Sunday, September 11, 2005

Rent Control 5/20/04

The private roads of Hazlet’s mobile home parks are cutting through issues that concern our community.

Congruent with the popular political trend of “legislate this behavior” and “reform that function of government”, Hazlet’s Democrats attempted to abolish the township’s sewerage authority.

Professional research did not adequately support the Democrat’s claim that the authority is wasting money. Combined with an inadequate transition plan, common sense forced the township committee to temporarily reject an idea worthy of further debate.

The sewerage authority serves every resident and business in town. Studying this “issue” cost the taxpayers and ultimately changed nothing, but the Democrats used the issue to create an illusion of reform.

The Hazlet Township Rent Control Board might be a better candidate for elimination and actual reform.

Rent control legislation developed in large cities, in which there is a predominance of multi-family dwellings. Rent control laws prevent landlords from raising the rent to force people out of their homes in an attempt to attract “better” tenants. Enacted with the intention to protect poor, disabled and elderly people, these laws prevent landlords from realizing fair profits on their real estate investments.

Although current county, state and federal programs protect the housing rights of poverty stricken, retired and disabled people, local variations of such legislation still support this municipal social program. Corruption and superfluous entitlement have inspired many cities and towns to revise or eliminate their rent control laws.

In Hazlet, the rent control board governs the rental price of mobile home “pads”.

Hazlet consists of mostly single-family homes. Duplex, apartment, condominium and commercial rentals are not subject to the authority of the Hazlet Rent Control Board.

Mobile homeowners can set up on their own land, if they pay property tax, comply with existing zoning laws and install access to water, sewerage, electric and gas, etc. Many mobile homeowners choose to rent a pad in a privately owned mobile home park, complete with access to utilities.

Only the laws of supply and demand limit the potential profit of most businesses in Hazlet. Mobile home parks are private enterprises, but the local government regulates their profitability.

Many park owners improve their investment in land and community with landscaping, paving and utility access projects. Currently, the rent control board is responsible for determining whether the upgrade is a capital improvement or an extraordinary expense. The subjective opinion of the board lawfully controls the profitability and quality of mobile home parks in Hazlet.

A mobile home pad in a well-maintained park should be more expensive than a pad in a park with unpaved roads and septic systems. Furthermore, because the rent control board must approve all rent increases, the park owner risks losing money with every improvement.

Limiting the profits of local business should not be the business of our local government.

The free market provides a more objective determination regarding the cost and quality of Hazlet’s mobile home parks. Taxpayers will save money with the elimination of the professional fees and lawsuits associated with the rent control board.

Traditionally, Republican ideology advocates less government, while Democrat ideology promotes government-run social programs, which often protect little more than voter loyalty by creating a sense of entitlement.

Common sense, as opposed to common party affiliation, will motivate the tenants, landlords, members of the rent control board and the township committee to consider the direction of this issue.

I look forward hearing these people continue to debate Hazlet’s rent control laws.

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