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SR-417-002-06 (2) F:\atty\muni\strpts\bar\valetord2.doc Council Meeting 3-6-01 Santa Monica, California To: Mayor and City Council From: City Staff Subject: Ordinance Establishing Permit Requirements, Operating Conditions and Enforcement Provisions for Valet Parking and Adopt a Resolution Establishing Filing Fees and Space Use Fees for Valet Parking Permits Introduction At its meeting on February 27, 2001, the City Council introduced for first reading an ordinance establishing permit requirements, operating conditions and enforcement provisions for valet parking operators that utilize the public right of way for loading, unloading or circulating vehicles. The ordinance is now presented to the Council for adoption. Recommendation It is recommended that the City Council adopt the attached ordinance. PREPARED BY: Marsha Jones Moutrie, City Attorney Barry Rosenbaum, Senior Land Use Attorney 1 f:\atty\muni\laws\barry\valetord2-1.doc City Council Meeting 3-6-01 Santa Monica, California ORDINANCE NUMBER ____ (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA ADDING CHAPTER 6.120 TO THE SANTA MONICA MUNICIPAL CODE ESTABLISHING PERMIT REQUIREMENTS, OPERATING CONDITIONS, AND ENFORCEMENT PROVISIONS FOR VALET PARKING WHEREAS, the City is very dense, particularly in the downtown area which has many restaurants, clubs, theaters, retail establishments, and other establishments which attract many visitors; and WHEREAS, parking and congestion are significant concerns for residents of and visitors to the City; and WHEREAS, the City does not presently have a local ordinance which regulates valet parking throughout the City; and WHEREAS, this lack of regulation has resulted in improper circulation patterns, storage of vehicles on City streets, loading and unloading of vehicles that interferes with auto and pedestrian circulation, and the disruption of adjacent residential neighborhoods; and WHEREAS, the purpose of the ordinance is to allow valet parking to be conducted in the City as a means to increase convenience of access to certain parking 2 spaces, while regulating aspects of this activity so as to limit its potential to create traffic congestion, unsafe circulation patterns or otherwise degrade the public health safety and welfare; and WHEREAS, the downtown portion of the City presents unique issues for valet operations due to the high parking demand and existing congestion; and WHEREAS, these unique conditions require the need for the coordinated management of valet operations pursuant to a franchise or other agreement entered into by the City with valet operators; and WHEREAS, regulations of valet operations in this manner in the downtown will reduce congestion and improve access both during the construction of the Transit Mall and following its completion, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION. 1. Chapter 6.120 is hereby added to the Santa Monica Municipal Code to read as follows: CHAPTER 6.120 VALET PARKING 6.120.010 Purpose. Public streets and rights-of-way protect individual freedom of travel and the unobstructed flow of commerce. The City of Santa Monica 3 recognizes that the use of public streets and rights-of-way for valet parking operations, while providing a public benefit to some by making parking more convenient, may also impede travel, interfere with the rights of many others using the streets and the rights-of-way, and may affect the public safety and create a public nuisance. The City may therefore permit and restrict valet parking operations as a special privilege, not as a matter of right. The approval of any permit for the use of the public right-of-way is on a temporary basis and is for a nonexclusive use of the public right- of-way. Permittees shall have neither property interest in nor any entitlement to the granting or continuation of any permit for the use of any public right-of-way. 6.120.020 Definitions. For purposes of this Chapter, the following words shall have the following meanings: (a) ?Valet parking" shall mean and include a business establishment engaged in, conducting or managing the parking of other persons? motor vehicles, whether such persons are employed by, or under contract to, the business, residence or other organization for which the vehicles are being parked or whether such persons are operating independently thereof. (b) "Public right-of-way" shall mean any area dedicated for public use as a public street, pedestrian way, or other 4 thoroughfare, including but not limited to, streets, roadways, parkways, alleys, sidewalks, and pedestrian ways. (c) ?Operator? shall mean any company engaged in the business of valet parking. (d) ?Permittee? shall mean any company permitted by the City of Santa Monica to operate, for profit, a valet parking service that would use the public right-of-way for pick-up, drop-off and/or movement of vehicles to be parked. 6.120.030 Permit Required. The City Council finds that valet parking requires specific regulation, in order to maintain the public health, safety and welfare. No person(s) shall engage in conduct or carry on the business of valet parking where movement of vehicles is on or over any public right of way or public property without a City-issued Valet Parking Permit. 6.120.040 Permit Application Requirements. Regular and temporary valet parking permits shall be issued as follows: (a) All regular permit applications shall be completed on a form designated by the Transportation Management Division, and signed by the applicant under penalty of perjury. All forms shall be filed with the 5 Transportation Management Division a minimum of thirty (30) days prior to the date requested for the issuance of the permit. Regular valet parking permits shall be issued annually. Renewal applications shall be filed a minimum of thirty (30) days prior to the expiration of any existing permit. Where applicant is a corporation, association, partnership, or other legal entity, ?applicant? shall mean each partner, officer, director, and each shareholder owning or controlling more than ten percent (10%) of such entity. All applicants for valet parking permits shall provide the following information with their applications: (1) The name and location of the businesses to be served (if applicable); (2) The hours of operation and the number of employees of the operator who will be assigned to carry out the activity for which the permit is sought; (3) Information as to the seating capacity or other capacity of the businesses to be served (if applicable); (4) A statement from the owners or managers of the businesses requesting the services of the operator (if applicable). (5) The location(s) where vehicles will be parked or stored for the businesses served (if applicable); (6) The name, location, and telephone number where a responsible person, employee, or agent of the operator will be available at all times during the hours of operation. 6 (7) Disclosure of all prior valet parking permits issued to applicant by the City of Santa Monica. (8) The routes to be used between the passenger loading zone or other vehicle pickup point and the parking or storage location; (9) A statement from the operator(s) of any parking facility(s) designated as the parking or storage location(s) as to that facility's ability to accept the cars, the number of spaces to be reserved for the permittee?s operations, the total number of spaces in such parking facility(s), and estimates of the percent usage of the facility(s) prior to, and subsequent to the proposed activity for which the permit is sought. In cases where the parking facility(s) is part of a building or premises devoted to other uses which require off-street parking, the statement shall also include information as to the number of parking spaces which were required by law to be provided in the parking facility(s) to serve such other uses when said uses were established; (10) A copy of the written contract or covenant between the applicant and the operator of the parking facility(s) designated as the parking or storage location(s), which contract or covenant shall contain a provision that it cannot be canceled without at least sixty days notice to the other party and to the City; (11) The location of any proposed signs for the valet service and any proposed attendant stands; 7 (12) A Police Permit from the City of Santa Monica Police Department as required by Santa Monica Municipal Code Section 6.14.060; (13) Proof that the applicant has insurance in force satisfying the requirements of Section 6.120.090 acceptable to City of Santa Monica Risk Manager; (14) Payment of a nonrefundable permit fee and space use fee in an amount to be set by resolution adopted by the City Council. (b) Temporary valet parking permits. In a circumstance involving a non-recurring special event or a special need of an applicant to commence operations prior to the time an application can be processed for regular permit issuance, a temporary parking permit for a period of operation not exceeding seven calendar days may be issued by the Director of Planning and Community Development upon the submittal of an application, accompanied by the applicablefees, the certificate of insurance required by this Chapter, and such other information as the Director determines is necessary to assess the requested application. 6.120.50. Term of License. 8 (a) Every regular valet permit shall expire at midnight on the th April 30 next succeeding its issuance unless otherwise specified on the permit. (b) Every temporary valet permit shall expire at midnight on the last day authorized by the permit. 6.120.060 Operating Requirements. (a) The permittee shall at no time, unless expressly authorized by the permit, commit or do any of the following acts: (1) Receive, take possession of (for the purpose of parking or temporary storage until the return of the same to the patron or guest), or move a patron's or guest's vehicle upon any portion of the public right of way or other public property; or (2) Park and leave standing any patron's or guest's vehicle upon any portion of a public right-of-way or other public property (including any publicly owned off-street parking space). (b) No operator shall park any patron's or guest's vehicle upon private property without express authorization by the owner or other person in charge of such private property. (c) No operator shall fail to provide adequate staffing to park vehicles so that traffic is not impeded by the activities of the permit. No vehicle queuing is allowed on the public right-of-way at any time. No vehicle may stop or stand at a drop-off or loading area for longer then 15 minutes. 9 (d) Pedestrian walkways must not be blocked at any time during valet operations and must provide a minimum pedestrian passing clearance of (5) five feet. (e) No operator shall fail to give a claim check to the owner upon receipt of each motor vehicle accepted for valet parking. The claim check shall explicitly state the terms and conditions under which the vehicle is being accepted. (f) Except where a patron or guest parks his or her own vehicle, the attendant parking a vehicle shall lock the ignition and the vehicle, remove the key and place the key in a safe place. The attendant shall not place the key in or upon the vehicle parked. (g) A copy of the operator?s permit complete with route diagram must be maintained at every valet parking operation site. (h) Each permittee shall install and maintain, at each location at which a patron or guest surrenders his or her vehicle for parking, a yellow reflective sign with blue letters and numerals plainly visible from the street, displaying ?Public Valet Parking?, the permittee's name, the address and telephone number of the business, the time when the permittee is no longer on duty, and the parking fees, if any. If fees are charged, such fees also shall be stated as follows: (1) Rates per hour; (2) Rates per fraction of an hour, if any; 10 (3) Rates for subsequent hours or fractions thereof; and (4) The maximum charge. All fractions of time must be spelled out in letters. Valet signs must not be less than 24? x 36? in size. The ?Valet Parking? and the maximum rate portion of the sign must have a minimum lettering/numeral size of 3? per character. (i) Valet zones shall be a minimum of one parking space in length not to exceed 40 feet. Except as provided in Section 6.120.150, for the Downtown District, valet zones shall be a minimum of two parking spaces not to exceed 50 feet in length. (j) At each closing time, the operator shall lock or cause to be locked each vehicle, except those locked by the person bringing the vehicle to the valet parking service, if a key is available, and shall deposit or cause to be deposited such key with a responsible person at a safe and convenient place, to be delivered to the person who parked the vehicle upon surrender of the parking ticket if one was given to such person, or otherwise upon proof that such person has the right to possess the vehicle. (k) The permittee, or his or her agents and employees, shall notify the Santa Monica Police Department whenever a vehicle has been left in his or her custody for a period in excess of forty- 11 eight hours without a prior contractual arrangement for such period of time in order to determine whether the vehicle is stolen or abandoned. (l) The permittee and all employees of the permittee who drive patrons' or guests' vehicles or who handle keys belonging to patrons or guests shall each have an appropriate current and valid California driver's permit. 6.120.070 Penalties. (a) For failure to pay a permit fee when due, the Transportation Planning Manager may revoke the permit or add a penalty of 10% of the original permit processing fee on the last day of each month after the due date, provided that the total penalty does not exceed 50 percent of the original fee. (b) Any person who operates a valet parking service prior to obtaining a permit shall pay a penalty of double the permit processing fee. The payment of the penalty shall not relieve such person from the obligations imposed by this Chapter, or from the penalties otherwise prescribed herein. (c) Any person violating this Chapter or any condition of a permit issued pursuant to this Chapter shall be guilty of a misdemeanor and may be subject to revocation of any permit issued as set forth Section 6.120.080 below. 12 6.120.080Grounds for Revocation, Suspension or Denial. (a) A permit may be revoked or denied by the Transportation Planning Manager if: (1) The permittee, or his or her agents or employees, through carelessness, negligence or failure to make proper provision for the safeguarding of vehicles left in their custody, has facilitated or contributed toward the theft or conversion of any such vehicle; or (2) The permittee, or his or her agents or employees, has failed to cooperate with the Santa Monica Police Department in the investigation of any theft or other crime committed on a parking lot used or which arose out of the conduct of the business for which the permit was issued; or (3) The permittee, or his or her agents or employees, knowingly delivered a vehicle in their custody to a person who is neither the registered owner thereof nor entitled to the custody of such vehicle. (4) The permittee does not have a valid Police Permit from the City of Santa Monica. (5) The permittee has made a material misrepresentation in his/her application. 13 (6) The business or valet operation prescribed by the permittee has substantially impacted traffic or disrupted the peace and quiet within any area of the City. (7) The valet parking operation at the specified locations is found to be incompatible with other uses in the vicinity. (8) The permittee has violated any condition of a previous or existing permit within the City of Santa Monica during the past five years. (9) The proposed valet operation fails to comply with other criteria designated under this Section for the issuance of a permit or any other rules or regulations governing valet parking. (10) The building, structure, premises or equipment used by the permittee to conduct business fails to comply with all applicable health, zoning, fire, building and safety laws of the State of California or the City of Santa Monica. (11) The Transportation Planning Manager shall notify an applicant/permittee in writing when a permit is denied or revoked. In any such case, the applicant/permittee shall have the right to appeal from this decision in accordance with Chapter 6.16 of this Code. 14 6.120.090 Insurance Requirements. (a) Prior to the issuance of a permit under this Chapter by the Transportation Planning Manager, the applicant shall maintain a business auto liability policy, to include garagekeeper?s legal liability, with a limit of not less than $100,000 for each accident. (b) The City of Santa Monica shall be covered as an additional insured under the business auto liability policy of the permittee. (c) Insurance must be placed with insurers admitted in the State of California or have a current A.M. Best rating of no less than A:6. (d) Any deductibles must