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Desk Items 11-27-2018i Desk Item Public Hearing Agenda Item. #2 Section 19.120.040 (G) Records of compliance: The host shall retain records documenting the compliance with this section for a period of three (3) years after each period of short-term rental, including, but not limited to, records indicating the history of short term rental reservations from the hosting platform and payment of transient occupancy taxes by a hosting platform on behalf of a host. Upon reasonable notice, the host shall provide any such documentation upon request. r Beth Ebben From: Rhoda Fry <fryhouse@earthlink.net> Sent: Friday, November 23, 2018 6:39. PM To: City of Cupertino Planning Dept.; Geoff Paulsen; Alan Takahashi; David Fung; Jerry Liu; Don Sun Cc: City Clerk Subject: November 27 Planning Commission Comments regarding Short Term Rentals Attachments: Ordinance No. 2018-441.pdf, Short Term Rental Flyer (PDF).pdf Dear Cupertino Planning Commission, I am very concerned about allowing short term rentals in Cupertino given the lack of affordable housing. I have brought this up a City Council in the past,, however did not have the opportunity to participate in other forums regarding this issue. First, the staff report that you have received is presently incomplete as it does not list municipalities that ban short term rentals. As per attached and below, the following local cities ban short term rentals: - Los Altos (attached) - Saratoga (attached) - Los Gato's (only hotels are for short term rentals, this might change pending council action, see report link below) - Campbell (see Los Gatos report link below) - Milpitas (see Los Gatos report link below) - Palo It (see Los Gatos report link below) https://Iegistarweb- In addition., Pacific Grove will likely curb short term rentals: hi -f -M - //I A I% A n A I irvF% /I A tin nLr I%., t­nryi /n MIA IC It-nx Ion rli-ho -fit- 'ation-rental8-spills-into-the/article 128188f2 -c767 -11e8 -90e0-,_ If the City of Cupertino is going to be serious about affordable housing, then there needs to be a ban or cap- on short term rentals. For example, in my own neighborhood, an accessory dwelling unit had been used for a recent college grad and at another time an electrician. Now this unit is dedicated for short term rentals. This is not solving the housing -affordability issue. And it reduces the community -feeling of our neighborhood. The City is encouraging more ADUs (accessory dwelling units) to solve the housing affordability problem but allowing short term rentals won't solve the problem if ADUs are used for more lucrative short term rentals. Please consider the following: A) Hotels are designed to accommodate short term rentals and The City of Cupertino should not take away from their intended use. B) I respectfully request that short term rentals in homes be limited in such a way as to encourage longer term rentals. Q In addition, because smoking creates a public health and public safety problem and most homes are not as well equipped in dealing with fires as hotels, ,smoking should be prohibited in short term rentals in homes. Respectfully, Rhoda Fry a Virus -free. www.avg.com Total Conti -of Pane.1 Login To: planning@cupertino.org Message Score: 1 High (60): Vass From: fiyhouse@earthlink.net My Spam Blocking Level: Custom Medium (75): Pass Block this sender Block earthlink.net This message was delivered because the content filter score did not exceed your filter level. 2 Low (90): Pass Custom (45):.Pass ORDINANCE NO. 2018-4411 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LOS ALTOS AMENDING CHAPTER 11.20, VIOLATIONS, OF ']CJ<TLL 1, GENERAL PROVISIONS, BY ADDING PROHIBITIONS ON ADVERTISING RISING ILLEGAL AC'7C>«T>CTYY OR USES, AND ADDING CHAPTER 114.30, SHORT TERM RENTAL PR0]Ell]<B]<TION, TO TITLE 14, ZONING, OF ']E']HI]E LOS ALTOS MUNICIPAL CODE WHEREAS, the City of Los Altos has a unique arrangement of land uses that require regulations and standards that preserve the character of the community and provide for compatibility of adjacent uses; and WHEREAS, under the City's police power, the City may enact comprehensive land -use and zoning regulations to promote community values, beauty, health, safety, and welfare; and WHEREAS, the City may establish residential districts for the quiet enjoyment of its residents, and it may restrict discordant uses that would ultimately destroy the character and benefits of those districts, and it has. done