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Kennedy <br />& <br />Graven <br />470 US Bank Plaza <br />200 South Sixth Street <br />Minneapolis MN 55402 <br />(612) 337-9300 telephone <br />(612)337-9310 fax <br />http: //www.kennedy-graven. com <br />CHARTERED <br />TO: Jeanne Kelsey <br />Pat Trudgeon <br />FROM: <br />DATE: <br />� <br />MEMORANDUM <br />Stephen Bubul <br />Melissa Manderschied <br />April 15, 2009 <br />HRA Involvement in Multi-Family Housing <br />You asked us to describe various ways that the Roseville HRA might address multi-family <br />housing issues in the City, either directly or in advisory capacity to the City. <br />1. Rental license ordinance. <br />Rather than acquire property, the City may use its police powers to regulate multifamily <br />housing through a rental license program. Although a rental license ordinance would not <br />directly be within the jurisdiction of the HRA, but it may be an effective tool and the HRA <br />could play a helpful advisory role. Several cities successfully use rental licensing. <br />For example, the City of New Brighton (where we also serve as city attorney) was a pioneer <br />in the metropolitan area in rental licensing. The City had several challenging apartment <br />projects and adopted a license ordinance that directly addresses crime and police calls. The <br />ordinance has been very successful in reducing problems, either because the landlords are <br />forced to comply, or because they decide it's not worth the trouble and sell to a party who <br />will comply. <br />The New Brighton licensing scheme uses a mathematical calculation based on the number <br />of incidences. Those multi-family properties that exceed the threshold must obtain a six <br />month provisional license. This provisional license is more expensive than the regular <br />rental license. To obtain the provisional license, the property owner must submit and gain <br />approval of a mitigation plan. Every six months, a new mitigation plan must be submitted <br />and approved until the property qualifies for a regular rental license again. Mitigation plan <br />elements can include enhancing tenant screenings, improving building security, or removing <br />