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Page 6 of 15 City of Redwood City 1017 Middlefield Road, Redwood City, CA. 94063 Tel: 650-780-7000 www.redwoodcity.org landlords are still required to comply with the annual rent increase requirements outlined in the TPA, which is 5% plus the local change in the Consumer Price Index (CPI), or 10% whichever is lower. To address the amendments outlined in the ADS, the RAO and MLTO are proposed to be replaced with a comprehensive Tenant Protection Ordinance (TPO) (Attachment A). Table 2 below provides a summary of the amendments outlined in the ADS and the updates that have been made in the TPO to address these amendments. Table 2 Summary of Tenant Protection Ordinance Policy Action ADS Amendment Update in Ordinance and Rationale New policy to align with State Law 1. Adopt a just cause eviction policy to align with the TPA. Just Cause for Eviction Protections were added consistent with the TPA. This section includes “at-fault” and “no-fault” reasons for terminating a tenancy and outlines protections for tenants under the no-fault reasons. This action will allow for the City to have enforceable relocation assistance requirements. No change to existing City policy which exceeds State law. 2. Keep relocation payment amounts at three to four months of Fair Market Rent4 (FMR). Relocation Assistance payments have been kept at three (3) months of FMR for low income households whose annual income does not exceed eighty (80) percent of the area median income (AMI)) and four (4) months of FMR for special- circumstances households which is a low income household where at least one member is 62 years or older, at least one member qualifies as disabled, there is at least one child under 18 years old who is legally dependent, and/or a household that has occupied their rental unit as their primary residence for 5 or more consecutive years. This provision gives greater relocation benefits than those provided in the TPA. Although this was previously included in the existing RAO, eligible tenants had not been able to receive these increased benefits while the RAO has been unenforceable. For the last five years tenants have only been able to receive relocation assistance equal to one month of the tenant’s rent, as required under the TPA. By including just cause protections that are consistent with the TPA in the ordinance, eligible tenants will once again be able to benefit from this increased relocation assistance. 4 Fair Market Rents are standard rents published by the U.S. Department of Housing and Urban Development annually, calculated as the 40th percentile of gross rents for regular, standard-quality units in a local housing market 9.A. - Page 6 of 84 111