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HomeMy WebLinkAbout3A - Supplemental ReportSUPPLEMENTAL CITY COUNCIL STAFF REPORT DATE: NOVEMBER 10, 2022 BUSINESS AND LEGISLATIVE SUBJECT: DISCUSSION AND INTRODUCTION OF AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, AMENDING AND RESTATING CHAPTER 5.25 REGARDING VACATION RENTALS; AND POTENTIAL ACTION REGARDING THE EXISTING MORATORIUM ON THE PROCESSING AND ISSUANCE OF VACATION RENTAL CERTIFICATES FROM: Teresa Gallavan, Interim City Manager BY: Department of Special Program Compliance SUMMARY: This is a supplemental staff report for Agenda Item 3A. It is intended to clarify two points contained in the original staff report. First, there was a discrepancy between the staff report and the draft ordinance, with regard to the proposed Grandfathering/Grandparenting time period, in relation to the maximum number of contracts per year. Specifically, the draft ordinance contains the Grandfathering/Grandparenting time period that was mentioned at the October 17, 2022 meeting – two (2) years. However, the staff report inadvertently references a possible five (5) year Grandfathering/Grandparenting time period, which was the Grandfathering/Grandparenting time period proposed for owners to live in their Palm Springs property. In this regard, it is worth noting that the draft ordinance is just that—a draft. Along with draft text, it contains several numbers that are proposals. For instance, the Grandfathering/Grandparenting time period, the maximum number of contracts, the date that delineates “existing permittees” from “new permittees”, are all numbers that may be modified by the City Council prior to any introduction or adoption of the draft ordinance. Second, page 3 of the staff report provides, “contract summary submission is on an honor system”. To clarify, contract submission is a legal requirement, which is codified in the City’s Vacation Rental ordinance. (PSMC, 5.25.070(h) (Operational Requirements and Standard Conditions) & 5.25.090(d) (Violations) The quoted language was intended to Item 3A - Supplemental Report Page 1 City Council Staff Report November 10, 2022 -- Page 2 Vacation Rental Ordinance (Supplemental Staff Report) convey the fact that, in most instances, it is difficult (though not impossible) to prove a violation of this legal requirement. For instance, unless a property owner is caught violating the City’s ordinance, or there is some other circumstantial evidence, it can be difficult to prove that a property owner actually rented his or her property on a short term basis without submitting the required summary. However, the legal obligation to submit contract summaries before the short term occupancy exists, as a matter of law. REVIEWED BY: Special Programs Director: Veronica Goedhart City Attorney: Jeffrey S. Ballinger Interim City Manager: Teresa Gallavan Item 3A - Supplemental Report Page 2