St. Paul renter Michael Smith has won a fight against a proposed 17.97% rent increase after raising concerns about apartment maintenance, fire safety and disputed utility charges. The City Council sided with him after a formal review of conditions at his four-unit building.
The council adopted a legislative hearing officer’s recommendation on July 15, granting Smith’s appeal and rejecting the above-cap increase for his apartment, according to the official council record. The case began after a March determination allowed the landlord to seek the unusually large increase.
A June 25 inspection found that windows in an east bedroom could not stay open for emergency escape, while the building lacked a fire extinguisher and had other maintenance issues involving walls and an oven seal. Smith also described unvacuumed hallways, an untended lawn, bugs and cobwebs, while KSTP 5 Eyewitness News reported that the landlord pointed to recent property-tax increases as a reason for seeking the higher rent.
The 17.97% Increase Ran Into More Than One Problem
St. Paul generally limits residential rent increases to 3% over 12 months, though landlords can seek exceptions under specific circumstances. The City of Saint Paul says tenants have 45 days to appeal an exception determination, and an increase cannot take effect until the appeal is finally resolved.
In recommending that Smith prevail, Legislative Hearing Officer Marcia Moermond flagged a discrepancy in the landlord’s rent calculations. The application used $1,090 as the base-year rent, while the lease showed $1,324 for most of 2023, and the proposed utility accounting was not backed by specific cost information, according to the hearing officer’s recommendation.
The Legal Stakes For Landlords And Tenants
Smith’s attorney, Abbie Hanson of the Housing Justice Center, argued that the landlord’s shared-meter utility practices also violated Minnesota requirements. The landlord allegedly divided gas, water and common-area electricity charges evenly among the four units instead of using the formulas required by state law, the Housing Justice Center letter said.
That matters because St. Paul’s ordinance says the city cannot approve a rent-cap exception when a landlord has failed to bring a unit into compliance with the implied warranty of habitability. The legal filing also said the building’s fire-certificate renewal inspection was overdue by roughly a year, adding another layer to the city’s scrutiny.
What Smith’s Win Means For Other Renters
The council resolution specifically concerns Smith’s apartment, so it does not automatically cancel rent increases for every unit in the building. Still, the case shows that tenants can challenge an exception by presenting maintenance records, inspection findings and documentation that questions how a landlord calculated the requested increase.
Smith’s appeal arrives as St. Paul voters prepare to consider a separate tenant-maintenance proposal. A repair fight headed for the Nov. 3 ballot would let renters hire tradespeople for certain problems and deduct qualifying costs from rent, though critics warn the approach could create new legal and financial risks.
