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Johnson floats new ordinance establishing rental unit-tracking registry

Proposed measure would also ban “junk fees” and tighten oversight of landlords across more than 500,000 units

Mayor Brandon Johnson

Chicago Mayor Brandon Johnson is set to introduce a new ordinance that could potentially protect renters from predatory practices and evictions. 

The policy, dubbed the Protecting Renters Ordinance, places new restrictions on landlords in an amendment to the four-decade old Residential Landlord Tenant Ordinance, according to WBEZ Chicago

The Chicagoland Apartment Association released a statement Friday afternoon, urging the city to reject the housing ordinance, which could be introduced as early as next month. The association contends that the ordinance would create “additional uncertainty” among landlords, and encourages the streamlining of development and incentives to push developers to construct more housing. 

“We urge the City Council to reject this ordinance and instead focus on practical, balanced solutions,” the association said in the statement. 

The key portion of the ordinance is the establishment of a rental registry, a move desired by the city’s housing advocates. It would create a record of the 500,000-plus rental units in the area, establish a record of who owns the properties, and seek to hold them to account. The idea is to stop landlords that shield themselves from crackdowns through shell companies.

The registry requires all landlords to pay a fee, with an exception for owner-occupied, two-to-six unit buildings and nonprofit affordable housing complexes. The fee could range anywhere from $20 to $60 per unit, according to the outlet. 

The fees cover the initiatives in the bill, such as improving inspection and funding enforcement of renter policy. The bill also aims to establish the Bureau of Rental Housing Services, a centralized, coordinated hub for rental housing. The city expects the fees to total around $20 million. 

Additional parts of the bill feature a ban on “junk fees,” requirements for landlords to document what they’re charging renters for, and forces landlords to disclose whether their units are algorithmically priced. Emergency rental and no-fault eviction help and compliance guidance for landlords are also on offer. 

There’s a level of split opinion on the issue. Landlords and owners say that the fees, when stacked on top of each other, make it not as lucrative to build or maintain decent housing. Advocates say that the concerns are “outdated,” according to the outlet, and praise the new bill for its efforts to force corporate landlord responsibility. 

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