HomeMy WebLinkAbout12/7/2016 - STAFF REPORTS - 1.K. pAAM SA
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cq<rFORN�P CITY COUNCIL STAFF REPORT
DATE: DECEMBER 7, 2016 CONSENT CALENDAR
SUBJECT: REINTRODUCE ORDINANCE NO. 1907 AMENDING AND RESTATING
CHAPTER 5.25 OF THE PALM SPRINGS MUNICIPAL CODE RELATING
TO VACATION RENTALS AND CEQA DETERMINATION
FROM: David H. Ready, City Manager
BY: Office of the City Clerk
SUMMARY
The City Council will consider re-introducing for first reading of Ordinance No. 1907
relating to vacation rentals.
RECOMMENDATION:
Waive reading of the text and re-introduce by title only for first reading Ordinance
No. 1907, "AN ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA,
AMENDING AND RESTATING CHAPTER 5.25 OF THE PALM SPRINGS MUNICIPAL
CODE RELATING TO VACATION RENTALS."
STAFF ANALYSIS:
On November 30, 2016, Ordinance No. 1907 was introduced for first reading, as noted
below:
ACTION: 1) Waive the reading of the text and introduce by title for first reading
Ordinance No. 1907, "AN ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AMENDING AND RESTATING CHAPTER 5.25 OF THE PALM
SPRINGS MUNICIPAL CODE RELATING TO VACATION RENTALS," as
amended. Motion by Councilmember Kors, seconded by Councilmember
Roberts, and carried 3-1 on a roll call vote.
AYES: Councilmember Kors, Councilmember Roberts, and Mayor Moon.
NOES: Councilmember Foat.
ABSENT: Mayor Pro Tern Mills.
Item No. 1 . K .
City Council Staff Report
December 7, 2016— Page 2
Vacation Rental Ordinance
Due to the substantial number of changes to the ordinance made by the City Council at
the November 30, 3016 meeting, the City Council Subcommittee and City Staff are
recommending the City Council reintroduce for first reading the proposed ordinance.
Additionally, City Staff has amended certain findings of the proposed ordinance based
on the City Council discussion.
If reintroduced at this meeting, the proposed ordinance will be placed on the
January 4, 2017, agenda for adoption, and would be effective 30-days from adoption.
mes Thompson David H. Ready, Es
City Clerk City Manager
Douglas C. Holland
City Attorney
Attachments:
Ordinance No. 1907 annotated
Ordinance No. 1907 final
02
ORDINANCE NO. 1907
AN ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AMENDING AND RESTATING CHAPTER
5.25 OF THE PALM SPRINGS MUNICIPAL CODE
RELATING TO VACATION RENTALS.
City Attorney's Summary
This Ordinance amends and restates in full the City's
adopted Vacation Rental Ordinance. This Ordinance
imposes additional restrictions on occupancy and use of
vacation rental properties in Palm Springs and provides
additional enforcement oversight.
The City Council of the City of Palm Springs ordains:
SECTION 1. Chapter 5.25 of the Palm Springs Municipal Code is amended to read:
Chapter 5.25
VACATION RENTALS
5.25,010 Title.
This Chapter shall be referred to as the "Vacation Rental Ordinance."
5.25.020 Findings.
The City Council finds and determines as follows:
(a) The primary use of single-family and multi-family dwelling units in the City of
Palm Springs is the provision of permanent housing for residents of the City who live
and work in the City. Vacation Rentals and Homesharing are not uses specifically
recognized in the City's Zoning Ordinance nor are these uses identified as uses
permitted in single-family or multi-family zones. Vacation Rentals and Homesharing are
similar in character and use as hotels and other commercial short term uses and can
only be permitted in single-family or multi-family zones if such uses are ancillary and
secondary to the residential use of property The Liss of e;ngle family d_;ell ^g Units feF
(b) Incidents involving excessive noise, disorderly conduct, vandalism,
overcrowding, traffic congestion, parking congestion, and the accumulation of refuse,
require response from police, fire, paramedic, and other City services associated with
this secondary, ancillary, commercial use escalates the demand for City services,
create adverse impacts in the residential areas of the City, and adversely affects the
City's residential neighborhoods. Vacation Rentals and Homesharing use in residential
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Ordinance No. _
Page 2
neighborhoods may have effects that can best be addressed through an appropriate city
regulatory program.
(c) The purpose of this Chapter is to establish a regulatory program for Vacation
Rental and Homesharing lodging, with appropriate standards that regulate vacation
rental of residential property, minimize adverse effects of vacation
rental uses on surrounding residential neighborhoods, ensure that vacation rentals and
homesharing are ancillary and secondary uses of residential property consistent with
the provisions of the City's Zoning Ordinance, preserve the character of neighborhoods
in which Wacation Reental and Homesharing uses occur, and provide an administrative
procedure to preserve existing visitor serving opportunities and increase and enhance
public access to areas of the City and other visitor destinations.
(d) Limiting Vacation Rental and Homesharing lodging to single-family dwelling units
subject to the regulations provided in this Chapter and prohibiting Vacation Rental and
Homesharing lodging in apartments will safeguard, preserve, and protect residential
housing stock in the City.
(e) The adoption of a comprehensive code to regulate issuance of, and attach
conditions to, vacation rental certificates for Vacation Rental and Homesharing lodging
within single-family residential neighborhoods and the related use of residential property
preserves the public health, safety, and welfare. This Chapter provides a permitting
process and imposes operational requirements consistent with the ancillary and
secondary status of Vacation Rentals and Homesharinq, for the purpose of minimizing
to m n mi7p the potential adverse impacts of transient uses on residential
neighborhoods.
(f) This Chapter is not intended to regulate hotels, motels, inns, time-share units, or
non-vacation type rental arrangements including, but not limited to, lodging houses,
rooming houses, convalescent homes, rest homes, halfway homes, or rehabilitation
homes.
5.25.030 Definitions.
For purposes of this Chapter, the following words and phrases shall have the
meaning respectively ascribed to them by this Section:
"Apartment" means (a) a residential unit in a multi-family development of two (2)
dwelling units where both dwelling units are rented or leased for occupancy as a
residence for individual families, and (b) a residential unit in a multi-family development
of three (3) or more dwelling units.
"Applicant" means the Owner.
"Bedroom" means an area of a Vacation Rental normally occupied and being
heated or cooled by any equipment for human habitation, which is 120 square feet and
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Ordinance No.
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greater in size, consists of four walls to the ceiling, at least one of which is located along
an exterior wall with a window, and contains a built-in closet.
"Business Entity" means a corporation, partnership, or other legal entity that is
not a natural person or a personal or family trust or a limited liability company consisting
solely of natural persons...
"Cluster or Compound" means any two or more Vacation Rentals that operate on
a unified or shared basis where residents of such Vacation Rentals have exclusive
access to more than one Vacation Rental and/or the facilities of such Vacation Rentals,
including by way of example, a swimming pool, tennis court, or cooking facilities.
"Contract" means an agreement or evidence of any tenancy that allows or
provides for the vacation rental of property.
"Day time occupancy" means the hours between 10:00 am and 10:00 pm.
"Enforcement Official" means the City Manager, the Police Chief, the Fire
Marshall, the Building Official, or one or more of their respective designees.
"Exclusive listing arrangement" means a written agreement between an Owner
and an agent or representative where the agent or representative has the sole and
exclusive right to rent or lease a Vacation Rental unit to any person and the Owner is
prohibited from renting or leasing the Vacation Rental unit except through the Owner's
agent or representative.
"Estate Home" means a single family dwelling with five or more bedrooms
located on property zoned R-1-B, R-1-A, R-1-AH, or G-R-5.
"Good cause" for the purposes of denial, suspension, revocation, imposition of
conditions, placement on or removal from the Property Watch List, renewal, and
reinstatement of a Vacation Rental Registration Certificate, means (1) the Applicant,
Owner, the Owner's Agent, or the Local Contact Person has failed to comply with any of
the terms, conditions, or provisions of this Chapter or any relevant provision of this
Code, State law, or any rule or regulation promulgated thereunder; (2) the Applicant,
Owner, Owner's Agent, or Local Contact Person has failed to comply with any special
conditions that were placed upon the Vacation Rental Registration Certificate by the
Sity MaaaWEnforcement Official; or (3) the Vacation Rental has been operated in a
manner that adversely affects the public health or welfare or the safety of the immediate
neighborhood in which the Vacation Rental is located.
"Good Neighbor Brochure" means a document prepared by the Sity
ManagefEnforcement Official OR consultation wth the office 9f neighbGrheed
RVOl eMeRt and • e^'^" e Of GIVREQFS that summarizes general rules of conduct,
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Ordinance No. _
Page 4
consideration, and respect, including without limitation provisions of the Palm Springs
Municipal Code applicable to or expected of uests toef the City.
"Homeshare Interest" means a portion of an Owner's home that is subject to
homesharing as provided in this Chapter.
"Homesharing" means an activity whereby the Owner hosts visitors in the
Owner's home, for compensation, for periods of twenty-eight (28) consecutive days or
less, while the Owner lives on-site and in the home, throughout the visitor's stay.
"Hotline" means the telephonic service operated by or for the City for the purpose
of receiving complaints regarding the operation of any Vacation Rental and the
forwarding of such complaints to the appropriate Local rentaGt DersaR andlor city
enforcement officials or, if applicable, the Local Contact Person. For the purposes of
this Chapter, the term "Hotline" also includes any contact in person or by telephone,
email, digital or electronic communication, or correspondence of any kind to and/or from
any
Gi
entativef the C t„ Manage.Enforcement Official.
"Local contact person" means the Owner, a local property manager, or agent of
the Owner, who is available twenty-four hours per day, seven days per week for the
purpose of responding in-person within thirty (30) minutes to complaints regarding the
condition, operation, or conduct of occupants of the Vacation Rental, or any agent of the
Owner authorized by the Owner to take remedial action and who responds to any
violation of this code.
"Owner" means the natural person or persons who is/are the owner of record of
the Property. The term "Owner" also includes a personal or family trust consisting
solely of natural persons and the trustees of such trust or a limited liability company and
the members of such company, insofar as the disclosure requirements pursuant to
Section 5.25.085 are satisfied. The term "Owner" does not include a Business Entity.
"Property" means a residential legal lot of record on which a Vacation Rental is
located.
"PmpeFty Watch I 'ci" meaRG e Vanation D tal the City MaRager har
identified 9R the bas'6 of good rause as properties that warraRt a higheF level of
"Rental Term" means the period of time a Responsible Person rents or leases a
Vacation Rental.
