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HomeMy WebLinkAboutItem B: Rental Housing Code Update ECC UGENE ITY OUNCIL AIS GENDA TEM UMMARY Work Session: Rental Housing Code Meeting Date: April 23, 2008 Agenda Item Number: B Department: Planning and Development Staff Contact: Rachelle Nicholas www.eugene-or.gov Contact Telephone Number: 682-5495 ISSUE STATEMENT This work session provides an opportunity for council to review draft language of the Rental Housing Code ordinance adding mold, security, and smoke detectors, and removing the sunset provision. BACKGROUND The Eugene Rental Housing Code was adopted by the City Council in 2004. Prior to that Eugene had no housing code since 1983. The code was modeled after a housing code in place in Corvallis. The purpose of the Rental Housing Code is to provide minimum habitability criteria to safeguard health, property and public wellbeing of the owners, occupants and users of the rental housing. The ordinance is currently scheduled to sunset December 31, 2008. Program Overview The Rental Housing Code currently addresses four areas of habitability; structural integrity, plumbing, heating and weatherproofing. At the October 8, 2007, work session, the council provided direction to add mold, security, and smoke detectors to the ordinance and remove the sunset provision. (See Attachment A for proposed ordinance language.) The Rental Housing Code prescribes a process that ensures a renter notifies the owner of his or her concerns before filing a complaint with the City. When an issue is not resolved by the owner after receiving notice from a tenant, a complaint may be made to the City. Dangerous buildings (e.g., faulty electrical systems) are dealt with through existing Eugene administrative rules and authority. Since the adoption of the Code, there have been 106 legitimate complaints filed with the City. Of those 106 complaints, civil penalties were assessed to encourage compliance on five, due to lack of owner response. During the first two years of the program staff logged 4,541 telephone calls. Of those, 815 callers were identified as tenants. Additionally, staff determined that of those 815 tenant calls, 410 were related to issues not currently addressed in the Rental Housing Code, with the three most common complaints being mold, security and lack of smoke detectors. Funding The program is funded with a $10.00 fee assessed annually for each dwelling unit. The number of units has varied from 27,365 in 2006 to 27,883 this year. Year-end fund balances vary from a surplus of $14,400 in the first year with one-time startup costs to a $76,000 surplus the second year. At $10 per unit, and no changes to the program, staff anticipates over-collecting $70,000 this year. L:\CMO\2008 Council Agendas\M080423\S080423B.doc With no changes to the program, an $8 per unit fee would over-collect by approximately $7,000. With the code enhancements under consideration the program costs will increase. Staff estimates the additional program costs will be $60,000. This estimate is made without experience in the regulatory areas of mold, security and smoke alarm enforcement. Additional revenues are generated by late payment fees amounting to approximately $17,000 for each year of the program to date. The program budget has not been developed with dependence on these revenues. Staff is considering administrative changes to the program to provide additional notice and opportunity to pay before late fees are assessed with the intent of reducing the number of late fees. RELATED CITY POLICIES Chapter III, Existing Housing Supply and Neighborhoods, Policy A.25 of the Eugene-Springfield Metropolitan Area General Plan 2004 update: Conserve the metropolitan area’s supply of existing affordable housing and increase the stability and quality of older residential neighborhoods, through measures such as revitalization; code enforcement; appropriate zoning; rehabilitation programs; relocation of existing structures; traffic calming; parking requirements; or public considerations. These actions should support planned densities in these areas. COUNCIL OPTIONS The ordinance is currently scheduled to sunset December 31, 2008, if no action is taken by the council. To continue the Rental Housing Code and add mold, security, and smoke detectors, the council may move the proposal to a public hearing or modify the ordinance and return for a second work session. 1.Direct the City Manager to schedule a public hearing on the proposed ordinance. 2.Direct the City Manager to modify the proposed ordinance and return to council. 3.Take no action allowing the program to end December 31, 2008. CITY MANAGER’S RECOMMENDATION The City Manager recommends that a public hearing be scheduled on the proposed ordinance. SUGGESTED MOTION Move to direct the City Manager to schedule a public hearing on the proposed ordinance. ATTACHMENTS A. Proposed Rental Housing Code Ordinance FOR MORE INFORMATION Staff Contact: Rachelle Nicholas Telephone: 682-5495 Staff E-Mail: rachelle.d.nicholas@ci.eugene.or.us L:\CMO\2008 Council Agendas\M080423\S080423B.doc ATTACHMENT A ORDINANCE NO. __________ AN ORDINANCE CONCERNING RENTAL HOUSING STANDARDS; AMENDING SECTION 8.425 OF THE EUGENE CODE, 1971; AND REPEALING SECTION 5 OF ORDINANCE NO. 20239. THE CITY OF EUGENE DOES ORDAIN AS FOLLOWS: Section 1. Subsection (5) of Section 8.425 of the Eugene Code, 1971, is renumbered to (8), and new Subsections (5), (6), and (7) are added thereto, to provide as follows: 8.425Rental Housing – Standards . (5) Mold. Dwelling unit interior spaces shall be maintained so as to prevent visible mold. (6) Security. Doors and windows leading into a dwelling unit must be equipped with locks and shall be maintained in a condition so as to restrict access into the dwelling unit. (7) Smoke detectors. Every dwelling unit shall be equipped with an approved and properly functioning smoke alarm or smoke detector installed and maintained in accordance with the state building code, ORS 479.270, 479.275, and 479.285, and applicable rules of the State Fire Marshal. (5) 8 Interpretations. (a) The city manager is empowered to render interpretations of sections 8.400 through 8.440 of this code. (b) Such interpretations shall be consistent with the purpose of this code. Section 2. The City Recorder, at the request of, or with the concurrence of the City Attorney, is authorized to administratively correct any reference errors contained herein or in other provisions of the Eugene Code, 1971, to the provisions added, amended or repealed herein. Section 3. Section 5 of Ordinance No. 20239 passed by the City Council on November 22, 2004, and which provided for the automatic sunset and repeal of Ordinance Ordinance 20239 and the Rental Housing Code (Sections 8.400 – 8.440, 8.995) added to the Eugene Code, 1971 by that Ordinance on December 31, 2008, is hereby repealed. Passed by the City Council this Approved by the Mayor this ____ day of ______________, 2008 ____ day of _______________, 2008 _____________________________ ______________________________ City Recorder Mayor Ordinance