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7.2. SR 07-05-2016 E04y1� ,.,�� Request for Action River To Item Number Mayor and City Council 7.2 Agenda Section Meeting Date Prepared by Public Hearin� 1july5, 2016 T. ohn Cunningham, Fire Chief Item Description Reviewed by Ordinance Amendment for 2016 Master Fee Zack Carlton,Planning Manager Schedule to Update Park Dedication Fees and Reviewed by Rental Dwelling License Fees Cal Portner, City Administrator Action Requested Adopt,by motion, an ordinance amending the 2016 Master Fee Schedule. Background/Discussion The following changes are proposed to the 2016 Master Fee Schedule. Park Dedication A cash donation in lieu of land dedication is permitted in state statute, and Sec. 30-327 of the Elk River City Code describes how the cash donation rates are calculated. Staff recommends the following changes to the fee schedule,in accordance with the proposed ordinance amendment update to Sec. 30-327. ■ Residential o Low Density (<4 DU/ acre) $1,425.93/dwelling unit o Medium Density (4 to <7 DU/ acre) $1,075.79/dwelling unit o High Density (>7 DU/ acre) $4,897.04/dwelling unit ■ Commercial 8% of county assessed value ■ Industrial 6% of county assessed value Rental Dwellings —Fire Department On June 6, 2016, the Council approved an updated ordinance pertaining to the licensing and inspections of rental dwellings in the city. Per the revised ordinance, the city's adopted fee schedule needs to be updated to reflect the changes in the ordinance. No changes are proposed to the annual licensing fee for single ($65) and multi-unit buildings ($65 plus $16 per unit). Single Family Conversion - $300 The conversion fee will apply to new single-family homes that are being converted from owner-occupied to renter-occupied. To encourage and promote crime-free housing and educate new landlords on rental laws and processes, the fee will be discounted to $150. Other cities charge between $375 (Mounds View) to $1,000 (Minneapolis). Re-Inspection - $100 An initial inspection and one re-inspection is included in the annual license application fee. If violations remain;inspections are necessitated by a valid complaint; or subsequent re-inspections are necessitated as a result of a previous unsatisfactory inspection, a re-inspection fee of$100 will be charged. Other cities charge between $100 (Coon Rapids) to $300 (Fridley). POWERED 6T Template Updoted 4/14 INAWRE1 The city does have a process in place in which owners/agents can request a time extension prior to the deadline to correct/abate a violation. Re-instatement- $1,500 In the event the Council takes action to suspend,revoke, deny, or not renew a license, a reinstatement fee of$1,500 will apply if the owner applies for a new rental license once the timeframe of Council action has passed. Financial Impact The proposed changes to the park dedication cash dedication rate will result in an overall decrease in the total amount of money collected. The goal of this update is to be in compliance with state statute; and reviews by the City Attorney and others show that this goal has been met. Attachments ■ Master Fee Schedule Ordinance Amendment N:APublic Bodies\Agenda Packets\07-05-2016\Final\x7.2 sr Master Fee Schedule.docx �jStfikethfoughs to be removed Underlines to be added City of Elk -�-� River Ordinance 16 - An Ordinance Amending the 2016 Master Fee Schedule to Update the Park Dedication Fee and Rental Dwelling License Fees, of the City of Elk River, Minnesota, City Code The City Council of the City of Elk River does hereby ordain as follows: SECTION 1. That the 2016 Master Fee Schedule, of the City of Elk River Code of Ordinances shall be amended to add or change the following fees: Park Dedication ■ Residential o Low Density (<4 DU/ acre) $1,425.93/dwelling unit o Medium Density (4 to <7 DU/ acre) $1,075.79/dwelling unit o High Density (>7 DU/ acre) $4,897.04/dwelling unit ■ Commercial 8% of county assessed value ■ Industrial 6% of county assessed value Rental Dwelling License ■ Eliminate "double fee applies if rental takes place before license is issued. Effective date for this fee begins July 9, 2093" ■ Single Family: $65 per dwelling ■ Multi-Unit: $65 per dwelling + $16 per individual unit ■ Single Family Conversion: $300 ($150 if owner attends city-approved rental property management training program) ■ Re-inspection Fee: $100 ■ Re-instatement Fee: $1,500 SECTION 2. That this ordinance shall take effect upon adoption and be published as provided by law. Passed and adopted by the City Council of the City of Elk River this 5th day of July, 2016. John J. Dietz,Mayor ATTEST: Tina Allard, City Clerk URE Last Updated il7asch 2014 INATJ