"Responsible Person" means an occupant of a Vacation Rental who is at least
twenty-five (25) years of age and who shall be legally responsible for compliance of all
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Ordinance No. _
Page 5
occupants of the unit and/or their guests with all provisions of this Chapter and/or this
code.
"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, other than ongoing
month-to-month tenancy granted to the same renter for the same unit, occupancy of a
time-share basis, or a condominium hotel as defined in Section 91.00.10 of this Code.
The term "vacation rental" is synonymous with "short term rental" and "transient use"
and does not include homesharing.
"Vacation Rental Registration Certificate" or "Registration Certificate" means as
aerial registration for a Vacation Rental or a Homeshare Interest issued by the City
pursuant to this Chapter.
5.25.040 Registration Certificate Required.
(a) The operation of a Vacation Rental or a Homeshare Interest without a Vacation
Rental Registration Certificate is prohibited.
(a_)jLtLA Vacation Rental Registration Certificate shall not be issued to any Business
Entity. A natural person shall only be issued, and can only maintain, one Vacation
Rental Registration Certificate at any time. Renewals of Vacation Rental Registration
Certificates issued on or after November 24, 2016 to a Business Entity shall terminate
on March 1, 2017; a renewal of a second Vacation Rental Registration Certificate, or
more, issued to a natural person shall terminate on March 1, 2017. Notwithstanding
any provision to the contrary in Subsection (a) or this Subsection (b) of this Section, any
natural person who has a financial interest in two or more Vacation Rentals subject to
current and valid Vacation Rental Registration Certificates as of November 30 2016
may continue to operate and maintain no more than two (2) such Vacation Rentals so
long as such Vacation Rentals are operated and maintained in full compliance with this
Chapter.
(bc) The provisions of Subsection (a) of this Section shall not apply to or be enforced
against any natural person who operates a Vacation Rental pursuant to a valid Vacation
Rental Registration Certificate issued prior to November 24, 2016 for the period of time
between November 24, 2016 through January 1, 2021. The provisions of Subsection
(a) of this section shall not apply to or be enforced against any business entity, or its
successor natural person that operates a Vacation Rental pursuant to a valid Vacation
Rental Registration Certificate issued prior to November 24, 2016 for the period of time
between November 24, 2016 through January 1, 2021 so long as such business entity
for each Vacation Rental complies with the provisions of Section 5.25.085. The
purpose of this deferral of the enforcement of the provisions of Subsection (a) is for
persons or entities issued valid vacation rental certificates prior to November 24, 2016
to be afforded a reasonable opportunity to recoup costs reasonably invested for
vacation rental use and which may not have been recouped during the period of
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Ordinance No.
Page 6
vacation rental use and which cannot be recouped once the vacation rental use is
terminated.
(sd) Each Owner of a Vacation Rental who rents, exchanges, trades, gifts, or grants
such Vacation Rental for a period of twenty e44rt,hirty-two (32) consecutive days or less
shall fully comply with all provisions of this Chapter related to the use and occupancy of
a Vacation Rental, and the operational requirements, provided in this Chapter. Each
rental, exchange, trade, gift, and grant of a stay of less than twenty-eight (28) days shall
count as one Csontract.
(ed) No Owner of residential property in the City shall rent any Homeshare Interest
for a period of twenty-eight consecutive days or less without a valid Rental Registration
Certificate for Homesharing pursuant to this Chapter for such Homesha inn
UPAHomesharing Interest.
(ef) A copy of the current Registration Certificate as issued by the City and the
maximum number of guests allowed on the premises shall be displayed in a clear and
legible manner in a conspicuous and easily accessible location in the unit and on all
advertising related to each Vacation Rental or Homesharng UnitHomesharing Interest,
including without limitation, web based advertising, hosting platform, print media, and
television.
5.25.050 Agency.
(a) An Owner may retain an agent with an exclusive listing arrangement or a
representative to assist in the compliance with the requirements of this Chapter,
including, without limitation, the filing of a complete Vacation Rental registration, the
management of the Vacation Rental unit or units, and the compliance with the
requirements of this Chapter including the collection and payment to the City of all
transient occupancy taxes due and payable on the Vacation Rental unit. The Owner and
any such agent or representative of Owner must have the authority to evict any tenant,
resident, or guest permitted to reside at the Vacation Rental for violation of any
provision of this Chapter or regulation thereof. Except as provided in Subsection (b) of
this Section and notwithstanding any agency relationships between an Owner and an
agent or representative, the Owner of the Vacation Rental unit or units shall execute all
applications and documentary requirements as provided in this Chapter and shall
remain responsible for compliance with the provisions of this Chapter. 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.
(b) In the event an Owner enters into an exclusive listing arrangement, the Vacation
Rental registration certificate may be secured, and the transient occupancy registration
certificate requirements provided in this Chapter may be performed, by the agent or
representative and not by the Owner.
5.25.060 Vacation Rental Registration Requirements.
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Ordinance No.
Page 7
(a) Prior to use of a property as a Vacation Rental, and annually thereafter, the
applicant shall register the property as a Vacation Rental with the City -on a registration
form furnished by or acceptable to the Fity-MaaagerEnforcement Official and signed by
the applicant under penalty of perjury. Each application shall contain the following
information:
(1) The name, address, and telephone number of the Owner of the unit for
which the Vacation Rental registration certificate is to be issued.
(2) The name, address, and telephone number of the exclusive listing agent,
if any, of the Owner of the unit.
(3) The name, address, and twenty-four-hour telephone number of the i66ai
sentast persenLocal Contact Person and verification that the Local Contact Person
can respond in-person to the site of the Vacation Rental within thirty (30) minutes.
The Local Contact Person may only use the address of the Vacation Rental if the
Local Contact Person will be present at the unit for the duration of each Contract.
(4) The address of the residential property proposed to be used as a Vacation
Rental.
(5) The number of bedrooms and the applicable overnight and daytime
occupancy limit of the unit consistent with the provisions of Section 5.25.070 (bc).
(6) Evidence of a valid business license issued by the City for the separate
business of operating Vacation Rentals or submission of a certificate that Owner is
exempt or otherwise not covered by the City's Business Tax Ordinance (Division ll,
Title 3 of the Palm Springs Municipal Code) for such activity.
(7) Evidence of a valid transient occupancy registration certificate issued by
the City for the Vacation Rental unit.
(8) Acknowledgement of receipt and inspection of a copy of all regulations
pertaining to the operation of a Vacation Rental.
(9) Executed indemnification and hold harmless agreement in a form
approved by the City Attorney, agreeing to indemnify, save, protect, hold harmless,
and defend the City of Palm Springs, the City Council of the City of Palm Springs,
individually and collectively, and the City of Palm Springs representatives, officers,
officials, employees, agents, and volunteers from any and all claims, demands,
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Ordinance No.
Page 8
damages, fines, obligations, suits, judgments, penalties, causes of action, losses,
liabilities, or costs at any time received, incurred, or accrued as a result of, or
arising out of Owner's actions or inaction in the operation, occupancy, use, and/or
maintenance of the Property.
(10) Evidence of insurance coverage as required under Section 5.25.0760(ft)
of this Chapter.
f111Completion of building, fire, and safety inspection and completion of any
corrections identified by an Enforcement Officials BuildiRg O fiGial and/,., r,.e
Marshall. Such inspections shall include a review of the premises for compliance
with the operational requirements of this Chapter, including without limitation
determining the total number of qualified bedrooms.
(14?) Written acknowledgement in a form approved by the C+ty
ManagerEnforcement Official that there are no covenants or other deed restrictions
on the property that prohibit or limit the use of the property as a Vacation Rental.
The S+ty MaaagefEnforcement Official may accept a written consent from the
governing board of a homeowners' association with jurisdiction over the property in
satisfaction of this requirement.
(123) Such other information as the Sity- MaRagerEnforcement Official deems
reasonably necessary to administer this Chapter.
(b) The registration of a Vacation Rental 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
SestienChapter.
(c) A Vacation Rental registration certificate shall be denied if a registration
certificate for the same unit and issued to the same Owner has previously been revoked
pursuant to Section 5.25.090. The denial of a registration certificate for any reason may
be appealed in accordance with to the provisions of Chapter 2.50 of the Municipal
Code.
(d) Upon change of property Ownership, the permit shall expire and the property
shall not be used as a Vacation Rental until the new or successor Owner is issued a
Vacation Rental Certificate for the property. In the event of a change in agent or the
occurrence of any other material fact set forth in the annual registration, a new
registration for a Vacation Rental shall be required to continue operation of the Vacation
Rental and within #eu#eenseven days of said change the Owner or his or her exclusive
listing agent shall submit the required registration and fee.
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Ordinance No. _
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(e) The Owner or his or her exclusive listing agent shall cancel the Vacation Rental
Registration Certificate within seven (7) days of the date the Vacation Rental is sold or
otherwise disposed of or after an event that results in the unit no longer in use as a
Vacation Rental.
5.25.070 Operational Requirements and Standard Conditions.
(a) The Owner shall use reasonably prudent business practices to ensure that the
Vacation Rental unit complies with all applicable codes regarding fire, building and
safety, health and safety, and all other relevant laws.
(b) No more than twenty egh thirty-two (328) Csontracts for Vacation Rental use of
a property shall be allowed or provided in any calendar year. A Ccontract includes any
occupancy of a property subject to a Vacation Rental registration certificate by persons
other than the Owner when the Owner is not present during such occupancy, regardless
of whether compensation is paid for such occupancy or whether occupancy is
evidenced in an agreement or document. Notwithstanding the restrictions imposed by
this subsection, the Owner can annually designate and file with the Enforcement Official
the names of up to fivethree (35) persons who may occupy the Vacation Rental unit at
no cost and without requiring the presence of the Owner on the premises of the
Vacation Rental. Each such occupancy shall fully comply with all other provisions of
this Chapter.-
(c) The Owner shall limit overnight occupancy of the Vacation Rental unit to a
specific number of occupants, with the maximum number of occupants as no more than
two (2) persons per bedroom within each Vacation Rental unit and a maximum of no
more than eight (8) persons total within the Vacation Rental unit, except that Owner
may allow up to two (2) minor children, age 12 or under, to occupy the Vacation Rental
in addition to the maximum number of occupants otherwise provided in this Subsection
The number of bedrooms in a Vacation Rental shall be verified by the Gity
ManagefEnforcement Official using County Assessor and/or City Building records, prior
to the issuance of a certificate. The Owner shall also limit the total daytime occupancy
of the Vacation Rental unit to a specific number of occupants not to exceed an amount
determined by adding the total overnight occupants to a number equal to fifty percent of
the overnight occupants, except the total number of daytime occupants shall not exceed
twelve (12) persons. No more than one (1) automobile per bedroom shall be allowed to
park on the street for each Vacation Rental unit and no more than twofGw (42)
additional automobiles may be parked in the street during daytime occupancy for
daytime occupants. a-An-McNles shall bp allo::ed fer each VaGatiGR Rental '*-
Advertising and/or renting one or more Vacation Rentals as part of a cluster or
compound is prohibited.
