ORDINANCE NO. 1885
AN ORDINANCE to regulate the rental of residential premises by licensing and periodic inspection of leased premises and other means; to establish certain exceptions to such regulations; to authorize enforcement thereof by a specific city official; and to provide for certain fines, penalties and late fees for noncompliance with those regulations
WHEREAS, the Council of the City of Salisbury hereby finds that:
(A) A substantial and increasing number of Salisbury’s citizens reside in rented premises;
(B) The physical condition of rented residential premises and the use and occupancy thereof affects the quality of life in residential neighborhoods and the value of property generally and homes in single-family neighborhoods in particular;
(C) Regulation by means of licensing of rented residential premises and periodic inspection thereof to monitor and assure compliance with applicable code requirements will protect the health, safety and welfare of both the occupants thereof as well as the public at large;
(D) Such regulation and the payment by landlords of a periodic licensing charge (“fee”) to fund the administration thereof is both reasonable and commonplace else where in Maryland and the United States;
(E) The City of Salisbury is currently and will continue to be unable to regulate the rental of residential premises and their use and occupancy adequately to protect the public interest unless additional funds are expended for that purpose;
(F) It is appropriate to obtain some or all of the requisite funds for such regulation by imposing a license fee upon landlords of rented residential premises;
(G) It is appropriate to exempt from such regulation the rental of certain owner-occupied premises and rental of premises for limited time periods because of the minimal impact of such rental on the public interest;
NOW, THEREFORE, it is ordained by the Council of the City of Salisbury that the Salisbury City Code be amended by adding a new Chapter 15.26, stating as follows:
Chapter 15.26
RENTAL OF RESIDENTIAL PREMISES
15.26.010 Scope & Effective Date.
Beginning on January 1, 2004 (the “effective date”) this Chapter applies to the rental of any premises for residential purposes, except for:
A. Rental of premises that are being sold pursuant to a written contract of sale:
1. By the seller to the buyer during a period of 3 months prior to the settlement date specified in the contract to 1 month after such date.
2. By the buyer to the seller during a period of 3 months after the actual settlement date.
B. Rental of premises that are the primary residence of the record owners of either (I) the entire life estate interest, if any, or (ii) at least 50% of the fee simple interest in the title to the premises, provided that not more than two unrelated persons, not including any provider of health care or assisted living services, resides therein. For the purpose of this exception the premises shall include each dwelling unit, if more than one, on a single parcel of property and any other part thereof that is occupied by the record owners of the property.
C. Rental of premises for a term of up to two months (or terms that total two months) during any 12 month period, unless any lease is for a initial or extended term of more than 2 months, including the portion(s) not within the 12 month period.
Provided, however, that the City may require submission of documents or other evidence to establish any of these exceptions.
15.26.020 Definitions.
As used in this Chapter the following definitions shall apply:
Rental means leasing or allowing occupancy or usage of premises, either directly or by an agent, in consideration of value, including personal services, paid or tendered to or for the use or benefit of the lessor.
Premises means any property, regardless of how it is classified or defined for zoning or any other purpose. Unless the context clearly requires otherwise, the term “premises” refers to a separate dwelling unit.
Dwelling Unit means a separately leased structure or portion thereof.
15.26.030 Licensure Requirement.
A. It shall be unlawful to engage in rental that is subject to this chapter as an owner or landlord of premises or as an agent unless the City has issued, and there remains in force, a current license to rent those premises, provided, however, that premises for which an application for such license has been submitted to the City, together with the requisite license fee, may be rented unless and until (I) the application has been denied or (ii) the current period of the license applied for has expired and another application for the next license period has not been submitted to the City together with the requisite license fee.
B. Rental of premises annexed into the City shall be exempt from this section until one (1) month after the effective date of annexation.
C. Rental as an owner or landlord in violation of this section shall be a separate municipal infraction for each day the particular premises are rented, regardless of whether or when the premises were occupied, enforceable by the Director of the Department of Building, Housing and Zoning pursuant to Article 23A of the Maryland Code and subject to fine up to the maximum amount provided therein and in such minimum amount as may be specified by resolution of the City Council.
D. If such violation is willful, it shall be a punishable as a misdemeanor, subject to fine of up to $1,000 and imprisonment for up to 6 months or such other penalty as may be authorized by Article 23A of the Maryland Code .
E. Neither violation of this section nor the sanctions or penalties for such violation shall affect landlord’s obligations to the tenant or allow landlord to evict the tenant.
F. The City may elect not to seek sanctions for violation of this section if the Director of the Department of Building, Housing and Zoning determines that the violation is inadvertent or unintentional, except for a late fee which shall be payable in the sum of $25 for each calendar week or portion thereof during which the premises are related in violation of this section, which shall be payable upon submission of an application for license.
