HomeMy WebLinkAboutCDN 2018-10-23 Item 2C - Resolution - 2018-2020 Rental Housing FeesCity of Tukwila
Allan Ekberg, Mayor
INFORMATIONAL MEMORANDUM
TO: Community Development and Neighborhoods Committee
FROM: Jack Pace, DCD Director
BY: Kia Shagena, Code Enforcement Officer
CC: Mayor Ekberg
DATE: October 11, 2018
SUBJECT: Updated Rental Housing Licensing Fees
ISSUE
Should Tukwila increase its rental housing licensing fees and inspection rate to adjust for
inflation in staff costs?
BACKGROUND
Salaries for represented employees will likely increase in 2019 and 2020 by 90% of the CPI-W
(June 2017-2018). The CPI-W for that period is 3.6% and benefit costs have increased by an
even higher percentage.
DISCUSSION
As of October 4, 2018, The Rental Housing Program has 3962 registered rental units, 1482 of
those units have passed inspections in 2018, and 91% of all registered units have up to date
passing inspections. Nearly 400 units have been added to the Rental Housing Program in
2018. With an increase in units there is increased demand on staff.
Staff has found monthly late fees for overdue license renewals to be an effective tool. Currently,
there is a flat $20 per unit late inspection fee for all inspections that are past due. Staff has
found that a flat fee for late inspections does not create a sense of urgency in property owners
to have their units inspected once they are already late. Staff proposes to replace the flat fee
with a monthly late fee per unit for overdue inspections.
Residential Rental Business License fees for single family homes and all licenses with four or
fewer units will remain unchanged for 2019 and will increase by five dollars in 2020.
FINANCIAL IMPACT
The proposed fee increases will keep pace with the City's costs to provide these necessary
services.
RECOMMENDATION
The Council is being asked to approve the revised resolution and consider this item at the
November 5th Regular Meeting consent agenda.
ATTACHMENTS
Draft Residential Rental Licensing Fee Resolution.
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, ADOPTING A RESIDENTIAL
RENTAL BUSINESS LICENSE AND INSPECTION PROGRAM
FEE SCHEDULE; AND REPEALING RESOLUTION NO. 1895.
WHEREAS, the City has adopted a Residential Rental Business License and
Inspection Program, pursuant to Tukwila Municipal Code Chapter 5.06; and
WHEREAS, the program has significantly improved the condition of the City's
rental housing stock over the past eight years; and
WHEREAS, the City is authorized to impose fees for services rendered; and
WHEREAS, the fees for this program are intended to offset most of the cost of
providing this service; and
WHEREAS, the costs to administer the program have increased since the last
fee review in 2016; and
WHEREAS, the cost to administer the licensing program increases in proportion
to the number of units per site;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. Residential Rental Business License and Inspection Program
fees will be charged according to the following schedule:
RESIDENTIAL RENTAL BUSINESS LICENSE AND INSPECTION FEES
DESCRIPTION
2018
LICENSE
2019
LICENSE
2020
LICENSE
Annual Residential Rental Business License:
Property with one, two, three or four units
$ 70.00
$ 70.00
$ 75.00
Property with 5 to 20 units
$185.00
$190.00
$195.00
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DESCRIPTION
2018
LICENSE
2019
LICENSE
2020
LICENSE
Property with 21 to 50 units
$235.00
$240.00
$245.00
Property with 51 or more units
$285.00
$295.00
$305.00
License fees for units rented for the first time on or after July 1st of each year are
reduced by 50%.
Late fee per month if existing license is not
renewed before March 1
$ 10.00
$10.00
$10.00
Penalty fee if a new unit is leased before a
license and inspection is obtained
$ 50.00
$50.00
$50.00
Inspection fee per unit (City inspector)
$ 55.00
$ 55.00
$ 60.00
Re -inspection fee per unit (City inspector)
$ 55.00
$ 55.00
$ 60.00
Late fee per unit if Inspection Checklist is not
submitted by September 30 of the year it is due
$20.00
Late fee per unit, per month, if Inspection
$10.00
$10.00
Checklist is not submitted by September 30 of the
year it is due
Hearing Examiner appeal fee
$330.00
$340.00
$340.00
Section 2. Repealer. Resolution No. 1895 is hereby repealed, effective
December 1, 2018.
Section 3. Effective Date. This resolution and the fee schedule contained herein
shall be effective as of December 1, 2018.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at
a Regular Meeting thereof this day of , 2018.
ATTEST/AUTHENTICATED:
Christy O'Flaherty, MMC, City Clerk Verna Seal, Council President
APPROVED AS TO FORM BY:
Filed with the City Clerk:
Passed by the City Council:
Resolution Number:
Rachel B. Turpin, City Attorney
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