Bothell staff brief council on state rent-stabilization law, urge continued outreach and local study

City staff presented an update on tenant protections and the recently enacted state rent-stabilization law and asked the City Council to continue local outreach and study rather than take immediate local regulatory action.

The update, led by Anand Manthragada, the city’s human services coordinator, summarized community engagement, compared Bothell’s options with neighboring cities and summarized the new state law. “We are not requesting any formal action from City Council tonight,” Manthragada said, describing the presentation as an informational update and next-steps recommendation.

Why it matters: the state law changes affect notice, caps and fees that shape landlord and renter behavior; local officials said they want to track how the law affects Bothell residents, and whether local code changes or additional programs are needed.

Staff told council members the city completed focus groups and received written comments from renters and landlords as part of a Human Services Needs Assessment conducted in December 2024 and January 2025. Renters expressed “deep concerns” over rent increases and strong support for longer notice periods and limits on move-in fees, deposits and late fees. Landlords — particularly small private landlords — told staff they were concerned about disproportionate impacts on owners of one or two units and about whether new measures will help renters or simply shift burdens.

Staff summarized the state statute (presented in the packet as House Bill 1217) as follows: a cap on rent increases set at “7% plus CPI or 10% whichever is lesser,” a lower cap (stated in the presentation as 5%) for residents in manufactured housing communities, and a notice-of-rent-increase requirement that the presenter described as 90 days (with a 30-day notice for subsidizing/subsidized housing as presented). Staff also described limits on late fees — presented as 2% of rent in the first month, 3% in the second consecutive month and 5% in the third consecutive month — and said the state now includes tenant rights such as the ability to terminate leases under certain conditions.

Staff emphasized differences between the state law and protections some nearby cities have adopted: several regional cities (Shoreline, Kenmore, Redmond, Woodinville and Kirkland) have adopted larger notice periods for large increases (examples given: 120 days for increases greater than 3%, 180 days for increases greater than 10%), and some cities calculate move-in fees and other charges differently. Staff said regional cities and Bothell must reconcile local choices with state limits.

Council members asked about communication plans to ensure residents know their new state rights. Manthragada and the planner on the presentation, Jacqueline Sampson, said the housing action plan outreach and existing city mailing lists could be used to reach participants in earlier forums and other community members. Staff recommended continuing to assess the law’s local impact, continue community engagement, and return to council with potential next steps based on that local feedback.

No vote or ordinance was proposed; staff explicitly requested guidance and additional community feedback before proposing any local code changes.

Looking ahead, staff said the city will continue outreach through the housing action plan public engagement later in 2025 and will return to council with findings before proposing any local regulations or code amendments.

Ending: Council members thanked staff and asked that the state protections be highlighted in outreach materials; staff said they will pursue continued engagement and report back to council.