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Home My WebLink AboutAB0495 - Arrived LLC Packet ADMINISTRATIVE APPEALS BOARD STAFF REPORT DATE: July 26. 2023 SUBJECT: APPEAL OF THE ADMINISTRATIVE DECISION THAT STEVEN BURNHAM, VICTOR OLVERA AND MICHAEL FRIEDBERG ARE PERMANENTLY INELIGIBLE TO OPERATE A VACATION RENTAL IN THE CITY OF PALM SPRINGS AND THE ADMINISTRATIVE FINE OF $5,000 FOR OPERATING AN UNREGISTERED VACATION RENTAL PROPERTY LOCATED AT 2205 S. OAKCREST DR.., PALM SPRINGS, CALIFORNIA BY: DEPARTMENT OF SPECIAL PROGRAM COMPLIANCE SUMMARY Katheryn Williams, on behalf of Steven Burnham, Victor Olvera and Michael Friedberg, has requested an appeal of the permanent ineligibility to operate a Vacation Rental in the City of Palm Springs and administrative fine of $5,000.00 for operating an unregistered Vacation Rental property located at 2205 S. Oakcrest Dr.., Palm Springs. RECOMMENDATION: 1) Open the Appeal Hearing and accept public testimony. 2) Adopt Resolution No. ______, A RESOLUTION OF THE ADMINISTRATIVE APPEALS BOARD OF THE CITY OF PALM SPRINGS, CALIFORNIA, ON THE APPEAL OF KATHERYN WILLIAMS, ON BEHALF OF STEVEN BURNHAM, VICTOR OLVERA AND MICHAEL FRIEDBERG FOR THE PROPERTY LOCATED AT 2205 S. OAKCREST DR., PALM SPRINGS, CALIFORNIA REGARDING ADMINISTRATIVE CITATION AB0495 ISSUED IN THE AMOUNT OF $5,000 AND THE PERMANENT INELIGIBILITY TO OPERATE A VACATION RENTAL IN THE CITY OF PALM SPRINGS THIS PORTION OF PAGE BLANK Administrative Appeals Board Staff Report July 26, 2023 Vacation Rental Appeal – 2205 S. Oakcrest Dr., Palm Springs STAFF ANALYSIS: The owner for the property located at 2205 S. Oakcrest Dr.., Palm Springs did not hold a Vacation Rental Registration Certificate by the City of Palm Springs as of the date of violation on March 9, 2023. Staff has determined that the owner has, without a Registration Certificate, advertised and operated the property at 2205 S. Oakcrest Dr.., as a Vacation Rental from elements as follows in violation of Palm Springs Municipal Code 5.25.040 (a): 1. Advertisement Airbnb.com/rooms/645674285016235839 listed as “Modern Sunrise – Bright & Peaceful Condo – 6 pools/Jacuzzi’s/Tennis/Pickle Ball/BBQ” ATTACHMENT 5 2. Advertisement Airbnb.com/rooms/645674285016235839 lists minimum stay: 2 nights ATTACHMENT 5 3. A Code Compliance Officer submitted an online booking inquiry to stay during the dates April 20, 2023 through April 24,2023 (4-nights); ATTACHMENT 6 4. A response was received by the Code Compliance Officer confirming availability for the dates April 20, 2023 through April 24,2023 (4-nights); ATTACHMENT 6 Staff finds that the advertisement found on Airbnb.com/rooms/645674285016235839 and inquiry affirmation for the dates April 20, 2023 through April 24,2023 (4-nights) for stay at property 2205 S. Oakcrest Dr., is in violation of §5.25.040(a) and proceeded to issue Administrative Citation AB0495, in the amount of $5,000, to Steven Burnham, Victor Olvera and Michael Friedberg, the owner on title, for operating a Vacation Rental without a Vacation Rental Registration Certificate. The Administrative Citation was mailed by the Department of Special Program Compliance staff to the mailing address on title. The following Palm Springs Municipal Codes sections and Regulations are applicable to this matter. The Palm Springs Municipal Code §5.25.030 Definitions, reads as follows: "Vacation Rental" means a single-family dwelling, or any portion thereof, utilized for occupancy for dwelling, lodging, or sleeping purposes without the Owner being present for a period of twenty-eight (28) consecutive days or less,…” Palm Springs Municipal Code §5.25.040(a) reads as follows: The operation of a Vacation Rental or a Homeshare Interest without a Vacation Rental Registration Certificate is prohibited. Administrative Appeals Board Staff Report July 26, 2023 Vacation Rental Appeal – 2205 S. Oakcrest Dr., Palm Springs Palm Springs Municipal Code §5.25.090(c) reads as follows regarding the administrative fine: (c) Any person who operates a Vacation