Tag: Nicole Macri

Landlords Target Renters With Predatory Junk Fees

Photo by Tony Webster on Flickr; CC by 2.0 license

By Katie Wilson

Editor’s note: This story first appeared in The Progressive, and is reprinted here with permission.

Last summer, Seattle renter Jake Thoennes received a written notice from his landlord demanding that he remove the potted plants from his balcony within ten days. That might sound absurd, especially given that Thoennes’ lease permitted planting flowers on balconies. But here’s the kicker: The notice came with a $75 “Notice Fee.” This hefty fee was charged “for preparing and giving the notice” that the plants had to go.

When President Joe Biden announced an offensive against “junk fees” in his State of the Union address, many renters around the United States must have been nodding their heads knowingly. The nation’s 44 million renter households, especially tenants of corporate landlords, are facing an explosion of bogus fees.

Like the hidden charges that appear when you buy a ticket to a sporting event, these fees are not correlated with any tangible service being provided, or with any special effort or cost incurred by businesses. They are predatory fees that landlords charge simply because they can, and today’s rental market appears to be amplifying rather than correcting them.

Rental “junk fees” are arguably more noxious than those attached to consumer purchases. They can cause families to lose their housing and become homeless. They can tank people’s credit scores and imperil their ability to successfully apply for rental housing in the future.

Notice delivery fees like the one imposed by Thoennes’ landlord are becoming more common, according to Devin Glaser, an attorney who represents tenants in legal disputes with their landlords. “More often than not the landlords just surprise people with a fee after delivering a notice,” he said.

But sometimes a new policy is officially announced. “Hello Residents,” the property manager at Sorento Flats Apartments in Seattle began in an email to tenants in December 2022. “Sorento will now be implementing notice fees. This means that any notices given in regards to lease violations and or past due payments will accrue a notice fee. The notice fee is: $50.00 and will be issued per violation.”

In addition to imposing notice delivery fees, landlords are increasingly adding on nonrefundable charges when a tenant signs a lease. Renter Corina Pfeil paid a $300 “administrative fee” and a $162.75 “application fee” when she signed her second-year lease renewal last fall. 

This new fee, the email emphasized, is not the same as a late fee. Rather, “the notice fee will be in addition to the late fee and you will be responsible to pay both fees along with the past due balance. Thank you for your tenancy.”

In addition to imposing notice delivery fees, landlords are increasingly adding on nonrefundable charges when a tenant signs a lease. Renter Corina Pfeil paid a $300 “administrative fee” and a $162.75 “application fee” when she signed her second-year lease renewal last fall.

“They told me the administrative fee was for employee time and whatever it took to process the lease,” said Pfeil, who serves as a city council member in Kenmore. How about the $162.75? “They were never really clear about that.”

Washington Democratic State Representative Nicole Macri, a longtime advocate for stronger renter protections, explains that fees like these can be used in a discriminatory manner: “People looking for rental housing have reported to me that a landlord said something like, ‘Normally I don’t rent to people like you, but if you pay this fee, we can work it out,'” Macri said.

That means the most vulnerable renters—people with imperfect credit scores or criminal histories, as well as low-income and Black and brown families—may be the most likely to get stuck with additional fees.

Lease-signing fees like these are not a universal practice, as my own experience as a Seattle renter highlights. I’ve lived in one building since 2018 and signed five leases in that time. The property is managed by a company that oversees over 6,000 units in the Seattle area and is known neither as an especially good nor an especially bad actor; it gets a measly two stars on Yelp. But never once have I been asked to pay any kind of administrative fee for the privilege of signing a lease. Why should I? I pay a lot of rent to my landlord every single month.

“The property management did not tell me, ‘Oh, by the way, you will have to go month-to-month, you can’t sign a new lease,’” Kirkland renter Lynda Hardwick said. And that meant paying an extra monthly fee of almost $600—on top of rent and the repayment plan.

So does Pfeil. On top of the lease renewal fees, her landlord raised her rent from $1,793 a month to $2,043 a month—an increase of 14 percent. She did have the option not to sign a new fixed-term lease. Instead, she could have let her tenancy convert automatically to a month-to-month lease. But, she said, “if I went month-to-month it would be $817 a month more.” Her rent would have jumped to $2,860, or a total increase of nearly 60 percent.

Month-to-month fees are not a new phenomenon, but Glaser and other attorneys I spoke with said they appear to be increasing in prevalence and magnitude. In part, this may be a response to regulation. In 2021, the Washington State legislature passed a Just Cause Eviction law, requiring landlords to cite a good reason when evicting a tenant. This law, however, exempts many fixed-term leases, allowing landlords to force a tenant out at the end of a lease for no stated reason. The exemption creates an extra incentive for landlords to keep tenants on fixed-term leases, and charging prohibitive month-to-month fees is one way to do that.

But some landlords seem to be pushing tenants into month-to-month leases with outrageous fees. A landlord will simply let a tenant’s lease expire without offering a new one, and months later the tenant will be informed that thousands of dollars in month-to-month fees have been accumulating on the ledger. This is also illegal, since Washington state law requires sixty days’ written notice of any rent increase, and a number of local jurisdictions have established even higher notice standards.

Lynda Hardwick, a renter in Kirkland, found herself trapped in a different way. After losing a major source of income during the COVID-19 pandemic and falling behind on rent, she worked out a repayment plan with her landlord. When her lease expired last fall, with $1,800 left to pay off, she got a nasty surprise: She couldn’t renew her lease.

“The property management did not tell me [upfront]… ‘Oh, by the way, you will have to go month-to-month, you can’t sign a new lease,’” she said. And that meant paying an extra monthly fee of almost $600—on top of rent and the repayment plan. Continue reading “Landlords Target Renters With Predatory Junk Fees”

With an Eye on Preventing Homelessness, State Dems Introduce Tenant Protection Bills 

Graph showing strong correlation between rent increases and housing instability/homelessness
Homelessness is a housing crisis: As rents go up, so does housing instability.

By Andrew Engelson

Responding to Washington’s ongoing homelessness and housing affordability crisis—more than 25,000 people across the state live without permanent housing—several Democratic state legislators have introduced bills that would protect tenants and help prevent them from becoming homeless.

Last week, Reps Nicole Macri (D-43, Seattle), Alex Ramel, (D-40. Bellingham), and Strom Peterson (D-21, Edmonds) each introduced rent stabilization bills intended to give tenants advance notice of rent increases, set limits on how much landlords can raise rent, cap move-in fees, and give the state attorney general authority to pursue violations under the Consumer Protection Act. 

Separately. Gov. Jay Inslee proposed a $4 billion referendum that would raise the state’s constitutionally mandated debt limit to fund a host of new capital housing projects over the next six years. 

Lack of housing and high rents are the primary causes of homelessness, and the state Department of Commerce estimates Washington will need more than 1 million new homes by 2044, with more than half of those affordable to people earning 50 percent or less of the median income in their area. Though the rise in rents in Seattle actually tapered off slightly in the past year, rents in other cities across the state saw significant increases, including Bellingham (5.5 percent), Kent (8.9 percent), Renton (10.1 percent), SeaTac (9.4 percent) and Spokane (5.1 percent).

Macri’s bill would limit annual rent increases to 3 percent or the rate of inflation, capped at 7 percent per year, limit total move-in fees to the equivalent of one month’s rent, and give the state attorney general new power undert to investigate and prosecute landlords that flout the new rules

Shannon Corrick, a Safeway employee who lives in Cheney, a college town south of Spokane, spoke at a press briefing for Macri and Ramel’s bills this week, noting that in 2021, her landlord raised the rent on her $995-a-month, 3-bedroom house by $300. 

“He wasn’t very nice about it,” Carrick told PubliCola. “He was like: Well, that’s what the market will bear.” Since more than half of her minimum-wage income went to paying rent, Carrick had to move to an apartment that was much smaller. “I could have swallowed maybe 5 percent or 8 percent, because I could always pick up more hours or work some overtime or volunteer to work the holidays,” but not an increase of more than 30 percent, she said.

Macri’s bill would limit annual rent increases to 3 percent or the rate of inflation, capped at 7 percent per year. The bill would exempt buildings newer than ten years old from the caps. Macri’s legislation would also limit total move-in fees to the equivalent of one month’s rent, and give the state attorney general new power under the state Consumer Protection Act to investigate and prosecute predatory landlords that flout the new rules. 

“We have to respond to people who are homeless, and we have to do all that we can to keep people who are precariously housed in their homes,” Macri said.

Ramel’s bill would also limit annual rent increases to 3 percent or inflation, capped at 7 percent, but would allow landlords to “bank” rent increases—so, for instance, an apartment owner could choose to not raise the rent by 3 percent for five years, and then raise it 15 percent in the fifth year of a renter’s tenancy.

Macri says allowing periodic larger increases would “invite more uncertainty for the tenants, but a lot less uncertainty than they have right now.” She notes that her bill also allows landlords to raise rent beyond the limits, but only if they can prove hardship or the need for large capital or repair costs. 

“Legislators like the concept of consumer protection, generally,” Macri said. “They like the framing of this as prohibiting predatory behavior.”

Peterson’s more modest bill would require landlords to give six months’ notice before any rent increase of more than 5 percent and allow tenants to terminate their leases, without penalty, at any time after learning their rent will be increasing by more than 5 percent. It would also cap late fees for rent paid more than five days after the date it’s due to $75.

A similar bill failed to pass out of committee last session. 

Peterson, who chairs the House housing committee, is optimistic about moving a host of housing reform and tenant protection legislation this year. “I think the tenor has changed,” Peterson said. “I think our caucus has changed. We have a bunch of new members that are the most diverse class that’s ever come in, and they’re extremely motivated when it comes to housing.” 

As part of this sea change, the House Democratic Caucus recently removed Rep. Gerry Pollet (D-46, Seattle) from a leadership position he had used to block pro-housing legislation, as PubliCola reported in December.

Macri noted that city and county jurisdictions aren’t affected by her bill or Ramel’s. “We can set statewide policy on rent stabilization,” she said, “But what neither of these bills do is expand the authority for local [governments].”

Other tenant protection legislation includes a bill from Rep. My-Linh Thai (D-41, Bellevue) that would require landlords to provide evidence of damage or disrepair in order to justify not returning deposits. Another bill that Peterson is co-sponsoring would give groups of tenants or nonprofits the opportunity to purchase manufactured home communities if they’re put up for sale. Peterson he crafted the legislation inspired by three manufactured home parks owned and operated by the Housing Authority of Snohomish County.

Katie Wilson, general secretary of the Transit Riders Union (and an occasional writer for PubliCola), says these tenant protection bills complement policies her organization and the Stay Healthy Stay Housed Coalition have been pushing in Seattle and across King County for several years, including limits on move-in fees and advance notice for rent increases.

