They aim to represent the will of voters who approved ordinance

Tenant activists and tenant advocacy groups want to intervene in a federal lawsuit over the city of Saint Paul’s new rent control ordinance. The 63-page motion was filed on October 20 by the Housing Justice Center on behalf of tenants Katherine Banbury and Angela Wilhight, the West Side Community Organization (WSCO), the Alliance for Metropolitan Stability and HOME Line.

The lawsuit had been filed in June by two landlords—Woodstone Limited Partnership at 2335 Stewart Ave. and the Lofts at Farmers Market at 260 E. Fifth St. Defendants include the city of Saint Paul, Mayor Melvin Carter, the City Council and Saint Paul Department of Safety and Inspections director Angie Weise.

Saint Paul voters approved rent control in a referendum last November, capping rent increases on residential units at 3 percent per year. Since then the City Council has approved various rules and exemptions that allow landlords to exceed the 3 percent cap under certain circumstances.

The landlords claim that the 3 percent cap violates the U.S. Constitution because it does not allow automatic adjustments for inflation. Their lawsuit cites a failure to follow due process and an illegal taking of property. Rent control, they contend, has eroded the market value of their properties.

The landlords claim that the 3 percent cap violates the U.S. Constitution because it does not allow automatic adjustments for inflation. Their lawsuit cites a failure to follow due process and an illegal taking of property. Rent control, they contend, has eroded the market value of their properties.

In court documents, the intervenors argue that they can best represent voters who supported rent control last November. Their intervention is “critical” to making sure that voters’ and tenants’ interests are “vigorously” represented, they state.

The tenant advocates also take aim at the amendments to the rent control ordinance that were approved this fall by the City Council. The amendments, which take effect on January 1, 2023, include exemptions for new construction and affordable housing. In their motion, they state, “city government cannot be relied upon to defend the initiative’s result with the interest of those who voted for the initiative as paramount.”

 

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The city has not responded to the request for intervention. The landlords filed a motion in late October opposing intervention. “The city adequately represents (the tenants’ and tenant group’s) shared goal to uphold the ordinance,” the landlords stated. “Allowing proposed intervenors to intervene and argue the same points as the city will add nothing of value (but) will only complicate the case and unfairly tip the scales by adding five new voices to echo the city’s arguments.”

The two sides in the lawsuit have agreed to file cross-motions for summary judgment to resolve the matter as soon as possible. A hearing on those motions is set for January 30, 2023.

— Jane McClure

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