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G47-94 (2) Ordinance No. G47-94 AN ORDINANCE TO PROVIDE FOR THE LICENSING AND INSPECTION OF RENTAL RESIDENT AL PROPERTY WHEREAS, the City Council of the City of Elgin has determined it is necessary and desirable to provide for the licensing and inspection of rental r-sidential properties within the City; and WHEREAS, the City of Elgin is a hom- rule municipality as defined in Article VII, Section 6A of th- 1970 Constitution of the State of Illinois; and WHEREAS, a home rule unit may eiercise any power and perform any function pertaining to its g•vernment and affairs; and WHEREAS, the licensing and inspection of rental residential property pertains to the go ernment and affairs of the City of Elgin. NOW, THEREFORE, BE IT ORDAINED BY HE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS: Section 1. That Chapter 6 . 37 entitled "Rental Residential Property" of the Elgin Mu icipal Code, 1976 , as amended, be and is hereby amended in i s entirety to read as follows : "Chapter 6 . 37 RENTAL RESIDENTIAL PRIPERTY 6 . 37 . 010 Purpose. The purpose of this chapter is to provide for the licensing and inspection of rental res ' dential property so as to protect the public health, safety an. welfare of the people of the city including: A. To protect the public health and safety by insuring rental units comply with minimum hou•.ing standards of city ordinances . B. To protect the characte , and stability of residential areas . C. To correct and prevent h.using conditions that adversely affect or are likely to adversely affect the life, safety, general welfare and health, ncluding the physical, mental and social well being of persons occupying dwellings . D. To prevent the overcrowdin of dwellings by requiring compliance with minimum space tandards per occupant for each dwelling unit. E. To facilitate the enforcement of minimum standards for the maintenance of existing residential buildings..and thus to prevent slums and blight. F. To preserve the value of land and buildings throughout the city. 6 . 37 . 020 Provision of Inspection Rights and Penalties . This chapter shall not be constru: d as to restrict the right of this city to inspect any yroperty nor to seek penalties for violations of other provis 'ons of this code. 6 . 37 .030 Definitions . A. "Multiple Family Rental Resid-ntial Property" means rental residential property with two or ore dwelling units . B. "Property Agent" means a pe son, operator, firm, partnership, corporation, or other legal entity designated in writing by the property owner to the Cooe Official to manage a rental residential property including t e authority to receive notices or citations . C. "Rental Residential Propert " means residential structures or dwelling units let or i tended to be let for rent or lease. D. "Tenant" means an occupant of rental residential property. E. Words or phrases as used in this chapter and not herein defined shall be defined as provided by the BOCA National Property Maintenance Code, 1' 90, and BOCA National Building Code, 1990, as amended. 6 . 37 . 040 License Required. A. It is unlawful for any per on, firm, partnership, corporation or other legal entity to operate, maintain or offer to rent within the city a rent• 1 residential property whether vacant or not without first o.taining a license or a temporary certificate as provided in th' s chapter. B. It is unlawful for a person to occupy a rental residential property, or for any ownel or property agent to allow anyone to occupy a rental residential property which is not licensed or which is without a t-mporary certificate as provided in this chapter. -2- C. It is unlawful for any perso , firm, partnership, corporation or other legal entity to offer for rent or to occupy any vacant dwelling unit or an, dwelling unit that becomes vacant in a rental residential property for which a license is under suspension. D. This chapter shall not appy to the following structures : 1 . Single family owner occupied buildings . 2 . Single family buildings o, cupied by a member of the owner' s family. 3 . Single family buildings which are vacant but which are not intended to be let for rent. 4 . Townhouse and condominium owner occupied units . 5 . Hotels, motels, and other structures which rent rooms to occupants hich are primarily transient in nature, a d making use of the facilities for a period of less than thirty ( 30) days . 6 . Dwellings, buildings, structures and uses licensed and inspected by the State or the federal government, incl ding but not limited to, nursing homes, retcrement centers, rest homes, etc. 7 . Dwellings, buildings, structures and uses owned by other governmental agencies and public housing authorities. E. A license or a temporary ce tificate for a rental residential property cannot be transfefred to another rental residential property nor a succeeding o ner. 6 . 37 . 050 License Application. A. Each applicant for a license to maintain a residential property for the purpose of renting it to others shall file a written application w' th the Code Official stating: 1 . The full legal name, address, and home and work telephone numbers of eac and every owner. 2 . The address of the renta residential property. 3 . The number of dwelling nits within the rental property. -3- 4 . In the case of an owner ho is not a resident of the city, the name, address and phone number of his/her agent with auuhority for receipt of service or notice of a violation of the provisions of this chapte . 5 . Whenever there is a chance in the ownership of a rental residential property or the owner' s property agent, the owne .s shall within thirty ( 30) days of such changes, file an updated written notice with the Code Official indicating such changes. 6 . The total square footage designated for living and sleeping purposes b , the City' s Property Maintenance Code. 7 . Approval must be obtained from the Code Official prior to any change being made in the number of units within a licensed property. Application for such cha ge shall be made on a form provided by the Cooe Official . The Code • Official will review th? proposed change and respond to the propert owner within thirty (30) days of the filing of the application. Any and all changes mus meet all zoning and building code requirement_ . B. Each application for a new 1 cense or a renewal of an existing license shall be accompani-d by a fee of $25. 00 for single family rental residential properties and $50. 00 for multiple family residential properties. In addition thereto, a dwelling unit fee of $25. 00 will be .dded for each dwelling unit to be inspected in excess of one. All such fees shall be payable at the office of the City's Dir-ctor of the Department of Finance. C. The 1995 license fee fo property currently registered pursuant to the City' s rent.: l registration program shall be reduced in the amount of $6 25 for each full year remaining on the current registration for a property. D. All license fees shall be due and payable on or before January 1st of each year. All licenses shall expire on December 31st, next day after the date of issue. 6 . 37 . 060 Inspection Requirements--Temporary Certificate-- License Issuance or Denial. A. An inspection shall be sc eduled with the Code Official at the time of the application for a license for a multiple family residential property. No inspection shall be required for single family rental resid=ential properties . -4- B. Upon receipt of a complet d application for a license for single family rental esidential properties including the payment of all required f es, the Code Official, after determining the rental resi ential property in conformance with the City' s zoning rdinance and is not otherwise in violation of this code, sha 1 issue a liC2nse. C. Upon receipt of a complet d application for a license for a multiple family rental residential property including the payment of all required fees and the scheduling of a required licensing inspection, t e Code Official shall issue a temporary certificate indicati g that a license has been duly applied for, and that such license shall be issued or denied after the property has been i spected for compliance with applicable city codes . A tem orary certificate, as issued, shall authorize continued oc upancy of the rental residential property pending the issu nce or denial of the applied for license. D. Licensing inspections of miltiple family rental residential property shall include t e building exterior, common areas, basement, and twenty •ercent (20%) of the individual dwelling units with a min'mum of at least one dwelling unit. The Code Official •r his designee will determine which dwelling units are to be inspected. E. When a licensing inspection •f a rental residential property reveals any violations of applicable codes, a compliance time frame will be set by he Code Official . In establishing a compliance time frame, 'he Code Official shall determine the reasonable minimal time n-cessary to correct the violations based upon the number and severity of the violations . The Code Official shall send notice to the property owner or the listed property agent by regular U. S. mail at the last address provided on ' he most recent license application. Said notice shall include the following: 1 . Description of the property sufficient for identification; 2 . A statement listing the violations of applicable codes; 3. A statement of the date upon which the licensing re-inspection ill occur; and 4 . An explanation that if upon completion of the licensing re-inspection that the requirements of applicable City code- have not been met, a written denial of th- license application revoking the temporary certificate will be issued. F. A licensing re-inspection will be conducted at the end of the compliance time frame. pon completion of the -5- licensing re-inspection of the rental esidential property, a license shall be issued if the rents residential property meets the requirements of applicable City codes . If the Code Official finds that the requirements oapplicable City codes have not been met, a written denial of he license application revoking the temporary certificate and specifying thU defects shall be transmitted by regular U.S . mail to the applicant. G. A rental residential proper y which is in total compliance at the time of the lice sing inspection shall receive a one year extension of the 1 'cense at no additional charge and with no additional inspectio s being required. H. If during a licensing inspec ion any dwelling unit is determined to be unfit for human oc4upancy as specified in the City' s Property Maintenance Code, an additional twenty percent (20%) of the dwelling units in the subject rental residential property will be inspected. If similar violations are observed in the additional dwell 'ng units, the entire rental residential property will be _ubject to inspection. All additional dwelling units inspect_d shall be subject to the dwelling unit fee as set forth i Section 6 . 