“Macri’s bill is particularly exciting,” Wilson said, “because it deals with very large rent increases.” She noted that because state law prevents cities and counties from limiting rent increases, to have a state-level law “would be amazing.”

Macri noted that city and county jurisdictions aren’t affected by her bill or Ramel’s. “We can set statewide policy on rent stabilization,” she said, “But what neither of these bills do is expand the authority for local [governments].” Seattle City Councilmember Kshama Sawant recently floated the idea of a local $10 cap on late fees. 

The Washington Multi-Family Housing Association, an organization representing large apartment landlords, declined to comment to PubliCola and the Rental Housing Association of Washington, which generally represents smaller, independent landlords, did not respond to requests for comment.

Hospital Overcrowding Prompts Push For Guardianship and Informed Consent Reforms

King County COVID data as of January 14, 2022

By Leo Brine

Seattle Rep. Nicole Macri (D-43) is working on a bill to reform Washington’s informed consent and guardianship laws, which have prevented hospitals from discharging some patients who need long-term care at a time when hospitals need as many beds as possible to handle the latest spike in COVID cases.

Washington’s guardianship and informed consent laws have prevented hospitals and family members from transferring some patients who cannot make decisions for themselves into long-term care facilities even when a family member has given consent. Macri has a bill cued up which will address the problem, she said.

While the state’s informed consent laws empower family members to make many decisions for incapacitated people, they don’t allow incapacitated patients to leave hospitals for long-term care without the consent of a court-appointed guardian. The reason? Money: Guardians are responsible for paying for long-term care.

It can take months for courts to establish someone as a patient’s guardian, so Macri wants to amend the state’s informed consent laws to make it easier for patients to move to long-term care facilities while allowing courts to establish guardianship for the patient’s long-term financial management later.

Right now, hospitals have patients occupying hospital beds that could be used to treat people with acute needs because they don’t have a paper saying who’s going to front the bill.

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As of January 12, Washington state has 2,062 COVID patients in hospitals with 172 on ventilators, according to state data. In King County, hospitalizations more than doubled between January 2 and January 9, county data shows.

Hospitals in Washington have said they are in “a state of crisis” after operating for months at high capacity and now with omicron sending more people to the hospital than ever before.

The Washington State Medical Association sent Governor Jay Inslee a letter last week saying that hospitals are in “a state of crisis” and asking the governor to change guardianship laws so that family members can agree to transfers. The letter included the draft of a proclamation that, if Inslee signed, would have that efect.

However, Inslee said last week that he does not have the executive authority to make the proclamation because, “you have to comply with federal law to admit someone to a long-term care facility. I cannot waive federal law.”

Instead, the governor—inadvertently highlighting the need for Macri’s fix—announced Thursday that he hopes to increase the number of social service workers who work on patient transfers. He also proposed create a program to expedite the process of establishing guardianships and increase the number of guardians, which could help reduce the backlog of patients stuck in hospitals. “[This] may involve more resources for the superior court,” he said. Additionally, to help long-term care facilities take on more discharged hospital patients, he’d add new health care workers to long term care facilities.

Macri says her bill is still necessary because establishing guardianship “can still take months even with the steps that [Inslee is] putting in place.” Her bill will change informed consent laws to allow family members, those with power of attorney, and other surrogate decision makers to consent to a patient’s transfer to a long-term facility.

Macri plans to meet with the governor’s team about her bill to hammer out how it fits in with Inslee’s plans and to address some concerns the governor’s office has around informed consent. One potential sticking point is that, according to Macri, Inslee’s team is sticking with their position that only guardians should be able to make these transfers happen.

Meanwhile, patients without guardians are not the only ones who are having a hard time getting out of hospitals. Often, there are no shelter beds available for homeless patients. And some patients came to the hospital from long-term care facilities but are unable to go back into their care because of understaffing.

Durkan Says School District Should “Step Up” and Sweep Encampment, State Makes FEMA Funding for Hotel Shelters Easier

1. At a press conference on federal recovery funding last Thursday, Mayor Jenny Durkan was asked what she plans to do about the encampment on school district property near Broadview Thomson K-8, which PubliCola covered earlier this month.

Durkan spun the question on its head: Since the tents are on school district property, she said, it’s up to the school district to not only remove the encampment and store people’s tents and property but to “stand up their own process” similar to the city’s for doing outreach and connecting people to services, housing, and shelter.

“We’re working with them so that they can stand up their own process, and I hope that they are able to take that approach,” Durkan said. “I think that if they follow what we’ve been able to do in many places using city properties and city resources, that you can do very compassionate-based outreach and you can also move any encampment that has a particular public health or safety risk.

Staying on the other side of this invisible line has protected encampment residents from city-led sweeps, but it has also meant that the city has refused to help the people living there.

Durkan has refused to provide city assistance, outreach, trash cleanup, or other resources to the encampment on the grounds that it is on school district property, not the city’s.

The school district property is directly next to a Seattle Parks property where other people also live in tents. Staying on the other side of this invisible line has protected encampment residents from city-led sweeps, but it has also meant that the city has refused to help the people living there. The city’s HOPE team (formerly the Navigation Team) has exclusive access to a large percentage of the city’s limited number of enhanced shelter beds and hotel rooms, which they offer to residents of encampments the city is about to sweep.

The mayor noted, without using his name, that former Seattle Finance and Administrative Services director Fred Podesta—who helped establish the city’s rules for removing encampments—is now head of operations at the school district, and suggested that the district, as a “a billion-dollar organization with funds and resources,” ought to be able provide the same kind of services as the city and remove the encampment.

