Rental Housing Committee adopts Chapter 13 amendments to utility rules and extends one‑time petition deadlines

The Mountain View Rental Housing Committee on Feb. 27 voted unanimously to adopt staff‑recommended amendments to Chapter 13 (utility charges) of the Community Stabilization and Fair Rent Act regulations. The changes clarify which tenancies are ineligible for the one‑time utility adjustment and extend deadlines for landlords to submit petitions.

Staff briefed the committee on three categories of changes. Two were described as administrative clarifications: (1) language to make clear that landlords who separate utilities from an initial rental rate without a corresponding rent decrease cannot use the one‑time utility adjustment petition to bring those utilities into rent — such a change is treated as a reduction in housing services and an unlawful rent increase under CSFRA, and landlords must roll back rent and refund overpayments; and (2) clarifications about petitions that remain available to tenants even during the one‑time petition window (for example, unlawful rent petitions tied to utilities in specified circumstances). The committee did not need to act on the administrative clarifications beyond review.

The committee did vote on staff’s recommended change to Table 2 (deadlines). Staff said it had learned from processing petitions that landlords needed additional time to gather supporting documentation and complete submissions. The adopted schedule extends the time allowed for petition submission: for properties with 21 or more units staff proposed an extension (to April 30, 2025), for 6–20 units to July 31, 2025, and for the smallest properties to Oct. 31, 2025 (the staff memo indicated these represent 2–3 month extensions beyond earlier deadlines and explained the goal is to increase successful compliance and reduce administrative burden).

Vice Chair Ma moved to adopt the Chapter 13 amendments and the extended timelines and Member Amber Cox seconded. The committee voted unanimously to adopt the regulations as presented.

Staff said the clarifications are intended to prevent landlords from circumventing rent‑rollback obligations by moving utility charges out of rent and then allocating those charges via ratio utility billing systems (RUBS) or similar methods. The amendments restate that if a tenancy previously included utilities in the rental rate and the landlord later stopped paying those utilities without lowering rent, that action constitutes a reduction in housing services and the landlord must roll back rent and refund overpayments.

Staff also told the committee that about 65% of larger properties had already engaged with the petition process as of earlier in the day and that outreach would continue; the extended deadlines apply to properties that need additional time. The committee noted staff will continue outreach and that the extension should reduce compliance errors and administrative follow‑up.