Naperville reviewing renting rules

Naperville is looking at tightening its policies on residents who rent out a room in their home.

City staff has proposed a licensing system and a requirement that the owner must occupy the home. Property owners renting out single family homes or duplexes also would need a license.

Currently people renting out a room in their home do not have to register with the city and the city does not have the power to inspect the interior of single-family homes.

"We have limited options to ensure the safety of the space and the tenants, and that has resulted in a lot of frustration to neighboring property owners," said Allison Laff, operations manager with the city's planning team.

Staff is recommending that the property owner must be licensed by the city, keep a log of renters, have written lease agreements and give the city the right to inspect the interior of the property.

The licensing rules would apply to rental of single family homes and duplexes as well as boarding rooms - rooms that are rented out without their own separate kitchens or bathrooms - in a single-family zoning district.

In the case of boarding rooms, the property owner also would have to occupy the residence.

The new requirements would not apply to multiple-family structures, which are controlled by their own set of regulations.

Councilman Robert Fieseler said he likes idea of registration.

"I'm really looking to strike that balance between doing something responsible and getting people signed up and yet not discouraging people who have empty rooms from leasing them," he said.

Some councilmen, including Doug Krause and Richard Furstenau, pushed for a Crime Free Housing program like Aurora has that calls for property inspections, criminal background checks on tenants and landlord training.

Police Chief David Dial said the city already has the program, but it is not mandatory like Aurora's.

Furstenau also said the city shouldn't spend much time inspecting owner-occupied homes that are registered unless they receive complaints.

"I've got news for you, there's not going to be too much nonsense going on," he said.

Several property owners on Tuesday expressed concern that the city's proposal would only create more red tape and cost to them.

Councilman Grant Wehrli also took issue with the inclusion of older homes that were once single-family residences but have been turned into two-flats, with the owner occupying one of the dwellings.

"We're going to enforce somebody that has been doing this for years - never had a problem renting out the upstairs of their home - we're going now to require them to be licensed and provide a record and have that property open to inspection?" he asked. "You lost me."

The city plans to get feedback from groups like North Central College and the Naperville Area Homeowners Confederation as well as residents. There eventually will be a hearing at a plan commission meeting before staff brings a proposal back to city council.