37 . 050B of this ordinance. I . The number of dwelling unit to be inspected per rental residential property shall be calculated using the following table: Number of Dwelling Number f Dwelling Units Units on Property to be Inspected 2-5 1 6-10 2 11-15 3 16-20 4 21-25 5 26-30 6 31-35 7 36-40 8 41-45 9 46-50 10 51-55 11 56-60 12 Properties having in excess of ixty (60) units shall have the number of dwelling units to e inspected calculated at twenty percent (20%) of the tot 1 number of dwelling units . The dwelling units to be insp cted shall be selected by the Code Official . J. Any inspections made neces ary because of cited violations not being corrected at th time of the initial license inspection shall be subject t the reinspection fees as set forth in Chapter 16 .48 of this c de, as amended. -6- 1 KApplications for license rene als shall be made in the same manner as for new applicat ons except that such applications shall state thereon such fa t. 6 . 37 .070 Enforcement. It shall be the duty of the Department of Code Administration to enforce the provisions of this chapter as authorized by the Elgin Municipal Code and the BOCA National Property Maintenance Code as adopted and amended by the City of Elgin. 6 . 37 . 080 Violations . The following shall constitute viol tions of this chapter: A. Failure of the owner or wners of the rental residential property to license such roperty with the Code Official . B. Failure of the occupants of the rental residential property to vacate such property within sixty (60) days after receiving notice from the Code Official that such property is not properly licensed or that the license or temporary certificate has been revoked. C. Failure of the owner of the rental property to vacate all tenants from said property within sixty ( 60) days after the license or temporary certificate has been revoked. D. Failure of the owners of t e rental property to maintain the structure and premise in compliance with applicable building, property mai tenance and zoning ordinances . E. Any person other than an inspector from the Department of Code Administration who removes or defaces any notices which have been posted pur- uant to this chapter without the approval of the Code Offic al shall be liable for the penalties provided for by this chapuer. 6 . 37 .090 License-Suspension and Revoca ■ion. A. A license may be suspende• when violations of applicable city codes have been ident' fied by the Department of Code Administration and the property owner has been properly notified of the violations .nd given a reasonable period of time in which to correct violations, but has failed to do so. A license may also se suspended when any information provided in the license ap•lication is determined by the Code .Official to be false. B. When an inspection of a licensed rental residential property reveals any violations of applicable codes, a compliance time frame will be set by the Code Official using -7- the standard as set forth in Section 6 . 37 . 060E. The Code Official shall send notice to the prope ty owner or the listed property agent by regular U. S. mail at the last address provided on the most recent license ap lication. Said notice shall include the following: 1 . Description of the property sufficient for identification; 1 2 . A statement listing 1 the violations of applicable codes; 3 . A statement on the date upon which a reinspection will occur; and 4 . An explanation that if pon completion of the reinspection that the requirements of applicable City codes have not been met, that the license for the rental residential proper y will be suspended. C. A reinspection will be condu. ted at the end of the compliance time frame. If the Code •fficial finds that the requirements of applicable City codes ave not been met upon the completion of such reinspection, the license for the rental residential property shall be suspended. D. When a license is suspended, he Code Official shall send notice to the property owner or th- listed property agent at the last address provided on the most recent license application. Said notice shall be sent by certified mail, return receipt requested. The notice shall include the following: 1 . Description of the pr.perty sufficient for identification; 2 . A statement of the reaso s for the suspension; 3 . An explanation of the p operty owners right to appeal the suspension; 4 . If the property owner hanges his address or changes property agents and fails to notify the Department of Code Administra ion, such notice shall be sufficient if sent by cert fied mail to the owner or his property agents last ddress provided on the last license application. 1 E. A property owner whose lice se has been . suspended . may request a reinspection prior to evocation. If, upon reinspection, the Department of Code Ad inistration finds that the licensed property in connection wi h which the notice was issued is now in compliance with t is chapter, the Code Official may reinstate the license. The request for a reinspection shall not stay the revo ation of the license -8- unless the Code Official grants such request pursuant to a showing of good cause by the property o ner. F. Any person whose license has een suspended shall be entitled to appeal the suspension to t e Property Maintenance Board of Appeals by filing a petition s set forth iff -Section 16 . 12 . 080 of this code. A hearing sh 11 be scheduled within ten ( 10) working days of receipt of a timely petition. The Property Maintenance Board of Appeals in considering any such petition may immediately revoke the license, continue the suspension to a definite compliance dat- with revocation being the penalty for noncompliance, or di-miss the charges and reinstate the license. The Property Maintenance Board of Appeals shall render a decision within five (5) working days after the hearing with such decision being final . G. A license may be revoked whe a petition for appeal has not been filed within twenty (20) Bays following the date of issuance of an order of suspension, or, if the suspension is sustained after appeal . A license m=y also be revoked when in the opinion of the Code Official emergency conditions exist in a rental residential property that require the immediate vacating of a structure as specified 'n the City' s Property Maintenance Code. H. A license which has been pro erly revoked as herein provided shall not be reinstated. T e property owner may, however, obtain a new license after all violations have been corrected and by following the procedu es for obtaining a new license as set forth in this chapter. I . If a license is revoked without having the opportunity of a suspension hearing, he property owner has the right to appeal that revocation Said appeal shall conform to Subsection F of this section. Such an appeal shall operate as a stay of the revocation ntil such time as the Property Maintenance Board of Appeals renders a decision on the appeal . J. Whenever a temporary certif cate or a license is revoked, the Code Official shall send notice to the property owner or the listed property agent at the last address provided on the most recent license ap lication. Said notice shall be sent by registered mail, re urn receipt requested. The Code Official shall also notify al tenants of the rental residential property by posting a noti e on all entrances to the rental residential structure. The notice to the tenants shall include the following: 1. You are hereby notifi d that the temporary certificate or license for t is structure has been revoked pursuant to Chapte 6 . 37 of the Elgin Municipal Code. -9- i 2 . You must vacate this tructure within sixty ( 60) days of the date of this otice. 3 . If you fail to vacate t is structure, you will be in violation of Chapte 6 . 37 of the Elgin Municipal Code and subject to penalties -01 fines with a minimum of $50 . 00 an a maximum of $500 . 00 for each day you are in violatlion. K. Whenever an owner or property agent of a rental property fails to license said property with the Department of Code Administration, the Code Offic al shall notify all tenants of the rental property by po ting a notice on all entrances to the rental property indicating the following: 1 . You are hereby notified that the owner or agent of this rental structure has failed to license this rental property with the Department of Code Administration in violation of Chapter 6 . 37 of the Elgin Municipal Code. 2 . You must vacate this structure within sixty .( 60) days of this notice. 3 . If you fail to vacate t is structure, you will be subject to the penalties a d fines with a minimum of $50 . 00 and a maximum of $ 00 . 00 for each day you are in violation. 6 . 37 . 100 Owner Responsibility. A. The owner of a rental resi ential property shall maintain a record for each property wi h the full legal names of every tenant in each dwelling unit. B. The owner or property agent if a rental residential property shall provide each tenant with the name and telephone number of a responsible person who, i emergency situations, will be available on a 24 hour basis an$ who has the authority to make repairs as needed. The owner shall also cause said information to be posted and maintained within the main entryway of every rental residential str cture. C. The owner of a rental resiiential property shall inform each tenant in writing, prior to occupancy, of the maximum number of persons allowable by he occupancy standards of the City's Property Maintenance Code This number shall be determined by the Code Official . I D. The owner of a rental resi ential property shall make available to the Code Official upo request, the occupant records required to be maintained under his section. 6 . 37 . 110 Inspection Access . _10_ r If any owner, property agent, occ pant or other person in control of a rental residential prope ty or a dwelling unit contained therein fails or refuses to consent to free access and entry to the property or dwelling unit under his control for any inspection pursuant to thi ordinance, the Code Official or his designee may apply to he Circuit Court for a search warrant or other appropriate ourt order authorizing such inspections . 6 . 37 . 120 No Effect on Leases . 1 This chapter is not intended to and does not affect the rights and obligations of the parties to a lease, oral or written, of a rental residential property. 6 . 37 . 130 Penalty for Violation. Any person, firm or corporation violating any of the provisions of this chapter, in addit 'on to other legal and equitable remedies available to the c ' ty, shall be fined as provided in Chapter 1 .20 of this code. Each day during which a violation of this chapter continues or is permitted to exist shall be considered a separate and dist'nct offense. 6 . 37 . 