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Memo- Rental Liscensing and Inspection Program UpdateMemorandum To: Mayor Eugene J. Maxwell and City Council Members From: Christopher P. Kearney, Building Official Date: July 9, 2010 Re: Rental Licensing and Inspection Program Update Rental Licensing and Inspection Program Update We are just over two years into the expanded Rental Inspection Program and much has been learned by staff, tenants and owners. In 2009 Housing Inspector Mark Lucht concentrated on single family and duplex dwellings; in 2010 he moved onto condominiums and townhomes. Liz Page has concentrated on inspecting apartment buildings when she is not involved in Code Enforcement, Truth -In -Housing and Property Maintenance duties. Over the last two years Liz's percentage of time spent on Code Enforcement and Property Maintenance is increasing while time spent on Housing Inspections has decreased. What are we finding? Below is a list of the most common violations found during the rental inspection process. There is no real pattern on what type of property we are finding the items to be corrected in. We have found some of the worst cases in owner occupied duplexes, while a single family home managed by a professional property management company can be free of violations. Then there are cases when just the opposite is true. Violations 1. Remove items stored in main walking paths throughout dwelling unit to the exit doors & windows (mainly bedrooms) 2. Electrical system hazards; mostly the use of extension cords, cube adapters, and three/six prong adapters 3. Accumulation of combustibles throughout the dwelling unit; clear path to gas meter & electrical panels; and make clearance around all gas fired appliances 4. Illegal bedroom in basement 5. Occupants not maintaining a clean & sanitary dwelling unit 6. Handrails missing/not running full length of stairs 7. Work without permits 8. Gas line not secured 9. CO detectors not installed or have no batteries 10. Smoke detectors that are missing batteries 11. Windows that are inoperable or have broken glass July 9, 2010 What category are buildings falling into? After the inspection process, properties are scored and put in category A, B or C. Category A properties are inspected on a 3 year cycle, Category B on a 2 year cycle and Category C every year. In the chart below you will find the type and number of dwellings inspected and the percentage of each category properties fell into. Roughly 42% of the category C buildings improved to category A or B the second year they were inspected while 58% stayed at category C. 2=0 R*nw - -- i tlrana:h Jure 23, 2M Dwelm Type 9 kmoc ped Cakwffy A 1F B Cagy C Same Fan* 12 2 40% 40% DWks 15 0% 40% 5044 Condo 172 5544 2444 2144 Townhow a UM 54'X. 2544 2144 Apert nmt 77 57'X 40% 344 TM1 Ung = 409 2J� IEe�I ia�tioao Dwelm Type 9 6rspect d Iry A Caftgprf B Cateo y C Same Fan* 48 3M 42% 20% Dwks fis 25% 54% 21% Condo 52 71M LEI% 1.= Townhom a 31 29% 45'!4 26'!4 Tripkx 4 O44 25'!4 75% FaMpiEN 2 0% as 100% Ap MUFBMt 1.86 46% 52% 2% TMA Ung = 460 Dwebm TMpg 9 kppedted Caem3ffy A Cakor1► B Cateyory C Sage Fan* 40 63'X. 2544 12% Dwkz 73 5944 3844 3% Apatnent 385 9244 11% OX TCM1 Ung =5M Is the new rental inspection program working? Staff believes the program is working and worth all the effort. Life safety and health issues such as illegal bedrooms in basements, missing fire separation walls between garage and dwelling July 9, 2010 units, no smoke detectors as well as other life safety issues are being corrected while the overall quality of the rental stock in the city is increasing. Revenue vs. Expenditures The chart below compares revenue vs. income for 2008-2010. The rental inspection fee income has averaged just over $24,000 for the past two years. Projected Rental Inspection Revenue for current year was set at $32,000. We found that once the inspectors got into the Single Family Dwellings and Duplexes staff time per inspection and the follow-up that is required increased greatly compared to apartment buildings. We are continuing to look at ways to increase the number of inspections while offering professional customer service such as using in -field notebook computers to cut down on the paper work, enabling the number of inspections to increase. While these steps will increase inspections revenues somewhat, in order to completely cover the cost of this program, annual fees and/or inspections fees will have to be increased. Staff will be prepared to discuss different ways to increase revenue at the Worksession. July 9, 2010