“The school district needs to step up, and we are there to help and assist them, but they cannot shirk their obligations and duties for school properties,” Durkan said. 

Of course, the purpose of the school district’s billion-dollar budget is to educate the city’s 54,000 public school students, not to pay for human services or encampment sweeps.

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2. In response to concerns from cities that the Federal Emergency Management Agency might fail to reimburse them for some of the costs of non-congregate shelters, such as hotels, that President Biden committed to fully fund as part of the federal response to COVID, state Rep. Nicole Macri (D-43, Seattle) added $10 million to the state’s supplemental budget to provide jurisdictions with an extra layer of assurance.

As we’ve reported, FEMA has committed to pay 100 percent of eligible costs for non-congregate shelters, including both facility costs and services involved in running the shelter itself. The city of Seattle has resisted seeking FEMA funding to stand up or pay for hotel-based shelters, arguing that no services are covered and suggesting that this form of federal funding is a risky proposition. Continue reading “Durkan Says School District Should “Step Up” and Sweep Encampment, State Makes FEMA Funding for Hotel Shelters Easier”

Pandemic Renter Protections on the Line in State Senate

Image via Nicole Macri’s campaign page.

By Leo Brine

UPDATE: House Bill 1236 passed the House Thursday on a mostly party-line vote of 28-21, without the three Republican amendments. The version that passed was a substitute, or striker, by moderate Democratic Senator Mark Mullet (D-5, Issaquah).

Senator Patty Kuderer (D-48, Bellevue) told PubliCola that Sen. Mullet’s striker amendment was necessary to get the bill passed and did not damage the overall integrity of the bill. The amendment didn’t alter the list of 16 reasons a landlord could give for evicting a tenant.

The bill, Kuderer said, “will ensure we transition away from the eviction moratorium using an off-ramp and not a cliff.”

ORIGINAL POST:

A bill that would bring an end to no-cause evictions in Washington (HB 1236) had a confusing day on the Senate floor on Monday. Republicans managed to get three amendments added to the bill, stripping away its protections for tenants facing no-cause evictions and exempting small rental properties from the bill entirely, before it was eventually taken off the floor.

An updated version of the bill is heading to a senate floor vote today.

The legislation lists 16 possible causes for a landlord to evict a tenant. “They’re very expansive,” Representative Nicole Macri (D-43, Seattle), the bill’s primary sponsor, said. “You just need to give a tenant a reason when you ask them to move out.” The causes range from tenants not paying rent, to tenants registering as sex offenders during their tenancy, to the landlord having a “legitimate economic or business reason” for the eviction.

Macri said the bill was informed by various just cause eviction laws and ordinances including the city of Seattle’s, as well as newer ordinances such as Federal Way’s and Auburn’s.

When the bill was introduced on the Senate floor, Republicans introduced three amendments, which all passed the majority-Democratic chamber. Because of the large number of bills the legislature debates at the end of the session, committee chairs and bill sponsors generally caucus with their party members on each amendment, enabling legislators to vote without keeping track of every single amendment. Senator Patty Kuderer (D-48, Bellevue) is the chair of the Senate Housing and Local Government committee and was in charge of informing her colleagues how to vote on the amendments.

“Without just cause [protections], there’s a huge loophole in how pandemic related rent assistance would work. You would just assist landlords in protecting their financial investments”—by paying them back rent—”but it would do nothing to protect housing stability.”—State Rep. Nicole Macri

Senator Marko Liias (D-21, Everett) told PubliCola in a text message that senators discussed all the amendments in caucus, “but with the volume of bills we are debating and the volume of amendments, things can get mixed up.” He said his colleagues would not have voted for the amendments they passed on Monday had they known what they were.

Liias asked for the bill to be taken off the floor, but not before Republicans managed to pass three amendments, including two that were substantive. Senator Chris Gildon (R-25, Puyallup) added an amendment giving landlords the right to evict tenants with “fixed-term leases”—those that do not renew or convert to month-to-month leases after the lease ends— without cause at the end of their lease. Senator Judy Warnick (R-13, Moses Lake) added an amendment that allows landlords to issue no-cause evictions to tenants living in properties with four dwelling units or fewer.

Democrats are trying to forestall a wave of evictions after the state’s eviction moratorium ends on June 30. The House Democrats’ budget proposal includes more than $1 billion for rental assistance to pay back landlords for rent debt that tenants have accrued during the moratorium.

Macri said she has been fighting with Republicans in order to get tenant protection bills passed, but they continue to propose amendments to limit and narrow those protections. She said one reason some lawmakers are not interested in passing comprehensive tenant protection bills is “because many lawmakers have personal experience as small-time landlords.” Lawmakers tend to personalize the policies in the bills because of their landlord experiences, using personal anecdotes to substantiate their opinions that tenant protection bills are harmful,  Macri said.

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Warnick’s amendment to exempt small rental properties from the bill would be devastating to renters outside cities, Macri said, because “basically nobody in rural Washington would have protection.” Outside of major metropolitan areas along the I-5 corridor, she said, rental properties tend to be smaller—more like houses that have been converted to apartments. Even in Seattle, there are more than 26,000 properties with four dwelling units or fewer, according to Edmund Witter at the King County Bar Association’s Housing Justice Project, while there are fewer than 5,000 properties with five units or more.

Gildon’s amendment eliminating protections for people on six-month fixed-term leases is a more far-reaching than moderate Democratic Senator Mark Mullet’s (D-5, Issaquah) striker amendment, which would preserve protections for people on fixed-term leases shorter than 12 months. Mullet worked groups representing housing providers and landlords to negotiate a striker amendment (which incorporates multiple amendments into a single proposal) that waters down the effects of the bill in some of the same ways the Republicans’ amendments passed on Monday did. Continue reading “Pandemic Renter Protections on the Line in State Senate”

Morning Fizz: An Unprecedented Amendment, A Senate Shelter Compromise, and Surprise! Shelter Costs Money

King’s Inn in Belltown

1. A proposed amendment to the Seattle City Charter that would (in theory) force the city to fund thousands of shelter beds or housing units and reinstate encampment removals is unusual in more ways than one.

First, the obvious: Instead of declaring a state of emergency or using some other rhetorical mechanism to sound the alarm on homelessness, the charter amendment—which will be on the ballot in November if supporters gather 33,000 valid signatures to put it before voters—establishes a specific goal: 1,000 new “units” of “emergency or permanent housing with services” in 2022.  (Emergency housing is shelter, which is obviously much cheaper and easier to stand up quickly than permanent housing units.)

Second, and perhaps more impactful in the long term: The amendment attempts to use the city’s charter—Seattle’s constitution—to dictate specific budget and policy priorities, which are usually the subject of legislation, in perpetuity. In addition to the 2,000-bed mandate, the amendment would require that, in all future years, the city will spend at least 12 percent of its general fund revenues on human services, and that the city pay for “full restoration of general fund support for the Department of Parks and Recreation to facilitate repair and restoration of parks.”

Supporters of the amendment have argued that these permanent mandates establish ongoing priorities for the city: Homelessness, human services generally, and parks “repair and restoration” are important priorities that need to be enshrined in city law. But a look at past charter amendments illustrates just how unusual, if not unprecedented, this proposal is.

The majority of charter amendments over the years have been put on the ballot by the city council itself; most of them involve governance changes or tweaks to the language of the charter itself. For example, in 1977, a successful amendment changed the name of the city’s “Governance Counsel” to “City Attorney”; in 2006, voters approved an amendment that eliminated 1946 language requiring the city to physically “post” ballot proposals (in addition to publishing them in the newspaper.)

A look at past charter amendments illustrates just how unusual, if not unprecedented, this proposal is.

Other city-generated charter amendments have been more substantive, but still limited to the realm of governance, not policy: In 2007, the city council was so annoyed by then-mayor Greg Nickels’ decision to hold his State of the City address at a Rotary Club luncheon, they put an amendment on the ballot requiring the mayor to “deliver” the address at City Hall. (Subsequent mayors got around this requirement by holding the speech elsewhere, then physically or virtually “delivering” the text of the address to the council at its regular meeting the same day.)

Amendments that originate with citizens have followed a similar pattern: Even those that have proposed substantive changes, such as three different proposals to institute district elections, have dealt with the way the city is governed, not legislative priorities. In addition to districts (which finally passed in 2013), Seattle residents have proposed amendments that would institute ranked-choice voting and elections through proportional representation. There appears to be no precedent for the council or citizens imposing preemptive budget requirements or mandating legislative policy through the city charter.

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Being fully independent means that we cover the stories we consider most interesting and newsworthy, based on our own news judgment and feedback from readers about what matters to them, not what advertisers or corporate funders want us to write about. It also means that we need your support. So if you get something out of this site, consider giving something back by kicking in a few dollars a month, or making a one-time contribution, to help us keep doing this work. If you prefer to Venmo or write a check, our Support page includes information about those options. Thank you for your ongoing readership and support.

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2. Earlier this year, Mayor Jenny Durkan’s office rejected a proposal by the Public Defender Association to operate a hotel-based shelter at the Executive Pacific Hotel on the grounds that it was far too expensive. The program, which would have cost about $28,000 per room, would have been modeled on the successful JustCare program, which moved more than 100 people from encampments in Pioneer Square and the International District into hotels around Seattle. At the time, the mayor’s office set a hard spending cap of $17,175 a room.

Fast forward to last Monday, when the city held a press tour at the new, Chief Seattle Club-operated King’s Inn shelter in Belltown. The total price for room? Around $23,000, according to CSC staff. The $5,000 difference per room between the King’s Inn shelter and the one the PDA proposed would have amounted to about $750,000 total at the Executive Pacific—a fraction of the overall $8.3 million contract for that hotel, which eventually went to the Low-Income Housing Institute.

The two hotels will be funded largely from federal Emergency Services Grant funding. As PubliCola has reported, Durkan’s office has consistently declined to use federal FEMA dollars to pay for hotel-based shelters, as other cities have done.

3. The senate Ways and Means Committee passed HB 1220—a bill that updates the Growth Management Act (GMA) to require cities to plan for and accommodate low-income housing and shelter as part of their comprehensive plans.

As amended by Sen. Marko Liias (D-21, Lynnwood), the bill also prohibits cities from using zoning rules to block transitional and permanent supportive housing in residential areas or areas where hotels are allowed, while simultaneously limiting the areas where cities are required to allow emergency shelter to “zones”—a term that is not clearly defined—within one mile of transit stops. Continue reading “Morning Fizz: An Unprecedented Amendment, A Senate Shelter Compromise, and Surprise! Shelter Costs Money”

Participatory Budgeting Plan Is Heavy on Overhead, Seattle Rep. Macri Schools Suburban Cities, and Emails Confirm Durkan Audit Directive

[REDACTED]: Emails confirm Durkan directive.
1. In what may be a final act before the wheels of the citywide participatory budgeting process begin to turn, the Black Brilliance Research Project’s (BBRP) team—specifically, longtime research leads Shaun Glaze and LéTania Severe—are working with the Seattle City Council to develop a spending plan for the participatory budgeting rollout. The city plans to use participatory budgeting to select programs that will replace some functions of the Seattle Police Department.

Any money the city spends on staffing and infrastructure for participatory budgeting will come out of the $30 million set aside in the city’s 2021 budget for PB; that means it will reduce the dollar amount available to finance the projects for which Seattle residents will eventually be able to vote.

A draft spending plan written by the BBRP team outlines $8.3 million in overhead costs—roughly 28 percent of the project’s total budget, and 40 percent more than the entire budget of Seattle’s Office of Civil Rights. The BBRP’s final report to council also suggested setting aside another 20 percent of the budget to cover any unexpected future costs, which would leave just under $16 million to pay for project proposals.

The largest portion of that spending would go to 35 staff members, all identified as “Strategic Advisor 2″-level employees (a city employment tier that comes with a six-figure salary), including a seven-person steering committee to set the rules and procedures for participatory budgeting as well as 25 full-time members of five “work groups” who will provide administrative support to the steering committee.

The draft spending plan also outlines plans to address inequitable access to the internet that might hinder efforts to give BIPOC and low-income residents a voice in the participatory budgeting process. Some digital access-related budget items fit within the current $8.3 million spending plan, but others don’t, including a $2.75 million program called the “Digital Navigator Program” that would involve hiring 50 people to provide one-on-one “assistance in getting to and using online resources, low-income internet [and] device programs, and developing digital skills” to BIPOC residents.

The BBRP and its supporters are still advocating for the city to spend additional dollars to the participatory budgeting process. At the moment, their focus is on a proposal before the council’s Public Safety Committee to cut $5.4 million from the Seattle Police Department’s budget to account for an equivalent amount that the department overspent in 2020. In an email sent on Monday, supporters of the participatory budgeting process suggested that the dollars taken from SPD’s budget could enable the city to hire the team of digital navigators, among other expenses. 

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2. Representative Nicole Macri (D-43, Seattle) is working to pass legislation (HB 1220) that updates the Growth Management Act with rules that would require more affordable housing stock. The bill says Washington cities should plan for upcoming growth by requiring cities to incorporate affordable housing into their comprehensive plans.

However, representatives from several suburban cities, including Renton and Auburn, testified against sections of the bill that would prohibit jurisdictions from banning homeless shelters and transitional housing, as the city of Renton effectively did earlier this year. The bill would prohibit such bans in any area where other types of short-term housing, such as motels, is allowed. Critics argue that the bill is an overreach of state authority, and cities should be able to deal with homelessness as they see fit.

Macri doesn’t buy it. “It seems like local control hasn’t led to inclusive zoning in the last 50 years, so why would I think that it would [now]?” she said, adding that while planning for more housing to accommodate growth is “good policy,” the proposed affordable housing mandates make the policy “real.”

Even though the bill passed the House on March 3 with unanimous Democratic support, Rep. Macri says she’s still worried about how the bill will fare in the Senate. Rep. Macri is currently trying to have conversations with cities, trying to find out what resources they need to “be inclusive to all people in all the zones where [cities] currently allow some people.” She says those conversations are not going great.

On March 11, the Sound Cities Association, which represents suburban cities, sent a letter opposing the bill signed by the mayors of Vancouver, Renton, Sammamish and 21 other mid-sized cities. The Sound Cities Association is a major player in the new King County Regional Homelessness Authority, which is supposed to devise a region-wide approach to homelessness.

Conversations with the mid-size cities started out fine, Macri said, but as the legislation continued to move, cities kept coming up with new objections to the bill, before finally acknowledging their real beef, which Macri paraphrases as: “We don’t want certain kinds of people in certain kinds of neighborhoods because they can’t meet those people’s needs.”

Seattle’s City Council and Mayor Jenny Durkan both sent letters to Seattle’s legislative delegation last week expressing their support for the bill. “All cities play a part in establishing affordable housing and remedying the homelessness crisis that is gripping our county, our region, and our state, and appreciate your support for HB 1220,” the council wrote.

3. Records obtained through a public disclosure request, though heavily redacted, appear to confirm that it was Mayor Jenny Durkan’s office, not Department of Finance and Administrative Services director Calvin Goings or finance director Glen Lee, who decided to pressure the state auditor’s office to expand the scope of its performance audit of the city council’s contract with the Freedom Project, which served as the “fiscal agent” for the initial $3 million participatory budgeting research project. Continue reading “Participatory Budgeting Plan Is Heavy on Overhead, Seattle Rep. Macri Schools Suburban Cities, and Emails Confirm Durkan Audit Directive”

County Plans All-Gender “Potty Pilot,” Socialist Denounces Progressive, and Tiny House Villages Expand

Photo via LIHI.

1. The city council adopted legislation allowing up to 40 new “transitional encampments,” including so-called tiny house villages as well as tent encampments and safe parking lots for people living in their cars, but not without fireworks. The bill, sponsored by council member Kshama Sawant, also loosens several land-use restrictions that limit where encampments can be located and how long they can remain in place. Council freshman Alex Pedersen proposed several amendments that Sawant said would destroy the bill, including one that would reduce the number of permitted encampments from 40 to 15, one that would have limited permits to “tiny house villages,” rather than tent encampments, and one that would have reinstated a sunset date.

