On Tuesday, August 5th, in a significant win for working-class tenants, Passaic City Council introduced a rent stabilization ordinance that would stabilize rents at 3%, eliminate vacancy decontrol, and take key steps toward expanding tenant protections. The vote comes after months of organizing led by both Passaic tenants and Make the Road New Jersey, who have demanded action to address rising rents, unsafe housing conditions, and displacement.

The updated rent stabilization ordinance would put over $4 million a year back into tenants’ pockets and protect more than 4,000 families from homelessness. Advocates say this is a crucial step toward ensuring housing stability in one of New Jersey’s most rent-burdened cities.

“This week’s victory is a win for the thousands of working-class tenants who refused to stay silent as rents skyrocketed and living conditions deteriorated. This is what community power looks like. We organized, we knocked on doors, we showed up, and now we’re making change,” said Maria Montesinos, organizer with Make the Road New Jersey. In a time of rapidly rising inflation, stabilizing rents at 3% and expanding tenants protections sends a clear message: Passaic is a city that puts its tenants over profit. The fight isn’t over. We must continue organizing to ensure that the ordinance is voted into law on September 2.”

"Full-time workers need to earn nearly $40 per hour to afford a modest, two-bedroom apartment at fair market rent in New Jersey. Contrast that with the average NJ renter earning $23.97 per hour, and it makes NJ the seventh-most expensive place for renters in the nation. We applaud Network member Make the Road New Jersey, Mayor Hector Lora, Council President Schaer, and the Passaic City Council, and all who worked to curb unchecked, rising rents to keep our neighbors from being priced out of the community. Passaic has emerged as a statewide leader in making sure that stable rents are preserved from one renter to the next, allowing for this effort to truly stabilize rents for the long-term,” said Matthew Hersh, VP of Policy and Advocacy at Housing and Community Development Network of New Jersey. “Passaic's rental market is not immune to NJ's quarter-million statewide affordable home shortage, and that limited supply of affordable homes at all income levels drives up demand and prices. We must all continue to put pressure on our state leaders to restore the Affordable Housing Trust Fund to build more affordable homes and to provide statewide limits on unconscionable rent increases."

“Passaic's leaders deserve tremendous credit for moving forward with this measure to protect residents from skyrocketing rents and displacement,” said Al-Tariq Witcher, landlord and Managing Director of External Affairs at Fair Share Housing Center. “In a city where so many working families and immigrants are struggling to stay in their homes, this ordinance is urgently needed to strengthen Passaic's economic resilience. We're grateful to Mayor Lora, Council President Schaer, and the Passaic City Council for standing with their constituents and taking this practical step to ensure housing stability and prevent homelessness.”

“Passaic’s action on Tuesday is bold and necessary,” said Newark Mayor Ras J. Baraka. “Too many working families across New Jersey are being priced out of their homes and Tuesday’s introduction of an ordinance that eliminates vacancy decontrol underlines the commitment to long-term solutions to affordability. Increasing access to affordable housing has been a key part of my administration and we’ve seen how rent stabilization can lift up whole cities. Where the federal government has failed and continues to drive efforts to destabilize housing protections, this vote proves that when elected officials listen to their residents, and not to corporations, real people win. I applaud the tenants, organizers, and city leaders who are working to take this across the finish line.”

"On Tuesday, the City of Passaic stood with working-class families," said Jersey City Ward E Councilman James Solomon. "By introducing this ordinance, Passaic is set to deliver real relief to thousands of families who are on the brink of displacement. In Jersey City, we stabilized rents at 4% and we have seen the powerful effects of rent stabilization – I have seen how our communities continue to thrive. I’m proud to stand with Passaic, as they take this key step towards affordability."

