Section 14-4213. RENT CEILING ADJUSTMENTS BY VOLUNTARY AGREEMENT

 

4213.1Tenants and housing providers may enter into voluntary agreements pursuant to § 215 of the Act, for the following purposes:

 

(a)To establish rent ceilings;

 

(b)To change related services or facilities; or

 

(c)To provide for capital improvements and ordinary maintenance and repairs.

 

4213.2Either a housing provider or the tenant of a housing accommodation may initiate a voluntary agreement.

 

4213.3If a housing provider initiates a voluntary agreement, the housing provider shall distribute a copy of the proposed agreement to each tenant accompanied by a written notice that describes in detail the proposed rent ceilings that would be established, the proposed changes in related services or facilities, and the proposed capital improvements and ordinary maintenance and repairs.

 

4213.4Each tenant shall be permitted a minimum of fourteen (14) days to consider the proposal, confer with other tenants, and respond to the housing provider.

 

4213.5If the proposed voluntary agreement is initiated by one (1) or more tenants or a tenant association, the tenants shall serve on the housing provider a notice and schedule as required by § 4213.1, and the housing provider shall have a minimum of fourteen (14) days after receipt to consider the proposal and to respond to the tenants.

 

4213.6All notices and responses shall be in writing with a copy forwarded to the Rent Administrator. A notice shall contain the name, address, and telephone number of the person(s) to whom the response shall be directed and shall be accompanied by a copy of § 4213.

 

4213.7A response may include counter-proposals for proposed rent ceilings, related services or facilities, and any other conditions incident to a voluntary agreement.

 

4213.8Housing providers and tenants are encouraged to enter into face-to-face negotiations.

 

4213.9If the parties involved in negotiating a voluntary agreement find there are difficulties and obstacles to the negotiations, but are desirous of achieving a successful agreement, any party may seek the assistance of the Conciliation Service of the RACD, as established under § 503 of the Act.

 

4213.10Before the execution of a voluntary agreement by a housing provider and at least seventy percent (70%) of the tenants who reside in the housing accommodation, a copy of the final proposed agreement shall be distributed to each tenant eligible to sign.

 

4213.11A proposed voluntary agreement shall contain at least the following:

 

(a)The current and proposed rent ceilings and rent for each rental unit and the amount of the proposed rent change on both;

 

(b)The current and proposed levels of related services or facilities under the agreement;

 

(c)All other conditions (including specific repairs to be made) by which the housing provider agrees to be bound;

 

(d)All other conditions by which the tenants agree to be bound;

 

(e)A statement that the agreement is voluntary and that no form of coercion was imposed by the housing provider or any tenant in securing the signatures of the tenants; and

 

(f)A listing of all tenants in the housing accommodation by name and rental unit numbers or identifying letters, a space for each tenant’s signature and telephone number, and a space for each tenant to approve or disapprove the agreement.

 

4213.12Tenants who are employees of the housing provider shall be identified as employees on the agreement and their signatures shall not be counted in determining whether seventy percent (70%) of the tenants approve the agreement.

 

4213.13When a voluntary agreement has been approved by seventy percent (70%) of the tenants in a housing accommodation and the housing provider, the Rent Administrator shall approve the voluntary agreement within forty-five (45) days of its submission; provided, that the Rent Administrator shall provide a reasonable opportunity for tenants with objections to submit the objections in writing.

 

4213.14If the Rent Administrator does not approve or disapprove the voluntary agreement within the time limit of § 4213.13, the voluntary agreement shall be deemed approved.

 

4213.15A written copy of the Rent Administrator’s determination shall be mailed to the housing provider and to each tenant of the housing accommodation.

 

4213.16If the Rent Administrator certifies approval of a voluntary agreement, the approval shall inform all parties of the following:

 

(a)The new rent ceilings;

 

(b)Any new levels of related services or facilities; and

 

(c)All other terms of the agreement.

 

4213.17Voluntary agreements approved by the Rent Administrator shall be binding on the housing provider and on all tenants of the housing accommodation, including those tenants who did not sign the agreement.

 

4213.18If the Rent Administrator, pursuant to § 4213.18, determines that there is substantial evidence that credible grounds for disapproval are present, a hearing shall be conducted so that the parties can present testimony and documentary evidence in support of or in response to the grounds determined by the Rent Administrator.

 

4213.19The Rent Administrator may disapprove a voluntary agreement that has been approved by seventy percent (70%) of the tenants only in the following circumstances:

 

(a)If all or part of the tenant approval has been induced by duress, harassment, intimidation or coercion;

 

(b)If all or part of the tenant approval has been induced by fraud, deceit or misrepresentation of material facts; or

 

(c)If the voluntary agreement contradicts the provisions of § 102 of the Act or results in inequitable treatment of the tenants.

 

4213.20Where a housing provider increases the rent for a rental unit to an amount equal to or less than the rent ceiling adjustment permitted by § 4213.1, the housing provider shall comply with the provisions of §§ 4205.4 and 4205.5, and the notices required by §§ 4101.6 and 4205.4(a) may be issued simultaneously to the affected tenant on a form of notice approved by the Rent Administrator.

 

4213.21A notice of rent increase shall not be served on any tenant of the housing accommodation prior to the receipt of the Rent Administrator’s approval of the voluntary agreement or to the expiration of the limit in §§ 4213.13 and 4213.14.

 

source

Notice of Final Rulemaking published at 33 DCR 1336, 1406 (March 7, 1986); as amended by Notice of Final Rulemaking published at 33 DCR 2656, 2669 (May 2, 1986).