(d) The Owner of an Estate Home may apply to the Enforcement Official for an
Exemption from the limitations of Subsection (c) of this Section for up to two (2)
additional bedrooms for housing to accommodate no more than two (2) persons for
each additional bedroom approved pursuant to the Exemption and a maximum daytime
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Ordinance No. _
Page 10
occupancy of no more than sixteen (16) persons. The Enforcement Official shall review
the application for an Exemption and may approve such Exemption if the Enforcement
Official finds such additional occupancy is consistent with the purpose intent and goals
of this Chapter. Such Exemption, if granted, may be subject to conditions and will be
subject to annual review and renewal consideration.
(se) During the Rental Term each Vacation Rental unit is rented, the Owner, his or
her agent, and/or the local contaGt per6onLocal Contact Person designated by the
Owner, shall be available twenty-four hours per day, seven days per week, for the
purpose of (1) responding by telephone within fifteen (15) minutes of complaints from or
through the Hotline and (2) responding in-person within thirty (30) minutes to any
additional or successive complaints regarding the condition, operation, or conduct of
occupants of the Vacation Rental.
(40 The Owner shall use reasonably prudent business practices to ensure that the
occupants and/or guests of the Vacation Rental unit do not create unreasonable noise
disturbances, engage in disorderly conduct, or violate provisions of the Municipal Code
or any state law.
(eg) Notwithstanding the provisions of Section 11.74.043, any radio receiver, musical
instrument, phonograph, loudspeaker, sound amplifier, or any machine or device for the
producing or reproducing of any sound shall be conducted within a fully enclosed
Vacation Rental unit and shall not be audible at the property line of the Vacation Rental.
(fh) Prior to occupancy pursuant to each separate occasion of rental of a Vacation
Rental, the Owner or the Owner's agent or representative shall enter into a written
Contractren'^' agreeFReRt with a Responsible Person where (1) the Responsible Person
will provide the Responsible Person's name, age, address, and a copy of a government
issued identification; (2) establishes and sets out the terms and conditions of the
Contractrenta„ agreement, including without limitation occupancy limits, noise
prohibitions, and vehicle parking requirements; (3) requires the Responsible Person to
acknowledge and agree that he or she is legally responsible for compliance of all
occupants of the Vacation Rental or their guests with all provisions of this Chapter
and/or the Municipal Code; (4) the Owner or the Owner's Agent provides a copy of the
"Good Neighbor Brochure" to the Responsible Person; (5) the Responsible Person
provides a list of all guests by name; and (6) the Responsible Person provides a list of
all guests' vehicles, including license plate numbers. Each Contractrental "*ear's^}
shall be maintained by the Owner or the Owner's Agent for a minimum of four (4) years
and shall be readily available for inspection upon request of the Gity
ManagerEnforcement Official. A summary or abstract of the written agree.;, Contract,
in a form approved by the City-ManaW nforcement Official, shall be filed with the City
ManagerEnforcement Official prior to occupancy, in a manner approved by the Gity
ManagerEnforcement Official, and shall be posted in a conspicuous location on the
Vacation Rental property and shall be made available on site at the request of an
Enforcement Official...
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(gi) The Owner, or his or her agent, shall, upon notification that the responsible
person, including any occupant and/or guest of the Vacation Rental unit, has created
unreasonable noise or disturbances, engaged in disorderly conduct, or committed
violations of provisions of the Municipal Code or any state law, shall promptly respond in
a timely and appropriate manner to prevent a recurrence of such conduct by those
occupants or guests, and when requested by the City 6+ty—ManagerEnforcement
Official, evict one or more of the guests. For the purpose of this Subsection and
Subsection (#j) below, the phrase "in a timely and appropriate manner" shall mean in-
person contact within thirty (30) minutes for any call from theEnforcement Official or
Hotline. f n nMn} With the Re6nnn6ible PeFse., is not Fnade by telephone andf9F eaGhh
eUhneni ien4 n erne 66iy inGident dwing a Rental Term.•
(#j) Failure of the Owner or his or her agent to respond to calls or complaints
regarding the condition, operation, or conduct of occupants of the Vacation Rental in a
timely and appropriate manner shall be grounds for imposition of penalties as set forth
in this Chapter. It is not intended that an Owner, agent, or Local
Contact Person act as a peace officer or place himself or herself in an at-risk situation.
(kl) Trash and refuse shall not be left stored within public view, except in proper
containers for the purpose of collection by the collectors and between the hours of five
a.m. and eight p.m. on scheduled trash collection days. The Owner of the Vacation
Rental unit shall use reasonably prudent business practices to ensure compliance with
all the provisions of Chapter 6.04 of the Municipal Code (Waste Disposal and
Diversion), and shall provide "walk-in service" or as may otherwise be approved by the
S+ty MaaagerEnforcement Official.
(}) The Owner of the Vacation Rental unit shall post a copy of the Registration
Certificate and a copy of the conditions set forth in this Section, including all rules and
regulations applicable to the use of the property as a Vacation Rental, on the inside of
each entry door or in a conspicuous location near each entry door on the Vacation
Rental.
(mk) The Owner shall provide each occupant of a Vacation Rental with the following
information prior to occupancy of the unit and/or post such information in a conspicuous
place within the unit:
(1) The name of the managing agency, agent, rental manager, fecal-centast
persepLocal Contact Person, or Owner of the unit, and a telephone number at
which that party may be reached on a twenty-four-hour basis;
(2) The maximum number of occupants permitted to stay in the unit;
(3) The trash pick-up day and applicable rules and regulations pertaining to
leaving or storing trash or refuse on the exterior of the property;
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Ordinance No.
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(4) Notification that the amplification of music outside of the dwelling unit or
otherwise audible at the property line is a violation of this Chapter;
(5) Notification that the occupant may be cited or fined by the City and/or
immediately evicted by the Owner pursuant to state law, in addition to any other
remedies available at law, for creating a disturbance or for violating Esther
provisions of this Chapter;
(6) Notification that failure to conform to the occupancy requirements of the
Vacation Rental unit is a violation of this Chapter;
(7) A copy of this Chapter of the Palm Springs Municipal Code, as may be
amended from time to time.
(In) The use of a Vacation Rental unit shall not violate any applicable conditions,
covenants, or other restrictions on real property.
(mo) The Owner shall comply with all provisions of Chapter 3.24 of the Municipal Code
concerning transient occupancy taxes, including, but not limited to, submission of a
monthly return for each Vacation Rental in accordance with Section 3.24.080. The
monthly return shall be filed each month regardless of whether the Vacation Rental unit
was rented or not during each such month.
(ap) The City Manager shall have the authority to impose additional standard
conditions, applicable to all Vacation Rental units or identifiable classes of Vacation
Rentals, 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 City
Clerk and such offices as the City Manager designates.
Jog) Notwithstanding the provisions of Subsection (Pp) above, upon a determination
of gGood CGause, the City Manager may impose additional or special standards or
requirements for (1) the ae+o.^ iRatFOn or plaGerneRt of pwpe Ries ., the o rt Wa r,
;; (2)placement or imposition of special conditions or performance standards for
Owners, Owner's Agents, Local Contact Persons, and their affected Vacation Rentals_.
WatGh L'6t.
(pr) The standard conditions may be modified by the City- ManagerEnforcement
Official upon request of the Owner or his or her agent based on site-specific
circumstances for the purpose of allowing reasonable accommodation of a 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
14
Ordinance No. _
Page 13
requirement is not modified, reasonable use of the property for a 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 to the
standard conditions shall not further exacerbate an already existing problem.
(sq) The City Manager shall have the authority to establish administrative rules and
regulations, which may include, but are not limited to, registration conditions, reporting
requirements, inspection frequencies, enforcement procedures, advertising restrictions,
disclosure requirements, or insurance requirements, consistent with the provisions of
this Chapter, for the purpose of implementing, interpreting, clarifying, carrying out,
furthering, and enforcing the requirements and the provisions of this Chapter. No
person shall fail to comply with any such regulation. A copy of such administrative rules
and regulations shall be on file in the Office of the City Clerk.
(fta Owner shall procure, maintain, and pay premiums for commercial insurance
policies that cover short term rental of property with minimum limits as may be
established by the City Manager from time to time. The iRGUFaRGe
Owner is required to Garry and Deep infer^^ shall ^ e C 4 f Pal Springs, +tie D �
Cr.r ^ G'+ C 'I individually d Ile.;Wel..m d th Cit tali
..�..•�:',�.`-, .� vvaiivu� in i� 'au]r—anc ooucccivci], aiicrzrrc--vrv�-crTcPc�cmGnvc�T,
els
Ags
City re ^•i i^aiyid ally, r } 011eGtiyei.,7, r d the +7 representatives, ff
G#iGials, employees, ageRts, and V91LIRteers shall be P_Xsess -of Owners and shall
GORtFibute with it. Coverage shall Rot be s6i6pended, voided, GF Ganaelled by ethef
party or reduGed 1R GeveFage or in' limits except afte-r thipty days pr or wFitten nOtiGe by
rer+ified mail refiUm receipt r c e +er+ has heeR given to the City f Pal C
of the Agreement OFand D '+
(su) Owner shall annually secure a building and fire and safety inspection prior to
renewal of the Vacation Rental Certificate.
5.25.075 Specific Prohibitions.
(a) No person or entity shall offer or provide an Apartment, or any portion thereof, for
rent for 28 consecutive days or less to any person.
(b) No person or entity shall maintain any advertisement of a Vacation Rental that is
in violation of any provision of this Chapter.
(c) No person, including without limitation, an apartment owner, an apartment
manager, or a representative of the apartment owner or manager, shall evict any tenant
or otherwise terminate a lease for the purpose of converting an apartment to a vacation
rental or in anticipation of converting an apartment to a vacation rental. In addition to
15
Ordinance No. _
Page 14
any other remedy provided under the Palm Springs Municipal Code, failure to comply
with this provision may be asserted as an affirmative defense in an action brought by or
on behalf of the apartment owner, apartment manager, or representative to recover
possession of the unit. Any attempt to recover possession of a unit in violation of this
Ordinance shall render the apartment owner, apartment manager, or representative
liable to the tenant for actual or punitive damages, including damages for emotional
distress, in a civil action for wrongful eviction. The tenant may seek injunctive relief and
money damages for wrongful eviction and the prevailing party in an action for wrongful
eviction shall recover costs and reasonable attorneys' fees.
