St. Paul's rent control policy faces another rollback
The St. Paul City Council is poised to walk back another part of the city's rent control ordinance this week.
Why it matters: The vote is the culmination of a months-long push by Mayor Melvin Carter to exempt new construction from the rent caps permanently.
Supporters have argued the move is necessary to jump-start housing construction in St. Paul — which has stalled since voters passed the ordinance in 2021 — without ditching rent control altogether.
The big picture: The proposal represents a big bet on a minor change to a policy whose current iteration has critics in many corners.
Developers don't like it, and even many rent control advocates have argued St. Paul's policy is a watered-down version of what voters initially demanded.
Catch up quick: The policy voters approved capped annual rent increases at 3%, with few exceptions — until Carter and the council loosened the rules in 2022.
As a result, new construction is now exempt from rent control for 20 years, and landlords can enact much larger rent increases after a tenant moves out.
The latest: The proposal before the council this week would be another relaxation, permanently exempting any new housing built in 2005 or later.
Rent control critics say it's an easy way for the city to make a bad policy more workable.
What they're saying:"What we've done in St. Paul is create the worst of both worlds," Nate Hood, a city Planning Commission member and small-time landlord, told Axios.
"Rent control scares people, so developers just stay away from the city," Hood said. "At the same time, we haven't necessarily protected tenants because there are loopholes that some people could probably drive a semi through."
The other side: Rent control advocates share some of Hood's frustrations but say the solution is to strengthen rent regulations, not weaken them further.
"City officials in St. Paul seem more focused on managing the pushback of wealthy developers and special interests, and not on implementing a strong policy," Elianne Farhat, co-executive director of advocacy group TakeAction Minnesota, told Axios.
With better enforcement and strategy from city leaders, "we wouldn't necessarily be experiencing the 'worst of both worlds,'" added Tram Hoang, who managed the 2021 rent control campaign.
Carter says that if the new proposal passes, rent control will cover more than 90% of St. Paul's rental units.
Stunning stats: Builders pulled permits for 404 housing units in St. Paul, down 80% from the 2,077 units permitted in 2020, according to federal data.
Reality check: Rent control isn't the only cause of this slowdown in St. Paul. Building has sagged nationwide as developers contend with supply chain issues, labor shortages and difficulty securing loans.
Minneapolis, which doesn't have rent control, saw a 90% drop from its pre-COVID-19 development peak, and metro-wide construction is down too.
"The real estate industry is scapegoating rent stabilization and using this time of economic uncertainty … to force the council into making a false choice," said Hoang, now an analyst at think tank PolicyLink.
Yes, but: Rent control critics fear that without further changes to St. Paul's rent control policy, developers will bypass opportunities to build in St. Paul whenever economic conditions rebound.
St. Paul's typical rents have grown at a pace similar to — if not slightly faster than — that of Minneapolis in recent years, according to Zillow estimates.
Zoom in: One reason is that St. Paul's ordinance gives landlords several options to raise rents more than the 3% annual cap.
By the numbers: Since the ordinance took effect in 2023, more than 1,700 landlords have applied to raise rents on vacant units by as much as 8%, plus inflation.
The city granted 1,580 requests in 2023 and 2024, the city's Department of Safety and Inspections tells Axios.
Another 111 applications have been granted to landlords seeking to exceed the rent cap to cover repairs or certain cost increases — like, in Hood's case, insurance.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
15 minutes ago
- Yahoo
Conspiracy Scandal Sentences Ex-OC Supervisor Andrew Do to 5 Years in Federal Prison
Conspiracy Scandal Sentences Ex-OC Supervisor Andrew Do to 5 Years in Federal Prison originally appeared on L.A. Mag. Andrew Do, a former supervisor for Orange County, was sentenced Monday to five years in federal prison for a conspiracy to commit bribery — the maximum sentence for a crime of this accepted over $500,000 in personal bribes and voted in favor of $10 million in COVID-19 relief funds to a charity affiliated with one of his daughters, all while in office, according to the U.S. Department of resigned his O.C. office and pled guilty to a charge of conspiracy after his daughter, Rhiannon Do, fell under fire for purchasing a million-dollar home in Tustin that was allegedly purchased with the pandemic relief funds. Do has since forfeited the home. His attorneys asked that their client serve just under three years, but the prosecution pushed for the maximum sentence. The judge favored the prosecution's suggestion, which stated Do used county money to pay for self-serving endeavors like extravagant dinners, credit card debt and personal property DOJ said Do will be responsible for repaying the bribes, forfeiting certain assets and relinquishing control of his pension earned during the scandal. Additionally, he will repay the money his daughters accrued, including that of Viet America Society, the nonprofit Rhiannon worked at and used to purchase her home.'No one is above the law. This maximum sentencing of Andrew Do sends a strong message that we do not tolerate public corruption in Orange County,' said O.C. Vice Chair Katrina Foley in a statement obtained by FOX 11. 'Andrew Do enriched himself off the suffering of others, betraying our residents and violating his oath of office. I commend the Department of Justice for holding him fully accountable.' This story was originally reported by L.A. Mag on Jun 11, 2025, where it first appeared.
Skift
16 minutes ago
- Skift
Planners Fear Immigration Crackdowns Will Make Hotel Labor Shortages Worse: Exclusive Survey
The hospitality industry has struggled with a labor shortage since the Covid pandemic. Now, immigration enforcement and an anti-immigrant sentiment are adding a new layer of complexity. An exclusive Skift Meetings survey of U.S. planners shows that they expect to grapple with the effects of Trump-era immigration policies on their events, with growing concern about hotel staffing across the board. More than two-thirds of respondents (72%) said they expect hotel staffing to be affected in 2025–2026 because of immigration policies. Only 13% foresaw no impact. 'Hotel staffing never fully bounced back after the pandemic. We're still experiencing some gaps in service in certain markets and at certain properties,' said Kyle Jordan, director of meetings at the Institute for Operations Research and Management Sciences (INFORMS). Staffing issues are being felt at more than hotels. 'Challenges extend to other key partners like AV providers and vendors that support our meetings,' said Jordan. 'While it's hard to predict the full impact, I would expect that deportation activity could further strain staffing in some destinations.' Concerns stem not just from general staffing shortages but also the effect of revived immigration enforcement policies. 'The main issue is that for many workers in hotels, while they may be legal immigrants, the feeling toward immigrants in general has turned toxic,' said Mark Phillips, CEO of LamontCo. 'No one wants to live and work in such an environment or put families through it, so over time we will see less available even legal immigrant workforces. It already appears to be happening in several cities.' ICE Raids and Protests Exacerbate Immigration Issues In Los Angeles, several days of protests followed large-scale immigration raids by ICE. Protests have spread to other U.S. cities, including Atlanta, Chicago, Washington, D.C, and New York City. a'The hospitality industry relies heavily on immigrant labor especially in back-of-house roles like housekeeping, food and beverage service, and maintenance. Stricter immigration enforcement, increased deportations, and general anti-immigration rhetoric have created fear and uncertainty among these workers, not to mention ICE raids, and I-9 audits. This leads some to leave the industry or self-deport, reducing the labor pool, making it even harder for hotels to fill critical positions,' said Robert Kraus, founder of Small Conferences. Kraus added that there are concerns about the future of the H-2B visa program and similar initiatives. 'There's also a worry that H-2B visas and other temporary worker programs will be curtailed plus general apprehension on potential workers to risk coming to the U.S. just to be told they can't enter or later be sent home only after a short amount of time. This could easily limit the number of foreign workers applying, which is critical for meeting seasonal demands of resorts and other hospitality businesses.' Labor shortages have already disrupted event logistics.'In several cases, my groups suffered through multi-hour lunch services because the hotel restaurant kitchen could not keep up with demand,' he said. Legal Compliance Doesn't Eliminate Anxiety Michael Dominguez, president and CEO of ALHI, argues that deportation is not necessarily a direct impact to hotel staffing. 'It has been required by law for any employee to complete an I-9 form, which verifies legal status and requires documentation,' said Dominguez. 'Any company or hotel not doing that is in violation of Section 274A of the Immigration and Nationality Act of 1986. Everyone working in a hotel needs documentation, or they are breaking the law.' Still, legal status does not erase worker anxiety, said Melanie Nathan, human rights advocate and executive director of the African Human Rights Coalition. 'I know people who are perfectly legal and who have filled in those I-9's who are too scared to go to work. They are standing back to try and ride out what they feel like is a storm. Some fear they might get picked up in workplaces where there are likely to be raids.' Guest Services and Sales Take a Hit The staffing crunch is also affecting guest experience and hotel revenue. 'Daily housekeeping is no longer a given. There are hotels where it is now every other day or on request,' said Akshar Patel, VP of corporate strategy and development at eShow Event Management Solutions and a hospitality expert. Beyond guest services, the staffing crunch is slowing business development efforts. 'A staffing shortage on the sales side is delaying RFPs,' said Patel. Andrea Milrad Heilweil, VP of sales and marketing at The Hutton Group, agrees. 'I have found that since Covid I have to be much more proactive with follow-up. Between people furloughed, laid off, or leaving the industry altogether, RFP responses, requests for contracts, setting up site visits, and general communication have been delayed.'
Chicago Tribune
20 minutes ago
- Chicago Tribune
RFK Jr. names 8 vaccine committee replacements, including COVID shot critic
NEW YORK — U.S. Health Secretary Robert F. Kennedy Jr. on Wednesday named eight new vaccine policy advisers to replace the panel that he abruptly dismissed earlier this week. They include a scientist who researched mRNA vaccine technology and transformed into a conservative darling for his criticisms of COVID-19 vaccines, and a leading critic of pandemic-era lockdowns. Kennedy's decision to 'retire' the previous 17-member panel was widely decried by doctors' groups and public health organizations, who feared the advisers would be replaced by a group aligned with Kennedy's desire to reassess — and possibly end — longstanding vaccination recommendations. The new appointees to the Advisory Committee on Immunization Practices include Dr. Robert Malone, the former mRNA researcher who emerged as a close adviser to Kennedy during the measles outbreak. Malone, who runs a wellness institute and a popular blog, rose to popularity during the COVID-19 pandemic as he relayed conspiracy theories around the outbreak and the vaccines that followed. He has appeared on podcasts and other conservative news outlets where he's promoted unproven and alternative treatments for measles and COVID-19. He has claimed that millions of Americans were hypnotized into taking the COVID-19 shots. He's even suggested that those vaccines cause a form of AIDS. He's downplayed deaths related to one of the largest measles outbreaks in the U.S. in years. Other appointees include Dr. Martin Kulldorff, a biostatistician and epidemiologist who was a co-author of the Great Barrington Declaration, an October 2020 letter maintaining that pandemic shutdowns were causing irreparable harm. Dr. Cody Meissner, a former ACIP member, also was named. Kennedy made the announcement in a social media post on Wednesday. The committee, created in 1964, makes recommendations to the director of the Centers for Disease Control and Prevention. CDC directors almost always approve those recommendations on how Food and Drug Administration-cleared vaccines should be used. The CDC's final recommendations are widely heeded by doctors and determine the scope of vaccination programs.
