On January 15, 2020, the Tres Hermanos Conservation Authority (Authority) Board of Directors (Board) approved a Residential Rental Agreement THCA20-001 (Agreement) for the dwelling located on the Tres Hermanos property. The term of the Agreement is month-to-month. At the October 12, 2022, meeting, the Board approved a rental rate increase of $742.50 with an effective date of January 1, 2023.
Consistent with AB 1482, the Tenant Protection Act of 2019, Section 3.2 of the Agreement states:
Rent Increase. "At the sole and absolute discretion of the Tres Hermanos Conservancy Authority Board of Directors, the rent amount may increase on an annual basis by 5 percent (5%) plus the percentage change in the cost of living or 10 percent (10%), whichever is lower."
It is recommended that the Board consider increasing the monthly rental rate which would be effective January 1, 2024. The Consumer Price Index All Urban Consumers (CPI-U) for Riverside-San Bernardino-Ontario (September 2023) was 4.9%. An increase of 5% + CPI (5% + 4.9%) would be 9.9% or $816.00/month. The 9.9% is below the maximum amount authorized under AB 1482, which is 10%. Therefore, it is recommended that the rental increase be based on the 9.9% increase which is consistent with AB 1482. This would result in a new monthly rental rate of $816.00 which equates to a $73.50/month increase.
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