City Council Report 915 I Street, 1 st Floor Sacramento, CA

Similar documents
Law and Legislation Committee Report 915 I Street, 1 st Floor Sacramento, CA

City Council Report 915 I Street, 1 st Floor Sacramento, CA

Oversight Board for Redevelopment Agency Successor Agency Report 915 I Street, 1 st Floor, Sacramento, CA

City Council Report 915 I Street, 1 st Floor Sacramento, CA

ORDINANCE NO. STRTF Review

AGENDA REPORT SUMMARY. Express Short-Term Rental Prohibition. Jon Biggs, Community Development Director and the City Attorney s Office

DRAFT- FOR REVIEW BY COUNCIL ON 1/8/19 ORDINANCE NO. XXXX

City Council Report 915 I Street, 1 st Floor

Zoning Code Amendment: Short-Term Rental Regulations

BRUCE BUCKINGHAM, COMMUNITY DEVELOPMENT DIRECTOR JANET REESE, PLANNER II

direct that agriculture is the primary land use in the County, minimize conflicts arising from

Law and Legislation Committee Report 915 I Street, 1 st Floor

ORDINANCE NO. SECTION ONE: Chapter shall be added to the Inyo County Code shall be added to read as follows: Chapter 18.73

Community Development Department Planning Division 1600 First Street + P.O. Box 660 Napa, CA Napa (707)

City Council Report 915 I Street, 1 st Floor Sacramento, CA

DISCUSS AND PROVIDE DIRECTION REGARDING POTENTIAL REGULATIONS FOR SHORT-TERM RENTALS.

ATTACHMENT 8 ORDINANCE NO. 5017

Owner Forum Agenda. I. History of RBO regulations II. Review requirements and documents. II. Association s Governing Documents

Regulation of Short-Term Rentals

City Council Report 915 I Street, 1 st Floor

2.0 RECOMMENDATIONS AND PROCEDURES

City Council Report 915 I Street, 1 st Floor

ORDINANCE NO. WHEREAS, many Vacation Rentals are currently operating throughout Mendocino County; and

Short Term Rental Pilot Program Discussion. City Council Meeting Tuesday, January 8, 2019

STAFF REPORT SAUSALITO CITY COUNCIL. AGENDA TITLE: Update on Short Term Vacation Rentals - Code Enforcement Program

Short-term residential rental authorized advertisement

Venice Neighborhood Council PO Box 550, Venice, CA / / Phone or Fax:

CASE STUDIES SUMMARY MEMO

CITY OF CARPINTERIA SHORT-TERM RENTAL ADMINISTRATIVE POLICIES AND PROCEDURES

City Council Report 915 I Street, 1 st Floor Sacramento, CA

ORDINANCE NO xxxx

STAFF REPORT SAUSALITO CITY COUNCIL. AGENDA TITLE: Short Term Vacation Rentals

MEMORANDUM. Economic Development and Technology Committee. David M. Reyes, Director of Planning and Community Development

company s coming taxation, zoning, and licensing for short term residential rentals

AGENDA. 1 Background 2 Community Input 3 Short-Term Rental Ordinance Options 4 Next Steps 5 Discussion

Oversight Board for Redevelopment Agency Successor Agency Report 915 I Street, 1 st Floor

Direction Requested from Council on 1/8/19

Councilmember Heilman, Mayor Pro Tempore Meister, and Mayor Horvath. Councilmember Duran. Councilmember D'Amico. None.

1. Program Structure/ Reporting

THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS:

City of Sacramento City Council 915 I Street, Sacramento, CA,

ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DALY CITY REPEALING AND REPLACING CHAPTER RE: INCLUSIONARY HOUSING

SHORT TERM RENTAL PERMIT/BUSINESS REGISTRATION

DRAFT BUTTE COUNTY SHORT TERM RENTAL ORDINANCE (August 1, 2018)

Ordinance No SUMMARY AN ORDINANCE CREATING CHAPTER 5.40 OF DOUGLAS COUNTY CODE REGULATING VACATION HOME RENTALS IN THE TAHOE TOWNSHIP

SHORT TERM RESIDENTIAL RENTAL CODE Purpose.

CITY OF CARPINTERIA SHORT-TERM RENTAL ADMINISTRATIVE POLICIES AND PROCEDURES

DRAFT BUTTE COUNTY SHORT TERM RENTAL ORDINANCE (August 29, 2018)

ATTACHMENT 4 ORDINANCE NO.

City of Calistoga Staff Report

RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA TO ESTABLISH A HOTEL DEVELOPMENT

LS23.1 Attachment 2. Attachment 2: Jurisdictional Scan of Short-term Rental Regulations. Jurisdictional scan of Canadian municipalities.

CORTE MADERA TOWN COUNCIL STAFF REPORT TOWN MANAGER, MAYOR, AND TOWN COUNCIL DOUGLAS BUSH, ASSIST ANT PLANNER

Short-Term Rental Licensing Guide

Butte County Board of Supervisors Agenda Transmittal

ORDINANCE NO. 927 AN ORDINANCE OF THE COUNTY OF RIVERSIDE REGULATING SHORT TERM RENTALS

NAPA COUNTY BOARD OF SUPERVISORS Board Agenda Letter

Short-Term Rental Policy

AN ORDINANCE ALLOWING SHORT-TERM RESIDENTIAL RENTALS IN THE CITY OF BOSTON

REQUEST FOR CITY COUNCIL ACTION

Item 10C 1 of 69

Butte County Planning Commission

ORDINANCE NO

ORDINANCE NO

homeowners, short-term rental owners, property managers and local businesses to weigh in on proposed legislation.

Amending BMC Section 23C , Short-Term Rental Regulations

DRAFT PROPOSED VACATION RENTAL ORDINANCE Vacation Rentals. The use of residentially zoned property as a vacation rental shall comply with th

Mammoth Lakes Town Council Agenda Action Sheet

July 31, Marin County Board of Supervisors 3501 Civic Center Drive San Rafael, CA 94903

7 County Center Drive T: Oroville, California F:

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN MATEO, CALIFORNIA, ORDAINS that:

City Council Report 915 I Street, 1 st Floor

ORDINANCE NO. The Board of Supervisors of the County of Ventura ( County ) ordains as follows: Section 1 Purpose

REPORT. Amendment to the Contract for Property Management Services for Hotel Sandford

CHAPTER 30: SHORT TERM RENTALS (STR) AND RESIDENTIAL HOSTING FACILITIES (RHF)

REPORT. Action to Amend Appendix A of San Diego Housing Commission Conflict of Interest Code and Related Provisions

ORDINANCE NO. 17- WHEREAS, Ordinance No , by law, is effective for only 10 months and 15 days and expires on January 26, 2017; and

City Council Report. 915 I Street, 1 st Floor Sacramento, CA File ID: October 23, 2018 Consent Item 02

PLANNING COMMISSION STAFF REPORT August 6, 2015

City of Sunnyvale. Agenda Item Agenda Date: 7/27/2015

PROPOSED INCLUSIONARY ORDINANCE

Chapter RESIDENTIAL PARKING PERMIT PROGRAM. Sections:

CITY OF ALAMEDA ORDINANCE NO. New Series

ORDINANCE NO. Part 12 Tenant Protection Ordinance. This Part shall be known as the Tenant Protection Ordinance.

TOWN OF SPAFFORD LOCAL LAW

Short-term Residential Rental Uses. Proposed accessory homestay regulations Economic Development Commission

The City Council makes the following findings:

County of El Dorado. Vacation Home Rental (VHR) Ad Hoc Committee Meeting 6. Meeks Bay Fire Protection District Station 61 June 25, 2018

Policies in Other Cities Effective Limitation - Prohibition of STVR by Various Municipalities

CITY OF ELK GROVE CITY COUNCIL STAFF REPORT

Asbury Park, New Jersey ORDINANCE NO

NOW, THEREFORE, THE CITY COUNCIL OF THE MY OF LAGUNA. Code is hereby amended and shall read in its entirety as follows:

OAKLAND CITY COUNCIL

SHORT TERM VACATION RENTAL APPLICATION AND INFORMATION OUTLINE

CARLISLE PLACE HOMEOWNERS ASSOCIATION, INC. RESOLUTION OF THE BOARD OF DIRECTORS

SHORT TERM VACATION RENTAL APPLICATION AND INFORMATION OUTLINE

Meeting Date: July 16, 2018 Mayor and Council Brigid Reynolds, Director of Community Planning Moratorium on Short-Term Rentals

January 29, 2019 City Council Chambers

ORDINANCE NO

6)% wi/j ~ tm EYV'at«ntoi ~ tntuhua, ~/me,,

Transcription:

City Council Report 915 I Street, 1 st Floor Sacramento, CA 95814 www.cityofsacramento.org File ID: 2018-01071 August 14, 2018 Discussion Item 18 Title: Ordinance Amending Various Sections of Chapter 5.114 of the City Code Relating to Short-Term Rentals (Passed for Publication 07/31/2018; Published 08/03/2018) Location: Citywide Recommendation: Pass an Ordinance amending various sections of chapter 5.114 of the Sacramento City Code relating to certain matters concerning Short-Term Rentals including: 1) allowing multiple permits for permittees who reside in the City; 2) expressly subjecting permittees to the applicable rules and regulations of neighborhood Covenants, Conditions, and Restrictions ( CC&Rs ); and 3) prohibiting advertising for more than six guests on hosting platforms Contact: Brad Wasson, Revenue Manager, (916) 808-5844, Department of Finance Presenter: Brad Wasson, Revenue Manager, (916) 808-5844, Department of Finance Attachments: 1-Description/Analysis 2-Background 3-Ordinance (Redline) 4-Ordinance (Clean) Susana Alcala Wood, City Attorney Mindy Cuppy, City Clerk John Colville, City Treasurer Howard Chan, City Manager Page 1 of 11

File ID: 2018-01071 Discussion Item 18 Description/Analysis Issue Detail: On April 24, 2018, the Law and Legislation ( L&L ) Committee directed staff to amend the Sacramento City Code ( City Code or Code ) to address the following concerns: 1. Permittees that provide lodging to more than the authorized number of lodgers in violation of the City Code. (City Code section 5.114.200.) 2. Permittees that advertise lodging more than the authorized number of lodgers in violation of the Code. 3. Allowing permittees to hold multiple permits if their primary residence is in the territory of the City. The attached Ordinance amends the City Code to address these concerns, as well as those expressed by neighbors of Short-Term Rental ( STR ) operators within the neighborhood. The proposed Ordinance: 1. Allows multiple permits to be held by a permittee whose primary residence is in the territory of the city; 2. Limits one STR permit per lot as defined in Title 17 of the Code, when the permittee s primary residence is not within the territory of the city; 3. Limits the number of guests per lot to six, wherein the permittee s primary residence is not on the lot; 4. Expressly subjects STR permits to the rules and regulations of neighborhood CC&Rs; and 5. Prohibits any advertisement in violation of the Code. Lastly, to assist with the identified concerns and those expressed by neighbors of STR operators, the City has started interviewing the top three consulting companies to assist with the City s enforcement of the STR permit program. A redlined and clean version of the ordinance has been attached (see Attachments 3 and 4). The City Charter requires that the ordinance be passed for publication of title prior to adoption. (City Charter section 32(c).) Staff recommends that Council pass for publication the Ordinance title and continue the item for consideration of adoption. Policy Considerations: The recommended Ordinance will increase the City s effectiveness in enforcing violations of the STR permit program, which is consistent with Council s support of compliant permittees. Economic Impacts: None. City of Sacramento August 14, 2018 powered by Legistar Page 2 of 11

File ID: 2018-01071 Discussion Item 18 Environmental Considerations: This action is not a project subject to California Environmental Quality Act ( CEQA ) because it involves administrative matters and will not result in new physical development, direct changes to the physical environment, and any reasonably foreseeable indirect physical change in the environment. (CEQA Guidelines section 15378(b)(5).) Sustainability: Not applicable. Commission/Committee Action: On December 12, 2017 and April 24, 2018, the L&L Committee discussed and directed staff to return with the proposed Ordinance. On June 12, 2018, the L&L Committee, by a vote of 3 ayes, zero noes, and one absent, voted to forward the proposed Ordinance to City Council for consideration. Rationale for Recommendation: The following includes a summary of the rationale for the approval of the recommended Ordinance: Primary Residency in the City. Proximity of the permittee to the STR property directly affects the permittee s ability to control activity occurring at the rental. Most complaints are regarding noise and parking. If the host is at the location, it is much easier for neighbors to contact them, and hosts to rectify or explain the situation. The best oversight occurs when the permittees primary residence is on the same lot as the STR. Arguably then, such oversight is not lessened by additional STR permits for the same lot. Consequently, staff recommends that these permittees be allowed to hold more than one permit for the same lot, if the permittee desires. Additionally, the next best oversight is when the permittee s primary residence is in the city, although not on the same lot. As the concerns noted above are remedied here, except that it is not as immediate as when the host lives on the property. Accordingly, staff is recommending that if the permittee resides within the territory of the City, then that permittee should be allowed to hold more than one STR permit per lot. However, because six guests are the maximum per permit, staff recommends that these permittees be limited to a maximin of six guests per lot. In this situation with the host not living on site, but close by in the city limits it makes sense to allow them multiple permits for secondary dwelling units but holding them to the six-guest limit to the property. Expressly subjecting STRs to CC&Rs. Currently, the City Code does not address neighborhood CC&Rs as it relates to STRs. STR operators and neighborhood associations have questioned CC&Rs applicability to STRs given City regulations. This ordinance seeks to clarify this matter and provide homeowner s associations with an assurance that the City s STR program should not conflict with the City of Sacramento August 14, 2018 powered by Legistar Page 3 of 11

File ID: 2018-01071 Discussion Item 18 residential quality and standards for their community by requiring STR operators to comply with CC&Rs. Advertising in violation of the Code. Lastly, in managing the STR program, staff has found that some permittees advertise lodging in an amount that is in excess of the City s maximum limits. Such lodging could affect the residential quality of the neighborhood. One way to address this matter is to make it a violation of City Code to advertise for activity that does not comply with the Code s provisions. The recommended ordinance will also increase staff s ability to monitor the number of guests that lodge at STRs and take the necessary enforcement action if the guest limit is exceeded. Financial Considerations: Civil penalties for non-compliant STR operators is provided for in the Code at no less than $250 but no more than $25,000 for each day the violation continues (City Code section 5.114.040(C)). The City collected $46,295 in transient occupancy tax (TOT) in Fiscal Year (FY) 2016/17 from STRs. In September of 2017, Airbnb initiated collection of TOT on behalf of their hosts. Airbnb has remitted $381,006 from September 2017 through March 2018 to the City. Of this 1/6 th ($63,500) was transferred to the General Fund. The remaining TOT funds remain in the Community Center Fund (Fund 6010) pursuant to the TOT Ordinance. It is estimated that there are 600 STRs, both permitted and unpermitted, operating in the City. To date, the City has issued 149 STR permits. Local Business Enterprise (LBE): Not applicable. City of Sacramento August 14, 2018 powered by Legistar Page 4 of 11

