London Acorn claims draft by-law to discourage unethical renovictions falls short

Last minute changes to a draft licensing by-law to discourage ‘renovictions have frustrated representatives of a tenants’ advocacy group.

“It doesn’t go far enough,” says Jordan Smith, chair of London Acorn’s Carling-Stoneybrook Chapter.

Smith believes the new version of the draft by-law released on Wednesday will not protect vulnerable tenants facing N-13 eviction notices, “To be totally frank, [I’m] a little bit angry with this report. It's really hard to square the arguments that they're making against providing alternate rental accommodations.

The term ‘renoviction’ describes the unethical use of N-13 Notices by some landlords. Tenants are evicted from their units on the pretense of extensive renovations and repairs, but the landlord actually seeks to remove a low-income tenant so that the rent can be hiked.

 

Next week the Community and Protective Services Committee will consider an updated draft licensing by-law that would require landlords who issue an N-13 notice

• obtain a Rental Unit Repair License from city hall for each unit
• include a professional engineer or architect’s opinion that the tenant must vacate the unit during the renovation
• provide the tenants with an information package explaining their rights

However, staff do not recommend a measure in the City of Hamilton’s licensing by-law that requires landlords to offer alternate accommodations or a rent-top up to tenants while they are displaced.

The report explains that when a municipality requires something that may not necessarily be feasible, by-law administrators must consider granting exemptions from those requirements.

Given London’s extremely low residential rental vacancy rate (1.7 per cent), the report states, “it would be hard to prove that there were adequate opportunities for temporarily housing displaced tenants.”

Deputy Mayor Shawn Lewis explains, “There’s a lack of available units in the market to find alternate accommodation in the first place. I don't think that putting something [in the bylaw] that we're just going to start handing out a bunch of exemptions for is a good idea.”

But Smith asserts, “If it’s too difficult for landlords to find accommodations, how difficult is it for the vulnerable tenant surviving on poverty level wages?”

Civic administration has recommended that a Rental Unit Repair License cost $600 dollars for each rental unit, $200 more than their initial estimate.

The higher fee would offset more of the estimated $330,000 cost (three new staff, one new vehicle) to administer and enforce the new license in the first year.

Fines would range between $250 and $2,500 for violating the licensing rules

• Fail to give Tenant Information Package with N13 Notice $1,000
• Fail to apply for Licence $2,000
• Fail to Renew Licence $250
• Renovations without a Licence – Landlord $2,500
• Fail to Comply with Licence Conditions $500
• Advertise or Occupy Unit to be Re-Occupied $2,500
• Fail to comply – Federal or Provincial Laws/ Municipal By-laws $1,000

Multiple fines could be issued to the same landlord, and the amounts doubled for repeat offenders.

“The fines are embarrassingly low,” says Smith. “So what [landlords] will do is the fines will essentially function as a minor tax and do nothing to dissuade renovictions.”

Lewis admits he’d hoped the fines would be a greater deterrent as well.

“I would like the fines to be higher, but I don't want to hold up putting in protections while we quibble about $2,500 or $5,000? Is it $500 or is it $750? We can come back and adjust those after a year when we see where things are trending,” he says.

Lewis emphasizes that getting a licensing by-law enacted as soon as possible should remain the goal-- it can be modified in the future.

“I know it's not as far as some tenants’ advocates would like. I know it's further than some landlords would like,” the deputy mayor explains. “When nobody really loves it, that's maybe the best place to land as a first step-- so you take that first step.”

On Monday, London Acorn will be holding a protest outside city hall prior to the committee meeting pushing for alternate accommodations to be added to the licensing by-law.