Recording rentals could take years

BY KEVIN DUGGAN • KevinDuggan @coloradoan.com • February 25, 2009

Owners of rental properties with units that aren’t on the city’s books might be given more than two years to set the record straight.

Fort Collins City Council members said Tuesday they generally support a proposed program aimed at bringing unrecorded rental properties into compliance with city ordinances.

But they also questioned why so much time would be needed to deal with the issue.Mayor Pro Tem Kelly Ohlson said it’s highly unusual for the city to take three years "to start doing something."

"I think we’re being more than safe and more than generous," he said.

The issue revolves around single-family homes that were converted to rental properties with two or more units but have never identified as such.

Unrecorded properties have not been subject to building inspections that establish basic health and safety standards, said Jeff Scheick, executive director of planning, development and transportation.

Under the proposal, a property owner would have 24 months to voluntarily come forward and properly record the number of rental units. The property would be inspected for compliance with health and building codes as well as whether it fits in with zoning regulations.

The property owner would be required to make improvements to bring the rental units up to standards, Scheick said.

During the voluntary application period, a property owner would pay a $200 fee but would not be subject to unpaid taxes or development impact fees, which in some cases could add up to thousands of dollars.

City staff members also recommended six months of public outreach before the ordinance establishing the program would go in force.

U.S. Census data indicates the city has about 1,400 duplexes, said Felix Lee, director of neighborhood and building services. How many are not properly recorded is not clear.

Examples of problems with unrecorded rentals include water damage and a lack of egress windows in basement bedrooms de-signed to allow escape in case of a fire, he said.

During the amnesty period, complaints about safety issues would still be addressed, Lee said.

Since the problem dates backs decades, taking a few years to fix it seems reasonable, Mayor Doug Hutchinson said.

Property owners will come forward when they know what the rules are and they are well publicized, he said.

"I think that will help with the involvement and the compliance and getting things done," he said.

Members of the real estate community worked with city staff members in coming up with the proposed program.

Council member Ben Manvel, who owns an unrecorded duplex, did not participate in the discussion.