Industry Update

Spotlighting Critical Public Policy Matters Affecting Our Aaa Members

BY CARRIE SMITH

Welcome to the forefront of the Central Texas rental housing industry, where policy updates shape the landscape of our communities. As the Austin Apartment Association, we stand at the nexus of these developments, committed to keeping our members informed and empowered.

Unlocking Housing Potential HOME Initiative Hits the Scene:

In December 2023, the Austin City Council approved the initial phase of the “Home Options for Middle-Income Empowerment” (HOME) Initiative with a decisive 9-2 majority. These amendments aim to redefine housing dynamics within single-family zoned areas, providing homeowners the latitude to include up to three units on their lots, encompassing even tiny homes. This initiative encourages housing supply and stands as a testament to a commitment to sustainable practices and the creation of more compact living spaces. Phase II of HOME is set to go before the City Council in April of 2024 making potential adjustments to the city’s single family home minimum lot sizes.

Public Safety MeasuresAddressing APD Challenges

In response to the escalating concerns over public safety challenges, the Austin City Council made a pivotal decision on February 1st by passing ordinance Item 23. Beyond just addressing critical issues such as the shortage of Austin Police Department (APD) officers and the overall effectiveness of law enforcement, the ordinance secured and increased funding for essential services. This includes vital resources to recruit additional cadets, emphasizing a multifaceted approach to enhancing public safety. The Austin Apartment Association (AAA) sent formal letters of support to city hall and several advocacy members registered their names for the APD funding ordinance. The AAA has asked to maintain an open dialogue with the city with a focus on exploring innovative strategies for neighborhood patrolling and optimizing the crucial role of APD District Representatives in fostering a safer environment in our communities.

Bedroom BanterWindowless Bedrooms on Trial in Austin:

A new dimension unfolds in the city’s policy landscape as the Austin City Council considers a resolution to ban windowless bedrooms in new multifamily property constructions. Council Member Zo Qadri extended an invitation to the Austin Apartment Association to participate in stakeholder discussions, recognizing the association’s valuable insights. The critical analysis delves into various aspects, including the resolution’s scope, considerations for adaptive reuse projects, examination of regional data, and seeking expert perspectives. Importantly, as discussions unfold, it’s crucial to acknowledge instances like student apartments on the UT Campus and in California, where windowless bedrooms were designed to enhance affordability and density while adhering to fire safety and habitability laws. As the debate on affordable housing continues, leaving all options open be- comes imperative, especially when repurposing vacant commercial office buildings for multifamily living, which could be a win-win for commercial real estate and affordable housing. The Austin Apartment Association emphasizes the importance of looking at long-term implications, considering the potential consequences of a blanket ban.

AAA’s Proactive Approach to Cool the Debate on a Multifamily Air Conditioning Mandate:

August marked a turning point as the City of Austin proposed a resolution mandating air conditioning (AC) in rental properties. This sparked conversations about the potential impact on smaller and lower-income properties, compliance challenges, and the resolution’s relevance to existing state laws. The Austin Apartment Association advocates for a thoughtful and nuanced approach, emphasizing the importance of prioritizing existing state laws, conducting comprehensive research, and exploring flexible solutions. These measures aim to consider both property owners and renters, ensuring that any policy implementations mitigate potential adverse effects. While the initial concern was broken AC units, enforcing existing regulations and habitability laws should be a priority before introducing new mandates. The association remains engaged with the city to ensure any mandates consider the diverse AC technologies available and do not place an undue burden on multifamily operations and residents’ pockets.

Ongoing Litigation - Austin Repeat Offender Program (ROP):

Legal complexities surround the Austin Repeat Offender Program (ROP), currently navigating the tumultuous waters of the FBCC CityPoint v. City of Austin lawsuit. As the owner and operator of Mueller Flats, FBCC CityPoint, LP, contends that the ROP is unconstitutional and constitutes an unlawful taking. The lawsuit weaves through intricate causes of action, including the violation of due process rights, preemption by the Texas Property Code, an alleged unconstitutional taking, and a breach of the First Amendment and Article I, Section 8 of the Texas Constitution. The Austin Apartment Association is proactively monitoring and addressing this issue both within City Hall and on the potential state capitol stage. In preparation for any potential ordinance overturn, the association stands ready to actively participate in the new code enforcement rulemaking process, ensuring the interests of its members are protected.

National Scene - Eviction Notices in the Spotlight:

Shifting focus to the national stage, the National Apartment Association (NAA) takes a prominent role in responding to the U.S. Department of Housing and Urban Development’s proposed 30-day eviction notice rule. Senators Marco Rubio and Bill Hagerty introduce the Respect State Housing Laws Act (S. 3755), seeking to eliminate the CARES Act’s federal notice to vacate requirement for federally backed and assisted housing. The collaborative efforts of the NAA, along with real estate coalition partners, underscore the association’s commitment to advocating for a thorough reconsideration of federal eviction notice policies.

As we navigate the intricacies of Austin’s ever-evolving housing landscape, the Austin Apartment Association remains steadfast in keeping its members well-informed about these crucial developments. Stay tuned for continuous updates and profound insights as the association actively engages in discussions that shape the very fabric of Austin’s rental housing community.

For more information about AAA’s advocacy in action, contact Carrie Smith, Senior Director of Government & Public Affairs at carrie@austinaptasscoc.com.