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<br />Enforcement Program are used only to pay for the administration, <br />enforcement, implementation and other services specifically related to <br />PREP. <br /> <br />H. The $17.50 per unit annual fee was proposed to cover only the cost of the <br />additional staff and operational costs associated with the Proactive Rental <br />Enforcement Program and would be used to fund only the cost of the <br />program and not on-going complaint-driven code enforcement activities. <br />The Program's focus shifted in 1999 to include complaint-drive code <br />enforcement activities related to rental housing. <br /> <br />I. In light of the fact that the Planning and Building Agency did not have the <br />necessary resources for the collection of the proposed inspection fee and <br />for the ease and convenience to the residential rental business industry, <br />the $17.50 surcharge fee was proposed to be collected with the business <br />license tax already paid by persons operating such a business on an <br />annual basis. <br /> <br />J. The proposed program provided for initial inspections of all residential <br />rental properties, unless exempted, within designated proactive rental <br />housing code enforcement areas; as well as, reinspection of each property <br />after completion of the initial inspection period. <br /> <br />K. On August 3, 1992, in response to the recommendation of the Mayoral <br />Task Force committee and to address the growing concerns of the <br />community regarding the deterioration of residential rental units in the City <br />as it related to issues of life, health and safety, the City Council of the City <br />of Santa Ana adopted an ordinance creating a $17.50 surcharge fee to <br />fund the cost of a residential rental inspection program. <br /> <br />L. The ordinance established a sunset date of December 31, 1999 for the <br />$17.50 fee to allow for a "seven year period to undertake the program and <br />evaluate its impact", thus "providing a time frame sufficient to fully monitor <br />[its] results". <br /> <br />M. The ordinance also provided that any extension of the surcharge fee <br />beyond the sunset date would require further action by the City Council. <br /> <br />N. On June 20, 1994, the City Council adopted Resolution No. 94-026 which <br />approved and adopted the "Gold Seal Incentive Program" whereby <br />particular residential properties or residential apartments may be certified <br />as having met standards of excellence in property maintenance and as <br />certified, would be exempted from payment of the surcharge fee for a <br />three-year period. <br /> <br />O. In October 1999, the City Council adopted Ordinance No. NS-2408 which <br />extended the PREP fee until December 31,2003 based on a fee study. <br /> <br />Ordinance No. NS-2757 <br />Page 2 of6 <br />