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City staff recommend a grant program to cover temporary displacement; relocation assistance rules clarified
Summary
Regulatory Services reported Nov. 13 on tenant relocation assistance and concluded expanding the current owner-recovery program to cover temporary, owner-not-at-fault displacement is not legally feasible; staff recommended a city-funded grant program for such cases and outlined operational needs.
Regulatory Services presented the results of a legislative directive on tenant relocation assistance at the Nov. 13 Business, Housing & Zoning Committee meeting and recommended creating a city-funded grant to cover temporary displacement events for which property owners are not legally liable.
Under current law, relocation assistance is payable when both severe maintenance/repair issues and owner negligence are found; assistance equals three months’ rent and is issued to displaced renters with the city pursuing recovery from property owners. Between 2021 and 2024 the city paid $170,523 in relocation assistance and staff said about $77,000 remains potentially recoverable as cases proceed through appeals or assessment processes.
Regulatory Services manager Nicole Gonzalez said legal advice indicates the city cannot lawfully require owners to reimburse relocation assistance for events outside the owner’s control (for example, acts of God, arson, or certain system failures) without violating due process. To lawfully cover temporary displacements caused by such events, Gonzalez recommended a city grant program with clear timelines and eligibility tiers (immediate: up to 24 hours; short-term: up to 30 days; mid-term: 30–60 days). Staff said operational needs include faster payment authority, hotel-contracted capacity, and increased inspector and support staffing.
What happens next: Committee received the report; staff recommended further analysis and a staffing study and identified legal and operational requirements for a grant-based approach to temporary displacement assistance.
