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HomeMy WebLinkAbout1902 ORDINANCE NO. 1902 AN ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING SECTIONS 5.25.020 AND 5.25.030 OF, AND ADDING SECTION 5.25.075 TO, THE PALM SPRINGS MUNICIPAL CODE PROHIBITING THE RENTAL OF APARTMENTS AS VACATION RENTALS. City Attorney Summary This Ordinance amends the City's Vacation Rental ordinance to prohibit the conversion of apartments (as defined) to vacation rentals in the City. Any vacation rental certificate issued prior to April 15, 2016 shall remain in effect and may be extended through January 1, 2019 and such certificate shall terminate and any vacation rental use of any apartment unit covered by such certificate shall cease. THE CITY COUNCIL OF THE CITY OF PALM SPRINGS FINDS: A. The City Council of the City of Palm Springs has adopted a Land Use Element and a Housing Element of its General Plan. The Land Use Element sets forth policies and goals toward the protection of land use planning that is protective of the social impacts of land uses and the Housing Element sets forth the City's policies and goals towards providing a supply and range of housing opportunities throughout the City. B. The City Council has expressed concern regarding the potentially adverse impacts that the conversion of rental apartment units to vacation rental uses may have on the City's rental housing stock and resident socio-economic population mix. C. There is a current and immediate threat to the public health, safety, and welfare because conversions of apartment units to vacation rentals could displace apartment residents and drive these residents out of Palm Springs, eroding the City's resident socio-economic population mix but also adversely impact City business that rely on residents in that mix as a valuable employee pool. D. The City Council specifically finds there is a reasonable relationship between the conversion of apartment units to vacation rentals and the diminution in the supply of housing that is affordable and thereby creating undue hardships for residents displaced by the conversion to vacation rentals and will otherwise adversely affect the availability and cost of housing throughout the City. E. The purpose of this ordinance is to (1) ensure a reasonable balance in the availability of rental and ownership housing in the City and to maintain opportunities for individual choice in the tenure, type, cost, and location of housing; (2) maintain an adequate supply of housing; and (3) avoid displacement of and undue hardship to residents of the City who may be required to move from the community due to a shortage of housing caused in part by conversions of apartment units to vacation rentals. Ordinance No. 1902 Page 2 F. This Ordinance supersedes and succeeds an interim moratorium ordinance that prohibited the conversion of apartments to vacation rental units and prevented the short term rental of apartments during the period of time the interim moratorium ordinance was in effect; however, any apartment unit included in a vacation rental certificate issued prior to April 15, 2016 was exempted from the interim moratorium. The Council finds that maintaining and continuing this exemption of apartment units subject to vacation rental certificates issued prior to April 15, 2016 until January 1 , 2019 will provide a reasonable amortization period to owners of such apartment units within which they may recoup the costs they reasonably invested in each such apartment unit for use as a vacation rental. THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, ORDAINS: SECTION 1. Section 5.25.020 of the Palm Springs Municipal Code is amended to read: 5.25.020 Findings. THE CITY COUNCIL FINDS AND DETERMINES AS FOLLOWS: (a) The use of single-family dwelling units for Vacation Rental lodging purposes provides alternate visitor serving lodging opportunities in the City; however, such uses in certain single-family neighborhoods may have effects that can best be addressed through an appropriate city regulatory program. (b) The establishment of a regulatory program for Vacation Rental lodging will 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. (c) Limiting Vacation Rental lodging to single-family dwelling units and prohibiting Vacation Rental lodging in apartments will preserve and protect residential housing stock in the City. (d) The purpose of this Chapter is to establish regulations for Vacation Rental lodging within single-family residential neighborhoods and the related use of residential property thereby enabling the City to preserve the public health, safety, and welfare. (e) 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. SECTION 2. Section 5.25.030 of the Palm Springs Municipal Code is amended to add the following definitions and amend the definition of"Vacation Rental:" Ordinance No. 1902 Page 3 "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. "Single-family dwelling" means a detached building designed primarily for the use of a single family and no portion which is to be rented out separately. "Vacation Rental" means a single-family dwelling, or any portion thereof, rented for occupancy for dwelling, lodging, or sleeping purposes for a period of twenty-eight 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. SECTION 3. Section 5.25.075 is added to the Palm Springs Municipal Code to read: 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 rental that is in violation of any provision of Chapter 5.25 of this Code. (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. (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 permit issued prior to April 15, 2016. Ordinance No. 1902 Page 4 SECTION 4. 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. SECTION 5. In the event any term or provision of this Ordinance is to any extent invalid or incapable of being enforced, such term or provision shall be excluded to the extent such invalidity, illegality, or unenforceability and all other terms and provisions shall remain in full force and effect. SECTION 6. 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 19th DAY OF OCTOBER, 2016. ROBERT MOON, MAYOR ATTEST: MES THOMPSON, CITY CLERK Ordinance No. 1902 Page 5 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. 1902 is a full, true and correct coTpy, and was introduced at a regular meeting of the Palm Springs City Council on the 5 " day of October, 2016, and adopted at a regular meeting of the City Council held on the 19T" day of October, 2016, by the following vote: AYES: Councilmember Foat, Councilmember Kors, Councilmember Roberts, and Mayor Moon. NOES: None. ABSENT: None. ABSTAIN: Mayor Pro Tern Mills. ES TH0MPSON, CITY CLERK City of Palm Springs, California