HomeMy WebLinkAboutCC Resolution 14243 (Residential Building Resale Policies)RESOLUTION NO. 14243
RESOLUTION OF THE SAN RAFAEL CITY COUNCIL ADOPTING POLICIES,
PRACITCES AND PROCEDURES FOR ADMINISTERING AND ENFORCING THE
RESIDENTIAL BUILDING RECORD PROGRAM ("RBR PROGRAM") SET FORTH IN
SAN RAFAEL MUNICIPAL CODE TITLE 12 (BUILDING REGULATIONS), CHAPTER
12.36 (REPORT OF RESIDENTIAL BUILDING RECORD)
WHEREAS, in 1973, the San Rafael City Council adopted Ordinance 1128 adding
Chapter 12.36 (Report of Residential Building Record) to Title 12 (Building Regulations) of the
San Rafael Municipal Code (SRMC) establishing a program (referred to as the "RBR Program")
requiring that, upon the resale of any residential property within the City, the seller shall obtain
from the City a report of the City permit records and City inspection of the property. The report
provides an added level of disclosure to the purchaser of the property; and
WHEREAS, throughout the subsequent years following adoption of Ordinance 1128, the
City has administered the RBR Program employing various levels of inspection and reporting.
Further, throughout the years, the laws regulating and the practices employed in residential
property sales have changed significantly to protect the consumer (purchaser of property).
Today, nearly all residential property resale transactions in Marin County include a privately -
commissioned Contractor's Inspection Report, which address basic health and life -safety; and
WHEREAS, in March 2016, the California State Auditor's Office completed and
published a performance audit report on the City's RBR Program, which report also assessed
similar residential resale programs in the City of Pasadena and the City of Novato. The
performance audit report recommended that the City of San Rafael amend the RBR Program to
incorporate additional processes and procedures to improve and formalize program
administration, inspection and reporting; and
WHEREAS, on November 7, 2016, the City Council reviewed a report of the
Community Development Department presenting five program options and a staff
recommendation to retain the RBR Program with significant improvements. As part of this
review, the City Council considered the oral and written public testimony, ultimately accepting
the agenda report. The City Council directed staff to proceed with preparing: a) amendments to
SRMC Chapter 12.36 to reflect the staff recommendation to retain the RBR Program with
improvements; b) a resolution outlining the recommended policy, practices and procedures for
improving the program; and c) an amendments to the RBR Program fees; and
WHEREAS, on December 5, 2016, the City Council introduced for adoption Ordinance
No. 1945 amending San Rafael Municipal Code Title 12 by adopting new Chapter 12.36 (Report
of Residential Building Record). It is anticipated that the City Council will adopt Ordinance No.
1945 on December 19, 2016. The provisions of this ordinance require that the RBR Program be
administered and enforced by the Community Development Department consistent with City
policies, practices and procedures adopted by resolution of the City Council; and
WHEREAS, on December 5, 2016, the City Council held a duly noticed public hearing
to consider the proposed RBR Program Policies, Practices and Procedures, and considered all oral
and written public testimony and the written report of the Community Development Department;
and
WHEREAS, in considering the municipal code amendments set forth in Ordinance No.
1945, the City Council acknowledged and concurred with the Community Development
Department's recommendation to monitor the administration and enforcement of the RBR
Program consistent with the RBR Program Policies, Practices and Procedures presented herein
for a period of six months following adoption of the ordinance;
NOW, THEREFORE, BE IT RESOLVED, that the City Council hereby adopts the
following RBR Program Policies, Practices and Procedures for administering and enforcing the
RBR Program:
A. SCOPE AND PURPOSE
The scope and purpose of the RBR Program Policies, Practices and Procedures is to
provide and ensure consistent administration, inspections and enforcement of the RBR
Program, and to address basic health and life safety by: eliminating redundancy with
privately -commissioned inspection reports; providing the City's property permit record;
identifying unpermitted alteration and/or construction, or City code violations; and
providing remedies.
