1. City Council Meeting August 27, 2018
Proposed Amendments to Chapter “Inspection Ordinance” Related To The Occupancy Inspection Program
City Council Meeting August 27, 2018

2. Amendment to Inspection Ordinance
Executive Summary
Inspection Ordinance (i.e. Occupancy Inspection Program) was adopted in 1973 and last revised in 1991
On May 7, 2018, the City Council considered the following four alternatives:
Streamline OIP to refocus on life and safety violations
Discontinue OIP, in lieu require seller to obtain and disclose a property records report
Discontinue OIP
Retain OIP without changes
City Council directed staff to explore an additional alternative that would remove required City inspections, while still addressing life and safety violations

3. Amendment to Inspection Ordinance
Background
Point of sale requirements for other cities in L.A. County
Approximately 16 of 88 cities in Los Angeles County require a point-of-sale inspection
Pre-sale requirements for comparable cities:

4. Amendment to Inspection Ordinance
Background
Overview of Current OIP Program
Code Compliance Division consists of a Property Maintenance/Zoning Enforcement Section and Housing Section
Housing Section administers the OIP (1,800 cases per year) and Quadrennial (5,500 rental units per year) programs
Properties are inspected for Major and Minor violations
Major violations require re-inspection to verify correction of violation
Minor violations do not require re-inspection, however, property owner can self-certify corrections were completed
Seller and buyer have option of deferring correction of Major violations via a Transfer or Responsibility, whereby the new property owner is required to correct violations within a specified time period

5. Amendment to Inspection Ordinance
Background
Overview of Current OIP Program
List of typical Major and Minor Violations:

6. Amendment to Inspection Ordinance
Analysis
Staff’s recommendation – OIP be transitioned to a self-certification for life and safety violations
Objectives of self-certification program:
Continue requiring abatement of life and safety code violations
Eliminate (or significantly reduce) delays in the sale/transfer of properties
Eliminate redundancies and inefficiencies

7. Amendment to Inspection Ordinance
Analysis
Staff’s recommendation – OIP be transitioned to a self-certification for life and safety violations
Scope of self-certification
Seller affirming there is no unpermitted additions, conversions, new construction (over 120 sf), and required fire protection is installed
Buyer affirming disclosure
Buyer affirming responsibility to submit a permit application within 6 months and abate the violation within 12 months (in the event there is violation)
Buyer affirming consent for the City to conduct an inspection within 18 months
Properties that have open/active code violations are not eligible for a self-certification, abatement of violation or Transfer of Responsibility is required

8. Amendment to Inspection Ordinance
Analysis
Staff’s recommendation – OIP be transitioned to a self-certification for life and safety violations
Additional requirements
Site plan and floorplan identifying the use of all habitable/non-habitable spaces
Condos and townhouses are exempt from site plan and floorplan req.
The City will provide a standard template (hand-drawn plans acceptable)
Documentation providing actual and L.A. County Tax Assessor square footage
Processing of self-certification
Over-the-counter transaction
Review for completeness and verification there are no open/active cases
Applicant provided a Certificate of Completeness

9. Amendment to Inspection Ordinance
Analysis
Sample Site Plan and Floorplan

10. Amendment to Inspection Ordinance
Analysis
Staff’s recommendation – OIP be transitioned to a self-certification for life and safety violations
Variances in actual square footage and L.A. County Tax Assessor records
Properties whereby the actual square footage of the dwelling unit is 10% or greater than L.A. County Tax Assessor’s records will be subject to a permit history records review and an inspection (if required)
If unpermitted construction is identified, buyer and seller are subject to same requirements whereby owner is responsible to abate prior to sale, or buyer is responsible to address violations within specified periods
Variances can be attributed to inaccurate County records, inaccurate measurements, changes in methodology of square footage calculation and illegal construction

11. Amendment to Inspection Ordinance
Analysis
Staff’s recommendation – OIP be transitioned to a self-certification for life and safety violations
Enforcement – Violations not abated
Courtesy letter issued 30 days post 6 month period
Notice of Violation issued 30 days post 12 month period
Property subject to enforcement actions per existing process

12. Amendment to Inspection Ordinance
Analysis
Staff’s recommendation – OIP be transitioned to a self-certification for life and safety violations
Optional City inspection
Optional City inspection will be made available to determine whether subject violations to the proposed self-certification exist
City inspection report with no violations will substitute required affirmations from the seller
When violations are noted, buyer is required to provide a self-certification affirming responsibility to submit a permit application within 6 months, and consent to a City inspection within 18 months

13. Amendment to Inspection Ordinance
Next Steps
If the Council agrees to the Self-Certification Occupancy Inspection Program, staff would:
Prepare revisions to the existing inspection ordinance to streamline the Occupancy Inspection Program as directed by the City Council; including authorization of the City Manager to prepare updates to the adopted Rules and Regulations which outline the administrative enforcement and implementation of the inspection program;
Return to Council for approval of any necessary fee changes to ensure cost recovery for the program; and
Partner with the Pasadena Foothill Association of Realtors and other stakeholders to update the Rules and Regulations of the program.

14. Amendment to Inspection Ordinance
Recommendations
Find that the proposed Pasadena Municipal Code Amendments are exempt from environmental review under Section 15061(b)(3) (general rule) of the California Environmental Quality Act (“CEQA”);
Direct the City Attorney to prepare an ordinance within 60 days amending Pasadena Municipal Code Section “Inspection Ordinance” as outlined in the staff report; and
Authorize the City Manager to update without further Council action the adopted “Rules and Regulations” which outline the administrative enforcement and implementation of the inspection program.

15. City Council Meeting August 27, 2018
Proposed Amendments to Chapter “Inspection Ordinance” Related To The Occupancy Inspection Program
City Council Meeting August 27, 2018