City Hall Continues to Call the Shots with Inadequate Proposals
As if any additional proof was needed that the City Rent Guidelines Board (RGB) no longer acts independently after two straight rent freezes, the Board has placed a Preliminary Guideline Range on the table that will ultimately deliver rent increases that are insufficient for the City’s rent-stabilized property owners.
With a Price Index of Operating Costs (PIOC) of 6.2%, the RGB’s own studies recommended that the Board consider a Preliminary Range between 3% and 8%. After the Board approved a Preliminary Range of only 1% to 3% for a one-year lease, it is clear that Mayor Bill de Blasio continues to call the shots throughout the RGB deliberations.
Already favored to win re-election this fall Mayor de Blasio would achieve the lowest rent guidelines over a four-year period in the history of the RGB if the Board votes in favor of a 1% increase for one-year leases. However, after only a 1% increase over the last three years, the rental housing industry cannot afford another inadequate increase.
Through invited testimony, private meetings with the Board Members and a detailed submission to the Board, RSA once again has made a very strong case for rent increases throughout this year’s deliberations. RSA will continue to work hard behind the scenes to fight for these much-needed rent increases. However, the most critical part of the deliberations for RSA members to help our battle has approached with five public hearings throughout June.
The Final Vote is scheduled to take place on June 27th and the preceding public hearings throughout the month will be the most opportune time for RSA members to make their case to the Board on behalf of property owners throughout the City. Under this Administration, RSA members have come out in strong numbers at the public hearings despite the politics played by Mayor de Blasio throughout the process. This year, we urge you to come out with our strongest voice yet.
Although some form of a rent increase is likely, a minimal increase is not sufficient. The large increase in the PIOC is a clear indication of how high owner operating costs have gone up and RSA members must explain this to the Board through their testimony. This Board has placed tenant affordability above all else and has put the health of the City’s affordable housing stock at risk as a result. After two straight years of rent freezes, property owners are in dire need of reasonable rental income in order to invest and properly maintain their buildings.
If you were not able to attend RSA’s Special Membership Meeting in early June, this edition of the RSA Reporter is your ultimate reference guide for the remainder of the RGB deliberations. The important information enclosed in this edition will help you prepare and deliver strong testimony before Mayor de Blasio’s RGB. Join RSA throughout the critical month of June as we fight for the rent increases you need and deserve!