Huntington Park Municipal Code Ch. 21 Rent Stabilization

The City Council of the City of Huntington Park finds:

(a) The continued rise in rental rate has contributed to a housing affordability crisis, with the majority of renters in Huntington Park being "rent-burdened," paying over 30% of their income towards rent.

(b) A significant percentage of residents face difficulty maintaining affordable, stable and adequate housing.

(c) The purpose of these provisions is to promote long-term stability in the rental market by limiting unreasonable rent increases while allowing landlords a fair and reasonable return on investment. This chapter establishes guidelines for permissible rent increases, the application process for rent adjustments, and protections for both tenant and landlords.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

"Capital improvement"

shall mean significant additions or upgrades that materially extend the life of the property, distinct from routine maintenance or repairs covered by insurance.

"City"

refers to the City of Huntington Park.

"Covered rental unit"

shall mean any residential unit rented to tenants unless explicitly exempt pursuant to Section 8-21.3 (Applicability and exemptions).

"Department"

means the Community Development Department of the City of Huntington Park, or other department designated by the City Council to administer the provisions of this chapter.

"Director"

means the Director of Community Development of the City of Huntington Park or designee.

"Landlord"

shall mean any property owner or any other person legally entitled to offer any rental unit for rent or entitled to received collect rent for the use and occupancy of a rental unit.

"Person"

shall mean any natural person or legal entity that has legal rights and responsibilities.

"Rent"

shall mean the amount paid by a tenant for the use of a rental unit, including access to housing services.

"Rental agreement"

shall refer to an agreement between a landlord and a tenant for the use or occupancy of a rental unit.

"Rent ceiling"

refers to the maximum allowable rent which a landlord may charge on any controlled rental unit.

"Rental unit"

shall refer to any dwelling unit as defined under California Civil Code Section 1940(c), located in the jurisdictional boundaries of the City of Huntington Park and that is used or occupied for human habitation in consideration of payment of rent. "Rental unit" refers to a specific dwelling located within a property and not the entire property or building that can encompass multiple rental units.

"Tenant"

shall mean any individual who leases a rental unit from a landlord. This includes, but is not limited to, a tenant, subtenant, lessee, sublessee, or any other person entitled under the terms of a rental agreement to the occupancy of a rental unit.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Any person with an ownership interest in a rental unit shall register the rental unit in accordance with this chapter.

(b) Certain provisions of this chapter shall not apply to residential units expressly exempt pursuant to any provision of State of Federal law, and those specifically exempt as follows:

(1) Any rental unit that has a certificate of occupancy or equivalent permit for residential occupancy issued or issued final after February 1, 1995. For this purpose, certificate of occupancy is the certificate first issued before the property is used for any residential purpose.

(2) Any rental unit that is alienable separate from the title to any other dwelling unit, including single family residences, condominiums, and townhomes.

(3) Any rental unit, space, or resident covered under the provisions of the state Mobilehome Residency Law, Civil Code Section 798, et seq., as applicable.

(4) Any rental unit that is a subdivided interest in a subdivision, as specified in California Business and Professions Code Section 11004.5(b), (d), and (t).

(5) Any rental unit for which the Landlord receives Federal, State, or local housing subsidies, including, but not limited to, Federal housing assistance vouches issued under Section 8 of the United States Housing Act of 1937 (42 U.S.C. Section 1437f).

(6) Residential real property containing no more than two rental units in which the owner occupies one of the units as the owner's principal place of residence since the beginning of the tenancy, so long as the owner continues in occupancy. For purposes of this subsection:

(i) The term "owner" means a Person who owns at least a 25% ownership interest in the residential real property.

(ii) An exemption under this subsection shall expire by operation of law when the owner ceases to reside on the property as their principal place of residence. It shall be the owner's responsibility to inform the Department of the change in occupancy and enroll the rental unit in the City's Covered Rental Unit Registry as required by this chapter within six months of the change in owner occupancy.

(c) Any person with an ownership interest in a rental unit may claim an exemption from this chapter by filing an application with the Department in a form approved by the City.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

No landlord shall demand, accept, or retain any rent for any covered rental unit except as allowed pursuant to this chapter.

(a) Annual Rent Cap. Rent increases on covered rental units are capped at 3% per year or 100% of the Consumer Price Index (CPI) for the Los Angeles-Long Beach-Anaheim region, whichever is lower.

(b) Frequency. Rent on covered rental units may only be increased once during a 12-month period.