140 Effective Date. The provisions of this chapter shall be in full force and effect from and after January 1, 1995 . " Section 2 . That all ordinances or parts of ordinances in conflict with the provisions of this ordinance be and are hereby repealed. • s/ George VanDeVoorde George VanDeVoorde, Mayor Presented: September 14, 1994 Passed: September 14 , 1994 Omnibus Vote: Yeas 7 Nays 0 Recorded: September 15, 1994 Published: Attest: s/ Dolonna Mecum Dolonna Mecum, City Clerk _11- Cf—a September 9 , 1994 MEMORANDUM TO: Richard B. Helwig, City Manager FROM: Erwin W. Jentsch, Corporation Counsel SUBJECT: Revised Draft of Rental Licensing Ordinance Attached find a revised draft of a proposed rental licensing ordinance. Please note the following revisions : 1 . Section 6 . 37 . 010 has been revised, to enumerate a listing of specific purposes of the ordinance. 2 . Section 6 . 37 . 050A1 has been revised to delete the requirement for the disclosure within a license application of the names of the holders of a beneficial interest. Such information i$ otherwise attainable pursuant to the Building Law Violation Ownership Disclosure Act (765 ILCS 425/1 et seq. ) . This statute requires a trustee or managing agent of property to disclose to the City the identity of every owner and beneficiary with an interest in the property within ten ( 10) days after receiving a notice from the City of a violation of City ordinances or housing regulations . 3 . Section 6 . 37 . 050B has been revised by including fee amounts . This section has also been revised by adding a subparagraph C to provide for a credit against a 1995 license fee for properties currently registered pursuant to the City' s rental registration program. Said section has been further revised to include a direction that all fees be paid at the office of the City' s Director of the Department of Finance. 4 . Section 6 . 37 . 060G, H, I and J, have been revised by deleting references to the word "will" and replacing those references with the word "shall" . 5 . Section 6 . 37 . 090 relating to license suspensions and revocations has been reformatted. 6 . Section 6 . 37 . 100B has been revised by adding the additional requirement that an emergency name and telephone number also be posted , and maintained in the main entryway of each rental residential structure. 7 . Section 6 . 37 . 110 has been added regarding the code official or his designee applying for search warrants where consent to inspections has been refused. 8 . Section 6 . 37 . 130 has been revised to provide a more detailed enumeration of the penalties for violations . 9 . Section 6 . 37 . 140 has been revised to insert an effective date for the ordinance of January 1, 1995 . EWJ mg Attachment a t I COMMITTEE OF THE WHOLE MEETING AUGUST 24, 1994 The regular Committee of the Whole meet ng was called to order by Councilman Gilliam at 6 : 35 p.m. at t e Hemmens Building Exhibition Hall . Present: Councilmemb rs Fox, Gilliam, Popple, Schock, Walters, and Yearman. Absent: Mayor VanDeVoorde. Councilman Schock made a motion, second d by Councilwoman Popple, to appoint Councilman Gilliam M yor Pro Tem. Yeas : Councilmembers Fox, Gilliam, Popple, Sc ock, Walters, and Yearman. Nays : None. Approval of Minutes • Councilwoman Popple made a motion, seconded by Councilman Fox, to approve the minutes of the August 10, 1994 meeting. Yeas : Councilmembers Fox, Gilliam, Popple, Schock, Walters, and Yearman. Nays : None. Temporary Sewer Construction Easement Extension for P. K. Products 1 A resolution will be presented at tonight' s Council Meeting for adoption by Council . Ordinance on Rental Licensing Department of Code Administration Direc or Webb gave background information concerning the proposed ordnance. Housing Supervisor Millikan highlighted the mai points of the proposed ordinance which include the following. An application fee will be payable at the time of application. A temporary certificate will be issued. Thereafter, 20% of the building will be inspected. The license will be issued my after code compliance is met. Enforcement procedu es were also outlined. Corporation Counsel Jentsch advised the Council that the proposed ordinance represents exercise f the City' s police power. It is designed to protect the p blic health, safety and welfare. It is a regulatory tool for u e in enforcing the Property Maintenance Code and the Zonin Ordinance through a system of licensing. Our courts, inclu ing the United States Supreme Court, have upheld such approac es and have found that the only effective way to enforce minim m standards is to insure compliance through periodic, routine in pections, which the licensing procedure will provide. The Council was also addressed by propo ents and opponents of the proposed licensing ordinance. Indi idual citizens, realtors, rental property owners, repre entatives from Elgin Landlord' s Association, United Coalition for Better Elgin, Committee of the Whole Meeting August 24, 1994 Page 2 Chicagoland Apartment Association, Elgi Board of Realtors, Gifford Park Association, CURE (Clean U and Restore Elgin, and Elgin Image Advisory Board stated their objections to or support of the proposed ordinance. Councilman Fox made a motion, seconded 1y Councilman Walters, to approve the proposed ordinance which is based on the recommended Proposal B - licensing of all rental st •uctures and the inspection of all buildings with two or more dwelling units . Staff was also asked to look at the com.osition of the Board of Appeals in light of comments made this :vening. Yeas : Councilmembers Fox, Gilliam, Popple, Sc ock, Walters, and Yearman. Nays : None. Fundin. Pro.osal from El• in Public Muse m Councilman Gilliam requested permission of Council to delay beginning the Council Meeting in order o consider the funding proposal from the Elgin Public Museum. Nancy Epping, Elgin Public Museum Direc or, addressed the Council concerning the museum' s Board o Directors ' plan and initiative to complete the museum build'ng, which is lopsided in that it was not completed because of th death of G. P. Lord prior to completion, and to meet ADA re uirements so that the building will be accessible to everyone. Ms . Epping stated that nearly 20,000 people visited the museum in 1993, and many groups have to be turned away because of the 1 ck of space. The museum board is requesting the City's permission to initiate fund-raising activities to raise money o increase space and to finish the building architecturally. T e board is also asking that the City include the Phase I const uction in the 1995 budget and the 5-year capital budget. he board promises to match every dollar provided by the City. A representative of the Fox River Valle Center for Independent Living read a statement of support for he proposal and urged that the building be made accessible fo members of the disabled community, who should be considered equ. l citizens in that they also pay taxes . Councilwoman Popple made a motion, seco ded by Councilwoman Yearman, to authorize the Elgin Public useum to proceed with their fund-raising plan and initiative nd to include this proposal in the City' s 5-year financial plan proposals . Yeas : Councilmembers Fox, Gilliam, Popple, Sc ock, Walters, and Yearman. Nays : None. Recess Mayor Pro Tem Gilliam declared a short recess before going into the regular Council meeting. . . ,. , Elm Agenda Item No. 751.44L,;),,,,,..;. slY3 Nit.t> August 17, 1994 TO: Mayor and Members of the City ouncil FROM: Richard B. Helwig, City Manage SUBJECT: Residential Rental Licensing Ordinance PURPOSE The purpose of this memorandum is to fo and to the Mayor and City Council a residential rental licens ng ordinance. BACKGROUND At a special Committee of the Whole me ting on November 20, filik 1993, the City Council considered several housing code is- sues, including a residential rental li ensing program. Such a rental licensing initiative would eplace the existing rental registration program which has b en generally ineffec- tual in improving the rental housing stock. Staff also stressed rental licensing is a key elem nt in establishing a quality, systematic inspection program. After hearing exten- sive public comment, the City Council directed staff to work with interested citizen groups to devel p a rental licensing ordinance. Licensing ordinances from several cities were studied and a composite ordinance embodying the best applicable features was created and forwarded to the repres ntatives of the Elgin Landlords ' Association, the Elgin Boa d of Realtors, the Greater Chicago Apartment Managers ' ssociation, and the United Coalition for a Better Elgin. At least two meeting with the representatives of each of th se organizations re- sulted in several changes to the draft ordinance, which was then revised and edited by the Law Depar ment. The Landlords ' Association has specifically requested that the City Council be informed of their o position to any form . of regulation. The written comments of he Landlords ' . Associ- ation, as well as other citizen groups, re attached. Staff has prepared three program proposals (with respective costs) for City Council consideration (see attachments) . A^ Residential Rental Licensing Ordinance August 17, 1994 Page 2 Proposal A: License all residential rental buildings and inspect all multi-family buildings with three or more dwelling units . Proposal B: License all residential ren al buildings and inspect all buildings with wo or more dwelling units . Proposal C: License and inspect all rental structures, including single family. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Elgin Landlords ' Association, Elgin Board of Realtors , Great- er Chicago Apartment Managers ' Association, United Coalition for a Better Elgin, Clean Up and Restore Elgin (CURE) FINANCIAL IMPACT The financial impact of the rental lice sing program is out- lined on page one of the Department of Code Administration' s rental licensing proposal (attached) . LEGAL IMPACT The attached ordinance was prepared by the Law Department . RECOMMENDATION A residential rental licensing program ' s essential to stabi- lize neighborhoods and to maintain pro•erty values . More- over, it allows for the orderly, sys •ematic inspection of buildings, rather than the current com•laint-driven process, which is haphazard, reactionary and diff cult to administer. Of the three licensing programs discus-ed above, the staff recommends Proposal B - the licensing of all rental struc- tures and the inspection of all buildi gs with two or more dwelling units . The attached ordinance is based on Proposal B. Proposal B contemplates the hiring of t o additional inspec- tors, a program administrator, and the pgrading of two part- time positions to full-time. The cost or the above increas- es in staff, as well as support equipme t, is almost entirely covered by program fees. r Residential Rental Licensing Ordinance August 17, 1994 Page 3 oeft With the additional staff for the lic using program, there will be no diminution of other code ork and neighborhood inspection programs . Tight coordinatio between the licens- ing and neighborhood inspection progr ms will have a pos- itive, synergistic effect and greatly a Nance the quality of life for Elgin' s residents . Respecdaly submitted, 10 Ak .C. Ji - Webb •• - • •ministration Director Robert O. Malm Chief operating Officer/ A-sistant City Manager Richar B. Helwig cy.,\ City M nager amp Attachments r DEPARTMENT OF CODE ADMINIS RATION RENTAL LICENSING PROPO AL The administration of the Rental Licensing rdinance is dependant upon the number of buildings that ill require annual inspections . Three proposals have been prepared to show the costs and revenues that would be generated y each proposal . The three proposals are as follows; *Proposal A - Calls for the licensing of all rental structures and the inspection of all multi-family structures with 3 dwelling units or more. *Proposal B - Calls for the licensing of all rental structures and the inspection of all buildings with 2 or more dwelling units . *Proposal C - Calls for the licensing and inspection of all rental structures, single fa ily on up. * These proposals call for the interior inspections of dwelling units . The number of dwelling units per building to be inspected is listed in the Inspection Re•iuirements section. The successful adoption of this ordinance, whichever proposal is accepted, will require the hiring of a !'rogram Administrator. Current Staff will not be able to handle the administrative r responsibilities of this program without s-verely impacting other duties . Program Costs A B C Program Administrator $ 42 , 000 $ 42 , 000 $ 42 , 000 Paralegal Upgrade 15 , 000 15, 000 15, 000 Clerical Upgrade 4, 000 4, 000 4, 000 Additional Inspectors 0 90, 000 135, 000 Equipment 0 20, 000 30, 000 Total Cost 61 000 171 000 226 000 Proposed License Fees Single Family $ 25 $ 25 $ 50 ' 2 Family 25 50 50 Multi-family base fee 50 50 75 Add. Dwelling Units $ 25 $ 25 $ 25 Program Totals Program Cost $ 61 , 000 $171, 000 $226, 000 Projected Revenues 131, 300 166, 350 213, 150 1995 Budget Increase -8 70, 300 +$ 4,650 +$ 12,850 r rMonthly Increase in Property Owners Cost Per Dwelling Unit 1 dwelling unit $ 2 . 08 $ 2 . 08 $ 4 . 17 2 dwelling units 1 . 04 2 . 08 2 . 08 3 dwelling units 1 . 39 1 . 39 2 .08 5 dwelling units 1 . 25 1 .25 1 . 67 15 dwelling units . 55 . 55 . 69 25 dwelling units .50 . 50 . 58 40 dwelling units . 47 I . 47 .52 60 dwelling units $ .45 $ .45 $ .47 INSPECTION REQUIREMENTS Proposal A 2 , 285 hrs Proposal B 4, 403 hrs Proposal C 5, 685 hrs Note: These totals were derived by mul iplying the amount of time needed to complete initial and follow up inspections by the number of buildings listed in Chart 1 . Five percent has been added to some of the numbers in Chat 1 to account for unregistered buildings . The Rental Licensing Ordinance proposes t at annual inspections of properties include the property ex erior, the building exterior, all interior common areas and b sements, one dwelling unit, and a number of additional dwelling units that will total 20% of the building. The number of welling units to be inspected equals; Proposal A 3 - 5 unit building 1 dwelling unit inspected. 6 - 10 unit building 2 dwelling units inspected. 11 - 15 unit building 3 dwelling units inspected. 16+ unit building 20% of building. Proposal B 2 - 5 unit building 1 dwelling uni inspected. 6 - 10 unit building 2 dwelling uni s inspected. 11 - 15 unit building 3 dwelling uni s inspected. 16+ unit building 20% of buildin• . Proposal C 1 - 5 unit building 1 dwelling uni inspected. 6 - 10 unit building 2 dwelling uni s inspected. 11 - 15 unit building 3 dwelling uni s inspected. 16+ unit building 20% of buildin. . Note: Owner Occupied dwelling units wou d not be subject to the annual licensing inspection. 2 PROCESSING REQUIREME TS The primary responsibility of all paperwor . processing will go to the Program Administrator. The duties of the Program Administrator will include, receiving and reviewing all applications and renewals, scheduling all licensing inspections, inputting all information in the computer, working with the inspection staff to ensure timely follow- p inspections, issuing certificates and licenses, answering questions from the public, and any other duties related to the progra . In addition to a Program Administrator, the clerical staff needs to be increased to ensure that violation n.tices are processed in a timely fashion. The department currentl has 1 full-time and 1 part-time clerk typist working in the Property Maintenance Division. Increasing the part-time posiuion to full-time will enable the staff to handle the increase in paperwork. LICENSE FEES License fees are based on the cost of making the inspections and processing the paperwork. The proposed lees are based on the following numbers; Amount of time needed to complete a base i spection (including inspector processing) (avg. ) 1 hr Amount of time needed to inspect an additional dwelling unit (avg. ) 1 hr Processing an application (avg. ) 45 min The time needed to complete an inspection will not vary regardless of which proposal is adopted. Therefore the fees do not increase except when a property goes rom licensing only to licensing and inspection. The base fee ' n Proposal C has been increased to help cover the additional pro essing requirements . • Proposal A 1 & 2 family licensing fee $ 25 Multi-family base inspection fee $ 50 Additional dwelling unit fee $ 25 Proposal B Single Family licensing fee $ 25 Inspection base fee (two units and up) $ 50 Additional dwelling unit fee $ 25 Proposal C 1 & 2 Family base fee $ 50 Multi-family base fee $ 75 Additional dwelling unit fee $ 25 3 Chart 2 on page 8 indicates how the license fees proposed for (Pak this ordinance compare to other communit ' es in this area that have established rental licensing ordinances . • PROJECTED REVENUES Projected revenues were created by multiplying the inspection fees by the number of units that will be inspected with each proposal . Proposal A $ 131 , 300 Proposal B $ 166, 350 Proposal C $ 213, 150 Note: There will be revenue generated b re-inspection fees, administrative citations, and court fine . It will be very difficult to estimate the amount of reven e generated by these resources until after the program has been in place for at least a year therefore this revenue has not been 'ncluded. STAFFING REQUIREMENT, The department is currently instituting an inspection team concept. This change was brought about by the recent department reorganization which included the loss of he field supervisor's position. Two inspection teams will be created with a lead inspector in charge of each team. The breakdown of the staff will vary with each proposal . The increase in cases caused by the annua inspection of rental properties, along with systematic neighborlood inspections, will increase the number of cases that are taken to court for compliance. The department currently employs a part-time paralegal clerk to handle all court act ' on processing. The processing requirements of the department ' % current court action is already more than the paralegal clerk .an handle in a timely fashion. To handle the increase of court action whici will happen with the adoption of this program, it is recommend-d that the paralegal clerk be upgraded from part-time to full-t me. The cost of this upgrade has been included in the overall co-t of the program. The projected costs for additional staff 'nclude all costs, ie : salary, benefits, vehicles, equipment, etc. Note: Additional staff will require additi.nal office work space which is not currently available in th= Code Administration offices . r 4 Proposal A This proposal can be adopted with t e current inspection staff . There will be a need for the addition of a Program Administrator and the increase of th- part-time paralegal clerk and clerk typist to full-time. An inspection team consisting of one lead inspector and three inspectors will be assigned to the rental licensing progra . Under this proposal, the rental lic-nsing team would be required to complete annual inspect ' ons of approximately 1, 015 buildings and 1, 986 dwelling units . This would require approximately 60% of the teams avail=ble field inspection time. The remaining 40% would be utilized on systematic and complaint work. Proposal B This proposal includes inspections of duplexes . Duplexes make up 43% of all rental buildings . This proposal will require 2 additionalinspectors . The -ddition of a Program Administrator and the upgrade of th= paralegal clerk and clerk-typist from part-time to ful ' -time will also be required. Under this proposal, the rental licens ng team would need to be increased to 6 inspectors . They would be required to complete annual inspections on approxi ately 2, 417 buildings and 3, 388 dwelling units . This would require approximately 75% of the teams available field i spection time. The remaining 25% would be utilized on sy:.tematic and complaint inspections . Proposal C This proposal includes the annual insi•ection of all rental properties . To carry out this pr.posal, 3 additional inspectors would be required. The - ddition of a Program Administrator and the upgrade of th= paralegal clerk and clerk typist from part-time to ful -time would also be required. Under this proposal, the rental lic-nsing team would be increased to 7 inspectors . They ould be required to complete annual inspections of approxilately 3, 266 buildings and 4, 237 dwelling units . This would require approximately 82% of the teams available field i spection time. The remaining 18% would be utilized on sy:.tematic and complaint work. 5 The systematic inspection team is not eing proposed to be rsik • increased at this time. The number of prop rties that fall under the systematic neighborhood inspections ill decrease as more inspections are added to the rental licensi g program. All efforts will be made to coordinate n ighborhood systematic inspections with licensing inspections o that the service provided will be the most efficient and ha e the greatest impact on the individual neighborhoods . Chart 1 has been used throughout thes- proposals to base inspection times and projected revenues . This chart shows the current number of buildings register=d with the Rental Registration Program. It is estimated t at 95% of the rental properties have been registered so som- numbers have been increased by 5% to account for the unregist-red buildings . r r 6 r Chart 1 No. of dwelling Total no. Total no. of units in bldg. of bldgs . dwelling units . 