B. PROCESS
The following processing steps shall be implemented by the Community Development
Department, Building Division:
1. A standard resale report template shall be maintained and updated when necessary
and shall address/include the following:
a. To eliminate redundancy or inconsistency with the privately -commissioned
Contractor's Inspection Report that is typically prepared during the sales
transaction, the resale report template will not include property inspection and
compliance with basic health and life safety conditions that are covered or
addressed in the privately -commissioned inspection report. Rather, the resale
report will focus on determining that the property is in conformance with the
City's permit record.
b. To streamline the process and minimize inconsistent messaging, the name,
position and contact information for a designated Building Division employee
shall be provided on the report template. This one designated employee shall
serve as the City "clearinghouse" and point of contact to the owner (seller) or
their representative (e.g., their real estate agent, contractor or design professional)
for all questions, inquiries or disputes regarding the resale report.
2. An application form for a resale report shall be made available at the Community
Development Department and on the City website. An application shall be
accompanied by the RBR application fee. An application can be filed by the owner
(seller) or their representative such as their real estate agent. It is encouraged that the
owner (seller) or their representative make an application for resale report early in the
sales process or prior to the property listing.
3. Upon receipt of an application, the Community Development Department staff shall
complete a research of the property permit records (Building and Planning Division
permits) and code enforcement cases on file with the City. The results of the records
search, along with other property information (e.g., property zoning, Assessor's
Parcel Number) shall be entered into the City's RBR report form/template for use by
the inspector.
N
4. Within seven (7) business days following the receipt date of the application, the
Community Development Department staff shall contact the owner (seller) or their
representative to schedule a date and time for City inspection.
5. During the property inspection, the City inspector shall:
a. Take photographs of the property improvements for the City records. To protect
the privacy of the property owner, the photographs shall be stored on a City
server that is not accessible to the public.
b. Focus the inspection on those items listed in RBR template form Sections A
(Residential Dwelling Units [observed] at the Time of Inspection), B (Violations
Requiring Routine Permits, Inspection and Approval) and C (Violations
Requiring Plans, Permits, Inspection and Approval). See "C" below and attached
EXHIBIT A for the "Resale Inspection Checklist."
c. Verbally report to/inform the owner (seller) or their representative of violations
or unpermitted improvements observed during the inspection that do not appear
to match with the property permit records.
6. Following the property inspection, the City inspector shall complete the resale report
by entering the findings of the inspection. For quality control, an internal staff review
of the report shall be completed to ensure that all information and findings are
complete and correct.
7. It is the City's goal to complete the resale report and make it available to the owner
(seller) and/or their representative within three (3) working days of the City
inspection.
If the owner (seller) or their representative should dispute the findings of the resale
report, they can file an appeal with the Community Development Director. All
appeals shall be filed in writing to the Community Development Department within
five (5) business days of the date of issuance of the resale report, and shall be
accompanied by an appeal fee. The Community Development Department shall
review and render a written determination on the appeal within 10 business days of
the filing date of the appeal. The written determination shall be in letter or
memorandum form, which shall be posted in the resale report file. In the event the
appeal action results a changes to the findings or information in the resale report, a
revised resale report shall be issued.
9. An executed copy of the receipt acknowledging that the buyer has received and
reviewed the resale report shall be returned to the Community Development
Department, Building Division. The Building Division shall monitor the return of
the executed receipts until this document is submitted to the City.
C. INSPECTION POLICIES AND PRACTICES
The following policies and practices shall be implemented by the Community
Development Department, Building Division to ensure consistent City inspection
practices, minimize redundancy with privately -commissioned inspection reports and to
provide some relief to the owner in connection with unpermitted improvements:
1. For all resale inspections, the City inspector shall utilize the "Inspection Checklist"
presented in attached EXHIBIT A. The Inspection Checklist identifies what the City
inspector will/will not be reviewing during the City inspection.
3
2. Recognizing that the housing stock in San Rafael is aging and that past City
inspection policies and practices have been inconsistent, the City has
broadened/expanded the list of unpermitted improvements that are considered
"grandfathered" and for which no retroactive permits will be required. This list
includes:
a. Kitchen and bathroom remodels over 25 year old
b. Decks under 30" in height constructed prior to 2005;
c. Replacement of kitchen countertops (over original cabinets);
d. Bathroom vanities and shower enclosures with no other upgrades; and
e. Expired permits for water heaters and furnaces provided that the RBR inspector
determines that they were installed correctly and to -code.
