Memo- Rental Licensing Fee•
Memorandum
To: Honorable Mayor and City Council Members
Cc: Rick Getschow, Jim Genellie, Elizabeth Page, Mark Lucht, Pam Hove
From: Christopher P. Kearney
Date: August 17, 2010
Subject: Rental Licensing Fee Increase
Background
In 2007 the City raised rental licensing fees from $20/building to $35.00/building. At the July
13`h° 2010 City Council work session, Mayor Maxwell asked staff to examine rental licensing
fees of other cities. In the chart below, you will find Hopkins by far has the lowest rental
• licensing fee and re -inspection fee.
City
License
License
License
License
Re -Inspection
Fee Per
Fee Per
Fee Per
Fee Per
Fees 2010
Building 2007
Building 2010
Unit 2007
Unit 2010
Brooklyn Center
100.00
200.00
9.00
18.00
100.00
Golden Valley
100.00
100.00
20.00
20.00
unknown
St. Louis Park
125.00 ****
155.00 ****
10.00
10.00
130.00
Minneapolis
55.00
65.00
19.00
19.00
100.00 + 50% if
30 days late after
invoiced
Shoreview
100.00
100.00
7.50
7.50
50.00
Blaine
50.00
100.00
10.00
10.00
60.00
Hopkins
35.00
35.00
5.00
5.00
35.00
70.00(2 "d re-insp)
140.00 3rd re -ins
**** St. Louis Park Fees Include One Inspection
0
Rental License Registration Numbers for 2009-2010
License Type
# of Buildings
# of Units
Apartment Building
159
4203
Condominium
467
467
Duplex
187
187
Single Family
124
125
Townhome
120
120
Total
1057
5102
Rental License Fee and Re -Inspection Fee Increase?
The above chart shows there are 1057 buildings registered in the rental licensing program. If the
city wishes to increase rental registration and re -inspection fees the following could happen:
By October 2010, increase registration fees from $35.00/bldg to $45.00/bldg: 1057 bldgs x
$10.00 increase = $10,570.00 estimated revenue increase. If the increase is going to take place it
should happen as soon as possible so staff can inform the building owners and revise all city
• paper work before the annual registration renewal letters get mailed on or before October 1,
2010.
To move the landlords and tenants towards compliance in a more timely fashion the re -inspection
fee could be increased from $35.00/re-inspection to $50.00/re-inspection. If compliance is not
met, the re -inspection fee doubles every time after the first re -inspection. Re -inspection fees are
not automatically charged as each case is different and has to be looked at on an individual basis.
Attachments:
➢ Proposed Resolution including Rental License Registration Fees, Inspection Fees, Re -
Inspection Fees