Discussion:
The city council has discussed implementation of a property maintenance ordinance and rental housing inspection program for more than a year. Staff has previously provided a detailed explanation of the property maintenance ordinance under the 2018 International Property Maintenance Code.
This is a proposed Rental Housing Ordinance that would license and allow inspection of units. It is modeled after several recently adopted codes including one in Fairmount that took effect in January 2022.
The code applies only to non-owner-occupied properties. Apartments, ADU or rooms rented in owner-occupied properties are exempt from the rental housing regulations. It also sets up a complaint process for residents of properties. There is also a process for revocation of licenses. There have been a number of reports in the media recently about landlords that have had licenses revoked and the end result is that tenants then must vacate the property. We have included a landlord relocation cost provision that a number of cities have implemented to assist when this occurs as an incentive to have landlords make repairs.
This is for discussion and input. Staff will work with the city attorney on cleaning up the ordinance after input and will bring back for adoption should the council so chose.
Fees will be established to cover the costs of administration and operation. Typical costs in the region are $50 per unit per year. Single family homes that are being rented typically have a one time inspection cost of $1,000 when they are converted from owner-occupancy to rental. If the program is implemented, it would be housing in Planning and Development within the Building Department. We would start with one rental inspector this year and add another at the beginning of 2022. All inspections and licensing would be done and coordinated though our online Eportal.
If the council chooses to move the program forward, staff working with the communications department, will create a web page with all relevant information. I have included a sample inspection highlight brochure from Rochester. Most cities have web pages that explain both tenant and landlords rights and responsibilities.