No retroactive permit will be required for the following, as a thorough City
inspection cannot be performed without deconstruction, or the scope of work is
unclear:
f. Roof replacements and new exterior siding replacement; and
g. Expired building permits where there was no final inspection and no plans to
confirm work.
The above unpermitted improvements will be documented and noted in the resale
report.
3. To promote consistency in inspection practices, the City shall strive to use a regular
or fixed -term employee to conduct the property inspections.
D. REMEDIES FOR VIOLATIONS & UNPERMITTED IMPROVEMENTS
To ensure that the report recipient is aware of and understands the available remedies for
resolving violations and unpermitted improvements, the Community Development
Department, Building Division shall implement the following:
1. The resale report template shall include an informational statement or handout
describing the follow-up steps, requirements (what to expect such as a formal City
Notice & Order to abate or correct the violation), remedies and timelines for
addressing violations and unpermitted improvements. This informational
statement/handout shall also offer that if the owner (seller or buyer) intends on
remodeling or pursuing home improvements that would replace the unpermitted
improvements, the owner can inform the City in -writing of their intent to do so,
which may negate the requirement for corrections or retroactive permits.
2. A standard notice detailing the violation(s) and recommended remedies shall be
mailed to the owner within 10 calendar days following availability and delivery of
the resale report to the owner.
3. For unpermitted improvements that have been identified, not less than 180 days will
be provided to the owner (seller or buyer) to correct, permit or abate before code
enforcement actions are initiated by the City.
4. For unpermitted improvements that have been identified and determined to have
existed prior to the current owner's [seller's] purchase of the property but had not
been disclosed/identified in previous City -issued resale report), not less than 365
days will be provided to the owner (seller or buyer) to correct, permit or abate before
any code enforcement actions are initiated by the City.
2
An amnesty program shall be established and implemented on a bi-annual basis
commencing in 2017. The amnesty program shall provide the opportunity for an
owner to file for and obtain retroactive permits for unpermitted improvements.
During the amnesty period, penalties will be waived; however, the property owner
will be required to pay for all regular building permit -related fees. An announcement
of the bi-annual amnesty program shall be noticed in the Marin Independent Journal
and posted on the City website and/or other City media sources. The Marin
Association of Realtors, the Marin Builder's Association and local
neighborhood/homeowner associations shall be provided notice of the amnesty
program.
E. NOTICE OF COMPLIANCE
In cases where no violations are noted in the resale report, or when the owner completes
all corrections or remedial actions to resolve violations or unpermitted improvements, the
Community Development Department Building Division shall issue a "Notice of
Compliance." The Notice of Compliance shall be issued to the owner and a copy shall be
stored in the City's property address/permit file. The intent of this notice is to establish
that the subject property and all structures or improvements on said property, have been
legally constructed, inspected and approved by the City and is in conformance with the
official permit records at the time of issuance. If illegal improvements which may have
been overlooked or concealed are later identified which predated the issuance of the
certificate, the City may provide written notice to the current owner detailing the matter,
and post a copy of that notice in the property record for the benefit of any future owners
of the property; however the City will not pursue any enforcement action to compel the
property owner to legalize or abate the illegal improvement.
F. FEES
As adopted by separate City Council resolution, the City of San Rafael Master Fee
Schedule includes an RBR application fee and an appeal fee for the owner or purchaser
that wishes to appeal the results and/or findings of the issued resale report. The following
fee policies shall apply:
1. The Community Development Department shall offer a refund of the application fee
where a "clean" resale report has been issued citing no violations or required
corrections.
2. The Community Development Department shall waive permit fees and penalties for a
violation(s) that existed prior to the current owner's (seller's) purchase of the
property, where the violation had not been disclosed or identified in previous resale
report. To obtain a waiver of fees and penalties, the owner is required make such a
request before a building permit application is filed with the Building Division. The
request must be accompanied by proof that the violation existed prior to their
purchase of the property.
