Chapter 4.04 — RENT REVIEW COMMISSION

There is created within the city a rent review commission, consisting of five members, appointed by the city council, to serve at the pleasure of the city council. (Ord. 1213 § 3, 1984)

Persons selected to serve on the rent review commission shall be residents of the city able and willing to render fair and impartial decisions in matters pertaining to the administration of Chapter 4.02 and this chapter. No person shall be eligible to serve on the rent review commission who is a landlord or a tenant of a rental unit or units subject to the provisions of Chapter 4.02 of this code.

(Ord. 1213 § 3, 1984)

• (a) Except as otherwise provided herein, members of the commission shall serve for the term provided by Chapter 2.06 of this code. A vacancy in the commission shall not impair the right of the remaining members to exercise the powers of the commission pursuant to this chapter. Three members shall constitute a quorum of the commission. Any motion or action of the commission establishing or changing policy, or making any recommendation to the city council relating to rent control, or otherwise purporting to represent the collective opinion of the entire commission on legislative or policy matters, shall require the affirmative vote of three members of the commission for passage. Other actions of the commission, including, without limitation, decisions on petitions for hardship rent increases and normal procedural motions in the course of proceedings, of the majority of a quorum, provided a quorum is present.

• (b) Notwithstanding the provisions of Section 2.06.010 of this code, if a matter is pending before the commission when a commissioner's term of office is completed or a commissioner becomes otherwise disqualified to serve, the city council may, upon request by the commission, appoint said commissioner as a commissioner pro tem for the limited purpose of continuing participation in the matter then pending through completion.

• (c) If a matter comes before the commission which is reasonably expected to continue beyond the time a commissioner's term of office will be completed, or the time a commission anticipates becoming otherwise disqualified to serve, the city council may, upon request by the commission appoint a commissioner pro tem for the limited purpose of participating in said matter through completion.

• (d) A commissioner pro tem shall not participate in any matter other than that for which the appointment is made. Nothing contained herein shall preclude the city council from appointing a successor commissioner, the same as if a commissioner pro tem appointment had not been made except the newly appointed commissioner shall not participate in any matter for which the pro tem appointment was made. A commission pro tem shall not be excluded from consideration for appointment to another board or commission of the city by reason of such pro tem appointment.

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City of Palm Springs, CA § 4.04.030

PALM SPRINGS CODE

§ 4.04.050

(Ord. 1213 § 3, 1984; Ord. 1299 § 9, 1988)

All candidates for appointment to the rent review commission shall disclose a verified statement all present holdings and interests in real property, including interests in corporations, trusts or other entities owning real property within this jurisdiction, as defined by California Government Code Section 82035. Such disclosure statement shall be made available to the city council prior to appointment of members of the commission, and shall be filed with city clerk not less than ten days after appointment. Disclosure of holdings required herein shall be in addition to any other disclosure required by state or local law for holders of public office. (Ord. 1213 § 3, 1984)

Members of the commission shall receive no compensation for their services on the commission as such, but shall be entitled to receive thirty dollars per member per hearing session attended with a maximum of sixty dollars per day for the conduct of hearings of landlords' petitions for hardship adjustment of rent. A commissioner who is absent from a hearing session and who thereafter receives a copy of each of the exhibits which were presented at that session and listens to a tape recording of that session shall be entitled to payment as if that session had been attended.

(Ord. 1213 § 3, 1984; Ord. 1299 § 10, 1988)

Within the limitations provided by law, the rent review commission shall have the following powers and duties.

• (1) To meet at such times as may be regularly scheduled by the commission, or from time to time at the call of the chairman to hear and determine petitions filed hereunder, at the request of the city manager, or otherwise to conduct business of the commission, and to utilize city offices or facilities as needed and as available;

• (2) To receive, hear and determine petitions or other requests of tenants, landlords, or other interested persons for interpretations of the ordinance or for a review of landlord's actions, proposed actions, or alleged violations of Section 4.02.075 pursuant to Chapter 4.02. In hearing such petitions or requests of tenants, landlords, or other interested persons, except as authorized by subdivisions 4 of this subsections (f), the commission shall have no authority to fix or award civil penalties, damages, or the attorneys' fees of any tenants, landlords, or other interested persons, but shall have the authority to assess against a landlord appearing in such proceedings the actual costs, in whole or in part, including the attorneys' fees incurred by the commission in the conduct of such proceedings in those cases where the commission shall find and determine the landlord has violated any of the provisions of this chapter. The findings and determinations or decisions of the commission shall be available in written form for use in any judicial proceeding which may be brought pursuant to this Chapter 4.08;

• (3) To receive, investigate, hear and determine petitions of landlords for hardship adjustment of rent pursuant to Section 4.02.065;