be declared and approved by the City of Santa Monica. Self-insurance is not approved in lieu of a policy of insurance. (e) The insurance policy shall be endorsed to state that coverage shall not be cancelled except after thirty (30) days prior written notice by certified mail has been given to the City. (f) Prior to the issuance of a permit under this Chapter, and at all times while the permit is in effect, the applicant shall maintain on file with the City proof of the insurance required 15 herein and provide the City a copy of applicable insurance policies. (g) If the insurance policies issued to the permit holder pursuant to this Chapter are cancelled for any reason, the permit issued under this Chapter is automatically suspended. In order to reinstate the permit, the permit holder shall provide a new certificate and policy of insurance to the City. (h) The permittee shall maintain in force and effect at all times while the permit is in effect Workers' Compensation insurance as required by law. 6.120.100 Indemnification. The permittee, and any person acting under or pursuant to an operator?s permit, agrees to indemnify, hold harmless, release and defend (even if the allegations are false, fraudulent or groundless), to the maximum extent permitted by law, and covenants not to sue, the City, its Council and each member thereof, and its officers, employees, board and commission members and representatives, from any and all liability, loss, suits, claims, damages, costs, judgments, and expenses (including attorney?s fees and costs of litigation) which in whole or in part result from, or arise out of: (1) any use or 16 performance under the permit; (2) the activities and operations of the permittee and his or her employees, subcontractors or agents; (3) any condition of property used in the operation; or (4) any acts, errors or omissions (including, without limitation, professional negligence) of the permittee and his or her employees, subcontractors or agents in connection with the valet parking operation. 6.120.110 Regulations. (a) The Director of Planning and Community Development may from time to time issue written regulations for distribution to applicants and permittees regarding the implementation of the provisions of this Chapter, including, but not limited to, the safe and lawful conduct of all valet operations, permit application procedures and permit standards. (b) Such regulations shall be binding upon applicants and permittees, who shall comply with such written regulations as a term and condition of the permit. 6.120.120 Authorized valet parking zones. A valet parking operation may be conducted only at a location and during hours approved by the director and designated by official valet parking signs stating the authorized location and hours of operation. Permits shall designate the specific location for which a valet parking 17 operation is approved. Valet parking operations are permitted as a special privilege and not as a matter of right and are considered temporary, nonpermanent and for a nonexclusive use of the specific location. Where multiple valet parking operation locations on any particular street are found by the Director of Planning and Community Development to unreasonably and regularly interfere with the use of available street parking, the Director may issue a permit that designates the same location for a second or more valet parking operations. 6.120.130 Conformance with applicable laws. (a) Nothing in this Chapter is intended to authorize or authorizes the parking of motor vehicles by valet parking operators and sponsors in a manner contrary to, and all permittees shall comply with, applicable state laws and local parking and traffic regulations, including the Santa Monica Municipal Code. (b) If a parking meter is present at the location reserved for valet parking, the permittee need not use the parking meter but may, during the hours of authorized valet parking operations at that location, cover the parking meter in a manner approved by the Director of Planning and Community Development. Parking meter covers will be issued by the Director. 18 (c) A parking meter cover fee may be charged, which fees shall be set from time to time by resolution of the City Council. 6.120.140 Conditions imposed on permit. (a) Conditions reasonably necessary to protect the peace and tranquility of any residential area, mitigate traffic impacts, protect other uses in the area, or protect the public health, welfare and safety may be imposed on permits and may be modified subject to the permit holder?s right to notice and the opportunity to be heard. (b) Any person issued a permit pursuant to this Chapter shall comply with all conditions that are imposed as part of the permit pursuant to subsection (a) of this Section. 6.120.150 Requirement for downtown valets . Notwithstanding any provision of this Chapter to the contrary, no valet parking shall be allowed to operate within the following boundaries without first having entered into an agreement with the City: Ocean th Avenue, 5 Street, Colorado Avenue, and Wilshire Boulevard. The rules and regulations governing the operation of such valets shall be established exclusively by such agreement and shall not be otherwise governed by this Chapter. 19 SECTION 2. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. SECTION 3. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision 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 and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional. SECTION 4. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall become effective 30 days from its adoption. APPROVED AS TO FORM: _________________________ MARSHA JONES MOUTRIE City Attorney 20