Section 13 

Rent Regulation

Sub-Section 13.14

Withdrawal/Reduction of a Service


Legislation


s. 138, 139, The Residential Tenancies Act
s. 6(1) & (2), Residential Rent Regulation


Definitions

Anniversary date: the date on which a landlord is entitled to increase the rent on a rental unit. In some residential complexes, all units have the same anniversary or rent increase date. In other complexes, the anniversary dates may be spaced throughout the year. A landlord can usually increase rent for a rental unit only once every 12 months. A landlord can change the anniversary date on a rental unit by waiting more than 12 months between rent increases. For example: The anniversary date on a particular unit was September 1, 2003. The landlord wanted to change the anniversary date to January 1 to coincide with the anniversary dates on the other units in the complex. To change the date, the landlord did not increase the rent on September 1, 2003 but waited for the increase until January 1, 2004.

Rent: the amount of money paid by a tenant to a landlord for the right to occupy a rental unit and the use of common areas, services and facilities; rent includes any service/facility for which the tenant pays a separate charge (For example: parking, storage locker.)

Withdrawal of service: for the purpose of this sub-section, a withdrawal of service also includes reduced services. For example: shorter pool hours, fewer hours of building security.


Policy

Before a landlord withdraws a service, they must:

  • give each tenant, affected by the withdrawal, a three-month written notice; and

  • apply to the Branch to fix the value of the service at least two and one-half months before the service is withdrawn.

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The Branch supplies both the notice and application forms for the landlord to complete. A landlord may use their own forms as long as they have the same information as the Branch’s.

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When a landlord applies for a withdrawal of service, the Branch invites the tenants affected by the withdrawal to come to the Branch, during normal office hours, to inspect the landlord’s application and supporting material. In exceptional circumstances, the Branch may arrange for tenants to inspect a file outside normal office hours. If the residential complex is outside Winnipeg, Brandon or Thompson, the Branch arranges for the tenants to inspect a copy of the file in or near their community. To inspect a file, tenants must show identification to prove that they live at the residential complex.

The Residential Rent Regulation gives tenants the right inspect the application and the supporting material. The regulation does not give the Branch the authority to provide photocopies of this information. People can make their own written notes about the material.

Tenants can comment, in writing, about the application. The landlord has the right to see and respond in writing to any comments the tenants give to the Branch. While tenants and landlords may discuss the file with Branch staff, the Branch will usually consider only written comments when making a decision on a withdrawal of service.

When the Branch issues a decision on an application, it closes its file. Once the file is closed:

  • the tenants are no longer entitled to inspect the landlord’s application and supporting material; and
  • the landlord is not entitled to inspect the tenants’ written comments.

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If a landlord’s actual costs for providing the service are readily available, the Branch sets the value of the service based on the landlord’s costs. For example: The landlord plans to withdraw cablevision or a utility. The landlord submits bills to show the actual cost of providing the service.

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If a landlord’s actual costs aren’t readily available, the Branch considers the estimated cost to the landlord and sets a value for the service that has been withdrawn. For example: The landlord plans to withdraw laundry service. The landlord submits estimated costs for providing laundry.

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A landlord may apply to withdraw a service during a fixed-term tenancy agreement. When this happens, the value of the service withdrawn is temporarily based on the tenant’s cost to replace it until the end of the agreement. For example: Cablevision is included in the tenant’s rent of $500.00. The landlord pays $15.00 per month to provide this service. The landlord decides to withdraw the cablevision. It costs the tenant $20.00 to replace it. Until the end of the tenancy agreement, the tenant’s rent is reduced by $20.00 to $480.00. Once the tenancy agreement ends, the value is again based on the landlord’s costs. The tenant’s rent is $485.00 plus any other authorized rent increase.

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If there is a month-to month agreement, the tenant’s rent is reduced by the amount of the landlord’s costs. Using the previous example, the tenant’s rent would go down by $15.00.

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When the Branch issues an Order setting the value of a withdrawal or reduction in service, the Branch will also say when the tenants will start to pay the "new" rent. This Order doesn’t affect or change the anniversary date on a rental unit. For example: A landlord increases rent on the anniversary date, June 1, 2004. The landlord then applies to withdraw a service. The Branch issues an Order setting the value of the withdrawal and reducing therent effective November 1, 2004. On June 1, 2005, the landlord is entitled to increase the rent.



Procedure

Overview   

An officer reviews a landlord’s application for a withdrawal or reduction of service, taking into account the information the landlord provides, tenants’ comments and the landlord’s response to them. The officer calculates the value of the withdrawal or reduction and issues an Order, which includes reasons. Both the landlord and tenants get copies of the Order.


Steps ▼   

1.   The officer reviews the application to make sure that:

  • the application is properly completed;
  • the landlord supplied financial information, invoices, bills or other information to support the application.

2.   If necessary, the officer sends the landlord a letter asking for any missing       information or supporting material. For example: copies of utility bills,       cablevision bills, list of tenant names, etc..

3.   When the officer has all the information required, they send a letter to all       tenants affected by the withdrawal of service. The letter invites the tenants       to:

  • inspect the information on file; and
  • provide written comments.

4.   If the officer receives written comments from tenants, the officer will either       discuss the information with the landlord by telephone or invite the       landlord to inspect and comment on the tenants’ statements in writing.

5.   The officer considers all the tenant and landlord information, makes a       decision, and issues an Order:

  • setting the dollar value and the effective date of the withdrawal; and
  • reducing the rent by that amount


 

 

Forms & Form Letters

Notice to Tenant – Reduction/Withdrawal of Service
..........................................................................Form 8/Residential Rent Regulation
Application to Fix Value of Reduction/Withdrawal of Service
..........................................................................Form 9/Residential Rent Regulation


 

 

X-Referencing

None


 

 

Policy Developed

September, 1993


Last Revision

août 2015


 

Other Resources

None


 

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