1 809 809 2 1, 335 2, 670 3 212 636 4 211 844 5 100 500 6 129 774 7 27 189 8 74 592 9 21 189 10 44 440 11 2 22 12 22 264 14 14 196 15 6 90 16 32 512 17 2 34 18 4 72 19 1 19 20 1 20 21 2 42 r 23 14 322 24 12 288 32 11 352 33 8 264 35 11 385 36 1 36 38 3 114 40 2 80 50 2 100 60 1 60 96 1 96 150 2 300 1 & 2 Family: 2 , 144 3, 479 Multi-Family: 972 7 , 832 TOTALS: 3, 116 11,311 eft. 7 e'" Chart 2 is a comparison of the licensing gees proposed for this • ordinance with the licensing fees in effe• t in other comparable cities in this area. The three columns under Elgin indica e the license fees corresponding to the three proposals . Chart 2 # of Oak Park Joliet Aurora Elgin units A B C 1 $ 5 $ 0 $ 35 $ 25 $ 25 $ 50 2 $ 10 $ 30 $ 37 $ 25 $ 50 $ 50 3 $ 15 $ 40 $ 40 $ 50 $ 50 $ 75 6 $ 30 $ 60 $ 70 $ 75 $ 75 $ 100 11 $ 55 $ 147 $ 140 $ 100 $ 100 $ 125 16 $ 80 $ 192 $ 140 $ 125 $ 125 $ 150 21 $ 105 $ 215 $ 205 $ 150 $ 150 $ 175 26 $ 130 $ 230 $ 205 $ 175 $ 175 $ 200 31 $ 155 $ 245 $ 275 $ 200 $ 200 $ 225 36 $ 180 $ 260 $ 275 $ 225 $ 225 $ 250 41 $ 205 $ 275 $ 335 $ 250 $ 250 $ 275 46 $ 230 $ 290 $ 335 $ 275 $ 275 $ 300 51 $ 255 $ 305 $ 400 $ 300 $ 300 $ 325 56 $ 280 $ 320 $ 400 $ 325 $ 325 $ 350 Note: The base fee in Proposal C was incre-sed $25 to offset the additional processing that will be requir=d if this proposal is accepted. r 8 DEPARTMENT OF CODE ADMIN STRATION RENTAL LICENSING ORDI CE COMMUNITY GROUP CO ii NTS The following are comments from the various community groups who discussed the proposed ordinance with DCA during June 1994 . * Indicates suggestions that will be incorporated into the next draft of the ordinance. CHICAGOLAND APARTMENT MANAGER. ASSOCIATION 1. They would like to see the program ex.anded to include licensing inspections of single and t o family structures . 2. They do not feel that annual inspec ions are necessary for all buildings and proposed that insp: ction frequency be tied to the building's age. 3. Section 5. 1 (A) - They do not thi k that property owners should have to disclose the informa ion asked for in this section. They had a question about what information we are going to ask for on those buildi gs that are owned by eik corporations that sell stock. 4 . They asked us to check with HUD to compare their occupancy standards with BOCAs . *5. Section 6 .3 - They asked if the time rame to report a change of ownership could be extended to 10 orking days . 6. They thanked us for changing 6.4 to e empt the double payment of fees within the same year. Joel -tated that we would be adding an administrative fee to cove. the cost of recording the change of ownership. 7. They asked if it would be possible to have blank applications distributed to title companies and real estate offices so that new owners could receive them at closing. 8. Section 10 . 1 (B) - They questions if a requirement to vacate in 30 days was legal and proposed th-t the time be extended to 45 or 60 days . *9. They asked if the composition of the Board of Appeals could be added to the commentary. 10. Section 14 . 1 - The asked us to li=t the ordinances which would be repealed with the adoption o this ordinance. ELGIN LANDLORDS ASSOC ATION 1. They started the meeting be sta 'ing again that their association has an overall disagreeme t with rental licensing and does not want their comments to be misconstrued as some form of acceptance. *2. Section 2. 0 - They asked if we could include a commentary to clarify what inspection rights the ci y has . 3. They questioned how we are going to handle the licensing of those properties that have alread been cited for code violations and have outstanding case- pending at the time of the ordinances adoption. 4 . They questioned how we are going to handle the license applications of those properties which have rental registration applications currently - itting in the Planning Department awaiting use reviews . 5. They want to know how the definition of family will account for dwellings that house people such -s foster children. 6. Section 5. 1 (F) - They feel that - 11 information that is going to be asked for should be list=d. This section is too ambiguous . *7. Section 6.2. 1 - They want language included in the ordinance which states that we will disclose which units are to be inspected at the time the insp-ction appointment is scheduled. 8. Section 10. 1 (B & C) - They feel that these sections are not legal and think we need to discuss this with our legal counsel again. *9. Section 11. 3 - They asked if the co entary could be changed to say that the suspension or revoca . ion will take effect at the time of service of the notice in-teed of at the time of the inspection. 10. Section 13. 3 - They want this section removed because they do not want to disclose the maximu number of allowable occupants to their tenants. They feel that tenants will move more people in if they know they are under the maximum occupancy limit. 11. They also stated that they feel i is discriminatory to inspect multi-family buildings and no single and two family. UNITED COALITION FOR A BE ER ELGIN 1. Section 4 .3 (F) - They feel that th- licensing inspections need to include single and two fa ily buildings as well because a lot of problems exist withi these structures . 2. Section 5 .0 - They feel that a build ng floor plan should be submitted with each application. *3. Section 5 .0 (A & D) - They want to include language which would require owners to show proof of identification at the time the application is submitted. 4 . Section 6 .2 . 3 - They feel that if o e unit is found to be unfit for human habitation then the e tire building should be inspected. 5. Section 6 .4 - They would like the title companies to be required to notify the City of any transfers . Maybe handle it through the real estate transfer t..x. 7. Sections 6 .5 & 6.6 - They feel that iental property owned by other governmental agencies should be held to the same standards as all property owners . ie: annual inspections and fees. 8. Section 7 .0 - They would like to see he fee schedule listed. We informed them that City Council would be setting the actual fees . 9 . Section 11 .7 - They are not happy wish the code section that designates qualifications for the beard of appeals. They want some representation on the boar• other than the listed professional occupations. 10. Section 13.0 - They suggest that the owners responsibilities be listed on the application. ELGIN BOARD OF REAL RS *1. Section 4 .3 (E) - They feel that the ording of this section should be reviewed carefully becau a it may exempt some properties such as rooming houses wh re rents are paid on a shorter time frame such as 1 week. They suggest that we remove the words "other structures" . 2 . Section 5. 1 (A & D) - They feel that t is illegal to require owner information on the application- . They suggested that we also have the ordinance reviewe. by the fair housing specialist for possible discriminato language. 3. Section 5. 1 (D) - They want to know i . we can require someone who lives out of state to have a rent- 1 agent. They used the example of a property owner who lives in Lake Geneva Wisconsin as opposed to an owner woo lives in Carbondale Illinois . 4 . Section 11 .4 - They initially had an objection to preventing the reoccupancy of dwelling units that become vacant during a period of suspension. After explai ing the process that a property must go through before its license is suspended, their objection was not as severe. 5. They suggested that we explore ways to get the application requirement distributed to new •wners, ie: pass out • applications with the transfer stain? , Work with the title companies, bar association, and re- 1 estate offices to distribute applications at closings . r CHICAGOLAND ' APARTMENT ASSOCIATION STATEMEN MADE TO THE ELGIN CI COUNCIL ON THE PROPOSED ORDINANCE TO LICENSE AND I SPECTION OF OFFICERS RENTAL RESIDE TIAL PROPERTY President BY MICHAE A. THOM, DAVID Des de TheBrGroup EXECUTIVE VICE P-ESIDENT OF THE 1st Vice President CHICAGOLAND APAR MENT ASSOCIATION JANICE STEWART The Habitat Company 2nd Vice President RICHARDGOLDSTEIN AUGUST 24, 1994 Ludwig and Company ELGIN, I LINOIS Secretary DIANA JULIAN-PITTRO Dora!Michigan Avenue Plaza Treasurer Good evening Mr. President: CARLA YOUNG KENNEDY CAMCO,Inc. Immediate Past President Myname is Michael Thom, : ecutive Vice President of the THOMAS P.McGUINNESS Mid America Management Chicagoland Apartment Association (CAA) as well as the Illinois Executive MICHAEL THOM Presidentce AELAApartment Association. I am pl-ased to appear before you this Chicagoland Apartment Association evening representing the owner- and managers of some 80,000 DIRECTORS apartment units in the Chicag• metropolitan region including J Pier-Angeli Company apartment communities in Elgin a d the Fox River Valley. CHRISTOPHER T.CARLEY The Fordham Company RICHARD CAVENAUGH The CM appreciates the opport nity afforded us to examine and The Prime Group,Inc. THOMAS W.CUSTER comment on this ordinance by the Elgin Code Administrator. Several Berkshire Property Investors of our concerns have alreadybee addressed in the current draft. GARTH DOERING Penobscot Corporation HOWARDEhoPartnershipwever, SON PartnThere Realty Managementremain, a few are-s we wish to touch upon that need DAVIS GLASSBERG further consideration by the City •ouncil. Surface Renew-All,Inc. RICHARD S.HARB Marquette L NDGRManagF The requirement for the name, add ess, and home and work telephone CHRISTA LANDGRAF p Brook Furniture Rental numbers of each owner or holde of beneficial interest in the rental BRUCE Me Metropolitan n Structures property on the license applicatio is goes beyond what the City of SHARENMANGIAMELI Elgin needs to regulate rental pr•perty. The names, address and Mid America Management BARBARA MARING telephone number of the owner an• management company should be Keystone JIM MILLS Realty sufficient to handle most problem that arise. The Chicagoland Apartment Guide MICHAEL MULRYAN Chicago Metro Fire Prevention Co. Any fees imposed from the licensing of rental property should reflect GREGORY O Lincoln ProppertyertyCompany the cost of inspections. This ordin=nce should not be used for raising Company DEANNA NELSON revenue. Baird&Warner MICHAEL PARKE American Energy NICK ROGOSIENSKManagementI Lastly, if this ordinance is to be im•lemented, inspections should apply RELCON,Inc. to all rental properties with at lea- two rental units as in Proposal B. MICHAEL RUTeRe Cort Furniture Rental,Inc. If this is where the bulk of buildin• code violations is perceived to be, DANIEL SAWUSCH than the City of Elgin should inclu•e these properties in the ordinance. Citadel Management Company THOMAS C.SWANSON RELCON,Inc. DOUGLAS R.wooDwoRTH Thank you for your attention. I wil be happyto answer any questions The Habitat Company you may have. MICHAEL ZINK Zink Partners 9950 West Lawrence Avenue,Suite 112 Schiller Park,Illinois 60176 708/678-5717 FAX 708/678-5731 S RENTAL LICENSING ORDINANC TABLE OF CONTENTS SECTION TOPIC 1 .0 PURPOSE 2 .0 INSPECTION RIGHTS AND RESTRICTIO S 3.0 DEFINITIONS 4.0 RESIDENTIAL RENTAL LICENCE 4. 1 Responsibility to license proper y 4.2 Prohibits occupancy of unlicense• buildings 4.3 Lists exemptions 5.0 APPLICATION REQUIRED 5 . 1 Contents of Application 5.2 Proper identification of owner/a•ent required 5.3 Code official to determine occup=nt load based on Code criteria 6.0 LICENSE REQUIREMENTS 6. 1 Annual license; revocation; susp-nsion 6.2 License issuance - annually; 2 yes when compliant 6.2. 1 Dwelling units to be inspected c osen by C.O. 6.2 .2 Scope of inspections 6.2 .3 Time frames to correct violation- 6.2 .4 Conditions for inspecting additi•nal units 6.2.5 One year extension for code comp iance 6.2 .6 Exemptions (6.5 & 6. 6) 6.3 Change in ownership to be report-d 6.4 Licenses not transferable 6.5 Governmental Agencies and PHAs r-quire licenses 6.6 Applications required from GAs ai d PHAs 7 .0 FEES 7 . 1 Base fee (tba) 7 .2 Dwelling unit fee (tba) 7. 3 Exemptions (GAs PHAs, 6. 6) 7 .4 - Addendum: Fees paid under old Rectal Reg. Ord. 7 .5 Calculation of number of units t• be inspected 7 . 6 Reinspection fees 8 .0 LICENSE RENEWALS 8. 1 Notices issued 45 days from expiration of license 8.2 Fees not paid by exp. date increased by 50% 8.3 License issued when fee paid an• inspection set 9 .0 ENFORCEMENT 9 .1 Code Official to enforce 4 10.0 VIOLATIONS 10. 1 Failure to license; occupant to vacate; owners to maintain code compliance 11 . 0 LICENSE SUSPENSIONS AND REVOCATIONS 11. 1 Violation Notice to be sent to owner/agent; contents 11.2 Suspension follows failure to comply 11.3 Notice of susp/rev to be sent to owner of record 11. 4 Unlawful to occupy vacant units when licence is suspended 11 .5 Owner may request hearing before Appeals Board 11 . 6 Licensed revoked if appeal not requested following suspension 11.7 License reinstated if compliant prior to hearing 11.8 License subject to revocation if owner convicted 11.9 License may be revoked if immediate action not taken in emergency 11. 10 After revocation each day is separate violation 11. 11 Revoked licenses cannot be renewed; new license required after violations are corrected 12 .0 PENALTIES 12 . 1 As in Chapter 1.2 of the Elgin Municipal Code 13. 0 OWNER RESPONSIBILITY 13 .1 Maintain record of full legal names & DOBs of all tenants 13.2 Provide tenants with name/number of 24-hr agent 13. 3 Inform tenant in writing of maximum occupancy at time of renting 13.4 Make records available to code official on request 14.0 CONFLICTING ORDINANCES 14. 1 Conflicting ordinances repealed 15. 0 EFFECTIVE DATE 15. 1 In effect after passage/publication DEPARTMENT OF CODE ADMINISTRATION CODE ENFORCEMENT DIVISION 451/6"- 0— RENTAL /i'RENTAL LICENSING OR0INANCE * * * DRAFT COPY O I Y * * * DRAFT #4 MAY 25, 1994 Pursuant to City Council directive, a proposal for a new ordinance has been developed. The puri•ose of this ordinance is to replace the current rental regisuration ordinance with a licensing program for rental residential properties . SECTION 1. 0 PURPOSE The purpose of this ordinance is to prove for the licensing of rental residential property in the City of Elgin. SECTION 2 .0 INSPECTION RIGHTS AND RESTRICTIONS This ordinance does not restrict he right of the City to inspect any property. SECTION 3. 0 DEFINITIONS Approved Time Extension: A writt-n request for an extended compliance time submitted by the .roperty owner and approved by the Code Official . Compliance Time Frame: The time given to bring a property into compliance. License Revocation: A license that has been revoked for failure to comply with a legal order by the Code Official . DEPARTMENT OF CODE ADMINISTRATION • When a license is revoked it cannot be reinstated. A new license must be obtained which includes the payment of applicable fees . License Suspension: A license that has been suspended for failure to comply with a legal order by the Code Official . A suspended license can be reinstated if the property is brought into compliance prior to revocation. COMMENTARY: THE SUSPENSION OF A LICENSE IS A PROCESS WHICH INFORMS THE PROPERTY OWNER THAT THE LICENSE IS IN DANGER OF BEING REVOKED FOR FAILURE TO COMPLY WITH A COMPLIANCE ORDER. THE MAJOR DIFFERENCE BETWEEN SUSPENSION AND REVOCATION IS THAT A SUSPENDED LICENSE CAN BE REINSTATED IF COMPLIANCE IS ACHIEVED. HOWEVER, DURING THE PERIOD OF SUSPENSION, OCCUPANCY OF THE BUILDING IS RESTRICTED TO THOSE UNITS ALREADY OCCUPIED. NO VACANT UNITS CAN BE OCCUPIED AND ANY UNITS WHICH BECOME VACANT CAN NOT BE RE-OCCUPIED. (SECTION 11.4) Property Agent: A person, operator, firm, partnership, corporation, or other legal entity designated by the property owner to manage such rental property including the authority to receive notices or citations and obtain compliance. Property Maintenance Code: The BOCA Property Maintenance Code as adopted and amended by the City of Elgin herei."after called the PM Code. 2 DEPARTMENT OF CODE ADMI ISTRATION Property Owner: A person, opera or, firm, partnership, corporation, or other legal entity having a legal or equitable interest in the proper y; or recorded in the official records pf the state, co my or municipality as holding title to the property; or otierwise having control of the property, including the guardi, n of the estate of any such person, and executor or administrator of the estate of such person if ordered to take posse-sion of real property by a court. Rental Property: A one family prooerty not occupied by the property owner or member of the p operty owner' s immediate family or a property with two or mode dwelling units . Rental property may be vacant or occupied. Residential Rental License: A docpment issued by the Code Official which authorizes and contdols the occupancy and use of a residential rental structure. COMMENTARY: A RESIDENTIAL RENTAL LICEN-E IS A CERTIFICATE WHICH IS ISSUED AFTER THE LICENSE FED HAS BEEN PAID AND THE LICENSING INSPECTION HAS BEEN SC EDULED. THE LICENSE IS CONTINGENT ON THE PROPERTY B: ING VERIFIED FOR CODE COMPLIANCE, OCCUPANCY AND USE BY E LICENSING INSPECTION. Tenant: The person(s) listed o the rental agreement or lease and/or who have legal autho ity to occupy the dwelling unit. 3 DEPARTMENT OF CODE ADMINISTRATION • COMMENTARY: THE DEFINITION OF TENANT DIFFERS FROM THAT OF OCCUPANT IN THAT A TENANT IS THE PERSON(S) WHO ARE LISTED ON A RENTAL AGREEMENT OR HAVE BEEN APPROVED BY THE PROPERTY OWNER AS THE LEGAL OCCUPANTS OF A DWELLING UNIT. OCCUPANT IS ANY PERSON WHO OCCUPIES A DWELLING UNIT INCLUDING PERSONS WHO MAY NOT BE LEGAL TENANTS. Words or phrases as used in this chapter and not herein defined shall be defined as provided by the BOCA National Property Maintenance Code, 1990 and BOCA National Building Code, 1990, as amended. COMMENTARY: THE MAJORITY OF TERMS USED THROUGHOUT THIS DOCUMENT ARE TAKEN FROM OTHER CODES ALREADY ADOPTED BY THE CITY OF ELGIN. FOR THE DEFINITIONS OF THESE TERMS, PLEASE CONSULT THE SPECIFIC CODES. SECTION 4 .0 RESIDENTIAL RENTAL LICENSE 4 . 1 It is unlawful for any person, firm, partnership, corporation, or other legal entity to operate, maintain, or offer to rent within the city a residential rental structure whether vacant or not without first obtaining a license from the Code' Official . COMMENTARY: THIS SECTION DEFINES THE RESPONSIBILITY OF PERSONS OR LEGAL ENTITIES WHICH OWN OR MANAGE RENTAL PROPERTY TO LICENSE SAID PROPERTY. ALL PROPERTY, UNLESS SPECIFICALLY 4 DEPARTMENT OF CODE ADMINISTRATION EXEMPTED BY THIS ORDINANCE, MUS BE LICENSED. THIS REQUIREMENT INCLUDES VACANT BUILDINGS. 4 .2 It is unlawful for a person to occupy a dwelling unit in a residential rental structure or for an owner to allow anyone to occupy a dwelling unit in a residential rental structure which is not licensed by 'he Code Official . COMMENTARY: THIS ORDINANCE PROHIBITS T E OCCUPANCY OF ANY RESIDENTAL RENTAL STRUCTURE WHICH I . NOT LICENSED. 4 .3 Exemptions : This ordinance shall not apply to the following structures: A. One-family owner occupied struct res . B. One-family structures occupied b, a member of the owner ' s family as the principle occupant. COMMENTARY: THE PM CODE DEFINES FAMIL AS, "AN INDIVIDUAL OR MARRIED COUPLE AND THE CHILDREN T EREOF WITH NOT MORE THAN TWO (2) OTHER PERSONS RELATED DIR: CTLY TO THE INDIVIDUAL OR MARRIED COUPLE BY BLOOD OR MARRIAeE; OR A GROUP OF NOT MORE THAN THREE (3) UNRELATED PERSONS, IVING TOGETHER AS A SINGLE HOUSEKEEPING UNIT IN A DWELLING UN T. " C. Vacant one-family structures wh ch are not intended to be let for rent. D. Owner occupied townhouses and condominiums . E. Hotels , motels , and other struc ures which rent rooms to occupants who are primarily tra sient in nature, making 5 DEPARTMENT OF CODE ADMINISTRATION use of the facilities for a period of less than 30 days . F. One-family and two-family structures shall be exempt from the required annual licensing inspection. G. Structures owned by other governmental agencies and public housing authorities are required to obtain annual licenses but are exempt from the licensing inspection. H. Dwellings, buildings, structures and uses licensed and inspected by the State of Illinois or the Federal Government, including but not limited to, nursing homes, retirement centers, and rest homes shall be required to obtain annual licenses but are exempt from the licensing . inspection. COMMENTARY: THIS SECTION DEFINES THOSE PROPERTIES WHICH ARE EXEMPT FROM RENTAL LICENSING AND/OR INSPECTIONS. THE INTENT OF THIS ORDINANCE IS TO LICENSE AND INSPECT RENTAL STRUCTURES WHICH ARE PRIVATELY OWNED AND NOT ALREADY INSPECTED BY SOME OTHER AGENCY. SPECIAL NOTE SHOULD BE MADE OF THE EXEMPTION FOR VACANT ONE-FAMILY STRUCTURES WHICH ARE NOT INTENDED FOR RENTAL USE. THIS IS THE ONLY SITUATION IN WHICH A VACANT STRUCTURE IS NOT REQUIRED TO BE LICENSED IF THE CONDITION IS PROPERLY VERIFIED AS SUCH BY THE PROPERTY OWNER AND THE DEPARTMENT. SECTION 5.0 LICENSE APPLICATION REQUIRED 5. 