HomeMy WebLinkAboutAB0586 - Shepsele Realty Capital PacketADMINISTRATIVE APPEALS BOARD STAFF REPORT
DATE: October 25, 2023
SUBJECT: APPEAL OF THE ADMINISTRATIVE DECISION THAT SHEPSELE LLC,
C/O DANIEL KERBAL & ABRAHAM KAJOMOVITZ IS 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 2857 N. LOS FELICES RD., #213, PALM SPRINGS,
CALIFORNIA
BY: DEPARTMENT OF SPECIAL PROGRAM COMPLIANCE
SUMMARY
Shepsele Realty Capital, LLC 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 2857 N. Los Felices
Rd., #213, 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 SHEPSELE REALTY CAPITAL, LLC, FOR THE PROPERTY
LOCATED AT 2857 N. LOS FELICES RD., #213, PALM SPRINGS, CALIFORNIA
REGARDING ADMINISTRATIVE CITATION AB0586 ISSUED IN THE AMOUNT
OF $5,000 AND THE PERMANENT INELIGIBILITY TO OPERATE A VACATION
RENTAL IN THE CITY OF PALM SPRINGS
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Item 7 - Page 1
Administrative Appeals Board Staff Report
October 25, 2023
Vacation Rental Appeal – 2857 N. Los Felices Rd., #213, Palm Springs
STAFF ANALYSIS:
The owner for the property located at 2857 N. Los Felices Rd., #213, Palm Springs did
not hold a Vacation Rental Registration Certificate by the City of Palm Springs as of the
date of violation on September 3, 2023.
Staff has determined that the owner has, without a Registration Certificate, advertised
and operated the property at 2857 N. Los Felices Rd., #213, as a Vacation Rental from
elements as follows in violation of Palm Springs Municipal Code 5.25.040 (a):
1. Advertisement Airbnb.com/rooms/827193145557627283 listed as “New Cozy
1 BR downtown condo with view (Sleeps 2-4)” ATTACHMENT 5
2. Advertisement Airbnb.com/rooms/827193145557627283 lists 1 review in April
2023. ATTACHMENT 5
3. Advertisement Airbnb.com/rooms/827193145557627283 lists “City of Palm
Springs License: Pending” ATTACHMENT 5
4. Advertisement Airbnb.com/rooms/827193145557627283 lists “Minimum Stay
2-nights” ATTACHMENT 5
5. A Code Compliance Officer submitted an online booking inquiry to stay during
the dates September 29, 2023, to October 2, 2023 (3-nights);
ATTACHMENT 6
6. A response was received by the Code Compliance Officer confirming
availability for the dates September 29, 2023, to October 2, 2023 (3-nights);
ATTACHMENT 6
Staff finds that the advertisement found on Airbnb.com/rooms/827193145557627283 and
inquiry affirmation for the dates September 29, 2023, to October 2, 2023 (3-nights) for
stay at property 2857 N. Los Felices Rd., #213, is in violation of §5.25.040(a) and
proceeded to issue Administrative Citation AB0586, in the amount of $5,000, to Shepsele
LLC, c/o Daniel Kerbal & Abraham Kajomovitz 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:
Item 7 - Page 2
Administrative Appeals Board Staff Report
October 25, 2023
Vacation Rental Appeal – 2857 N. Los Felices Rd., #213, Palm Springs
The operation of a Vacation Rental or a Homeshare Interest without a Vacation
Rental Registration Certificate is prohibited.
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.”
Item 7 - Page 3
Administrative Appeals Board Staff Report
October 25, 2023
Vacation Rental Appeal – 2857 N. Los Felices Rd., #213, Palm Springs
Patrick Clifford
Assistant Director
Department of Special Program Compliance
Attachments:
AB0586 Resolution no. _____ 1
Notice of Appeal Hearing 2
Administrative citation Appeal Letter 3
Administrative citation AB0586 & citation letter 4
Copy of the Airbnb.com/rooms/827193145557627283 advertisement 5
Copy of Code Compliance Inquiry 6
Copy of the title report 7
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Item 7 - Page 4
ATTACHMENT 1
Item 7 - Page 5
RESOLUTION NO. ____
A RESOLUTION OF THE ADMINISTRATIVE APPEALS
BOARD OF THE CITY OF PALM SPRINGS, CALIFORNIA,
ON THE APPEAL OF SHEPSELE REALTY CAPITAL, LLC,
FOR THE PROPERTY LOCATED AT 2857 N. LOS
FELICES RD., #213, PALM SPRINGS, CALIFORNIA
REGARDING ADMINISTRATIVE CITATION AB0586
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 Shepsele LLC, c/o Daniel Kerbal & Abraham Kajomovitz did not
obtain a Short-Term Vacation Rental Registration Certificate for the property located at
2857 N. Los Felices Rd., #213, 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. AB0586, operating a Vacation Rental
without a Vacation Rental Registration Certificate, was issued on September 5, 2023 to
Shepsele LLC, c/o Daniel Kerbal & Abraham Kajomovitz for the property located at
2857 N. Los Felices Rd., #213, Palm Springs; and
WHEREAS, Shepsele Realty Capital, LLC, filed an administrative appeal of the
Administrative Citation No. AB0586 operating a Vacation Rental without a Vacation
Rental Registration Certificate issued in the amount of $5,000 for the property located at
2857 N. Los Felices Rd., #213, Palm Springs with the City Clerk; and
WHEREAS, the Administrative Appeals Board opened and conducted a duly
noticed Administrative Appeal Hearing on October 25, 2023; and
Item 7 - Page 6
Resolution No.
Page 2
WHEREAS, the Administrative Appeals Board was presented evidence that
Shepsele LLC, c/o Daniel Kerbal & Abraham Kajomovitz violated Section 5.25.040(a) of
the Palm Springs Municipal Code by an advertisement on
Airbnb.com/rooms/827193145557627283 for the property located at 2857 N. Los
Felices Rd., #213, Palm Springs; and
WHEREAS, the Administrative Appeals Board was presented evidence Shepsele
LLC, c/o Daniel Kerbal & Abraham Kajomovitz violated Section 5.25.040(a) of the Palm
Springs Municipal Code by responding to an inquiry to book the property located at
2857 N. Los Felices Rd., #213, Palm Springs and confirmed a period less than twenty-
eight (28) days; September 29, 2023, to October 2, 2023 (3-nights); and
WHEREAS, the Administrative Appeals Board has carefully reviewed and
considered all the evidence presented in connection with said appeal on October 25,
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
Shepsele LLC, c/o Daniel Kerbal & Abraham Kajomovitz is permanently
ineligible to operate a Vacation Rental in the City of Palm Springs,
including the property located at 2857 N. Los Felices Rd., #213, 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 Shepsele LLC, c/o Daniel Kerbal & Abraham
Kajomovitz is permanently ineligible to operate a Vacation Rental in the
City of Palm Springs, including the property located at 2857 N. Los Felices
Rd., #213, Palm Springs and the fine of $5,000.
Item 7 - Page 7
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.
Wayne Sinclair
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
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ATTACHMENT 2
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ATTACHMENT 3
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City of Palm Springs, CA
FINANCE DEPARTMENT
PO Box 2743
Palm Springs, CA 92263-2743
+1 (760) 323-8299
09/27/2023 04:01PM Shahriar
001782-0002
MISCELLANEOUS
OTHER CHARGE CURRENT
SVC (OTHCHG)
2024 Item: OTHCHG
1 @ 911.00
Balance unpaid: -911.00
OTHER CHARGE CURRENT
SVC (OTHCHG) 911.00
--------------
911.00
Subtotal 911.00
Total 911.00
CHECK 911.00
Check Number 1046
--------------
Change due 0.00
Paid by: SHEPSELE, LLC | APPEAL#AB-0586
AT CITY CLERK'S OFFICE 09/27/2023
Thank you for your payment
CUSTOMER COPY
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