City of La Habra Heights AGENDA REPORT

Transcription

1 l`& l: ' t, t1 FtBR9 City of La Habra Heights AGENDA REPORT 978 To: Mayor and City Council Meeting: April 14, 2015 From: SUBJECT: Ben Kim, Planning Manager Shauna Clark, City Manager INITIATE ORDINANCE SHORT TERM RENTALS BACKGROUND On January 8, 2015 the City Council discussed rental of properties ( such as AirBNB. com, vrbo.com and homeaway.com) as it relates to short-term rental of homes in La Habra Heights and directed staff to research the matter. A follow up staff report was presented to the Council on March 12, 2015 and after further discussion, the Council requested staff to bring forward policies that could be applied in La Habra Heights with regard to short term rentals. ANALYSIS Although private home rental has been around for many years and mostly in vacation communities, several websites ( AirBNB. com, vrbo. com and homeaway. com, etc.) have made private home rental increasingly accessible to the general public. The websites also offer greater rental options including renting a single room or the entire home. With the increasing popularity of short term rental, many cities are deciding how to effectively regulate the potential impacts of transient activities in what is traditionally a residential environment (e. g., recent cases involving AirBNB and various cities). A survey of the Southern California region showed that several cities have adopted a " short term rental" ordinance specific to private home, summarized as follows: City Permit Min. and Max. TOT Tax Notes Fee Stay( days) Anaheim nights / 15% No events allowed. Annual 30 days 3 persons per room. Dana Point nights / 10% 2 persons per room, plus 2 Annual 30 days persons on sleeper sofa. Newport night/ 10% Not allowed in R- 1 ( single Beach 2- years 30 days family residential) zone. La Quinta 25 1 night/ 11% Occupancy limit, e. g., 4 Annual 30 days persons in one- bedroom. _ Palm Desert 25 2 nights/ 9% Occupancy limit, e. g., 2 Annual 27 days persons in one- bedroom. Palm Springs night/ 11. 5% Occupancy limit, e. g., 4 Annual 28 days persons in one- bedroom _ Los Angeles n/ a 1 night/ 14% Not allowed in R- 1 ( single 30 days family residential) zone.

2 DISCUSSION Currently, La Habra Heights does not prohibit rental of private homes, either on a short term or long term basis. As noted in the January 8, 2015 staff report, HDL records show that there are approximately 320 houses in La Habra Heights that are not owner occupied. They may be rented or vacant. However, Staff is aware of five homes in the City that are actively advertised as short term rentals: 1600 Kanola 2342 Vista Rd. 205 Leucadia Rd Le Flore Dr Dorothea Rd. The City Council has expressed a willingness to amend the Municipal Code to regulate short term rentals. The ordinance would be cognizant of issues specific to La Habra Heights, including the lack of sewer systems and adequacy of septic system to support the activity; lack of off-street parking and that the property would need to provide parking on the property; potential noise impact to the surrounding neighborhood; staff resources available to issue permits, conduct inspections, and respond to potential complaints; and others. Ordinances from other cities have been supplied to enable the Council to guide staff on the establishment of the parameters of the code change. For example, limiting the total number of rental days per year. Fees: La Habra Heights differs from other cities listed in that it does not have an established Transient Occupancy Tax (TOT) that would supplement the permit and ongoing implementation costs therefore any proposed fee structure should consider impact on the City in terms of monitoring and enforcement.* Concepts include, limiting number of occupants based on allowable parking; charging a lower fee for properties that are owner-occupied; and basing the fee on the size of the property or number of bedrooms. For example, the 1600 Kanola house is advertised as 8,000 sq. ft. with five bedrooms making it attractive as an event property and requiring more emphasis on enforcement related to noise and parking. RECOMMENDATION Direct staff to draft an ordinance regulating short term rentals based on the parameters discussed at this meeting; said ordinance is to be reviewed by the City Attorney and then brought back to Council for review. ( Note: If the ordinance involves changes to Article 7, it will require Planning Commission review). ATTACHMENTS City of Anaheim Ordinance, Brochure and Application City of Dana Point Ordinance, Brochure and Application Newport Beach Ordinance, Brochure and Application City of La Quinta Ordinance, Brochure and Application Palm Desert Ordinance, Brochure and Application Palm Springs Ordinance, Fee schedule Los Angeles - Memorandum dated March 19, 2014 from Alan Bell, Deputy Director of Planning, to Council Offices Note: Article XIII of the California State Constitution requires a general election to adopt new taxes such as TOT. However, a fee is a charge imposed on an individual or business for a service or facility provided directly to an individual or business. Local governments charge fees for a wide range of purposes but the amount of the fee may not exceed the cost to provide the service ( e.g. inspection and monitoring).

3 CITY tf ANAH[EIM

4 ORDINANCE NO. AN ORDINANCE OF THE CITY OF ANAHEIM ADDING CHAPTER ( SHORT- TERM RENTAL PROGRAM) TO TITLE 4 ( BUSINESS REGULATION) OF THE ANAHEIM MUNICIPAL CODE RELATING TO SHORT- TERM RENTAL PERMITS. WHEREAS, pursuant to the City' s police power, as granted broadly under Article XI, Section 7 of the California Constitution, the City Council of the City of Anaheim Council") (" City has the authority to enact and enforce ordinances and regulations for the public peace, morals and welfare of the City and its residents; and WHEREAS, it has recently come to the City's attention that an ever increasing number of owners of residential dwelling units within the City of Anaheim (" City") have been renting their residential dwelling units for business purposes to tourists and visitors to the City on a short-term basis for lodging or sleeping purposes for periods of less than thirty (30) consecutive days, which has escalated the demand for City services and, in some circumstances, created adverse impacts in zoning districts where residential uses are permitted throughout the City; and WHEREAS, a number of dwelling units within the City's residential zones are rented for less than thirty (30) days, often seven ( 7) days or less, with some of those rentals occurring during times when the demand for parking and City services is greatest; and WHEREAS, because many occupants of short- term rental units reside permanently outside the City, the most effective way for the City to minimize problems associated with the occupancy of short-term rental units is to impose responsibility upon the owners of short-term rental units to control the conduct of guests and occupants of short-term rental units; and WHEREAS, since short-term rental units are sometimes operated by agents and/ or owners who are not on- site and who exercise little or no supervision of occupants, a regulatory program can implement guidelines that would allow for quicker response to complaints or other issues as they occur; and WHEREAS, since short-term rental units are not listed as a permitted or conditionally permitted use, they are currently unregulated in the City; and WHEREAS, such uses in some residential neighborhoods may have effects that can best be addressed through an appropriate City regulatory program; and WHEREAS, the use of residential dwelling units as short-term rental units for lodging or sleeping purposes for periods of less than thirty ( 30) consecutive days provides alternative lodging opportunities for tourists and visitors to the City; and

5 WHEREAS, the permitting, notification, and related requirements set forth in this ordinance are necessary to prevent the continued and ever increasing burden on City services and the adverse impacts on residential neighborhoods posed by short-term rental units; and WHEREAS, in order to allow owners of short- term rental properties and short- term rental units sufficient time to comply with the requirements contained in this ordinance, said owners shall have until not later than July 31, 2014 to apply for a permit pursuant to this ordinance, notwithstanding that this Ordinance shall become effective thirty ( 30) days after its passage and adoption. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ANAHEIM DOES ORDAIN AS FOLLOWS: SECTION 1. That new Chapter 4.05 be, and the same is, hereby added to Title 4 of the Anaheim Municipal Code to read in full as follows: CHAPTER SHORT- TERM RENTALS Sections: Title Purpose and Intent Definitions Permit Required Agents Application for Permit Renewal of Permit Denial of Permit Filing Fee Conditions of Permit Issuance and Renewal Audit Violations/ Penalties Procedure for Imposition of Penalties/ Revocation Effect of Short- Term Rentals Ordinance on Other Provisions of Code Effective Date for Compliance TITLE. This chapter is known as the " Short-Term Rentals Ordinance," may be cited as such, and will be referred to herein as" this chapter." 2

6 PURPOSE AND INTENT. The use of residential dwelling units within the City of Anaheim as short-term rentals for lodging or sleeping purposes for periods of less than thirty( 30) consecutive days can escalate the demand for city services and create adverse impacts in zoning districts that allow residential uses. Incidents involving excessive noise, disorderly conduct, vandalism, overcrowding, traffic congestion, illegal parking of vehicles, and the accumulation of refuse can be directly related to short-term rentals, which increasingly require response from police, fire, paramedic and other city services. The purpose of this chapter is to regulate the activity of renting a dwelling unit in a residential neighborhood in order to prevent the burden on city services and adverse impacts on residential neighborhoods posed by short-term rentals by placing the responsibility upon the owners of short-term rental units to control the conduct of guests and occupants DEFINITIONS. The definitions contained in this section shall govern the construction, meaning and application of words and phrases used in this chapter. A. " Agent" shall mean an individual, company or entity engaged by the owner of a shortterm rental property to represent, manage or oversee the operations of a short- term rental unit or short-term rental property on behalf of the owner and designated as such by the owner in accordance with Section B. " City Manager" shall have the same meaning as Section 600 ( City Manager) of the Charter of the City of Anaheim, and shall include his or her authorized representative. C. " Dwelling" is defined in Section (" D" Words, Terms and Phrases) of Chapter ( Definitions) of this code. D. " License Collector" shall have the same meaning as Section ( Construction License Collector") of the code, and shall include his or her authorized representative. E. " Planning Director" shall mean the Planning Director of the City of Anaheim or the Planning Director's authorized representative, including the Community Preservation Manager and any Community Preservation Officer or staff so designated by either the Planning Director or the Community Preservation Manager to carry out responsibilities under this chapter. F. " Off-street parking" shall mean the parking of vehicles on privately owned property that the owner has the legal right to utilize for parking. All off-street parking required by this Chapter shall conform to the provisions of Section ( Parking Dimensions and Access) of Chapter ( Parking and Loading) of this Code. In no event shall off-street parking include the use of landscaped areas or the blocking of public rights- of-way. G. " Owner" shall mean the person( s) or entity( ies) that hold( s) legal or equitable title to a short-term rental unit. " Owner" includes a lessee where a lessee is offering a dwelling, or any portion thereof, as a short- term rental. 3

7 H. " Person" means any individual, firm, partnership, joint venture, association, social club, fraternal organization, joint stock company, corporation, estate, trust, business trust, receiver, trustee, syndicate, or any other group or combination acting as a unit. I. Rent" shall have the meaning provided in Section of Chapter Transient Occupancy Tax) of this code and, for the purpose of this definition, the term operator" shall mean an " owner" leasing, subleasing, letting or hiring for occupancy. J. Short-term rental" shall mean the rental to a person or group of persons of a short-term rental unit leased or owned by an owner for occupancy, for dwelling, lodging or sleeping purposes for a period of thirty ( 30) consecutive calendar days or less in a zoning district where residential uses are allowed. K. " Short- term rental permit" pursuant to this chapter. shall mean an annual registration submitted to the City L. " Short- term rental property" means a parcel of real property, as shown on the latest equalized tax assessment roll as maintained by the assessor of the County of Orange, upon which a short-term rental unit ( or units) is ( are) maintained. " Short-term rental property" includes the premises upon which a short- term rental unit is located, including parking areas, driveways, landscaping, accessory structures, fences, walls, swimming pools, hot tubs, and spas. M. " Short- term rental unit" shall mean a dwelling, or any portion thereof, that is being rented, or is intended to be rented, as a short-term rental to a person or group of persons PERMIT REQUIRED. 010 This chapter applies to all short-term rental units. No owner of a short-term rental unit located within a zoning district where residential uses are allowed shall rent, offer to rent, or advertise for rent the short- term rental unit to another person without a valid shortterm rental permit approved and issued in the manner provided for by this chapter. 020 No agent or representative, real estate agent or broker, or professional services company shall list or rent a short-term rental unit within the City of Anaheim without a valid short- term rental permit for that short- term rental unit approved and issued pursuant to this chapter AGENTS. An owner may retain an agent or a representative to comply with the requirements of this chapter, including, without limitation, the filing of a complete application for a short- term rental permit that has been signed and notarized by the owner, the management of a short- term rental property or short-term rental unit(s), the filing of all reports and remittance of transient occupancy taxes, and the compliance with the conditions of the short- term rental permit and the requirements of this chapter. The short-term rental permit shall be issued only to the owner of a short- term rental unit or units. The owner of a short- term rental unit shall remain responsible for 4

8 compliance with the provisions of this chapter and the failure of an agent to comply with this chapter shall not relieve the owner of the owner's obligations under the provisions of this chapter and shall be deemed non-compliance by the owner APPLICATION FOR SHORT-TERM RENTAL PERMIT. 010 The owner or the owner's agent shall submit an application for a short-term rental permit to the License Collector upon forms provided by the City. The application for a shortterm rental permit shall contain the following information: A. The name, address and telephone number of the owner of the short- term rental unit(s) for which the short-term rental permit is to be issued. B. short- term rental unit(s). The name, address and telephone number of the agent, if any, of the owner of the rental unit(s). C. The address of the short- term rental property proposed to be used as a short- term rental unit( s). D. The number of bedrooms and the applicable occupancy limit of the short-term E. Acknowledgement of receipt and inspection of a copy of all regulations pertaining to the operation of a short- term rental unit. F. Such other information as the License Collector or the Planning Director deems reasonably necessary to administer this chapter. 020 Upon a change of ownership of a short-term rental property or a change of the agent or change in any material facts set forth in the application for a short-term rental permit, including an application for the annual renewal thereof, a new short-term rental permit shall be required to continue operation of the short-term rental property, which the owner shall submit to the city within fourteen( 14) days of said change RENEWAL OF PERMIT. Notwithstanding the requirement for an owner to apply for a new short-term rental permit in the event of any change described in subsection. 020 of Section , above, and occurring during the term of the short-term rental permit, an owner shall apply for and renew annually at permit issuance anniversary date, indicating at renewal any changes to the information or requirements set forth in Section , above. 5

9 DENIAL OF PERMIT. No application for an initial short-term rental permit or a subsequent renewal' thereof shall be denied if the application meets the conditions of permit issuance pursuant to Section , unless a short-term rental permit issued to the same owner for the short-term rental unit( s) has been revoked or is in the process of being revoked pursuant to Section The denial of a short-term rental permit for any reason may be appealed in accordance with the provisions of Section FILING FEE. An application for a short-term rental permit shall be accompanied by a fee established by resolution of the City Council; provided, however, the fee shall be no greater than necessary to defer the cost incurred by the city in administering the provisions of this chapter CONDITIONS OF PERMIT ISSUANCE AND RENEWAL. 010 All permits and renewals issued pursuant to this chapter are subject to the following standard conditions: rental unit(s) 0101 The owner shall ensure that the short-term rental property and short-term comply with all applicable codes regarding fire, building and safety, and all other relevant laws, regulations and ordinances The owner shall provide proof sufficient to the Planning Director in consultation with the City Attorney that short- term rentals are not prohibited under any Declaration of Covenants, Conditions and Restrictions or any other community standards/ guidelines governing the short- term rental unit and short-term rental property enacted by a Homeowners' or Maintenance Association having jurisdiction over the short- term rental property The short- term rental property and short- term rental unit( s) must be in compliance with all Health and Safety Codes of the City prior to permit issuance. The City may conduct an inspection of the short-term rental property and short-term rental unit(s) as the License Collector or Planning Director deem necessary or prudent, including without limitation, based upon any complaints or violations that occur or prior to a renewal of a permit The owner shall provide a twenty- four ( 24) hour emergency contact that will be available to respond to issues at the short-term rental property within forty- five ( 45) minutes to complaints regarding the condition, operation or conduct of occupants of a short- term rental unit The short- term rental property must have a minimum of two ( 2) offstreet parking spaces. 6

10 0106 The short- term rental property and short-term rental unit( s) must have a visible house number easily seen from the street, day or night Short-term rental property(ies) and short- term rental unit( s) shall be used only for overnight lodging accommodations. They may not be used for weddings, parties, bachelor/bachelorette parties, conferences or similar events permit number( REG ID#). All advertising for the short-term rental shall include the City issued 0109 The primary overnight and daytime occupant of a short-term rental unit must be an adult, eighteen ( 18) years of age or older. This adult must provide a telephone number to the owner and shall be accessible to the owner by telephone at all times Prior to occupancy, the owner shall obtain the name, address, and driver's license number or passport number of the primary adult occupant of a short- term rental unit. The owner shall require that same adult to sign a formal acknowledgment that he or she is legally responsible for compliance by all occupants and guests of a short- term rental unit with the provisions of this chapter. This information shall be readily available upon request of any police officer or employee of the city authorized to enforce this chapter or State law. three( 3) 0111 The owner shall require all occupants to agree to a minimum stay of consecutive nights The owner shall limit overnight occupancy in a short-term rental unit to a specific number of occupants, with the maximum number of overnight occupants to not exceed two ( 2) persons within each short-term rental unit plus an amount that will not exceed three ( 3) persons per bedroom within each short- term rental unit. The Planning Director may, when unusual size, interior layout, parking or other physical characteristics are shown, approve a greater maximum number of overnight occupants as part of a short-term rental permit application or renewal The maximum number of vehicles allowed at a short-term rental property shall be limited to the number of available off-street parking spaces. The owner must make a sufficient number of off-street parking spaces accessible to tenants to accommodate the number of vehicles allowed No on- site exterior signs are to be posted advertising a short- term rental at the short- term rental property Trash and refuse shall not be left stored within public view, except in proper containers for the purpose of collection by the responsible trash hauler and between the hours of 5: 00 p.m. the day before and 8: 00 p.m. the day after the scheduled trash collection days. The owner of a short- term rental property shall provide sufficient trash collection containers and service to meet the demand of the occupants. 7

11 0116 Each lease or rental agreement for a short-term rental unit shall include the following terms, notifications and disclosures, which shall also be posted in a conspicuous location inside each short- term rental unit: a) The maximum number of occupants that are permitted and notification that failure to conform to the maximum occupancy is a violation of this chapter. b) The number of off-street parking spaces provided on the short- term rental property and the maximum number of vehicles that are permitted, along with a summary of all applicable parking rules ( e. g., street sweeping schedules, " permit only" parking restrictions, durational time limit restrictions [ such as " 2 hour parking only" or" no parking 2am- 6am"], etc.). c) The trash pick-up day( s) and applicable rules and regulations pertaining to leaving or storing trash on the exterior of the short-term rental property. d) Notification that the occupant may be cited or fined by the city and/or immediately evicted by the owner for violating any and all applicable laws, in addition to any other remedies available at law, for creating a disturbance or for violating other provisions of this chapter. e) The name of the owner' s agent or the owner of the short- term rental unit, and a telephone number at which that party may be reached at all times and Emergency information. f) Notification of the City' s Loud and Unreasonable Noise Ordinance Chapter of the code) which restricts excessive noise between the hours of 10 p.m. and 7 a. m. g) Summary of any applicable Covenants, Conditions and Restrictions CC& R's) and bylaws, including pool location and hours, of any Homeowners' or Maintenance Association having jurisdiction over a short-term rental property. The use of a short- term rental unit shall not violate any applicable conditions, covenants or other restrictions on the short- term rental property upon which a short- term rental unit is maintained. h) A copy of this chapter of the code, as the same may be amended from time to time The owner shall ensure that the occupants and guests of a short- term rental unit do not create unreasonable noise or disturbances, engage in disorderly conduct, or violate provisions of the Anaheim Municipal Code or any State law pertaining to noise, disorderly conduct, overcrowding, the consumption of alcohol, or the use of illegal drugs. Owners are expected to take any measures necessary to abate disturbances, including, but not limited to, directing the occupants and guests of a short-term rental unit to cease the disturbing conduct, calling for law enforcement services or city code enforcement officers, removing the 8

12 occupant( s) disturbance. and/ or guests, or taking any other action necessary to immediately abate the 0118 The owner shall, upon notification that occupants and/or guests of a shortterm rental unit have created unreasonable noise or disturbances, engaged in disorderly conduct, or committed violations of this code or State law pertaining to, but not limited to, noise, disorderly conduct, overcrowding, illegal parking of vehicles, or the accumulation of refuse, promptly respond in a timely and appropriate manner to prevent a recurrence of such conduct by those occupants and/or guests. Failure of the owner or his or her agent to respond to calls or complaints regarding the condition, operation, or conduct of occupants and/or guests of a shortterm rental unit in a timely and appropriate manner shall be grounds for imposition of penalties as set forth in this chapter. Notwithstanding the foregoing, it is not intended that an owner or his or her agent act as a peace officer or place himself or herself in an at-risk situation. The owner or his or her agent shall report the name, violation, date, and time of disturbance of each responsible party involved in three or more disturbances covered by this subsection to the Planning Director. 020 The Planning Director shall have the authority at any time to impose additional standard conditions, applicable to all short-term rental units, as necessary, to achieve the objectives of this chapter. A list of all such additional standard conditions shall be maintained and on file in the office of the Planning Director. 030 The Planning Director shall have the authority to impose additional conditions on any short-term rental permit in the event of any violation of the conditions to the permit or the provisions of this chapter subject to compliance with the procedures specified in Section The Planning Director is authorized to modify the standard conditions upon request of an owner or his or her agent based on site-specific circumstances for the purpose of allowing reasonable accommodation of a short-term rental unit. All requests must be in writing and shall identify how the strict application of one or more of the standard conditions create an actual and unreasonable hardship to a property such that, if the requirement is not modified, reasonable use of the property for a short-term rental would not be allowed. Any hardships identified must relate to physical constraints to the subject site and shall not be self-induced or economic. Any modifications of the standard conditions shall not further exacerbate an already existing problem AUDIT. Each owner and agent or representative of any owner shall provide access to each short-term rental unit and any records related to the use and occupancy of the short- term rental unit to the Planning Director at any time during normal business hours, for the purpose of inspection or audit to determine that the objectives and conditions of this chapter are being fulfilled. 9

13 VIOLATIONS/ PENALTIES. 010 Violations. The following conduct shall constitute a violation for which penalties specified in subsection. 020 may be imposed or the permit suspended or revoked: 0101 The owner has failed to comply with the standard conditions specified in subsection.010 of Section , above; 0102 The owner has failed to comply with the additional standard conditions ( if any) imposed by the Planning Director pursuant to the provisions of subsections. 020 and/or.030 of Section , above; 0103 The owner has willfully violated the provisions of this chapter; 0104 The owner or its agent advertises an unpermitted short-term rental unit. For purposes of this subsection, advertising includes announcing or portraying in any medium, including electronic medium, that a dwelling is available or can be made available for occupancy by a person, as that term is used in this chapter. 020 Penalties. Violations specified in subsection. 010 of this Section shall be punishable pursuant to the civil citation provisions of Chapter of this code, except that: a) the penalty for a first violation within any twelve ( 12) month period shall range from a notice of violation to a fine not to exceed two hundred dollars ($ 200); b) the penalty for a second violation within any twelve( 12) month period shall range from a fine not to exceed four hundred dollars ($ 400) to suspension or revocation of the short-term rental permit pursuant to Section ; and c) the penalty for a third violation within any twelve ( 12) month period shall be one thousand dollars ($ 1, 000) and the short-term rental permit may be suspended or revoked pursuant to Section Notwithstanding the provisions of Chapter 1. 20, any notice of violation issued for violations specified in this section may provide for a reasonable compliance date or time of less than fifteen ( 15) calendar days but at least thirty minutes from the date or the time the notice of violation is given if, due to the nature of the violation, a shorter compliance period is necessary or appropriate, as determined in the reasonable judgment of the city official issuing the notice. 040 The remedies provided for in this section are in addition to, and not in lieu of, all other legal remedies, criminal or civil, which may be pursued by the city to address any violation of this code or other public nuisance. 10

14 PROCEDURE FOR IMPOSITION OF SUSPENSION AND/OR REVOCATION OF SHORT-TERM RENTAL PERMIT. The Planning Director shall have the right to suspend or revoke a short- term rental permit for any violation of federal, state or local law. The Planning Director, or his/her authorized representative, shall conduct an investigation whenever he or she has reason to believe that an owner has committed a violation described in Section Should the investigation reveal substantial evidence to support a finding that a violation occurred, the Planning Director shall issue written notice of intention to impose a suspension and/ or revoke the permit. The written notice shall be served on the owner, shall specify the facts which, in the opinion of the Planning Director, constitute substantial evidence to establish grounds for imposition of the suspension and/ or revocation, and specify that the permit will be suspended or revoked within thirty ( 30) days from the date the notice is given unless the owner files with the City Clerk and before the suspension or revocation becomes effective a request for an appeal of the decision. Any person aggrieved by a decision of the Planning Director under this Chapter 4.05 may appeal the decision in accordance with the appeal and hearing provisions of Chapter of this code EFFECT OF SHORT- TERM RENTALS ORDINANCE ON OTHER PROVISIONS OF CODE. The issuance of any short-term rental permit pursuant to this chapter shall not relieve the owner of the obligation to comply with all other provisions of this code pertaining to the use and occupancy of the short-term rental or the property on which it is located EFFECTIVE DATE FOR COMPLIANCE. An owner of a short-term rental unit shall apply for a permit pursuant to this chapter by no later than July 31, SECTION 2. That Table 4- B ( Accessory Uses and Structures: Single- Family Residential Zones) of Section ( Uses) of Chapter ( Single- Family Residential Zones) be, and the same is hereby, amended to read in full as follows: Table 4- B ACCESSORY USES AND STRUCTURES: SINGLE- FAMILY RESIDENTIAL ZONES P= permitted by Right C= Conditional Use Permit Required N Prohibited RH- RH- RH- RS- RS- RS- RS- Special Provisions 11

15 Accessory Subject to Living P P P P P N N Quarters Agricultural Workers P P N N N N N Quarters Requires a minimum lot size of ten 10) acres Animal Keeping Subject to , except that in the RH-2 Zone, equine, bovine, sheep, goats & swine P P P P P PP may be kept, stabled, tethered or otherwise maintained on minimum 22, 000 sq. ft. parcels Antennas Dish Subject to P P P P P PP ( may require a conditional use permit) Antennas Subject P P P P P P P Receiving to Day Care Subject P P P P P P P Large Family to Day Care P P P P P P P Small Family Fences & Walls Subject to ; this use may P P P P P PP occur on a lot with or Greenhouses Private P P P P P N N without a dwelling Home P P P P P P P Subject 12

16 Occupations Landscaping Gardening P P P P P P P to Subject to Chapter ; this use may occur on a lot with or Mechanical Utility Equipment P P P PP P P Ground Mounted Mechanical Utility Equipment N N N P P P P Roof Mounted without a dwelling Subject to Subject to To serve needs of primary use Parking Lots P P P P P P P only; four-car Garages limit for Petroleum Storage P P P P P P P Incidental Recreation Buildings & P P P P P P P Structures garages in RS- 1 2 Zones and RS- Second Units P P P P P P N Subject to Subject to an administrative Short-Term P P P P P P P use permit as Rentals provided in Chapter 4.05 Solar Energy Panels P P P P P P P Subject to 13

17 Subj Subj Senior Second Units C C C C C C N Signs pp p p p p p Subject to Chapter SECTION 3. That Table 6- B ( Accessory Uses and Structures: Multiple-Family Residential Zones) of Section ( Uses) of Chapter (Multiple-Family Residential Zones) be, and the same is hereby, amended to read in full as follows: Table 6- B ACCESSORY USES AND STRUCTURES: MULTIPLE-FAMILY RESIDENTIAL ZONES P= Permitted by Right C----Conditional Use Permit Required N=prohibited RM- RM- RM- RM Special Provisions Animal Keeping PP P p Subject to Antennas Dish P P P P ( Subject to may require conditional use permit) Antennas P P P P Receiving J ect to Day Care Large P P P P Family J ect to Day Care P P P P Small Family Fences & Walls Home Occupations Subject to ; a fence or wall may occur PP P P on a lot with or without any other primary use structure P PP P Subject to Landscaping & Subject to Chapter ; P P P P Gardens this use may occur on a lot with or without any other 14

18 Mechanical & primary use structure Utility Equipment P P P P Subject to Ground Mounted Mechanical & Utility Equipment Roof Mounted P p p p Subject to Parking Lots & p P P P To serve needs of primary Garages use only Recreation Buildings & P P P P Structures Second Units P P P P Subject to Subject to an Short- Term administrative use permit Rentals P P P P as provided in Chapter 4.05 Signs P P P P Subject to Chapter Solar Energy P P P P Panels Must be mounted on the roof and, if visible from the street level, must be parallel to the roof plane Vending Machines P P P P Shall be screened from view from adjacent non- industrial property and public rights- of-way SECTION 4. That Section ( Accessory Use Classes) of Chapter ( Types of Uses) of Title 18 ( Zoning) be, and same is hereby, amended to read in full as follows: ACCESSORY USE CLASSES. The following use classes are intended to describe only those uses that are incidental to and customarily associated with a primary use or main structure located on the same lot. 15

19 010 Accessory Living Quarters. This use class consists of one dwelling unit per lot, used for non-paying guests or household employees, for an allowable residence located on the same residentially zoned lot. 020 Agricultural Workers Quarters. This use class consists of dwellings and occupied located by employees primarily engaged in commercial agricultural operations, on land owned or rented by the agricultural operator. Family members of the agricultural employees may also live in the same unit. 030 Amusement Devices. This use class consists of six ( 6) or fewer nine amusement percent( devices, and any number of amusement devices that occupy forty- 49%) or less of the public floor area of an establishment. 035 Automated Teller Machines ( ATM' s). This use class consists of cash dispensing machines that are typically located inside an existing business. 040 Animal Keeping. This use class consists of keeping of pets and other domesticated animals owned by occupants of the lot, and not kept for remuneration, hire or sale. 050 Antennas Dish. This use class consists of circular or nearly circular antennas used for the reception of electronic signals relayed by satellites moving through the sky. 060 Antennas Receiving. This use class consists of roof-mounted antennas used for the reception of television, radio or other electronic signals from ground- mounted transmitting antennas or relay stations. 070 Bingo Establishments. This use class consists of establishments that offer bingo games to the public for the purpose of fundraising for an organization. 080 Caretaker Units. This use class consists of one dwelling unit per lot, used for the sole purpose of providing security, maintenance or similar services for an allowable non-residential use located on the same non-residentially zoned lot. 090 Day Care Large Family. This use class consists of a day care facility located in a single- family residence, where an occupant of the residence provides care and supervision for between nine ( 9) and fourteen ( 14) children less than eighteen ( 18) years of age for periods of fewer than twenty-four (24) hours per day. Children less than the age of ten( 10) years who reside in the home count as children served by the facility. 100 Day Care Small Family. This use class consists of a day care facility located in a single- family residence, where an occupant of the residence 16

20 provides care and supervision for eight ( 8) or fewer children less than eighteen 18) years of age for periods of fewer than twenty-four ( 24) hours per day. Children less than the age of ten ( 10) years who reside in the home count as children served by the facility. 105 Entertainment Accessory. This use class consists of accessory entertainment offered in conjunction with a restaurant as defined in Section of this code or other primary land use. The entertainment provided is intended to be part of the service provided at the establishment and is not the primary draw of customers to the establishment. The entertainment is not the primary source of income for the establishment. Typical land uses are coffee bar. houses with live music, restaurants with live music, and accessory music within a 110 Fences & Walls. This use class consists of a continuous barrier, including gates, that separates, screens, encloses or marks the boundary of a lot or development. The barrier may consist of man-made materials, vegetative materials, earthen berms, or other natural or fabricated barrier. 120 Greenhouses Private. This use class consists of a greenhouse, detached from the main dwelling and no larger than twenty percent ( 20%) of the main dwelling, used for gardening purposes. An attached greenhouse is considered to be part of the main dwelling. 130 Home Occupations. This use class consists of an occupation that is carried on in any approved dwelling unit by the resident of the dwelling unit, and is incidental to the use of the dwelling unit such that it does not change the residential character of the unit or neighborhood. 140 Landscaping & Gardens. This use class consists of the noncommercial growing of trees, shrubs, flowers, gardens and other natural planting materials, as well as the use of non-vegetative landscaping materials. 150 Mechanical & Utility Equipment Ground Mounted. This use class consists of ground- mounted mechanical or utility equipment, such as compressors, condensers, pipes used for heating and cooling, water backflow devices, above- ground fire lines, pad-mounted transformers, and other activities associated with and incidental to the main and accessory building. 160 Mechanical & Utility Equipment Roof Mounted. This use class consists of roof-mounted mechanical or utility equipment, such as compressors, condensers, pipes, vents, ducts, and other activities associated with and incidental to the main building. 17

21 170 Outdoor Displays. This use class consists of the display of merchandise outside of an enclosed structure for the purpose of showing the merchandise to potential buyers or users. 180 Outdoor Storage. This use class consists of overnight storage of materials or finished products that are associated with and incidental to the primary use of the site. 190 Parking Lots & Garages. This use class consists of open parking lots and structures, including garages and carports, designed to be used for parking automobiles. The overnight storage of work related vehicles used during business hours is included in this use class. 200 Petroleum Storage Incidental. This use class consists of the storage of petroleum products, such as small quantities of gasoline, oil and lighter fluid, for use on- site, but not for resale or use off-site. 210 Portable Food Carts. This use class consists of portable carts from which coffee, non-alcoholic drinks, or prepared food is sold, and that are removed during the hours when the principle use with which they are associated is not operational. 220 Recreation Buildings & Structures. This use class consists of recreational uses associated with residential dwellings, such as swimming pools, cabanas, dressing rooms, private noncommercial workshops, barns, tennis and paddleball courts, play equipment, and non- habitable tree houses. 225 Recycling Services Consumer. This use class consists of small- scale waste collection facilities as defined as a " Reverse Vending Machine" and " Small Collection Facility" in Chapter ( Recycling Facilities). 230 Retail Floor, Wall & Window Coverings. This use class consists of the sale of tile, floor coverings, wall coverings, and window coverings as accessory use to a primary permitted industrial use. 240 Second Units. This use class consists of an attached or detached dwelling unit providing complete independent living accommodations and facilities for one or more persons, including permanent provisions for living, sleeping, eating, cooking and sanitation, that is accessory to the primary dwelling unit on the same site. 250 Senior Second Units. This use class consists of an attached or detached dwelling unit providing complete independent living accommodations and facilities for one ( 1) or two ( 2) persons, both of whom are sixty-two ( 62) years of age or older, including permanent provisions for living, sleeping, eating, an 18

22 cooking and sanitation that are accessory to the primary dwelling unit on the same site. 260 Short-Term Rentals. This use class consists of the rental of an approved short-term rental unit for occupancy dwelling lodg_ in or sleeping purposes for at least three( 3), but not more than thirty( 30), consecutive calendar days in duration in a zoning district where residential uses are allowed. 270 Signs. This use class consists of any device used for visual communication intended to attract the attention of the public and that is visible from a public right-of- way or other properties. Items of merchandise normally displayed within a show window of a business are not included. 280 Solar Energy Panels. This use class consists of any solar collector( s) or other solar energy device( s) whose primary purpose is to provide for the collection of solar energy for space heating, space cooling, electric generation, or water heating. 290 Thematic Elements. This use class consists of non- occupiable structures that are intended to add interest to a specific area. Examples include gateways, towers, public art displays, monuments, fountains, sculptures, spires, and similar architectural features. 300 Vending Machines. This use class consists of an unattended, selfservice device that, upon insertion of a coin or token, dispenses something of value, including food, beverages, merchandise or services. 310 Warehousing & Storage- Outdoors. This use class consists of the outdoor storage of equipment, materials, and finished products or refuse basic to the operations of permitted uses, other than the storage classified under the Outdoor Storage Yards" use class. SECTION 5. SEVERABILITY. The City Council of the City of Anaheim hereby declares that should any section, paragraph, sentence, phrase, term or word of this ordinance be declared for any reason to be invalid, it is the intent of the City Council that it would have adopted all other portions of this ordinance independent of the elimination herefrom of any such portion as may be declared invalid. If any section, subdivision, paragraph, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance, and each section, subdivision, paragraph, sentence, clause and phrase thereof, irrespective of the fact that any one ( or more) section, subdivision, paragraph, sentence, clause or phrase had been declared invalid or unconstitutional. 19

