By Lorilyn Lirio
The City of Olympia’s Land Use and Environment Committee is recommending no immediate changes to the city’s rental housing code, even as a new state law introduces rent stabilization measures.
At a meeting on Thursday, Aug. 28, the committee reviewed options for aligning Olympia’s regulations with House Bill 1217, which limits annual rent increases to 7% plus inflation, not to exceed 10%.
Olympia’s existing code, adopted in 2023, includes tenant protections that exceed state requirements. The landlords are required to provide 120 days notice for rent increases exceeding 5%, 180 days notice for increases of 10% or more, and offer economic displacement relocation assistance when increases reach 7% or higher.
City of Olympia Senior Housing Program Specialist Christa Lenssen told the committee while no changes are required, the council could consider clarifying its language, adjusting relocation assistance requirements, or aligning rent increase notice periods more closely with the state law.
“If we keep the current code in its substantial format, staff would recommend that you add some clarifying language,” Lenssen said.
“Some of our current requirements, like the 180 days notice of increases above 10% might give landlords the wrong impression that they are still allowed to increase rent above that amount if they are subject to those rent caps in the state law.”
She noted outreach and education would remain necessary, as both landlords and tenants often struggle to navigate overlapping rules.
Committee members unanimously agreed to maintain the current local regulations.
Council member Jim Cooper wants to keep the local code, which he considers a “higher level of protection than the state has in place.”
While Cooper thinks the state’s regulations do not go far enough, he is particularly interested in understanding the practical impact of the city’s 120-day notice requirement versus the state’s 90-day requirement.
“I want to hear from small landlords about how an extra month of notice affects their planning and operations,” Cooper said.
He recognized the value of giving renters more time to prepare for potential rent increases, but wanted to understand the perspective of property owners.
Council member Robert Vanderpool also supports maintaining the current rental housing code, noting the program is still relatively new. Both Cooper and Vanderpool are on the Land Use and Environment Committee.
After speaking with Sound Legal Aid, Vanderpool learned tenants are actively helping enforce the ordinance by encouraging landlords to register. He emphasized the importance of education to help both landlords and tenants understand the requirements.
The state’s rent stabilization measure is set to expire in 2040, one of the reasons the committee agreed to maintain its existing regulations.
“There’s a sunset to it,” said Council member Dani Madrone, who sits as committee chair. “At some point, the (Washington) Legislature will need to revisit it and decide whether or not they want to extend it.”
She believes Olympia’s current system provides stability.
“What we did in Olympia is crucial for tenants,” Madrone said.
While acknowledging the challenges for landlords in adapting to new regulations, she believes the long-term benefits of predictable, incremental rent increases outweigh short-term complications.
The city council was initially briefed on the rent stabilization legislation and the existing rental housing code at a meeting on July 29.
The council asked the Land Use and Environment Committee to review the options on whether Olympia should amend to align with HB 1217, remove the local code or maintain its rental housing code.