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City of Palm Springs, CA

§ 4.04.050

§ 4.04.055

RENT

• (4) To make or conduct such independent hearings or investigations as may be appropriate to obtain such information as is necessary to carry out its duties, and to delegate its power to hear individual rent-adjustment petitions to its individual members as hearing examiners, or to such other hearing examiners as may be appointed by the city council, or to panels of two or more of such members or other hearing examiners. The commission shall review and make the final determination based upon the findings of such hearing examiners or panels. All decisions of the commission shall be prospective, and not retrospective, in operation and application. The commission shall have no power or authority to order the reimbursement of rent by a landlord to tenants, nor to authorize any landlord to impose retroactively any increase of rent. If the commission shall find that a landlord has accepted, received or retained any rent payment in excess of the amounts permitted by Chapter 4.02, or that the landlord has otherwise violated the terms of the ordinance, the remedy of the tenant shall be a judicial proceeding pursuant to Section 4.02.090 of this code. Nothing stated herein shall be construed to prohibit or preclude voluntary adjustment or settlement of any claims or causes of action which may exist between the landlord and the tenant;

• (5) To authorize an increase in the maximum amount of rent otherwise permitted to be charged by a landlord pursuant to Chapter 4.02. Such authorization shall be given only in those cases where the commission finds that the application of Chapter 4.02, apart from such authorized increase, results or would result in undue hardship to the landlord, or would prevent a landlord from obtaining a just and reasonable return on the owner's property. Such authorization to increase the maximum rent may be granted for a stated period of time, or permanently as appropriate according to the facts. Such adjustment of maximum rent may take the form of a redetermination of base rent, a surcharge of a given dollar or percentage amount, a separate charge for utility or other services, or such other form as the commission shall find most appropriate. In determining whether a hardship rent increase should be authorized, the commission may consider, among other relevant factors, increased costs to the landlord or owner attributable to increases or decreases in master land and/or facilities lease rent, utility rates, property taxes, insurance, advertising, debt service cost, governmental assessments and fees, incidental services, normal repair and maintenance, capital improvements, upgrading and addition of amenities or services, net operating income, as well as just and reasonable return on the owner's property;

• (6) To render, at least semiannually, a written report to the city council concerning its activities, rulings, actions, results of hearings, and all other matters pertinent to Chapter 4.02, including recommendations for amendment thereof;

• (7) To adopt, promulgate, amend and rescind administrative rules of procedure. Nothing in this subsection shall be construed as authority for the commission to make any administrative rules affecting the substantive rights of either landlords or tenants;

• (8) To maintain and keep at City Hall, hearing files and dockets listing the time, date and place of hearings, the parties involved, the addresses of said parties, and final disposition of each such petition with appropriate findings;

• (9) To recommend to the city council the adoption of a fee schedule setting such fees and charges as appear necessary or desirable to defray in whole or in part the cost of administration of the commission and conduct of its assigned duties.

• (Ord. 1213 § 3, 1984; Ord. 1299 § 11, 1988; measure KK § 2(c), 1994)

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City of Palm Springs, CA § 4.04.055

PALM SPRINGS CODE

§ 4.04.060

• (a) Any tenant of a residential unit affected by this title, upon payment of such filing fee as shall be duly established, may petition the commission for an interpretation of this title, or for a determination whether a proposed or actual action by the landlord of such tenant is legal, valid, and within the terms of this title. If the commission shall establish forms for such petitions, the petition shall be prepared and submitted upon such form. In the absence of such designated form, the petition shall contain the name, address, and telephone number, if known, of the landlord, owner, manager, or other person authorized to represent the owner of the rental unit, a brief statement of the facts giving rise to the request for interpretation or determination, and a statement that a copy of the petition has been personally served or mailed to the owner, manager or other person authorized to accept and receive notices to the landlord.

• (b) Any landlord of a residential unit affected by this title may, upon payment of such filing fee as shall be duly established, petition the commission for an interpretation of this title, or for a determination whether a particular proposed course of action by said landlord is allowable, valid and in conformity with this title. The commission may designate forms for the filing of such petitions. In the event that no such form has been designated, the petition shall be in writing, and shall contain the name, address and telephone number, if any, of the person requesting the interpretation or opinion, the name and address of each tenant of a rental unit owned or managed by the person requesting the interpretation of opinion, if it is intended that such interpretation or opinion affect such rental unit, a brief statement of the facts giving rise to the request for interpretation or opinion, and a statement that a copy of such petition has been personally served upon or mailed to each such tenant who might be affected thereby.

• (c) A landlord, or any representative of the owner, lessor, operator or manager of a rental unit affected by this title, upon payment of such filing fee as shall be duly established, may petition the commission for a hardship increase of the maximum rent permitted to be charged pursuant to this title. If the commission shall designate a form for the filing of such petition, such petition shall be filed upon such form. If no such form shall be designated, such petition shall be in writing, verified by the applicant, and shall contain the name, address and telephone number of the applicant, the name and address of the tenant of each rental unit which would be affected if the petition were granted, a statement of the facts giving rise to the petition for hardship increase in sufficient detail that, if established, such facts would demonstrate the existence of a hardship upon the landlord warranting such hardship increase, a statement that a copy of the petition has been served upon or mailed to each tenant of a rental unit which would be affected by the hardship increase if granted.