23 SECTION 6. CERTIFICATION The City Clerk shall certify to the passage of this ordinance and shall cause the same to be printed once within fifteen ( 15) days after its adoption in the Anaheim Bulletin, a newspaper of general circulation, published and circulated in the City of Anaheim. SECTION 7. EFFECTIVE DATE This ordinance shall take effect and be in full force thirty ( 30) days from and after its final passage. THE FOREGOING ORDINANCE was introduced at a regular meeting of the City Council of the City of Anaheim held on the day of 2014, and thereafter passed and adopted at a regular meeting of said City Council held on the day of 2014, by the following roll call vote: AYES: NOES: ABSENT: ABSTAIN: CITY OF ANAHEIM By: MAYOR OF THE CITY OF ANAHEIM ATTEST: CITY CLERK OF THE CITY OF ANAHEIM v6/ TReynolds 20

24 i AN-1111EIN GOOD NEIGHBOR v,,'..,, - BROCHURE FOR z $$ k : SHORT- Welcome to Anaheim! The City of Anaheim welcomes you to our wonderful city. We request that you take a few moments to review the important information included in this To learn about upcoming City events and to discover what makes Anaheim a great place to live, work, and play, visit For more information about the Short-Term Rental Program, brochure regarding your stay in a please call short- term rental property TERM RENTALS AN-A.11E1N visit us online net/ STR We hope you enjoy your visit to or dial #311 the City of Anaheim for 24/ 7 support R Always In case of an Emergency Dial ro, Anaheim City Hall 200' S. Anaheim Blvd Anaheim, CA www. anaheimnet/ STR

25 Why have a Good Neighbor brochure? What Rules do I have to follow? Who is reponsible for rule violations? Anaheim is a City of Kindness Occupancy: Maximum occupancy is limited to 3 The Short-Term Rental Program Is persons per bedroom, designed to encourage both and we want our residents and visitors to enjoy the peaceful with an additional 2 persons allowed property owners and renters to comforts that our neighborhoods offer. The Good Neighbor Brochure will hel p you understand your responsibilities as a tenant in a Short-Term Rental in; a residential neighborhood. w in a non- bedroom living area. Noise Restrictions: You must take all reasonable actions to limit noise between the hours of 10PM and 7AM. Parking: Please park your vehicles in the off-street parking provided by the property owner. Vehicles parked in the street are subject to all City laws. Trash: All refuse and waste must be placed in City-approved receptacles respect their neighbors and conform to all City rules and regulations As such, both you and the property owner can be held liable for violating any policies associated with the Short-Term Rental Program. Property Owners have the power to evict problem renters, and repeated violations can lead to the revocation of their Short-Term Rental Permit. and shall not be left stored in public To report violations, community view except for the purpose.of members have access to City regular trash collection. Hotlines 24/ 7. Following these simple rules will help to ensure that you are a Good Neighbor.

26 OFFICE USE ONLY) BUS# REG# TOT# C. knac;* 44- CITY OF ANAHEIM SHORT-TERM RENTAL PERMIT APPLICATION 200 S. Anaheim Blvd.# 136, Anaheim, CA P.O. Box 61042, Anaheim, CA ) Chapter 4.05-Anaheim Municipal Code New Application Renewal n New Owner Business Name Change accepted in person Mon-Fri 8AM-5PM or by Mail PART 1: Business Name Open/ Start or Change Date: NAME AND ADDRESS OF SHORT TERM RENTAL PROPERTY Business Address City ANAHEIM Include All Business Telephone Numbers) Business Phone State Fax Number CA I Zip E- mail Mailing Address City State Zip PART 2: OWNERSHIP INFORMATION Please check the appropriate ownership type: Sole Ownership Partnership Corporation Joint Venture Limited Liability Co. Limited Partnership Receiver Trust Other: Tax ID or EIN#: State ID#: Resale Permit#: Primary Owner, Partner, or Officer Information: ( Please include additional owners on PART 2B) Last Name Alias or Maiden Names First Name Middle Home Address City State Zip Phone Place of Birth Date of Birth Driver's License No. State Social Security No. Other Licenses Held State OFFICE USE ONLY APP REC' D BY TRANSMITTED TO DEPARTMENTS: DATE REVIEWED BY: BY PLANNING DEPARTMENT Zoning Division) DATE Recommendation BY Code Enforcement Division DATE Recommendation BY

27 PART 2B: OWNERSHIP INFORMATION Additional Owner, Partner, or Officer Information: Last Name I Alias or Maiden Names First Name Middle Home Address City State Zip Phone Place of Birth Date of Birth Driver's License No. State Social Security No. Other Licenses Held State PART 2B: OWNERSHIP INFORMATION Additional Owner, Partner, or Officer Information: Last Name I First Name Middle Alias or Maiden Names Home Address City State Zip Phone Place of Birth Date of Birth Driver's License No. State Social Security No. Other Licenses Held State PART 2B: OWNERSHIP INFORMATION Additional Owner, Partner, or Officer Information: Last Name I First Name I Middle l f Alias or Maiden Names Home Address City State Zip Phone Place of Birth Date of Birth Driver's License No. State Social Security No. Other Licenses Held State PART 2B: OWNERSHIP INFORMATION Additional Owner, Partner, or Officer Information: Last Name First Name Middle Alias or Maiden Names Home Address City State Zip Phone Place of Birth Date of Birth Driver's License No. State Social Security No. Other Licenses Held State

28 PART 3: CORPORATION, L.L.C. OR PARTNERSHIPS ONLY Name of Responsible Managing Officer of Corporation, L.L.C. or Partnership: Attach copy of Certificate of Limited Partnership, Articles of Organization( L.L.C.) or Articles of Incorporation. Is this a Corporation, L. L. C. or a Partnership? Corporation L. L. C. Partnership Name of the Corp., L.L. C., or Partnership( as shown in above documents). State of Registration Registration Number IDate of Registration in If athe Corporation, Corporation. include the names and addresses of each Officer, Director and each Stockholder holding more than five( 5) percent of the stock members. If a Partnership or LLC, include the names, residence addresses and dates of birth of each of the partners, including limited partners or 1 Name& Title City 2 Name& Title City 3 Name& Title City 4 Name& Title If needed please attach a separate list of officers) TAddress I I Address Address Address I I State I Zip l State Zip I I Date of Birth Date of Birth State I Zip I Date of Birth 1 1 City State Zip Date of Birth 5 Name& Title Address City State Zip Date of Birth PART 4: BUSINESSES PROVIDING SERVICES OTHER THAN PROPERTY OWNER Provide Names of Companies or Individuals providing services such as Property Management, Cleaning, Transportation, Babysitting, etc. other than owner or his/her employees.( If needed please attach a separate list) Please check if Owner/Operated Only If Owner/ Operated Number of Employees: Business/ Individual Name Services Provided: Address City State Zip Phone Address Business/Individual Name Address City of Anaheim Business Tax Cert#: Initial Services Provided: Start Date of Services City State Zip Phone Address Business/ Individual Name Address City of Anaheim Business Tax Cert#: Initial Services Provided: Start Date of Services City State Zip Phone Address City of Anaheim Business Tax Cert#: Initial Start Date of Services

29 PART 5: 24-HOUR EMERGENCY CONTACT has REQUIRED ability to FOR respond ALLtoSHORT-TERM issues within forty-five( RENTAL45) PROPERTIES: minutes of complaint. A.M.C. Subsection provides emergency contact Name& Title Address City Primary Phone: Alternate Phone: State Zip PART 6: PROPERTY DESCRIPTION Applicant must provide a detailed description of short-term rental property. Please include the property type( Single/Multi- Family Home, Condominium) number or rooms, beds, baths, etc. Any If needed, changes please to such attach list after a separate issuance list.) of the Permit must be submitted to the License Collector within fourteen( 14) days. Single Family Home LI Multi- Family Home Condominium Other Is property a part of a Homeowner' s Association ( HOA)? Yes No If so, you are required to obtain authorization from HOA board to operate a Short Term Rental. Number of Bedrooms Number of Beds Number of Bathrooms Max Number of Occupants Number of Off-Street Parking Spaces Any other detailed information: PART 7: AUTHORIZED AGENT Please complete this section if application is being submitted/ managed by person other than owner. Notarized Authorized Agent Appointment Form Required Full Legal Name Home Address Relationship to Owner: City State Zip Home Phone Date of birth Social Security No. Driver's License No. PART 8: Required Documents for Submittal of this Application: Submit a floor plan of the property which provides the location of rooms, beds, bathrooms with maximum occupancy limit. Submit a site plan which addresses parking areas and number of off-street parking spaces. If property is a part of a Homeowner's Association, submit authorization letter from HOA Board allowing Short Term Rental use.

30 Submit a copy of Fictitious Business Name Statement filed with the Orange County Recorder's office with official recordation stamp if using a Fictitious Business Name or D. B. A. for your business. Submit an endorsed copy of Statement of Information filed with the Secretary of State of California if owned as Corporation, L. L. C. or Partnership. Submit an endorsed copy of Articles of Organization filed with the Secretary of State of California if owned as Corporation, L. L. C. or Partnership. Submit original Notarized Authorized Agent Appointment Form if property managed by person(s) other than property owner. Submit legible copies of government issued photo I. D. ( Driver's License or Passport) for each owner/officer. Non- Refundable Application Fee of$ Please make check payable to: City of Anaheim PART 9: CERTIFICATION I hereby certify under the penalty of perjury that the information given is true and correct. I understand that providing false information or withholding information, including any criminal record, is grounds for denial or revocation of my permit and may subject me to criminal prosecution. I do hereby authorize the City of Anaheim, its agents and employees to seek verification of the information contained on this application. I further understand that I may not conduct the activity applied for until a permit has been granted, and that a copy of the City Ordinances regulating Short- Term Rental Permits is available to me in the City Clerk's Office or over the Internet at (Chapter 4.05 of the Anaheim Municipal Code). Signature Date Print Name and Title

31 MID 14 vnva INTid

32 ORDINANCE NO AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DANA POINT, CALIFORNIA, ADDING CHAPTER 5.38 RELATING TO SHORT-TERM RENTAL PERMITS term WHEREAS, an increasing number of tourists renting residential dwellings on a short- basis and an increasing number of residential property owners renting units for business purposes has escalated the demand for City services and, in some circumstances, created adverse impacts in zoning districts where residential uses are permitted throughout the City; and WHEREAS, several hundred dwellings within the City's residential zones are rented for less than thirty (30) days, often seven ( 7) days or less, with the majority of those rentals greatest; occurringand during the peak seasons when the demand for parking and City services is many WHEREAS, complaints the City has received an extensive number of communications, including regarding excessive noise, disorderly conduct, vandalism, overcrowding, traffic congestion, illegal vehicle parking and accumulation of refuse which are directly related to short-term rentals; and WHEREAS, short-term rentals are often operated by agents and/ or absentee owners who are not on-site and who exercise lithe or no supervision or control of occupants, from unlikeneighboring hotel staff that rooms; areand capable of responding to complaints immediately upon receipt WHEREAS, the impacts associated with short-term rentals are particularly acute in residential districts where the peace, safety, and general welfare of the long-term residents and neighborhoods are threatened; and WHEREAS, the permitting, notification, and related requirements set forth in this Chapter are necessary to prevent the burden on City services and the adverse impacts on residential neighborhoods posed by short-term rentals; and WHEREAS, short term rentals are not currently listed as a permitted or conditionally permitted use in any zoning district in the City; and WHEREAS, because short term rentals are not listed as a permitted or conditionally permitted use, they are currently prohibited in the City; and WHEREAS, the City Council intends to adopt a zoning ordinance and local coastal program amendment permitting short term rentals in zoning districts where residential uses are allowed, subject to the regulations contained in Chapter 5. 38; and

33 Ordinance No Short Term Rental Permits Page 2 WHEREAS, short-term rentals continue to be prohibited in all zoning districts within the City until the zone text amendment and local coastal program amendment described herein are fully and finally approved; and WHEREAS, in order to allow time to process the zone text and local coastal program amendments, and to allow the owners of short-term rentals sufficient time to comply while with the thisrequirements Ordinance shall contained become in Chapter effective 5. 38, the City Council hereby directs that thirty ( 30) days after its passage and adoption, staff shall not implement its provisions until January 15, ORDAINS NOW, THEREFORE, AS FOLLOWS: THE CITY COUNCIL OF THE CITY OF DANA POINT HEREBY SECTION 1. Chapter of the Dana Point Municipal Code entitled " Short Term Rental Permits" is hereby added to read in its entirety as follows: Chapter Purpose. SHORT-TERM RENTAL PERMITS The unit that purpose is used of this as Chapter is to require the owner or owners of a residential dwelling a short-term rental, as defined herein, to apply for and secure a permit authorizing such use in the manner provided for by this Chapter in order to safeguard the peace, safety and general welfare of the residents of Dana Point and their visitors and guests by eliminating excessive noise, disorderly conduct, vandalism, overcrowding, traffic congestion, illegal vehicle parking, and the accumulation of refuse which are directly related to short-term rentals Definitions. For the purpose of this Chapter, the following definitions shall apply: A. " Agent" shall mean the representative, if any, designated by the Owner in accordance with Section B. " City Manager" shall mean the City Manager of the City of Dana Point or his or her designee. C. " Community Development Director" shall mean the Community Development Director of the City of Dana Point or his or her designee. D. " Owner" shall mean the person( s) or entity( ies) that hold( s) legal and/ or equitable title to the short-term rental. E. " Short-term rental" is defined as the rental of any structure or any portion of any structure for occupancy, dwelling, lodging or sleeping purposes for at least two

34 Ordinance No Short Term Rental Permits Page 3 F. " 2) consecutive nights, but no more than thirty( 30), consecutive calendar days in duration in a zoning district where residential uses are allowed, including, but not limited to, detached single-family dwellings, condominiums, duplexes, triplexes, townhomes and multiple-family dwellings. " Short-term renter historically and continues to be included in the definition of "hotel" for purposes of collecting transient occupancy tax pursuant to Chapter 3.25 of this Code. Transient" means any person who occupies or is entitled to occupy by reason of concession, permit, right of access, license or other agreement for a period of thirty (30) consecutive calendar days or less, counting portions of calendar days as full days. Any such person so occupying space in a hotel is a transient until the period of thirty( 30) days has expired unless there is an agreement in writing between the operator and the occupant providing for a longer period of occupancy. In determining whether a person is a transient, an uninterrupted period of time extending both prior and subsequent to the effective date of this Chapter may be considered Permit Required. No owner of a short-term rental located within a zoning district where residential uses are allowed shall rent, offer to rent, or advertise for rent the short-term rental to another person without a valid short-term rental permit approved and issued in the manner provided for by this Chapter Agents. An Owner may retain an Agent or a representative to comply with the requirements of this Chapter, including, without limitation, the filing of an application for a permit that has been signed and notarized by the Owner, the management of the short-term rental, and the compliance with the conditions to the permit. The permit shall be issued only to the Owner of the short-term rental. The Owner of the short-term rental is responsible for compliance with the provisions of this Chapter and the failure of an Agent to comply with this Chapter shall be deemed non-compliance by the Owner Application for Permit. The Owner or Owners shall submit an application for a short-term rental permit to the Director of Community Development. The application for a short-term rental permit shall be upon forms provided by the City and shall contain the following information: A. The name, address and telephone number of the Owner of the short-term rental for which the permit is to be issued. B. The name, address and telephone number of the Agent, if any, of the Owner of the short-term rental.

