8.120.040   Exemptions.
   A.   Unless otherwise specified in this section, the following rental housing units shall be exempt from the requirements of this chapter:
      1.   Rental housing units that are subject to routine periodic inspections by another government agency, and the frequency and scope of the inspections are to the satisfaction of the director; or
      2.   Rental housing units that, within the past five years, have been newly constructed and either have been issued a certificate of occupancy or have passed final inspection by the city of Sacramento. For purposes of this chapter, a unit has been newly constructed if the city determines that fifty (50) percent or more of the building has been constructed or replaced within a one-year period. The determination of whether the construction or replacement is at least fifty (50) percent may be based on the linear length of all existing walls, square footage of the building, percentage of altered construction, actual construction valuation, or any combination of these factors.
   B.   A rental housing unit that is determined to be exempt pursuant to subsection A of this section, shall become subject to the requirements of this chapter if a notice and order relating to the rental housing property is issued pursuant to the provisions of this code.
   C.   Any rental housing unit subject to the requirements of this chapter pursuant to subsection B of this section, shall become exempt from the requirements of this chapter if all of the following circumstances exist:
      1.   After the last inspection conducted pursuant to this chapter, the inspector determines that either no violations exist on the property or the violations identified were abated within thirty (30) days; and
      2.   The property owner is not delinquent on any payment to the city of fees, penalties, taxes or any other monies related to the property. (Ord. 2013-0013 § 1; Ord. 2008-012 § 1)