15.26.040 License.
A. A license shall be issued for a particular dwelling unit and for a current period of two years. For premises that were rented on the effective date that period shall commence on that date or, if later, the date when the application was filed with the City. All other license periods shall commence upon the date when the application for such period was filed with the City of, if later, the expiration date of the preceding license for the premises.
B. A license shall not be terminated or cancelled as a result of the transfer of ownership of the premises, provided that the transferee’s name and address is furnished to the City within ten (10) days after the transfer occurs.
15.26.050 License Renewal.
Licenses issued hereunder shall expire two (2) years from the date of issuance or until the ownership of the property transfers. The application for renewal shall be made at least sixty (60) days prior to the expiration date.
15.26.060 Requirements for License.
In order to obtain a license the following shall be submitted to the City:
A. A completed application on the form specified by the City when it is filed;
B. The license fee specified by the City when the application is filed;
C. Such information or documentation as the City may reasonably request to determine that the data and details stated on the application are correct; and
D. If no record owner of the premises is domiciled of Wicomico County or within the toll-free telephone calling area of Salisbury, Maryland, its owner(s) must have a designated agent for service of notice and process by the City who is a permanent resident of Wicomico County or within the toll-free telephone calling area of Salisbury, Maryland or maintains a regular place of business therein and has filed with the City an acceptance of such agency on a form specified by the City. If such agent shall resign, fail to be qualified to serve as the agent or cease to serve in that capacity, then the record owner(s) shall designate another person as the agent, who shall file his/her acceptance of such agency within thirty (30) days thereafter. Such agent must be a person (not a corporation or other entity).
15.26.070 Criteria and Consequences Of Licensure.
A. Licensure of premises is conditioned upon, and shall require, compliance with applicable codes and regulations pertaining to the premises or their use and occupancy, including zoning, building and property maintenance codes and regulations thereunder. The City may, but is not required to rely upon statements about such compliance made under oath by the owner of the premises or the owner’s agents, employees or contractors and such material or information as they may furnish, and the City may require the submission of additional information and material, including but not limited to the name of any tenant(s) or other occupant(s) of the premises and a copy of past or current leases thereof..
B. In the event of noncompliance with codes and regulations, the City will allow for the owner’s reasonable and prompt response and remediation before it denies or revokes a license, provided, however, that any matter that affects the life-safety of occupants of the premises must be abated with all deliberate speed.
C. No approval or other licensure action by the City shall be deemed as evidence that the premises comply with any code or regulatory requirement or binding upon the City, nor shall the City have any liability for or as a result of its licensure actions.
15.26.080 Display of License.
Licenses issued under this Chapter shall be displayed within the dwelling.
15.26.090 Periodic Inspection Of Premises.
A. In addition to any other inspections, the City shall perform periodic comprehensive inspections of licensed premises to assure compliance with applicable codes and regulations. Such periodic inspection shall be made after reasonable notice thereof has been furnished to the owner and occupants of the unit, which may be given by mail or by affixing the notice to the premises in a conspicuous location. However, that a scheduled inspection may be postponed for an additional period of up to six months, if requested by the owner, to allow for inspection when vacant. If the City’s inspector shall be denied access to the premises or any part thereof that is appropriate for such inspection, the inspector may obtain an administrative search warrant for such access, in accordance with law [e.g., Camera v. Municipal Court, 387 U.S. 523 (1967)].
B. In the R-5, R-8 and R-10 and all PRD zoning districts the City will perform periodic comprehensive inspection of all licensed premises initially within three years after effective date of this chapter and subsequently within three years after the last inspection, provided, however, that a scheduled inspection may be postponed for an additional period of up to six months, if requested by the owner, to allow for inspection when vacant. In all other districts, the initial and subsequent inspections shall be performed within 5 years after the effective date of this chapter and, thereafter, within 5 years after the most recent inspection. The City shall endeavor to perform the initial inspection as soon as possible.
C. Newly constructed premises shall be exempt from periodic inspection for a period of five years after issuance of an occupancy permit for the dwelling unit, but may be inspected during that period if requested by its owner, provided, however, that such exemption shall cease in the event of violation of any applicable life-safety provision or requirement of code or regulation.
D. In performing such periodic inspection, the inspector shall not open cabinets, dressers, boxes or other containers on the premises and shall not enter or examine closets except as may be necessary to conduct the inspection. No property may be removed from the premises by the inspector.
15.26.100 Property Owner Tenant Relation Commission.
The City Council may create a Landlord Tenant Commission or assign responsibilities to the Housing Board of Adjustments and Appeals to address issues relating to common interest of property owners and tenants. A Commission, if created, shall be appointed by the Mayor, with the advice and consent of the City Council. By a separate Resolution, the City Council shall set forth the authority, rules of procedure and the number of members and term of office.