(d) The provisions of Subsection (a) of this Section shall not apply to or be enforced
against any person or entity who rents an apartment or portion thereof pursuant to a
valid vacation rental certificate issued prior to April 15, 2016 for the period of time
between April 15, 2016 through January 1, 2019. The purpose of this deferral of the
enforcement of the provisions of this Section is for persons or entities issued valid
vacation rental certificates prior to April 15, 2016 to be afforded a reasonable
opportunity to recoup costs reasonably invested for vacation rental use of apartments
and which may not have been recouped during the period of vacation rental use of the
the apartment and which cannot be be—recouped once the vacation rental use is
terminated.
(e) The provisions of Subsection (a) of this Section shall also not apply to any
building in which an apartment is located that meets all requirements of an R-1
occupancy under the City's building and fire code and for which such apartment has a
valid Wacation rRental pRegistrationerra# Certificate issued prior to April 15, 2016.
Ed. Note. Subsection (d) of Section 5.25.075 shall be deemed repealed and no
longer in effect as of 12:01 am on January 1, 2019 and all persons and entities shall
fully comply with the provisions of Subsection (a) of Section 5.25.075 of this Code. See
§ 4 of Ord. 1902 (2016).
5.25.078 Homesharing Authorization.
(a) The Notwithstanding any provision of this Cshapter to the contrary, homesharing
shall be authorized in the City, provided that the Owner complies with each of the
following requirements:
(1) Obtains and maintains at all times a Vacation Rental Registration
Certificate for Homesharing;
(2) Operates the Hhomesharing InterestastWity in compliance with all
Vacation Rental Certificate for Homesharing conditions, which may be imposed
by the City ManaWEnforcement Official to effectuate the purpose of this
Chapter;
16
Ordinance No.
Page 15
(3) Collects and remits Transient Occupancy Tax to the City and complies
with all City Transient Occupancy Tax requirements as set forth in this Code;
(4) Takes responsibility for and actively prevents any nuisance activities that
may take place as a result of homesharing activities;
(5) Complies with all applicable laws, including all health, safety, building, and
fire protections laws;
(6) Complies with the regulations promulgated pursuant to this Chapter.
(b) In the event the Owner of a Homeshare Interest does not live on-site, in the
home, and is not able to respond within thirty (30) minutes to complaints regarding the
condition, operation, or conduct oft occupants of the Homesharing Interest, the property
shall be deemed a Vacation Rental and Owner shall be required to fully comply with the
provisions of this Chapter relating to Vacation Rentals, including without limitation,
securing a Vacation Rental Registration Certificate.
5.25.080. Audit.
Each Owner and agent or representative of any Owner shall provide the Sity
ManagerEnforcement Official with access to each Vacation Rental and the books,
records, documents, papers, tax returns, and bank accounts at any time during normal
business hours as the City Maaa§erEnforcement Official may determine are necessary
or convenient for the purpose of inspection or audit to determine that the objectives and
conditions of this Chapter are being fulfilled.
5.25.085 Disclosure of Business Entitites
On or before June 1, 2017, all Business Entities owning one or more Vacation
Rentals shall disclose to the Sity- MaaawEnforcement Official the names, relevant
contact information, and any such other information as may be requested by the Clty
MaaagerEnforcement Official of each natural person holding the legal, equitable, and/or
beneficial interest of each such Business Entitiy and the address of each Vacation
Rental owned by each such Business Entity. Each Business Entity that complies with
the provisions of this Section prior to June 1, 2017, shall, prior to June 1, 2018 transfer
each Vacation Rental to a natural person who can otherwise comply with the provisions
of this Chapter or cease operating any Vacation Rental properties owned by the
Business Entity as Vacation Rentals. Any Business Entity that fails to comply with the
17
Ordinance No. _
Page 16
disclosure requirements provided in this Subsection, shall cease operating all Vacation
Rental properties owned by the Business Entity as Vacation Rentals no later than June
1, 2017.
5.25.090 Violations.
(a) Any person who violates a provision of this Chapter is subject to criminal
sanctions and administrative penalties pursuant to Chapters 1.01 and 1.06 of this Code
and the specific penalties as provided in this Chapter. Any person who uses, or allows
the use of, residential property in violation of the provisions in this Chapter is guilty of a
misdemeanor for each day in which such residential property is used, or allowed to be
used, in violation of this Chapter. An administrative citation issued pursuant to Chapter
1.06 for a first violation shall be five hundred dollars ($500.00) and each subsequent
violation shall be one thousand ($1,000.00) dollars. Each administrative citation for a
violation of any provision of this Chapter shall be levied or assessed against the Owner.
(b) Upon the third violation in any twelve month period, the City Manager shall
suspend the Vacation Rental Certificate for two (2) years.
(c) Any person who operates a Vacation Rental without a Vacation Rental
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. In the event the person continues to operate a Vacation Rental
without a Vacation Rental Certificate, the person shall be a-liable for an administrative
fine in the amount of Ten Thousand Dollars ($10,000.00) and any successive violations
shall be subject to fines provided in an escalation formula established by the City
Council by resolution.
(d) Any person who advertises a Vacation Rental without including the Vacation
Rental Certificate in any advertising for such Vacation Rental, or operates a Vacation
Rental without a contract, or without providing the City with a summary or abstract of
such contract, or without timely tendering full monthly payments of transient occupancy
tax, shall pay a fine in the amount of Two Thousand, Five Hundred Dollars ($2,500.00)
and the Owner's Vacation Rental Certificate shall be suspended for six (6) months for a
first offense and shall pay a fine in the amount of Five Thousand Dollars ($5,000.00)
and the Owner's Vacation Rental Certificate shall be revoked for a second offense. Any
subsequent violations will be subject to the provisions of Subsection (c) of this Section.
(e) The failure of an Owner or the Owner's agent or representative to comply with an
order of any police officer shall result in the revocation of the Vacation Rental
Certificate.
(f) The appeal and hearing provisions of Chapter 2.504-06 shall apply to any
revocation or suspension of a permit.
18
Ordinance No. _
Page 17
(g) Any person who fails to pay any fee or charge provided in this Chapter within the
time required, shall pay a penalty in the amounts established by the City Council by
resolution. Such penalty may also include interest from the date on which the fee or
charge became due and payable to the City until the date of payment.
(h) The filing of knowingly false claims against a Vacation Rental or the guests
staying in a Vacation Rental is prohibited and shall be punishable by administrative
fines as provided in Chapter 1.086 of this Code.
(i) In addition to, and not in lieu of, any other remedy allowed by law, all -remedies
prescribed under this Chapter are cumulative and the election of one or more remedies
does not bar the City from the pursuit of any other remedy, criminal, civil, or
administrative which may be pursued by the City to enforce this Chapter and/or address
any violation of this Code or to remedy any other public nuisance.
5.25.100 Requirements Not Exclusive.
The requirements of this Chapter shall be in addition to any license, permit, or
fee required under any other provision of this Code. The issuance of any permit
pursuant to this Chapter shall not relieve any person of the obligation to comply with all
other provisions of this Code pertaining to the use and occupancy of Vacation Rental or
the property on which it is located.
SECTION 2. The City Council finds and determines that this Ordinance is not subject to
the California Environmental Quality Act (Public Resources Code Section 21000 et
seq.) pursuant to Section 15060(c)(2) and 15060(c)(3) of the State Guidelines, because
the Ordinance will not result in a direct or reasonably foreseeable indirect physical
change in the environment and is not a "project," as that term is defined in Section
15378 of the State Guidelines.
SECTION 3. The City Manager is authorized to exercise reasonable administrative
discretion in the implementation of this Ordinance during the first year this Ordinance is
in effect, including without limitation phasing in of programs, policies, and practices
consistent with the business needs of the City, any department, division, bureau, or
section designated to enforce this Ordinance, and the overall responsibilities and
priorities of the City Manager as provided by the City Council.
SECTION 4. Any valid rental agreement for a Vacation Rental entered into between an
Owner or an Agent with a renter and the renter has paid a deposit for such rental prior
to November 30, 2016, shall be deemed consistent with the provisions of this Ordinance
so long as such rental agreement and the Vacation Rental complies with the
requirements of the Palm Springs Municipal Code in effect on November 30 2016
19
Ordinance No.
Page 18
SECTION 345. The Mayor shall sign and the City Clerk shall certify to the passage
and adoption of this Ordinance and shall cause the same, or the summary thereof, to be
published and posted pursuant to the provisions of law and this Ordinance shall take
effect thirty (30) days after passage.
PASSED, APPROVED AND ADOPTED BY THE PALM SPRINGS CITY COUNCIL
THIS 7T" DAY OF DECEMBER, 2016.
ROBERT MOON, MAYOR
ATTEST:
JAMES THOMPSON, CITY CLERK
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that
Ordinance No. 1907 is a full, true and correct copy, and was introduced at an
adjourned regular meeting of the Palm Springs City Council on the 30th day of
November, 2016, reintroduced at a regular meeting held the 7`" day of December, 2016
and adopted at a regular meeting of the City Council held on the 4thr day of
JanuaryDeGembef, 20176, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
JAMES THOMPSON, CITY CLERK
City of Palm Springs, California
20
ORDINANCE NO. 1907
AN ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AMENDING AND RESTATING CHAPTER
5.25 OF THE PALM SPRINGS MUNICIPAL CODE
RELATING TO VACATION RENTALS.
City Attorney's Summary
This Ordinance amends and restates in full the City's
adopted Vacation Rental Ordinance. This Ordinance
imposes additional restrictions on occupancy and use of
vacation rental properties in Palm Springs and provides
additional enforcement oversight.
The City Council of the City of Palm Springs ordains:
SECTION 1. Chapter 5.25 of the Palm Springs Municipal Code is amended to read:
Chapter 5.25
VACATION RENTALS
5.25.010 Title.
This Chapter shall be referred to as the "Vacation Rental Ordinance."
5.25.020 Findings.
The City Council finds and determines as follows:
(a) The primary use of single-family and multi-family dwelling units in the City of
Palm Springs is the provision of permanent housing for residents of the City who live
and work in the City. Vacation Rentals and Homesharing are not uses specifically
recognized in the City's Zoning Ordinance, nor are these uses identified as uses
permitted in single-family or multi-family zones. Vacation Rentals and Homesharing are
similar in character and use as hotels and other commercial short term uses and can
only be permitted in single-family or multi-family zones if such uses are ancillary and
secondary to the residential use of property.
