RENT ADJUSTMENT COMMISSION. QUARTERLY REPORT FOR THE PERIOD ENDING September 30, 2014

Transcription

1 QUARTERLY REPORT FOR THE PERIOD ENDING September 30, 2014 Page 1 of 7

2 EXECUTIVE SUMMARY During the third quarter of 2014, the Rent Adjustment Commission (RAC) reviewed and approved the 2014 RAC 1 st quarterly report. The RAC welcomed a new Commissioner, reelected re-elected Commissioner Daar as Chairperson of the RAC and elected Commissioner Glenn as the Vice-Chairperson of the RAC, and planned their annual retreat. The Compliance Division presented updated statistics on the number of pending appeals. The RAC convening as the Appeals Board, heard 9 appeals and 13 consent items. Issues discussed by the RAC during this quarter included: 2014 RAC QUARTERLY REPORT APPOINTMENT OF COMMISSIONERS ANNUAL ELECTION OF RAC OFFICERS APPEALS BOARD WORKLOAD MOBILE HOME PARK TASK FORCE (MHPTF) INTERNAL REVIEW COMMITTEE APPEALS BOARD ACTIVITY FUTURE ACTIVITIES RECOMMENDATIONS 1 st QUARTER 2014 QUARTERLY REPORT During this quarter, the RAC reviewed and approved the 1 st quarter 2014 quarterly report. ANNUAL ELECTION OF RAC OFFICERS On July 24, 2014 in accordance with LAMC , the Commission re-elected Commissioner Daar as Chairperson of the RAC and elected Commissioner Glenn as the Vice-Chairperson of the RAC for ANNUAL RAC RETREAT During this quarter, the RAC planned their annual retreat. DISCUSSSION ON APPEALS BOARD WORKLOAD During this quarter, the Compliance Division presented updated figures on the number of pending appeals and the RAC discussed the Appeals Board workload. As of September 4, 2014, there were 12 pending appeals (9 appeals that required a full hearing and 3 consent calendar items). Page 2 of 7

3 APPOINTMENT OF RAC COMMISSIONER Jane Paul was appointed to the RAC effective July 30, 2014 MOBILE HOME PARK TASK FORCE (MHPTF) During this quarter the Mobile Home Task Force did not meet. INTERNAL REVIEW COMMITTEE During this quarter, the members of the Internal Review Committee (IRC) are Jeffery J. Daar (Chairperson) and Carole Brogdon (Member) The IRC did not meet during this quarter. Attachment enclosed. APPEALS BOARD ACTIVITY FUTURE ACTIVITIES The RAC will review the 2014 RAC Quarterly Reports and continue to review and update existing RAC Regulations. RECOMMENDATIONS No recommendations were submitted for this quarter. Page 3 of 7

4 APPEALS BOARD ACTIVITY 4615 S Wall St., Los Angeles, CA holding a hearing and considering all evidence presented at the hearing, the Appeals Board affirms the June 10, 2014 General Manager s Decision to deny the release of REAP escrow funds because no appearance on behalf of the appellant was made at the initial hearing and no evidence or testimony was provided to support the 7/17/2014 release of REAP escrow funds. Evidence was submitted for consideration for the RAC Appeals Board, but it was not considered, as the evidence could have been presented before the General Manager s with due diligence W 27 th St., Los Angeles, CA N. Sunland Blvd. Sunland, CA April 10, 2014 General Manager s Hearing Decision to place the property into the Rent Escrow Account Program (REAP) and the corresponding rent reduction. The Appeals Board finds that the 143 violations set forth at the General Manager s Hearing and in the General Manager s Decision were in existence at the time of the General Manager s Hearing and agree with the Department regarding the severity of these remaining violations. The appellant offered evidence of the financial status of the property owner and evidence of work done at the property and stated that this evidence was not submitted at the time of the General Manager Hearing due to mistake or inadvertence. This evidence was not considered by the Appeals Board as the evidence was either not in existence at the time of the General Manager s Hearing or could have been presented at the General Manager s Hearing with due diligence. holding a hearing and considering all evidence presented at the hearing, the Appeals Board affirms the May 19, 2014 General Manager s Page 4 of 7 7/17/2014 7/24/2014

5 Hearing Decision to approve the release of Rent Escrow Account Program (REAP) funds for relocation. The Appeals Board affirms the General Continue: Manager s Decision because REAP Regulation 9825 N. Sunland Blvd. Section B.2.d.ii allows a release of REAP Sunland, CA escrow funds for relocation when deficiencies exist on a property and it is still in the REAP program. In this case, at both the time of the application and at the time of the hearing, there were outstanding violations and the property was in the REAP program E. Monte Vista St. Los Angeles, CA S Rampart Blvd. Los Angeles, CA holding a hearing the Appeals Board affirms the May 13, 2014 General Manager s Hearing Decision to place the property into the Rent Escrow Account Program (REAP) and the corresponding rent reduction. Although the RAC appreciates the good faith efforts of the appellant to correct deficiencies, the property was initially cited for violations nearly a year ago and the violations were still existence at the time of the General Manager s Hearing. The General Manger s Hearing Officer provided the owners with additional time to make corrections beyond the time that is built into process. There was no clear showing of any abuse of discretion or error by the Hearing Officer. The General Manager s Decision explains how the rent reductions were determined with detail. May 29, 2014 General Manager's Decision to place the property into the Rent Escrow Account Program (REAP) and the corresponding rent reduction. The Appeals Board finds that the violations set forth in the General Manager s Hearing Decision and in the rent reduction matrix were in existence at the General Manager s hearing based on the evidence that was available at the Hearing. Per the Rent Adjustment Commission Regulations, the Appeals Board cannot consider evidence of compliance that happened after the General Manager s Hearing and must only consider evidence brought at the hearing. 7/24/2014 8/7/2014 Page 5 of 7

6 1036 N Bonnie Brae St., 8/7/2014 Los Angeles, CA S Baring Cross St N Tujunga Ave. North Hollywood, CA holding a hearing and considering all evidence presented at the hearing, the Appeals Board remands the June 12, 2014 General Manager s Decision to deny the release of REAP escrow funds for relocation back to the General Manager for a new hearing because it is unclear whether the applicant received proper notice. The Appeals Board directs the General Manager to determine whether the applicant received proper notice. If it is determined that the applicant did not receive notice, then the General Manager shall hold a full hearing. June 17, 2014 General Manager s Decision to approve the release of REAP escrow funds in the amount of 12, to the tenant, Consuelo Saelak, for relocation. New Evidence was offered by both the landlord and by the tenant at the Appeals Board hearing. However, all such new evidence presented to the Appeals Board was not considered because it was either new evidence that did not meet the Appeals Board standard that the new evidence could not, with due diligence, have been discovered and produced at the General Manager s Hearing or was evidence that was not relevant to the issues before the Appeals Board. August 5, 2014 General Manager's Decision to deny the release of REAP escrow funds to the applicant, Budget Bins, LLC, for essential services. The appellant did not appear at the hearing. The Appeals Board affirms the General Manager's Decision to deny the release of REAP escrow funds due to a lack of evidence or information that the General Manager's Decision was in error or constituted an abuse of discretion. 8/21/2014 9/4/2014 Page 6 of 7

7 505 W 62nd St. 9/4/2014 June 17, 2014 General Manager's Decision to accept the property into REAP and the corresponding rent reduction. The appellant did not appear at the hearing. The Appeals Board affirms the General Manager's Decision to accept the property into REAP on the basis that no evidence was presented to show that any violations had been rectified. The Appeals Board denied the following appeals due to procedural deficiencies: PROPERTY ADDRESS 4425 N. Berenice Ave. Los Angeles, CA W. Imperial Hwy 1557 S. 6th Ave. Los Angeles, CA S. Butler Ave. Los Angeles, CA W. Guerin St. Studio City, CA S. Valencia St. Los Angeles, CA LACK OF JURISDICTION AS THE DATE APPEAL WAS FROM A REFERRAL TO THE CITY ATTORNEY /17/ /17/ /17/ /17/ /17/ /17/ N Tremont St., /7/2014 Los Angeles, CA W 113th St., /7/ W Prospect Ave., /4/2014 Los Angeles, CA W Runnymede St /4/2014 North Hollywood, CA PROPERTY ADDRESS APPEAL WAS NOT TIMELY FILED DATE 1158 S. Cochran Ave. 7/17/2014 Los Angeles, CA W 27th St., /7/2014 Los Angeles, CA NO FINAL GM DECISION AS THE DATE PROPERTY ADDRESS GM HEARING WAS CONTINUED 3625 Fletcher Dr. Los Angeles, CA /17/2014 Page 7 of 7