass ordinances that prohibit income
source discrimination; and
WHEREAS, the City Council intends to continue to monitor state legislation and further
examine alternative and additional opportunities to partner with other agencies and landlords to
protect our vulnerable populations from discrimination and provide an adequate supply of
affordable housing in a way that respects the interests of all involved parties; and
WHEREAS, the City Council needs time for it and the City administration to fully study the
issue and include all stakeholders, including landlords of all housing types, before adopting final
legislation; and
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ORDINANCE NO. 5826
WHEREAS, unmitigated risks posed by income source discrimination constitute a public
emergency, and it is necessary for immediate preservation of public peace, health, and safety to
impose a temporary prohibition on income source discrimination;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES
ORDAIN AS FOLLOWS:
SECTION I. Title VI (Police Regulations) of the Renton Municipal Code, is amended to
adopt a new Chapter 6-32, Fair Housing Regulations, to read as follows:
CHAPTER 32
FAIR HOUSING REGULATIONS
SECTION:
6-32-1: Income Source Discrimination Prohibited
6-32-2: Applicability To Housing Choice Vouchers and Certificates
6-32-3: Exceptions
6-32-4: Penalties
6-32-5: Appeals
6-32-6: Civil Remedy
6-32-1 INCOME SOURCE DISCRIMINATION PROHIBITED:
Property owners, property managers, landlords, and their agents, who rent or
lease dwelling units shall not refuse to rent or lease a dwelling unit to any tenant
or potential tenant or otherwise discriminate or retaliate against such person
solely on the basis that the person proposes to pay a portion of the rent using a
Section 8 housing choice voucher or certificate issued under the Housing and
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Community Development Act of 1974 (42 U.S.C. 1437f). "Dwelling unit" shall have
the meaning set forth in RMC 4-11-040,
This Section shall only be effective through August 1,2D17.
6-32-2 APPLICABILITY TOHOUSING CHOICE VOUCHERS AND CERTIFICATES:
The prohibition in RMC Section 6-32-1 does not apply with respect to the use of a
Section 8 housing choice voucher or certificate if the dwelling unit does not qualify
for participation in such program according to applicable public housing authority
guidelines. This may include disqualification due to monthly lease amounts or
other lease terms. However, refusal to allow a health and safety inspection of the
property by the public housing authority shall not serve as a basis for denying the
use of Section 8 voucher or certificate. Any property owner or manager that
refuses to rent a dvveU}nQ unit to a person based upon the proposed use of
Section 8 housing choice voucher or certificate shall notify such person inwriting
of the reasons why the dwelling unit is ineligible for participation in the Section 8
housing choice voucher or certificate program. The written notice shall specify
the specific condition of the property or lease terms that disqualify the dwelling
unit from participation in the Section 8 housing choice or certificate program.
Such condition or terms are not a defense to the application of RMC 6-32-1 if the
dwelling unit is offered to others with terms and conditions that would make the
dwelling unit eligible for the Section 8 program.
6-32-3 EXCEPTIONS:
Nothing in this chapter shall:
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A. Apply to the renting, subrenting, leasing, or subleasing a portion of a
single-family dwelling, wherein the owner or person entitled to possession thereof
maintains a permanent residence, home or abode therein;
B. Prohibit a religious organization, association, or society, or any nonprofit
institution or organization operated, supervised or controlled byorinconjunction
with a religious organization, association, or society, from limiting the rental or
occupancy of dwellings which it owns or operates for other than a commercial
purpose to persons of the same religion, or from giving preference to such
persons, unless membership in such religion is restricted on the basis of race,
color, national origin or other illegal discriminatory basis;
C. Be construed to prohibit treating people with disabilities more favorably
than people who do not have disabilities; or
D. Be construed to protect criminal conduct.
6-32-4 PENALTIES:
A. A violation of this Chapter is punishable byan order imposing a civil penalty
in the amount of one thousand dollars ($1,000). A second violation of this Chapter
by the same person within a two (2) year period is punishable by a civil penalty in
the amount of-two thousand five hundred dollars ($2,500). Any order imposing a
civil penalty pursuant to this section shall summarize the factual and legal basis
for the violation and notify the recipient of the right to appeal the fine pursuant
to RMC Section 6-32-5.
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ORDINANCE NO. 5826
B. A third violation of this Chapter by the same person within a three (3) year
period is be punishable as a gross misdemeanor with a jail sentence of up to three
hundred sixty-four (364) days and up to a five thousand dollar ($5,000) fine, plus
restitution.