(b) Incidents involving excessive noise, disorderly conduct, vandalism,
overcrowding, traffic congestion, parking congestion, and the accumulation of refuse,
require response from police, fire, paramedic, and other City services associated with
this secondary, ancillary, commercial use escalates the demand for City services,
create adverse impacts in the residential areas of the City, and adversely affects the
City's residential neighborhoods. Vacation Rentals and Homesharing use in residential
neighborhoods may have effects that can best be addressed through an appropriate city
regulatory program.
21
Ordinance No. 1907
Page 2
(c) The purpose of this Chapter is to establish a regulatory program for Vacation
Rental and Homesharing lodging, with appropriate standards that regulate vacation
rental of residential property, minimize adverse effects of vacation rental uses on
surrounding residential neighborhoods, ensure that vacation rentals and homesharing
are ancillary and secondary uses of residential property consistent with the provisions of
the City's Zoning Ordinance, preserve the character of neighborhoods in which Vacation
Rental and Homesharing uses occur, and provide an administrative procedure to
preserve existing visitor serving opportunities and increase and enhance public access
to areas of the City and other visitor destinations.
(d) Limiting Vacation Rental and Homesharing lodging to single-family dwelling units
subject to the regulations provided in this Chapter and prohibiting Vacation Rental and
Homesharing lodging in apartments will safeguard, preserve, and protect residential
housing stock in the City.
(e) The adoption of a comprehensive code to regulate issuance of, and attach
conditions to, vacation rental certificates for Vacation Rental and Homesharing lodging
within single-family residential neighborhoods and the related use of residential property
preserves the public health, safety, and welfare. This Chapter provides a permitting
process and imposes operational requirements consistent with the ancillary and
secondary status of Vacation Rentals and Homesharing, for the purpose of minimizing
the potential adverse impacts of transient uses on residential neighborhoods.
(f) This Chapter is not intended to regulate hotels, motels, inns, time-share units, or
non-vacation type rental arrangements including, but not limited to, lodging houses,
rooming houses, convalescent homes, rest homes, halfway homes, or rehabilitation
homes.
5.25.030 Definitions.
For purposes of this Chapter, the following words and phrases shall have the
meaning respectively ascribed to them by this Section:
"Apartment" means (a) a residential unit in a multi-family development of two (2)
dwelling units where both dwelling units are rented or leased for occupancy as a
residence for individual families, and (b) a residential unit in a multi-family development
of three (3) or more dwelling units.
"Applicant" means the Owner.
"Bedroom" means an area of a Vacation Rental normally occupied and being
heated or cooled by any equipment for human habitation, which is 120 square feet and
greater in size, consists of four walls to the ceiling, at least one of which is located along
an exterior wall with a window, and contains a built-in closet.
22
Ordinance No. 1907
Page 3
"Business Entity' means a corporation, partnership, or other legal entity that is
not a natural person or a personal or family trust or a limited liability company consisting
solely of natural persons.
"Cluster or Compound" means any two or more Vacation Rentals that operate on
a unified or shared basis where residents of such Vacation Rentals have exclusive
access to more than one Vacation Rental and/or the facilities of such Vacation Rentals,
including by way of example, a swimming pool, tennis court, or cooking facilities.
"Contract" means an agreement or evidence of any tenancy that allows or
provides for the vacation rental of property.
"Day time occupancy" means the hours between 10:00 am and 10:00 pm.
"Enforcement Official" means the City Manager, the Police Chief, the Fire
Marshall, the Building Official, or one or more of their respective designees.
"Exclusive listing arrangement" means a written agreement between an Owner
and an agent or representative where the agent or representative has the sole and
exclusive right to rent or lease a Vacation Rental unit to any person and the Owner is
prohibited from renting or leasing the Vacation Rental unit except through the Owner's
agent or representative.
"Estate Home" means a single family dwelling with five or more bedrooms
located on property zoned R-1-13, R-1-A, R-1-AH, or G-R-5.
"Good cause" for the purposes of denial, suspension, revocation, imposition of
conditions, placement on or removal from the Property Watch List, renewal, and
reinstatement of a Vacation Rental Registration Certificate, means (1) the Applicant,
Owner, the Owner's Agent, or the Local Contact Person has failed to comply with any of
the terms, conditions, or provisions of this Chapter or any relevant provision of this
Code, State law, or any rule or regulation promulgated thereunder; (2) the Applicant,
Owner, Owner's Agent, or Local Contact Person has failed to comply with any special
conditions that were placed upon the Vacation Rental Registration Certificate by the
Enforcement Official; or (3) the Vacation Rental has been operated in a manner that
adversely affects the public health or welfare or the safety of the immediate
neighborhood in which the Vacation Rental is located.
"Good Neighbor Brochure" means a document prepared by the Enforcement
Official that summarizes general rules of conduct, consideration, and respect, including
without limitation provisions of the Palm Springs Municipal Code applicable to or
expected of guests to the City.
"Homeshare Interest" means a portion of an Owner's home that is subject to
homesharing as provided in this Chapter.
23
Ordinance No. 1907
Page 4
"Homesharing" means an activity whereby the Owner hosts visitors in the
Owner's home, for compensation, for periods of twenty-eight (28) consecutive days or
less, while the Owner lives on-site and in the home, throughout the visitor's stay.
"Hotline" means the telephonic service operated by or for the City for the purpose
of receiving complaints regarding the operation of any Vacation Rental and the
forwarding of such complaints to the appropriate city enforcement officials or, if
applicable, the Local Contact Person. For the purposes of this Chapter, the term
"Hotline" also includes any contact in person or by telephone, email, digital or electronic
communication, or correspondence of any kind to and/or from any Enforcement Official.
"Local contact person" means the Owner, a local property manager, or agent of
the Owner, who is available twenty-four hours per day, seven days per week for the
purpose of responding in-person within thirty (30) minutes to complaints regarding the
condition, operation, or conduct of occupants of the Vacation Rental, or any agent of the
Owner authorized by the Owner to take remedial action and who responds to any
violation of this code.
"Owner" means the natural person or persons who is/are the owner of record of
the Property. The term "Owner" also includes a personal or family trust consisting
solely of natural persons and the trustees of such trust or a limited liability company and
the members of such company, insofar as the disclosure requirements pursuant to
Section 5.25.085 are satisfied. The term "Owner" does not include a Business Entity.
"Property" means a residential legal lot of record on which a Vacation Rental is
located.
"Rental Term" means the period of time a Responsible Person rents or leases a
Vacation Rental
"Responsible Person" means an occupant of a Vacation Rental who is at least
twenty-five (25) years of age and who shall be legally responsible for compliance of all
occupants of the unit and/or their guests with all provisions of this Chapter and/or this
code.
"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, other than ongoing
month-to-month tenancy granted to the same renter for the same unit, occupancy of a
time-share basis, or a condominium hotel as defined in Section 91.00.10 of this Code.
The term "vacation rental" is synonymous with "short term rental" and "transient use"
and does not include homesharing.
"Vacation Rental Registration Certificate" or "Registration Certificate" means a
registration for a Vacation Rental or a Homeshare Interest issued by the City pursuant
to this Chapter.
24
Ordinance No. 1907
Page 5
5.25.040 Registration Certificate Required.
(a) The operation of a Vacation Rental or a Homeshare Interest without a Vacation
Rental Registration Certificate is prohibited.
(b) A Vacation Rental Registration Certificate shall not be issued to any Business
Entity. A natural person shall only be issued, and can only maintain, one Vacation
Rental Registration Certificate at any time. Renewals of Vacation Rental Registration
Certificates issued on or after November 24, 2016 to a Business Entity shall terminate
on March 1, 2017; a renewal of a second Vacation Rental Registration Certificate, or
more, issued to a natural person shall terminate on March 1, 2017. Notwithstanding
any provision to the contrary in Subsection (a) or this Subsection (b) of this Section, any
natural person who has a financial interest in two or more Vacation Rentals subject to
current and valid Vacation Rental Registration Certificates as of November 30, 2016,
may continue to operate and maintain no more than two (2) such Vacation Rentals so
long as such Vacation Rentals are operated and maintained in full compliance with this
Chapter.
(c) The provisions of Subsection (a) of this Section shall not apply to or be enforced
against any natural person who operates a Vacation Rental pursuant to a valid Vacation
Rental Registration Certificate issued prior to November 24, 2016 for the period of time
between November 24, 2016 through January 1, 2021. The provisions of Subsection
(a) of this section shall not apply to or be enforced against any business entity, or its
successor natural person that operates a Vacation Rental pursuant to a valid Vacation
Rental Registration Certificate issued prior to November 24, 2016 for the period of time
between November 24, 2016 through January 1, 2021 so long as such business entity
for each Vacation Rental complies with the provisions of Section 5.25.085. The
purpose of this deferral of the enforcement of the provisions of Subsection (a) is for
persons or entities issued valid vacation rental certificates prior to November 24, 2016
to be afforded a reasonable opportunity to recoup costs reasonably invested for
vacation rental use and which may not have been recouped during the period of
vacation rental use and which cannot be recouped once the vacation rental use is
terminated.
(d) Each Owner of a Vacation Rental who rents, exchanges, trades, gifts, or grants
such Vacation Rental for a period of thirty-two (32) consecutive days or less shall fully
comply with all provisions of this Chapter related to the use and occupancy of a
Vacation Rental, and the operational requirements, provided in this Chapter. Each
rental, exchange, trade, gift, and grant of a stay of less than twenty-eight (28) days shall
count as one Contract.
(e) No Owner of residential property in the City shall rent any Homeshare Interest
for a period of twenty-eight consecutive days or less without a valid Rental Registration
Certificate for Homesharing pursuant to this Chapter for such Homesharing Interest.
25
Ordinance No. 1907
Page 6
(f) A copy of the current Registration Certificate as issued by the City and the
maximum number of guests allowed on the premises shall be displayed in a clear and
legible manner in a conspicuous and easily accessible location in the unit and on all
advertising related to each Vacation Rental or Homesharing Interest, including without
limitation, web based advertising, hosting platform, print media, and television.
5.25.050 Agency.
(a) An Owner may retain an agent with an exclusive listing arrangement or a
representative to assist in the compliance with the requirements of this Chapter,
including, without limitation, the filing of a complete Vacation Rental registration, the
management of the Vacation Rental unit or units, and compliance with the
requirements of this Chapter including the collection and payment to the City of all
transient occupancy taxes due and payable on the Vacation Rental unit. The Owner and
any such agent or representative of Owner must have the authority to evict any tenant,
resident, or guest permitted to reside at the Vacation Rental for violation of any
provision of this Chapter or regulation thereof. Except as provided in Subsection (b) of
this Section and notwithstanding any agency relationships between an Owner and an
agent or representative, the Owner of the Vacation Rental unit or units shall execute all
applications and documentary requirements as provided in this Chapter and shall
remain responsible for compliance with the provisions of this Chapter. 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.
(b) In the event an Owner enters into an exclusive listing arrangement, the Vacation
Rental registration certificate may be secured, and the transient occupancy registration
certificate requirements provided in this Chapter may be performed, by the agent or
representative and not by the Owner.
5.25.060 Vacation Rental Registration Requirements.
(a) Prior to use of a property as a Vacation Rental, and annually thereafter, the
applicant shall register the property as a Vacation Rental with the City on a registration
form furnished by or acceptable to the Enforcement Official and signed by the applicant
under penalty of perjury. Each application shall contain the following information:
(1) The name, address, and telephone number of the Owner of the unit for
which the Vacation Rental registration certificate is to be issued.
(2) The name, address, and telephone number of the exclusive listing agent,
if any, of the Owner of the unit.
(3) The name, address, and twenty-four-hour telephone number of the Local
Contact Person and verification that the Local Contact Person can respond in-
2 G
Ordinance No. 1907
Page 7
person to the site of the Vacation Rental within thirty (30) minutes. The Local
Contact Person may only use the address of the Vacation Rental if the Local
Contact Person will be present at the unit for the duration of each Contract.
(4) The address of the residential property proposed to be used as a Vacation
Rental.
(5) The number of bedrooms and the applicable overnight and daytime
occupancy limit of the unit consistent with the provisions of Section 5.25.070 (c).
(6) Evidence of a valid business license issued by the City for the separate
business of operating Vacation Rentals or submission of a certificate that Owner is
exempt or otherwise not covered by the City's Business Tax Ordinance (Division Il,
Title 3 of the Palm Springs Municipal Code) for such activity.
(7) Evidence of a valid transient occupancy registration certificate issued by
the City for the Vacation Rental unit.
(8) Acknowledgement of receipt and inspection of a copy of all regulations
pertaining to the operation of a Vacation Rental.
(9) Executed indemnification and hold harmless agreement in a form
approved by the City Attorney, agreeing to indemnify, save, protect, hold harmless,
and defend the City of Palm Springs, the City Council of the City of Palm Springs,
individually and collectively, and the City of Palm Springs representatives, officers,
officials, employees, agents, and volunteers from any and all claims, demands,
damages, fines, obligations, suits, judgments, penalties, causes of action, losses,
liabilities, or costs at any time received, incurred, or accrued as a result of, or
arising out of Owner's actions or inaction in the operation, occupancy, use, and/or
maintenance of the Property.
(10) Evidence of insurance coverage as required under Section 5.25.070(t) of
this Chapter.
(11)Completion of building, fire, and safety inspection and completion of any
corrections identified by an Enforcement Official. Such inspections shall include a
review of the premises for compliance with the operational requirements of this
Chapter, including without limitation determining the total number of qualified
bedrooms.
27
Ordinance No. 1907
Page 8
(12) Written acknowledgement in a form approved by the Enforcement Official
that there are no covenants or other deed restrictions on the property that prohibit
or limit the use of the property as a Vacation Rental. The Enforcement Official may
accept a written consent from the governing board of a homeowners' association
with jurisdiction over the property in satisfaction of this requirement.
(13) Such other information as the Enforcement Official deems reasonably
necessary to administer this Chapter.
(b) The registration of a Vacation Rental 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.
(c) A Vacation Rental registration certificate shall be denied if a registration
certificate for the same unit and issued to the same Owner has previously been revoked
pursuant to Section 5.25.090. The denial of a registration certificate for any reason may
be appealed in accordance with to the provisions of Chapter 2.50 of the Municipal
Code.
(d) Upon change of property Ownership, the permit shall expire and the property
shall not be used as a Vacation Rental until the new or successor Owner is issued a
Vacation Rental Certificate for the property. In the event of a change in agent or the
occurrence of any other material fact set forth in the annual registration, a new
registration for a Vacation Rental shall be required to continue operation of the Vacation
Rental and within seven days of said change the Owner or his or her exclusive listing
agent shall submit the required registration and fee.
(e) The Owner or his or her exclusive listing agent shall cancel the Vacation Rental
Registration Certificate within seven (7) days of the date the Vacation Rental is sold or
otherwise disposed of or after an event that results in the unit no longer in use as a
Vacation Rental.
5.25.070 Operational Requirements and Standard Conditions.
(a) The Owner shall use reasonably prudent business practices to ensure that the
Vacation Rental unit complies with all applicable codes regarding fire, building and
safety, health and safety, and all other relevant laws.
(b) No more than thirty-two (32) Contracts for Vacation Rental use of a property shall
be allowed or provided in any calendar year. A Contract includes any occupancy of a
property subject to a Vacation Rental registration certificate by persons other than the
Owner when the Owner is not present during such occupancy, regardless of whether
compensation is paid for such occupancy or whether occupancy is evidenced in an
agreement or document. Notwithstanding the restrictions imposed by this subsection,
28
Ordinance No. 1907
Page 9
the Owner can annually designate and file with the Enforcement Official the names of
up to five (5) persons who may occupy the Vacation Rental unit at no cost and without
requiring the presence of the Owner on the premises of the Vacation Rental. Each such
occupancy shall fully comply with all other provisions of this Chapter.
(c) The Owner shall limit overnight occupancy of the Vacation Rental unit to a
specific number of occupants, with the maximum number of occupants as no more than
two (2) persons per bedroom within each Vacation Rental unit and a maximum of no
more than eight (8) persons total within the Vacation Rental unit, except that Owner
may allow up to two (2) minor children, age 12 or under, to occupy the Vacation Rental
in addition to the maximum number of occupants otherwise provided in this Subsection.
The number of bedrooms in a Vacation Rental shall be verified by the Enforcement
Official using County Assessor and/or City Building records, prior to the issuance of a
certificate. The Owner shall also limit the total daytime occupancy of the Vacation
Rental unit to a specific number of occupants not to exceed an amount determined by
adding the total overnight occupants to a number equal to fifty percent of the overnight
occupants, except the total number of daytime occupants shall not exceed twelve (12)
persons. No more than one (1) automobile per bedroom shall be allowed to park on the
street for each Vacation Rental unit and no more than two (2) additional automobiles
may be parked in the street during daytime occupancy for daytime occupants.
Advertising and/or renting one or more Vacation Rentals as part of a cluster or
compound is prohibited.
(d) The Owner of an Estate Home may apply to the Enforcement Official for an
Exemption from the limitations of Subsection (c) of this Section for up to two (2)
additional bedrooms for housing to accommodate no more than two (2) persons for
each additional bedroom approved pursuant to the Exemption and a maximum daytime
occupancy of no more than sixteen (16) persons. The Enforcement Official shall review
the application for an Exemption and may approve such Exemption if the Enforcement
Official finds such additional occupancy is consistent with the purpose, intent, and goals
of this Chapter. Such Exemption, if granted, may be subject to conditions and will be
subject to annual review and renewal consideration.
(e) During the Rental Term each Vacation Rental unit is rented, the Owner, his or
her agent, and/or the Local Contact Person designated by the Owner, shall be available
twenty-four hours per day, seven days per week, for the purpose of (1) responding by
telephone within fifteen (15) minutes of complaints from or through the Hotline and (2)
responding in-person within thirty (30) minutes to any additional or successive
complaints regarding the condition, operation, or conduct of occupants of the Vacation
Rental.
(f) The Owner shall use reasonably prudent business practices to ensure that the
occupants and/or guests of the Vacation Rental unit do not create unreasonable noise
disturbances, engage in disorderly conduct, or violate provisions of the Municipal Code
or any state law.
29
Ordinance No. 1907
Page 10
(g) Notwithstanding the provisions of Section 11.74.043, any radio receiver, musical
instrument, phonograph, loudspeaker, sound amplifier, or any machine or device for the
producing or reproducing of any sound shall be conducted within a fully enclosed
Vacation Rental unit and shall not be audible at the property line of the Vacation Rental.
(h) Prior to occupancy pursuant to each separate occasion of rental of a Vacation
Rental, the Owner or the Owner's agent or representative shall enter into a written
Contract with a Responsible Person where (1) the Responsible Person will provide the
Responsible Person's name, age, address, and a copy of a government issued
identification; (2) establishes and sets out the terms and conditions of the Contract,
including without limitation occupancy limits, noise prohibitions, and vehicle parking
requirements; (3) requires the Responsible Person to acknowledge and agree that he or
she is legally responsible for compliance of all occupants of the Vacation Rental or their
guests with all provisions of this Chapter and/or the Municipal Code; (4) the Owner or
the Owner's Agent provides a copy of the "Good Neighbor Brochure" to the Responsible
Person; (5) the Responsible Person provides a list of all guests by name; and (6) the
Responsible Person provides a list of all guests' vehicles, including license plate
numbers. Each Contract shall be maintained by the Owner or the Owner's Agent for a
minimum of four (4) years and shall be readily available for inspection upon request of
the Enforcement Official. A summary or abstract of the written Contract, in a form
approved by the Enforcement Official, shall be filed with the Enforcement Official prior to
occupancy, in a manner approved by the Enforcement Official, and shall be posted in a
conspicuous location on the Vacation Rental property and shall be made available on
site at the request of an Enforcement Official.
(i) The Owner, or his or her agent, shall, upon notification that the responsible
person, including any occupant and/or guest of the Vacation Rental unit, has created
unreasonable noise or disturbances, engaged in disorderly conduct, or committed
violations of provisions of the Municipal Code or any state law, shall promptly respond in
a timely and appropriate manner to prevent a recurrence of such conduct by those
occupants or guests, and when requested by the City Enforcement Official, evict one or
more of the guests. For the purpose of this Subsection and Subsection 0) below, the
phrase "in a timely and appropriate manner" shall mean in-person contact within thirty
(30) minutes for any call from theEnforcement Official or Hotline.
0) Failure of the Owner or his or her agent to respond to calls or complaints
regarding the condition, operation, or conduct of occupants of the Vacation Rental in a
timely and appropriate manner shall be grounds for imposition of penalties as set forth
in this Chapter. It is not intended that an Owner, agent, or Local Contact Person act as
a peace officer or place himself or herself in an at-risk situation.
(k) Trash and refuse shall not be left stored within public view, except in proper
containers for the purpose of collection by the collectors and between the hours of five
a.m. and eight p.m. on scheduled trash collection days. The Owner of the Vacation
Rental unit shall use reasonably prudent business practices to ensure compliance with
all the provisions of Chapter 6.04 of the Municipal Code (Waste Disposal and
30
Ordinance No. 1907
Page 11
Diversion), and shall provide "walk-in service" or as may otherwise be approved by the
Enforcement Official.