so for exactly those reasons; and WHEREAS, the City has alegitimate interest in fostering and preserving the long-term residential character of its residential neighborhoods; and WHEREAS, the. City's municipal code states that "R]and uses that are not provided for herein as permitted uses, conditional uses, or limited conditional uses, are prohibited" (LAMC 14.02.050); and WHEREAS, aside from permitted home occupations, commercial uses are not expressly permitted in the City's residential districts, so they are prohibited; and WHEREAS, transitory lodgings, whether in the form of short-term rentals or hotels, are a commercial use of residential property, and they are not expressly permitted by the City's zoning ordinance in any residential district, so they are currently prohibited in accordance with LAMC section 14.02.050; and WHEREAS, the City's zoning ordinance already defines "hotel" to ' include any "structure in which there are three or more guest rooms or suites, where lodging ... is provided for compensation"; and WHEREAS, EAS, the City's definition of "hotel" applies to, among other things, any boardinghouse - type use of residential property where three or more rooms are rented separately from the rest of the house; and WHEREAS, the municipal code does not currently expressly define short-term rentals; and WH E°R EAS, with the rising popularity of online advertising, promoting, and facilitating of both short-term rentals and longer-term boardinghouses, City staff is increasingly asked about the permissibility and regulation of these transitory -lodging uses; and Ordinance No. 2018-441 Page 1 WHEREAS, to help the public, as well as City staff, to more clearly understand the City's existing restrictions on transitory -lodging uses, the City desires. to make the current prohibition -by - omission express; and WHEREAS, this prohibition helps maintain adequate housing stock for permanent residents while ensuring that short -term -rental and other transitory -lodging activities do not become a nuisance or threaten the public health, safety, or welfare due to excessive noise, disorderly conduct, overcrowding, traffic congestion,. illegal parking, the accumulation of refuse, and other effects related to transitory lodgings; and WHEREAS, staff has thus prepared an ordinance that makes the current prohibition of short- term rentals express in an effort to better preserve the unique character and mix of land uses in the City; and WHEREAS, the purpose of these transitory -lodging regulations is to help maintain the long-term residential character of our. neighborhoods that comprise most of the City; and WHEREAS, State CEQA Guidelines sections 15378(b)(2) and 15378(b)(5) provide that ongoing administrative activities and organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a "project" as defined by the State CEQA Guidelines (Cal. Code Regs., tit. 14, � 15000 et seq.) and therefore are exempt from CEQA and no further environmental review is required. NOW THEREFORE, the City Council of the City of Los Altos does hereby ordain as follows: SECTION 1. FINDINGS. After considering the record before it, including but not limited to the agenda report, presentation of staff, public comment, and discussion, the City Council hereby finds that adoption of this Ordinance will help protect and promote public health, safety; comfort; convenience, prosperity, and welfare by clarifying the City's existing regulations. SECTION 2. AMENDMENT OF CODE. The following Section, is hereby added to Chapter 1.20, Violations, of Title 1, General Provisions, of the Los Altos Municipal Code. 1.20.060 Adyer icing an illllegall activity or nese. - It is a violation of this code for a responsible party to advertise any activity or use- that violates this code or state or federal law or regulation and that is advertised to take place within ,the City. For purposes of this provision a responsible party includes a property owner, business owner operator, manager, lessor,, lessee and any other person that conducts or offers to conduct the illegal activity or use,• but it does not include a person who publishes the advertisement, such as a newspaper or online booking service. SECTION 3. AMENDMENT OF CODE. The following, Chapter 14.30, Short-term Rental Prohibition; is hereby added to Title 14, Zoning, of the Los Altos Municipal Code. Ordinance No. 2018-441 Page 2 Chapter 14.30 SHORT-TERM RENTAL PROHIBITION 14,30;0I0,Purpose and intent. The :p=ose of this chapter is to establish regulations governing the short-term rental of of these regulations will help maintain adequate housing stock for permanent residents while ensuring that short -term -rental activities do not become a nuisance or threaten the public health, safety, or welfare due to excessive noise disorderly conduct overcrowding, traffic congestion, illegal parking the accumulation of refuse and other effects related to short-term rentals. 