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§ 175.24 DEFINITIONS.
   The following terms, as used in this subchapter, shall have the meanings stated.
   APPLICANT. Any person making application for a license under this subchapter.
   APPLICATION. A form with blanks or spaces thereon, to be filled in and completely by the applicant as his or her request for a license, furnished by the city and uniformly required as a prerequisite to the consideration for the issuance of a license for the rental of residential property.
   CONTRACT FOR DEED. Means an executor contract for the conveyance of residential real property under which the seller provides financing for the purchase of the residential real property and under which the purchaser does or has a right to go into possession.
   DWELLING. A building, wholly or partly used or intended to be used for living, sleeping, purposes by human occupants; but not including rest homes, convalescent homes, nursing homes, hotels, motels, bed and breakfasts, and the like.
   DWELLING, DUPLEX/TWO-FAMILY. A building on one lot with one legal description and one owner, which has been divided into two separate dwelling units with two separate entrances, intended for occupancy by two separate families.
   DWELLING, MULTI-FAMILY. A building designed exclusively for occupancy by three or more families living independently of each other, with separate housekeeping and separate cooking facilities for each.
   DWELLING, SINGLE-FAMILY. A detached dwelling designed exclusively for occupancy by one family.
   DWELLING, TWIN HOME. A building containing two separate dwelling units with a shared or common wall; located on two separate lots with two separate legal descriptions and two separate (different) owners.
   DWELLING UNIT. A room or group of rooms within a dwelling, forming a single habitable unit.   
   EGRESS. An arrangement of exit facilities to assure safe means of exit from a building with specific dimensions as required by the city.
   FACILITIES. Licensed by the State of Minnesota as institutional occupancies or dormitories. May also be called a RESIDENCE, RESIDENTIAL FACILITY, or RESIDENTIAL BUILDING.
   FAMILY. An individual or two or more persons related by blood, marriage, adoption, and foster children.
   FAMILY (FUNCTIONAL). A collective group of unrelated persons residing in a single dwelling unit, limited to not more than two adult persons, together with their traditional family members of any age. (See also the definition for UNRELATED PERSONS.)
   FAMILY (TRADITIONAL). One or more persons related by blood or marriage residing in a single dwelling unit.
   HEARING EXAMINATION BOARD. Includes rental housing inspector, council member, Zoning Administrator and law enforcement official.
   INSPECT ON COMPLAINT. An inspection initiated by a complaint filed by the owner, tenant, neighbor, concerned individual, or the city.
   LICENSE. A document issued by the city to an applicant permitting him or her to rent residential property.
   LICENSEE. An applicant who, pursuant to his or her application, holds a valid, current, unexpired, and unrevoked license from the city allowing him or her to rent residential property.
   LICENSE FEE. The money paid to the city pursuant to an application and prior to issuance of a license to rent residential property.
   MANAGER, CARETAKER. Any person who has charge, care or control of a structure, or part thereof, in which rental dwelling units are let.
   NUISANCE. For the purpose of this subchapter, a nuisance shall be any of the following:
      (1)   Any public nuisance known as common law or inequality jurisprudence or recognized by Minnesota Statutes or this city’s ordinances.
      (2)   Any public nuisance which may prove detrimental to children whether in a building, on the premise of a building, or upon an unoccupied lot. This includes, but is not limited to, any abandoned wells, shafts, basements, or excavations; abandoned refrigerators and other appliances; unlicensed or inoperable motor vehicles; or any structurally unsound fences or structures; or any lumber, garbage, rubbish, or debris which may become a hazard for inquisitive minors.
      (3)   Any other activity or situation that is dangerous to human life, detrimental to health, or illegal.
   OCCUPANT. Any person residing in a dwelling or dwelling unit.
   OWNER. Any person, firm, corporation, or agent, who alone, jointly, or severally with others shall be in actual possession of, or have charge, care, or control of any dwelling or dwelling unit.
   RENT. Any consideration paid for the exclusive use of the dwelling unit, including, but not limited to, money, services, or a combination thereof, paid or delivered at fixed intervals periodically agreed upon.
   RENTAL HOUSING INSPECTOR. The person appointed by the city to inspect residential rental property for compliance purposes.
   RENTAL PROPERTY. Shall include living units rented on a month to month basis or greater. Such property may include single-family homes, duplexes, triplexes, or multi-family units. Exempt from such definition shall be motels, hotels, boarding houses, bed and breakfast facilities and any facility exempt from city regulation due to state or federal rules and regulations.
   RESIDENTIAL REAL PROPERTY. Means real property occupied, or intended to be occupied, by one to four families, if the purchaser intends to occupy the real property. RESIDENTIAL REAL PROPERTY does not include property subject to a family farm security loan or a transaction subject to M.S. §§ 583.20 to 583.32.
   UNRELATED PERSONS. Two or more individuals who are not related by blood, marriage, or adoption. For the purpose of this subchapter, RELATED BY BLOOD shall mean whole or half relations between a common ancestor or descendent, husband, wife, son, daughter, father, mother, brother, sister, uncle, aunt, niece, nephew, stepchildren, legally adopted children, grandmother, grandfather, state assigned foster children, first cousin or any combination of the above persons.
(Ord. 85, passed - -2020)
§ 175.25 APPLICATIONS.
   All persons or entities that own property in the city and that desire to rent that property, must obtain from the city a valid rental license, prior to renting or leasing any property. All applications shall be made in writing on a form approved by the City Council and submitted to the City Clerk-Treasurer. All applications must provide verification to the city that there are no delinquent property taxes, special assessments, interest, or city utility fees due upon the property to be rented. If the applicant(s) is unable to provide such certification, the rental license shall be denied. All applications shall be accompanied by a fee as set by motion of the City Council. No property may be rented or leased until the application has been approved by the City Council.
   (A)   All applications shall be made at the Office of the City Clerk-Treasurer.
   (B)   All applications must be subscribed and sworn to and shall contain the following information:
      (1)   The property owner’s name, mailing address, telephone number and e-mail address. If there are multiple owners or if applicant is a corporation, partnership, or company, include the name, mailing address, telephone number and e-mail address of all owners of or the corporation’s officers.
      (2)   The name, mailing address, telephone number and e-mail address of the property manager or caretaker (if applicable).
      (3)   The name, mailing address, telephone number and e-mail address of the primary contact person.
      (4)   The rental property address and the name of the rental complex (if applicable).
      (5)   Emergency (24-hour) phone number.
      (6)   Such other information as the City Council may deem necessary.
   (C)   It is unlawful for any applicant to intentionally make any false or misleading statement or omission in regards to preparing this application. Any false or misleading statement or omission shall work as an automatic refusal of the license and void any previously issued license.
   (D)   The City Clerk-Treasurer shall upon receipt of the completed application, forward the application to the rental housing inspector. The rental housing inspector may request that the applicant provide information to verify the information in the application. Failure to cooperate with the rental housing inspector may be grounds for denial of application.
   (E)   The City Council may by motion approve an abbreviated manner and forms for the renewal of the license.
(Ord. 85, passed - -2020)
§ 175.26 ACTION ON APPLICATION FOR LICENSE.
   Upon receipt of a completed application and payment of the application fee, the city shall commence with the investigation of the application and evaluation of the property and proposed use, said investigation shall be completed within 30 days, at which time the city shall either issue the license or state in writing the reasons for the denial of the application. All residential rental properties must obtain a license by March 1. All licenses issued by the city shall be valid for a period of two years, unless canceled or revoked pursuant to this subchapter. Licenses may not be transferred and if there is a change in ownership of the property or the ownership of the entity that owns the property, the license holder is required to apply for a new license as required under § 175.25.
(Ord. 85, passed - -2020)
§ 175.27 FEES.
   The rental license fee shall be established by motion of the City Council.
