Ordinance 79-2175BMS/rr
ORDINANCE NO. 79-2175
AN ORDINANCE OF THE CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, AMENDING
CHAPTER 17A, OF THE CODE OF THE CITY OF
MIAMI BEACH, SO AS TO ADD ARTICLE II
PROVIDING FOR THE REGULATION AND PROHI-
BITION OF UNCONSCIONABLE RENT INCREASES
OF HOUSING ACCOMMODATIONS; DECLARING THE
EXISTENCE OF AN EMERGENCY REQUIRING SUCH
REGULATION; PROVIDING DEFINITIONS; PRO-
VIDING REBUTTABLE PRESUMPTION; PROVIDING
PENALTIES; SAVING ALL REMEDIES WHICH
ACCRUED UNDER THIS ORDINANCE; PROVIDING
FOR REPEAL OF CONFLICTING ORDINANCES; SAVING
ALL ACTIONS WHICH ACCRUED UNDER ORDINANCE
NO. 79-2167; PROVIDING SEVERABILITY CLAUSE;
AND PROVIDING EFFECTIVE DATE AND DURATION OF
THIS ORDINANCE.
WHEREAS, the recent increase in conversions of existing
apartments from rental to condominiums has resulted in a scarcity
of available rental units; and
WHEREAS, a majority of landlords in the City of Miami
Beach have voluntarily shown consideration for the ravages of
inflation and have pledged themselves to voluntarily restrain
from making unconscionable demands for increases in rent and to
attempt to hold rent increases to within the President's guide-
lines on inflation; and
•
WHEREAS, there are a few landlords within the City who
are unscrupulously profiteering by demanding unconscionable rent
increases above and beyond what is necessary to allow them a fair
return on their investments; and
WHEREAS, there are a large number of persons living
within the City of Miami Beach on fixed incomes who are, there-
fore, particularly sensitive to the effects of inflation in general
and unconscionable and extraordinarily large increases in rent in
particular; and
WHEREAS, a grave and serious public emergency exists
with respect to the housing of citizens of Miami Beach; and
WHEREAS, this emergency cannot be dealt with effectively
by the ordinary operations of the private rental housing market,
and unless unconscionable rent increases, as defined herein, are
prohibited, such emergency and the inflationary pressure therefrom
will produce a serious threat to the public health, safety and
general welfare of the citizens of Miami Beach, Florida; and
WHEREAS, this Ordinance is based solely upon local
conditions unique to the City of Miami Beach and shall not be
construed to preempt State law;
OFFICE OF THE CITY ATTORNEY - 1700 CONVENTION CENTER DRIVE - MIAMI BEACH, FLORIDA 33139
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA:
SECTION 1: That Chapter 17A be and the same is hereby amended
by designating Section 17A-1 through 17A-20, Article I
and adding the following additional Article to be designated
Article II which shall consist of the sections stated below and
which shall read as follows:
ARTICLE II
Section 17A-21. Definitions.
Unless a different meaning clearly appears from
the context, the following terms shall mean and
include:
Unconscionable Rent Increase:
A rent increase which is greater than two times
the percentage increase in the Consumer Price
Index, All Urban Consumers - (CPI -U), U.S. Average,
Housing, determined as follows:
1. Percentage of rent increase is to be determined
as follows:
a) Subtract the current rental figure from the
proposed rental figure.
b) Divide the result reached in 1(a) by the
current rental figure.
c) Multiply the result reached in 1(b) by 100,
the resulting figure being the percentage
increase in rent.
2. Percentage increase in the CPI for the comparable
period shall be determined as follows:
a) Ascertain the CPI at the date six months prior
to the date the current rental figure first became
effective.
b) Ascertain the CPI at the date six months prior to
the effective date of the proposed rental figure.
c) Subtract the result reached in 2(a) from the result
reached in 2(b).
d) Divide the result reached in 2(c) by the result
arrived at in 2(a).
e) Multiply the result reached in 2(d) by 100, said
figure being the percentage increase in the appli-
cable CPIs for the comparable period of the proposed
rent increase.
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OFFICE OF THE CITY ATTORNEY • 1700 CONVENTION CENTER DRIVE • MIAMI BEACH, FLORIDA 33139
3. When the result reached in 1(c) is greater than
two times the result reached in 2(e), the rent
increase is unconscionable.
Section 17A-22. Unconscionable Rent Increase;
Rebuttable Presumption.
1. A rent increase which is greater than two times
the percentage increase in the Consumer Price Index,
All Urban Consumers - (CPI -U), U.S. Average, Housing,
as determined in Section 17A-21, is presumptively un-
conscionable.
2. It shall be unlawful, regardless of any contract,
lease or other obligation heretofore or hereafter
entered into, for any person to demand or receive any
rent for any housing accommodation which is unconscion-
able, as specified in subsection 1.