1.4.30,020 Definitions. For purposes of this chQter, the following definitions apply "Short term rental" means,a use that provides lodging in a dwelling unit, for compensation, for a period of fewer than thirty consecutive calendar days. "Short-term rental" does not include transient lodging in city -approved hotels and motels. 114.30.030 Short-term rentals prohibited. A short-term rental is a prohibited use in every zoning district in the city. SECTION 4> SEVERABILITY. If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision or decisions shall not affect the validity of the remaining portions of this ordinance. The City Council hereby declares that it would have passed this ordinance, and each section, subsection, sentence, clause and phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid. SECTION 5, COMPLIANCE WITH '7C']HIE CALIFORNIA ENVIRONMENTAL QUALITY ACT. Based on all the ,evidence presented in the administrative record; including but not limited to the staff report for the proposed ordinance, the City Council hereby. finds ,and determines that the proposed ordinance is not "project" for purposes of CEQA and is exempt from further CEQA review under State CEQA Guidelines sections 15378(b)(2) and 15378(b)(5). Specifically, this ordinance clarifies already existing Municipal Code provisions, will allow the City to better enforce existing prohibitions, and will not allow any new or different land uses than are already permitted in the City's Zoning Code. Therefore, this Zoning Amendment constitutes ongoing administrative activities and will not result in any direct or indirect .physical changes in the environment. No further environmental review is necessary at this time. SECTION 6. CUSTODIAN OF RECORDS. The documents and materials associated with this Ordinance that constitute the record of proceedings on which the City Council'.s findings, and determinations are based are located at Los Altos City Hall, One North San Antonio Road, Los Altos, California. The City Clerk is the custodian of the record of proceedings. SECTION 7. NOTICE OF EXEMPTION. The City Council hereby directs City staff to prepare and file a Notice of Exemption with the County, County Clerk within five working days of the adoption of this ordinance. Ordinance No. 2018-441 Page 3 SECTION 8e PUBLICATION. This ordinance shall be published as provided in Government Code section 36933. SECTION 9. EFFECTIVE DATE. This ordinance shall be effective ' upon the commencement of the thirty-first day following the adoption date. The foregoing ordinance was duly and properly introduced at a regular meeting of the City Council of the City of Los Altos held on , 2018 and was thereafter, at a regular meeting held on , 2018 passed and adopted by the following vote: AYES: BRUINS, LEE ENG, MORDO, PEPPER, PROCHNOW NOES: NONE ABSENT: NONE ABSTAIN: NONE Jean Mordo, MAYOR Attest: Jon Maginot, CMC; CITY CLERK STATE OF CALIFORNIA ) COUNTY OF SANTA CLARA ) CERTIFIED COPY OF ORDINANCE CITY OF LOS ALTOS ) SECOND READING/ADOPTION I, Jon Maginot, City Clerk for the City of Los Altos in said County of Santa Clara, and State of California, do hereby certify that the attached is a true and correct copy of Ordinance No. 2018-441, adopted by the Los Altos City Council on May 22, 2018 by the following vote: AYES: BRUINS, LEE ENG, MORDO, PEPPER, PROCHNOW NOES: NONE ABSTAIN: NONE ABSENT: NONE I hereby further certify that a,suminary of the ordinance was published in accordance with Government Code Section 36933 on the following dates: ; 2018 and 2018. Said ordinance shall be effective Dated this day of Ordinance No. 2018-441 2018. Jon.Maginot, CMC City Clerk Page 4 Renting a private home in lieu of a hotel during a vacation or business trip has risen in popularity. Among other resources, online booking sites facilitate short term hotel type rentals between homeowners who can earn some extra income and travelers looking for an affordable and convenient place to stay. However, like many other cities, the City of Saratoga's Municipal Code prohibits rental of a single-family home or room(s) within the home for a period of 30 consecutive calendar days or less. The rules are put in place to avoid increased traffic, noise, and the high turnover of short-term renters on quiet streets where residents value stability and privacy. For more information about the city's laws defining hotel type rentals: See City Code Section 15-06.360 and Section 5-25.020(f) You can also give us a call at 408-868-1222 or email us at planningksarato a ca.us .'OM l'Lr'I'l'S Complaints are investigated on a case-by-case basis. Anonymous complaints will not be accepted. If you would like to file a formal complaint, contact: Code Enforcement: 408.868.1214 STR Survey Open Responses for Parking and Summary of STR Monthly Income 3. Please add additional thoughts on short -tern rental parking: 1. It would be. good for the home to provide parking on a driveway, but not a requirement inmost neighborhoods. 2. I live on and vehicles are filling our street from: 1) This decaying home has over the. limit numbers of temporary room rentals currently being occupied. People coming and going a lot. I do not believe that the owner is living on the property. THE PROPERTY IS NOT BEING MAINTAINED. The house is a degradation to me and my husband alongside our neighbors who care for their property. WHAT ARE THE POLICIES FOR CUPERTINO CARING FOR HOMES/YARDS NOT BEING MAINTAINED? It is continues to get worse. Please have Code Enforcement deal with these owners to maintain their property. 2. Road residents parking their cars on due to no street parking on 3. Our experience has been that a person prefers parking directly in front of our. house when the property she rents from is across the street and there is room at that location to park. This person parked in front of our house for several day while she was away. It was a real nuisance. 4. I would support multiple selections here but the tool does not allow that. I would also limit the number of on -street parking to two guest vehicles 5. We've done several BnBs, especially in Sacramento, and I'm ok with trying to find a parking place as the property owners have been helpful in explaining how their parking zones and regulations work. 6. Parking is already difficult to find in some neighborhoods for residents, adding street parking for these rentals would just exacerbate the problem. 7. Prefer that on-site parking be provided for short term rentals. Limit of 1 vehicle per rental. 8. If you restrict parking to only on-site parking, this will severely limit the availability, of short-term rentals - especially ADU's. 9. No on street parking. 10. Short-term rental should NEVER be allowed in multi -dwelling complexes, such as condos, townhouses or apartments, where parking is already a serious issue. 11. On street parking is a shared resource, while some use is reasonable need to be careful when individual owners are able to derive a direct monetary benefit from use of that shared resource. 12. A short-term renter with a car is like my sister's family from the Midwest visiting me for 3 week with her rental car. So wouldn't any such parking rules be untenable? STR Survey Open Responses for Parking and Summary of STR Monthly Income date of the tennancy and on the start date of tennancy if a rental vehicle is to be used. 27. Short-term rental owners must report income/rate publicly. Business license and permit should be required as it is a business. 28. Nb street parking would be preferable, but limits on number of cars would work if limited to one vehicle per rental property. Need to restrict RCTs & trailers/boats etc also. 29. Unless the facility has been designated as short-term rental (e.g. hotels, motels), I don't believe that such thing as "short-term rental parking is something that the city should be concerned about nor consider as part of Cupertino's parking regulations. All parking spots in residential areas should be designated for property owners or long-term renters (e.g. 1 year or more). 12. If you operate a short-term rental, how much income do you earn monthly from it? *A summary of responses is provided below as the survey question noted that individual responses would not be visible to the public. ® Two respondents indicated they earned between $1,000 and $2,000 monthly from operating an STR and one respondent indicated they earned between $2,000 and $3,000 monthly. The remaining respondents either preferred not to state or are not STR operators.