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2012-08-21_packet
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2012-08-21_packet
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Housing Redevelopment Authority
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Agenda/Packet
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8/21/2012
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Regular
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Basedontheseconsiderations,atargetedrentallicensingprogrammayprovidethebestoptionfor <br />Roseville.Theuseofthirdpartyinspectionsinthiscasewouldalsomakeatargetedrentallicensing <br />programmoremanageableandcosteffective.Additionally,acceptinginspectioncertificatesfromother <br />reliablesourcesisalsoanoptiontoreducethenumberofinspectionsneeded. <br />Therearealsootherconsiderationsthatshouldbeaddressed.First,thereisnoevidenceintheliterature <br />orintheresultsoftheinterviewsconductedforthisresearchregardingtheimpactofrentallicensingon <br />theefficiencyoftherentalmarket.Noristhereamagicformulatodetermineifand/orhowmuchofthe <br />costtotherentalpropertyownerwillbepassedonthetenants.Mostofthecitiesthatparticipatedin <br />thisstudywereinclinedtosaythatevenifthecostsofthelicense,fees,andmaintenanceispassedon <br />totenantsintheformofrentincreases,itwouldbeasmallincreaseoflessthan$10permonth. <br />Amoresignificantcost,however,couldbethemandatedrepaircoststhatwouldcomeaboutasaresult <br />oftheinspectionprocess.ThemultifamilyunitsthatRosevillehashadproblemswithareagedand <br />plaguedbyahistoryofshorttermrepairs.Thismayrequirethepropertyownerstoinvestmoredeeply <br />inthesepropertiesinitiallyandmayresultinincreasedrentsandpotentiallymayhaveagentrifying <br />effectfurtherdowntheline.Itshouldbenoted,however,thatthegoalofarentallicensingprogramis <br />tointerceptpropertiesbeforetheyrequireexpensiverepairs.Additionally,Rosevillecanprovide <br />informationtomultifamilypropertyownersonthelowinterestloansthatareavailablethrough <br />RamseyCountyHRA,MinnesotaHousingFinanceAgency,andtheRosevilleHRAforimprovementsto <br />multifamilyrentalbuildings.(http://www.ci.roseville.mn.us/index.aspx?NID=1633) <br />BasedoninformationprovidedbytheCityofRoseville,implementingarentallicensingprogrammeans <br />over3,600multifamilyunitswillhavetobelicensed.Someofthecitiesthatparticipatedinthisstudy <br />discussedthehighupfrontcosts.IfRosevillechosestoimplementarentallicensingprogramformulti <br />familyunits,theCityshouldconsiderthecostofincreasedstafftimeallocatedtoadministrative <br />managementoflicensesandinspectionsregardlessofwhetherathirdpartyinspectionmodelisused. <br />Ofthecitiesconsideredforthisreport,noneacknowledgeintheirrentallicensingordinancethe <br />implicationsofarentallicenserevocation.Mostdodescribetheadministrativeprocessofrevocation <br />butleaveunansweredquestionsregardingpracticalmatters,suchasWhathappenstotenantsinthe <br />buildingifalicenseisrevoked?andWhatstepscanthecitytaketoensurerentalpropertiesarebrought <br />tocodeafteralicenseisrevoked?Inthinkingaboutarentallicensingpolicyoption,Rosevilleshouldbe <br />preparedtodealwiththeseissues. <br />ChangestoCityPropertyMaintenanceCode <br />Additionally,thestrengthofthepropertymaintenancecodeisthefoundationforaviablerentallicense <br />program.Basedonthefeedbackfromcityinspectors,itisrecommendedthatthefollowingchangesto <br />thepropertymaintenancecodebeconsidered. <br />22 <br /> <br />
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