(A) Purpose. The purpose of this section is to provide housing stability, protection and notification to tenants in rental housing during an ownership transition. This section requires notice to tenants and to the city whenever title to property containing three or more rental housing units is conveyed or otherwise transferred. Under the ordinance the owner would be required to pay resident relocation benefits if they take certain actions during the three-month tenant notification period and the resident needs to move as a result of that action.
(B) Definitions. For purposes of this section the following definitions shall apply unless the context clearly indicates or requires a different meaning. Defined terms remain defined terms, whether or not capitalized.
CAUSE. The tenant or a member of the tenant's household materially violated a term of the lease or rental agreement, or violated an applicable federal, state, or local law or regulation.
HOUSING BUILDING. A building with three or more rental units.
HOUSING UNIT. A rental unit within a housing building.
MATERIAL CHANGE. A change in the terms of a lease that significantly limits or restricts the tenants' use and enjoyment of a housing unit or the housing building.
TENANT NOTIFICATION PERIOD. The period that commences on the date when a written notice of the transfer of ownership of a housing building is sent to each housing unit tenant pursuant to division (C) of this section and ends on the last day of the third full calendar month following the date on which the notice was sent. In no case shall the tenant notification period be less than 90 days.
(C) Notice.
(1) Notice to tenants. Whenever title to property containing a housing building is conveyed or otherwise transferred, the new owner must within 30 days after the real estate closing deliver written notice to each housing unit tenant of the housing building that the property is under new ownership. The notice must include, at a minimum, the following information:
(a) The name, mailing address, and telephone number of the new owner.
(b) The following statement: "Brooklyn Park City Code § 117.486 provides for a three month tenant notification period for housing unit tenants. Under this section, a housing unit tenant may be entitled to relocation assistance from the new owner if, during the three month tenant notification period, the new owner:
1. Terminates or does not renew the tenant's rental agreement without cause;
2. Raises the rent and the tenant terminates his or her rental agreement due to the rent increase;
3. Requires existing tenants to be rescreened or comply with new screening criteria and the owner or tenant terminates the tenant's lease; or
4. Imposes a material change in the terms of the lease and the owner or tenant terminates or does not renew the tenant's lease.
(c) Whether there will be any rent increase within the three month tenant notification period and, if so, the amount of the rent increase and the date the rent increase will take effect.
(d) Whether the new owner will require existing housing unit tenants to be rescreened or comply with new screening criteria during the three month tenant notification period and, if so, a copy of the applicable screening criteria.
(e) Whether the new owner will, without the tenant's consent, impose a material change in the terms of the lease during the three month tenant notification period and, if so, the language of the material change and explanation of its effect.
(f) Whether the new owner will terminate or not renew rental agreements without cause during the three month tenant notification period and, if so, notice to the affected housing unit tenants whose rental agreements will terminate and the date the rental agreements will terminate.
(g) Whether the new owner intends to increase rent, require existing tenants to be rescreened to determine compliance with existing or modified residency screening criteria, terminate or not renew housing unit rental agreements, or impose a material change in the terms of the lease without cause within 30 days immediately following the tenant notification period.
(h) The date that the tenant notification period will expire.
(2) Language requirement. Each notice required by this section shall contain an advisory that reads as follows: "This is important information about your housing. If you do not understand it, have someone translate it for you now, or request a translation from your landlord." This advisory must be stated in the notice in the following languages: English, Hmong, and Spanish. Upon written request by a tenant that identifies the tenant's native language, the owner must provide a written translation of the notice in that language.
(3) Notice to the city. The new owner must deliver a copy of the notice required by division (C)(1) of this section to the City Community Development Department at the same time that the notice is delivered to tenants.
(4) Required tenant notification period. The new owner of a housing building must not terminate or not renew a tenant's rental agreement without cause, raise rent, rescreen existing tenants, or impose a material change to the terms of the lease during the tenant notification period without providing the notices required by division (C) of this section.
(D) Relocation assistance.
(1) When required. A new owner of a housing building must pay relocation assistance to housing unit tenants if, during the three month tenant notification period, the new owner:
(a) Terminates or does not renew the tenant's rental agreement without cause;
(b) Raises the rent and the tenant terminates his or her rental agreement due to the rent increase;
(c) Requires existing tenants to be rescreened or comply with new screening criteria and the owner or tenant terminates the tenant's lease; or
(d) Imposes a material change in the terms of the lease and the owner or tenant terminates or does not renew the tenant's lease.
(2) Amount. Relocation assistance is an amount equal to three months of the current monthly lease rent.
(3) When paid. The new owner shall, when required, pay relocation assistance to the tenant of a housing unit within 30 days after receiving tenant's written notice of termination of the lease or within 30 days after the owner notifies the tenant that the lease will be terminated or not renewed.
(E) Tenant complaints.
(1) A tenant of a housing unit who believes the new owner has not provided the tenant the notifications required under this section may submit a notice of violation to the city. The purpose of the notice is to inform the city of an alleged violation of this section to assist the city in determining whether to impose an administrative penalty provided for in this section. The city is not required to take any particular action in response to a notice of violation and any enforcement action it does take shall be on behalf of the city, not the tenant. Filing a notice of violation does not prohibit the tenant from pursuing any remedy available to the tenant under law.
(F) Penalty.
(1) A violation of divisions (C) and (D) of this section is an administrative offense that may be subject to an administrative citation and civil penalties as provided in § 117.52. Notwithstanding any provision of § 117.52, the penalty for a violation of divisions (C) and/or (D) shall be the sum of the applicable amount of relocation assistance plus $500.
(2) A violation of this section shall constitute a separate offense for each dwelling unit affected.
(3) Within 30 days after a person pays the penalty in division (F)(1) of this section to the city, the city shall pay to the displaced tenant of the housing unit in which the violation occurred an amount equal to the relocation assistance amount specified in division (D) of this section.
(Ord. 2019-1245, passed 10-28-19)