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Quote/Term of the Week
Residential Landlord and Tenant Ordinance / noun
Approved in 1986 and amended over the years, the Residential Landlord and Tenant Ordinance (RLTO) is meant to “protect and promote the public health, safety and welfare of its citizens” and “to encourage the landlord and the tenant to maintain and improve the quality of housing” citywide.
Ex: The RLTO covers most rental properties located in Chicago except units in owner-occupied buildings with six units or fewer and other less-traditional housing.
So like, do renters have rights or…?
Another battle is ensuing in City Council, this time over the rights and protections for more than 600,000 Chicago renters.
In 1986, then-Mayor Harold Washington implemented Chicago’s first, and currently only, meaningful renter protections through the Residential Landlord and Tenant Ordinance. Many agree it’s long overdue for an overhaul.
For context, helpfully provided by WBEZ: In 1986, Ronald Reagan was president, Stevie Wonder and Lionel Richie were topping the charts and Chicago’s median rent sat at about $515 per month.
Forty years later, Donald Trump is back in the White House, Ariana Grande and Olivia Dean are claiming their spots in the Billboard Hot 100 and Chicago’s median rent is clocking in around $1,670 a month — rising faster than other large U.S. cities.
Now, Mayor Brandon Johnson and opposing alders are clashing over exactly how the city should update the RLTO. Johnson introduced the Protecting Renters Ordinance in June, almost immediately generating pushback from building owners. In response, a coalition of alders introduced the Fair and Accountable Illinois Rental Ordinance, or FAIR.
Similar to the budget season saga, the two ordinances have several similarities, but feature key differences.
Here’s what you need to know:
Protecting Renters Ordinance – PRO
Johnson’s ordinance, aimed at shielding renters from predatory practices and evictions, has backing from local tenants rights groups and housing advocates. Landlords who live in their buildings and have six or fewer units would remain exempt from these laws, which is how the city currently handles it.
Here are the the key points from WBEZ:
Rental registry: Chicago has no comprehensive record of its more than 500,000 rental units, or the people and entities who own them. On top of this, property owners have continually hidden behind limited liability companies, or LLCs, making it very difficult to ensure that they are in compliance with housing laws. Under PRO, the city would create a rental registry that would require landlords to register with the city and pay an annual fee. That fee would contribute to a fund that would further support the other initiatives in the ordinance. This version of a registry also would require details on who controls the LLC or trust that owns the building. If the owner doesn’t live in Chicago, the registration must include information for who represents them in the city.
Bureau of Rental Housing Services: Part of the funds from the annual landlord fee would go towards creating an administrative body that would oversee the rental registry, provide emergency rental and eviction resources and enforce landlord compliance and tenant protections.
Tenants Bill of Rights & elimination of junk fees: This ordinance would ban hidden junk fees, such as application and processing fees charged on top of rent, and require that any amounts charged to renters reflect actual, documented costs. Security deposits would be capped at one month’s rent and application fees would be limited to $20. Under this, landlords would also have to disclose if they’re using algorithmic pricing tools.
Just Cause for Eviction: Currently, landlords don’t have to provide a reason not to renew a tenant’s lease. Under this provision, landlords would have to produce “just cause” for not renewing a lease. If the tenant is not at fault for the eviction, the landlord would have to pay between $3,000 to $10,000 to help the tenant relocate, depending on the reason and the type of owner.
Illegal lockout fines: Under this, landlords could be fined up to $2,500 each time they illegally lock out a tenant, plus another $1,000 fine per day the lockout continues.
Fair and Accountable Illinois Rental Ordinance – FAIR
This proposal comes from the Budget Accountability Coalition, made up of alders who countered Johnson’s 2026 budget plans. Mayoral allies have nicknamed it “Chicago landlord’s big, beautiful bill.” In this proposal, landlords who don’t live in their buildings and own up to 12 units also would be considered exempt from these policies.
Here are the the key points of the FAIR from Block Club Chicago:
Rental registry: The city would still establish a rental registry, however it would drop the mandatory annual fee and would exempt certain owner-occupied, nonprofit and subsidized properties. It also would require less information from landlords, including the contact information for the owner or owner’s representative as well as who oversees tenant repairs.
No “just cause” for eviction: The FAIR ordinance would maintain the city’s current law where landlords do not have to give a reason to evict a tenant. It also would not require landlords to pay relocation fees.
No new oversight division: This ordinance would keep the city’s Department of Housing in charge of enforcing local laws.
Less restriction on junk fees: This ordinance would cap application fees at $50 and still allow other fees so long as they are “disclosed in writing, itemized, and reasonably related to an actual cost incurred by the landlord.”
Higher consequences for illegal lockouts: The FAIR ordinance imposes tougher guidelines for landlords who illegally lock out tenants, between $2,500 to $5,000 for each violation. This also would include another $1,000-per-day fine for as long as the lockout continues.
#ElectionSZN on the horizon
Tuesday marked the first day candidates in the 2027 mayoral and aldermanic elections could start gathering signatures to get on the ballot. Johnson hasn’t confirmed he’ll run for reelection, but it’s shaping up to be another crowded field. And we already know of one alder bowing out after 2027. Stay tuned …
What you can do:
Attend PRO teach-in: Want to learn more about your rights as renters and the Protecting Renters Ordinance? Join ONE Northside for an online teach in on Wednesday, Aug. 5, 6 p.m. RSVP here.
Contact your alderperson: Click here to find your alderperson and let them know your thoughts on how the city should handle renters protections.
A version of this story was first published in the July 29, 2026 issue of the Newswire, an email newsletter that is your weekly guide to Chicago government, civic action and what we can do to make our city great. You can sign up for the weekly newsletter here.
Have thoughts on what you'd like to see in this feature? Email Civic Editor Dawn Rhodes at dawn@citybureau.org.