Agda Pkt 2026.05.11 Joint SA PFA

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Attachment F Summary of Feedback and Proposed Changes to the Tenant Protection Ordinance Administrative Regulations and Fair Rate of Return Appeal Guidelines Below is a summary of the public comments that had actionable requests related to the Tenant Protection Ordinance (TPO) Administrative Regulations and Fair Rate of Return Appeal Guidelines (FRR Guidelines). Full copies of the public comments submitted during the public comment period are included as Attachment G to the staff report. Several of the comments received asked for changes to the TPO itself and did not provide direct feedback on the Administrative Regulations or FRR Guidelines. Since changes to the TPO are not being considered at this time, those comments were not included in this summary table. # Comment / Request Response and Updates 1 First, the draft administrative regulations are complex and may be difficult for small housing providers to navigate. As a result, even well-intentioned owners may struggle to fully understand and comply with the requirements, increasing the risk of unintentional violations and added costs. Request - Simplify the Administrative Regulations to improve clarity and usability Staff have clarifled timelines and extended some of the timelines (see comments # 8 and # 9) in the following sections: Administrative Regulations: • Added a new Chapter 5.5: Relocation Assistance Application Process Timeline • Chapter 5.6: Alternative Mitigation to Relocation Assistance Requirements FRR Guidelines: • Chapter 2: Application for Fair Rate of Return Appeal Additionally, Project Sentinel is available to answer questions and provide education to tenants and landlords alike. 2 Second, the requirement that displaced tenants be offered the right to return at the same rental rate, subject only to limited state-allowed increases, raises serious concerns regarding flnancial feasibility. Substantial remodels often involve signiflcant costs, including construction, labor, materials, flnancing, and insurance. If rents cannot adjust to refiect these investments, many necessary improvements may be delayed or not undertaken at all, ultimately impacting the quality and safety of the housing stock. While the Fair Rate of Return appeal process is intended to address this issue, the current framework places the burden entirely on housing providers and appears to involve a potentially lengthy and uncertain process. Without The Fair Rate of Return Appeals process was developed to provide a standardized and objective process by utilizing a formula-based methodology in order to allow landlords to understand upfront how appeal determinations will be made. As noted above, Staff have clarifled timelines and extended some of the timelines in Chapter 2: Application for Fair Rate of Return Appeal (see comments # 8 and 9 for additional information). 8.A. - Page 68 of 85 326