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Rent stabilization draft proposal heads back to Santa Barbara City Council

santabarbaraca.gov
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The City of Santa Barbara

The Santa Barbara City Council is expected to decide Tuesday what changes to make to the city's proposed rent stabilization ordinance. The discussion follows hundreds of public comments from renters, landlords and housing advocates.

Councilmembers will not vote on the ordinance itself. Instead, they will review feedback collected during a 30-day public comment period and provide direction to city staff before a revised proposal returns for formal introduction at a later meeting.

City staff received 655 public comments on the draft ordinance. The feedback revealed sharp divisions over how the city should address rising housing costs while protecting rental property owners.

The proposed ordinance would cap annual rent increases at 60% of the Consumer Price Index, or up to a maximum of 3%, create a rent stabilization board, establish petition processes for landlords and tenants, and create a rental registry. If approved, the program would take effect Jan. 1, 2027.

Landlords and property owners argue the proposed rent cap could make it more difficult to cover rising expenses, including insurance, utilities and maintenance. They also say it would increase administrative costs and discourage investment in rental housing.

Tenant advocates say the ordinance is needed to help residents remain in one of California's most expensive housing markets.

Stanley Tzankov, co-founder and volunteer tenant organizer with the Santa Barbara Tenants Union, said the group's priority is ensuring key tenant protections remain intact as council members consider revisions.

"We want to make sure those don't get watered down in the final hours of the negotiation," Tzankov said.

The Tenants Union is urging the city to preserve the proposed rent cap, expand the rental registry to include all rental units and give tenants a stronger role on the city's proposed rent stabilization board.

"What's at stake is whether tenants will have to pack in tighter, commute farther, whether we'll have to pick up another job or make really difficult decisions about what we can afford," he said.

Councilmember Wendy Santamaria said she expects Tuesday's discussion to focus on refining the ordinance rather than fundamentally changing its direction.

One area she would like to strengthen involves creating clearer protections for tenants who must temporarily leave their homes during major repairs while still allowing smaller property owners to recover some capital improvement costs.

"There is a possibility for us to create a balanced ordinance that protects tenants, that allows flexibility for landlords who need it, but that also puts a stop to a lot of the abuse and price gouging that we've been seeing that has displaced so many people," Santamaria said.

Santamaria also said many residents have confused rent stabilization with traditional rent control. She said the proposed ordinance would allow landlords to reset rents to market rates once a tenant moves out, while limiting annual increases only for existing tenants.

City staff summarized public comments into three broad categories: support, opposition and proposed amendments. Many supporters described rising rents, housing instability and concerns about displacement, while opponents raised concerns about property rights, maintenance costs, housing supply and the city's proposed rental registry.

After Tuesday's meeting, city staff will revise the ordinance based on council direction before bringing it back for formal introduction.

Gabriela Fernandez came to KCBX in May of 2022 as a general assignment reporter, and became news director in December of 2023. In September of 2024 she returned to reporting full time.
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