Older buildings in the District, such as Waterside Towers in Southwest, fall under rent control protection in D.C. A debate is now raging about whether to strengthen rent control in the city.

Ally Schweitzer / WAMU

With the District’s rent control law up for renewal next year, tenant advocates are calling for changes that would deepen protections for the city’s most vulnerable renters.

But it’s not yet clear whether most members of the D.C. Council are on board to revise the law, rather than simply renew it.

During a committee hearing Wednesday, advocates with the Reclaim Rent Control campaign testified that the existing rules limiting annual rent increases are full of loopholes. They argued in favor of not just renewing rent control through 2030, but expanding and strengthening the law by applying it to more buildings and eliminating exceptions that allow landlords to increase rents above the rate established in the law.

The city’s law—officially the Rental Housing Act of 1985—limits rent increases to the rate of inflation plus 2 percent. The law only applies to buildings constructed before 1976. And landlords who own four or fewer housing units are also exempt.

“The cost of housing in D.C. is growing at a rate that is untenable,” testified Elizabeth Falcon, executive director of D.C. Jobs With Justice. “Even in controlled units, rents rise faster than wage growth, poor conditions go unchecked, and loopholes are exploited against tenants’ needs.”

On the other side were real estate and industry groups, which offered the landlord’s perspective. None of them called for the dismantling of rent control—a tacit acknowledgment of political reality in the District, where an estimated 45 percent of all multifamily rental units are rent-stabilized, according to the Urban Institute.

Instead, industry representatives asked lawmakers to extend the law for five years rather than 10, to study its impact on the housing market, and increase government funding for housing subsidy programs.

“We are not advocating for an immediate halt to rent control,” testified real estate agent Bonnie Roberts-Burke on behalf of the D.C. Association of Realtors. “[But] we have new challenges today, and I believe that new challenges require some new solutions.”

The Apartment and Office Building Association of Metropolitan Washington, the leading voice against strengthening rent control in D.C., has said its members are facing rising utility costs and property taxes, in addition to regular maintenance expenses. Rent increases allowed under the law, they said, are squeezing landlords’ profit margins.

Before testimony began, Committee Chair Anita Bonds (D-At Large) asked witnesses to focus on whether to reauthorize existing rent control protections until 2030, rather than delving into amendments. Tacking amendments onto the bill—which is virtually guaranteed to pass as-is—would only complicate the passage process, she explained.

Bonds’ request was roundly rebuffed, as advocates detailed their wish lists for amendments, including applying rent control to all residential buildings once they reach 15 years old and slashing rent increases to just the rate of inflation.

“I’m really trying to get to the essence of whether or not this panel is in support of reissuing rent control,” Bonds said, addressing a panel of advocates. “Because that’s the bill that’s before us.”

In a separate interview with WAMU, committee member Brianne Nadeau (D-Ward 1) said she’s open to amending the city’s rent control law, especially if it means offering assistance to both landlords and tenants.

“I believe that a straight reauthorization, without considering any of the things raised in today’s hearing, would be a missed opportunity,” Nadeau said.

The councilmember said she’s “intrigued” by tenant advocates’ proposals, because rent hikes often outpace wage growth. But costs are rising for property owners, too, she said, and the city could consider providing relief to rent-controlled buildings in the form of subsidies or tax abatements.

“I suspect that we’ll have some amendments to help both tenants and landlords,” Nadeau said. “I don’t think the right posture here is, ‘You win, I lose.’”

What’s In The ‘Reclaim Rent Control’ Platform

  • Cap annual rent increases at the rate of inflation, instead of the current rate of inflation + 2 percent
  • Require rent stabilization at housing built before 2005, and make newly constructed homes enter rent control once they’re 15 years old (currently only buildings constructed before 1976 fall under rent control)
  • Apply rent control to landlords who own four-unit buildings (currently they’re exempt)
  • Eliminate vacancy increases, which advocates said reward landlords for displacing tenants
  • Scrap voluntary agreements, which landlords can use to phase out rent control in their buildings
  • Continue to let landlords raise rents to pay for major repairs, but make those increases temporary, not permanent
  • Lower the minimum profit margin on rent-controlled buildings from 12 percent to 5 percent
  • Allow owners of non-rent-controlled buildings to raise rents only once per year

What Industry Groups Want

  • Allow rent control to be reauthorized, but only for five years instead of 10
  • After five years, study the impact of rent control on the District’s housing market
  • Focus on government programs that subsidize landlords who rent to low-income residents

This story originally appeared on WAMU