35 Ordinance No Short Term Rental Permits Page 4 C. D. E. F. Evidence of a valid transient occupancy tax registration certificate issued by the City for the short-term rental. Proof of general liability insurance in the amount of one million dollars combined single limit and an executed agreement to indemnify, defend, and save the City harmless from any and all claims and liabilities of any kind whatsoever resulting from or arising out of the short-term rental. Acknowledgement of receipt and inspection of a copy of all regulations pertaining to the operation of a short-term rental within the City. Such other information as the Director of Community Development deems reasonably necessary to administer this Chapter Renewal of Permit The Owner or Owners shall apply for and renew annually at permit issuance anniversary date with any changes to the information or requirements set forth in Section above and shall provide a current proof of general liability insurance pursuant to (0) Denial of Permit. No application for an original permit or a subsequent renewal shall be denied if it meets the conditions of permit issuance pursuant to unless a permit for the same short term rental has been revoked or is in the process of being revoked pursuant to Section of this Chapter Filing Fee. An application for a short-term rental permit shall be accompanied by a fee established by resolution of the City Council, provided, however, the fee shall be no greater than necessary to defer the cost incurred by the City in administering the provisions of this Chapter Conditions of Permit Issuance And Renewal. A. All permits and renewals issued pursuant to this Chapter are subject to the following standard conditions: 1. The Owner shall ensure that the short-term rental complies with all applicable codes regarding fire, building and safety, and all other relevant laws and ordinances. 2. The Owner shall provide proof that short-term rentals are not prohibited by its Homeowners Association Conditions, Covenants and Restrictions

36 Ordinance No Short Term Rental Permits Page 5 CC& Rs") or any other community standards/ guidelines, applicable to the proposed short-term rental. 3. The short-term rental unit in which a permit is being requested must pass an initial inspection by the City prior to permit issuance. The City may conduct additional inspections as deemed necessary or prudent prior to subsequent renewals. 4. The Owner shall provide a twenty- four (24) hour emergency contact located within a 25 mile radius of the short-term rental that will be available to respond to issues at the short-term rental The short-term rental must have a minimum of two ( 2) off-street parking spaces. The short term rental must have a visible house number easily seen from the street, day or night. 7. Short-term rentals shall be used only for overnight lodging accommodations. They may not be used for weddings, parties, bachelor/bachelorette parties, conferences or similar events. 8. All advertising for the short-term rental shall include the City issued permit number. 9. The primary overnight and daytime occupant of the short-term rental must be an adult eighteen ( 18) years of age or older. This adult must provide a telephone number to the Owner and shall be accessible to the Owner by telephone at all times. 10. Prior to occupancy, the Owner shall obtain the name, address and driver's license number or a copy of the passport of the primary adult occupant of the short-term rental. The Owner shall require that same adult to sign a formal acknowledgment that he or she is legally responsible for compliance by all occupants and guests of the short-term rental with the provisions of this Chapter. This information shall be readily available upon request of any police officer or employee of the City authorized to enforce this Chapter or State Law. 11. The Owner shall require all occupants to agree to a minimum stay of two 2) consecutive nights. 12. The maximum overnight occupancy of the short term rental shall be limited to two ( 2) persons per bedroom plus two ( 2) additional persons within the short-term rental. The Director of Community Development may, when unusual size, interior layout, parking or other physical

37 Ordinance No Short Term Rental Permits Page 6 characteristics are shown, approve a greater maximum number of overnight occupants as part of a permit application or renewal. 13. The maximum number of vehicles allowed at the short term rental shall be limited to one ( 1) vehicle per one ( 1) bedroom unit or two ( 2) vehicles maximum with two (2) or more bedrooms within the short term rental. The Director of Community Development may, when unusual size, parking or other physical characteristics are shown, approve a greater maximum number of vehicles as part of a permit application or renewal. The Owner must make a sufficient number of parking spaces accessible to tenants to accommodate the maximum number of vehicles allowed. 14. No on-site exterior signs are to be posted advertising a short-term rental. 15. Trash and refuse shall not be left stored within public view, except in proper containers for the purpose of collection by the responsible trash hauler and between the hours of 5:00 p.m. the day before and 8:00 a.m. the day after the scheduled trash collection days, as provided in Chapter The owner of the short-term rental shall provide sufficient trash collection containers and service to meet the demand of the occupants. 16. Each lease or rental agreement for a short-term rental shall include the following terms, notifications and disclosures, which shall also be posted in a conspicuous location inside the short-term rental: a. The maximum number of occupants that are permitted and notification that failure to conform to the maximum occupancy is a violation of this Chapter. b. The number of parking spaces provided and, if not adjacent to the short-term rental, the location of assigned parking and maximum number of vehicles that are permitted. c. The trash pick- up day( s) and applicable rules and regulations pertaining to leaving or storing trash on the exterior of the property. d. Notification that the occupant may be cited or fined by the City and/ or immediately evicted by the owner for violating any and all applicable laws. e. The name of the managing agency, agent, rental manager, local contact person or owner of the unit, and a telephone number at which that party may be reached at all times and Emergency information.

38 Ordinance No Short Term Rental Permits Page 7 f. Summary of applicable Homeowners Association Conditions, Covenants and Restrictions ( CC& R' s) and bylaws, including pool location and hours. 17. The Owner shall ensure that the occupants of the short-term rental do not create unreasonable noise or disturbances, engage in disorderly conduct, or violate provisions of the Municipal Code or any State Law pertaining to noise, disorderly conduct, overcrowding, the consumption of alcohol, or the use of illegal drugs. Owners are expected to take any measures necessary to abate disturbances, including, but not limited to, directing the tenant, calling for law enforcement services, or City code enforcement officers, evicting the tenant, or any other action necessary to immediately abate the disturbance. 18. The Owner shall, upon notification that occupants or tenants of his or her short-term rental have created unreasonable noise or disturbances, engaged in disorderly conduct, or committed violations of the Municipal Code or State Law pertaining to, but not limited to, noise, disorderly conduct, overcrowding to take action to prevent a recurrence of such conduct by those occupants or guests within twenty-four( 24) hours. B. The Director of Community Development shall have the authority at any time to impose additional standard conditions, applicable to all short-term rentals, as necessary to achieve the objectives of this Chapter. C. The Director of Community Development shall have the authority to impose additional conditions on any permit in the event of any violation of the conditions to the permit or the provisions of this Chapter subject to compliance with the procedures specified in Section D. The owner must maintain a valid transient occupancy tax registration certificate issued by the City for the short-term rental; the owner must collect and remit transient occupancy tax as required by Chapter of the Municipal Code Violations/ Penalties. A. Violations. Except as described in Section subsection ( C), the following conduct shall constitute a violation for which the penalties specified in Section subsection ( B) may be imposed, or the permit revoked: 1. The Owner and/ or Agent has failed to comply with the standard conditions specified in Section (A); 2. The Owner and/ or Agent has failed to comply with conditions imposed by the Director of Community Development pursuant to the provisions of Section ( B) or (C);

39 Ordinance No Short Term Rental Permits Page B. Penalties. Chapter; The Owner and/or Agent has willfully violated the provisions of this pursuant The Owner toand/ Section or Agent has failed to comply and pay any fines imposed (B) within thirty ( 30) notification; or days of the date of The Owner and/or Agent has failed to comply occupancy tax or submit a report as required b within the required time limit. haptter 3 25 of this Code The penalties for violations specified in subsection (A) shall be the responsibility of the owner as follows: 1. For the first violation within any twelve (12) month period, the penalty shall range from a notice of violation to a fine not to exceed two hundred and fifty dollars($ ); 2. For a second violation within any twelve ( 12) month period, the penalty shall range from a notice of violation to a fine not to exceed five hundred dollars ($ ); For a third violation within any twelve ( 12) month period, the penalty shall range from a notice of violation to a fine not to exceed one thousand dollars ($ 1, ); For a fourth violation within any twelve( 12) month period, the penalty shall range from a notice of violation to a fine not to exceed one thousand dollars ($ 1, ), to revocation of the permit within the provisions of Section Procedure for Imposition of Penalties/ Revocation. Penalties, including a notice of violation, shall be imposed, and permits shall be revoked, only in the manner provided in this Section. The Director of Community Development, or his/ her designee, shall conduct an investigation whenever he or she has reason to believe that an owner has committed a violation described in Section (A). Should the investigation reveal substantial evidence to support a finding that a violation occurred, the Director of Community Development shall issue written notice of intention to impose a penalty and/or revoke the permit. The written notice shall be served on the Owner, shall specify the facts which, in the opinion of the Director of Community Development, constitute substantial evidence to establish grounds for imposition of the penalties and/or revocation, and specify 30) days that the penalties will be imposed and/or the permit will be revoked within thirty from the date the notice is given unless the owner and/or operator files, with

40 Ordinance No Short Term Rental Permits Page 9 the City Clerk and before the penalties or revocation becomes effective, a request for hearing before the City Manager or his or her designee Permits and Fees Not Exclusive. Permits and fees required by this Chapter shall be in addition to any license, permit or fee required under any other chapter of this Code. The issuance of any permit pursuant to this Chapter shall not relieve the owner of the obligation to comply with all other provisions of this Code pertaining to the use and occupancy of the short-term rental or the property on which it is located Amortization and Amnesty Period. Owners of short-term rentals shall apply for a permit pursuant to this Chapter by no later than January 15, Owners of short-term rentals who, prior to the effective date of this ordinance, failed to obtain a transient occupancy registration certificate pursuant to Chapter 3.25 of this Code, may do so without penalty notwithstanding the provisions of Chapter 3.25, if an application for the certificate is filed by January 15, SECTION 2. Severability. If any section, subsection, subdivision, paragraph, sentence, clause, phrase or portion of this Ordinance is, for any reason, held to be invalid or unconstitutional by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance, and each section, subsection, subdivision, paragraph, sentence, clause, phrase and portion of this Ordinance, irrespective of the fact that one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, phrases or portions thereof may be declared invalid or unconstitutional. To this end, the provisions of this Ordinance are declared severable.

41 Ordinance No Short Term Rental Permits Page 10 SECTION 3. Effective Date. Within This Ordinance fifteen ( shall become effective thirty ( 30) days after its passage and adoption. 15) days of the date of adoption of this Ordinance, the City Clerk shall the post same. a copy The of said City Ordinance Clerk shall in certify places the designated passage for of such this Ordinance posting and and shall shall certify cause to the same to be published as required by law. PASSED, APPROVED and ADOPTED this 2" d day of April, ATTEST: WEINBERG, MAYOC i P KA HY M. W' GtJid- D, CITY CLERK STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF DANA POINT ) I, Kathy M. Ward, City Clerk of the City of Dana Point, do hereby certify that the foregoing Ordinance No was introduced at a regular meeting of the City Council 5th of Dana Point held on the day of March, 2013 and was thereafter duly and regularly passed and adopted by the Council of the City of Dana Point at its regular meeting held on the 2 day of April, 2013, by the following vote: of the City AYES: NOES: ABSENT: Council Members Brough, Schoeffel, Mayor Pro Tem Bartlett, and Mayor Weinberg Council Member Olvera None KA HY M. ARD CI CLERK

42 Ordinance No Short Term Rental Permits Page 11 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. AFFIDAVIT OF POSTING CITY OF DANA POINT ) Kathy M. Ward, City Clerk, being first duly sworn, deposes, and says: That she is the duly appointed and qualified City Clerk of the City of Dana Point; That in compliance with State Laws of the State of California, ORDINANCE NO being: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DANA POINT, CALIFORNIA, ADDING CHAPTER RELATING TO SHORT-TERM RENTAL PERMITS was published in summary in the Dana Point News newspaper on the 14th day of March, 2013, and the 11th day of April, 2013, and, in further compliance with City Resolution No , on the 6th day of March, 2013, and the 5th day of April, 2013, was caused to be posted in four( 4) public places in the City of Dana Point, to wit: Dana Point City Hall Capistrano Beach Post Office Dana Point Post Office Dana Point Library c) 6?.. 4--c,( HY M. WARD, CITY CLERK Dana Point, California

43 Dana Point Short Term Rentals F 198`1 Frequently Asked Questions Do I need a Short Term Permit? Yes, if renting a residential unit for 30 or fewer consecutive days ( a two- night minimum is required). When will the ordinance take effect? The ordinance became effective on May 2, 2013 and requires that an application for a Short Term Rental Permit be required by January 15, Is Transient Occupancy Tax( TOT) required? Yes, all short term rental owners must collect 10% TOT. Who must pay TOT? A transient is any person who occupies a property for 30 consecutive calendar days or less. The transient occupant must pay a TOT tax equal to 10% of the lease amount for each short term rental occurrence. What are the owner/ manager' s duties for collecting TOT? TOT is due and reportable to the City for Reporting period: Jan- Mar Apr-June July- Sept Oct- Dec Due date: April 20th July 20th October 20th January 20th What is the Permit Process? Complete an application for a permit and TOT certificate with an application fee of$ 150. Permits must be renewed annually. The application can be found at www. danapoint. org. Who can obtain a permit? An Owner or Agent can obtain a permit. If an Agent representing an Owner files an application for a permit that form must be signed and notarized by the Owner. Do I need an inspection? Yes, an inspection is needed prior to issuance of the permit. You will be contacted to schedule an inspection upon submittal of a complete application. What are the Short-Term Rental conditions? The operating standards are summarized on the back of this information sheet. Please read the ordinance carefully for all restrictions and requirements. c What are the insurance requirements? Proof of general liability insurance is required prior to permit issuance and upon annual permit renewal. What if I live in a neighborhood with a Homeowners Association ( HOA)? If located in a HOA, a copy of the CC& Rs is required. The City will not issue a permit if the use is not allowed by the CC& Rs. If I have more questions who can I contact? The ordinance, permit application, inspection checklist and other information is available at www. danapoint.org or contact the City at ( 949) City of Dana Point, Golden Lantern# 209, Dana Point CA ( 949) org

44 Q Dana Point L} g,4 Short Term Rentals Frequently Asked Quest īons Page 2 Conditions of Short Term Rental Permit Issuance and Renewal ( Mun. Code Sec ): 1. Payment of the required $ 150 short term vacation rental permit fee. 2. An inspection of the short term rental is required prior to permit issuance to ensure the rental meets minimum safety code standards, and additional inspections may be deemed necessary prior to subsequent annual permit renewals Occupants shall agree to a minimum stay of 2 consecutive nights.. At least 2 off street parking spaces are required for each short term rental property. The maximum number of overnight occupants shall be 2 persons per bedroom, plus 2 on a sleeper sofa. The maximum number of vehicles per short term rental property shall be limited to one ( 1) vehicle per one( 1) bedroom unit or two( 2) vehicles per two( 2) bedroom unit, unless a greater number of vehicles is approved by the Director of Community Development. Street address and unit number of the property must be clearly marked and, if possible, illuminated. Special events, such as weddings, graduation parties, raves, etc., are prohibited. All short term rental advertising must include City permit number. 10. No on-site exterior signs are to be posted advertising short term rentals. 11. Proof of insurance must be provided. 12. The short term rental owner must use his or her best efforts to ensure that occupants do not create unreasonable noise or disturbances, or engage in disorderly conduct, and when such issues arise, must act within twenty- four( 24) hours to prevent any recurrences. 13. Verification that short term rentals are not prohibited by Homeowners Association Conditions, Covenants and Restrictions( CC& Rs). 14. The primary occupant of the short term rental shall be at least eighteen ( 18) years of age or older. The short term rental owner shall obtain the contact information of each primary occupant, and shall ensure that he or she signs an acknowledgment that he or she is legally responsible for compliance with all of the City' s short term rental regulations. This information shall be readily available to any police office or City employee upon request. 15. The short term rental owner must include a copy of the permit conditions in each and every lease agreement and post copy in a conspicuous place within the short term rental property, which specifically includes all of the following information: All City of Dana Point laws must be respected, including but not limited to: Noise, Nuisance, Parking and Occupancy. Failure to respect the laws could result in eviction or revocation of this Short Term Rental Permit. PLEASE BE CONSIDERATE OF NEIGHBORS The maximum occupants permitted in the unit and notification that failure to conform to the occupancy requirements is a violation. The maximum number of vehicles permitted at the property, and if not adjacent to the residence, the location of assigned parking for the unit. Trash pick- up day and applicable information of leaving or storing trash on the exterior of the property. Notification that the occupant may be cited or fined by the City and/ or immediately evicted by the owner for violating applicable laws. 24- hour property and emergency contact information ( owner or agent) and emergency information. Owner or agent must be able to respond from within a 25 mile radius. City of Dana Point, Golden Lantern# 209, Dana Point CA ( 949) org

45 y - f { o =.\ 1 a t ; N '.'=: CITY OF DANA POINT COMMUNITY DEVELOPMENT OFFICE USE ONLY L r` GOLDEN LANTERN PERMIT NO. DANA POINT, CA ) EXPIRATION DATE oint o, SHORT TERM RENTAL PERMIT TRANSIENT OCCUPANCY TAX APPLICATION Please term basis. list the Note address that a of Short each Term dwelling Rental unit Permit and fill is required out additional before applications you engage in for short each term building property you leasing. rent on a In short the contact you. event of an emergency, the information you provide below will be used to expedite police and fire response and to Owner Name: PROPERTY OWNER INFORMATION Mailing Address: City: Phone: ( ) State: ZIP: Emergency Phone: ( ) Suite: Building Address: City: Phone: ( ) SHORT TERM RENTAL PROPERTY INFORMATION State: ZIP: Number of Bedrooms: Suite: AGENCY INFORMATION If the property is represented by an agent( s) or rental company( s), please complete the following information below Rental Company or Agent Name: Business Address: City: State: ZIP: Business Phone: ( ) Emergency Phone: ( ) 0 My property is represented by more than one agent. List additional agents on a separate sheet of paper. Is the property located in Homeowners Association? 0 Yes 0 No If yes, please attach a copy of the Homeowners Associations CC& R' s. I acknowledge receipt and inspection of a copy of all regulations pertaining to the operation of a short term rental. I hereby certify under the penalty of perjury that I am authorized to make this statement and the information provided on this application is true and correct. Suite: Owners Name Signature Date OFFICE USE ONLY INSURANCE TOT CERT ISSUED HOA APPROVAL DATE PERMIT NO. APPROVAL Notice: Short term rentals are permitted according to Dana Point business regulations but are not currently allowed by zoning regulations. Short term rental permits issued are subject to Zoning Code changes and approval by the California Coastal Commission, which are currently being sought by the City. You are taking a risk since the zoning currently does not allow short term rentals and may not be approved by the California Coastal Commission.