(c) Initial Rent Ceiling. Landlords may set market rent when a rental unit becomes lawfully vacant as allowed pursuant to the provisions of this chapter, but subsequent rent increases must follow the annual rent cap guidelines. No new market rent may be set if the most recent tenancy was terminated in violation of this chapter.

(d) No Banking of Increases. Landlords may not bank unused rent increases from previous years for future use. This chapter will be enforceable prospectively.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) 50% Pass-Through. Landlords may pass through 50% of capital improvement costs to tenants in covered rental units provided:

(1) The improvement benefits tenants directly, such as upgrades in plumbing, roofing, central air conditioning and heating, mini-spilt units that provide heating and/or air conditioning systems.

(2) Costs are amortized over a minimum period of five years for affected or current tenants.

(3) Capital improvements cannot include regular maintenance or repairs from wear and tear, repairs covered by homeowner's insurance or be the result of landlord's failure to perform regular maintenance.

(4) Landlords notify tenants at least 30 days in advance and provide detailed documentation on cost, which must be approved by the Community Development Director.

(5) Approval Required. The Department must approve any capital improvement pass-throughs before they can be passed to tenants.

(6) Application Process. The landlord must apply to the Department of Community Development for recovery of capital improvement costs, on a required form approved by the Department, within six months of completing the capital improvement.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Fair Return. If a landlord believes that the permissible rent increase under Section 8-21.4 prevents them from receiving a fair and reasonable market return on investment as determined by the Community Development Director on a covered rental unit, they may file an application for a rent adjustment with the Community Development Department. The landlord must submit all expenses including mortgage loan payments, taxes, utilities, insurance, photographs and other miscellaneous expenses as determined by the Community Development Director.

(b) Criteria for Adjustment. The landlord must provide detailed financial records demonstrating that the rent limitations are causing a net operating income to fall below acceptable market levels as determined by the Community Development Director.

(c) Review and Approval of Application for Rent Adjustment. The Community Development Department shall consider the following factors as well as any other relevant factors in reviewing the application and making its determination:

(1) The landlord's income and expenses relative to the covered rental property's net operating income.

(2) Changes in property taxes to be paid by a landlord.

(3) Changes in the CPI.

(4) The history of any prior hearings of determinations on an application for a rent adjustment by a landlord.

(5) The addition of capital improvements on a rental property.

(6) The need for repairs caused by circumstances other than ordinary wear and tear.

(d) Tenant Notice. Landlords must provide at least 30 days' notice to tenants of any approved rent increase beyond the cap. The landlord must provide notice to tenant via personal service or certified mail return receipt requested.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Until July 1, 2024, Section 1950.5 of the California Civil Code limited the amount of security deposits to two times the monthly rent for unfurnished units or three months' rent for furnished units.

(b) After July 1, 2024, the law limits security deposits to one month's rent. For landlords who own no more than two residential rental properties that collectively include no more than four total units for rent, the limit is two times the monthly rent, but only if the landlord is a natural person or a limited liability company in which all members are natural persons.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Just Cause Evictions. Landlords may only evict tenants for specific reasons, including:

(1) Nonpayment of rent; unpaid rent must exceed one full month of the tenant's contract rent.

(2) Material breach of the lease.

(3) Illegal activities or property damage.

(4) Assigning or subletting the premises in violation of the tenant's lease.

(b) Notice to Cure Just Cause Evictions. Before a landlord issues a notice to terminate a tenancy for just cause that is a curable lease violation, the owner shall first give notice of the violation to the tenant with an opportunity to cure the violation pursuant to paragraph (3) of Section 1161 of the Code of Civil Procedure. If the violation is not cured within the time period set forth in the notice, a three-day notice to quit without an opportunity to cure may thereafter be served to terminate the tenancy.

(c) No-Fault Evictions. Includes any of the following:

(1) Landlord's intent to occupy the covered rental unit by the landlord or their spouse, domestic partner, children, grandchildren, parents, or grandparents.

(i) If the intended occupant fails to occupy the rental unit within 90 days after the tenant vacates or fails to occupy the rental unit as their primary residence for at least 12 consecutive months, the owner shall offer the unit to the tenant who vacated it at the same rent and lease terms in effect at the time the tenant vacated and shall reimburse the tenant for reasonable moving expenses incurred in excess of any relocation assistance that was paid to the tenant in connection with the written notice.

(2) Withdrawal of the covered residential unit from the rental market for an anticipated period of at least 24 months, as affirmed by the landlord in a written affidavit submitted to the City. Landlord must withdraw all units on the property.