Rental without a Vacation Registration Certificate, shall be liable to the City for the payment of transient occupancy tax pursuant to the provisions of the Palm Springs Municipal Code Chapter 3.24, including without limitation penalties and interest, payment of an administrative fine in the amount of Five Thousand Dollars ($5,000.00), and permanent ineligibility to operate a Vacation Rental in the City…” Administrative Regulation “Operation of a Vacation Rental” dated 07/2017 defining “Operation” of a Vacation Rental to include the following: 1. “Advertisement” of the property means on any web-based advertising, hosting platform, print media, bulletin, signage, radio, and television or on any other medium for the purposes of promoting interest in, testing the market for, or soliciting the occupancy of a property for a period of twenty-eight (28) consecutive days or less. 2. An owner, agent or other representative of the owner has an interest in rental, exchange, trade, gift, or grant of a guest stay at a property of less than twenty-eight (28) consecutive days or less. 3. An owner, agent or any other representative of the owner interacts with another party whether directly or indirectly through personal or digital/electronic contact with the intent to provide availability of the property for occupancy of 28 days or less, or to complete a rental and/or reservation of the property for future occupancy of 28 days or less.” Administrative Regulation “Authority for the Issuance of Administrative Citations” dated 08/2014 reads as follows: “Vacation Rental Enforcement Officials are hereby authorized to issue, an Administrative Citation for the violation of the provision of Chapter 5.25 of the Palm Springs Municipal Code without first complying with the pre-citation or courtesy notice requirements contained in PSMC Section 1.06.030.” Administrative Appeals Board Staff Report July 26, 2023 Vacation Rental Appeal – 2205 S. Oakcrest Dr., Palm Springs Patrick Clifford Executive Program Administrator Department of Special Program Compliance Attachments: AB0495 Resolution no. _____ 1 Notice of Appeal Hearing 2 Administrative citation Appeal Letter 3 Administrative citation AB0495 & citation letter 4 Copy of the Airbnb.com/rooms/645674285016235839 advertisement 5 Copy of Code Compliance Inquiry 6 Copy of the title report 7 THIS PORTION OF PAGE BLANK ATTACHMENT 1 RESOLUTION NO. ____ Adopt Resolution No. ______, A RESOLUTION OF THE ADMINISTRATIVE APPEALS BOARD OF THE CITY OF PALM SPRINGS, CALIFORNIA, ON THE APPEAL OF KATHERYN WILLIAMS, ON BEHALF OF STEVEN BURNHAM, VICTOR OLVERA AND MICHAEL FRIEDBERG FOR THE PROPERTY LOCATED AT 2205 S. OAKCREST DR., PALM SPRINGS, CALIFORNIA REGARDING ADMINISTRATIVE CITATION AB0495 ISSUED IN THE AMOUNT OF $5,000 AND THE PERMANENT INELIGIBILITY TO OPERATE A VACATION RENTAL IN THE CITY OF PALM SPRINGS Jurisdiction: This administrative hearing is conducted in accordance with Palm Springs Municipal Code 2.50 which confers jurisdiction upon the Administrative Appeals Board. WHEREAS Steven Burnham, Victor Olvera and Michael Friedberg did not obtain a Short-Term Vacation Rental Registration Certificate for the property located at 2205 S. Oakcrest Dr., Palm Springs, pursuant to Palm Springs Municipal Code Chapter 5.25; and WHEREAS, any person who operates a Vacation Rental without a Vacation Registration Certificate, shall be liable to the City an administrative fine in the amount of Five Thousand Dollars ($5,000.00), and permanent ineligibility to operate a Vacation Rental in the City, Palm Springs Municipal Code 5.25.090 (c); and WHEREAS, “Operation” of a Vacation Rental as used in Palm Springs Municipal Code Section 5.25 includes “Advertisement” of the property on any web-based advertising, hosting platform, print media, bulletin, signage, radio and television or any other medium for the purposes of promoting interest in, testing the market for, or soliciting the occupancy of a property for a period of twenty-eight (28) consecutive days or less; and WHEREAS, Administrative Citation No. AB0495, operating a Vacation Rental without a Vacation Rental Registration Certificate, was issued on March 14, 2023 to Steven Burnham, Victor Olvera and Michael Friedberg for the property located at 2205 S. Oakcrest Dr., Palm Springs; and WHEREAS, Katheryn Williams, on behalf of Steven Burnham, Victor Olvera and Michael Friedberg, filed an administrative appeal of the Administrative Citation No. AB0495 operating a Vacation Rental without a Vacation Rental Registration Certificate issued in the amount of $5,000 for the property located at 2205 S. Oakcrest Dr., Palm Springs with the City Clerk; and Resolution No. Page 2 WHEREAS, the Administrative Appeals Board opened and conducted a duly noticed Administrative Appeal Hearing on July 26, 2023; and WHEREAS, the Administrative Appeals Board was presented evidence that Steven Burnham, Victor Olvera and Michael Friedberg violated Section 5.25.040(a) of the Palm Springs Municipal Code by an advertisement on Airbnb.com/rooms/645674285016235839 for the property located at 2205 S. Oakcrest Dr., Palm Springs; and WHEREAS, the Administrative Appeals Board was presented evidence Steven Burnham, Victor Olvera and Michael Friedberg violated Section 5.25.040(a) of the Palm Springs Municipal Code by responding to an inquiry to book the property located at 2205 S. Oakcrest Dr., Palm Springs and confirmed a period less than twenty-eight (28) days; April 20, 2023 through April 24,2023 (4-nights); and WHEREAS, the Administrative Appeals Board has carefully reviewed and considered all the evidence presented in connection with said appeal on July 26, 2023; and THE ADMINISTRATIVE APPEALS BOARD HEREBY FINDS, after due consideration given to the relevancy, weight and credibility of testimony and evidence, and based upon a preponderance of the evidence in accordance with the Board’s procedures, as follows: SECTION 1. The Appellant is in violation of Palm Springs Municipal Code 5.25.040(a). The Administrative Appeals Board upholds the administrative decision that Steven Burnham, Victor Olvera and Michael Friedberg are permanently ineligible to operate a Vacation Rental in the City of Palm Springs, including the property located at 2205 S. Oakcrest Dr., Palm Springs and the fine of $5,000. The Appellant is not in violation of Palm Springs Municipal Code 5.25.040(a). The Administrative Appeals Board overturns the administrative decision that Steven Burnham, Victor Olvera and Michael Friedberg are permanently ineligible to operate a Vacation Rental in the City of Palm Springs, including the property located at 2205 S. Oakcrest Dr., Palm Springs and the fine of $5,000. Resolution No. Page 3 SECTION 2. The Administrative Appeals Board directs the City Clerk to deliver a copy of this Resolution to each party and to file a disposition report with the Palm Springs City Council. PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS ADMINISTRATIVE APPEALS BOARD THIS DAY OF 2023. Michael Paonessa Chair ATTEST: Brenda Pree, MMC, CERA City Clerk STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, BRENDA PREE, City Clerk of the City of Palm Springs, do hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a meeting of the Administrative Appeals Board of the City of Palm Springs on the day of , by the following vote: AYES: NOES: ABSENT: ABSTAIN: RECUSE: IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this day of . Brenda Pree, MMC, CERA City Clerk ATTACHMENT 2 ATTACHMENT 3 City of Palm Springs, CA FINANCE DEPARTMENT PO Box 2743 Palm Springs, CA 92263-2743 +1 (760) 323-8299 05/15/2023 04:43PM Shahriar 001226-0004 MISCELLANEOUS OTHER CHARGE CURRENT SVC (OTHCHG) 2023 Item: OTHCHG 1 @ 857.00 Balance unpaid: -857.00 OTHER CHARGE CURRENT SVC (OTHCHG) 857.00 -------------- 857.00 Subtotal 857.00 Total 857.00 CHECK 857.00 Check Number 50260 -------------- Change due 0.00 Paid by: ARRIVED LLC | ADMIN CITATION FEE# AB0495 - 05/15/2023 Thank you for your payment CUSTOMER COPY ATTACHMENT 4 ATTACHMENT 5 ATTACHMENT 6 ATTACHMENT 7