Background: Since the passage of the STR ordinance in January of 2016, issues with enforcement have increased and staff has continued to research best practice regulations. The Department of Finance has been working closely with staff in Code Enforcement, Planning, the Rental Housing Inspection Program (RHIP) and the Police Department to: Address 311 complaints regarding unpermitted STRs. Increase compliance of STRs by considering all noise, guest occupancy, and secondary dwellings complaints during the renewal process. Evaluate RHIP self-reporting properties to determine if a purported rental property should comply with either the STR program or RHIP. Address structural issues related to secondary dwelling units operating as STRs by verifying that the proper building permits have been obtained. Staff has researched the following cities to establish best regulation practices related to STRs. Many cities are facing the same challenges in enforcing STR regulations. San Francisco resolved unpermitted hosts by enacting legislation that requires the hosting platforms (e.g., Airbnb) to ensure the STR operators or hosts follow local permitting requirements. San Diego currently has no STR ordinance and only collects transient occupancy tax from property owners. Napa restricts the overall number of permits to 60 owner occupied and 41 nonowner occupied properties. South Lake Tahoe has moved away from violation warnings and issues monetary citations starting at $1,000 charged to the property, the property owner, and/or the guest. City staff will notify neighbors within 300 feet of the proposed Vacation Housing Rental (VHR) property and schedule a hearing with the Zoning Administrator before a permit is issued. If members of the community provide written objection to the VHR application, a public hearing will be held to provide an opportunity to discuss concerns before proceeding. If no objections are filed, the Zoning Administrator will review the application. The Zoning Administrator will review the application, information from the onsite inspection, and compliance with City s VHR Code in determining whether to approve or deny the application; or require special conditions before issuing a VHR permit. Las Vegas requires all STRs to undergo an inspection by the Planning Department prior to issuing permits. Page 5 of 11

ORDINANCE NO. Adopted by the Sacramento City Council [Date Adopted] AN ORDINANCE ADDING AND AMENDING VARIOUS SECTIONS OF CHAPTER 5.114 OF THE SACRAMENTO CITY CODE RELATING TO SHORT-TERM RENTALS BE IT ENACTED BY THE COUNCIL OF THE CITY OF SACRAMENTO: SECTION 1. Section 5.114.010 of the Sacramento City Code is amended to read as follows: 5.114.010 Definitions. For purposes of this chapter, the following definitions apply: Advertisement means any method used to solicit interest in the rental, including internet-based listing or hosting services. Applicant means the person applying for a short-term rental permit. City manager means the city manager or designee. CC&Rs (also known as covenants, conditions, and restrictions ) means limitations and rules placed on a group of homes by a builder, developer, neighborhood association, or homeowner association. Dwelling has the same meaning as in section 17.108.050. Dwelling unit has the same meaning as in section 17.108.050. Lodger means a person to whom a permittee is providing lodging for compensation. Lot has the same meaning as in section 17.108.130. Permittee means the person to whom a short-term rental permit is issued. Primary residence of the permittee means the dwelling unit in which the applicant or permittee resides for at least one hundred eighty-four (184) days during the calendar year. 1 Page 6 of 11

SECTION 2. Property owner means the owner of the property on which the short-term rental dwelling unit exists, or their agent authorized to lease the short-term rental dwelling unit. Short-term rental has the same meaning as in section 17.228.104.D. Short-term rental dwelling unit means the dwelling unit that is subject to a short-term rental permit. Section 5.114.100 of the Sacramento City Code is amended to read as follows: 5.114.100 Short-term rental permit required Consent required. A. No person shall operate a short-term rental unless there is a short-term rental permit in effect for thethat dwelling unit. B. Upon demand of a peace officer or city employee authorized to enforce this chapter, every person operating a short-term rental shall present the short-term rental permit that is in effect for that dwelling unit. C. No person shall operate a short-term rental without the consent of the property owner. D. No person shall operate a short-term rental in more than one dwelling unit on the same lot, unless the person s primary residence is in the city. SECTION 3. Section 5.114.150 is added to the Sacramento City Code to read as follows: 5.114.150 Compliance with CC&Rs. No person shall operate a short-term rental in violation of applicable CC&Rs or similar regulations. SECTION 4. A. Subsection B of section 5.114.230 of the Sacramento City Code is amended to read as follows: B. All persons operating a short-term rental shall identify the city short-term 2 Page 7 of 11