(3) The landlord complying with any of the following: (i) an order issued by a government agency or court relating to the habitability that necessitates vacating the covered rental unit; (ii) an order issued by a governmental agency to vacate the covered residential unit; or (iii) a local ordinance that necessitates vacating the covered residential unit.

(4) Intent to demolish or to substantially remodel the covered residential unit as determined by the Community Development Director. The demolition and/or substantial remodel will require the submitted improvement plans.

(d) Relocation Assistance. For termination for no-fault termination, the landlord must either: (i) provide relocation assistance equivalent to two months' rent for no-fault eviction due to reasons; or (ii) waive in writing the payment of rent for the final two months of the tenancy, prior to the rent becoming due.

(1) If a landlord issues a notice to terminate a tenancy for no-fault, the landlord shall notify the tenant of the tenant's right to relocation assistance or rent waiver, and all other rights pursuant to this section.

(e) Just Cause or No Fault Termination. When terminating a tenancy either for just cause or no-fault, a landlord must comply with all of the following:

(1) The landlord must serve a written notice in accordance with Civil Code Sections 1946 through 1946.5, to the tenant that states that, in addition to any information required by federal or state law, the landlord will terminate the tenancy, and that indicates at least one at-fault or no-fault just cause reason as provided in this section;

(2) The landlord has not accepted and will not accept rent or any other consideration in return for the continued use of the covered rental unit beyond the term of the terminated tenancy in compliance with Civil Code sections 1945 through 1946.5;

(3) The landlord qualifies the termination as at-fault or no-fault just cause, as specified in this section;

(4) The landlord has submitted to the City, within five days after service of the notice of termination on the tenant, a true and accurate copy of the landlord's written notice of termination, and proof of such service, signed under penalty of perjury, on the tenant, through the City's Rental Registry. The landlord shall maintain proof of service to the City as evidence that the landlord has complied with this section; and

(5) The landlord must provide the notice in the language that the owner and tenant used to negotiate the terms of the tenancy, in addition to English.

(f) Buyout Offers and Notices. A landlord must inform a tenant of certain rights before offering any form of compensation in exchange for a tenant's agreement to voluntarily vacate a covered rental unit. The information must be given in writing to each tenant in a unit with respect to which buyout offer is made, on a City-approved form. The landlord must retain a copy of the form along with a record of when it was given to the tenant for at least five years after it is signed. The disclosures should include:

(1) The right to refuse the offer;

(2) The right for the tenant to consult a lawyer;

(3) A 30-day right for the tenant to rescind its acceptance of the landlord's buyout offer;

(4) A statement that the tenant may visit the Department to compare its offer to other buyout offers in the tenant's neighborhood and other relevant information;

(5) The form must include a place for the landlord to sign, together with a date of the landlord's signature, verifying that the required notice was provided to the tenant, a place for the tenant to sign, verifying that he or she received the notice;

(6) The form must include the amount of relocation fees required under subsection (d) of Section 8-21.8; and

(7) Any other information deemed necessary by the Director.

(g) Anti-Retaliation.

(1) Prohibition Against Retaliation. No landlord shall retaliate against a tenant by raising rent, reducing services, failing to perform necessary repairs, threatening eviction, or initiating eviction proceedings because the tenant has exercised their legal rights under this chapter, including, but not limited to:

(i) Reporting habitability concerns or violations to local authorities;

(ii) Joining or organizing tenant associations;

(iii) Participating in rent stabilization program;

(iv) Requesting repairs or maintenance;

(v) Filing complaints about rent increases or unsafe conditions; or

(vi) Exercising any other rights protected under local, State or Federal law.

(2) Presumption of Retaliation. If a landlord takes any adverse action such as rent increases, eviction threats, or reductions in services, within 180 days of a tenant engaging in a protected activity, it shall be presumed that the landlord's actions are retaliatory. The landlord may rebut this presumption by providing clear and convincing evidence of a legitimate, non-retaliatory reason for the action.

(3) Remedies for Retaliation. Tenants who are victims of retaliation are entitled to:

(i) Reinstatement of rental terms prior to the retaliation action (e.g., reversal of rent increase or restoration of services);

(ii) Damages, including, but not limited to, emotional distress and relocation expenses, where applicable;

(iii) Civil penalties to deter further retaliatory actions; and

(iv) Attorneys' fees and court costs, if successful in proving retaliation.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Petition Process. Tenants in a covered rental unit may file a petition on a City-approved form with the Community Development Department if they believe a rent increase is not in compliance with this chapter, is unjustified or if housing services have been reduced (e.g., decreased maintenance, utilities not provided).

(b) Tenant's Burden of Proof. Tenants must provide evidence that the rent increase violates the ordinance or that services have been reduced.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Rental Registry Required. No landlord shall demand, accept, or retain any rent for a covered rental unit without first registering the covered rental unit and serving on the tenant or displaying in a conspicuous place in the manner set forth in this section, proof of registration. All rental units, exempt or non-exempt must be registered. Any and all action taken on a rental unit that is not registered will be null and void. Any and all rent or rent increased collected from the landlords for a non-registered unit, shall be returned or credited to the tenant.

(b) Registration Process.

(1) Within 60 days after the effective date of this chapter for the initial registration, and on or before December 30th of each subsequent year, a landlord must register with the Department each rental unit that is rented or available for rent for a term exceeding 30 consecutive days by filing a rental registration in a form approved by the City. The landlord shall provide the rent amount and tenancy information for every rental unit on the rental registration form. Registration is complete only when any and all fees under this chapter have been paid and all of the following information is provided: ownership information; property information; year built; certificate of occupancy date or the date the final permit was issued by the City; the number of total rental units in the rental property; the number of bedrooms and bathrooms for each rental unit; tenant information, including names and move-in dates; the amount of rent in effect at the time of registration and the date and amount of the last rent increase; and description of the housing services.

(2) After the initial rental unit registration, the landlord shall:

(i) Update the rental registration annually and submit requisite registration fee as determined and established by the City;

(ii) Update the rental registration within 30 days of the start of a new tenancy; and

(iii) Update the rental registration if there is any subsequent change in the tenancy or ownership (i.e., change in ownership or management or change in owner's or manager's contact information).

(iv) It is the responsibility of the landlord, property owner, and seller to register the rental unit before the sale, and to update the rental registry with the new property owner information after the sale, in addition to disclosing the rental ordinance requirements to the new seller before the sale is finalized.

(3) A landlord of a rental unit which is not registered with the City because of a claim of exemption, shall provide the City, on a form approved by the City and accompanied by supporting documentation, a written declaration stating the facts upon which the landlord bases a claim of exemption from this chapter. If a landlord fails to submit a written declaration and supporting documents by December 30, 2024, and December 30 of each year thereafter, the rental unit shall be deemed to be subject to the provisions of this section. If a landlord declares that the rental unit is not subject to the registration requirements of this section because the rental unit is vacant, the landlord shall provide a certification to the Department declaring that the rental unit is and shall remain vacant, and the rental unit shall be secured against unauthorized entry.

(4) For every rental unit for which a landlord is required to register pursuant to this section, the landlord shall post a notice in form provided by the City, providing information about this chapter and the Department's contact information. Notices must be posted in a conspicuous location in the common area, at the entry or entries to the building(s) or units, or other similar location(s) as necessary to provide tenants a reasonable opportunity to view the notice. If there is no common area or similar location, this requirement may be satisfied by mailing the notice to each tenant of the building, by certified mail, return receipt requested. The notice shall be written in English and Spanish, and in any other languages as required by the City.

(5) Failure to Register. Aside from not demanding, accepting, or retaining any rent, landlords who fail to register their units may not enforce rent increases or evictions.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Penalties for Non-Compliance.

(1) Civil Penalty. Any person violating any of the provisions, or failing to comply with any of the requirements, of this chapter may be liable for a civil penalty not to exceed $1,000 for each violation.

(2) Criminal Penalty. Any person violating any of the provisions or failing to comply with any of the requirements of this chapter shall be guilty of a misdemeanor and punished by a fine of not more than $1,000, or by imprisonment in the County Jail for a period of not more than six months, or by both.

(3) Each violation of any provision of this chapter, and each day during which any such violation is committed, permitted or continued, shall constitute a separate offense.

(b) Rent Increases Ineffective. Any rent increase imposed without following the proper registration or notice procedures is considered void.

(c) Appeals Process. Tenants or landlords may appeal decisions made under this chapter to a hearing officer within 30 days.

(d) The above remedies are not exclusive and do not preclude the City or any tenant from seeking other remedies or penalties provided by applicable law.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Administrative Review. The Director's decision on a rent adjustment application, tenant petition for adjustment or a pass-through cost recovery application will be issued in a notice of decision.

(1) The Director shall review and evaluate applications pursuant to this Chapter and issue a notice of decision in accordance with adopted procedures and regulations.

(2) The Director may request documents, interview witnesses and affected parties, and gather necessary evidence to review and make appropriate conclusions and findings.

(3) The Director's decision may be appealed to a hearing officer in accordance with the following procedures as set forth herein.

(b) Appeals Process. Parties may file an appeal and request a hearing with the City Clerk no later than 30 calendar days after the Director issues a notice of decision. Appeals will be heard by a hearing officer. If the filing deadline falls on a weekend, holiday, or other day when City Hall is officially closed, the filing deadline will extend to the following City Hall business day.

(c) Hearing Dates. A hearing on a request for appeal will be scheduled before a hearing officer for a date no sooner than 15 days and no later than 60 days after receipt of the request for appeal and proof of service, unless the hearing officer determines that good cause exists for an extension of time. Upon setting the hearing date, the hearing officer shall send written notice to the appealing party of the date, time and place set for the hearing. Within five calendar days of receipt of the notice of hearing, the appealing party shall deliver a copy of the notice to each affected tenant or landlord, as applicable, via personal service or certified mail return receipt requested.

(d) Public Hearing. Appeals are conducted in a public hearing, and both parties may present evidence. At the hearing, the hearing officer shall review the record of the decision and hear testimony of the party requesting the appeal, representatives of the Department, and any other interested party. The hearing officer may continue the hearing and request additional information from the landlord or tenant before issuing a written decision.

(e) Application and Materials. At an appeal hearing, the hearing officer shall consider only the administrative record that was the subject of the Department's final decision.

(f) Hearing Continuance. The hearing officer may, in his or her discretion, grant a continuance of the hearing date upon a request and a showing of good cause. The request must be made in writing and be received by the hearing officer at least five business days prior to the hearing date. If the landlord is requesting an extension, the landlord must personally deliver a copy of the request to the affected tenant(s). If a tenant is the party requesting an extension, the tenant must personally deliver a copy of the request to the landlord or landlord's agent. In no event shall the continuance be longer than 15 calendar days from the originally scheduled hearing date.

(g) Decision and Notice. After the hearing, the hearing officer shall affirm, modify or reverse the decision and specify the reasons for its decision or refer the matter back to the Department for further review.

(1) Decisions shall be rendered within 30 days of the close of the hearing.

(2) The hearing officer shall mail the hearing officer's decision to the affected parties within 10 days after it is rendered.

(3) The decision of the hearing officer shall be final and not subject to further appeal.

(h) Final Decision. The decision of the hearing officer shall be final and not subject to further appeal.

(i) Judicial Review of Hearing Officer Decision. Any person directly aggrieved by an administrative decision of a hearing officer pertaining to a request for appeal of a Director's decision under this chapter, may seek judicial review in the court pursuant to Government Code Section 53069.4 and/or Code of Civil Procedure Sections 1094.5 and 1094.6.

(j) Hearing Officer. The City Manager shall establish procedures for the selection of a hearing officer. Hearing officers shall be selected in a manner that avoids the potential for pecuniary or other bias. In no event shall the hearing officer be the Director. The compensation, if any, of the hearing officer shall be paid by the City. Compensation shall not be directly or indirectly conditioned upon whether or not decisions of the City are upheld by the hearing officer.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

Any landlord or tenant who violates any provisions of this chapter, or Department's procedures and guidelines, may be subject to an administrative citation and fine as provided for in Chapters 5 of Title 1 of the municipal code.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Tenant Legal Rights. Tenants may bring a civil lawsuit against landlords for violations of this chapter. Remedies may include injunctive relief, damages, and attorneys' fees.

(b) Eviction Defense. A tenant may use a landlord's failure to comply with the ordinance as a defense to eviction.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

(a) Landlords must provide to each tenant, prior to, or at the time of agreeing to rent or lease a rental unit, a notice of tenant rights under this chapter. The Department shall publish a form notice of tenant rights in English and any other frequently spoken languages.

(b) Landlords must provide the form notice in the following circumstances:

(1) When entering into a rental agreement, by including a copy of the form notice as an exhibit or attachment to the written rental agreement.

(2) When renewing a rental agreement.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)

The City Manager and City Attorney shall take all necessary steps to implement this chapter, including the creation of forms, public information, and administrative procedures.

(Ord. 2024-05, eff. December 18, 2024; Ord. 2025-14, eff. January 8, 2026)