• (Ord. 1299 § 12, 1988)

• (a) Each party to a hearing may have assistance in presenting evidence, or in setting forth by argument his position, from an attorney or such other person as may be designated by said party.

• (b) Formal rules of evidence shall not apply in commission proceedings; however, all oral testimony offered as evidence shall be under oath.

• (c) In the event that any party fails to appear at the time and place set for hearing of a petition, the commission may hear and review such evidence as may be presented, and may make such findings and decisions as shall be supported by the evidence presented.

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City of Palm Springs, CA

§ 4.04.060

§ 4.04.080

RENT

• (d) The commission, or designated hearing officer, shall make findings based on the evidence as to each fact relevant to the commission's decision on the petition. The decision of the commission shall be based upon the findings, and shall:

  • (1) Interpret Chapter 4.02; and/or

  • (2) Determine whether the action or proposed action of a landlord is valid, permitted, and in conformity with Chapter 4.02; and/or

  • (3) Determine whether a hardship exists, and if so, the nature and amount of relief to be granted or authorized to the landlord.

• (e) The commission shall meet to consider the evidence and arguments of the parties no later than ten days after the matter has been submitted for decision and shall make its final decision at the conclusion of its deliberations. No rent increase will be authorized unless supported by the preponderance of the evidence. A notice of the commission's decision shall be sent to each party to a proceeding. Unless good cause to the contrary shall appear, each decision of the commission shall apply on a unit-by-unit basis, taking into account the possibility of differences in base rent, services provided, and other factors differentiating rental units.

• (f) Nothing in this title, or in any decision of the rent review commission, shall require any landlord to raise rents or charges to tenants. If an increase in the maximum permissible rent is authorized, a landlord may raise rents or charges by a lesser amount, or for a lesser time than is authorized by the decision of the commission.

• (g) The findings and decisions of the commission shall be final administrative action. There shall be no right of appeal to the city council. Such findings and decisions shall be public records, and may be certified by the secretary of the commission, if any, or by the city clerk.

• (Ord. 1213 § 3, 1984; Ord. 1299 §§ 13, 14, 1988)

The proceedings of the rent review commission are alternative administrative proceedings, and are not mandatory. No person, whether landlord or tenant, is required to file a petition, nor to carry proceedings before the commission to conclusion before exercising the right to seek judicial relief pursuant to Sections 4.02.060, 4.02.090 or 4.02.100; provided, however, that the filing of an action in any court of competent jurisdiction by a party who has filed a petition with the commission seeking the same or similar relief, shall be deemed to be an abandonment of the petition before the commission if the same shall not have proceeded to final decision, and the commission may thereupon stay all further proceedings upon such petition; provided further, that if a court in which any action is filed pursuant to Chapter 4.02 shall, in the exercise of its discretion, stay or abate such judicial proceeding, with or without referral of such action to the commission, and whether or not a petition has theretofore been filed with the commission, the commission may receive, hear and determine any petition theretofore or thereafter filed as if no such judicial proceeding were pending. There shall be no appeal, as such, from a final determination of the commission. A party not satisfied with such decision may then seek any judicial remedy provided by Chapter 4.02 or otherwise provided by law. (Ord. 1213 § 3, 1984)

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City of Palm Springs, CA § 4.04.080

PALM SPRINGS CODE

§ 4.04.080

• (a) The rent review commission shall establish categories of petitions or requests, and may set priorities for those categories deemed most urgent. In view of the protections provided for tenants elsewhere in this title, the highest priority for the proceedings of the commission shall be given to petitions based upon hardship alleged to be created by the landlord's payment of utilities or other necessary services used in rental units.

• (b) The commission shall so arrange its affairs that each petition filed by a landlord seeking a hardship rent-increase shall commence hearing not later than forty-five days following the filing of such petition, and shall be determined not later than ten days following the close of evidence. If the commission shall deem it necessary in order to meet such time constraints, it shall request of the city council the appointment of one or more hearing officers to hear such cases, make findings thereon, and recommend disposition thereof to the commission. In any case in which a verified petition, or an affidavit or declaration under penalty of perjury has been filed by a landlord stating facts which appear prima facie to constitute a hardship, if such petition is not heard and determined within the time limits of this section, exclusive of any delays requested, consented to or caused by the landlord or his representative, no fees, charges or costs shall be charged or assessed against said landlord for any of the hearing costs of said commission.

• (Ord. 1213 § 3, 1984)

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City of Palm Springs, CA

§ 4.08.010

§ 4.08.030

RENT

CHAPTER 4.08 RENT CONTROL

Note: Editor's Note: Measure H, codified in this chapter, was passed by the voters on 4-10-90 and certified by the city council on 4-17-90 (Resolution No. 17092).