Internet business puts code to the test

Oldsmar says a man is operating a business from a home he doesn't live in, which violates zoning code. But he says his business is elsewhere.

By ED QUIOCO

© St. Petersburg Times, published August 6, 2000

OLDSMAR -- What started as a routine citation on a house with an unmowed lawn has turned into the city's first stab at regulating what some say is an Internet business operated out of somebody's garage.

City code enforcement officials aren't sure what kind of data courses through the numerous utility lines that run into the garage of the cream-colored house on Dover Court in Bayside Meadows.

But the content doesn't matter. What matters is that owner Stephen Richardson is operating an Internet business out of the garage of a house he rents to someone else, said Oldsmar code enforcement officer Doug Drummond.

Thus has begun the city's first foray into the hazy legal turf of using Old Economy zoning codes to regulate New Economy Internet businesses in residential neighborhoods.

"The whole code probably needs to be updated to keep up with all the advancement in the Internet," Drummond said. "But the current ordinance does have enough teeth right now to deal with those things."

Richardson could not be reached for comment. He sent the city a letter dated last month denying he was operating a business at the house.

In the letter, Richardson wrote that "the Oldsmar location is simply a remote data switching and processing location" for a Lutz-based company called Internet Data Communications of America. "Approximately once every few weeks, a technician checks the equipment and makes any necessary upgrades or equipment modifications."

Richardson wrote that his company's business takes place at 3661 Madaca Lane in Hillsborough County.

"This is where customer calls are answered, billing and accounts are processed, employees work and files are kept," he wrote. The switching equipment at his house in Oldsmar, he added, is similar to telephone company key boxes, power company transformers and cable company boxes.

"The equipment does not constitute a "potential health and safety hazard,' " Richardson said, adding that the equipment is less dangerous than most household appliances. "Personally, I have never heard of a personal computer (which is what we use, configured as a server) catching on fire. I cannot say the same for televisions and clothes dryers."

But to city officials, the letter seems to strengthen their case.

"His own letter confirms our suspicion that he is operating a business," Drummond said.

Oldsmar's codes, which regulate everything from unlicensed vehicles and unmowed grass to health and safety conditions such as stagnant swimming pools without fences, were written long before the Internet was created. That's why city officials have to use zoning rules to regulate the case, said City Attorney Tom Trask.

"The city's code doesn't deal with it at all," Trask said. "We are literally regulating it through the zoning code."

According to the city's Land Development Code, residents must have a home occupational license to operate a business out of their home. But such a license can be given only to the resident who lives at the address.

In Richardson's case, the city's records show that he owns the home but rents the property to another resident. The renter told Drummond that she did not have access to the garage and that the computers inside belonged to the owner of the property.

"(Richardson) doesn't live at the house, so he can't get a home occupational license," Drummond said.

Because Richardson does not live at the address, he is not permitted to store computers used for his business at the home, Drummond said. Doing so would mean he is using the garage for commercial purposes, and that is prohibited in residential neighborhoods.

"He'll be given two choices," Drummond said. "He can either move his business out of the property or he can remove the tenant and take up residence himself."

Because the city's codes do not address the Internet, it can be tricky to regulate cyber-businesses in residential subdivisions, Trask said. One of the hurdles that code enforcement officials have to clear is proof, especially when a Web site can be operated from a home computer.

In Richardson's case, his letter seems to do the trick, Trask said.

Oldsmar has a lot of company when it comes to communities trying to use old codes to regulate the Internet.

Tampa city officials have been trying to invoke the city's zoning code to regulate the Internet site Voyeur Dorm, which shows video of female college students living their lives in front of numerous cameras that operate around the clock.

In February, Pinellas Park officials found themselves suddenly confronted with whether the city's codes could regulate Voyeur Dorm spinoff Dude Dorm, which features live video of male students taking showers, sleeping, working out and playing games like Naked Twister.

In Oldsmar, Richardson could face fines of up to $250 a day. He was supposed to appear before the city's Code Enforcement Board on Thursday, but his hearing was postponed because he did not show up and city officials were unsure whether he was properly notified of the hearing.

The case began when Drummond received complaints from neighbors that the home's lawn had overgrown grass. As Drummond tried to cite the property for violating the city's code prohibiting lawns with grass taller than 12 inches, he noticed several utility lines ran into the garage, which also had its own air-conditioning unit.

"They have been there for a while," said Drummond, a retired police officer. "I figured something was going on there."

- Staff writer Ed Quioco can be reached at (727) 445-4183 or at quioco@sptimes.com.

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