(Ord. 85, passed - -2020)
§ 175.28 TRANSFER OF PROPERTY OWNERSHIP.
   (A)   No license issued under this subchapter is transferable from one party to another. If the property is sold or otherwise transferred to a new owner, the new owner is required to apply for a rental license as provided for in § 175.25. If the property is owned by a partnership or corporation and more than a 10% interest in the property has been transferred to a party that was not previously disclosed on the application for rental license, then the license holder shall apply for a new license as provided under § 175.25.
   (B)   Contract for deed. Whenever any real estate is sold for a consideration in excess of $1,000, whether by warranty deed, quitclaim deed, contract for deed or any other method of sale, the grantor, grantee or the legal agent of either shall file a certificate of value with the county auditor in the county in which the property is located when the deed or other document is presented for recording. Contract for deeds are subject to recording under M.S. § 507.235, subd. 1 of M.S. § 272.115. A copy of the “Contract for Deed” will have to be submitted to the city within 30 days after filing with Waseca County Recorder’s Office per M.S. § 507.235, subd. 2. Failure will result in the violation of the rental code.
(Ord. 85, passed - -2020)
§ 175.29 LICENSE DENIAL, SUSPENSION OR REVOCATION.
   (A)   Notification. Prior to denial, suspension or revocation, the licensee (or his or her designated agent) and all occupants of units potentially subject to denial, suspension, or revocation, shall be notified in writing pursuant to the terms of this subchapter. Any applicant whose license is denied, or any licensee whose license is suspended or revoked shall be entitled to appeal and to a hearing on such appeal. Notice of the hearing shall be provided to all interested parties at least 20 days prior to a hearing.
   (B)   Hearing. A hearing shall be held with the City Council. The hearing shall be conducted to meet the licensee and occupant’s due process rights, including:
      (1)   Allowing interested parties, or their attorneys, the right to present evidence, witnesses, and to cross-examine all adverse witnesses; and
      (2)   Making a complete record of all proceedings, including findings of fact and conclusions of law.
   (C)   Suspension or revocation.
      (1)    Every operating license issued under the provisions of this subchapter is subject to suspension or revocation for the entire rental dwelling or for individual rental units, by the City Council, should the licensee fail to properly license and maintain the rental unit.
      (2)   A rental license may also be denied, suspended, or revoked for any of the following reasons:
         (a)   The license and/or license application was procured by misrepresentation of material facts, by fraud, by deceit or by bad faith.
         (b)   The applicant or one acting on his or her behalf made oral or written misstatements or misrepresentations of material facts in or accompanying the application.
         (c)   The activities of the licensee or the failure to adequately maintain the property to comply with health, safety, building codes and § 175.30(A) through (F).
   (D)   Effect of denial, suspension or revocation. In the event a rental license is denied, suspended or revoked by the City Council it shall be unlawful for the owner or his or her duly authorized agent to thereafter permit any new occupancies of vacant or thereafter vacated rental units, until such time as a valid rental license is restored to the affected units.
   (E)   No occupancy. If a license is revoked, suspended, denied, or not renewed by the City Council, it shall be unlawful for the owner, or manager, to thereafter permit the occupancy of the unlicensed rental dwelling of the unit. The city shall send and post a copy of the City Council action on the rental dwelling(s) or unit(s) impacted by action to prevent any further occupancy. No person shall reside in, occupy or cause to be occupied any unlicensed rental dwelling or unit. If the rental, dwelling(s) or unit(s) is occupied at the time the licenses is revoked, suspended, denied, or not renewed, then the owner, or manager, shall inform the tenant(s) that the tenant(s) have 30 days from the date of the City Council action to vacate. Occupation of the rental dwelling or unit after those 30 days is unlawful.
   (F)   Failure to obtain a license. If it is determined that a rental unit is being operated without a valid license, an immediate inspection shall be conducted. Contracts for deed are subject to recording under M.S. § 507.235, subd. 1. Any property that has been issued a rental license or that is subject to this subchapter, shall also file with the city a copy of the contract for deed within 30 days of the transfer of the property. Failure to file said notice with the city will result in a violation of the rental code.
