County Executive Marc Elrich said he will sign a newly-passed rent stabilization bill into law “as soon as it reaches my desk.”
He said while it is an important step forward, the legislation is “definitely a compromise bill.”
County councilmembers passed the bill Tuesday to limit annual rent increases to 3% plus inflation, to be capped at 6%. They voted 7-4 after hours of discussion.
“And yes it caps at 6%, but if landlords were to take the full 6% each year, it would place enormous burdens on large numbers of low-income households in our community, who would have a very hard time keeping pace with annual 6% rent increases,” Elrich said during a media briefing Wednesday.
A council committee moved forward with the one amended bill after competing bills were introduced earlier this year.
The legislation will go into effect in 91 days. There are specific exemptions under the bill, including exemption for newly-built units for 23 years.
Many advocates for the bill attended Tuesday’s council session.
Not all are in support of the legislation.
“In passing rent control yesterday, seven Montgomery County councilmembers have pushed the county farther from our housing goals in favor of short-term policy goals and expedient political gains,” reads a statement from the Greater Capital Area Association of Realtors (GCAAR) following the bill’s passage.
Some leaders within the county had previously expressed concerns, to include leaders of the cities of Gaithersburg and Rockville, who shared their concerns about “unintended consequences.”
Voting against the bill Tuesday were Councilmembers Gabe Albornoz, Marilyn Balcombe, Dawn Luedtke and Council Vice President Andrew Friedson.
Those who voted in favor were Councilmembers Natali Fani-González, Will Jawando, Sidney Katz, Kristin Mink, Laurie-Anne Sayles, Kate Stewart and Council President Evan Glass.
