At their meeting on April 20, 2022, the Rent Board adopted Regulation 610, establishing the 2022 Annual General Adjustment (AGA) rent increase for Controlled Rental Units in the amount of 5.2%. Rent increases for the 2022 Annual General Adjustment may not take effect prior to September 1, 2022.
The 2022 AGA may only be applied to tenancies in effect prior to September 1, 2021.
In addition, while keeping in mind the above information, to apply the 2022 Annual General Adjustment rent increase of up to 5.2%, Landlords must comply with State law requirements and file a notice of rent increase with the Rent Board within ten (10) business days after service on the Tenant in accordance with Regulation 603.
|Year||Allowable Rent Increase||Applies to Tenants Who Moved In BEFORE:|
|2016||3.0%||September 1, 2015
(does not apply to rent increase notices dated on or before June 21, 2017)
|2017||3.4%||September 1, 2016|
|2018||3.6%||September 1, 2017|
|2019||3.5%||September 1, 2018|
|2020||2.9%||September 1, 2019|
|2021||1.6%||September 1, 2020|
|2022||5.2%||September 1, 2021|
What's the Annual General Adjustment?
The Annual General Adjustment (AGA) is an annual rent increase for Controlled Rental Units permitted by the Richmond Fair Rent, Just Cause for Evictions, and Homeowner Protection Ordinance. The Annual General Adjustment is calculated based on the percentage change in the Consumer Price Index of the Bay Area, which includes San Francisco, Oakland, and San Jose.
MAXIMUM ALLOWABLE RENT CALCULATOR, FORMS, NOTICES, & TEMPLATES
The Maximum Allowable Rent Calculator is a resource for Landlords and Tenants to determine the Maximum Allowable Rent for a Controlled Rental Unit in the City of Richmond. For assistance, please contact the Rent Program office, located on the second floor of 440 Civic Center, Plaza 200, Richmond, CA 94804, or call (510) 234-RENT(7368) to speak with a Rent Program Services Analyst.
Determine the Maximum Allowable Rent
Before a Landlord increases rent or imposes any Annual General Adjustment ("AGA"), the first step is to determine the Maximum Allowable ("MAR"). Use the following table to access the Maximum Allowable Rent Calculator. Make sure to have the Tenancy Start Date and Base Rent for each Rental Unit prior to using the calculator.
Check Compliance with Rent Increase Regulations
- Rent Board Adopts 2022 Annual General Adjustment ("AGA") in the Amount of 5.2%. Rent Increase amounts shall not exceed a 5.2% calculation.
- In accordance with Rent Board Regulation 602, NO BANKING of deferred Annual General Adjustments are permitted during the current 2022 Year, until the AGA falls below the 5% threshold.
- Verify the Rent Increase amount does not exceed the Maximum Allowable Rent permitted. Please use the "DETERMINE THE RENT INCREASE AMOUNT CALCULATOR"
Notice to Increase Rent for Rent Controlled Units
The following notices are template examples, Landlords may, but are not required to use, to notify Tenants of the Annual General Adjustment ("AGA") rent increase as required by law. Pursuant to RMC 11.100.060(s)(1), a Proof of Service shall be included with the notices and filed with the Rent Program within ten (10) business days of after service on the Tenant.
Access the 30-Day Notice of Annual General Adjustment Template
Access the 90-Day Notice of Annual General Adjustment Template
*Per California Civil Code 827(b), a notice to increase rent by 10% (during any 12-month period) or less requires a 30-Day written notice of rent increase. A notice to increase rent by more than 10%, either by itself or combined with any other rent increase in the 12-months prior to the effective date of the increase, requires a 90-Day notice of rent increase. If a rent increase notice is served by mail, the required notice period must be extended by an additional five days.
File a Notice of Rent Increase with the Richmond Rent Board
Within ten (10) business days after service on the Tenant, a copy of the Notice of Rent Increase and Proof of Service shall be filed with the Richmond Rent Board. Access the link below to file and complete the Notice of Rent Increase Form online. Alternatively, for properties with five (5) units or fewer, a copy of the notice of rent increase and proof of service may be filed by mailing a hard copy to the City of Richmond Rent Program, 440 Civic Center Plaza, Suite 200, Richmond, CA 94804. Other such requests will be reviewed on a case-by-case basis.
RENT INCREASE PROCEDURES
- Create and/or Sign In to your City of Richmond web account: Sign in or Create a Web Account.
You must confirm your account before you will receive any emails. You will have to confirm the account in your email if you are creating one for the first time. If you haven’t received an email shortly, please check your junk or SPAM folder.
- Complete a Property Enrollment form for each property with at least one Rental Unit, and Tenancy Registration forms for all tenancies in a Controlled Rental Unit (if required). For more information about Property Enrollment and Tenancy Registration, please visit the Enrollment and Registration webpage.
- Mail or deliver a written Tenant Notification of Rent Increase to the tenant. A sample template is available for your use; Landlords may use their own notice as long as it includes the information covered in the template. The tenant must be given at least 30 days notice (5 additional days must be added if mailed). A copy of the Richmond Rent Program Brochure must be included: Richmond Rent Program Brochure.
- Within ten (10) business days after service on the Tenant, complete the Notification of Rent Increase form online to file notice with the Rent Board. A Proof of Service with time and date of service must be included with the notice filed with the Rent Board. Alternatively, for properties with five (5) units or fewer, a copy of the notice of rent increase and proof of service may be filed by mailing a hard copy to the City of Richmond Rent Program, 440 Civic Center Plaza, Suite 200, Richmond, CA 94804. Other such requests will be reviewed on a case-by-case basis.
Rent Board Approves New Policy on Excess Rent Refunds
On June 19, 2019, the Rent Board rescinded Subsection (C) of Regulation 605, eliminating the requirement for Landlords to return excess rent via a cashier’s check with 10 days. In lieu of this requirement, and upon agreement of the Tenant, excess rent may be returned to the Tenant through the execution of a repayment agreement between the Tenant and Landlord, a reduction of Tenant’s rent until the amount is satisfied, the Landlord's partial payment of the amount owed combined with a reduction in rent, or other calculable forms of repayment. Under Section 11.100.100 of the Richmond Municipal Code, Tenants may not waive any provisions of the Rent Ordinance, which means that under any repayment plan, Tenants cannot waive or modify the amount of excess rent owed. The Tenant may only agree to modify the method and form of repayment. As is prudent practice, Landlords and Tenants are encouraged to document any agreement in writing and may request mediation through the Rent Program to facilitate an excess rent repayment agreement. Tenants who choose not to agree to a repayment plan, or whose Landlord fails to adhere to a previously agreed upon repayment plan, may file an Excess Rent petition with the Rent Program to compel the Landlord to refund any excess rent owed.
ADDITIONAL INFORMATION & FREQUENTLY ASKED QUESTIONS
TENANT EDUCATION REQUIREMENT
Landlords are required to provide tenants with a copy of the Richmond Rent Program Brochure at the commencement of tenancy and with each notice of rent increase (RMC 11.100.060(g)). Download a copy of the brochure here: Richmond Rent Program Brochure.
NOTICE FILING REQUIREMENTS
All Landlords are required to file a copy of all rental increase notices, change of terms of tenancy and tenancy termination notices with the Rent Board (SEE STEP 4). Proof of Service with time and date of service must be included with the notice filed with the City (RMC 11.100.060(s)(1)).
ARE LANDLORDS ALLOWED TO "BANK" ANNUAL GENERAL ADJUSTMENT RENT INCREASES?
Pursuant to Rent Board Regulation 602, in the event that a current year’s Annual General Adjustment exceeds five percent (5.0%), a Landlord may not apply any deferred Annual General Adjustment increases until the next Annual General Adjustment increase less than five percent (5.0%) is effective.
Due to the fact that the 2022 Annual General Adjustment is above the 5% threshold, landlords will be unable to bank any deferred AGA increases until the AGA falls below 5%.