“Every worker deserves the dignity of being able to afford a home. For too long, our members—essential workers who clean buildings, maintain public spaces, and keep our cities running—have been pushed out of the communities they call home. This ordinance is a major step forward for housing justice in Passaic. We thank Mayor Hector Lora, Council President Schaer, and the entire City Council for standing with working families. By eliminating vacancy decontrol and stabilizing rents at 3 percent, Passaic is proving that we can help build a city where workers and their families are not just surviving but thriving,” said Ana María Hill, Vice President and New Jersey State Director, 32BJ SEIU.

“Educators are excited that students of Passaic and their families will now benefit from some economic stability. Rent control isn’t just housing policy – it’s a justice issue. When a city protects tenants like Passaic is working towards, it defends the rights of families to stay rooted in their communities. That stability ensures students remain in the same schools, build lasting relationships and are able to thrive without the trauma of displacement. Kudos to the Passaic City Council for recognizing the importance of rent control, and thank you to Make the Road New Jersey for their incredible organizing efforts!” said Susan Butterfield, President of the Passaic County Education Association. 

Working families deserve stability, not just on the job, but at home too. When rents skyrocket, it's our members—that work in warehouses,  that wash linen for our hospitals, that feed our children in school and ensure our schools are secure –  these are the workers who suffer the consequences. Tonight, we show the City of Passaic what people's power is all about. And tonight's results are a win for every working-class family in Passaic fighting to live with dignity and build a city that works for everyone. We stand with tenants and we are looking forward to continuing to organize our communities,” said Alberto Arroyo, Co-Manager, of the Laundry, Distribution and Food Service Joint Board Workers United.

“We are seeing steady increases in the number of families experiencing homelessness year after year.  This is a direct result of housing costs increasing at rates that outpace incomes of the average resident.  Rent control is one effective tool in ensuring rental prices remain reasonable and affordable so people afford to keep a roof over their heads.  This ordinance is one step in the right direction to ensuring housing is recognized as a human right and within reach for everyone,” said Taiisa Kelly, CEO of Monarch Housing Associates.

“Nearly 70% of Passaic City residents are ALICE—Asset Limited, Income Constrained, Employed—and across the county, that number is close to 50%. Affordable and stable housing is the foundation for thriving families, successful students, and resilient communities. The City Council’s decision to move this ordinance forward reflects a powerful step toward equity and dignity for working-class families who power our local economy. We commend the tenants, organizers, and elected leaders who are standing up for affordable housing in Passaic,” said Mary Celis, President and CEO of United Way of Passaic County.

The vote followed the delivery of over 500 voter signatures to the city clerk as part of a ballot initiative to place strengthened rent protections on the November ballot, a move that signaled overwhelming community support.

The Council’s decision comes amid a worsening eviction crisis in Passaic County. According to Court Management Statistics, eviction filings jumped from 2,652 in 2021 to 6,745 in 2024.  The number is projected to rise to 6,992 filings in 2025. In terms of demographics, 80% of these evictions represent minority tenants, well in excess of the national average.  Additionally, these numbers represent a disproportionate number of women (62%) and families with children (53%).  Most of the tenants facing eviction have faced a rental increase in the last 12 months and are having difficulties covering household expenses.  Currently, in order to afford an average two-bedroom apartment in Passaic, a family would need to earn approximately $5,000 a month.  Which explains why evictions in Passaic are more heavily represented in higher-income ranges than the rest of the country.  Families making $50,000 or more are 40% of those threatened by eviction.

A recent report by Popular Democracy in Action and Make the Road New Jersey, “Fair Rents, Stable Communities: How Strong Rent Stabilization Can Help Passaic Thrive” dispels myths that rent stabilization stifles development. The report finds that strong rent protections can co-exist with new construction and that landlords continue to earn fair returns even under stricter caps.

At Tuesday’s rally and council meeting, tenants shared powerful testimonies about living in uninhabitable conditions, harassment from landlords and unconscionable rental increases. The new ordinance also eliminates vacancy decontrol, a loophole that allows landlords to raise rents without limits when units become vacant and essentially undermines affordability. The ordinance now moves on to a second and final vote on September 2nd at 7:00 p.m. at Passaic City Hall.