46 ADDITIONAL AGENCY INFORMATION If the property is represented by an agent( s) or rental company( s), please complete the following information below Rental Company or Agent Name: Business Address: Suite: City: State: ZIP: Business Phone: ( ) Emergency Phone: ( ) Rental Company or Agent Name: Business Address: Suite: City: State: ZIP: Business Phone: ( ) Emergency Phone: ( Rental Company or Agent Name: Business Address: Suite: City: State: ZIP: Business Phone:( ) Emergency Phone: ( )

47 CITY tf NEWP trt BEACH

48 Chapter SHORT TERM LODGING PERMIT Sections: Purpose and Findings Definitions Permit Required Agency Applicant for Permit Denial of Permit Filing Fee Conditions Violations/ Penalties/ Revocation Procedure for Imposition of Penalties/ Revocation Permits and Fees Not Exclusive Penalty Amortization and Amnesty Period Purpose and Findings. The City Council of the City of Newport Beach finds and declares as follows: A. An ever increasing number of tourists renting short term lodging units is severely escalating the demand for City services and creating adverse impacts in residential zones. B. Several thousand dwelling units within residential zones near the City' s beaches and harbor are rented for less than thirty( 30) days with the vast majority of those rentals occurring during the summer when the demand for parking and City services is greatest. C. Many of the occupants of short term lodging units are permanent; residents of areas distant from Newport Beach and the City has no effective way to prevent occupants from continuing to violate provisions of the Municipal Code and Penal Code relating to noise, disturbances and disorderly conduct. The only effective way to minimize the problems associated with occupancy of short term lodging units is to impose responsibility on the owner of the property, either personally or through an agent, to control the conduct of guests and occupants. D. Numerous incidents involving excessive noise, disorderly conduct, vandalism, overcrowding, traffic congestion, illegal vehicle parking and accumulation of refuse are directly related to short term lodging units which increasingly require response from police, fire, paramedic and other City services. E. The increase in demand for City services resulting from short term lodgings overburdens, and threatens, the City' s ability to provide such services. F. Many short term lodgings are operated by agents and/ or absentee owners who exercise little or no supervision or control of occupants. G. Problems with short term lodgings are particularly acute in residential districts where the peace, safety and general welfare of the long term residents are threatened.

49 H. The restrictions of this chapter are necessary to prevent the continued burden on City services and adverse impacts on residential neighborhoods posed by short term lodgings. ( Ord ( part), 1992) Definitions. For the purpose of this chapter, the following definitions shall apply: A. " Lodging unit" or" unit" shall mean " dwelling unit" as that term is defined in Title 20 of this Code where the dwelling unit or residence, including the bedroom, kitchen and bath, is rented or leased to a person or group of persons living as a single housekeeping unit. B. " Owner" shall mean the person( s) or entity( ies) that hold( s) legal and/ or equitable title to the lodging unit. C. " Short term" shall mean occupancy of a lodging unit for a period of thirty( 30) consecutive calendar days or less. D. " Residential district" shall mean those areas of the City so designated by Title 20 of the Municipal Code. E. " City Manager" shall mean the City Manager of the City of Newport Beach or his or her respective assignees. F. " Finance Director" shall mean the Finance Director of the City of Newport Beach or his or her designee. (Ord , 2013; Ord , 2008; Ord ( part), 1992) Permit Required. No owner of a lodging unit located within a residential district shall rent that unit for a short term without a valid short term lodging permit( permit) for that unit issued pursuant to this chapter. No permit shall be issued subsequent to June 1, 2004 to any dwelling unit on any parcel zoned for" Single-family Residential R- 1)" or is designated for single-family residential use as part of a Planned Community Development Plan, Specific Area Plan or Planned Residential District unless a permit has previously been issued for that dwelling unit and was not subsequently revoked. ( Ord , 2004: Ord ( part), 1992) Agency. An owner may retain an agent or a representative to comply with the requirements of this chapter, including, without limitation, the filing of an application for a permit, the management of the short term lodging unit or units, and the compliance with the conditions to the permit. The permit shall be issued only to the owner of the short term lodging unit or units. The owner of the short term lodging unit or units is responsible for compliance with the provisions of this chapter and the failure of an agent to comply with this chapter shall be deemed non- compliance by the owner. (Ord ( part), 1992) Applicant for Permit. An application for a permit shall be filed with the Finance Director upon forms provided by the City and shall contain the following information: A. The name, address and telephone number of the owner of the unit for which the permit is to be issued.

50 B. The name, address and telephone number of the agent, if any, of owner of the unit. C. Evidence of a valid business license issued by the City for the separate business of operating short term lodgings. D. Evidence of a valid transient occupancy registration certificate issued by the City for the lodging unit. E. Acknowledgement of receipt and inspection of a copy of all regulations pertaining to the operation of a short term lodging unit. F. Such other information as the Finance Director deems reasonably necessary to administer this chapter. (Ord ( part), 1992) Denial of Permit. No application shall be denied unless a permit for the same unit and issued to the same owner has been revoked pursuant to Section of this chapter. (Ord ( part), 1992) Filing Fee. An application for a short term lodging permit shall be accompanied by a fee established by resolution of the City Council, provided, however, the fee shall be no greater than necessary to defer the cost incurred by the City in administering the provisions of this chapter. (Ord ( part), 1992) Conditions. A. All permits issued pursuant to this chapter are subject to the following standard conditions: 1. The owner shall, by written or oral agreement, limit overnight, occupancy of the short term lodging unit to a specific number of occupants, with the number of occupants not to exceed that permitted by the provisions of Title 15 of the Newport Beach Municipal Code. 2. The owner shall use best efforts to insure that the occupants and/ or guests of the short term lodging unit do not create unreasonable noise or disturbances, engage in disorderly conduct, or violate provisions of this code or any State Law pertaining to noise, disorderly conduct, the consumption of alcohol, or the use of illegal drugs. 3. The owner shall, upon notification that occupants and/ or guests of his or her short term lodging unit have created unreasonable noise or disturbances, engaged in disorderly conduct or committed violations of this code or State Law pertaining to noise, disorderly conduct, the consumption of alcohol or the use of illegal drugs, promptly use best efforts to prevent a recurrence of such conduct by those occupants or guests. 4. The owner of the short term lodging unit shall use best efforts to insure compliance with all the provisions of Title 6 of the Municipal Code ( garbage, refuse and cuttings). 5. The owner of the short term lodging unit shall post a copy of the permit and a copy of the conditions set forth in this section in a conspicuous place within the unit. 6. With respect to any short term lodging unit that is located in any Safety Enhancement Zone, the owner of the unit and any agent retained by the owner shall take immediate action during the period that the Safety Enhancement Zone is in effect to prevent occupants or guests from engaging in

51 disorderly conduct or committing violations of this code or State Law pertaining to noise, disorderly conduct, the consumption of alcohol or the use of illegal drugs. B. The City Manager shall have the authority to impose additional standard conditions, applicable to all short term lodging units, as necessary to achieve the objectives of this chapter. C. The City Manager shall have the authority to impose additional conditions on any permit in the event of any violation of the conditions to the permit or the provisions of this chapter subject to compliance with the procedures specified in Section ( Ord , 2003: Ord ( part), 1992) Violations/ Penalties/ Revocation. A. Violations. Except as provided in subsections (C) and ( D) of this section, the following conduct shall constitute a violation for which the penalties specified in subsection ( B) of this section may be imposed, or the permit revoked: 1. The owner has failed to comply with the standard conditions specified in Section (A); 2. The owner has failed to comply with conditions imposed by the City Manager pursuant to the provisions of Section ( B) or( C); 3. The owner has wilfully violated the provisions of this chapter; or 4. The owner has failed to pay the transient occupancy tax as required by Chapter 3.16 of this Code. B. Penalties. The penalties for violations specified in subsection ( A) of this section shall be as follows: 1. For the first violation within any twelve( 12) month period, the penalty shall range from a notice of violation to a fine not to exceed two hundred and fifty dollars ($ ); 2. For a second violation within any twelve ( 12) month period, the penalty shall range from a fine not to exceed five hundred dollars($ ) to revocation of the permit; 3. For a third violation within any twelve ( 12) month period, the penalty shall range from a fine not to exceed one thousand dollars ($ 1, ) to revocation of the permit; and 4. For a fourth violation within any twelve ( 12) month period, the permit shall be revoked in accordance with the provisions of Section C. In the case of a short term lodging permit for a dwelling that is located in a Safety Enhancement Zone, the penalty for the failure to comply with any standard condition during the period that the Safety Enhancement Zone is in effect shall be a fine of one thousand dollars ($ 1, ) and/ or revocation of the permit for a period not less than sixty( 60) days. D. Revocation for Loud or Unruly Gathering. If a lodging unit that is subject to a short term lodging permit has been the location of three or more loud or unruly gatherings, as defined in Chapter of this Code, while the lodging unit was occupied on a short term basis within any twenty-four( 24) month period, the permit shall be revoked. A loud or unruly gathering that occurred prior to the passage of fourteen ( 14) calendar days from the mailing of notice to the owner in compliance with Section (D) shall not be included within the calculation of the three or more loud or unruly gatherings

52 required to revoke a short term lodging permit. (Ord ( part), 2011: Ord , 2003: Ord ( part), 1992) Procedure for Imposition of Penalties/ Revocation. manner Penalties, provided including this a notice section. of violation, shall be imposed, and permits shall be revoked, only in the A. an owner The Finance has committed Director a shall violation conduct described an investigation whenever he or she has reason to believe that in Section (A), ( C) or( D). Should the investigation reveal substantial evidence to support a finding that a violation occurred, the Finance Director shall issue written notice of intention to impose a penalty and/or revoke the permit. The written notice shall be served on the owner, shall specify the facts which, in the opinion of the Finance Director, constitute substantial evidence to establish grounds for imposition of the penalties and/or revocation, and specify that the penalties will be imposed and/or the permit will be revoked within thirty( 30) days from the date the notice is given unless the owner and/or operator files, with the City Clerk and before the penalties or revocation becomes effective, a request for hearing before the City Manager. B. If the owner requests a hearing within the time specified in subsection ( A) of this section, the City Clerk shall serve written notice on the owner, by written mail, of the date, time and place for the hearing. The hearing shall be scheduled not less than fifteen ( 15) days, nor more than sixty( 60) days, from the date on which notice of the hearing is served by the City Clerk. The City Manager may preside over the hearing or may designate a hearing officer to take evidence and submit proposed findings and recommendations to the City Manager. The City Manager shall impose the penalties or revoke the permit only upon a finding that a violation has been proven by a preponderance of the evidence, and that the penalty or revocation is consistent with the provisions of Section ( B), ( C) or( D). The hearing shall be conducted according to the rules normally applicable to administrative hearings. The City Manager shall render a decision within thirty( 30) days of the hearing and the decision shall be final. ( Ord ( part), 2011: Ord ( part), 1992) Permits and Fees Not Exclusive. Permits and fees required by this chapter shall be in addition to any license, permit or fee required under any other chapter of this Code. The issuance of any permit pursuant to this chapter shall not relieve the owner of the obligation to comply with all other provisions of this Code pertaining to the use and occupancy of the lodging unit or the property on which it is located. ( Ord ( part), 1992) Penalty. Any person violating the provisions of this chapter by operating a short term lodging unit without a valid permit shall be guilty of a misdemeanor. (Ord ( part), 1992) Amortization and Amnesty Period. Owners of short term lodging units shall make application for a permit pursuant to this chapter within sixty 60) days after the effective date of this ordinance. Owners of short term lodgings who, prior to the effective date of this ordinance, failed to obtain a transient occupancy registration certificate pursuant to Chapter 3.16 of this Code, may do so without penalty notwithstanding the provisions of Chapter 3. 16, if an application for the certificate is filed no later than sixty (60) days after the effective date of the ordinance codified in this chapter. (Ord ( part), 1992)

53 The Newport Beach Municipal Code is current through Ordinance , passed January 13, Disclaimer: The City Clerk's Office has the official version of the Newport Beach Municipal Code. Users should contact the City Clerk's Office for ordinances passed subsequent to the ordinance cited above.

54 r 4 TIC olitn S'A F' : T Short Term Lodging Rights & Responsibilities Monique Navarrete License Supervisor mnavarrete@newportbeachca.gov

55 What We Will Cover Business Tax Short Term Lodging. Permit Transient Occupancy Tax Disturbance Advisement Cards (DACS) LUGO' s (Loud Unruly Gathering Ordinance) Owner Responsibilities Agent Responsibilities

56 Purpose & Findings MC Increasing number of tourists escalating demand for City services Majority of the rentals occur in the summer when the demand for parking and City services is greatest Effective way to minimize the problems associated with short term lodging units is to impose responsibility on the owner of the property.

57 Business License Tax Short term lodging MC MC is considered business conduct. No person shall operate any business without first obtaining a business license. Your tax rate will be based on a residentially based business. Can I apply for an exemption, because I have two or less units? Exemptions are for renting two or less residential units and shall not apply term lodging. to rental of units of short

58 Short Term Short Term: MC MC Occupancy of a lodging unit for a period of thirty consecutive days or less Permit Required No owner of a lodging unit located within a residential district shall rent that unit for a short term without a valid short term lodging permit. No permit shall be issued subsequent to June 1, 2004 to any dwelling unit on any parcel zoned for " Single- family Residential (R- 1)" is designated for singlefamily residential use as part of a Development Plan, Planned Community Specific Area Plan or Pl. i ed Residential District unless a permit has previously been issued for that dwelling unit and was not subsequently revoked. or Conditions: Owner shall post a copy of the permit py o e and a copy of the conditions in a conspicuous place within the unit

59 Short Term Lodging Permit MC arror orran otms4 0, YFYFMIe MOM o Uae weanawwwo.. anerw les+aeaadedaeaeree l s, TERN LOCOING APPLICATION avekttedyly Owner Information: R"" "" " WAMAMI rancrynx srw non ` pa.Nahnlweb peweobwtl * vatno as keen Name and mailing Flaw Waged.*&,, ad NI. hos ayy, at, to, I,, a,,, t,,, address of the property Pn. d`'«yy» 1W1 tl1 a owner. rm"'a' " Owner' s telephone and emergency number MORT* SL + Property Information: Note: ddrcaa UpeAdd IMYAdlaeeeakp Ws Simile] ff8] jjeyn 9Ce10-3 ler9rgearey'anannesn. Identify the address of Each short term rental c" an" so YaaaWMShclamoult Law the rental property. property must complete e**abutting. ale n " 1i" """"'" " r'' U ' urseoserp17eb List the number of the a separate STLP form. r > WMY New Gompuks Usk4 Maehsan Omparb as r, nya t + h)+ re+*+ m. r enn>rone e, orapat""" Brh. a. Miro Stile CPI Slaw na unit. Business Plum 1_ I My p ersd is eappeaperdmnseea coo Apra. listaay4nueagsobana swat.. shaeuapyur. unit.( i. e. A, B, 1/ 2) Include the maximum number of guests per I hooey way mktow peatyofywlrrytlhpr anwm/wlwwho 1149 svyoamsalw asbpaakan piawledan Fh applmadon Myaoadawed. OwneriSignaisse am WE OILY flak Agent Information: Name and mailing C+* c 1 address of the property UM SUP E01 UuIYI uwr Iwlrs 4474 Ie, WON& agent. Agents telephone and emergency number Note: This form is also used for the City to identify agents representing the property owners. Ci

60 Short Term Lodging Permit ( STEP) Business License ($ 143) Requirements Short Tenn Lodging Permit ($91) Remittance and Reporting of Uniform Transient Occupancy Tax (10%) Who May Satisfy These Requirements? Business License- Owner Short Term Lodging Permit- Owner Remittance and Reporting of Uniform Transient Occupancy Tax- Owner ADD Agent

61 N, CITY OF NEWPORT BEACH 41 it,m1. REVENUE DIVISION M MODNwpaa Nit P,O. Dos 1769 Nwpan Bosch, CA IS r I41 l dim1sckf.nwpaassseh.esm Short Term Lodging Permit SHORT TERM LODGING PERMIT AND CONDITIONS TACHICRE DISPLAY CONSPICOUSLY AT SHORT TERM LODGING UNIT CTTY OF NEWPORT BEACH SHORT TERM LODGING PERMIT Expires every 2 years January). It is the Owner' s Responsibility to ensure that the permit is valid. CONDITIONS This Permit a subjecttoknowing emdls6ns, as articulated in Municipal coes031039: The awn shall iest aasewys amyonq d Oho 41MMn * et b a NNW rwrsw d marpan, am Sr sober M Owl pane** YrOroMUendTN Hof ugaly dmn a far atcals NNW NM* apa seas ghda dun foe, awl pawn Oln; bonitos d Nun mils weac6& Neagh brunt hew* wnari shall si. wtalamarsespinis rho warier aver s/ we6sm srisbsn wmrtlrsaegam aklmpumcdb d* diadem bsorg aunsanbag,m 2. TN Now all NM 9. Display conspicuously flisisa,.,... p,. M. a. rd*.. a. n, wson d. da, aewm otmspl drugs. auuwi, e. The a diossyraea, aswssr4 npassomssdas engager is dsadsy Sataaapah conduct artierposh a armwd ofhs rolarm whinnha d ris C. Cede d. a stab s wlawpsatio0tnwawblerow peanrp b row. Marcy at Short Term Lodgin g OalerJet he e d alcohol a to used& gal Mpa, posyy efebnlmlt% le poronl snaawioe ofsod' aandstl by arwaspomnns a TMa! o amsbeawyunit shall us. bar Mirsiiron ex* asa wet aloapraebs* di* 03atO lain pr Code Remo mg Unit. arms der WOpnp urnita posta spy WIN psum and soma' New erodeses In acesplsgrs place tonss Mawmower" do asl T. Wd rope b say shad UM Wpm ran U.S is NNW is asp Saby Enhancement Zm1e. U.wars Haw soul and nay lees manse by M saw Ad bee alnrsar salon Sunny Ow mod dal sr flaw Enlunaamrd Zan is Si Bros b paws Napa* a wows fits mews* n deo** mesa or. arrroaai* dalas of Si. Code or Star Lw pedanow b epee disonayarise,swmswpwndwed* adsmeddlasrdews. VIOLATIONOE' THESE commons MAYRESULTIN REVOCATION OF THIS PERMIT ANDTHE PRIVILEGE OF RENTING Qt LEAS/ 10 THIS MINT ON A SHORT TERM BASIS, IanMI6 Aa2a11-04

62 Limit overnight occupancy Conditions MC The owner shall display in conspicuous place the following: Contact information for a local responsible person available 24/ 7; Location of the units parking; Day of the week for trash delivery; Statement informing the tenant of the Disturbance Advisement process Best efforts to insure that the occupants Do not create unreasonable noise or disturbances;. Engage in disorderly conduct: Violate provisions of this code or State Law and prevent any reoccurrences; Complaint with Title 6 ( garbage & refuse)

63 Conditions (con' t MC Post of copy of the Permit and copy of conditions Safety Enhancement Zone (7/4 12: 01 a.m.-7/5 3: 00 a.m.) the owner and agent shall take immediate action during the period the Safety Enhancement Zone is in effect to prevent occupants from engaging in disorderly conduct or committing violations of this code or State Law pertaining to noise, disorderly conduct, the consumption of alcohol or the use of illegal drugs

64 SAMPLE POSTED NOTICE) STREET ADDRESS This Unit is used and pemtifted as a SHORT-TERM LODGING Responsible Person Contact Information. For questions, comments, or complaints about the use of this unit, contact: Sam l g FIRST LAST NAME RENTAL AGENCY NAME( if applicable) PHONE NUMBER# 1( office) PHONE NUMBER# 2( cell phone) Parking. Parking for individuals renting or visiting this unit is designated at GARAGE(_ parking spaces) SIDE YARD SETBACK parking spaces) CARPORT(_ parking spaces) Refuse Collection. Trash collection for this unit Is ONEfTV'JO tenets) a week on( circle one or more): MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY Information about the City's trash and refuse regulations can be found at' htto:/a4ww. citvnewoort beach. ea,usrgsv GSRefuseDN.asp It is the tenants' and manager's obligation to ensure that occupants comply with the City's refuse regulations Disturbing the Peace Pursuant to NBMC ( A)12),..' occupants and/ or guests of the shop term lodging unit( shall) not create unreasonable noise or disturbances, engage in disorderly conduct, or violate provisions of this code or any State Law pertaining to noise, disorderly conduct, the consumption of alcohol, or the use of illegal drugs." Persons who violate Chanter 5.95 of the NBMC shall be subject to fines up to 51, 000, a revocation of the facility's lodging permit, andfor a nvsdemeanor. WE ENCOURAGE YOU TO ENJOY YOUR STAY WITH US. HOWEVER, THE CITY OF NEWPORT BEACH TAKES ALL RESIDENTS' RIGHTS TO THE QUIET ENJOYMENT OF OUR COMMUNITY VERY SERIOUSLY. IF YOU, YOUR VISITORS, OR OTHER GUESTS ARE DISRUPTIVE OF THE COMMUNITY AND/OR IN VIOLATION OF CITY LAWS, YOU, YOUR VISITORS, AND OTHER GUESTS ARE SUBJECT TO CITATION, FINE, OR MORE SERIOUS PENALTIES. If you have any questions about the City's codes, please gee the City's website at mvw,citv.newoort beech.ca,us or, on Monday through Friday, call the City' s Code Enforcement Division at , or the City Managers Office at

65 For the Neighbors Regarding non- emergency neighborhood disturbances at PROPERTY ADDRESS), please call the NBPD ' s nonemergency dispatch line ) or this property' s manager at (949) XXX-XXXX. In the event of an emergency, call

66 VACATION RENTAL NEIGHBORHOOD NOTIFICATION EXAMPLE: WhiCh You manage the property at 210 Apolena as a vacation rental We askthan you notify the following 12 addresses at the start of each vacation season: 212 Apolena 208 Apolena 211( and 211 1/ 2) Apolena 211 Amethyst 209( and ) Apolena 209 Amethyst Neighbors k y to A N 0ti IY r Options-. 1.,: k I k.. t Deliver business cards;. Mail w d r...r E- Mail; t Your Newsletter u 7

67 Enforcement of Short Term Lodging knits Inspectors conduct field discovery to ensure all properties are registered with a permit and have obtained a business license. Inspectors review eve websites to ensure registration Revenue Division takes public inquiries Notice will be.sent to the owner if property is not registered or have not paid the tax. Non- compliance will result in one or more citations -- $ 100, $200, $500.

68 Single Family Residence Rl Zone Planned Community Development Plan Specific Area Plan or Planned Residential District. NBMC June 1, 2004, All properties were required to register and meet full compliance. Can you register now? Can a property be grandfathered? City will notify owner by correspondence if the property is prohibited from conducting short term rentals.

69 Agents Responsibilities Representing a new client? Verify the zoning. Is property located an a R- 1 Zone? Has the property been previously permitted? Verify the owners Business License Tax is valid Verify the owner has a valid Short Term Lodging permit. Notify the City-Revenue Division Inform your clients of the annual and bi-annual requirements. Business Tax, Permit, Reporting the TOT form

70 Owner and/or 411k STLP Cycle Business License Tax Certificate Annual Renewal i lily t Agent Short Term Remit TOT 0 Lodgin g Permit Agents: Remit Quarterly Owners: Remit Annually every October 31st. lalt Bi-Annual Renewal UTOT`) Uniform Transient Occupancy Tax Agents: Billed Quarterly Owners: Billed Annually every October 1st. W

71 Uniform Transient Occupancy Tax 1VIIMC 3.16 Each transient is subject to and shallpay a tax in the amount often percent 10%) ofthe rent charged by the operator Short Term Lodging Increases City's Need For Services UTOT provides City funds for services (Fire, Police, Lifeguards, Libraries, Parks, Code Enforcement, more). UTOT) Transient Tax 9% Visitor Service Fee* I% Total UTOT Tax 10% Newport Beach Conference & Visitor Bureau Provides information about the amenities of Newport Beach ',

72 CITY OF NEWPORT BEACH REVENUE DIVISION pa 100 CIVIC CENTER DR P. O. BOX Q NEWPORT BEACH, CA , t1oi4 CL j 949) SHORT TERM LODGING PERMIT APPLICATION TRANSIENT OCCUPANCY TAX REGISTRATION Fee. Make checks payable to the City of Newport Beach OFFICE USE ONLY BUSINESS NUMBER UTOT LICENSE NO Please list the address of each dwelling unit and fill out additional applications for each building you rent on a short term basis. Note that you must be registered for Business License Tax before you engage in short term property leasing. In the event of an emergency, the information you provide below will be used to expedite police and fire response and to contact you. Owner Name PROPERTY OWNER INFORMATION Mailing A dd essrs Suite City: State: Zip: Phone ( Emergency Phone ( SHORT TERM RENTAL PROPERTY INFORMATION Building Address Unit Addresses( eg Main Street# A; / 2 Elm St; etc.) if leasing more than one unit. Please list your designation for each unit you rent in the structure listed above and the maximum number of overnight occupants you have authorized for each unit. Leave blank if renting only one unit in the building Unit 1 Maximum Occupants Unit 3 Maximum Occupants Unit 2 Maximum Occupants Unit 4 Maximum Occupants AGENT INFORMATION If the property is represented by an agent(s) or rental company(s), please complete the information below Rental Company or Agent Name Business Address Suite City: State: Zip: Business Phone ( o My property is represented by more than one agent. List additional agents on a separate sheet of paper.. I hereby certify under the penalty of perjury that I am authorized to make this statement and the information provided on this application is true and correct. Owner' s Signature Date OFFICE USE ONLY DATE BUSINESS LICENSE NO. USER INIT UTOT SUB NUMBERS: UNIT 1 UNIT 2 UNIT 3 UNIT 4 Form A0595( a) Rev

73 SHORT-TERM LODGING PERMIT SUPPLEMENTAL INFORMATION Short-Term Lod. in. Permit STLP Descri tion and Location Information basis Section to 5. comply ( with A) of Title the 20 Newport of the Municipal Beach Municipal Code. Additionally, Code requires no new all units permits being shall rented be issued out on for a short-term located in an R- 1 Zoning District. Prior to submitting this application, you must secure Planning Department properties that approval it is not andin certification an R- 1 Zoning thatdistrict. this property is in compliance with all applicable sections of the zoning code and Fill out the following completely: 1. Property Address 2. No. of Dwelling Units on Site: 3. No. of Dwelling Units for STLP Purposes: 4. Dwelling Units On Site are: Side by Side Units Front and Back Units Front Unit with Back Unit over Garage Upper and Lower Units Multiple Units as Described below: 5. Proposed Dwelling Unit( s) for STLP Check one per unit that best describes the dwelling unit location): Right Side Unit Center Unit( between garage and main dwelling unit) Left Side Unit Front Unit Back Unit Back Unit over Garage Upper Unit Lower Unit Other: Multiple Units as Described below: PLANNING DEPARTMENT USE ONLY Dwelling Unit Verification: Building Permit History: R. B. R. Report Date: Date: Date: Site Visit for Verification Required? Yes No Code Enforcement Inspection Required? Yes No R- 1 Zoning District? Form A0595(b) Yes No Reviewed by: Rev

74 CITY tf LA AJINTA

75 ORDINANCE NO. 501 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY CHAPTER OF LA QUINTA, 3.24 CALIFORNIA, AMENDING PORTIONS OF " TRANSIENT OCCUPANCY ADDING TAX;" AND CHAPTER " RENTALS" SHORT-TERM VACATION TO TITLE 3 " REVENUE AND FINANCE" OF THE LA QUINTA MUNICIPAL CODE WHEREAS, the City of La Quinta (" City") has the authority under Article 11, Section 5 of the California Constitution and the City Charter to make and enforce all ordinances and regulations with respect to municipal affairs; and the City; WHEREAS, and the City has the authority to regulate businesses operating within are subject WHEREAS, to the City' short-term vacation rentals of private residences within the s transient occupancy tax; and City WHEREAS, the City has a substantial interest in insuring that all required transient occupancy tax required to be collected and remitted is in fact collected and budget. remitted on a fair and equitable basis as this tax is an integral part of the City' s Renters of private homes utilize the City' s infrastructure and services and the failure to collect the required taxes from such renters unfairly shifts the burden of their use to the tax payers of City. The proposed regulations have been narrowly tailors to only address the issues of most concern and to provide a mechanism to insure that taxes are collected and remitted on a uniform basis; and WHEREAS, the City desires and intends to amend the La Quinta Municipal Code to ensure compliance with the City' s transient occupancy tax to promote accurate collection; and WHEREAS, at said public hearing, said City Council heard and considered all testimony and arguments of all interested persons; and 18th WHEREAS, the City Council of the City of La Quinta, California did on the day of September, 2012, hold a duly noticed Public Hearing and considered the evidence, written and oral, presented at the hearing. NOW, THEREFORE, the City Council of the City of La Quinta does ordain as follows:

76 Ordinance No. 501 Amend/Add to Municipal Code Chapters and Short-term Vacation Rental Adopted: October 16, 2012 Page 2 SECTION 1. The above recitals are true and correct and are adopted as the findings of the City Council. SECTION 2. Title 3 Revenue and Finance of the La Quinta Municipal Code, is amended as identified on Exhibits " A", " B", and " C", attached hereto and incorporated herein by this reference. SECTION 3. EFFECTIVE DATE: This Ordinance shall be in full force and effect thirty 30) days after its adoption. SECTION 4. POSTING: The City Clerk shall, within 15 days after passage of this Ordinance, cause it to be posted in at least three public places designated by resolution of the City Council, shall certify to the adoption and posting of this Ordinance, and shall cause this Ordinance and its certification, together with proof of posting, to be entered into the Book of Ordinances of the City of La Quinta. PASSED, APPROVED and ADOPTED, at a regular meeting of the La Quinta City Council held this 16th day of October 2012, by the following vote: AYES: Councilmembers Evans, Franklin, Henderson, Osborne, Mayor Adolph NOES: None ABSENT: None ABSTAIN: None OIP c l DON ADOL, May. City of La uinta, California ATTEST: SIA441/ r\- SUSAN. MAYSELS, City City of La Quints, California r Jerk CITY SEAL) '`

77 Ordinance No. 501 Amend/ Add to Municipal Code Chapters and Short- term Vacation Rental Adopted: October 16, 2012 Page 3 APPROVED AS TO FORM: L TH RINE J N, City Attorney City of La Quinta, TPalifornia

78 Ordinance No. 501 Amend/Add to Municipal Code Chapters 3.24 and Short-term Vacation Rental Adopted: October 16, 2012 Page 4 EXHIBIT A Chapter Transient Occupancy Tax Section Definitions Hotel" means any structure, or any portion of any structure, which is occupied but not limited or intended to dwelling, or designed for use or' occupancy by transients, including lodging or sleeping purposes, hotel, inn, tourist home or house, motel, and includes any studio hotel, house, rooming house, bachelor hotel, lodging apartment house, time- share project or facility, dormitory, public or private club, rental space for recreation vehicles, mobile thereof, home or duplex, house trailer triplex, at single- a fixed family location, dwelling or other units, similar structure or portion including a vacation rental ` short-term unit as defined in Chapter 3.25", except any private dwelling house occasionally or other ( infrequently) individually owned single-family dwelling house unit rented only and incidentally to the normal occupancy by the owner or his family; provided, that the burden of establishing that the housing or facility is a hotel as defined in this subsection shall be upon the owner or the operator tax administrator thereof who shall file with the tax administrator such information as may require, to establish and maintain such status.

79 Ordinance No. 501 Amend/Add to Municipal Code Chapters and Short-term Vacation Rental Adopted: October 16, 2012 Page 5 EXHIBIT B Registration A. Except for short-term vacation rental units as defined in Chapter 3.25 and noted under item C below, every person desiring to engage in or conduct business as operator of a hotel renting to transients within the city shall file permit with thefortax each administrator an application for a transient occupancy registration place of business. Every application for such a permit shall be made upon a form prescribed by the tax administrator and shall set forth the name under which the applicant transacts or intends to transact business, the location of his place of business and such other information as the tax administrator may require. The application shall be signed by the owner if a natural person, by a member or partner, if an association or partnership, by an executive sign the application officer or some in the person case of specifically a corporation. authorized by the corporation to The transient occupancy registration permit must be in effect at all times while the business is in operation and shall be at all times posted in a conspicuous place on the premises. The permit shall, among other things, state the following: 1. Name of hotel; 2. Name of operator; 3. Hotel address; 4. The date upon which the permit was issued; 5. " This Transient Occupancy Registration Permit signifies that the person named on the face hereof has fulfilled the requirements of the Transient Occupancy Tax Chapter by registering with the Tax Administrator for the purpose of collecting from transients the Transient Occupancy Tax and remitting said tax to the Tax Administrator. This Permit does not authorize any person to conduct any unlawful business in any unlawful manner, nor operate a hotel without strictly complying with all applicable laws, including but not limited to those requiring a permit from any board, commission, department or office of this City. This Permit does not apply in lieu of such other permits which are otherwise required." B. At the time of making an application for a registration permit, the applicant shall pay a registration fee of five dollars for each permit issued. C. Transient Occupancy Tax Registration Permits issued for the operation of short-term vacation rentals prior to the date of this ordinance shall remain in effect until December 31, The registration of short-term vacation rentals shall be conducted in accordance with the provisions as set forth in Chapter

80 Ordinance No. 501 Amend/Add to Municipal Code Chapters and Short-term Vacation Rental Adopted: October 16, 2012 Page 6 Chapter SHORT-TERM VACATION RENTALS EXHIBIT C Title. This chapter shall be referred to as the " Short-Term Vacation Rental Regulations." Purpose. A. The purpose of this chapter is to establish regulations for the use of privately owned residential dwellings as short-term vacation rentals that ensure the collection and payment of transient occupancy taxes as provided in Chapter 3. 24, and minimize the negative secondary effects of such use on surrounding residential neighborhoods. B. This chapter is not intended to provide any owner of residential property with the right or privilege to, violate any private conditions, covenants and restrictions applicable to the owner' s, property that may prohibit the use of such owner' s chapter. residential property for short-term vacation rental purposes as defined in this Definitions. For purposes of this chapter, the following words and phrases shall have the meaning respectively ascribed to them by this section: Applicable laws, rules and regulations" means any laws, rules, regulations and codes ( whether local, state or federal) pertaining to the use and occupancy of a privately owned dwelling unit as a short-term vacation rental. Applicant" means the owner of the short-term vacation rental unit or the owner' s authorized agent or representative. Authorized agent or representative" means the designated agency or representative who is responsible for compliance with this chapter with respect to the short-term vacation rental. City manager" of the city of La Quinta or designee. means that person acting in the capacity of the city manager Good neighbor brochure" means a document prepared by the city that summarizes the general rules of conduct, consideration, and respect, including without limitation provisions of the La Quinta Municipal Code and other applicable

81 Ordinance No. 501 Amend/Add to Municipal Code Chapters 3.24 and Short-term Vacation Rental Adopted: October 16, 2012 Page 7 laws, vacation rules rental or units. regulations pertaining to the use and occupancy of short-term Local contact person" means the person designated by the owner or the owner' s authorized agent or representative who shall be available twenty-four hours per day, seven days per week for the purpose of: ( 1) responding within fortyfive minutes to complaints regarding the condition, operation, or conduct of occupants resolve any of such the complaints. short-term vacation rental unit; and ( 2) taking remedial action to Owner" means the person(s) or entity( ies) that hold( s) legal and/ or equitable title to the subject short-term vacation rental. Property" vacation rental unit is located. means a residential legal lot of record on which a short-term Responsible person" means an occupant of a short-term vacation rental unit who is at least eighteen years of age and who is legally responsible for ensuring that all occupants of the short-term vacation rental unit and/ or their guests comply with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short-term vacation rental unit. Short-term vacation rental permit" means a permit that permits the use of a privately owned residential dwelling as a short-term vacation rental unit pursuant to the provisions of this chapter, and which incorporates by consolidation a transient occupancy permit and a business license otherwise required by Section of Chapter and Section of Chapter Short-term vacation rental unit" means a dwelling, such as, but not limited to, privately owned residential a single-family detached or multiple-family attached unit, apartment house, condominium, cooperative apartment, duplex, or any portion of such dwellings, rented for occupancy for dwelling, lodging, or sleeping purposes for a period of thirty consecutive calendar days or less, counting portions of calendar days as full days; except any private dwelling house or other individually owned single-family dwelling house unit rented only once in a calendar year. Transient" for purposes of this chapter means any person who seeks to rent or who does rent a short-term vacation rental unit Authorized agent or representative. A. An owner may authorize an agent or a representative to comply with the requirements of this chapter on behalf of the owner.

82 Ordinance No. 501 Amend/Add to Municipal Code Chapters 3.24 and Short-term Vacation Rental Adopted: October 16, 2012 Page 8 B. Notwithstanding subsection A, the owner shall not be relieved from any law, personal responsibility and personal liability for noncompliance with any applicable term rule vacation or regulation rental pertaining unit, regardless to the use of and occupancy of the subject short- whether such noncompliance was committed by the owner' s authorized agent or representative or the occupants of the owner' s short-term vacation rental unit or their guests Short-term Vacation rental permit Required. A. The owner or the owner' s authorized agent or representative is required to obtain a short-term vacation rental permit and a business license from the city before renting or advertising the availability of a short-term vacation rental unit. B. A short-term vacation rental permit shall be required to be renewed on an annual basis in order to remain valid Short-term vacation rental permit Application. A. The owner or the owner' s authorized agent or representative must submit the following information on a short-term vacation rental permit application form provided by the city: 1. The name, address, and telephone number, and address of the owner of the subject short-term vacation rental unit; 2. The name, address, and telephone number of the owner' s authorized agent or representative, if any; 3. The name, address, local contact person; and twenty-four hour telephone number of the 4. The address of the proposed short-term vacation rental unit, internet listing site and listing number; 5. Contact name and phone number of the homeowner' s association, if applicable; 6. The number of bedrooms and the applicable overnight and daytime occupancy limit of the proposed short-term vacation rental unit; 7. Acknowledgement of receipt and inspection of a copy of the good neighbor brochure; 8. Such other information as the city manager or designee deems reasonably necessary to administer this chapter. B. The short-term vacation rental permit application shall be accompanied by an application fee of $25.

83 Ordinance No. 501 Amend/ Add to Municipal Code Chapters and 3.25 Short-term Vacation Rental Adopted: October 16, 2012 Page 9 C. A short-term vacation rental permit application may be denied if the applicant has had a prior short-term vacation rental permit for the same unit revoked within the past twelve calendar months. D. Within fourteen days of a change of property ownership, change of owner' s agent or representative, or any other change in material facts pertaining to the information contained in the vacation rental permit application, the owner or owner' s authorized agent or representative shall submit an application and requisite application fee for a new short-term vacation rental permit, which must be obtained prior to continuing to rent the subject unit as a short-term vacation rental. E. Transient Occupancy Registration Permits issued for the operation of shortterm vacation until December rentals prior to the effective date of this ordinance shall remain in effect 31, All short-term vacation rentals shall be registered annually thereafter in accordance with Section Operational requirements and standard conditions. A. The owner and/or owner' s authorized agent or representative shall use reasonably prudent business practices to ensure that the short-term vacation rental unit is used in a manner that complies with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short-term vacation rental unit. B. The number of occupants allowed to occupy any given short-term vacation rental unit shall be limited as follows: Total Daytime** Number of Total Occupants of Overnight* Bedrooms Occupants Including Number of Overnight Occupants) O - Studio

84 Ordinance No. 501 Amend/ Add to Municipal Code Chapters 3.24 and Short-term Vacation Rental Adopted: October, 16, 2012 Page 10 Overnight ( 10:01 p. m. - 6: 59 a. m.) Daytime ( 7:00 a. m. - 10:00 p. m.) C. While a short-term vacation rental unit is rented, the owner, the owner' s authorized agent or representative and/ or the owner' s designated local contact person shall be available twenty-four hours per day, seven days per week for the purpose of responding within forty-five minutes to complaints regarding the condition, operation, or conduct of occupants of the short-term vacation rental unit or their guests. D. The owner, the owner' s authorized agent or representative and/ or the owner' s designated local contact person shall use reasonably prudent business practices to ensure that the occupants and/ or guests of the short-term vacation rental unit do not create unreasonable noise or disturbances, engage in disorderly conduct, or violate any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit. E. No radio receiver, musical instrument, phonograph, compact disk player, loudspeaker, karaoke machine, sound amplifier, or any machine, device or equipment that produces or reproduces any sound shall be used outside or be audible from the outside of any short-term vacation rental unit between the hours of ten p. m. and one p. m. F. Prior to occupancy of a short-term vacation rental unit, the owner or the owner' s authorized agent or representative shall: 1) Obtain the contact information of the responsible person; 2) Provide a copy of the good neighbor brochure to the responsible person; and 3) Require such responsible person to execute a formal acknowledgement that he or she is legally responsible for compliance by all occupants of the shortterm vacation rental unit and their guests with all applicable laws, rules and regulations pertaining to the use and occupancy of the short-term vacation rental unit. This information shall be maintained by the owner or the owner' s authorized agent or representative for a period of three years and be made readily available upon request of any officer of the city responsible for the enforcement of any provision of the Municipal Code or any other applicable law, rule or regulation pertaining to the use and occupancy of the short-term vacation rental unit. G. The owner, the owner' s authorized agent or representative and/ or the owner' s designated local contact person shall, upon notification that the responsible person and/ or any occupant and/ or guest of the short-term vacation conduct, rental unit orhas created unreasonable noise or disturbances, engaged in disorderly committed violations of any applicable law, rule or regulation pertaining

85 Ordinance No. 501 Amend/Add to Municipal Code Chapters and Short-term Vacation Rental Adopted: October 16, 2012 Page 11 to the use and occupancy of the subject short-term vacation unit, promptly respond in a timely and appropriate manner to immediately halt or prevent a recurrence of such conduct by the responsible person and/ or any occupants and/or guests. Failure of the owner, the owner' s authorized agent or representative and/ or the owner' s designated local contact person to respond to calls or complaints regarding the condition, operation, or conduct of occupants and/ or guests of the short-term vacation rental in a timely and appropriate manner shall be subject to all administrative, legal and equitable remedies available to the city. H. The owner, the owner' s authorized agent or representative and/ or the owner' s designated local contact person shall report to the city manager, or designee, the name, violation, date, and time of disturbance of each person involved in three or more disorderly conduct activities, disturbances or other violations of any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit. Trash and refuse shall not be left stored within public view, except in proper containers for the purpose of collection by the city' s authorized waste hauler on scheduled trash collection days. The owner, the owner' s authorized agent or representative shall use reasonably prudent business practices to ensure compliance with all the provisions of Chapter ( Solid Waste Collection and Disposal) of the Municipal Code. J. No sign, as that term is defined in Section of Chapter Signs), shall be posted on the premises to advertise the availability of the shortterm vacation rental unit. Off-site directional signs are prohibited. K. On- site parking shall be allowed on an approved driveway, garage, and/ or carport areas only. Recreational vehicles may be parked in accordance with the provisions set forth in Section of Chapter L. The owner, the owner' s authorized agent or representative and/ or the owner' s designated local contact person shall post a copy of the short-term vacation rental permit and a copy of the good neighbor brochure in a conspicuous place within the short-term vacation rental unit, and a copy of the good neighbor brochure shall be provided to each occupant of the subject short-term vacation rental unit. M. Unless otherwise provided in this chapter, the owner and/ or the owner' s authorized agent or representative shall comply with all provisions of Chapter of the Municipal Code concerning transient occupancy taxes, including, but not limited to, submission of a monthly return in accordance with Section of Chapter of the Municipal Code, which shall be filed monthly even if the shortterm vacation rental unit was not rented during each such month.

86 Ordinance No. 501 Amend/Add to Municipal Code Chapters and Short-term Vacation Rental Adopted: October 16, 2012 Page 12 N. The city manager, or designee, shall have the authority to impose additional conditions on the use of any given short-term vacation rental unit to ensure that any potential secondary effects unique to the subject short-term vacation rental unit are avoided or adequately mitigated. 0. The standard conditions set forth herein may be modified by the city manager, or designee, upon request of the owner or the owner' s authorized agent or representative based on site-specific circumstances for the purpose of allowing reasonable accommodation of a short-term vacation rental. All requests must be in writing and shall identify how the strict application of the standard conditions creates an unreasonable hardship to a property such that, if the requirement is not modified, reasonable use of the property for a short-term vacation rental would not be allowed. Any hardships identified must relate to physical constraints to the subject site and shall not be self-induced or economic. Any modifications of the standard conditions shall not further exacerbate an already existing problem. P. The owner and/ or the owner' s authorized agent or representative shall post the current short-term vacation rental permit number on or in any advertisement appearing in any newspaper, magazine, brochure, television trade paper, Internet website, etc., that promotes the availability or existence of a short-term vacation rental unit in a place or location deemed acceptable by the city manager or designee. In the instance of audio-only advertising of the same, the short-term vacation rental permit number shall be read as part of the advertising Recordkeeping duties. The owner or the owner' s authorized agent or representative shall maintain for a period of three years, records in such form as the tax administrator (as defined in Chapter 3. 24) may require to determine the amount of transient occupancy tax owed to the city. The tax administrator shall have the right to inspect such records at all reasonable times, which may be subject to the subpoena by the tax administrator pursuant to Section ( Records) of Chapter Transient Occupancy Tax) of the Municipal Code Violations. A. Additional Conditions. A violation of any provision of this chapter by any of the occupants, responsible party, owner(s) or the owner' s authorized agent or representative shall authorize the city manager, or designee, to impose additional conditions on the use of any given short-term vacation rental unit to ensure that any potential additional violations are avoided.

87 Ordinance No. 501 Amend/ Add to Municipal Code Chapters and Short-term Vacation Rental Adopted: October 16, 2012 Page 13 B. Permit Modification, Suspension and Revocation. A violation of any provision of this chapter by any of the occupants, responsible party, owner(s) or the owner' s authorized agent or representative shall constitute grounds for modification, suspension and/ or revocation of the short-term vacation rental permit and/ or any affiliated licenses or permits pursuant to the provisions set forth in Section ( Appeals to Council) of Chapter C. Notice of Violation. The City may issue a notice of violation to any occupant, responsible party, owner(s) or the owner' s authorized agent or representative, pursuant to (Notices - Service) of the Municipal Code, if there is any violation of this chapter committed, caused or maintained by the any of the above parties. D. Administration Citation. The City may issue an administrative citation to any occupant, responsible party, owner(s) or the owner' s authorized agent or representative, pursuant to Chapter ( Administrative Citation) of the Municipal Code, if there is any violation of this chapter committed, caused or maintained by any of the above parties. Nothing in this section shall preclude the city from also issuing an infraction citation upon the occurrence of the same offense on a separate day. E. Misdemeanor Citation. The city may issue a misdemeanor citation to any occupant, responsible party, owner(s) or the owner' s authorized agent or representative. Every violation of this chapter is a misdemeanor and punishable by a fine not exceeding five hundred dollars or imprisonment in the county jail for not more than six months or by both such fine and imprisonment. F. Public Nuisance. It shall be a public nuisance for any person to commit, cause or maintain a violation of this chapter, which shall be subject to the provisions of Section ( Violations public nuisances) of Chapter ( Code Adopted).

88 Ordinance No. 501 Amend/Add to Municipal Code Chapters and Short-term Vacation Rental Adopted: October 16, 2012 Page 14 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF LA QUINTA ) I, SUSAN MAYSELS, City Clerk of the City of La Quinta, California, do hereby certify the foregoing to be a full, true, and correct copy of Ordinance No. 501 which was introduced at a regular meeting on the 2nd day of October, 2012, and was adopted at a regular meeting held on the 16th day of October, 2012, not being less than 5 days after the date of introduction thereof. I further certify that the foregoing Ordinance was posted in three places within the City of La Quinta as specified in City Council Resolution No SUSAN MAYSELS, City City of La Quinta, California lerk DECLARATION OF POSTING I, SUSAN MAYSELS, City Clerk of the City of La Quinta, California, do hereby certify that the foregoing ordinance was posted on October 7-3_, 2012 pursuant to Council Resolution. t.ca444%-- SUSAN MAYSELS, Cit Clerk City of La Quinta, California

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90 a t4 of altlnta asks a 1 ' i` cooperation. t7 it{ * x., Uk: oa mf,-....,ẇ_.. R NUMBER OF TOTAL* OVERNIGHT TOTAL** DAYTIME' OCCUPANTS z BEDROOMS OCCUPANTS INCLUDING OVERNIGHTOCCUPANTS) f% i Poi 0- STUDIO 2 8 f,, s vrsed that all ' 14, x' Y w a llure t I j i,, a dta xpulsio '' y result 5 12 nd/ or anted ' 14 1' O art a r ' is h 3 e., fight OVERNIGHT( 10:01 PM- 6: 59 AM) r DAYTIME( 7: 00 AM- 10:00 PM) t 71 1,, L,:. t,. 0 ert ii, i turf' r' r NOISE: Please keepp anyy music to an level. Remember you are renting in a residential neighborhood. The surrounding neghbors have access to a 24/ 7 hotline 760) ) that they may call to file a complaint. The homeowner or an appointed agent will be expected to respond to any complaint within 45 minutes or the La Quinta Police Department will be called. TRASH: Rental properties should be kept clean with no visible trash. Please keep all trash containers out of street view: a itti /. S pf., 6 5 -,, e- -` i s,-.; x57,,,," " a a, j ds i v y ; c x+ ". '' C Y''' '- ' 9 ], 7 J - j..,-. j rte 4 = ra es, and drvew y y r, r r" " w u PGA s r;

91 City of La Quinta , t:. Finance Department V Business License Division 1 c Calle Tampico t. OF TO' La Quinta, CA ) ( 760) fax finance Ia- quinta. org SHORT-TERM VACATION RENTAL BUSINESS LICENSE APPLICATION FORM BUSINESS LICENSE APPROVAL: APPROVED BY DATE CLASS BUSINESS NAME: BUSINESS ADDRESS: CITY/ STATE: ZIP CODE:,_ MAILING ADDRESS: CITY/ STATE:_ ZIP CODE: BUSINESS PHONE: E- MAIL ADDRESS: NAMES OF OWNERS OR OFFICERS AND TITLE: 1. a. ESTIMATED GROSS BUSINESS RECEIPTS( NEW BUSINESSES ONLY): $ b. PREVIOUS YEAR GROSS RECEIPTS FOR ESTABLISHED BUSINESSES: $ SB- i.186 State Fee si.00 TOTAL FEES: $ BUSINESS TAX SCHEDULE GROSS RECEIPTS RANGE: HOMEOWNER CLASS 2 CLASS 3 o- 25, o , , , , , , o PROPERTY MANAGEMENT CO. I HEREBY CERTIFY that all information supplied by me is correct and any licenses required by the County, State or Federal Government have been issued to me and are in full force and effect. SIGNATURE: DATE: On September 19, 2012 Governor Brown signed into law SB which adds a state fee of ss on any applicant for a local business license, permit, or renewal. The purpose is to comply with construction-related accessibility requirements for businesses in order to facilitate compliance with federal and state disability law, as specified.