1 Every registrant for a license to maintain a residential structure for the purpose of renting to others shall file a written application with the Code Official stating: 6 DEPARTMENT OF CODE ADMIIISTRATION A.' the full legal name, address, ho e and work telephone number, and date of birth of eac and every owner or beneficial interest of trust of he structure. COMMENTARY: THIS INFORMATION IS NECESS • •Y TO ENSURE THAT PROPER NOTIFICATION IS MADE ON DEPARTMENT 'ORRESPONDENCE, COMPLIANCE ORDERS, AND COURT DOCUMENTS. B. the legal address of the rental tructure. COMMENTARY: THE LEGAL ADDRESS IS NEEDED TO ENSURE THAT NOTICES OF VIOLATION ARE DIRECTED TO THE PROPER LOCATION(S) AND FOR DETERMINATION OF LEGAL USE •EVIEWS. C. the number of dwelling units within the rental structure. D. in the case of a registrant or •wner who is not a resident of the State of Illino s, the full legal name, address, home and work telephon= number, and date of birth of a property agent with the au 'hority for receipt of notices/citations and authority to effect repairs mandated by such notices/citations . COMMENTARY: THIS INFORMATION IS NECES•ARY BECAUSE CERTAIN PROBLEMS ARISE THAT NEED IMMEDI • E ATTENTION AND ABSENTEE • PROPERTY OWNERS CAN NOT ALWAYS RES 'OND IN A TIMELY FASHION. E. the total square footage design ted for living and sleeping purposes by the PM Code. DEPARTMENT OF CODE ADMINISTRATION COMMENTARY: THE SQUARE FOOTAGE OF A DWELLING UNIT DETERMINES THE MAXIMUM OCCUPANCY LEVEL OF A DWELLING UNIT. THE PM CODE SETS DIFFERENT LIMITS FOR LIVING AND SLEEPING SPACE AND THE OCCUPANCY OF A DWELLING UNIT IS BASED ON THE MOST STRINGENT OF THE TWO. THIS INFORMATION IS CRUCIAL FOR CONTROLLING OCCUPANCY, USE, AND DENSITY PROBLEMS IN THE CITY OF ELGIN. F. other information pertinent to the structure and property as deemed necessary by the Code Official . COMMENTARY: WHEN THE CODE OFFICIAL DETERMINES THAT CERTAIN INFORMATION IS NEEDED FOR THE ENFORCEMENT OF THIS ORDINANCE, THAT INFORMATION MAY BE REQUIRED TO BE INCLUDED ON THE LICENSE APPLICATIONS. EXAMPLES OF THIS INFORMATION WOULD INCLUDE SUCH THINGS AS PROPERTY ZONING, LOT SIZE, NUMBER OF EXITS, NUMBER OF SMOKE DETECTORS, SIZE AND TYPE OF STRUCTURE, TYPE OF HEATING FACILITIES, ETC. 5.2 The Code Official will determine the maximum number of occupants permitted in each dwelling unit based on the occupancy standards of the PM Code. COMMENTARY: THE PROPERTY MAINTENANCE CODE SETS OCCUPANCY LIMITS BASED ON THE SQUARE FOOTAGE OF HABITABLE SPACE IN DWELLING UNITS. THE CODE OFFICIAL WILL DETERMINE THE MAXIMUM NUMBER OF OCCUPANTS FOR EACH DWELLING UNIT USING THE INFORMATION PROVIDED ON THE APPLICATIONS AND FROM STAFF INSPECTIONS. 8 DEPARTMENT OF CODE ADMINISTRATION SECTION 6.0 LICENSE REQUIREMENTS 6 . 1 Licenses for rental resident ' al structures shall be issued by the Code Official on an annual basis . A license will be issued to an applicant upo payment of all required fees and the scheduling of a lidensing inspection, Any license may be suspended or revoke, by the Code Official if the owner fails to provide ac ess for the licensing inspection or if the licensing ins ,ection reveals violations of any city codes or ordinance- . Such suspension or revocation may be in addition to an fines imposed. 6 .2 An inspection by the Code Official shall be scheduled and all fees paid prior to the i -suance of a multi-family license or renewal . A building hich receives a one year license extension per Section 6 . 2 . will be exempt from the renewal process the year follow ng the issuance of the license. Inspections shall not •e required for one- and two-family licenses . COMMENTARY: LICENSES WILL BE ISSUED P',IOR TO LICENSING INSPECTIONS. IF VIOLATIONS ARE OUND AT THE TIME OF THE LICENSING INSPECTION AND ARE NOT ' ORRECTED ACCORDING TO THE COMPLIANCE SCHEDULE, THE LICENSE WILL BE SUSPENDED. AS STATED, WHEN THE LICENSE FEES HAVE BEEN PAID AND THE INSPECTION HAS BEEN SCHEDULED, •r E LICENSE WILL BE ISSUED (SUBJECT TO SUBSEQUENT SUSPENSION) 9 DEPARTMENT OF CODE ADMINISTRATION 6 .2. 1 Licensing inspections of. multi-family structures shall include the building exterior, common areas, basement, and twenty percent (20% ) of the individual dwelling units with a minimum of at least one dwelling unit. The Code Official will determine which dwelling unit(s) are to be inspected. COMMENTARY: RENTAL BUILDINGS SHOULD HAVE A COMPLETE INSPECTION WITHIN A FIVE YEAR PERIOD. AN INSPECTION OF 20% OF THE BUILDING EACH YEAR WILL ACCOMPLISH THIS GOAL. THIS DETERMINATION IS BASED ON NATIONALLY ACCEPTED CODE ENFORCEMENT PRACTICES AND CURRENT CODE ENFORCEMENT STAFFING LEVELS. 6.2.2 When an inspection of a rental property reveals violation(s) of applicable codes, a compliance time frame will be set by the Code Official . In establishing a compliance time frame, the Code Official shall determine the reasonable minimal time necessary to correct the violations based upon the number and severity of the violations . A compliance inspection will be conducted at the end of this time frame. 6.2.3 If, during a licensing inspection, any dwelling unit is determined to be unfit for human occupancy as specified in the PM Code . an additional twenty percent (20%) of the dwelling units in the building will be inspected. If similar violations are oLserved in the additional dwelling units, the entire building will be subject to inspection. All additional dwelling units inspected will be subject to the 10 DEPARTMENT OF CODE ADMINISTRATION dwelling unit fee as set forth in Section 7 of this ordinance . COMMENTARY: THE TYPES OF VIOLATIONS THAI WILL GENERATE ADDITIONAL INSPECTIONS ARE LISTED IN SECTION PM-105.4 OF THE PM CODE AND INCLUDE SUCH THINGS AS STRUCTURAL, ELECTRICAL, PLUMBING, AND MECHANICAL DEFECTS ICH CAUSE THE DWELLING UNIT TO BE UNSAFE FOR THE OC PANTS; SANITATION AND INFESTATION PROBLEMS WHICH CREATE • ZARDOUS HEALTH PROBLEMS FOR THE OCCUPANTS; AND ILLEGAL OC UPANCY USES WITHIN THE DWELLING UNITS SUCH AS OVERCROWDI G AND CELLAR OCCUPANCY. WHEN THE CODE OFFICIAL DETERMINES HAT ADDITIONAL UNITS ARE TO BE INSPECTED, ADDITIONAL COSTS W LL BE GENERATED BY THESE INSPECTIONS WHICH MUST BE PAID BY E PROPERTY OWNER WITHIN THE TIME SPECIFIED OR THE LICENSE WILL BE SUSPENDED. 6.2.4 A rental residential structu e which is in TOTAL CODE . COMPLIANCE at the time of the licensing inspection will receive a one year extension on t e current license at no additional charge. 6 .2 .5 Exemptions : Buildings requi , ed tc obtain a license under Sections 6 . 5 and 6 . 6 shal be exempt from annual license inspection requirement . 6. 3 A change in ownership and/or agent must be reported to the Code Official within seven (7 ) working days of the transfer of the property. • 11 DEPARTMENT OF CODE ADMINISTRATION 6.4 Rental licenses are not transferable to another party or succeeding owner. A new property owner shall not be required to pay the licensing fee if the fee has already been paid for the year the property was purchased. COMMENTARY: WHEN A PROPERTY IS TRANSFERRED, A NEW LICENSE IS REQUIRED WHICH MUST BE APPLIED FOR AS SPECIFIED IN SECTION 6.3. IT IS NOT THE INTENT OF THE ORDINANCE TO COLLECT FEES WHICH ARE NOT WARRANTED, THEREFORE, IF THE SELLER HAS ALREADY PAID THE LICENSE FEE FOR THE YEAR IN WHICH THE TRANSFER TAKES PLACE, A NEW FEE WILL NOT BE REQUIRED FROM THE BUYER FOR THAT YEAR. 6.5 Governmental agencies and public housing authorities shall obtain rental licenses as required herein. 6.6 Dwellings, buildings, structures and uses licensed and inspected by the State of Illinois or Federal Government, including but not limited to, nursing homes , retirement centers, and rest homes shall be required to complete a license application as required herein. COMMENTARY: THE INTENT OF THIS SECTION IS TO REGISTER PROPERTIES THAT OFFER ROOMS FOR RENT ON A PERMANENT BASIS BUT ARE ALREADY INSPECTED REGULARLY BY THE STATE OR FEDERAL GOVERNMENT. THIS WILL EXPEDITE THE CONTACT PROCESS IF THE DEPARTMENT IS CALLED FOR .A PROBLEP. 12 /2 DEPARTMENT OF CODE ADM NISTRATION AP/er-'-' 11/4-2Na 1-64 ;/ \ PaPIA . 0/ • PP- .1_ 7 SECTION 7 .0 FEES Sj (91r- 7 . 1 License Fee: Every rental residential building shall be accessed a base fee of per bu lding. COMMENTARY: THIS FEE IS DETERMINED BY TIPLYING THE CODE ENFORCEMENT COMPOSITE HOURLY RATE BY THE AVERAGE AMOUNT OF TIME IT TAKES TO INSPECT THE PROPERTY'S EXTERIOR, COMMON AREAS, AND ONE DWELLING UNIT, AS WE AS ALL PROCESSING TIME. 7.2 In addition to this base fee, a dwelling unit fee of will be added for each dw-lling unit inspected in excess of one. COMMENTARY: THIS AMOUNT IS ALSO DETERMINED BY MULTIPLYING THE CODE ENFORCEMENT COMPOSITE HOURLY • •TE BY THE AVERAGE AMOUNT OF TIME IT TAKES TO INSPECT THE 'WELLING UNITS AND PROCESS THE PAPERWORK. 7 .3 Exemptions : The following bu ' ldings shall be exempt from payment of the required icensing fees ; A. buildings owned and opera •ed by other governmental agencies and public housi g authorities . B. building which meet the r:quirements of Section 6 . 6 . 7 .4 Addendum: All buildings hich hove paid a rental registration fee for 1994 (under ordinance G67-89 ) and any buildings exempted under Section 7 3 shall not be required to 13 DEPARTMENT OF CODE ADMINISTRATION pay a licensing fee for 1994 . This addendum will be removed from the ordinance on December 31, 1994 . Beginning in 1995, all buildings will be subject to the fees as set forth in this ordinance. 7.5 The number of dwelling units inspected per building will be calculated using the following table. Number of Dwelling Number of Dwelling Units in Building Units to be Inspected 3 - 5 1 6 - 10 2 11 - 15 3 16 - 20 4 21 - 25 5 26 - 30 6 31 - 35 7 36 - 40 8 41 - 45 9 46 - 50 10 51 - 55 11 56 - 60 12 Buildings having in excess of sixty (60) units will have the number of dwelling units to be inspected calculated at twenty percent (20%) of the total number of dwelling units . The dwelling units to be inspected shall be selected by the Code Official . COMMENTARY: THE INTENT OF THIS REQUIREMENT IS TO SET A SCHEDULE OF THE NUMBER OF DWELLING UNITS THAT WILL BE INSPECTED PER BUILDING. IT IS ALSO THE INTENT OF THIS SECTION TO ALLOW THE CODE OFFICIAL TO DETERMINE WHICH UNITS ARE TO BE INSPECTED SO THAT EACH UNIT IS INSPECTED DURING THE FIVE YEAR INSPECTION CYCLE. THE PROPERTY OWNER WILL BE NOTIFIED IN ADVANCE AS TO WHICH UNITS WILL BE INSPECTED. 14 DEPARTMENT OF CODE ADMINI 'TRATION 7.6 Reinspection Fee: Any inspe tions made necessary because of cited violations not being corrected at the time of the compliance inspection will be subject to the reinspection fees set forth in EMC 16 . ' 8 . COMMENTARY: THIS REINSPECTION FEE APPLIES TO ALL NONCOMPLYING PROPERTIES AND THE INTENT OF THIS SE TION IS TO INFORM THE PROPERTY OWNER THAT THIS FEE WILL BE APPLIED TO THE RENTAL LICENSING PROCESS. SECTION 8 .0 LICENSE RENEWALS 8. 1 Renewal notices shall be issued •y the Code Official not less than forty five (45) days from the expiration of the current license. COMMENTARY: THE DEPARTMENT WILL SEND OUT LICENSE RENEWAL NOTICES ON OR ABOUT NOVEMBER 15TH FOR THE COM NG YEAR. 8. 2 All license renewal fees shall b- paid no later than the expiration date on the current lic-nse. . The license fee shall be increased by fifty percent 50% ) if not paid within thirty ( 30) days of the expiration •ate. License renewals which remain unpaid for more than than thirty ( 30 ) days shall be suspended and subject to the pe alties as set forth in Section 13 of this ordinance . 15 DEPARTMENT OF CODE ADMINISTRATION COMMENTARY: THE LICENSE RENEWAL FEE IS DUE BY DECEMBER 31 FOR THE UPCOMING YEAR'S LICENSE. THE RENEWAL LICENSE FEE WILL BE INCREASED BY 50% IF IT IS NOT PAID BY JANUARY 30 EACH YEAR. 8.3 Upon receipt of the license renewalnotice for a multi-family structure, the property owner shall contact the Code Official to arrange for a licensing inspection. The renewal license shall not be issued until the property inspection has been scheduled and the associated fees have been paid. COMMENTARY: WHEN THE LICENSE RENEWAL NOTICE IS SENT ON OR ABOUT NOVEMBER 15 OF EACH YEAR, THE PROPERTY OWNER MUST CONTACT THE DEPARTMENT TO ARRANGE FOR THE LICENSING INSPECTION. THE LICENSE FOR THE UPCOMING YEAR WILL BE ISSUED AFTER THE INSPECTION HAS BEEN SCHEDULED AND THE FEES PAID. SECTION 9.0 ENFORCEMENT 9. 1 It shall be the responsibility of the Code Official to enforce the provisions of this ordinance as authorized in the Elgin Municipal Code and the BOCA National Property Maintenance Code as adopted and amended by the City of Elgin. 16 DEPARTMENT OF CODE ADMI ISTRATION • SECTION 10 .0 VIOLATIONS 10. 1 The following shall constitute violations of this ordinance: A. Failure of the owner(s ) of ental properties to license such properties wit the Code Official . B. Failure of the occupant(s ) .f rental property to vacate such property within thirty ( 30 ) days after receiving written notice fr.m the Code Official that such property is not proper y licensed or that the license has been revoked. COMMENTARY: A RENTAL BUILDING THAT IS JOT PROPERLY LICENSED IS CONSIDERED UNLAWFUL. THE PM CODE STATES THAT IT IS ILLEGAL TO OCCUPY AN UNLAWFUL BUILDING THE•EFORE ALL OCCUPANTS WILL BE ORDERED TO VACATE. C. Failure of the owner(s) of lental property to vacate all occupants from such promerty within thirty ( 30 ) days after the license has seen revoked. COMMENTARY: A RENTAL BUILDING THAT IS NOT PROPERLY LICENSED IS CONSIDERED UNLAWFUL. THE PM CODE STATES THAT IT IS ILLEGAL TO ALLOW THE OCCUPANCY OF A BUILDI G DECLARED UNLAWFUL. D. Failure of the owner(s ) of rental property to maintain the structure and premises in compliance with applicable building, •roperty maintenance and 17 DEPARTMENT OF CODE ADMINISTRATION • zoning ordinances . SECTION 11.0 LICENSE SUSPENSIONS AND REVOCATIONS 11. 1 When inspection of a property covered by this ordinance reveals a violation or violations of applicable codes adopted by the City of Elgin, a written notice shall be issued to the registered owner/agent. Such notice shall list the violations and identify compliance time frame(s) . The notice of violation shall state that if the compliance time frame(s ) are not met, the license will be suspended. 11.2 A compliance inspection shall be conducted at the end of the time frame(s) given for compliance. If the cited violations have not been corrected or an approved time extension granted, the license will be suspended. COMMENTARY: IT IS THE RESPONSIBILITY OF THE PROPERTY OWNER TO MAKE A PROPER REQUEST FOR A TIME EXTENSION. IF CITED VIOLATIONS ARE NOT CORRECTED AT THE TIME OF THE COMPLIANCE INSPECTION, THE LICENSE WILL BE SUSPENDED AUTOMATICALLY. 11.3 When a license is to be suspended or revoked, notice shall be issued to the owner of record. COMMENTARY: SUSPENSION AND REVOCATION NOTICES WILL BE SENT CERTIFIED RETURN RECEIPT REQUESTED. HOWEVER, THE SUSPENSION OR REVOCATION WILL TAKE EFFECT AT THE TIME OF THE INSPECTION. 18 DEPARTMENT OF CODE ADMI ISTRATION 11:4 It is unlawful to occupy any vacant dwelling unit( s ) in a building whose license is under su-pension. Further, it is unlawful to reoccupy any dwelling uit(s ) that become vacant during the time a building is under -uspension. COMMENTARY: THE INTENT OF THIS SECTION IS TO CONTROL THE USE OF PROPERTIES THAT ARE UNDER SUSPENSION. THIS SECTION WILL PROHIBIT VACANT DWELLING UNITS IN SUSPENDED BUILDINGS FROM BEING OCCUPIED UNTIL OUTSTANDING CODE VIOLATIONS HAVE BEEN ADDRESSED. VIOLATIONS OF THIS SEC ION WILL CAUSE A LICENSE TO BE REVOKED IMMEDIATELY. • 11 .5 An owner may request and shall be granted a hearing on any suspension if such request is made in writing to the office of the Code Official within twenty ( 20) working days of receipt of the suspension noti.e . A suspension hearing shall be scheduled before the Prop-rty Maintenance Board of Appeals within ten ( 10) working d-ys of receipt of a valid request. The Property Maintenanc- Board of Appeals shall render a decision within five ( 5) w.rking days of the hearing which shall be final . The Board m.:y either: ( 1) immediately revoke the license, (2 ) continue th- suspension to a definite compliance date with revocation being the penalty for noncompliance, or ( 3) dismiss the charges and reinstate the license. 11.6 If, following suspension of = license, a request for a suspension hearing has not been su•mitted within the required time frame, the license shall be r:yoked. 19 DEPARTMENT OF CODE ADMINISTRATION COMMENTARY: WHEN A LICENSE HAS BEEN SUSPENDED, THE PROPERTY OWNER IS RESPONSIBLE FOR EITHER COMPLYING WITH THE VIOLATION NOTICE OR REQUESTING A HEARING WITHIN THE REQUIRED TIME FRAME LISTED IN SECTION 11.5. FAILURE TO DO THIS WILL RESULT IN IMMEDIATE REVOCATION OF THE LICENSE. 11.7 A reinspection to determine compliance can be requested at any time prior to the hearing before the Board of Appeals . If, upon reinspection, it is determined by the Code Official that the violations cited in the notice have been corrected, the suspended license shall be reinstated. COMMENTARY: IF DURING THE TIME A LICENSE IS UNDER SUSPENSION THE PROPERTY OWNER CORRECTS ALL CITED VIOLATIONS, AN INSPECTION CAN BE REQUESTED AND, IF THE CORRECTIONS HAVE BEEN MADE AND APPROVED, THE LICENSE WILL BE REINSTATED. 11.8 If a rental property owner is convicted by a court of a violation of an applicable code, the license shall be subject to revocation without further notice. COMMENTARY: APPLICABLE CODES ARE ANY CODES WHICH ADDRESS THE OCCUPANCY, MAINTENANCE, OR USE OF PROPERTY. THESE CODES MAY BE LOCAL, STATE , OR FEDERAL. 11.9 In the event an emergency situation or condition exists at a rental property which is extremely hazardous to the health or safety of the occupants or the public as stated in 20 DEPARTMENT OF CODE ADMINIS RATION Section PM-108 of the PM Code and the property owner does not take immediate action to correct th: violation, the Code Official may revoke the license. COMMENTARY: SECTION 108 OF THE PROPERTY • INTENANCE CODE AUTHORIZES THE CODE OFFICIAL TO T. ,E NECESSARY STEPS TO CORRECT VIOLATIONS THAT POSE AN I ' EDIATE THREAT TO THE HEALTH OR SAFETY OF OCCUPANTS OR THE G NERAL PUBLIC SUCH AS A BUILDING IN IMMEDIATE DANGER OF FAI URE OR COLLAPSE OR A BUILDING WHERE THERE IS ACTUAL OR PITENTIAL DANGER TO THE OCCUPANTS AND PUBLIC BECAUSE OF EXPLoSIVES, EXPLOSIVE FUMES OR VAPORS OR THE PRESENCE OF TOXIC S, GASES OR MATERIALS OR THE USE OF DEFECTIVE OR DANGEROUS 3QUIPMENT. AS A PART OF THIS AUT}I RITY, IT IS THE INTENT OF HIS ORDINANCE TO ALLOW THE CODE OFFICIAL TO REVOKE A LICEN'E TO ASSIST IN GETTING THE HAZARDOUS SITUATION CORRECTED. 11. 10 Each day a building contin es to operate after a license has been revoked shall constitute a separate violation of this code and be subject to the penalties listed in Chapter 1 . 20 of the Elgin Municipal Code. COMMENTARY: WHEN A LICENSE HAS BEEN REVOKED, IT IS UNLAWFUL TO ALLOW CONTINUED OCCUPANCY OF THAT BUILDING UNTIL A NEW LICENSE HAS BEEN ISSUED. 11. . 1 A license which has ben revoked can not be reinstated. A new license shal be issued after all violations have been corrected and a•plicable fees paid. 21 DEPARTMENT OF CODE ADMINISTRATION COMMENTARY: WHEN THE ISSUES WHICH CAUSED A LICENSE TO BE REVOKED HAVE BEEN CORRECTED, A NEW LICENSE WILL BE ISSUED. ALL OF THE REQUIREMENTS FOR OBTAINING A NEW LICENSE MUST BE MET INCLUDING THE PAYMENT OF THE LICENSE FEES. THESE FEES ARE DUE EVEN IF LICENSE FEES HAD BEEN PAID THE YEAR PRIOR TO THE LICENSE BEING SUSPENDED. • SECTION 12 .0 PENALTIES 12. 1 Penalties imposed for violations of this chapter shall be as provided in Chapter 1 .20 of the Elgin Municipal Code . COMMENTARY: THE PENALTIES INCLUDED IN CHAPTER 1.20 OF THE ELGIN MUNICIPAL CODE INCLUDE DAILY FINES OF NOT LESS THAN $50 NOR MORE THAN $500 FOR EACH VIOLATION AND FOR EACH DAY THE VIOLATION EXISTS. THESE FINES CAN BE CHARGED TO PROPERTY OWNERS AND/OR TENANTS DEPENDING UPON THE CODE SECTION CITED. THIS CHAPTER ALSO EMPOWERS THE DEPARTMENT TO ISSUE $25.00 ADMINISTRATIVE CITATIONS FOR VIOLATIONS OF APPLICABLE CODES. THESE CITATIONS ARE IN ADDITION TO THE ABOVE MENTIONED FINES. SECTION 13.0 OWNER RESPONSIBILITY 13. 1 The owner shall maintain a record for each structure with the furl legal names and birth dates of every tenant in each dwelling unit. 22 • DEPARTMENT OF CODE ADMINISTRATION COMMENTARY: THIS INFORMATION WILL BE USD' BY THE CODE OFFICIAL WHEN VIOLATIONS ARE OBSERVED WHICH A•E THE RESPONSIBILITY OF THE TENANT AND PROPER NOTICE AND/OR •ITATIONS MUST BE ISSUED. 13.2 The owner shall provide each enant with the name and telephone number of a responsible person who, in emergency situations, will be available on = twenty-four ( 24 ) hour basis and has the authority to make epairs as needed. COMMENTARY: THIS "RESPONSIBLE PERSON" • Y BE THE PROPERTY OWNER IF THE OWNER IS THE PERSON WHO •ERSONALLY MAINTAINS THE PROPERTY OR IT MAY BE THE NAME OF A • AGEMENT COMPANY IF THE PROPERTY OWNER DOES NOT DO NORMAL • INTENANCE. IT MAY ALSO BE THE NAME OF SOME OTHER LOCAL INDIVIDUAL IF THE PROPERTY OWNER DOES NOT LIVE IN THE AREA. 13.3 The owner shall inform the tenant in writing, prior to occupancy, of the maximum number of persons allowable by the occupancy standards of the PM Codi- . This number shall be determined by the Code Official COMMENTARY: THE NUMBER OF ALLOWABLE OC UPANTS WILL BE DETERMINED BY THE INFORMATION SUPPLIED ON TH LICENSE APPLICATION AND VERIFIED BY ON-SITE INSPECTIONS. THIS NUMBER WILL BE GIVEN TO THE OWNER AS SOON AS IT IS DETERMINED. THE OWNER MUST THEN INFORM ALL TENANTS, IN WRITING, OF THIS OCCUPANCY LIMIT. 23 DEPARTMENT OF CODE ADMINISTRATION 13.4 The owner shall make available to the Code Official on request, occupant records required to be maintained by the property owner. SECTION 14 .0 CONFLICTING ORDINANCES 14 . 1 All ordinances or parts of ordinances in conflict with the provisions of this ordinance be and are hereby repealed. SECTION 15.0 EFFECTIVE DATE 15. 1 This ordinance shall be in full force and effect from and after its passage and publication in the manner provided by law. GENERAL COMMENTARY: A NUMBER OF CODES ARE REFERRED TO THROUGHOUT THIS ORDINANCE. THESE CODES ARE ON FILE IN THE OFFICES OF THE CITY CLERK AND DEPARTMENT OF CODE ADMINISTRATION AND CAN BE REVIEWED DURING NORMAL WORKING HOURS. THE SPECIFIC CODE SECTIONS WHICH HAVE A DIRECT IMPACT ON THE ENFORCEMENT OF THIS ORDINANCE ARE LISTED HERE AND INCLUDE BUT ARE NOT LIMITED TO; ELGIN MUNICIPAL CODE CHAPTER 1.20 "CITATIONS" CHAPTER 9. 16 "WEEDS" 24 DEPARTMENT OF CODE ADMINISTRATION CHAPTER 9. 24 "GARBAGE STORAGE" CHAPTER 9. 36 "JUNK AND DEBRIS" CHAPTER 16. 04 "BUILDING CODE" CHAPTER 16. 12 "PROPERTY MAINTENANCE CODE' CHAPTER 16.20 "PLUMBING CODE" CHAPTER 16 .24 "ELECTRICAL CODE" CHAPTER 16. 28 "FIRE PREVENTION CODE" CHAPTER 16. 32 "HVAC CODE" CHAPTER 19. 10 "LAND USE" CHAPTER 19. 15 "PRESERVATION DISTRICTS" CHAPTER 19. 20 "CONSERVATION DISTRICTS" CHAPTER 19.25 "RESIDENCE DISTRICTS" CHAPTER 19. 45 "OFF-STREET PARKING" CHAPTER 19. 52 "NONCONFORMING USES" CHAPTER 19. 90 "SUPPLEMENTARY REGULATION' " CHAPTER 20 "HISTORIC PRESERVATION" ILLINOIS REVISED STAT STATUTES CHAPTER 111 } "LEAD POISONING ACT" CHAPTER 127 } "SMOKE DETECTOR ACT" CHAPTER 38 "CRIMINAL HOUSING MANAGDIMENT" 25