HomeMy WebLinkAbout[06] Residential Rentals
Planning Commission Agenda Item 6
MEETING DATE: November 13, 2017
AGENDA ITEM: Residential Rentals
SUBMITTED BY: Community Development
STAFF RECOMMENDATION: For Discussion Only
PREVIOUS PLANNING COMMISSION ACTION: During your Planning Commission meeting on
November 6, 2017, you initiated studying residential rentals.
BACKGROUND INFORMATION: The City has regulated residential rentals since the 1980’s
requiring a rental license with an annual inspection and has reviewed several times over the years. The
St. Joseph Ordinances were first codified in 1979 and prior to codification, the City had a number of
student rentals with varying number of tenants. Large homes had as many as eight students. The
codification of the Ordinances included the definition of a family which was defined as five unrelated
persons. Codification also included the rental regulations which limited the number of tenants to the
definition of a family. The City legally could not reduce occupancy on homes that were rented prior to
the Ordinance; therefore, those homes were grandfathered in as it related to occupancy. As long as the
property owner continued to use the property as rental and complete the rental license process they could
continue with the established occupancy; however, if the use ceased for a period of one year, the property
would have to comply with the new density requirement equal to the definition of a family – five
unrelated persons.
Raising concerns over behaviors and expectations in residential neighborhoods resulted in the City
redefining a family in 1987 as three unrelated persons. Concerned again with blending neighborhoods, in
2000 the City placed a moratorium on rental units and established an ad-hoc committee to review the
rental issues and concerns. From this study the Council amended the definition of a family to strengthen
the language and they changed the rental in R1 to only allow owner occupied through the issuance of an
Interim Use permit which would have to be renewed annually.
In 2008, the rental provisions were again reviewed and language was added clarifying that a purchase
agreement could not be used for the purpose of securing a rental license and the property owner had to
reside at the property for two years before an application for an owner occupied rental could be accepted.
Language was also added to allow a property owner who was actively trying to sell their home for at least
90 days without success to secure an interim use permit for a period not to exceed two years.
As a first step in studying rentals, staff has listed how rentals are governed currently in each zoning
district below. Staff will continue to compile information as directed by the Planning Commission and as
suggested below. The Comprehensive Plan is the foundation for the City Zoning Ordinance. The
Municipal Planning Act gives cities authority to regulate to protect the public health, safety and welfare
but it must be based on the Comprehensive Plan, be reasonable, and have a rational basis for the
regulation. Cities should take time to carefully and conscientiously create land use laws; therefore, it is
important for the Planning Commission to take adequate time to thoroughly study rental regulations.
The following is a summary of how rentals are governed in each zoning district:
Residential Districts
R-1 Single Family Residence: All homes must be maintained as a single family dwelling meaning the
dwelling is designed exclusively as a living quarter for one family (i.e. one kitchen facility). All rentals
must obtain an annual rental license and rentals are allowed as an Interim Use as follows:
Owner occupied rental provided it is the homeowner’s primary residence.
Non-owner occupied rental if the homeowner is relocating, has owned the house as their primary
residence for at least two years, and the home has been actively on the market for sale for at least 3
months. The interim use permit shall have a term of one year, which can be renewed for one additional
year.
R-2 Two Family Residence: All rental properties must obtain an annual rental license per the City
housing ordinance. A non-owner occupied rental to a family is a permitted Conditional Use.
R-3 Multiple Family Residence: Rentals are a permitted use.
R-4: Townhouse/Patio Home District: All rental properties must obtain an annual rental license per the
City housing ordinance and is limited to housing for persons age 55 or older. A non-owner occupied
rental is a permitted Conditional Use.
R-5: Supportive Care District: Rentals are permitted. With the exception of an assisted living facility,
housing is limited to persons age 55 or older.
Commercial Districts
B-1, B-2 & B-3: Rentals are a permitted Interim Use for a specific period of time for residential units in
areas that have been rezoned to commercial from residential. The maximum density allowed is that of the
R-1 District meaning to one family. The City has identified these areas as redevelopment areas as
established within the City’s Comprehensive Plan. An annual rental license per the City housing
ordinance must be obtained.
Current Definition of a Family
City ordinance defines a family as any number of persons living together in a room or rooms comprised
of a single housekeeping unit and related by blood, marriage, adoption, or any unrelated person who
resides therein as though a member of the family. Any group of three persons not so related but inhabiting
a single house shall, for the purposes of this Ordinance, be considered to constitute one family.
Proposed Next Steps:
1. Review number and type of registered rentals.
2. Review types of violations.
3. Review how other communities regulate rentals.
4. Consider options – No change to ordinance or amend ordinance.
REQUESTED PLANNING COMMISSION ACTION: Discussion Only