Bellingham landlords modifying policies under city’s new rental fees laws
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- Bellingham landlords reduced fees and revised leases to meet new city ordinances.
- Rent-related fees shift from tenants to property owners under capped regulations.
- Tenant concerns grow over vague utility fee standards lacking enforceable clarity.
Two city of Bellingham ordinances capping or prohibiting the fees a landlord can charge for rental and mobile homes took effect Aug. 1, and to be compliant, property managers are changing their practices.
Landmark Real Estate Director of Property Management Kimberly Huizenga told The Herald the “biggest struggle” has been updating leases to be in compliance with the ordinances and recently passed state rent stabilization bill HB 1217 amid the industry’s busy college rental season.
“We, as an industry, just got hit with a lot of regulation that all came due right around the same time,” Huizenga said.
As a result of the Bellingham ordinances, Landmark’s $65 application fee was reduced to $50; late fees were reduced from 10% to 2%; and the company’s administrative fees are no longer included in the city’s list of allowed fees.
“All the fees impact us because we are a service industry, so everything goes toward labor,” Huizenga said. “That’s where it’s hitting us. We still want to be able to provide great customer service, be available to our tenants and owners.”
Rent-related income goes to the owner of the property, and one-time fees are kept by Landmark, according to Huizenga. She anticipates fees will be passed down to property owners industry-wide.
“If fees can’t be passed on to the tenant, then they’re going to be passed on to the owner,” Huizenga said. “If an owner’s costs increase, then they’re going to attempt to pass it on in the form of a rent increase,” Huizenga said.
Utility fees a gray area
In Washington, landlords can’t raise rent by more than 10% — or 7% plus the consumer price index (CPI) — within a 12-month period. Kerri Burnside, an organizer at Bellingham Tenants’ Union, said she’s noticed utility fee increases since the ordinance was passed.
Under Bellingham’s new ordinances, a utility fee separate from the rent is allowed, given that the landlord “provides a clear accounting or methodology” for the fees. Burnside is worried that language isn’t enforceable.
“The law says landlords must provide a ‘clear accounting OR methodology’ for utility fees, but it doesn’t define what that means in practice,” Burnside said in an email to The Herald. “Does it require medical bills? A formula? A breakdown by square footage or headcount? It doesn’t specify how they must disclose this information. Without clarity, landlords can still pass on inflated or arbitrary charges, and tenants are left guessing.”
Under the ordinance, tenants are able to take civil action if they are charged excessive or prohibited fees. Burnside would like to see a city enforcement mechanism in the ordinance.
“That puts the burden entirely on renters, many of whom don’t have the time, money or legal support to challenge violations. It’s frustrating to see transparency promised without the tools to make it real,” Burnside said.
Tenant resources
Law advocates of Whatcom County provides low-income people with legal assistance, while Tenants Union of Washington State runs a tenants’ rights hotline.
This story was originally published August 13, 2025 at 5:00 AM.
