Attached ADU, RSO and SCEP

[Account Closed]

Hi, looking for some insight and suggestions on next steps with my ADU and rental situation.

At the end of summer 2022 I completed and received a CofO for an attached ADU in Los Angeles. I moved into the ADU and began renting out my main home to my former roommates on the books so to speak, (ie paying taxes, official lease etc.)

When I reviewed the topic a year ago I was told to go on Zimas and see the designation under housing. It showed as non-RSO and non-AB 1482. Therefore I included no RSO wording with their lease. Only a note that any increases would be governed by CA law.

Fast forward to last week, I received an LAHD mailer with my parcel number on it, congratulating me on my ADU, but then laying the groundwork for RSO fees and SCEP inspections, for BOTH my ADU and main home.

The letter goes on to say that an attached ADU isn't RSO concerning rent increases, but the main home is RSO (pre 1978) and both have to abide by rent registry rules, eviction protection and SCEP.

So far I have received no bill nor notice of inspection, and have not registered either unit with LAHD. The letter pushes the pro-active approach saying just b/c you didn’t receive it, doesn’t mean it’s not due, so you need to register and pay fees. It also mentions penalties for delinquent fees.

However when I log into Zimas, it’s still showing as a non-RSO, non-AB 1482 single family residence property.

My questions:

1) Should I wait for a bill or notice to claim exemption on one of the properties and/or register?

2) Once registered, what is the timing for the first inspection? And if I don’t register and instead pay penalties, will there be an inspection at all until I’m forced to register?

3) What does LAHD use to determine who lives in what unit? Do they look at Utility bills? Taxes?

4) Can I legally refuse an inspection on either unit in an attached ADU scenario?

Overall my concern here is timing and an overzealous inspector. I'm reading lots of nightmare stories online and these inspections sound like big business $$. My funds (and mental capacity) are absolutely tapped after building the ADU during the pandemic.

In 12 years I’ve also updated various things throughout the home unpermitted (bathroom tile, shower valves, vanity, kitchen cabinets) etc..

Additionally the floor always had a slope to it, about 3/4” in a 10-15’ span. There was a fire and a bunch of permitted repairs were done to rebuild 60% of the home a few years before I bought it. I was assured by my home inspectors this was normal, but now I’m worried for LAHD’s take.

Ideally if I can either push off an inspection, or not have it at all, I can at least get some more time to recover my finances.

And advice or insight on timing or exemption in my situation is much appreciated!