Council clarifies business-license exemptions for 'old school' tenants and exempts service dogs from licensing fees

River Heights City Council approved Ordinance 6-20-25 on Dec. 16 to clarify fee exemptions for certain tenants of the city-owned ‘old school’ building and to update dog-licensing language for service animals.

The ordinance clarifies that tenants who occupy space at the old school and have obtained a conditional use permit (CUP) — and who therefore create little or no neighborhood impact — must register as businesses but are not required to pay annual business license fees in cases where state guidance exempts non-impactful activities. The mayor and staff emphasized that CUP conditions address impacts such as traffic and noise and that planning commission authority over CUPs is the primary enforcement mechanism for operational impacts.

On animal licensing, the code change states that licensing fees are due at application and that service dogs are exempt from the licensing fee, though late fees may apply if an owner does not register by March 1. The city will verify service-animal status using the questions already in code. Staff noted a typical renewal fee floor of about $40 for routine business-license renewals and said fire inspections and other commercial classifications may carry additional fees.

After discussion, a council member moved to approve Ordinance 6-20-25 and the council passed the motion by voice vote. The ordinance is intended to align local code with state directives on when a municipality may charge business-license fees and to remove uncertainty for old-school tenants and service-animal owners.

What’s next: Staff will update public materials for old-school tenants and the animal-licensing page to reflect the exemption and the March 1 registration deadline for avoiding late fees.