Pedersen’s amendments prompted a strong rebuke from Sawant, who called his proposal to reduce the number of permitted encampments “a no vote in disguise.”

“Since council member Pedersen obviously opposes expansion of tiny house villages, I would prefer that the was honest about it and voted no on the bill,” Sawant said. “It’s a sleight of hand that he’s engaging in. … I would urge the public to be aware of what is really going on.”

Sawant’s supporters, who had filled council chambers in response to one of her regular “PACK CITY HALL!” action alerts, applauded. After their cheers died down, council member Lisa Herbold implored Sawant to stop “impugning the motives of [her] colleagues” and noted that Sawant did not similarly denounce council member Andrew Lewis, who proposed a similar amendment limiting the number of encampments to 20 last week. “I would just like us to show a little grace for each other up on this dais,” Herbold said, to boos.

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Sawant responded that she answered only to “ordinary people,” not politicians, and reiterated that Pedersen did not have “good intentions,” to more applause. Council member Debora Juarez, who was running the meeting, reminded the audience, “this is not a rally,” and said that the council agrees with each other “95 percent of the time.” When that comment was met with derisive laughter, Juarez gave up, muttering “Jesus” into the hot mic and moving on with the vote. The bill ultimately passed, without Pedersen’s amendments or support, 6-1.

2. Sawant also had harsh words for state Rep. Nicole Macri (D-43), the sponsor of legislation that would enable King County to pass a business payroll tax to pay for homeless services. Sawant’s beef with Macri is that, according to Sawant, she hasn’t done enough to ensure that the bill won’t contain language preempting the city from passing its own “big business” tax, which would derail Sawant’s “Tax Amazon” campaign.

Sawant proposed a resolution “oppos[ing] opposes the passage of any legislation which preempts the city from taxing big business” and denouncing Macri’s proposal for capping the county’s taxing authority at 0.2 percent of a business’s total payroll.

Macri, Sawant said, should not be viewed as a “progressive hero,” because “you only get to be called a progressive if you are absolutely fighting for a progressive agenda.” She then recounted a conversation with Macri, in which Macri supposedly told her that “‘as a fellow progressive, our lives are hard.'”

“I don’t think progressive politicians can complain that their lives are hard, because the lives of ordinary people are a thousand times harder,” Sawant said.

In her day job, Macri is deputy director of the Downtown Emergency Service Center, which provides direct services, low-barrier shelter, and housing to some of the “hardest to house” people in Seattle. As a legislator, she passed a major eviction reform bill last year, and has championed funding for housing, health care, and services for people experiencing homelessness. By denouncing Macri as a tool of the ruling elite, Sawant is walking out on a very thin limb. There are Democrats in the legislature who are actually arguing for preemption. Macri isn’t one of them. Trashing her as a sellout may win applause (it certainly did at Monday’s meeting) but rallies don’t always pass legislation. That’s something Sawant learned again on Monday, when her resolution failed 5-2.

3. After an internal survey, numerous meetings, and the creation of an alliterative shorthand—#PottyPilotProject—King County and the city have abandoned plans to replace single-gender restrooms with gender-inclusive ones at the new Regional Homelessness Authority headquarters at the county-owned Yesler Building downtown. According to a July 27 memo obtained through a records request, the plan to retrofit existing restrooms as all-gender facilities “is not moving forward.” However, the “potty pilot” is still on track for other county departments.

Continue reading “County Plans All-Gender “Potty Pilot,” Socialist Denounces Progressive, and Tiny House Villages Expand”

Afternoon Crank: Eviction Law More Sweeping Than Previously Reported; Sound Transit Says No Signature Gathering in Federal Way

1. The new state law that creates new protections for tenants at risk of losing their homes to eviction, sponsored by Seattle Rep. Nicole Macri (D-43), goes even further than has been previously reported, including by me. That’s thanks to a little-noticed provision that expands a tenant’s ability to stop an eviction proceeding against her at any point up until five days after a court has issued a judgment in a landlord’s favor—a point that far fewer tenants should ever have to reach, thanks to provisions that give tenants ample opportunities to pay their back rent before a landlord takes an eviction case to court, before the case goes to trial, and even after a judge rules against the tenant.

Here’s what makes the legislation so sweeping. As I reported earlier this week, it extends the period in which tenants can pay overdue rent without facing eviction—and without having to pay any late fees, notice fees, or other one-time charges— from three days to 14. It also extends a tenant’s right to pay their rent along a fee of up to $75 until any point after that 14-day period, up to the point when their landlord files a case against them in King County Superior Court. After a landlord files a case, the tenant still has the opportunity to avoid eviction by paying the landlord back rent, the $75 fee, and any court costs incurred up until that point (which are often elevated by lawyers’ fees for preparing files, showing up in court, and other services that can be avoided if a landlord and tenant reach a settlement). Finally, if the landlord wins the case, the tenant still has up to five days to pay them back, including court costs, before being evicted.

It’s hard to overstate how dramatic the impact of this change could be. Under the current system, none of that happens. Instead, tenants can be kicked out of their homes for failing to pay rent on the fourth day it is late, and there is usually no recourse for a tenant once their landlord has filed an eviction case against them. In fact, as I’ve reported, the judges who hear eviction cases currently have virtually no discretion to set up payment plans or consider mitigating circumstances, such as a tenant who was in the hospital and unable to pay, or who suffered a one-time financial setback but has the money in hand. The new law gives judges more discretion. It also ensures that tenants who need more time to scrape their rent together—by, for example, accessing funds provided through programs like Solid Ground rental assistance program or Home Base, which provides flexible funds for people who need help with back rent—have ample opportunities to do so. For the first time in many years, the scales have tipped back—dramatically—in favor of tenants.

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2. Washington Community Action Network—one of the organizations behind a Seattle Women’s Commission report on evictions in King County, “Losing Home,” that helped lead to the statewide reforms—is trying to gather 10,000 signatures to get an initiative that would provide new protections for tenants on the ballot in Federal Way. If Sound Transit has its way, none of those signatures will be collected at the Federal Way Transit Center, where security guards have told volunteers with the group that they can’t petition near station platforms—that is, in the area where people congregate as they get on and off the bus.

“Obviously, one of the best places to [gather signatures] is going to be the Federal Way Transit Center,” says Xochitl Maykovich, Washington CAN’s political director. “I get that they have concerns around safety and not harassing people, but, I’m sorry, two organizers asking, ‘Hey, do you want to help keep people housed?’—how is that preventing people from getting on the bus?”

On May1, Washington CAN wrote a letter to Sound Transit director Peter Rogoff objecting to the policy, and noting that the “free speech areas” to which their organizers were directed are far away from pedestrian traffic. “The security officer continued to vigilantly watch the two women as if though their presence engaging transit riders with a smile was a potential threat to the station.,” the letter says. “The women found his behavior unnecessarily intimidating and decided it was best to leave the station.”

Sound Transit’s security director, Ken Cummins, responded by sending Maykovich a copy of Sound Transit’s free-speech policy, which says that the agency “may designate appropriate areas at each facility for public communication activities” and can limit the number of people it allows to engage in such activities. “Signature gathering is not authorized on bus or train platforms or within 15 feet of entrances, stairwells, elevators, escalators, ticket vending machines or within 15 feet of the trackway,” Cummins wrote. “Signature gathers may not use any tables or chairs in their activity and signature gathers may not block a person’s access to transit in any manner.” (Washington CAN’s two signature gatherers did not have tables or chairs).

After several followup letters to Sound Transit received no response, Maykovich wrote, “I take the lack of any response as meaning that I need to involve our attorney,” Maykovich wrote. “I will also note that I am incredibly disappointed in the lack of dialogue on this issue, especially given that this is a publicly run institution that is definitely getting a good chunk of my tax dollars.”

Sound Transit spokeswoman Rachelle Cunningham confirmed that the agency “did receive the letter from Washington Community Action Network, and our legal counsel is currently reviewing it, as well as the policy.”
Maykovich says her organization has not faced similar pushback when collecting signatures at RapidRide bus station platforms in the past, despite Metro’s similar free-speech policy.
The Federal Way initiative would institute a Good Cause Eviction Ordinance, similar to Seattle’s Just Cause Eviction law, in the city, prohibiting arbitrary evictions and limiting the reasons for which a landlord can terminate a tenant’s lease. In Federal Way, about 29 percent of the households that sought eviction prevention assistance from the Housing Justice Project were single women with children, compared to just 10 percent in Seattle.

What Eviction Reform Means for You

This piece originally appeared on Seattle magazine’s website.

Last month, the Washington state legislature passed a sweeping eviction reform bill that gives tenants more time to pay rent before they can be evicted; gives judges new discretion when deciding whether to give tenants more time to pay or how much to penalize evicted tenants financially; and creates new financial incentives for landlords to rent to tenants using financial subsidies.

The bill, sponsored by Rep. Nicole Macri, was a response to the problems outlined in a report by the Seattle Women’s Commission, “Losing Home,” earlier this year. That report revealed that tenants in Seattle are frequently evicted for failing to pay extremely small amounts of rent (as little as a few dollars), and that the county superior court judges—who determine whether tenants will be evicted—have little discretion to consider mitigating factors (like a one-time medical emergency) that cause people to fall temporarily behind on their rent. In a story about King County’s eviction court for the February 2019 print edition of Seattle magazine, one woman described receiving an eviction notice while in the hospital for late-stage kidney disease. Another case, described by Housing Justice Project attorney Edmund Witter, involved a man who was hospitalized for a degenerative spinal disease; the landlord refused to allow HJP to pay his rent because HJP was not the tenant.

The legislation makes several statewide reforms:

  • It increases the number of days a tenant has to pay his or her rent once a landlord puts a “pay or vacate” notice on their door from 3 days to 14.
  • It gives judges the ability to consider mitigating circumstances when a tenant falls behind on their rent, such as unanticipated one-time expenses, a history of timely payments, and hardship to the tenant if they’re evicted. This provision also allows tenants to negotiate payment plans with landlords.
  • It requires landlords to put any payments a tenant does make toward rent first, rather than toward fees the landlord has charged the tenant for paying late. The “Losing Home” report found that late fees often added hundreds of dollars to tenants’ arrears, often outstripping the original amount they owed.
  • It limits the amount of attorneys’ fees judges can award to landlords, which were previously unlimited.
  • It expands an existing program that reimburses landlords for damages caused by tenants using rent subsidies. If a judge uses his or her new discretion to forgive rent or give a tenant more time to pay, and the reason is that the tenant is low-income or experiencing hardship, a landlord can now petition the Department of Commerce for reimbursement for that loss.
  • And it requires that 14-day eviction notices be written in simple language (and offered online in 10 different languages) so that tenants understand what is happening and how to respond.

The legislation is now on Governor Jay Inslee’s desk, and will become law (if Inslee doesn’t get around to signing it) on May 22.