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9/21/2021 - ITEM 10 - CONSIDERATION OF REQUEST FROM COUNCILWOMAN DIAZ REGARDING ESTABLISHING A RENTAL HOUSING INSPECTION PROGRAM IN THE CITY OF WEST COVINAAGENDA ITEM NO. 10 AGENDA STAFF REPORT City of West Covina I Office of the City Manager DATE: September 21, 2021 TO: Mayor and City Council FROM: David Carmany City Manager SUBJECT: CONSIDERATION OF REQUEST FROM COUNCILWOMAN DIAZ REGARDING ESTABLISHING A RENTAL HOUSING INSPECTION PROGRAM IN THE CITY OF WEST COVINA. 11=91 u7�I31IM"I 1� lfl"Z► It is recommended that the City Council review, discuss, and direct staff to prepare a staff report regarding an amendment to the City's Municipal Code, an amendment to the City's fee resolution, a resolution establishing rules and procedures, and a budget amendment to implement a Rental Housing Inspection Program BACKGROUND: The purpose of a Rental Housing Inspection Program is to identify blighted, deteriorated, and substandard rental housing stock, and to ensure the rehabilitation or elimination of housing that does not meet minimum Municipal and/or State Building/ Housing Code standards. This type of program is intended to ensure the health, safety and welfare of residents, thus enhancing the quality of life for individuals living in rental units, stabilizing neighborhoods against deterioration, and maintaining/enhancing property values. Numerous cities throughout the State of California, including the City of Covina, have implemented rental housing inspection programs in order to arrest the blighting influence of aging and substandard rental properties. The benefits of a rental residential inspection program can include: • Maintaining, and in many cases, improving the quality of the multi -family rental housing stock in the City, and the quality -of -life for its residents. • Combating overcrowding resulting from illegal construction activities, which results in the creation of illegal and unsafe rental units. • Reducing the impacts of overflow parking where illegal conversions exist. • Identifying residential building deterioration throughout West Covina, maintaining, and in some cases improving property values and investment potential. • Providing a tool to better regulate/enforce illegal garage conversions and additions. • Assuring that West Covina's aging rental inventory is maintained over time. The State Legislature has found and declared that there is a statewide shortage of affordable housing, exacerbated by the presence of substandard dwelling units. The State Department of Housing and Community Development have estimated that one in every eight dwelling units (13%) statewide are substandard and fails to meet minimum housing code requirements. The effects of even one single substandard unit, the Legislature has declared, can lead to the deterioration of an entire neighborhood. (California Health and Safety Code Section 17998). Anecdotal data shows that when a rental property reaches a certain age, it has reached the end of its useful life unless the property is consistently maintained. Field observations and experience from the City's Building Inspectors indicates that a significant percentage of rental units (single and multi -family) are not currently in compliance with local, state and federal housing standards that ensure safe and decent housing for all residents. Enforcement efforts to bring individual units up to standard are often met with resistance and are frequently characterized by tenant/landlord disputes. Current procedures rely largely on tenant or neighborhood complaints as a means for identifying non -compliant units. DISCUSSION: Per the City Council Standing Rules, Councilwoman Diaz is seeking the City Council's consensus to instruct staff to look into establishing a City of West Covina Rental Inspection Program. The program could require property owners to register any rental property(s) with the City and an annual inspection. Prepared by: Paulina Morales, Assistant City Manager CITY Enhance the City Image and Effectiveness COUNCIL Protect Public Safety GOALS & OBJECTIVES: