Spokane could face legal challenge after passing eviction limitations

(The Center Square) – The Spokane City Council approved an ordinance on Monday prohibiting landlords from evicting tenants or raising rent without a business license, potentially sparking a lawsuit.

The legislation amends an existing section of the Spokane Municipal Code to provide some accountability for another ordinance passed last year. That measure requires landlords to obtain an annual business license from the city and comply with registration requirements.

According to Monday’s agenda, the city has spent the last year trying to get everyone to comply, but there are some stragglers, which this ordinance attempts to mitigate. It’s part of a larger plan to create a list for residents detailing affordable housing options through different programs.

Over a dozen community members signed up to testify on the ordinance Monday night. Some spoke about their experiences with increased costs as a renter, while others criticized the impact on landlords and the affordable housing supply.

“I’m kind of surprised there’s opposition to this ordinance because the rental registry is already an ordinance that exists,” said Terri Anderson, interim executive director of the Tenants Union of Washington State.

She thinks Monday’s ordinance and the one passed last year benefit tenants, landlords and the city. Anderson said last year’s ordinance required inspections to ensure rentals are safe for tenants, benefiting them and the property owner as the condition of their assets is maintained.

The Spokane region is also grappling with an affordable housing crisis. Anderson said when the city preserves the existing supply, it alleviates some of the strain as developers construct more.

Several other residents also expressed similar thoughts, calling for compliance with the law.

“If I claimed ignorance of the law with a police officer stopping me on the highway,” said Rev. George Taylor, “I don’t think he would accept that excuse.”

Steve Warham, an administrator of the Rental Housing Association of Washington, said he agrees with Anderson but that this adds to a growing pile of red tape disincentivizing landlords.

If property owners decide it’s become too much and want to sell, the home they bought at $200,000 years ago is now worth much more than that. Anyone buying that property will have to rent it at a higher rate than before the sale to compensate for the increased price.

“I get the paperwork, they say, ‘I’m not renewing this year because I sold my properties,’ so there’s been a reduction,” Warham said. “I’m opposed to this; it’s another form of rent control.”

Daniel Klemme, who handles membership development and government affairs for RHAWA, also testified. He said the ordinance creates “serious risks” for landlords and tenants, restricting them from evicting dangerous individuals committing crimes if the rental isn’t registered.

“It’s not only impractical, it’s unsafe,” Klemme said.

He questioned why the ordinance wasn’t amended after several attorneys previously explained the risks to the council. Klemme wanted a provision allowing landlords to evict someone when a tenant’s safety is at risk, even if the unit isn’t registered.

He estimated that around 20,000 existing units aren’t registered yet and that the majority of landlords found out about the ordinance over the last week. Klemme invited them to contact RHAWA to learn how to meet compliance requirements.

“My attorney sent a letter to all the council members, the mayor and the city attorney … indicating that if it passes as written, a lawsuit will promptly follow,” said Sean Flynn, president and executive director of RHAWA. “So I urge you today to either pump the brakes, sit down with us, try to bring this thing into compliance with the law or we can go and have a lawsuit about it.”

The majority of the council passed the ordinance, with only Councilmembers Michael Cathcart and Jonathan Bingle voting against the measure.