15.26.110 Cost of Administration; Designation of Receipts; Review.
A. The City will budget the cost of administration of this Chapter as follows:
1. By a license fee, payable with the application for each 2-year license, which is intended to cover the basic cost including periodic comprehensive inspection of premises – such fee shall be $50 or such other amount specified by resolution of City Council.
2. By additional fees to cover the cost of additional or special inspections, which shall be at rates set by resolution of City Council.
3. By fines for municipal infractions and administrative penalties to cover the cost of addressing violations.
B. Fees, fines and any other sums paid to the City pursuant to this Chapter shall be a separate fund used and expended only for the administration of this Chapter and for a ratable portion of general overhead and capital costs of such administration, and any unallocated surplus remaining in that fund at the end of a fiscal year shall be allocated as a reserve for such usage in the next fiscal year. In establishing the annual budget, Council shall consider whether in light of such reserve, if any, that may have accrued the fees established in this Chapter should be changed to avoid the increase and/or continuation of such surplus.
15.26.120 Administrative Search Warrant.
A. An inspector authorized by the City to inspect any premises may apply to a judge of the District Court of Maryland or the Wicomico County Circuit Court for an administrative search warrant to enter and inspect such premises for the purpose for which he or she is authorized. The application shall be in writing, signed and sworn to by the inspector, and it shall state or identify (I) the premises to be inspected by street address and general description, (ii) the nature, scope and purpose of the inspection, and (iii) one or more dates and approximate times when he or she proposes to conduct the inspection. In addition, the application shall specify the statutory authority for such inspection and the effort of the inspector (or others) to schedule or conduct the inspection and/or to locate the owner(s), tenant(s) or other person(s) in charge of the premises and any other grounds for issuance of the search warrant.
B. A judge of a court referred to above may issue the search warrant upon finding that: (I) the inspector is authorized to make the inspection, (ii) a reasonable effort has been made to obtain access to the premises to make the inspection, (iii) the owner(s), tenant(s) or other person(s) in charge of the property have denied or otherwise failed or refused to furnish access to the premises at a reasonable time or for a reasonable period to conduct the inspection, or the inspector (or others) have been unable to locate any such person(s) after making a reasonable effort to do so, and (iv) if conducted in a reasonable manner, the inspection will not intrude unnecessarily on the privacy of such persons.
C. In the case of periodic comprehensive inspection pursuant to this chapter, the warrant may be issued regardless of whether the inspector (or others) have knowledge or notice of any violation of applicable codes or regulations or there is probable cause to believe that such violation exists or may exist.
D. An administrative search warrant issued under this section shall be executed and returned to the issuing judge or, in his or her absence, to the Clerk of the issuing court within (I) the time specified in the warrant, not to exceed 30 days, or (ii) if no time is specified therein, 15 days from its date of issuance.
E. This section shall not preclude or affect the power to make prompt inspection without a warrant in emergency situations.
[This section is based on Camera v Municipal Court, 387 U.S. 523, 534-540 (1967) and provisions about administrative search warrants in the Maryland Code.]
15.26.130 Landlord Liability For Certain Code Violations.
If a tenant is required to vacate premises or entitled to terminate a lease because of conditions at the premises that exist because of failure of the landlord or any owner of the premises to maintain or operate them in accordance with the City’s building, zoning or property maintenance codes and not because of unreasonable conduct by the tenant or his or her guests or invitees, then (in addition to any other liability) such landlord and, if different, the owner(s) of the premises at the time of such violation shall be jointly and severally liable to such tenant(s) for their reasonable cost to move from the premises to a point within 25 miles thereof (or such portion of the cost to move to a more distant point), including reasonable compensation for times spent packing as well as actual cash expenses, and reasonable costs to enforce such liability, including attorney’s fees and reasonable reimbursement to the City for time spent by any official or employee thereof in legal proceedings, such as deposition, trail and time spent in reasonable response to judicial summons. In the event of multiple leases of such premises, the tenant(s) under each such lease shall be entitled to separate relief under this section, and if a single lease shall limit one or more tenants’ occupancy to part of the premises, such tenant(s) shall be deemed to have a separate lease.
AND BE IT FURTHER ENACTED AND ORDAINED BY THE COUNCIL OF THE CITY OF SALISBURY, MARYLAND, that this Ordinance shall take effect from and after the date of its final passage.
THIS ORDINANCE was introduced and read at a meeting of the Council of the City of Salisbury held on the 13th day of October, 2003, and having been published as required by law, in the meantime, was finally passed by the Council on the _____ day of _____________, 2003.
_________________________ _________________________
Brenda J. Colegrove Lavonzella Siggers,
City Clerk President of the Council
City of Salisbury
Approved by me, this ________
day of , 2003
__________________________
Barrie P. Tilghman,
Mayor of the City of Salisbury