The URL can be used to link to this page

Home My WebLink About[06] Residential Rentals Planning Commission Agenda Item 6 MEETING DATE: June 10, 2019 AGENDA ITEM: Residential Rentals SUBMITTED BY: Community Development STAFF RECOMMENDATION: For Discussion PREVIOUS PLANNING COMMISSION ACTION: The Planning Commission discussed rental regulations in fall 2017 and has requested recently to continue the review of standards. 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 City had a number of college student rentals with varying number of tenants. Large homes had as many as eight students. Rentals resulted in issues with property and building maintenance, living conditions, noise, and parking. In fall 2008, the College of St. Benedict and St. John’s University (CSB/SJU) begin requiring students to live on-campus. Exceptions granting off-campus residency may be permitted after application for residency exemption is approved i.e. live at home with parents or off campus during their junior or senior year. According to CSB/SJU, for the 2018-19 school year they enrolled 3,405 students (1,755 at CSB and 1,650 at SJU) and 85% of their students live on campus all four years. The following is a summary of how rentals are governed in each zoning district in St. Joseph: St. Joseph  RR Rural Residential: Residential rentals are permitted. An annual rental license is required.  R-1 Single Family Residence: Residential rentals are allowed as an Interim Use as follows: o Owner occupied rental provided it is the homeowner’s primary residence. o 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. o An annual rental license is required  R-2 Two Family Residence: A non-owner occupied rental to a family is a permitted Conditional Use. An annual rental license is required. Owner occupied rentals are not addressed.  R-3 Multiple Family Residence: Rentals are a permitted use. An annual rental license is required.  R-4: Townhouse/Patio Home District: A non-owner occupied rental is a permitted Conditional Use provided it is for elderly housing as stated in the ordinance. An annual rental license is required. Owner-occupied rentals are not addressed.  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 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 is required. The following is a summary of how rentals are governed in the neighboring communities: Sartell  Residential rentals are permitted in residential districts provided they comply with dwelling requirements.  An annual rental license is required.  Has implemented a crime-free multi-family housing program. Participation in the program is voluntary but landlords receive a reduction in rental fees if the property is certified.  Residential rentals are prohibited in commercial districts, unless part of an approved mixed use and or PUD with a residential component. Sauk Rapids  Residential rentals are permitted provided they comply with dwelling requirements.  An annual rental license is required.  Has implemented an informal crime-free multi-family housing program meaning that it is not by ordinance. Participation in the program is voluntary and landlords do not receive a reduction in rental license fees.  Residential rentals are prohibited in commercial districts, unless part of an approved mixed use and or PUD with a residential component. St. Cloud  Residential rentals are permitted provided they comply with dwelling requirements.  An annual rental license is required.  Has implemented a crime-free housing program requiring all landlords to complete. No reduction in rental license fees are given.  Residential rentals are prohibited in commercial districts, unless part of an approved mixed use and or PUD with a residential component. Waite Park  Residential rentals are permitted provided they comply with dwelling requirements.  An annual rental license is required.  Landlords are required to run a background check on all of their tenants.  Has implemented a crime-free housing program for all housing rentals (single family and multi- family) but participating in the program is voluntary. Landlords receive a reduction in rental license fees if they are certified.  Residential rentals are prohibited in commercial districts, unless part of an approved mixed use and or PUD with a residential component. ATTACHMENTS: Staff Report dated November 13, 2017 REQUESTED PLANNING COMMISSION ACTION: Provide input and direction 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