rental permit number in any advertisement for that rental. For purposes of this subsection, advertisement means any method used to solicit interest in the rental, including but not limited to internet-based listing or hosting services. B. Except as amended by subsection A above, all provisions of section 5.114.230 shall remain unchanged and in full effect. SECTION 5. Section 5.114.200 of the Sacramento City Code is amended to read as follows: SECTION 6. 5.114.200 Occupancy limit. A. No permittee shall, for compensation, provide lodging for rent to more than six people at any time in a per short-term rental dwelling unit. B. Notwithstanding subsection A, if the permittee s primary residence is not on the same lot as the short-term rental, the permittee shall not rent to more than six people per lot. Section 5.114.280 is added to the Sacramento City Code to read as follows: 5.114.280 Advertising in violation of this chapter. No person shall make, print, publish, or disseminate an advertisement for any activity that violates this chapter. 3 Page 8 of 11

ORDINANCE NO. Adopted by the Sacramento City Council [Date Adopted] AN ORDINANCE ADDING AND AMENDING VARIOUS SECTIONS OF CHAPTER 5.114 OF THE SACRAMENTO CITY CODE RELATING TO SHORT-TERM RENTALS BE IT ENACTED BY THE COUNCIL OF THE CITY OF SACRAMENTO: SECTION 1. Section 5.114.010 of the Sacramento City Code is amended to read as follows: 5.114.010 Definitions. For purposes of this chapter, the following definitions apply: Advertisement means any method used to solicit interest in the rental, including internet-based listing or hosting services. Applicant means the person applying for a short-term rental permit. City manager means the city manager or designee. CC&Rs (also known as covenants, conditions, and restrictions ) means limitations and rules placed on a group of homes by a builder, developer, neighborhood association, or homeowner association. Dwelling has the same meaning as in section 17.108.050. Dwelling unit has the same meaning as in section 17.108.050. Lodger means a person to whom a permittee is providing lodging for compensation. Lot has the same meaning as in section 17.108.130. Permittee means the person to whom a short-term rental permit is issued. Primary residence means the dwelling unit in which the applicant or permittee resides for at least 184 days during the calendar year. 1 Page 9 of 11

SECTION 2. Property owner means the owner of the property on which the short-term rental dwelling unit exists, or their agent authorized to lease the short-term rental dwelling unit. Short-term rental has the same meaning as in section 17.228.104.D. Section 5.114.100 of the Sacramento City Code is amended to read as follows: 5.114.100 Short-term rental permit required Consent required. A. No person shall operate a short-term rental unless there is a short-term rental permit in effect for that dwelling unit. B. Upon demand of a peace officer or city employee authorized to enforce this chapter, every person operating a short-term rental shall present the short-term rental permit that is in effect for that dwelling unit. C. No person shall operate a short-term rental without the consent of the property owner. D. No person shall operate a short-term rental in more than one dwelling unit on the same lot, unless the person s primary residence is in the city. SECTION 3. Section 5.114.150 is added to the Sacramento City Code to read as follows: 5.114.150 Compliance with CC&Rs. No person shall operate a short-term rental in violation of applicable CC&Rs or similar regulations. SECTION 4. A. Subsection B of section 5.114.230 of the Sacramento City Code is amended to read as follows: B. All persons operating a short-term rental shall identify the city short-term rental permit number in any advertisement for that rental. 2 Page 10 of 11

B. Except as amended by subsection A above, all provisions of section 5.114.230 shall remain unchanged and in full effect. SECTION 5. Section 5.114.200 of the Sacramento City Code is amended to read as follows: SECTION 6. 5.114.200 Occupancy limit. A. No permittee shall rent to more than six people per short-term rental. B. Notwithstanding subsection A, if the permittee s primary residence is not on the same lot as the short-term rental, the permittee shall not rent to more than six people per lot. Section 5.114.280 is added to the Sacramento City Code to read as follows: 5.114.280 Advertising in violation of this chapter. No person shall make, print, publish, or disseminate an advertisement for any activity that violates this chapter. 3 Page 11 of 11