G. PUBLIC EDUCATION
The Community Development Department shall make every effort to provide the public
with adequate, complete and up-to-date information on the RBR Program. To facilitate
this effort, the following shall be implemented:
1. Staff shall prepare, maintain and update as necessary, an informational handout
"How to Prepare for an RBR Inspection", which: a) explains the purpose and scope
of the resale report and inspection; b) provides a list of what the City inspectors
will/will not be looking for during an inspection ("The Checklist" referenced above);
c) notes what the owner or purchaser should look for in the privately -commissioned
5
inspection reports to address basic health and life/safety; and d) lists resources for
researching property permit history. The informational handout shall be posted and
maintained on the City website and hardcopies shall be made available at the
Community Development Department. The informational handout and any periodic
updates to the handout shall be distributed to the Marin Association of Realtors.
2. A "How to Prepare for an RBR Inspection" video shall be produced and posted on
the City website.
3. Staff shall expand, maintain and update (as necessary) a list of "Frequently Asked
Questions" (FAQ) about the RBR Program. The FAQs shall be posted and
maintained on the City website.
4. At the beginning of each calendar year, the Community Development Department
shall host a "Coffee and Codes" workshop providing an educational refresher on the
RBR Program. The Coffee and Codes shall be targeted for the real estate
professional, public (seller and buyer), as well as the design and construction trades.
H. SIX-MONTH PROGRESS REPORT AND REVIEW
Six months following the adoption of Ordinance No. 1945, the Community Development
Department shall prepare a progress report on the RBR Program. The progress report
shall be presented to the City Council for review.
BE IT FURTHER RESOLVED that any and all amendments to the RBR Program
Policies, Practices and Procedures as deemed necessary from time -to -time shall be adopted by
resolution of the City Council.
I, ESTHER C. BEIRNE, Clerk of the City of San Rafael, hereby certify that the foregoing
resolution was adopted at a regular meeting of the City Council on the Stn day of December 2016.
AYES: Councilmembers: Bushey, Colin, Gamblin, McCullough & Mayor Phillips
NOES: Councilmembers: None
ABSENT: Councilmembers: None
O&W
ESTHER C. BEIRNE, City Clerk
EXHIBIT A: "RESALE" INSPECTION CHECKLIST
CC Reso 14243adopted (RBR)
no
1
-+ z
C'rr W I T H A d'�Z
"Resale" Inspection Checklist
Exhibit A
The primary focus of the resale inspection is to ensure that all structures and improvements meet basic health
and life -safety standards as mandated through State codes.
The City inspection will identify any improvements that may have been constructed without benefit of City
permits, so as to ensure that they meet the basic health and life safety standards such as:
• proper foundations and structural framing to assure maximum survivability in an earthquake
• safe electrical installations to prevent fire or shock
• proper sanitary installations for public health
• proper gas installations to prevent fire or personal injury
• appropriate fire resistance
• proper exiting — such as in case of fire or disaster
• room sizes and minimum light and ventilation to assure a healthy environment
The City inspection will include the following improvements:
❑ Verification on the land use and number of dwelling units (e.g., inspecting for unpermitted/illegal 2nd
Dwelling Unit)
❑ Basement and/or Attic Conversions (conversion of storag e/crawlspace to habitable space)
❑ Garage Conversions (the minimum size of a garage cannot be diminished by any improvements per the
zoning ordinance — 2 car garage minimum 20 x 20; 1 car garage minimum 10 x 20; 2 car carport 18 x
19; 1 car carport 9 x 19)
❑ Addition(s) (Additional square footage added)
❑ Exterior Stairways / Deck(s) / Balconies constructed or reconstructed
❑ Outlets Added / Recessed Lighting / Circuits for Appliances Added (all electrical work requires
inspection)
❑ Plumbing fixtures added — water and sewer connections
❑ Kitchen Remodeled (New cabinetry constitutes remodeling)
❑ Bathroom Remodeled (Tub, Shower, Vanity — Vanity only typically not enforced)
❑ Hot Tubs/ Spas
❑ Wood Stoves/Fireplace Inserts New gas line? New electrical?
❑ Water Heater / Boiler Replaced
❑ Furnace / Heat Pump / AC / Wall Heater Replaced
❑ Carports / Patio Covers/ Trellis'/ Arbors/ Accessory Structures to ensure sound and safe
foundation/framing and that there is no fire exposure to neighboring properties
❑ Windows / Exterior doors added or replaced to ensure that the windows are tempered (safety glazing)
and that adequate fire exiting is provided for the safety of the residents