(1) The Owner of the Vacation Rental unit shall post a copy of the Registration
Certificate and a copy of the conditions set forth in this Section, including all rules and
regulations applicable to the use of the property as a Vacation Rental, on the inside of
each entry door or in a conspicuous location near each entry door on the Vacation
Rental.
(m) The Owner shall provide each occupant of a Vacation Rental with the following
information prior to occupancy of the unit and/or post such information in a conspicuous
place within the unit:
(1) The name of the managing agency, agent, rental manager, Local Contact
Person, or Owner of the unit, and a telephone number at which that parry may be
reached on a twenty-four-hour basis;
(2) The maximum number of occupants permitted to stay in the unit;
(3) The trash pick-up day and applicable rules and regulations pertaining to
leaving or storing trash or refuse on the exterior of the property;
(4) Notification that the amplification of music outside of the dwelling unit or
otherwise audible at the property line is a violation of this Chapter;
(5) Notification that the occupant may be cited or fined by the City and/or
immediately evicted by the Owner pursuant to state law, in addition to any other
remedies available at law, for creating a disturbance or for violating any provision of
this Chapter;
(6) Notification that failure to conform to the occupancy requirements of the
Vacation Rental unit is a violation of this Chapter;
(7) A copy of this Chapter of the Palm Springs Municipal Code, as may be
amended from time to time.
(n) The use of a Vacation Rental unit shall not violate any applicable conditions,
covenants, or other restrictions on real property.
(o) The Owner shall comply with all provisions of Chapter 3.24 of this Code
concerning transient occupancy taxes, including, but not limited to, submission of a
monthly return for each Vacation Rental in accordance with Section 3.24.080 of this
31
Ordinance No. 1907
Page 12
Code. The monthly return shall be filed each month regardless of whether the Vacation
Rental unit was rented or not during each such month.
(p) The City Manager shall have the authority to impose additional standard
conditions, applicable to all Vacation Rental units or identifiable classes of Vacation
Rentals, 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 City
Clerk and such offices as the City Manager designates.
(q) Notwithstanding the provisions of Subsection (p) above, upon a determination of
Good Cause, the City Manager may impose additional or special standards or
requirements for placement or imposition of special conditions or performance
standards for Owners, Owner's Agents, Local Contact Persons, and their affected
Vacation Rentals. (r) The standard conditions may be modified by the
Enforcement Official upon request of the Owner or his or her agent based on site-
specific circumstances for the purpose of allowing reasonable accommodation of a
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
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 to the standard conditions shall not further exacerbate an already
existing problem.
(s) The City Manager shall have the authority to establish administrative rules and
regulations, which may include, but are not limited to, registration conditions, reporting
requirements, inspection frequencies, enforcement procedures, advertising restrictions,
disclosure requirements, or insurance requirements, consistent with the provisions of
this Chapter, for the purpose of implementing, interpreting, clarifying, carrying out,
furthering, and enforcing the requirements and the provisions of this Chapter. No
person shall fail to comply with any such regulation. A copy of such administrative rules
and regulations shall be on file in the Office of the City Clerk.
(t) Owner shall procure, maintain, and pay premiums for commercial insurance
policies that cover short term rental of property with minimum limits as may be
established by the City Manager from time to time.
(u) Owner shall annually secure a building and fire and safety inspection prior to
renewal of the Vacation Rental Certificate.
5.25.075 Specific Prohibitions.
(a) No person or entity shall offer or provide an Apartment, or any portion thereof, for
rent for twenty-eight (28) consecutive days or less to any person.
32
Ordinance No. 1907
Page 13
(b) No person or entity shall maintain any advertisement of a Vacation Rental that is
in violation of any provision of this Chapter.
(c) No person, including without limitation, an apartment owner, an apartment
manager, or a representative of the apartment owner or manager, shall evict any tenant
or otherwise terminate a lease for the purpose of converting an apartment to a vacation
rental or in anticipation of converting an apartment to a vacation rental. In addition to
any other remedy provided under the Palm Springs Municipal Code, failure to comply
with this provision may be asserted as an affirmative defense in an action brought by or
on behalf of the apartment owner, apartment manager, or representative to recover
possession of the unit. Any attempt to recover possession of a unit in violation of this
Ordinance shall render the apartment owner, apartment manager, or representative
liable to the tenant for actual or punitive damages, including damages for emotional
distress, in a civil action for wrongful eviction. The tenant may seek injunctive relief and
money damages for wrongful eviction and the prevailing party in an action for wrongful
eviction shall recover costs and reasonable attorneys' fees.
(d) The provisions of Subsection (a) of this Section shall not apply to or be enforced
against any person or entity who rents an apartment or portion thereof pursuant to a
valid vacation rental certificate issued prior to April 15, 2016 for the period of time
between April 15, 2016 through January 1, 2019. The purpose of this deferral of the
enforcement of the provisions of this Section is for persons or entities issued valid
vacation rental certificates prior to April 15, 2016 to be afforded a reasonable
opportunity to recoup costs reasonably invested for vacation rental use of apartments
and which may not have been recouped during the period of vacation rental use of the
the apartment and which cannot be recouped once the vacation rental use is
terminated.
(e) The provisions of Subsection (a) of this Section shall also not apply to any
building in which an apartment is located that meets all requirements of an R-1
occupancy under the City's building and fire code and for which such apartment has a
valid Vacation Rental Registration Certificate issued prior to April 15, 2016.
Ed. Note. Subsection (d) of Section 5.25.075 shall be deemed repealed and no
longer in effect as of 12:01 am on January 1, 2019 and all persons and entities shall
fully comply with the provisions of Subsection (a) of Section 5.25.075 of this Code. See
§ 4 of Ord. 1902 (2016).
5.25.078 Homesharing Authorization.
(a) The Notwithstanding any provision of this Chapter to the contrary, homesharing
shall be authorized in the City, provided that the Owner complies with each of the
following requirements:
(1) Obtains and maintains at all times a Vacation Rental Registration
Certificate for Homesharing;
33
Ordinance No. 1907
Page 14
(2) Operates the Homesharing Interest in compliance with all Vacation Rental
Certificate for Homesharing conditions, which may be imposed by the
Enforcement Official to effectuate the purpose of this Chapter;
(3) Collects and remits Transient Occupancy Tax to the City and complies
with all City Transient Occupancy Tax requirements as set forth in this Code;
(4) Takes responsibility for and actively prevents any nuisance activities that
may take place as a result of homesharing activities;
(5) Complies with all applicable laws, including all health, safety, building, and
fire protections laws;
(6) Complies with the regulations promulgated pursuant to this Chapter.
(b) In the event the Owner of a Homeshare Interest does not live on-site, in the
home, and is not able to respond within thirty (30) minutes to complaints regarding the
condition, operation, or conduct of occupants of the Homesharing Interest, the property
shall be deemed a Vacation Rental and Owner shall be required to fully comply with the
provisions of this Chapter relating to Vacation Rentals, including without limitation,
securing a Vacation Rental Registration Certificate.
5.25.080. Audit.
Each Owner and agent or representative of any Owner shall provide the
Enforcement Official with access to each Vacation Rental and the books, records,
documents, papers, tax returns, and bank accounts at any time during normal business
hours as the Enforcement Official may determine are necessary or convenient for the
purpose of inspection or audit to determine that the objectives and conditions of this
Chapter are being fulfilled.
5.25.085 Disclosure of Business Entitites
On or before June 1, 2017, all Business Entities owning one or more Vacation
Rentals shall disclose to the Enforcement Official the names, relevant contact
information, and any such other information as may be requested by the Enforcement
Official of each natural person holding the legal, equitable, and/or beneficial interest of
each such Business Entitiy and the address of each Vacation Rental owned by each
such Business Entity. Each Business Entity that complies with the provisions of this
Section prior to June 1, 2017, shall, prior to June 1, 2018 transfer each Vacation Rental
to a natural person who can otherwise comply with the provisions of this Chapter or
34
Ordinance No. 1907
Page 15
cease operating any Vacation Rental properties owned by the Business Entity as
Vacation Rentals. Any Business Entity that fails to comply with the disclosure
requirements provided in this Subsection, shall cease operating all Vacation Rental
properties owned by the Business Entity as Vacation Rentals no later than June 1,
2017.
5.25.090 Violations.
(a) Any person who violates a provision of this Chapter is subject to criminal
sanctions and administrative penalties pursuant to Chapters 1.01 and 1.06 of this Code
and the specific penalties as provided in this Chapter. Any person who uses, or allows
the use of, residential property in violation of the provisions in this Chapter is guilty of a
misdemeanor for each day in which such residential property is used, or allowed to be
used, in violation of this Chapter. An administrative citation issued pursuant to Chapter
1.06 for a first violation shall be five hundred dollars ($500.00) and each subsequent
violation shall be one thousand ($1,000.00) dollars. Each administrative citation for a
violation of any provision of this Chapter shall be levied or assessed against the Owner.
(b) Upon the third violation in any twelve month period, the City Manager shall
suspend the Vacation Rental Certificate for two (2) years.
(c) Any person who operates a Vacation Rental without a Vacation Rental
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. In the event the person continues to operate a Vacation Rental
without a Vacation Rental Certificate, the person shall be liable for an administrative fine
in the amount of Ten Thousand Dollars ($10,000.00) and any successive violations
shall be subject to fines provided in an escalation formula established by the City
Council by resolution.
(d) Any person who advertises a Vacation Rental without including the Vacation
Rental Certificate in any advertising for such Vacation Rental, or operates a Vacation
Rental without a contract, or without providing the City with a summary or abstract of
such contract, or without timely tendering full monthly payments of transient occupancy
tax, shall pay a fine in the amount of Two Thousand, Five Hundred Dollars ($2,500.00)
and the Owner's Vacation Rental Certificate shall be suspended for six (6) months for a
first offense and shall pay a fine in the amount of Five Thousand Dollars ($5,000.00)
and the Owner's Vacation Rental Certificate shall be revoked for a second offense. Any
subsequent violations will be subject to the provisions of Subsection (c) of this Section.
(e) The failure of an Owner or the Owner's agent or representative to comply with an
order of any police officer shall result in the revocation of the Vacation Rental
Certificate.
35
Ordinance No. 1907
Page 16
(f) The appeal and hearing provisions of Chapter 2.50 shall apply to any revocation
or suspension of a permit.
(g) Any person who fails to pay any fee or charge provided in this Chapter within the
time required, shall pay a penalty in the amounts established by the City Council by
resolution. Such penalty may also include interest from the date on which the fee or
charge became due and payable to the City until the date of payment.
(h) The filing of knowingly false claims against a Vacation Rental or the guests
staying in a Vacation Rental is prohibited and shall be punishable by administrative
fines as provided in Chapter 1.06 of this Code.
(i) In addition to, and not in lieu of, any other remedy allowed by law, all remedies
prescribed under this Chapter are cumulative and the election of one or more remedies
does not bar the City from the pursuit of any other remedy, criminal, civil, or
administrative which may be pursued by the City to enforce this Chapter and/or address
any violation of this Code or to remedy any other public nuisance.
5.25.100 Requirements Not Exclusive.
The requirements of this Chapter shall be in addition to any license, permit, or
fee required under any other provision of this Code. The issuance of any permit
pursuant to this Chapter shall not relieve any person of the obligation to comply with all
other provisions of this Code pertaining to the use and occupancy of Vacation Rental or
the property on which it is located.
SECTION 2. The City Council finds and determines that this Ordinance is not subject to
the California Environmental Quality Act (Public Resources Code Section 21000 et
seq.) pursuant to Section 15060(c)(2) and 15060(c)(3) of the State Guidelines, because
the Ordinance will not result in a direct or reasonably foreseeable indirect physical
change in the environment and is not a "project," as that term is defined in Section
15378 of the State Guidelines.
SECTION 3. The City Manager is authorized to exercise reasonable administrative
discretion in the implementation of this Ordinance during the first year this Ordinance is
in effect, including without limitation phasing in of programs, policies, and practices
consistent with the business needs of the City, any department, division, bureau, or
section designated to enforce this Ordinance, and the overall responsibilities and
priorities of the City Manager as provided by the City Council.
SECTION 4. Any valid rental agreement for a Vacation Rental, entered into between an
Owner or an Agent with a renter and the renter has paid a deposit for such rental prior
to November 30, 2016, shall be deemed consistent with the provisions of this Ordinance
so long as such rental agreement and the Vacation Rental complies with the
requirements of the Palm Springs Municipal Code in effect on November 30, 2016.
39
Ordinance No. 1907
Page 17
SECTION 5. The Mayor shall sign and the City Clerk shall certify to the passage and
adoption of this Ordinance and shall cause the same, or the summary thereof, to be
published and posted pursuant to the provisions of law and this Ordinance shall take
effect thirty (30) days after passage.
PASSED, APPROVED AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS 7TH DAY OF DECEMBER, 2016.
ROBERT MOON, MAYOR
ATTEST:
JAMES THOMPSON, CITY CLERK
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that
Ordinance No. 1907 is a full, true and correct copy, and was introduced at an adjourned
regular meeting of the Palm Springs City Council on the 30th day of November, 2016,
reintroduced at a regular meeting held the 7ch day of December, 2016, and adopted at a
regular meeting of the City Council held on the 4th day of January, 2017, by the
following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
JAMES THOMPSON, CITY CLERK
City of Palm Springs, California
37
Cindy Berardi
From: Adam Moore <adamjamesmoore@gmail.com>
Sent: Thursday, December 01, 2016 1:28 PM
To: Robert Moon; Geoff Kors;JR Roberts; Ginny Foat; Chris Mills
Cc: David Ready; CityClerk; dholland@wss-law.com
Subject: Palm Springs Vacation Rental Policy
Dear Mayor Robert Moon and Palm Springs City Council members,
I am very disappointed to learn that you have voted to move forward with the proposed extreme restrictions
on vacation rental owners in Palm Springs.
My wife and I purchased our home just over a year and a half ago as an investment in our future. We simply
could not afford to own a home in Los Angeles where we work, so we decided to purchase in Palm Springs on
the same street where we already have friends who own. Now with these restrictions it will put a major
hardship on our family as we will not be able to afford to keep our home. We are not doing this to make
profits, we are merely using the income to keep our investment. We simply will not likely be able to rent our
home enough pay our mortgage and utilities now. I fear this will also create a significant hardship and force
others to sell as well.
It is a shame that the city neglected to enforce regulations already in place but has decided that new extreme
restrictions were needed to fix the situation. We feel like the rug has been pulled out from under us and are
uncertain of our future now. We're now unfairly being punished for others who have not followed guidelines. I
sincerely hope that the council members will reconsider these restrictions and help those who's livelihood
depend on rental income to keep their homes.
Sincerely,
Adam Moore
t
Cindy Berardi
From: Michael Lutgen <mplutgen@me.com>
Sent: Thursday, December 01, 2016 10:41 AM
To: Robert Moon; Geoff Kors;JR Roberts; Ginny Foat; Chris Mills
Cc: David Ready; CityClerk; dholland@wss-law.com
Subject: Vacation Rental Policy Comments
Dear Mayor Robert Moon and Palm Springs City Councilmembers,
I am disappointed to learn that you are considering arbitrary limits on vacation rental contracts and vacation rental
ownership.These measures will not solve the problem. In fact, they will likely create even worse problems by
discouraging tourists from visiting Palm Springs, reducing the tax revenue available for public services, and wreaking
havoc in the housing market.
Many homeowners in Palm Springs, including me, want the freedom and flexibility to rent out our homes as we see fit,
as long as appropriate restrictions and enforcement mechanisms are in place to keep our neighborhoods safe and
pleasant. With excessive restrictions on the number of rentals per year, however, many part-time residents will not be
able to afford to keep their homes here.
Homeowners and local businesses have worked hard over the past year to develop new enforcement measures that will
ensure an appropriate balance between property rights and quality of life. I urge you to keep the focus on strong
enforcement.That is the solution we need, not experimental regulations that could harm everyone.
Thank you for your consideration.
Sincerely,
Michael P Lutgen
2730 S Kings Rd W
Palm Springs, CA
562-618-9479
t
Cindy Berardi
From: Friel, Alan L. <afriel@bakerlaw.com>
Sent: Thursday, December 01, 2016 11:00 AM
To: Cindy Berardi
Subject: RE: Ordinance Introduced Last Night
Thank you. Please forward this email to all the council members. I want them to know that I support reasonable
vacation rental restrictions, but that I strongly suggest: (1)48 rentals per year rather than 32 is more reasonable; and (2)
any existing bookings not be counted toward the maximum in the first year. These modifications will ease the burden
on single unit owners like me that have vacation/retirement properties that are subsidized through reasonable
vacation rental supplemental income. Mya address is 2931 Sundance Circle 92262.
Best regards,
Alan Friel
Partner
BakerHostetler
11601 Wilshire Boulevard I Suite 1400
Los Angeles, CA 90025-0509
T 310.442.8860
afriel@bakerlaw.com
bakerlaw.com
e0
BakerHostetler
From: Cindy Berardi [mailto:Cindy.Berardi(obpalmsprings-ca.gov]
Sent: Thursday, December 01, 2016 10:39 AM
To: Friel, Alan L.
Subject: RE: Ordinance Introduced Last Night
Ordinances take 2 meetings to be adopted; it's introduced at one and adopted at the next. It will be on the 12/7/16
agenda for adoption and the language is being drafted by the City Clerk as I type this, based on amendments made at
last night's meeting. The final language will be part of the staff report which will be posted on our website tonight.
Cynthia A. Berardi, CMC
Deputy City Clerk
City of Palm Springs
P. 0. Box 2743
Palm Springs, CA 92263
(760) 323-8204
(760) 322-8332 fax
Please note: City Hall is open Monday-Thursday 8:00am-6:00pm, and we are closed on
Fridays.
t
Cindy Berardi
From: jojo@postandbeamrealty.com
Sent: Thursday, December 01, 2016 10:32 AM
To: Robert Moon; Chris Mills; Ginny Foat; Geoff Kors; JR Roberts; David Ready; CityClerk;
Joanne Bruggemans
Subject: Re:1 Strongly Support Our Vacation Rentals
To the honorable Palm Springs Mayor and City council Members:
I'm writing to tell you how heartbroken I am over last nights decision. The 32 contract rental limit will make me no longer able
to afford my future retirement home and I will have to sell. It unfairly targets buyers that bought recently for higher prices with
higher property taxes and those with strong and popular rentals that are generally the nicer ones available. It only passes on that
business to the less desirable rental homes. I plead to you to reconsider this one item.
I come to Palm Springs from LA between every guest and spend over 150 days a year here and was starting to consider it my
home. This one item will eliminate the 30 and 40-something homeowners that are currently championing Palm Springs. I
realize you are all baby boomers as are most of your constituents but I beg you to think about the future of this city.
Sincerely,
Joann
JoannSweiven I Noy.�xd Btu.,,, Rya,Lslal�
htto:fw oostandbeamrealestate.com
Cet 323 518 5534
CP.RiRE 01798254
1
1. 1 will only summarize my memo distributed to you at the last Council meeting
entitled Homeowners' Notification and Bill of Rights. It is similar to the existing
regulation for Event Houses, but requires notification only once a year for each
new or renewed permit, unlike the Event House provision which requires
notification of each event. Less stringent than the event House provision, it does
not provide for homeowner objection to a specific permit. It does, however,
provide the homeowner with the obligations of each short term renter under the
regulation and the rights of the homeowner. If education of homeowners is one of
the city's goals, such a provision would go a long way to work towards that goal.
2. Section 5.25.070(d) of the proposed regulation provides for an Estate House
exemption of 5 or 6 bedrooms, allowing for up to 12 24 hour guests and an
additional 6 guests between 10am and 10pm. There is no personal financial
hardship argument for such an exemption. In an email to me, Mayor Moon stated
that one rationale for SVR's was for those "who need or want to rent their house
to help pay the expenses of carrying the house". These are SVR's on steroids
and indistinguishable from small hotels. The owners of these mega homes
need no financial help. The exemption was clearly put forward by real estate
interests who have some of these homes in their rental portfolio and don't want to
lose them. In response to an email from Michael Frick, Councilman Kors stated
that "neighbors will be able to weigh in prior to [the exemption being granted).
There is no such neighbor weigh-in in the provision. Such exemption is solely
within the discretion of the City Manager. The exemption should be removed or
at the very least changed to reflect Councilman Kor's understanding.
3. The city should make available on its website or other public website the
individual contracts for short term rentals, excluding any confidential information
and names, but including the address of the rental, the commencing and ending
date of the contract and the number of permitted guests. If homeowners are
going to continue to be called on to police their neighborhoods, which we strongly
believe they should not, then at the very least they should at least be provided
with some information as to what is occurring around them.
4. The language of Section 5.25.070(m)(4) needs to be exactly the same as the
obligation under(g), the latter of which covers all amplified sound, not just
"music."
Respectfully submitted
Bruce Cronander, individually and as a member of PON