(a) Permit required. It shall be unlawful for an owner to rent, to receive rental income from, or to offer for rent any RRD required to be permitted under this part (1) without first obtaining a permit for the dwelling, or (2) when the permit issued under this part is revoked, suspended, or otherwise invalid. The owner of an RRD shall hold a permit under this part for each RRD and shall abide by the standards herein in order to be eligible to retain the permit. Each RRD is a separate dwelling for all purposes, including application, payment of fees, and permitting.
(b) Application.
(1) Every application for the rental occupancy permit prescribed herein shall be upon a form approved by, and filed with, the Code Enforcement Officer. Every application shall be made under oath and shall contain the information required to show that the owner is eligible for a permit under this chapter and sufficient information to enable the Development Services Department to determine that the standards of this chapter are being, or prior to occupancy will be, met at any RRD to be permitted.
(2) Within thirty (30) days of receipt of a complete application and a nonrefundable application fee of two hundred dollars ($200.00), the Code Enforcement Officer shall review each application and determine whether the application should be approved. The Code Enforcement Officer shall deny any application which does not satisfy the minimum requirements of this section and any application submitted by an owner during a period of permit revocation.
(3) Any approved applicant shall pay three hundred dollars ($300.00) for the first year of the permit at the time such permit is issued. The annual fee for subsequent years shall be five hundred dollars ($500.00). Such fee shall be due and payable when the permit issues with annual fees for subsequent years are due and payable annually.
(4) An application shall be accompanied by a notarized statement from a competent person agreeing to accept service of any violation notices or any order from the Town for violations at the RRD and an address, phone number, and facsimile or electronic mail address [to which] such correspondence shall be sent. Such address or other information may be updated by providing written notice to the Town, provided that if the person accepting service is changed, another notarized statement of acceptance must be supplied.
(5) The refusal of service by the service agent of a notice of violation or order, or a notice of violation or orders returned undelivered, shall be grounds to suspend or to revoke the permit. When a notice or order under this section is returned undelivered, the Code Enforcement Officer shall require the appointment of a process service agent in North Carolina as a condition for continuing to hold the permit. Failure by the owner to maintain a duly appointed service agent, or to appoint a service agent within ten (10) days of being so ordered, shall be grounds to revoke the rental occupancy permit.
(c) Duration of permit and termination.
(1) Any person required to obtain a rental occupancy permit must maintain licensure for a period of no less than two (2) years. If a violation of the Town Code occurs while permitted, the permit requirement is extended for the RRD covered by the permit for two (2) years following the date such violation is remedied as determined by the Town.
(2) To be released from the requirement for a rental occupancy permit, the owner must have had no violation of any of the Code provisions for the two-year period immediately prior to expiration of the permit and the dwelling must be approved as compliant with the Code in a final inspection. Final inspections will be conducted only upon the request of the owner. If the owner fails to request an inspection within ninety (90) days after the date the permit requirement was due to expire, the Code Enforcement Officer, after written notice to the owner and tenant, may inspect the permitted dwelling for compliance with Town Code provisions, but is not required to do so.
(d) Public access. The Inspections Department shall maintain a list of all dwellings and dwelling units which are RRDs and subject to the permit requirements of this chapter for public inspection. The Inspections Department shall update this list of RRDs at least once every quarter.
(e) Subsequent owners responsible for maintenance and compliance with such permit. If the new owner of the dwelling unit is a bona fide new owner, they may request that the Code Enforcement Officer remove the requirement that the dwelling have a rental occupancy permit, and:
(1) Have paid all outstanding fees and civil penalties for the dwelling;
(2) Have no violations or pending violations of this chapter issued to the new owner; and
(3) Obtain from the Code Enforcement Officer a determination that the dwelling complies with the Code.
(Ord. No. 08-04-07-001, § 4, 4-7-08; Ord. No. 14-02-19-002, § 3, 2-19-14; Ord. No. 17-02-06-002, § 1, 2-6-17; Ord. No. 24-11-20-001, 11-20-24)