Compliance

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Property owners are required by the CSFRA to be substantially in compliance with the law.

Being in substantial compliance means that:

At least 12 months have passed since the last rent increase
The annual Rental Housing Fees are paid
The property is registered with the City
The owner is otherwise in compliance with the provisions of the CSFRA (including but not limited to:
- Having rolled back the rent (if applicable)
- Having only giving lawful rent increases
- Not having outstanding code violations on the property)
The tenant was served a written 30 day rent increase notice as required by state law for each rent increase

Property owners who fail to substantially comply with the CSFRA and regulations cannot legally raise rents and/or file a petition for upward adjustment of rent. In addition, substantial noncompliance with certain provisions of the CSFRA may result in administrative action by and financial liability to affected tenants.

Areas of substantial non-compliance include:

Unregistered Property/Incomplete Registration (CSFRA Regulations Chapter 11)
Unpaid Rental Housing Fees (CSFRA Regulations Chapter 4, Section L)
Unlawful Rent Increase (CSFRA§§ 1706; 1707; CSFRA Regulations Chapter 2, Section b)
Rent Rollback Not Implemented (CSFRA§ 1702(b)(2))
Outstanding Habitability and/or State and Local Health and Safety Code Violations
(CSFRA§ 1707(f); 1710(b); 1714(a))

Being substantially out of compliance with the CSFRA may result in:

Late Fee for Failure to Register Property: Failure to register your property by February 1st of each year results in a late fee of $25 per unit per month.
Late Fee for Failure to Pay Rental Housing Fees: Failure to pay annual Rental Housing Fees by the invoice due date results in a 4% per month late fee.
Notice Sent to Property Owner/Manager: If a property is suspected to be in substantial non-compliance, a notice may be sent to the property owner and/or property manager.
- Example: First Notice of Non-Compliance Letter ( updated 2023.12.20)
Notice to Affected Tenants: If a property remains in substantial non-compliance 30 days after receiving a Notice of Non-Compliance, the property owner/manager will be sent a Second Notice of Non-Compliance with a copy mailed to affected tenants.
Inability to Raise Rent: All rent increases while out of compliance with the CSFRA are unlawful. Tenants may file petitions with the Rental Housing Committee for decreases in rent and refunds of overpaid rent due to substantial non-compliance.

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