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| AB21 NEWS |
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Letter sent to Appropriation Committee members
The Caltrans Tenants of the 710 Corridor sent a letter to the Chairman of the Assembly Appropriations committee and members behalf of all tenants in support of AB21. Following is a copy of the letter sent.
We appreciate all the hard work of Assemblywoman Carol Liu and Suzanne Reed. This bill is very important to us. We urge tenants to send letters of appreciation to Carol and Suzanne.
Assemblymember Carol Liu
215 N. Marengo Ave. #115
Pasadena, CA 91105
Attention: Suzanne Reed, Chief of Staff
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(Letter sent to Appropriation Committee members)
ALERT: AB21 (Liu), Caltrans Rental Housing Policy
May 27, 2003
Honorable Darrell Steinberg
Chairperson, Assembly Appropriations Committee
Dear Chairperson Steinberg:
The Caltrans Tenants of the 710 Corridor Association is comprised of all those living in Caltrans-owned homes along the 710 Freeway corridor: close to 500 residential properties including ninety-two "historic" homes. The tenants represent a diverse group of families who have an average tenancy of 20 years.
We have been concerned about Caltrans blatant attempt to depopulate the corridor and their failure to follow their own policies, mission statement, abide by state and local health and safety codes, and uphold the intent of local, state and federal housing laws.
Our elected representative, Assemblymember Carol Liu, introduced AB21 on our behalf to protect our tenant rights. Liu maintains that we have the right to live in a code compliant house, be assured of health and safety standards, that Caltrans unwritten policy of threats, intimidation and deceit will no longer be tolerated, and that Caltrans rent increase policies of 23% per year should be brought "to the table" to be discussed. Caltrans Director Jeff Morales, admitting issues were at hand, agreed to a rent moratorium until these issues could be worked out though a Task Force. Caltrans has chosen to disregard the director's agreement and refuses to participate in the Task Force. We believe Caltrans is preparing to raise our rents once again.
We plead with you on the behalf of all the families on the 710 Corridor to support the passage of AB21 for the following important reasons:
1. The Caltrans tenants should not suffer because there is a short-term financial impact of AB21. Caltrans should be made accountable for its management and accounting practices. It is incumbent on the Legislature to oversee, and the stakeholders to participate in resolution of a problem that Caltrans has been unable to resolve itself, because they refused to "come to the table" to work out the issues in good faith.
2. Raising the rents 23% per year will have the effect of depopulating the corridor, which is a violation of the Federal Highway Administration Record of Decision on the 710. This will have a devastating effect on our neighborhood and all corridor families.
3. Basing the cost of the bill on lost rents ignores the basic policy questions raised by the bill, which is what is the appropriate rent for Caltrans to charge.
4. The state of California is at risk for losing all the rents of those tenants who could legally withhold it for Caltrans failure to properly perform as a landlord.
5. Caltrans has a long history of poor maintenance of the houses and mistreatment of tenants as documented in the recent investigative reports printed in the Pasadena Weekly. As a result, Caltrans has exposed the state to huge potential liability due to lawsuits that are proceeding as tenants retain attorneys.
6. If Caltrans raises the rent again, it will have the effect of evicting current long time tenants who cannot pay Fair Market Value and continues corridor population.
7. There are 73 vacant houses on the 710 Corridor. Using Caltrans own numbers (Letter from Jeff Morales to Assemblymember Liu dated April 11, 2003), it can be shown that loss of revenue from vacant un-rented houses is more than twice the loss from not implementing rent increases.
8. Caltrans continues to make the vacant houses available to the movie and entertainment industry at no cost while losing rent revenue on them but purports to be "mandated" to raise the rents of existing tenants at 23% per year.
9. Caltrans declared 56 properties surplus on the 710 proposed extension route in 1995, and only 35 have been sold to date. In addition, according to documents from the City of Pasadena that were compiled with the assistance of Caltrans, there are 40 properties in Pasadena alone that are considered surplus or potential excess and should be sold. Failure to sell these homes has resulted in a considerable loss of revenue to the state.
10. The legislature should not only pass AB21 but also, should hold Caltrans accountable for abusing tenants, local, state and federal housing laws. Caltrans should be accountable to the legislature for lost revenues on vacant properties and properties that were legally mandated to have been sold years ago. Due to California's financial crisis, surplus houses should be sold immediately and vacant houses rented now.
In conclusion, we find the legislature our last hope to rein in an out of control government agency, Caltrans. It seems a small thing to ask for a rent moratorium to force Caltrans "to the table" so issues can be worked out, when Caltrans has been so flagrantly guilty of such a loss of revenue themselves, as well as health, safety and housing violations, and gross property mismanagement.
The families of the 710 Corridor urge the passage of AB21.
Sincerely,
The Caltrans Tenants of the 710 Corridor
CC: (all members)
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