(Ord. 85, passed - -2020)
§ 175.30 CONDUCT ON LICENSED PREMISES.
   (A)   It shall be the responsibility of the licensee to take appropriate action following conduct by occupant(s) or guest(s) of the occupant(s) which is in violation of any of the following statutes:
      (1)   M.S. §§ 609.75 through 609.76, which prohibit gambling.
      (2)   M.S. §§ 609.321 through 609.324, which prohibit prostitution and acts relating thereto.
      (3)   M.S. §§ 152.01 through 152.025, and 152.027, subd. 1 and 2, which prohibit the unlawful sale, possession of and manufacturing of controlled substances.
      (4)   M.S. §§ 340A.401 which regulates the unlawful sale of alcoholic beverages.
      (5)   M.S. § 609.33, which prohibits owning, leasing, operating, managing, maintaining, or conducting a disorderly house, or inviting or attempting to invite others to visit or remain in a disorderly house.
      (6)   M.S. § 609.72, which prohibits disorderly conduct.
   (B)   It shall be the responsibility of the licensee to take appropriate action to curb inappropriate actions of the tenant, occupants, or guests of the property which are in violation of any ordinance of the city, including, but not limited to, noise ordinances and nuisance property ordinances.
   (C)   The Waseca County Sheriff’s Department shall be responsible for enforcing and administration of this section.
   (D)   Upon determination by the Waseca County Sheriff’s Department that a licensed premises or a dwelling unit was involved in a violation of Subsection 1 above, the Waseca County Sheriff's Department shall notify the licensee by certified mail of the violation and direct the licensee to take steps to prevent further violations. A copy of said notice shall be sent by first class mail to the occupant of said property.
   (E)   Upon a second violation within 12 months of Subsection 1 of this section, involving a guest or an occupant of a dwelling unit, the notice provided under Subsection 3 of this section shall require the licensee to submit a written report of the action taken to prevent further violations on the premises. This written report shall be submitted to the Waseca County Sheriff’s Department within five days of the request of said report and shall detail all actions taken by the licensee in response to all notices regarding violations to Subsection 1 of this section within the preceding 12 months. If the licensee fails to comply with the requirements of the Subsection, the rental dwelling license for the individual dwelling may be denied, revoked, suspended, or not renewed. An action to deny, revoke, suspend or not renew a license under this section shall be initiated by the Hearing Examination Board at the request of the Waseca County Sheriff’s Department.
   (F)   If a third or subsequent violation of Subsection 1 of this section involving a guest of or an occupant of a dwelling unit occurs within 12 months after any two previous instances for which notices were sent to the licensee regarding the same dwelling unit, the rental dwelling license for the individual rental unit, may be denied, revoked, suspended or not renewed. An action to deny, revoke, suspend, or not renew a license under this section shall be initiated by the Hearing Examination Board at the request of the Waseca County Sheriff’s Department.
   (G)   No adverse license action shall be imposed if the violation to Subsection 1 of this section occurred during the pendency of eviction proceedings (unlawful detainer) or within 30 days of notice given by the licensee to an occupant to vacate the premises, where the violation was related to conduct by that occupant, other occupants, or the occupant’s guests. Eviction proceedings shall not be a bar to adverse license action, however, unless they are diligently pursued by the licensee. Further, an action to deny, revoke, suspend, nor not renew a license based upon violations of this section may be postponed or discontinued at any time if it appears that the licensee has taken appropriate measures which will prevent further violations to Subsection 1 of this section.
   (H)   A determination that the licensed premises or dwelling unit has been used in violation of Subsection 1 of this section shall be made by the City Council upon substantial evidence to support such a determination. It shall not be necessary that criminal charges be brought to support a determination of violation to Subsection 1 of this section, nor shall the facts of dismissal or acquittal of criminal charges operate as a bar to adverse license action under this section.
(Ord. 85, passed - -2020)
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