Gov. William F. Weld '66 signed an emergency act Wednesday that would grant a two-year reprieve of rent control's abolition for certain income-eligible tenants, but the act's limited protection for rent-control tenants have Cambridge landlords, tenants and officials in shock.

Weld's approval of the bill, which both houses of the state legislature passed in the final minutes of the legislative year on Tuesday, seals the fate of rent control in Cambridge, Boston and Brookline, the three communities in Massachusetts with rent control laws.

Under the act--which the three communities cannot alter or reject--tenants earning less than 60 percent of the median-income guidelines for metropolitan Boston, as set up by the federal Department of Housing and Urban Development (HUD), can keep rent control for up to two years. Also protected are elderly and disabled tenants who make less than 80 percent of the HUD guidelines.

The Rev. Vernon E. Carter, who lives in a rent-controlled apartment in Cambridge, says he'll be able to keep his unit because of his advanced age. But he worries about the impact of the rent control's loss on students and other renters.

No full-time students older the age of 18 can qualify for rent control.

"The realtors are exploiting students," Carter says. "I'm a senior citizen so I fall under the protection. The students should raise protests in order to protect their rights."

The protections are far weaker than the petition Cambridge had originally asked the state legislature to grant. That home-rule petition had called for a five-year phase-out of rent control for elderly, disabled and low-and moderate-income tenants.

By January 1, 1997, rent control will by completely abolished the state of Massachusetts.

'All Controls Expire'

Until yesterday, rent control regulated more than 16,000 housing units in Cambridge, which enacted rent control laws in 1970.

Terrence P. Morris, executive director of the Cambridge Rent Control Board, estimated that only 6000 to 8000 units fall under the new exemptions.

By law, landlords were legally empowered to mail rent-increase notices starting yesterday. The soonest the increase can legally take effect is March 1, according to Morris. "Landlords are free to give notices of rent increases, effective March 1, for everybody," the director said.

The rent-control board met for three hours yesterday, hastening to respond to a flurry of calls from anxious tenants.

The board decided yesterday to send a mass mailing to around 23,000 tenants and landlords, clarifying the new laws. The board will certify tenants who meet the income guidelines.

"They can come in and we request documentation to verify they are under the income guidelines," Morris said. "We will issue them a certificate to that effect."

"We expect to see them come in en masse," Morris added.

Morris said the city has no way of determining who is protected unless tenants themselves come in with their tax forms. "It's only in response to tenants coming forward that we'll be able to determine who's protected and who isn't," the director said.

Long preoccupied by eviction and removal-permit cases, the bulk of the board's work will now focus on certifying the few tenants protected under the new act. "We are not in the business of handling evictions any longer, that's clear," Morris said.

The board will also serve as a housing-assistance center, according to Mayor Kenneth E. Reeves '72. Reeves said the board would help tenants relocate and find other affordable housing opportunities.

As for the board itself, it will be in existence for two more years. Then the rent control boards of Cambridge, Boston and Brookline will be abolished. "All controls expire December 31, 1996," Morris said. "Everything."

Harvard Impact

The compromise is certain to affect the hundreds of graduate students in Cambridge, most from Harvard and MIT., who no longer qualify for rent control.

Some Harvard graduate students live in privately-owned rent-control units, while others lived in University-owned controlled units, according to Patricia A. O'Brien, housing coordinator for the Graduate School of Arts and Sciences.

"We don't know exactly how many students are in rent control, but, depending on what their landlord decides to do, they'll probably need to reconsider their situation," O'Brien said.

Harvard Real Estate Inc. (HRE), a University subsidiary, owns 702 rent-controlled units and 1615 other housing units in Cambridge, according to Susan K. Keller, vice president for residential real estate.

"We're very happy hearing what just transpired in the legislature," Keller said yesterday. "Our policy mirrored what the state legislature tried to do, which is protect the needy."

HRE had already sent a letter to all its tenants on October 13, promising not to raise rents until July 1. Keller said the company stands by its promise.

Keller said the company did not know exactly how many of its tenants are Harvard graduate students, but estimated the figure to be "around 15 percent."

The vice president said she was unsure how many Harvard tenants qualify under the income-eligibility guidelines. "I don't have the demographics of income guidelines for our tenant population," Keller said. "We have a lot of research to do."

Keller said it is "hard to determine" if HRE would gain financially from rent increases starting July 1.

"I do not foresee a huge amount of increase in July," she added.

Council Reaction

The city council met twice this week to discuss the legislature's compromise. The council voted Wednesday to publicize the new act on cable television and to make a pamphlet for citywide distribution, according to Reeves.

Council reaction to the compromise was mixed. "It's terrible," Reeves said yesterday. "The governor simply sat down with the real estate industry and decided what the policy for the city of Cambridge will be."

"It's not democracy, it's not good government and it's going to have a terrible impact on the city in general," the mayor added. "People have money to buy a ballot issue and rush it down everyone's throats."

Question 9, the state ballot referendum to abolish rent control, was passed by a 51 to 49 percent margin on November 8.

Vice Mayor Sheila T. Russell supported the compromise. "The voters have spoken, and they won," Russell said.

She said too many tenants had grown accustomed to subsidized rents. "It's become a way of life with people, and now it's over," Russell said.

The council had considered giving rent subsidies to tenants, but determined that the idea would be impossibly costly. Reeves said a subsidy for low-income tenants, after rent control expires, would cost $15 million for only six months and bankrupt the city.

Despite the mayor's resolve, area residents are divided on rent control. Many say they will be glad to see the system go.

"I'm a landlord and I voted against it," said Kevin W. Burr. "I live in East Boston where there is no rent control and it's totally different there. Rent control just helps the rich people get richer."

Some said Cantabridgians need to come to grips with the results of November's election.

"I'm part of the homeless and am about to move to the YMCA," said a man who would identify himself only as J. Price. "If you have a well-paying job you should be able to pay for full rent. The people of Cambridge voted it out. It's kind of screwed up. Now that they found out how it was, they start squawking about it."Crimson File PhotoCambridge Mayor KENNETH E. REEVES '72 does not approve of the compromise.