Rent Control In Montclair: Critics Try To Bring Issue To Voters

MONTCLAIR, NJ — The battle over Montclair’s rent control law may make its way to the November election if its opponents have their way.

Last month, a Superior Court judge issued a temporary restraining order that has prevented Montclair from moving forward with its recently passed rent control law.

The law limits annual rent increases in Montclair to 2.5 percent for seniors and 4.25 percent for other tenants, with some exceptions. Read the full ordinance.

Some tenants in Montclair have claimed the new ordinance is a long overdue and much-needed victory for people who are at the mercy of landlords seeking to raise their rents. But critics, including the Montclair Property Owners Association (MPOA), has argued it's a "toxic" idea that's being pushed through during the coronavirus crisis.

• See related article: Battle Over Rent Control In Montclair Continues

Now, the MPOA is trying to rally enough signatures from registered voters to place a referendum on the November ballot to repeal the ordinance. The effort would require 1,020 signatures.

The petition can be seen and signed here. Learn more about the MPOA’S position here.

TEMPORARY MORATORIUM

Last week, the Montclair Township Council passed a separate ordinance that places a temporary moratorium on rent increases during the COVID-19 pandemic state of emergency.

The moratorium prevents any increase in the amount paid in rent or any additional charges by residential tenants in all residential rental units in the township.

Exemptions include:

• Rental units in properties that are owner-occupied with no more than one additional rental unit
• Rental units in properties exempt from local rent regulation by state or federal law
• Rental units in which the rent is determined as the function of household income
• Rental units in hotels

The ordinance is retroactive to May 1 and will remain in effect until August 1 of this year.

According to the ordinance:

“Many citizens of New Jersey and the township are or will be experiencing substantial loss of income as a result of business closures, reductions in hours, or layoffs related to COVID-19, impeding their ability to keep current on rent and mortgage payments … The township has determined that the immediate stability of rents is necessary in the public interest and is best served by placing an immediate, temporary moratorium on all rent increases.”

Montclair town officials offered additional background about the temporary moratorium:

“On March 18, the U.S. Department of Housing and Urban Development, Fannie Mae, and Freddie Mac announced the suspension of all evictions and foreclosures for 60 days. A day later Gov. Phil Murphy issued Executive Order 106 to immediately suspend evictions throughout the state. The 90-day rent freeze ordinance is a township government effort to provide additional relief to residents experiencing housing insecurity and financial difficulties.”

The MPOA blasted the temporary rent freeze in a statement, calling it “unenforceable and unconstitutional” because it’s retroactive.

“This act once again demonstrates the willingness of the council to expose the entirety of Montclair to unknown, unexamined consequences in order to curry political favor with a special interest group of tenants,” the MPOA stated.

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