Rental Housing

Workgroup Update

May 12, 2020

Presenters

Don Litten, Building Code Official

Danielle Mitchell, Associate County Attorney

Slide 2

History of Rental Housing

Registration Consideration

➢ 2008 Rural Housing Improvement Initiative Task Force

Task force presented recommendations, to include registration

program. Commissioners elected to focus efforts on assisting with

improving housing conditions through Indoor Plumbing Program for

failing and nonexistent plumbing in residential units.

➢ 2011 Property Standards Task Force (PSTF)

The task force considered, but ultimately did not support,

recommending implementation of a licensing program, due to

concerns about costs, enforcement and added bureaucracy. Shortly

thereafter, the Commissioners adopted the International Property

Maintenance Code (IPMC), and the PSTF was tasked with monitoring

its ability to address concerns with rental properties.

*Community Services conducts Quality Standards Inspections as required for

Housing Choice Voucher Program. It does not inspect non-voucher residential

units.

Slide 3

Trends in Rental Housing Complaints ➢ Between 2012 through 2018, Codes Permits & Inspection

Services (CPIS) received an average of 15-20 complaints per

year for issues related to unsafe living conditions in tenant-

occupied residential units.

➢ Approximately 60 complaints related to unsafe living

conditions in tenant-occupied residential units received in

2019, a dramatic increase from previous years.

-24-30 cases were brought into compliance with the assistance

of CPIS. Remaining complaints could not be resolved by CPIS

with enforcement of IPMC.

➢ Examples of Complaints:-Electrical (electrical surges, dips in power, electrical shocks,

exposed wires)

-Plumbing (leaking water and/or waste pipes, broken water

and/or waste pipes, clogged drains and toilet)

-Homes with additional makeshift bedrooms (e.g. three

bedroom converted to five or six bedrooms without proper egress)

-Missing smoke and carbon monoxide alarms.

Slide 4

Challenges to Enforcement➢ IPMC ineffective for rental housing enforcement.

IPMC is appropriate for property standards concerning yards, trash

and debris with occupied and vacant properties. Deteriorating

components of the structure sometimes do not have an enforcement

mechanism, as many are not explicit violations of the IPMC.

➢ Enforcement is cumbersome.

Initial violation letters provide 14 to 30 days to bring property into

compliance. 2nd notice sent if no response to 1st notice, providing

additional 14 days. If property remains in violation, legal process

initiated. At least 60 days from the time we refer to County Attorney

before court date. Judge often provides additional 30-60 days to bring

into compliance. Total 5-6 months to bring property with uncooperative

landlord into compliance.

➢ Enforcement is a passive process.

Process is complaint-driven. Problems with some rental housing

persists due to the absence of formal complaints, despite harmful

conditions that are threat to human habitation.

Local Licensing Programs –Town of La Plata and Town of Indian Head

➢ Adopted Chapters in their codes for “Rental for Human Habitation”

that mandates rental licensing and regulation of all rental

dwellings.

-Bi-annual rental inspections are conducted to ensure compliance

with the Town Code Housing Standards and adopted IPMC

-Bi-annual license fee

-Per day fines for non-compliance

-Approx. 400 licensed residential properties in Indian Head

-Approx. 800 licensed residential properties in La Plata

-Code provides Town official ability to issue Show Cause

Orders and revoke rental license if dwelling unit subject to 3 or

more responses by law enforcement in 60-day period

Licensing Programs –

Other Maryland Jurisdictions

➢ 7 Maryland counties have countywide licensing requirements. An additional 6

counties contain municipalities with licensing requirements without countywide

regulations. The following jurisdictions require a rental housing license:

Anne Arundel County – 2 or more units Montgomery County

Baltimore County Prince George’s County

Baltimore City Talbot County – short term rentals only

Caroline County – Denton only Washington County – Hagerstown only

Carroll County – Westminster only Wicomico County – Salisbury only

Dorchester County – Cambridge only Worcester County

Garrett County – short term rentals only *Charles County – La Plata and Indian Head

Howard County

➢ No Rental Licensing Program in Alleghany, Calvert, Cecil, Frederick,

Harford, Kent, Queen Anne’s, St. Mary’s, or Somerset

Benefits of Rental Licensing Program

➢ Develop comprehensive rental housing database using registration

information that may be used to assist citizens in identifying housing

opportunities.

➢ Registration provides needed groundwork for other kinds of rental housing

regulations should they be pursued by the Commissioners in the future

(e.g. rent stabilization, affordable housing initiatives, etc.)

➢ Proactively identify blighted, deteriorated and substandard rental housing

stock and ensure the rehabilitation or elimination of such housing that does

not meet minimum standards.

➢ Once identified through registration, the County can communicate with

property owners to ensure they fully understand their obligations under

applicable code provisions when renting a residential unit.

➢ Government oversight to address life, health and safety issues and prevent

deferred or inadequate maintenance.

➢ Added protections for our more vulnerable residents.

Process for Rental Licensing Program

Implementation

➢ Pursue enabling legislation by the General Assembly to authorize

licensing fee.

➢ Adopt local law for rental housing licensing program.

➢ Update current local law to reflect PGM-CPIS rather than DCS-

Housing as contact agency for housing standards complaints.

➢ Consider options for administration and enforcement of program:

1. Hiring additional CCG staff:

Estimated need for 1 supervisor, 4 inspectors, 1

administrative support and additional attorney/support staff

from CAO.

OR

2. Contracting with third-party vendor

Challenges to Rental Licensing Program

Implementation➢ Funding the Program/Fees for Services:

• Inspection

• Re-inspection

• License

• Penalties for noncompliance

*program may be self sustaining once all initial inspections completed,

and requisite fees paid

➢ Difficulties identifying legal “landlord” in areas like Nanjemoy,

where problems with clearing legal title have previously frustrated

government efforts to improve housing conditions .

➢ Phased-in process to complete inspections for all approx. 12,000-

15,000 rental units within Charles County Government’s

jurisdiction.

Slide 10

SummaryWhile many property owners maintain their properties consistent with

applicable regulations, others require proactive enforcement. Some property

owners do not reside in Charles County and have not delegated management

of their properties. The problem is further complicated by tenants who may be

lower income and fearful that complaining about substandard conditions may

increase their rent to offset cost of repairs to property owner, making it no

longer affordable, or result in the property being deemed uninhabitable and

their families being displaced.

A rental housing licensing program, with an inspection component, would be a

significant step to ensuring residents in Charles County who live in rental

properties have safe housing.

Next Steps➢ Develop fiscal analysis

➢ Draft and distribute targeted rental housing survey to community

stakeholders

➢ Hold one or more community listening sessions

Slide 11

Questions?

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