Rent Stabilization

What is the Rent Stabilization Ordinance?

The Rent Stabilization Ordinance aims to address a shortage of affordable residential rental housing in the City of Saint Paul and ensure all residents have access to affordable housing. The Ordinance limits residential rent increases to no more than 3% in a 12-month period, however, there are exceptions. The Ordinance also directs the City to create a process for landlords to request an exception to the 3% limit based on the right to a reasonable return on investment.   

Summary of Increases Allowed through Ordinance and Rules

• Standard Allowable Increase without City approval: 3%  

• Self-Certification Increase Exception: Available for 3%-8% (evaluated annually)

• Just Cause Vacancy Increase Exception: CPI + 8%  

• Staff Determination Increase Exception: No limit with appropriate justification 

Review the amended ordinance from September 2022.

Learn more about how the City is implementing the updated ordinance.

Timeline Summary

• November 2, 2021: Saint Paul voters approved a Rent Stabilization ballot initiative for the City of Saint Paul.   

• February-May 2022: The Department of Safety and Inspections (DSI) was tasked with leading a cross-departmental group working toward a May 1, 2022 implementation date.  A Rent Stabilization Stakeholder Group was convened by the City to research and consider enhancements to the voter-approved initiative. That group met from February through May, presenting its findings in July 2022. Find the group’s final report here. The Saint Paul City Council then worked to consider and shape changes to the ordinance. The amendments were brought forward in early August and approved on September 21, 2022.   

• May 1, 2022: Ordinance takes effect requiring landlords to limit residential rent increases to 3% in a 12-month period or request an exception. 

• September 2022: The City Council adopted amendments to the ordinance which went into effect January 1, 2023.  The Department of Safety and Inspections (DSI) was tasked with leading a cross-departmental group focused on implementing the revised ordinance.  

• November 2022: DSI drafted proposed rules and held a public comment period on the proposed rules in November 2022. The public comment period is now closed.  

• December 2022: The Department of Safety and Inspections (DSI) reviewed the public comments and published the final rules on the City’s website.  

• January 1, 2023: Changes to the law took effect and the updated Request for Rent Increase form became available on the website for landlords to formally request an exception to the limit on rent established by the ordinance.   

How the Rent Stabilization Ordinance is Enforced

The Ordinance is enforced through an administrative process, including submissions of complaints. Learn more about tenant and landlord rights.

• The rules and processes guide the enforcement of the Rent Stabilization Ordinance. Review the full process.

• If your landlord is not following the Rent Stabilization Ordinance, check out these legal, dispute resolution, and education resources for tenants.  

• Tenants may also file a complaint using the Rent Stabilization Ordinance complaint form (the form is available in English and Spanish). Complaints may be submitted for failure to comply with the Rent Stabilization Ordinance. 

• The rights and responsibilities of landlords and tenants are protected in state and federal law in addition to local ordinances. Learn more from The Office of Minnesota Attorney General's Landlords and Tenants Handbook, including the requirement that landlords provide notice of a rent increase.   

• Only the landlord or the tenant impacted by the rent determination specific to their individual unit may appeal the staff determination.  Each tenant wishing to appeal a rent increase must appeal for their own, individual unit.
   
• If prior to the completion of the appeal process a tenant vacates the unit, the appeal related to the rent determination shall be dismissed. 
   

Summary of Rules

What the Ordinance Covers

The Ordinance limits residential rent increases to no more than 3% in a 12-month period. The Ordinance also directs the City to create a process for landlords to request an exception to the 3% limit based on the right to a Reasonable Return on Investment. The amended Ordinance creates a 20-year exemption for newly-constructed residential rental properties, among other changes detailed below. 

Key Changes to the Amended Ordinance

1. "Partial vacancy decontrol" allows landlords to increase rents by up to 8% plus inflation, measured by Consumer Price Index (CPI), after a "just cause" vacancy.  
2. Landlords must demonstrate a "just cause" vacancy to be eligible for the partial vacancy decontrol measures.  
3. Tenants will be notified by City staff when their landlord submits an application requesting an exception to the 3% rent cap. City staff will also notify tenants if the application is approved or denied.  
4. Tenants and landlords will have 45 days from the date of the City's determination on the exception request to file an appeal.  

Information about how the reasonable return on investment and utilities will be considered, a list of what constitutes “just cause,” and definitions of terms may be found on the 2023 Rules and Processes page.  

Allowable Rent Increases

Rent increase requests based on a Reasonable Return on Investment will be analyzed using the nine factors required by the Ordinance. 

Rent increase requests based on a Just Cause Vacancy will be analyzed under the Ordinance and rules. 

Summary of Increases Allowed through Ordinance and Rules

1. Standard Allowable Increase without City approval: 3%  
2. Self-Certification Increase Exception: Available for 3%-8% (evaluated annually)
3. Just Cause Vacancy Increase Exception: CPI + 8%  
4. Staff Determination Increase Exception: No limit with appropriate justification 

For the definitions of terms, see the 2023 Rules and Processes page.   

Property Owners Can Request an Exception

Landlords of Rental Units are able to request an exception. Learn more about exceptions by visiting the Rent Stabilization for Landlords and Property Managers page.