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O2120 F:\ATTY\MUNI\LAWS\BARRY\Shrttrm Hsing2d-1.doc City Council Meeting 3-23-04 Santa Monica, California ORDINANCE NUMBER 2120 - (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA ADDING SANTA MONICA MUNICIPAL CODE SECTION 9.04.02.030.778 TO ESTABLISH A DEFINITION OF SHORT-TERM RENTAL HOUSING AND PROHIBITING THIS FORM OF HOUSING THROUGHOUT THE CITY WHEREAS, the proliferation of short-term rental housing can have a significant, detrimental impact on the quality of life in the community; and WHEREAS, short-term rental housing, also known as corporate housing, provides temporary accommodations in fully furnished apartments complete with furniture, appliances, housewares, and other furnishings; and WHEREAS, short-term rental housing projects typically afford an array of conveniences and services such as maid and linen service, laundry and dry cleaning service, on-site conference or meeting rooms, business centers, and Internet access. Most short-term housing facilities also offer a full health club, spa, large pool and tennis court. Projects that do not offer these facilities on-site, often offer membership to area facilities; and 1 WHEREAS, the typical occupants of these facilities include: relocating executives requiring temporary accommodations until a permanent residence is established, corporate recruits, attorneys trying cases, and relocating families. This housing is also utilized by vacationers. The occupants of these units do not intend to make these units their permanent place of residence, but view these premises as interim abodes; and WHEREAS, one of Santa Monica's primary housing goals is to preserve the quality and character of its existing single and multi-family residential neighborhoods. Santa Monica's prosperity has always been fueled by the area's many attractive features including its cohesive and active residential neighborhoods and the diverse population which resides therein. In order to continue to flourish, the City must preserve its character and charm which result, in part, from cultural, ethnic, and economic diversity of its resident population; and WHEREAS, the City must also preserve its unique sense of community which derives, in large part, from residents' active participation in civic affairs, including local government, cultural events, and educational endeavors. Occupants of short-term rental housing do not and cannot have the same involvement and ties to the community and to the neighborhoods in which they reside as occupants who treat the City and their neighborhoods as their home. Short-term occupants are less likely to become active in civic, neighborhood, and community affairs and events; and WHEREAS, the City has adopted numerous regulatory measures intended to promote the development of multi-family housing and ensures that this development is occupied by individuals as their principle residence. The City never envisioned that these measures would facilitate the development of short-term rental housing; and 2 WHEREAS, Section 9.04.02.030 does not presently define short-term rental housing; and WHEREAS, the proliferation of short-term housing in the City is a relatively recent phenomenon; and WHEREAS, in light of these concerns, the City Council adopted Ordinance Number 2011 (CCS) on May 22,2001 establishing a moratorium on the development of short-term rental housing and the conversion of existing multi-family development to this form of housing to provide the City time to adequately assess the full impacts of this form of housing and its appropriate scope and location within the City; and WHEREAS, the City Council extended Ordinance Number 2011 (CCS) on June 19, 2001 and on March 25, 2003; and WHEREAS, Sections 9.04.02.030.778 will be added to the Santa Monica Municipal Code to establish a definition of short-term rental housing, but this form of housing will be . prohibited throughout the City; and WHEREAS, the Planning Commission considered the proposed text amendment on February 4, 2004, but was unable to reach a consensus for a recommendation to the City Council regarding the text amendment, resulting in a technical denial of the proposed amendment; and WHEREAS, this technical denial was appealed to the City Council; and WHEREAS, the City Council held a public hearing on the proposed text amendment on March 9, 2004; and WHEREAS, the proposed text amendment is consistent in principle with the goals, objectives, policies, land uses, and programs specified in the adopted General Plan, 3 specifically, Land Use Element Objective 1.1 which states that the City's land use policies should seek to "protect the quality of life in all residential neighborhoods" in that the proposed amendment would prohibit short-term rental housing, thereby protecting the residential character and quality of life in residential neighborhoods by prohibiting a commercial oriented use; and WHEREAS, for the reasons detailed above, the City Council finds and declares that the public health, safety, and general welfare require the adoption of the proposed text amendment in that the goals, objectives and policies of the City's adopted General Plan are achieved as the amendment would prohibit this commercial oriented land use, thereby maintaining the low intensity character of established residential neighborhoods, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 9.04.02.030.778 is hereby added to the Santa Monica Municipal Code to read as follows: 9.04.02.030.778 Short-Term Rental Housing. Rental housinq which has the followinq attributes: 1. The housinq is desioned for use by individuals who will reside on the property for a minimum stay of at least 30 consecutive days. but who otherwise intend their occupancy to be temporarY. 2. The housinq is intended for use by persons who will maintain or obtain a permanent place of residence elsewhere. 4 3. The housinq includes some or all of the followinq amenities: (a) Maid and linen service (b) Health club. spa. pool. tennis courts. or memberships to area facilities (c) Business service centers (d) Meetinq rooms (e) Fully furnished units includinq a combination of some but not necessarily all of the followinq: furniture. appliances. housewares. bed linens. towels. artwork. television sets. stereos. VCRs. CD players. fax machines. and Internet access. (f) Valet parkinq SECTION 2. 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 any competent jurisdiction, such decision shall not affect the validity of the remaining portions of the ordinance. The City Council hereby declares that it would have passed this ordinance, and each and every 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 3. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such 5 inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. 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: 6 Approved and adopted this 23rd day of March, 2004. ~~ . ard Bloom, Mayor State of California ) County of Los Angeles) ss. City of Santa Monica ) I, Maria M. Stewart, City Clerk of the City of Santa Monica, do hereby certify that the foregoing Ordinance No. 2120 (CCS) had its introduction on March 9,2004, and was adopted at the Santa Monica City Council meeting held on March 23, 2004, by the following vote: Ayes: Council members: Mayor Bloom, Mayor Pro Tem McKeown, Feinstein, O'Connor Noes: Council members: None Abstain: Council members: None Absent: Council members: Holbrook, Katz, Genser ATTEST: 7