Review of Rental License denial at 329 East Rock Street due to density restrictions.

Per Sec. 7-26, (b), a written notice of appeal has been received, and the Council is to review the decision to determine whether the action was correct. The Council may, in connection with its review of the action, either affirm, reverse or modify the actions.

The rental license for 329 Rock Street was set for renewal in 2025, as the expiration date was December 31, 2025. Notifications are sent in the year prior to the renewal year (in this case Fall 2024) to the license holders informing them that they will need to call and set up an inspection of the property as part of the license renewal. City records reflect that an inspection was scheduled on February 3, 2025, for February 20, 2025, in which the inspector was unable to access the property to conduct the inspection (see attached inspection report). No further inspections were scheduled.

A letter was sent to the property owner on January 6, 2026, informing them that the license was canceled for failure to meet the licensing requirements as per City Code, Sec. 7-28 (a). Renewal of licenses will not occur unless the property has been inspected and approved by the city inspector within 360 days preceding the expiration date of the license, and that according to City Code, Sec. 7-27 (c). Reissuance of a rental license for any property with a canceled license shall be processed as if the property were a new license. Such issuance will require the property to comply with all codes in effect at the time of the new license application.

Following cancellation, information is provided to public safety to ensure that properties are not “renting without a license.” A customer service request was entered re the cancellation of the license (see attached), which references the property being vacant and under construction.
A new application for a rental license at 329 East Rock Street was submitted on April 2, 2026, and denied due to density restrictions on the block per City Code, Sec. 7-57 (not more than 25% rounded up). The parcel at 329 East Rock Street is in a block that contains nine lots that currently has four rental licenses. The maximum allowable licenses in this block is three (see attached density map). 

Note, at the time the rental density code was adopted, there were a total of five rental licenses that were considered legally non-conforming (grandfathered), which included the property at 329 East Rock Street. However, since the license was not renewed and was canceled, there are now four on the block, which is still above the total that would be allowed.

Another item that would change with a new license for the property, barring density not being an issue, is that the occupancy would be limited to no more than two unrelated individuals or a traditional family. The license that was canceled allowed for up to five unrelated.

The applicant was notified re the review of the rental license via email, and by mail.