3. The Miami Beach City Commission finds that a finding
of a rent increase which is greater than two times the
percentage increase in the Consumer Price Index, All
Urban Consumers - (CPI -U), U.S. Average, Housing, is
so onerous that the circumstances warrants the establish-
ment of a rebuttable presumption of unconscionability
of such rent increases, as specified in subsection 1.
The presumption may be rebutted by a lessor upon the
showing of additional facts and circumstances to justify
and validate what otherwise appears to be an unconscion-
able rent increase under this section, as determined by
a court of competent jurisdiction.
4. The Table of Consumer Price Indices, All Urban
Consumers - (CPI -U), U.S. Average, Housing, attached
hereto as Exhibit "A" is found to be true and correct
and incorporated into this Ordinance by reference.
The indices contained therein shall, to the extent they
relate to a relevant point and time, be used for calcu-
lations under this Ordinance.
Section 17A-23. Penalty.
Any person who willfully violates any provision of this
Ordinance shall, upon his conviction of a first violation,
be subject to a fine not to exceed Five Hundred Dollars
($500.00); and for each subsequent offense, shall be sub-
ject, upon his conviction, to a fine up to Five Hundred
Dollars ($500.00) and/or imprisonment for a period not
to exceed sixty (60) days.
Section 17A-24. Remedies Saved.
All causes of action or remedies accrued under this
Ordinance prior to the termination of the prohibitions
created by this Article shall survive such termination.
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OFFICE OF THE CITY ATTORNEY - 1700 CONVENTION CENTER DRIVE - MIAMI BEACH, FLORIDA 33139
EXHIBIT "A"
U.S. Department of abpr
Wabureshin' on, 0.C. 12021222cf
Consumer Price Index
All Urban Consumers - (CPI -1J)
U.S. City Average
Housing
(1%7.109)
7/9/79
YEAR JAM.. FES. NAA, AIR, NAqT JUNE JULY AUG. SEP. pOCCT. .8 �NpOV, pDEEC. pApV .
1968 1 .7p 1(007.2 102,4 102.7 103.p0) 1 .6 194:8 101,9 1100555.p1 105.6 106.2 106.7 104.0
1969 110.4
1970 114,1 115.1 11066.2 116.9 11011777.5 117,8 118:4 119,1 119:8 12120.4 121,5 11 121,7 118,2
19771 121.8 121.7 1 .5 1 1. 122.3123.1 123.6 124.1 124.5 1 4.19 125.4 1 123.4
191973 2 1974 1�' 3 126.6
3 .8 13311.ZZZ2 131.6 1344.4 �2Z127.1 5 132.6 27.9 132.9 121.823.4 1352.2 1 7 1}367.}9 7 139.1 133.7
1975 159.2 160.6 .6 141.9 161.` 162.5 163.1 164.1 164.8 1651 .4 166.6 167..7 4 168.9 169.7 164.55
1977 E0182.61976 170.7 171.3 3 88.0 172.4 173.0 $ a 118.) 19 174.9 175.7 176.8 177.4 5b
1978 193.8 195.0 96. 199.3 199.9 202.0 203.8 205.2 207.5 209.5 210.6 211.5 202.8
1979 213.1 215.6 217.6 219.8 222.4 ,1,4:5
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Attest:
1.
Section 17A-25. Conflicting Ordinances Repealed.
All ordinances or parts of ordinances in conflict
herewith be and the same are hereby repealed.
Section 17A-25.1 Actions under Ordinance No. 79-2167 Saved.
This Ordinance shall supersede Ordinance No. 79-2167
provided that nothing contained herein shall be amended
to limit any action which accrued prior to the effective
date of this Ordinance under Ordinance No. 79-2167.
Section 17A-26. Severability.
If any provision of this Ordinance, or the application
of such provision to any person or circumstance is
declared invalid by a court of competent jurisdiction,
such invalidity shall not affect any other provision
or application of this Ordinance, it being the intent
of the City Commission that the provisions of this
Ordinance shall be deemed severable.
Section 17A-27. Effective Date and Duration
This Ordinance shall go into effect upon its passage
in accordance with law. The prohibition against un-
conscionable rent increases hereunder shall remain in
effect until one year after effective date of this
Ordinance unless extended or terminated by the City
Commission of the City of Miami Beach prior to that
date.
PASSED and ADOPTED this 19th day of September , 1979.
City2,1?i,(„4,4->o,
rk
1st Reading - September 5, 1979
2nd Reading - September 19, 1979
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OFFICE OF THE CITY ATTORNEY • 1700 CONVENTION CENTER DRIVE - MIAMI BEACH, FLORIDA 33139
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