AGENDA #6

 MEMORANDUM

 

TO:                  Mayor and Town Council

 

FROM:            Rental Licensing Committee

                        Council Member Bill Strom, Convener

                        Council Member Mark Kleinschmidt, Convener

 

SUBJECT:      Rental Licensing Committee Report and Recommendations

 

DATE:                        May 23, 2005

 

 

The purpose of this memorandum is to provide the Council with a recommendation from the Rental Licensing Committee regarding the scheduled June 30, 2005 expiration of the Rental Licensing Program. 

 

The Committee recommends that the Council allow the Rental Licensing Program to expire at the established sunset date of June 30, 2005.

 

BACKGROUND

 

On April 8, 2002, the Council enacted an ordinance establishing a Rental Licensing Program for the licensing of residential rental properties.  The Council stated its intent to review the program within three years, and that the program would expire June 30, 2005, barring further action.

 

On January 24, 2005, the Council adopted a resolution directing the Town Manager to solicit applications for appointment to a Rental Licensing Committee, and to bring a proposed charge and timetable for this Committee to the Town Council on February 14, so that the charge could be adopted and appointments could be made in a timely manner.

 

On February 14, 2005, the Council adopted a charge and timetable for the 2005 Rental Licensing Committee. The Rental Licensing Committee was established to provide the Town Council with recommendations as to the effectiveness of the Rental Licensing Program and recommend whether to continue, modify, or abolish the Rental Licensing Program beyond the now established expiration date of June 30, 2005.

 

The Council determined the specific responsibilities of the Rental Licensing Committee to be:

 

    1. Consider the perspectives of multiple constituent groups including: homeowners, renters, rental property owners, and rental property managers, and

 

    1. Identify any objectives that the program may have accomplished, and whether those objectives could be accomplished if the licensing program was abolished, and

 

    1. Present recommendations for the Council’s consideration.

 

The Rental Licensing Committee included four homeowners or neighborhood representatives, six rental property owners or rental property managers, and two renters.

 

 DISCUSSION

 

On May 5th and May 12th, Council Members Bill Strom and Mark Kleinschmidt convened meetings of the Rental Licensing Committee.   The Committee reviewed the Chapel Hill Rental Licensing Program.  

 

The members of the Rental Licensing Committee have identified the following reasons to allow the sunset of the Rental Licensing Program:

 

·         Members of the Rental Licensing Task Force have indicated it has become apparent through the MPA Survey that the Rental Duties Information Sheet is not being disseminated (or, if disseminated, not read/taken seriously).

 

·         Members of the Rental Licensing Task Force have indicated applicants of the rental license can provide a legal application and a legal lease while intentionally breaking the laws at the property.

 

·         Members of the Rental Licensing Task Force have indicated although licensing of rental property would cease, the Inspections Department would continue to enforce and track violations of the Minimum Housing Code as well as other ordinance violations in a general database within the Department.

 

RECOMMENDATION

 

The Rental Licensing Committee recommends that the Council allow the Rental Licensing Program to expire at the scheduled sunset of June 30, 2005. Furthermore the Committee requests a report be provided to Council on current enforcement measures for the noise, occupancy, front-yard parking, and the refuse receptacle ordinance, and a report on the potential for the Town to consolidate tracking mechanisms to include all nuisance complaints.

 

 

ATTACHMENTS

 

1.       Members of the Rental Licensing Task Force (p. 3).

2.       April 8, 2002 Council Adopted Ordinance Revising Chapter 9 of the Code of Ordinances to Establish a Program for Rental Licensing (p. 4).