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HomeMy WebLinkAbout12-16-2014 SS1 PresentationRental Housing Inspection Program Options City Council Study Session – December 16, 2014 1 Recommendations Receive a presentation on Rental Housing Inspection Program policy options. Provide direction to staff regarding initiation of an ordinance and specific options to pursue. 2 Background Neighborhood Wellness 2013-15 Major City Goal Pursue a Rental Housing Inspection Program Methodology Survey other cities Community outreach City Council Study Session Development of a proposed program with stakeholders Return to Council Ordinance, Budget, Implementation Plan 3 Growth of Rental Properties in San Luis Obispo (1980- 2010) 4 53% 44% 42% 38% 47% 56% 58% 62% 30% 35% 40% 45% 50% 55% 60% 65% 1980 1990 2000 2010 Owner Occupied Rental Trend Outcomes Provide for safe, livable and attractive neighborhoods Promote public health and safety by the elimination of substandard conditions Promote community standards for maintenance of properties 5 Rental Housing Inspection Programs Are systematic programs that include the periodic inspection of rental properties to insure compliance with State and Local Housing, Building, Fire and Zoning Codes Authority - California State Housing Law (Ca HSC 17910-17998.3) - Mandates Local Enforcement (Ca HSC 17961) - Local Enforcement may include inspection of existing buildings absent any complaint (HSC 17920(e)) - Provides for minimum maintenance standards for housing - Defines what constitutes “Substandard” conditions Code Enforcement Cases in Residential Zones - 2013 Zone No. of Cases Percentage of Total Cases Violation Rate (per 1000 units) R1 and R2 Zones 652 80% 139 R3 and R4 Zones 162 20% 20 TOTAL 814 Violation Type Number of Violations Substandard Housing 281 Unpermitted Construction 115 Land Use/Zoning 88 Occupancy Violations 73 Property Maintenance 850 Miscellaneous 31 TOTAL VIOLATIONS 1449 Code Enforcement Cases in Residential Zones - 2013 Existing Fire Inspection Program Annual inspections of multi-family rentals (Ca Health & Safety Code, Sec. 13146.2(a) Purpose: To insure compliance with State Fire Safety requirements. Scope of Inspections: Fire alarm systems Fire sprinkler systems Fire extinguishers Inspection of common areas for fire hazards, exiting, and fire access issues Fire inspectors do not inspect the interior of all units. They typically spot check vacant units and conduct interior inspections if Fire Code violations are suspected. Program Variables Common variables of the various surveyed programs in other cities included: Scope of Inspections Frequency of Inspections Fees charged Incentives/Disincentives Exemptions Implementation Strategies Scope of Inspections Scope of Inspection Number of Cities Exterior only 2 Interior and exterior 19 Exterior with interior under certain conditions (reasonable belief, complaint, blighted areas, etc.) 3 No response 1 Recommended Best practice: Interior and exterior inspections Frequency of Inspection Inspection Cycle Number of Cities Annual 8 18 month 1 3 years 6 3.5 years 1 4 years 5 5 years 3 no response 1 Recommended Best Practice: 3 year inspection cycle Fees Recommended Best practice: Set base fees at full cost recovery level consistent with the City’s adopted policies regarding fee recovery. Fee Type Fee Amount First Inspection $0 - $272 per Single-family dwelling $0 - $337 + $24 per unit Multi-family Reinspections $0 - $335 per inspection Penalties/Fines (noncompliance) Up to $1000 per violation Incentives/Disincentives Recommended Best Practice: A self-certification program, high fines and reinspection fees, and abatements. Incentives Disincentives Self-certification after passing initial inspection High fines or reinspection fees. A threshold for allowing self- certification period. Withhold water, gas, and electric utilities. Training for landlords and tenants Abatement proceedings and legal remedies. Reduced fines for participation in training Amnesty for Illegal Units Potential Exemptions 1.Owner-occupied, spouse or immediate family members 2.Units in Mobilehome parks 3.Newly constructed dwellings (3-5 years) 4.Publicly owned housing 5.Legal second dwelling units. 6.Units governed by HOA’s 7 . Housing inspected by other govt agencies (section 8) Suggested Best Practice: Exemptions 2 and 4 above. Implementation Strategies Random selection of rentals for inspection (lottery) Prioritizing inspections by impacted neighborhoods Prioritizing inspections by “problem properties” based on past violations Windshield survey of neighborhood condition with objective scorecard Police calls for service Inspecting a percentage of a landlords properties in a given period Recommendation: Prioritize inspections by area based on the incidence of problem properties. Program Options Option 1: Basic Program - Create a RHIP for Single-family and duplex rental units only Option 2: Expanded Program - Create a RHIP for Single-family and duplex rental units, and expand the Fire Department’s Multi-family Inspection Program Recommendation: Option 1 Basic Program Recommendations Receive a presentation on Rental Housing Inspection Program policy options. Provide direction to staff regarding initiation of an ordinance and specific options to pursue. 26 Discussion… Public Comment… Decision Points for Council…