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RHRA_ Rental Licensing & Property Maintenance Public Hearing (01-17-06) - Page 5 of 6 compliance issues relating to rental housing. The final decision on all appeals is the decision of the City Council. 5.0 Program Administration and Funding. 5.1 Who should staff this effort? As noted above, building inspection services are now at capacity and will be for years. Staff is in the process of reviewing the request for proposals (RFP) that were received from pr ivate housing inspectors. A panel (HRA executive director, HRA member Joe Scheunemann, Roseville Building Inspector, Roseville Fire Marshall and Police Sergeant) are interviewing 6 inspection companies on January 25 and 26. In addition, staff is still in contact with the City of Shoreview regarding possible sharing of inspection staff for this effort. 5.2 How will the program be funded? Staff estimates that the cost to implement and operate the program would require approximately $50,000-$60,000 expenditure annually based upon contracting for the service. (This does not include legal fees needed to gain compliance through court actions.) The HRA has included this implementation and operating cost amount in their 2006 budget to be funded by a Council approved HRA levy. 5.3 Possible Fee Structure : The cost of the new program will be partially offset by fees paid by rental owners. Using Ramsey County data for single family non-homestead properties, plus duplexes, triplexes and fourplexes, there are an estimated 450 units subject to annual licensing. Using the average fee per unit charged by other communities of $50 per unit with an 80% collection rate, a total of approximately $18,000 could be collected in fees. At best, this revenue could support 30- 40 percent of the estimated annual cost for the program. Any fees collected as part of the program would offset the costs of administering the program – first to cover inspection services, second to cover internal administration and third to cover uncollected legal fees or abatement costs associated with properties that do not comply with the ordinance. 6.0 Recommendation and Further Process: 6.1 The City Attorney, Police Chief, Building Official, Community Development Director, Codes Officials, Planning Commission a nd HRA have reviewed and recommend adoption of the ordinance and modifications since the November 28, 2005 Council meeting. As with any new program, it is likely that slight modifications and changes may be recommended throughout the year if the ordinances are adopted and implemented as presented. 6.2 Notice of the public hearing was published, a news fax article was completed, information was presented in the HRA Housing Link which was delivered to all Roseville homes and mailed notices were sent to all non-homestead property owners (approximately 500) who may be affected by the rental licensing ordinance. 6.3 The effective date of the ordinance will be approximately 30 days after final approval and adoption by the City Council, unless the Council sets a different date as part of the approval.