It shall be unlawful for the owner(s) of any rental facility to enter into a residential lease with a tenant for a rental unit or permit occupancy of any rental unit by another unless the rental unit is currently licensed by the Town and said license has not been denied, suspended, or revoked.
A. 
Biennial license. A rental license may be issued or renewed for a term of two calendar years, provided the following conditions are met:
(1) 
A completed application shall have been approved.
(2) 
The inspection of a rental facility and unit shall have identified no more than three minor violations of Article II of this chapter or other applicable law, and the owner must guarantee that all violations identified will be corrected by the abatement date established by the Code Enforcement Officer. Minor violations include, but are not limited to, small wall cracks and slow faucet leaks.
(3) 
No more than three valid complaints about the condition of the rental facility or any rental unit therein is filed with the Town during the prior license term.
(4) 
No serious violation of Article II of this chapter is identified by the Code Enforcement Officer in the rental facility or any rental unit therein during the prior license term.
(5) 
If an unresolved order for maintenance is outstanding, the Code Enforcement Officer has determined that such order is being resolved and the matter does not constitute danger to the health, safety, and welfare of the occupants.
(6) 
The property, building and premises, in their use and occupancy, otherwise comply with the Town Zoning Ordinance.
(7) 
Upon receipt of a completed application form and full payment of the appropriate fees, and at the conclusion of the inspection, the Code Enforcement Officer shall issue a rental license for the subject building within 30 days.
B. 
Renewal may require annual license. If, during the previous license term, three or more valid complaints were filed with the Town. A serious violation of Article II of this chapter was identified, or the owner or agent failed to respond to a valid maintenance order from the Town in a timely manner, a license renewal will be for a term of one calendar year rather than a term of two years as provided for in § 162-15A.
C. 
Declaration of ineligibility. The Code Enforcement Officer may, upon the conduct of a hearing, determine that in order to protect the health, safety, and welfare of the public, and/or the occupants of a rental facility, the rental facility or a unit therein should be declared ineligible for a rental housing license or renewal of the same.
(1) 
At least 15 days prior to the day of the hearing, a notice shall be posted on the property, and the legal owner, tenants, and any other party to the hearing shall be notified of the time, place, location, and subject of the hearing by registered mail.
(2) 
The decision of the Code Enforcement Officer shall be rendered in writing and supported by findings of fact.
(3) 
Anyone aggrieved by a declaration of ineligibility may appeal to a court of competent jurisdiction.
A. 
The requirement of this chapter and the enforcement thereof shall be retroactive to encompass all rental housing units within the Town that are presently and have been previously occupied as rental housing units.
B. 
All rental units shall have one calendar year from the date of the enactment of this chapter to file an application for a rental license for each unit of rental housing.
C. 
Exemptions. The following shall not require a rental housing license:
(1) 
Hospitals, nursing homes, assisted living and convalescent homes, hospices, and other licensed health-care facilities and residences.
(2) 
Churches and buildings for religious worship, parsonages, rectories, convents, and parish homes.
(3) 
Private schools and colleges and school dormitories.
(4) 
Hotels, motels, tourists' homes, and bed-and-breakfast facilities.
A. 
An applicant for a rental license and renewal thereof shall provide the following information for each rental facility and unit therein on the appropriate application form maintained by the Town.
(1) 
Address of the rental building and exact location of the rental dwelling within the building.
(2) 
Number of rental units contained in the rental building.
(3) 
The name, street address, telephone, and e-mail address of all owners of the rental building and the name, street address, and telephone number of the contact person for emergency purposes, the designated landlord or agent operator, and if the owner is a corporation, limited liability company or other entity, the application shall provide certified proof of the name and address of the resident agent in Maryland who is qualified to accept notices and service of process on behalf of the owner.
(4) 
Water and sewer service account numbers for each rental unit.
(5) 
The date that each rental unit was first put into service.
B. 
The application shall not be deemed complete unless accompanied by the required license fee, paid in full, which fee shall be established from time to time by the authority of the Mayor and Town Council.
C. 
Except for housing units served by private on-site well and septic, every unit of rental housing shall have a water and sewer account separate from the main building to which it is a part and separate from every other rental unit on the same lot, and the billing of every water and sewer account must be current; otherwise a rental unit may not be licensed.
D. 
An application for a license renewal shall be submitted to the Town within 60 days of the term's expiration.
A. 
