Landlord Licensing Program Now in Effect

Designed to open the pathways of communication between landlords, tenants and their neighbors, Chapel Hill's new Rental Licensing Ordinance quietly went into effect Jan. 1.

But that was in stark contrast to the myriad of complaints from those parties that prompted the Town Council to create the program in April 2002.

It is meant to ensure that licensed rental properties meet minimum housing standards and to make renters and landlords aware of the responsibilities of residing in a neighborhood.

"It's been a chronic issue of rental tenants too often behaving in a way that was counterproductive to the neighborhood," said Town Council member Jim Ward.

Ward said common complaints by neighbors consist of cars in front yards, garbage and late-night noise violations.

Carolyn Baucom, a realtor who served on the committee that proposed the program, said students were among those unaware of the laws and responsibilities that come with living in town.

"I think it was the landlords not being responsible for telling students and other renters about the rules of living in a neighborhood," Baucom said.

The licensing program requires landlords to register each rented unit of their property, pay a fee of $10 per unit and distribute a list of renter and landlord duties to tenants to keep them informed of housing policies and landlord responsibilities.

"To protect the character and the stability of the neighborhoods was not the only goal," Baucom said. "One of the biggest problems in the renting world is communication, and that is what we're trying to do."

Lance Norris, director of inspections for Chapel Hill, said the rental licensing program monitors landlords and their properties as a service to renters.

Part of the new program is a database of information on complaints and violations on each landlord.

"If neighbors or renters have problems, they can look up information about that property in the database," Norris said.

Council member Mark Kleinschmidt, who initially feared the database would be an invasion of privacy for the landlords, said it would be useful for potential tenants.

Renters and neighbors of landowners would be able to look up information on that landowner's record of complaints and compliance with town rules.

"I don't think the town should be operating a rental guide, but it's good for renters and neighbors to know who to communicate with," Kleinschmidt said.

"It's a good way to see who has met the housing codes and to see who the landlords are," Kleinschmidt said.

Realtor Fred Stevens said the rental licensing could discourage people from owning rental property. He said the $10-a-unit fee will be a hassle to landlords who might or might not choose to increase the rent to cover its cost.

"I don't think (the licensing program) is necessary," Stevens said. "All (the town) has to do is enforce the rules."

Stevens said programs like the Dispute Settlement Center in Carrboro are better suited to resolve conflicts between tenants and their renters that results from miscommunication.

The center usually serves at no cost and assists with communication between the two parties.

The City Editor can be reached at citydesk@unc.edu.