Opportunity DC Testifies in Support of the RENTAL ACT To Address The Housing Crisis

Opportunity DC's Executive Director, Malcom Fox, recently testified in support of the RENTAL ACT. The legislation makes it easier to build housing and begin to solve the affordability crisis the District faces. Specifically, the RENTAL Act enacts needed reforms and exemptions to TOPA, bringing investment back into the District and expanding production to lower costs for all residents.

Full Testimony

D.C. Council Witness Testimony

Committee on Housing

Public Hearing on DC’s Housing Affordability and Preservation Ecosystem

By: Malcom Fox, Executive Director, Opportunity DC

Good morning, Chairman White and members of the Committee:

My name is Malcom Fox, and I am the executive director of Opportunity DC and proud Ward 5 resident. I am testifying on behalf of our coalition of DC businesses and residents who believe that the District’s continued prosperity relies on a vibrant economy and effectively delivered social services, including ample and accessible housing.

DC’s housing ecosystem is in financial distress. Many properties with affordable units are at risk of foreclosure because housing providers are struggling to cover their expenses. As Chairman White mentioned earlier, fifteen percent of tenants aren’t paying rent. Housing costs are going up. Critical maintenance is being deferred.

Furthermore, DC is currently falling behind the region in overall housing production.

Unmitigated, this situation will continue to drive housing costs up for everyone, at a time when the cost of living in DC is already 53% higher than the national average and housing costs are 144% more expensive.

To address this crisis, DC must dramatically increase the amount of housing, ensure property managers can collect rent, and remove tenants who pose safety risks to others. That is why we strongly support Mayor Bowser’s proposed RENTAL Act.

The most impactful action lawmakers can take to build more housing is to modernize the District’s TOPA laws. Opportunity DC strongly supports the TOPA changes included in the Mayor’s proposed RENTAL Act, including exempting market-rate units and recapitalizations. We hear consistently from our stakeholders that TOPA adds years to housing transactions, driving housing investment into other jurisdiction and deterring the production necessary to reduce the pressure of rents.

Recently, Opportunity DC polled DC voters on housing issues. Voters name housing

affordability as the number-one issue they want their elected representatives to address this year. A significant 82% describe the cost of buying or renting a home in DC as either a “fairly big problem” or a “huge problem.”

DC residents’ concerns about housing costs translate directly into support for policy changes proposed in the RENTAL Act. Our recent poll found that 62% of District voters support the legislation, compared to only 12% opposed. 71% of voters support modernizing housing regulations to build more housing units and reduce rent over time.

Specific provisions within the RENTAL Act also receive strong voter backing. For instance, 67% support making it easier to sell buildings to attract more investment. That same percentage (67%) supports updating TOPA so it works as intended rather than discouraging new housing production, which it currently does. There is also substantial support for measures aimed at stabilizing ERAP. Our poll shows 73%

of voters support returning ERAP to its normal requirements from before the pandemic, including income verification. This aligns with making permanent the welcome reforms passed in emergency legislation last year and recently codified permanently by the Council.

Finally, to enhance community safety, 70% of residents support allowing landlords to evict tenants charged with a violent crime that occurred in or near their rental property.

Your constituents are unequivocally clear on what they want this Council to do about housing. They feel the urgency in their household budgets and support the reforms proposed in the RENTAL Act. Passing this legislation is critical to building more housing, enhancing housing stability, and making housing more affordable at all income levels across the District of Columbia.

Thank you for listening. I am happy to answer your questions.