6-32-5 APPEALS:
A. Any person ordered to pay a civil penalty pursuant to RMC Section 6-32-4
may appeal the penalty by filing with the City Clerk a written appeal setting forth
the legal and factual basis for the appeal and identifying the City order in which
the penalty is assessed. Such identification may be done by referencing a City
tracking number that was included on the order and/or providing a copy of the
order with the appeal. To be considered, the appeal must be received and date
stamped by the City Clerk's office no later than fourteen (14) days after the fine
was issued. The City Clerk will forward all timely appeals to the Community and
Economic Development Administrator, or designee.
B. The Administrator, or designee, will review the appeal and either affirm or
repeal the order imposing the civil penalty based upon written findings and fact
and conclusions of law. The Administrator, or designee, may reduce the amount
of the civil penalty upon a finding that the violation did not occur in bad faith and
any known victims of the violation have been fully compensated for damages
suffered as a result of the violation. The Administrator, or designee, may request
additional information necessary to make the decision and/or choose to hold an
informal hearing to solicit evidence.
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ORDINANCE NO. 5826
C. If the penalty is not repealed, the person who has been ordered to pay the
civil penalty may appeal the Administrator's decision to the Hearing Examiner
pursuant to the process in RMC 4-8-110.E. The City shall have the burden of proof
to establish the violation by a preponderance of the evidence. No appeal fee shall
be required.
6-32-6 CIVIL REMEDY:
Any person who has been damaged by a violation of RMC Section 6-32-1 may seek
to recover civil damages in a court of competent jurisdiction to the extent such
action is allowed by law.
SECTION 11. Should any section or provision of this ordinance be declared by a court of
competent jurisdiction to be invalid, that decision shall not affect the validity of the ordinance as
a whole or any part thereof, other than the part so declared to be invalid.
SECTION Ill. This ordinance being passed by a unanimous City Council with a finding
urgency required by RCW 35A.11.090(2), and hereby being declared a public emergency
ordinance pursuant to RCW 35A.12.130, shall be in full force and effect immediately upon
passage. A summary of this ordinance, consisting of this ordinance's title, shall be published in
the City's official newspaper.
PASSED BY THE CITY COUNCIL this 7th day of November, 2016.
Jason A. Seth, City Clerk
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APPROVED BY THE MAYOR this 7th day of November, 2016.
Denis Law, Mayor
Approved as to form:
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SEAL
Lawrence J. Warren, City Attorney
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Date of Publication: 11/11/2016 (summary)
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M
Chapter 8.45
SOURCE OF INCOME PROTECTION
Sections:
0.45.010 Definitions
0.45.020 Refusal to rent based ou source o[ income prohibited
0.45.030 Exceptions
Section 8.45.010 Definitions
}\a used io this section:
"Dwelling unit" means any building or portion thereof which contains living facilities including provisions
for sleeping, cadog'000bjogaodauoi(adou,iocludio800tnoon:tbuu000kitcbuofhruotruon:tbuouue
family.
"Source of income" includes income derived from social security, supplemental security income, other
retirement programs, and any federal, state, local, or nonprofit-administered heuofi1or subsidy programs,
including housing assistance, public assistance, and general assistance programs.
"Source of income" does not include income derived iouo illegal manner.
(M4|3O. Added, O9/2l/2Ol5.See l-Dffeubvo 10/21/2015)
Section 8.45.020 Refusal bo rent based on source oƒincome prohibited
No person shall refuse to rent dwelling unit to any rental applicant on the basis that the applicant proposes
to rent such unit with a "source of income" aodefined in this
(M-4136, Added, 09/21/2015, See 3-Effective 10/21/2015)
Section 8.45.030 Exceptions
Nothing in this chapter shall:
A. A�n�'todue or of portion of dwelling, -- the owner or person entitled to possession thereof maintains a permanent residence, home or abode
wherein therein;
B. Be interpreted N prohibit any person from making o choice among prospective tenants oo the basis of
factors other than the source of income;
l. If income screening criteria are elected to be used, any source of income in the form of a rent
voucher or subsidy must be subtracted from the total of the monthly rent prior to calculating if the income
criteria have been met.
C. Prohibit oreligious organization, association, or society, oz any nonprofit institution or organization
operated, supervised oz controlled bvorin conjunction with a reli ioue organization, uauouiudou` or
society, from limiting the rental nr occupancy of dwellings which it owns oc operates for other than u
commercial purpose topersons of the same religion, or from giving preference to such persons, ooJuau
845'l
membership in such religion is restricted on the basis of race, color, national origin or other illegal
discriminatory basis;
D. Be construed to prohibit treating people with disabilities more favorably than people who do not have
disabilities;
E. Be construed to protect criminal conduct; or
F. Prohibit any person from limiting the rental or occupancy of a dwelling based on the use of force or
violent behavior by an occupant or prospective occupant, including behavior intended to produce fear of
imminent force or violence against the person or property of the owner, manager, or other agent of the
owner.
(M-4136, Added, 09/21/2015, Sec 4-Effective 10/21/2015)
8.45-2
IMI