Any person or entity who takes over the ownership of a licensed rental building or unit may accept the transfer of the license for the unexpired portion of the term for which it was issued but must apply to the Town within 30 days of the transfer. Nothing in this section affects the validity of any sale, transfer, or disposition in any interest in real estate.
B. 
Failure to notify the Town of a transfer within 60 days of the transfer shall require a new rental application and payment of a new license fee and the conduct of an inspection.
A. 
New rental license, before a rental housing license is issued, for any rental unit, all interior and exterior areas of the rental facility and each rental unit therein shall be inspected by the Code Enforcement Officer for compliance with Article II of this chapter and the Chapter 200 of the Town Code, titled "Property Maintenance"; there must be no uncorrected violations of either, the Town intends that newly licensed rental units will be inspected within 30 days of the Town's receipt of a completed application.
B. 
Currently licensed rental facilities, before the expiration of a license term, all interior and exterior areas of the rental facility and each rental unit thereof shall be inspected by the Code Enforcement Officer for compliance with Article II of this chapter and Chapter 200 of the Town Code, titled "Property Maintenance"; there must be no uncorrected violations of either, the Town intends that the renewal inspection will occur within 14 days of the Town's receipt of the completed application and fee.
C. 
Complaint-driven inspection. In addition to the licensing inspections, the Code Enforcement Officer may inspect a rental facility or rental unit at any time if the Town receives a complaint and has reasonable grounds to believe the rental facility or unit does not comply with this chapter and all applicable laws.
D. 
The inspection requirement of § 162-18A and B shall not apply to any unit newly constructed or renovated under a valid building permit for the four-year period immediately following the issuance of the use and occupancy permit for the rental, thereafter, the units shall be licensed and inspected.
E. 
If any inspection indicates a failure to comply with this chapter and applicable laws, the Code Enforcement Officer may deny, suspend, or revoke the rental license or proceed with enforcement under applicable provisions of law.
F. 
A tenant of a structure or premises shall give the property owner or operator, or agent or employee, access to any part of the structure or its premises at reasonable times upon being given reasonable notice for the purpose of making the inspection, maintenance, repairs, or alterations as are necessary to comply with this chapter.
A. 
The Code Enforcement Officer may deny, suspend or revoke a rental housing license for all or any unit or part of any rental facility at any time if the property owner or agent of the property, after 15 calendar days' written notice, does not eliminate, or initiate bona fide efforts to eliminate, a violation of this chapter, license denial, suspension, or revocation is not punitive and is intended to protect public health, safety and welfare and is not a substitute for penalties and other punitive measures provided in this chapter or elsewhere by law.
B. 
Upon determining that a license shall be denied, suspended, or revoked, or that an application for a license or license renewal shall be denied, the Code Enforcement Officer shall issue a written notice of the action, setting forth the specific reason for the action, and serve notice on the property owner or agent of the property.
C. 
A license may be suspended immediately upon written notice to the property owner or agent if the Code Enforcement Officer determines that there are violations of this chapter or other applicable laws that pose a serious threat to the life, safety, health, or property of the tenants of the rental facility.
D. 
When a rental housing license has been suspended or revoked or an application for a license has been denied, it shall be unlawful for the owner to rent, lease, let for occupancy, or use any rental unit or space in the premises then vacant or becoming vacant until a rental housing license has been issued, reissued or reinstated.
E. 
Upon denial, suspension, revocation or expiration of a rental license, notice by the Town shall be posted prominently in the rental or management office of the rental facility, on the door of the rental unit or units, or in a public place on the premises, the notice shall read in substance generally as follows: "Rental or occupancy of any unit in this building now vacant or becoming vacant after the date of this notice is unlawful until a rental license has been obtained from the Town of Chesapeake Beach." It is unlawful for any person to remove such notice until a license has been obtained or reinstated.
F. 
If a rental housing license is denied, revoked, or suspended and the Code Enforcement Officer determines there are serious violations of this chapter or other applicable laws in the rental facility or unit, the Officer shall require the property owner or agent to give any tenant occupying the affected rental facility or units two months' written notice to vacate. The two-month notice must begin on the first day of the month after service of the notice on the tenant.
G. 
It shall be unlawful for any owner, manager or agent to penalize any tenant who vacates a rental unit under this provision prior to the expiration of the two-month period set forth in Subsection F above by charging the tenant rent for any period after the tenant vacates the unit or by other fees, penalties, or deductions from the tenant's security deposit.