92 CITY tf PALM DESERT

93 ORDINANCE NO AN CALIFORNIA, ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, AMENDING PALM DESERT MUNICIPAL CODE CHAPTER TRANSIENT OCCUPANCY TAX; ADDING CHAPTER SHORT-TERM RENTALS; AND REPEALING SECTIONS OF CHAPTER 25 ZONING, TERM RENTALS. REQUIRING A CONDITIONAL USE PERMIT FOR SHORT- WHEREAS, the City Council adopted Ordinance No on March 8, 2012 revising sections of the Palm Desert Municipal Code; and WHEREAS, said application has complied with the requirements of the " City of Palm Desert Procedure for Implementation of the California Environmental Quality Act", Resolution No , the Director of Community Development has determined that the and project will not have a negative impact on the environment and is exempt from CEQA, WHEREAS, at said public hearings, said City Council heard and considered all testimony and arguments of all interested persons; and NOW, THEREFORE, BE IT ORDINANDED by the City Council of the City of Palm Desert, California, that the following section of the Palm Desert Municipal Code is hereby amended, as follows: Section 1: That Chapter ( A) below: Definitions is hereby amended to read as Hotel" means any structure, or any portion of any structure, which is occupied or intended or designed for use or occupancy by transients, including, but not limited to dwelling, lodging or sleeping purposes, and includes any hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodginghouse, roominghouse, apartment house, timeshare project or facility, dormitory, public or private club, mobile home or house trailer at a fixed location, recreational vehicle or other similar structure or portion thereof, including a " short term rental unit" as defined in Section Section 2: That Chapter Short-term Rentals is hereby added to the Palm Desert Municipal Code as follows:

94 ORDINANCE NO Chapter SHORT-TERM RENTALS Title Purpose Definitions Authorized agent or representative Short-term Rental Permit Required Short-term Rental Permit Application Operational requirements and standard conditions Recordkeeping duties Violations Requirements not exclusive Chapter SHORT-TERM RENTALS Title This chapter shall be referred to as the "Short-term Rental Ordinance." Purpose A. The purpose of this chapter is to establish regulations for the use of privately owned residential dwellings as short-term rentals that ensure the collection and payment of Transient Occupancy Taxes ( TOT) and minimize the negative secondary effects of such use on surrounding residential neighborhoods. B. This chapter is not intended to provide any owner of residential property with the right or privilege to violate any private conditions, covenants and restrictions applicable to the owner's property that may prohibit the use of such owner's residential property for short term rental purposes as defined in this chapter Definitions For purposes of this chapter, the following words and phrases shall have the meaning respectively ascribed to them by this section: 2

95 ORDINANCE NO Applicable laws, rules and regulations" means any laws, rules, regulations and codes ( whether local, state or federal) pertaining to the use and occupancy of a privately owned dwelling unit as a short-term rental. Applicant" means the owner of the short-term rental unit or the owner's authorized agent or representative. City Manager" means that person acting in the capacity of the City Manager of the City of Palm Desert or designee. Good neighbor brochure" means a document prepared by the City that summarizes the general rules of conduct, consideration, and respect, including without limitation provisions of the Palm Desert Municipal Code and other applicable laws, rules or regulations pertaining to the use and occupancy of short- term rental units. Local contact person" means the person designated by the owner or the owner's authorized agent or representative who shall be available twenty-four (24) hours per day, seven ( 7) days per week for the purpose of: ( 1) responding within sixty ( 60) minutes to complaints regarding the condition, operation, or conduct of occupants of the short-term rental unit; and (2) taking remedial action to resolve any such complaints. Owner" means the person(s) or entity(ies) that hold( s) legal and/or equitable title to the subject short-term rental. Operator" means the Owner or the designated agent or representative of the Owner who is responsible for compliance with this chapter with respect to the short term rental unit. Property" means a residential legal lot of record on which a shortterm rental unit is located. Responsible person" means an occupant of a short-term rental unit who is at least twenty-one (21) years of age and who is legally responsible for ensuring that all occupants of the short-term rental unit and/or their guests comply with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short-term rental unit. 3

96 ORDINANCE NO Short-term rental unit" means a privately owned residential dwelling, such as, but not limited to, a single-family detached or multiplefamily attached unit, apartment house, condominium, cooperative apartment, duplex, or any portion of such dwellings, rented for occupancy for dwelling, lodging, or sleeping purposes for any period less than twenty seven ( 27) consecutive days or less. Short-term rental permit" means a permit that allows the use of a privately owned residential dwelling as a short-term rental unit pursuant to the provisions of this chapter, and that incorporates by consolidation a Transient Occupancy Registration Permit and any other potential licensing required in Chapter 5 of the Palm Desert Municipal Code. Transient" for purposes of this chapter means any person who seeks to rent or who does rent a privately owned residential unit for a period less than twenty seven ( 27) consecutive days or less. Transient Occupancy Registration Permit" means a permit that allows the use of a privately owned residential dwelling as a short-term rental unit pursuant to the provisions of Chapter Transient Occupancy Tax respectively Authorized agent or representative A. An owner shall designate the owner or an agent or a representative to comply with the requirements of this chapter on behalf of the owner. The owner or designated agent of representative is referred to as " Operator" in this chapter. B. Notwithstanding subsection A, the owner shall not be relieved from any personal responsibility or personal liability for noncompliance with any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term rental unit, regardless of whether such noncompliance was committed by the owner' s authorized agent or representative or the occupants of the owner's short- term rental unit or their guests. 4

97 ORDINANCE NO Short-term Rental Permit Required A. The Operator is required to obtain a short-term rental permit from the City, pursuant to the provisions of this chapter and Chapter respectively, before renting any privately owned residential dwelling to any transient for a period less than a monthly basis. B. A short-term rental permit shall be required to be renewed on an annual basis based on the anniversary of the original permit issuance in order to remain valid Short-term Rental Permit Application A. The operator must submit the following information on a short-term rental permit application form provided by the City: 1. The name, address, and telephone number of the owner of the subject short-term rental unit; operator; 2. The name, address, and telephone number of the 3. The name, address, and twenty-four hour telephone number of the local contact person; 4. The address of the proposed short-term rental unit; 5. The number of bedrooms and the applicable overnight and daytime occupancy limit of the proposed short-term rental unit; 6. Acknowledgement of receipt and inspection of a copy of the good neighbor brochure; 7. Such other information as the City Manager or designee deems reasonably necessary to administer this chapter. B. The short-term rental permit application shall be accompanied by an application fee established by resolution of the City Council. 5

98 ORDINANCE NO C. The Tax Administrator, as defined in Section (E) shall issue the Short-Term Rental Permit, which will incorporate a Transient Occupancy Registration Permit, as provided in Section if the applicant satisfies the requirements of this Chapter and Chapter D. A short-term rental permit application may be denied if the applicant has had a prior short-term rental permit for the same unit revoked within the past twelve ( 12) calendar months. E. Within fourteen ( 14) days of a change of property ownership, change of operator, or any other change in material facts pertaining to the information contained in the short term rental permit, the operator shall submit an application and requisite application fee for a new short-term rental permit, which must be obtained prior to continuing to rent the subject unit as a short-term rental Operational requirements and standard conditions A. The operator shall use reasonably prudent business practices to ensure that the short-term rental unit is used in a manner that complies with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short-term rental unit, including Chapter (Transient Occupancy Tax). 8. Minimum Number of Days and Nights for Rent or Lease: The minimum number of days that a short-term rental shall be occupied for is three ( 3) days, two (2) nights. Less than three ( 3) day, two ( 2) night rentals or leases shall be prohibited. C. Maximum Number of Occupants: The maximum number of overnight guests for a short-term vacation rental shall not exceed two ( 2) persons per bedroom. Additional daytime guests are allowed between the hours of 7:00 am and 10 pm, with the maximum daytime guests not to exceed two ( 2) persons per bedroom with a maximum of twenty ( 20) guests allowed for five ( 5) bedrooms or more. The following table illustrates the maximum number of occupants: Number of Total of Overnight Total Daytime Occupants ( Including Bedrooms Occupants 1 Number of Overnight Occupants) P ) 6

99 ORDINANCE NO Studio D. Appearance Visibility or Location: A short-term vacation rental shall not change the residential character of the outside appearance advertising of the residence, mechanism. either by the use of colors, materials, lighting, or any E. On- site Parking Required: AU parking associated with a short-term vacation rental shall be entirely on- site, in the garage, carport, and driveway or otherwise off of the public street. F. Noise: Occupants of the short-term vacation rental shall comply with the standards and regulations of the Palm Desert Municipal Loud Code or Chapter 9.24 Noise Control and Chapter Multiple Responses to Unruly Parties, Gatherings or Other Similar Events. No radio receiver, musical instrument, phonograph, compact disk player, loudspeaker, karaoke machine, sound amplifier, or any machine, device or equipment that produces or reproduces any sound shall be used outside or be audible from the outside of any short-term rental unit between the hours of 10 p.m. and 10 a. m. G. Renter Notification: The operator shall provide each occupant of the short-term vacation rental with the following information prior to occupancy of the unit and/or shall post such information in a prominent location within the unit: Operator with 24 hour availability. The maximum number of overnight occupants and the maximum number of daytime occupants as permitted pursuant to the chapter. 7

100 ORDINANCE NO Trash pick- up day and applicable rules and regulations pertaining to leaving or storing trash on the exterior of the property. 4. A copy of the Palm Desert Municipal Code Chapter Noise Control and Chapter Multiple Responses to Loud or Unruly Parties, Gatherings or Other Similar Events 5. Notification that the occupant or owner may be citied or fined by the City in accordance with this chapter and/or Chapter Noise Control and Chapter Multiple Responses to Loud or Unruly Parties, Gatherings or Other Similar Events. H. While a short-term rental unit is rented, the operator shall be available twenty-four (24) hours per day, seven ( 7) days per week for the purpose of responding within sixty ( 60) minutes to complaints regarding the condition, operation, or conduct of occupants of the short-term rental unit or their guests. I. The operator and the designated local contact person shall use reasonably prudent business practices to ensure that the occupants and/ or guests of the short-term rental unit do not create unreasonable noise or disturbances, engage in disorderly conduct, or violate any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term rental unit. J. Prior to occupancy of a short-term rental unit, the operator shall: ( 1) obtain the name, address, and a copy of a valid government identification of the responsible person; ( 2) provide a copy of the good neighbor brochure to the responsible person; and ( 3) require such responsible person to execute a formal acknowledgement that he or she is legally responsible for compliance by all occupants of the short-term rental unit and their guests with all applicable laws, rules and regulations pertaining to the use and occupancy of the short-term rental unit. This information shall be maintained by the operator for a period of three ( 3) years and be made readily available upon request of any officer of the City responsible for the enforcement of any provision of the Municipal Code or any other applicable law, rule or regulation pertaining to the use and occupancy of the short-term rental unit. 8

101 ORDINANCE NO K. The operator and/or the designated local contact person shall upon notification that the responsible person and/ or any occupant and/or guest of the short-term rental unit has created unreasonable noise or disturbances, engaged in disorderly conduct, or committed violations of any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term unit, promptly respond within sixty (60) minutes and appropriate manner to immediately halt or prevent a recurrence of guests. such conduct by the responsible person and/or any occupants and/or Failure of the owner, and/or operator to respond to calls or complaints regarding the condition, operation, or conduct of occupants and/or guests of the short-term rental within sixty ( 60) minutes and appropriate manner shall be subject to all administrative, legal and equitable remedies available to the City. L. The operator and/or the designated local contact person shall report to the City Manager, or designee, the name, violation, date, and time of disturbance of each person involved in three or more disorderly conduct activities, disturbances or other violations of any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term unit. M. except in Trash and refuse shall not be left stored within public view, proper containers for the purpose of collection by the City's authorized waste hauler on scheduled trash collection days. The operator shall use reasonably prudent business practices to ensure compliance with all the provisions of Chapter 8.16 ( Solid Waste) of the Municipal Code. N. The operator and/or the designated local contact person shall post a copy of the short-term rental permit and a copy of the good neighbor brochure in a conspicuous place within the short-term rental unit, and a copy of the good neighbor brochure shall be provided to each occupant of the subject short-term rental unit. O. The operator shall post the current short-term rental permit number on or in any advertisement appearing in any newspaper, magazine, brochure, television trade paper, Internet website, etc., that promotes the availability or existence of a short-term rental unit in a place or location deemed acceptable by the City Manager or designee. In the 9

102 ORDINANCE NO instance of audio- only advertising of the same, the short-term rental permit number shall be read as part of the advertising. P. Unless otherwise provided in this chapter, the operator shall comply with all provisions of Chapter 3.28 of the Municipal Code concerning transient occupancy taxes, including, but not limited to, submission of a monthly TOT return in accordance with Section of Chapter of the Municipal Code, which shall be filed monthly even if the short-term rental unit was not rented during each such month. Q. The City Manager, or designee, shall have the authority to impose additional conditions on the use of any given short-term rental unit to ensure that any potential secondary effects unique to the subject shortterm rental unit are avoided or adequately mitigated. R. The standard conditions set forth herein may be modified by the City Manager, or designee, upon request of the operator based on site-specific circumstances for the purpose of allowing reasonable accommodation of a short-term rental. All requests must be in writing and shall identify how the strict application of the standard conditions creates an unreasonable hardship to a property such that, if the requirement is not modified, reasonable use of the property for a short-term rental would not be allowed. Any hardships identified must relate to physical constraints to the subject site and shall not be self-induced or economic. Any modifications of the standard conditions shall not further exacerbate an already existing problem Recordkeeping duties The operator shall maintain for a period of three ( 3) years, records in such form as the tax administrator ( as defined in, and required by, Chapter 3. 28) may require to determine the amount of transient occupancy tax owed to the City. The tax administrator shall have the right to inspect such records at all reasonable times. Such records shall be maintained at the owner or operator's premises or shall be available for delivery to the tax administrator within one ( 1) week after request, which may be subject to the subpoena pursuant to Section Violations 10

103 ORDINANCE NO A. Additional Conditions. A violation of any provision of this chapter by any of the occupants, owner(s) or the operator shall authorize the City Manager or designee to impose additional conditions on the use of violations any given areshort-term avoided. rental unit to ensure that any potential additional B. Permit Modification, Suspension and Revocation. A violation operator of any provision shall of this chapter by any of the occupants, owner(s) or the constitute grounds for modification, suspension and/or revocation of the short-term rental permit and/or any affiliated licenses or Municipal permits pursuant Code. to the provisions set forth in Chapter of the 1. Whenever any operator fails to comply with any provision of this chapter, the City Manager or designee upon hearing, after giving the operator and/or owner ten ( 10) days notice in writing specifying the time and place of hearing and requiring him to show cause why the short term rental permit should not be revoked, may modify, suspend or revoke the permit held by the operator. 2. The City Manager, or designee, shall give to the operator and/ or owner written notice of the modification, suspension or revocation of the permit. The notices required in this section may be served personally or by mail. 3. The tax administrator shall not issue a new short term rental permit after the revocation of a permit unless he or she is satisfied that the former holder of the permit will comply with the provisions of this chapter. During the period of time while such a permit is suspended, revoked or otherwise not validly in effect, the use of the dwelling as a short term rental unit is prohibited. C. Notice of Violation. The City may issue a notice of violation to any occupant, owner(s) or operator, pursuant to Chapter of the Municipal Code, if there is any violation of this chapter committed, caused or maintained by the any of the above parties. D. Administrative Citation. The City may issue an administrative citation to the property owner(s) pursuant to Chapter 8.81 ( Administrative 11

104 ORDINANCE NO Citation) of the Municipal Code if there is any violation of this chapter committed, caused or maintained. Nothing in this section shall preclude the City from also issuing an infraction citation upon the occurrence of the same offense on the same day to any occupant, owner(s) or the operator. Unless otherwise provided herein, any person issued an administrative citation pursuant to this chapter shall for each separate violation be subject to: ( 1) an administrative fine in an amount not to exceed two hundred fifty dollars ($250) for the first citation; ( 2) an administrative fine in an amount not to exceed five hundred dollars ($ 500) for a second citation issued for the same offense within a twelve ( 12) month period of the date of the first offense; and ( 3) a fine in an amount not to exceed one thousand dollars ($ 1, 000) for a third ( 3) and any subsequent citation issued for the same offense within a twelve ( 12) month period of the date of the first offense. Notwithstanding the above, operating a short-term rental unit without a validly issued short-term rental permit shall be subject to: ( 1) a fine in an amount not to exceed one thousand dollars ($ 1, 000) for the first citation; ( 2) a fine in an amount not to exceed one thousand five hundred dollars ($ 1, 500) for a second citation issued for the same offense within a twelve ( 12) month period of the date of the first offense; and ( 3) a fine in an amount not to exceed two thousand five hundred dollars 2, 500) for the third citation issued for the same offense within a twelve 12) month period of the date of the first offense. E. Infraction. The City may issue an infraction citation to any occupant, owner(s) or operator, pursuant to the provisions set forth in Chapter Citations for Code Violations of the Municipal Code, including, but not limited to, the imposition of any and all criminal penalties set forth therein if there is any violation of this chapter committed, caused or maintained by the any of the above parties. Unless otherwise provided herein, any person convicted of an infraction shall, for each separate violation of this chapter be subject to: ( 1) a fine in an amount not to exceed five hundred dollars($ 500) for a first conviction of an offense; (2) a fine in an amount not to exceed seven hundred fifty dollars ($ 750) for a second conviction of the same offense within a twelve ( 12) month period of the date of the first offense; and ( 3) a fine in an amount not to exceed one thousand dollars ($ 1, 000) for the third conviction of the same offense within a twelve ( 12) month period of the date of the first offense. The fine for a fourth and subsequent convictions of the same offense within a twelve ( 12) month period of the date of the first offense shall be one thousand five hundred dollars ($ 1, 500). Notwithstanding the above, 12

105 ORDINANCE NO operating a short-term rental unit without a validly issued short-term rental permit shall be subject to: ( 1) a fine in an amount not to exceed one thousand dollars ($ 1, 000) for a first conviction of an offense; ( 2) a fine in an amount not to exceed one thousand five hundred dollars ($ 1, 500) for a second conviction of the same offense within a twelve ( 12) month period of the date of the first offense; and ( 3) a fine in an amount not to exceed two thousand dollars ($ 2, 000) for the third conviction of the same offense within a twelve ( 12) month period of the date of the first offense. The fine for a fourth and subsequent convictions of the same offense within a twelve ( 12) month period of the date of the first offense shall be five thousand dollars ($ 5, 000). F. Public Nuisance. It shall be a public nuisance for any person to commit, cause or maintain a violation of this chapter, which shall be subject to the provisions of Chapter Noise Control and Chapter Multiple Responses to Loud or Unruly Parties, Gatherings or Other Similar Events of the Municipal Code. Section 3: That Chapter ( K) Conditional uses is hereby repelled in its entirety. Section 4: That Chapter Conditional uses is hereby repelled in its entirety. Section 5: That Chapter ( K) Conditional uses is hereby repelled in its entirety Section 6: That Chapter ( M) Conditional uses is hereby repelled in its entirety Section 7: That Chapter ( 0) Conditional uses is hereby repelled in its entirety Section 8: That Chapter ( I) Conditional uses is hereby repelled in its entirety Section 9: That Chapter ( I) Conditional uses is hereby repelled in its entirety Section 10: Certification: That the City Clerk of the City of Palm Desert, California, is hereby directed to publish this ordinance in the Desert Sun, a newspaper of 13

106 ORDINANCE NO general circulation, published and circulated in the City of Palm Desert, California. Section 11: Effective Date: This ordinance shall take effect thirty ( 30) days after its seconding reading. PASSED, APPROVED AND ADOPTED at a regular meeting of the Palm Desert City Council, held on this 22nday of March 2012, by the following vote, to wit: AYES: BENSON, FINERTY, RARNIK, KROONEN, and SPIEGEL NAYS: NONE ABSENT: NONE ABSTAIN: NONE e7741 ROBERT A. SPIEGEL MAi'! ATTEST: P_ArktiliiAle RA HELLE D. KLAS EN, City Clef City of Palm Desert, California 3- PR' 2'n ( a-, APPROVED AS TO FORM: DAVID TY ATTORNEY 14

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