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    12.    
City Council Regular
Meeting Date: 12/18/2018  
Subject:    Consider Rental License Renewal Denial Appeal - Angela Charpenter, 12380 Drake Street NW
From: Kristin DeGrande, Housing Programs Coordinator

INTRODUCTION
City Staff has denied Kevin Perdew’s and Angela Charpenter’s request for a rental license renewal for their property at 12380 Drake Street NW.  Ms. Charpenter is appealing Staff’s decision.
 
DISCUSSION
In 2012, this property (12380 Drake Street NW) had been investigated as a possible unlicensed rental property.  At that time, Kevin Perdew contacted the City stating that his sister was occupying the property and he subsequently registered the property as a relative homestead with Anoka County.  Relative homestead properties in Coon Rapids do not require a rental license.
 
In October 2013, Mr. Perdew submitted a rental license application for this property.  Presumably, Mr. Perdew’s sister moved out and it was no longer eligible for relative homestead status, thus requiring a Coon Rapids rental license.  He listed a property manager on his rental application but no additional property owners.  A background check was performed on Mr. Perdew and nothing was found to prevent licensing.  City Ordinance 12-904 requires that background checks are performed for all rental property owners. 
 
A rental license renewal form has been sent to Mr. Perdew and to the property manager each year following the issuance of the rental license.  The form asks the property owner and/or property manager to review the license and contact information, update it as necessary and return it for processing, along with submitting the required renewal fees.  The rental renewal form continued to be returned to the City, but no updates were made to the property owner’s contact information or additional ownership interest. 
 
In April 2015, City Staff received an email updating the rental license with a new property manager and his contact information.
 
In August 2018, the property manager returned the rental renewal application adding Angela Charpenter as a co-owner and City Staff subsequently requested she fill out the needed forms and submit payment for a background check.  The following week, the property manager contacted City Staff to ask if a felony for terroristic threats in Ms. Charpenter's background would be a reason to deny the rental renewal.  City Code Chapter 12-916 provides that the "City Manager may deny or not renew a license and the City Council may revoke or suspend a license for any of the following reasons"...... "including a conviction of a background check crime as defined in Minnesota Statutes Section 299C.67, subd.2...." ( Kari Koskinen Law)  City Staff explained to the property manager that the felony conviction could mean a rental license denial and what the process would include an oppotunity to appeal. 
 
In November 2018, Angela Charpenter submitted her background check forms and payment for processing.  The Coon Rapids Police Department completed a background check and did confirm that Ms. Charpenter had been convicted of a felony terroristic threats under Minnesota Statue 609.713 in 2013.  A felony terroristic threats is a background check crime under Minnesota Statute  299C.67 and is a reason to deny the rental license.  A letter denying their rental license was sent in the mail to Ms. Charpenter and a copy to the tenants of the rental property on November 26, 2018. 
 
On December 3, 2018, Ms. Charpenter submitted her written appeal to the City for the rental license denial.
RECOMMENDATION
Staff recommends the City Council affirm the denial of a rental license renewal to Angela Charpenter and Kevin Perdew, property owners of 12380 Drake Street NW.

Attachments
Appeal
Memo from Chief Wise
Supporting Documents
Court Record

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