Frequently Asked Questions about the Probationary Rental Occupancy Permit (PROP) Ordinance:

 

Q:     Does the PROP ordinance require that all rental properties get a permit?

A:      No.  A permit is only required for INDIVIDUAL UNITS (not an entire apartment house or complex) where a problem has been identified, and that problem has not been resolved within the “grace period”, or where a pattern of repeat violations is established.  Rental complexes that include more than 20 units are exempt from the PROP, unless a pattern of regular resistance to compliance is identified by the Inspections Director at a unit in such a development, and the City Council agrees to allow a PROP to be required on that unit.  The PROP does not apply to rooming houses, rest homes or hotels.

 

Q:     Does the PROP ordinance apply to owner-occupied dwellings as well?

A:      No.  The PROP ordinance specifically applies only to units offered for rent.

 

Q:     When is a PROP required?

A:      If a violation of any of the City’s nuisance or housing regulations is identified (overgrown vegetation, trash, housing code violations, more than one unlicensed vehicle stored on property, etc.), a citation is issued and sent to the property owner, and the owner is given 10 days to fix the problem.  If they fail to do so, a PROP will be required for that property.  Also, if two citations are issued by the Police for a nuisance party or noise violation at a single address in a 24-month period, and these citations result in convictions, a PROP is required for that address.  Also, if, within a 24-month period, a pattern of three instances of citation followed by remediation of the problem within the grace period happens at a single address, a PROP will be required at that address.

 

Q:     What happens when a PROP is required?

A:      A letter is issued to the property owner requiring them to complete a form to register for the permit and pay a $500 fee within 10 days of notice, plus notify any tenants of the requirement for a PROP.  The permit will “sunset” or become void in two years if no further violations occur at the property.  There is a $500 per year fee due during the permit period.  The landlord is expected to attend a Landlord Training Program within the first year of the permit period.

 

Q:     What happens if there are more violations at the same address during the permit period?

A:      The two-year permit will be extended for an additional two years from the date of any violation.  The first violation results in an immediate $50 fine plus $50 per day until it is resolved, plus a warning that the second violation may result in suspension of the property owner’s right to rent that unit.  A second violation at the same address during the permit period results in a $250 immediate fine plus $250 per day until the problem is resolved, plus the permit at that address is then revoked for two years, meaning that the property owner cannot rent that unit for two years[etm1] .  A third violation again results in a $250 fine plus $250 per day until the problem is resolved, plus, permits for ALL of the units owned by that property owner that are subject to a PROP[etm2]  throughout the city are revoked for two years.

 

Q:     Is there any avenue of appeal from a violation or the revocation of a PROP?

A:      Yes.  The property owner may appeal first to the inspector who issued the citation, and then to the Inspections Director, and ultimately to the City Council if relief is not forthcoming from the staff appeal.

 

Q:     What is the intent of all this?

A:      The PROP ordinance is intended to address “problem rental properties” in established neighborhoods, and is targeted toward properties where violations occur, not all rental properties.  The goal is that no PROP will ever be issued, because if this is the case it means that rental property owners throughout the city are ensuring that their properties are well-kept, up to City code, are well-monitored and their tenants are respectful of their neighbors.

 

Q:     How is a problem identified?

A:      Inspectors may identify a problem that is obvious outside the unit just by driving by, such as overgrown vegetation or more than one unlicensed vehicle on the property.  In order to enter a unit and inspect for housing code violations, inspectors must have probable cause evidence, or a search warrant must be issued by the courts.  Inspectors will respond to complaints issued by neighbors, but depending on the nature of the problem, there may be no violation of City code, and no citation will be issued in that case.  Also, calls to the District police office will result in response by uniformed police officers, if the problem is a criminal violation of the nuisance party or noise ordinances.

 

Q:     Why aren’t tenants held responsible?

A:      Tenants are responsible if a criminal citation is issued, but ultimately the condition of the property and the activities of the tenants must be closely monitored by the property owner.  Property owners are expected to write clear expectations of tenant behavior relative to neighbors into leases, and take action to encourage tenants to comply with these expectations or seek evictions of problem tenants.  The PROP ordinance allows the Inspections Director to apply the ordinance reasonably and to grant extra time to comply or waivers of ordinance requirements to those property owners who are taking every possible measure to deal with problem tenants.

 

Q:     How will we know if this program works?

A:      When the City Council approved the ordinance, they called for a substantial review of its effectiveness one year and two years from the effective date of the ordinance.  At this point, citizens who participated in the development of the program, those who have been affected by it and City staff will provide input and develop recommendations for adjustments to the ordinance.

 

Q:     What other measures are being taken to address problem rental properties?

A:      The City Council considered the recommendations of the Neighborhood Preservation Task Force, a group of citizens whose charge was to create an overarching set of actions to address this issue.  A substantial education program is part of this strategy, to allow tenants and landlords to understand their legal responsibilities.  The City has partnered with industry organizations and with colleges and universities to distribute this information.   The City Council has authorized 4 new positions in the Inspections Department to help make the PROP system more effective and has raised fees and fines associated with violations.  A new Landlord Training Program has been developed by the Police Department, and the City Council is looking at its homeownership encouragement strategies to consider strengthening them.


 [etm1]Must the landlord then immediately evict the tenant?  Is this an automatic right to eviction or must this be set forth in the lease (it seems to me that you cannot do what you're not permitted to do legally - it would make the lease illegal...).  The same issue arises if the landlord is "shut-down" entirely - how does the eviction process work for all their tenants?

 [etm2]By "subject to a PROP" it should be clarified if that means already under a PROP (ie: any other property owned by the same person where there has been a problem and is now in the program also) or could possibly be affected by a PROP (ie: any rental proeprty owned).  My understanding is it is the latter.

See flow of PROP process: