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HomeMy WebLinkAboutPlanning Commission Resolution 2014-40 11/18/2014RESOLUTION NO. 2014-40 CITY OF PETALUMA PLANNING COMMISSION RESOLUTION OF THE CITY OF PETALUMA PLANNING COMMISSION RECOMMENDING THE CITY COUNCIL AMEND THE TEXT OF THE IMPLEMENTING ZONING ORDINANCE AND SMARTCODE TO ALLOW SHORT-TERM VACATION RENTALS IN RESIDENTIAL AND MIXED USE ZONES, INCLUDING IZO SECTIONS 4.030, 7.110, AND 27.020.A, AND SMARTCODE SECTIONS 3.1 AND 9.10.010 WHEREAS, Section 25.010 of the City of Petaluma Implementing Zoning Ordinance (IZO) provides in pertinent part that no amendment that regulates matters listed in Government Code Section 65850 shall be made to the IZO or Smart Code unless the Planning Commission and City Council find the amendment to be in conformity with the General Plan; and WHEREAS, on November 15, 2010 the Petaluma City Council accepted the Petaluma Economic Development Strategy which identifies expanding tourism as a long term strategy for developing Petaluma's economy; and WHEREAS, on March 4, 2013, the City Council adopted its two-year goals which directed staff to look at and make recommendations about the possibility of allowing and regulating short term vacation rentals; and WHEREAS, on September 23, 2013, the City Council directed staff to develop a program to regulate short term vacation rentals and to charge transient occupancy taxes for such uses; and WHEREAS, staff has proposed a series of provisions amending the IZO and Petaluma Smart Code (collectively, "the amendments"), in order to allow short term vacation rentals in Petaluma, and expand tourism locally; and WHEREAS, on October 9, 2014, public notice of the October 14, 2014 Planning Commission meeting to consider the amendments was published in a 1/8 page ad in the Argus - Courier and sent to all members of the public on the interested parties list for this item; and WHEREAS, on October 14, 2014, the Planning Commission held a duly noticed public hearing in accordance with the IZO, Section 25.0 to consider the amendments; and WHEREAS, on October 14, 2014, the Planning Commission continued the hearing to November 18, 2014 and directed staff to amend the proposed resolution; and WHEREAS, on November 18, 2014 the Planning Commission held a duly noticed public hearing in accordance with IZO Section 25.050, to consider the revised amendments. Planning Commission Resolution No. 2014-40 Page 1 NOW, THEREFORE, BE IT RESOLVED by the Planning Commission the following: Section 1. The Planning Commission hereby makes the following findings: a. The proposed text amendments to allow short term vacation rentals in Petaluma are consistent with General Plan discussion in Sections 9.1, 9.2, 9.3 and Policy 9-P-18 because vacation rentals are expected to expand tourism opportunities throughout the City, support the vibrancy of the downtown by attracting new clientele, and by expanding opportunities to collect transient occupancy tax revenues, thereby contributing to the City of Petaluma's economic base, yielding net fiscal benefits and strengthening the vitality and diversity of the community. b. The proposed text amendments would allow vacation rentals based on an established permit process, limit non -hosted vacation rentals and provide adequate enforcement provisions to ensure minimal impacts to surrounding residential neighborhoods and uphold the general welfare of Petaluma residents, which furthers General Plan Guiding Principle 1 and Goal 11-G-5. c. The proposed amendments to the City's Implementing Zoning Code Sections 4.030, 7.110, and 27.020 and SmartCode Sections 3.1 and 9.10.0 10 contained in this resolution are in general conformity with the Petaluma General Plan 2025 and Central Petaluma Specific Plan. Section 2. The Planning Commission hereby recommends the proposed amendments to Allow Short Term Vacation Rentals in Residential and Mixed Use Zones and Planned Unit Developments by Amending the Text of the Implementing Zoning Ordinance Sections 4.030,7.110 and 27.020 and SmartCode section 3.1 and 9.10.010, as set forth below. Amendments to Implementing Zoning Ordinance. The Implementing Zoning Ordinance of the City of Petaluma, Ordinance no. 2300 N.C.S., ("IZO") is hereby amended as follows: a. Table of Contents. The Table of Contents of the IZO is hereby amended to add "Section 7.110, Short Term Vacation Rentals" to the Table of Contents, Chapter 7, Standards for Specific Land Uses. b. Tables 4.1 and 4.2 in Section 4.030. Tables 4.1 and 4.2 in Section 4.030, "Allowable Land Uses and Permit Requirements," in Chapter 4, "Zone Districts and Allowable Land Uses," are hereby amended to read as follows: Planning Commission Resolulion No. 2014-40 Page 2 Residential Zones LODGING Mixed Use Zones c. New Section 7.110. Section 7.110 entitled "Short -Term Vacation Rentals" is hereby added to Chapter 7, "Standards for Specific Land Uses," to read as follows: Planning Commission Resolution No. 2014-40 Page 3 Natural and Rural Zones .. .. P(16j;: TABLE 4.l CUP "Permifted'Use Condi ional Use Pe mrt Required w' " S.. Permit R& irement in Specific"= " ,Allowed -Land Uses and Permit iRequiremenfsUse Regula�lons ?; " Natural and Rural Zoi7es ;A Accessory Use ."_ " ' �. "Use. Not Slid , e Permit Required by;_" Zone _" OS "Specific AG RR Rel Use " LAND USE TYPE f .. "" �`:`' :� .,, P "".. , "; Re ulattons.:<, LODGING Lodging –Short Term Vacation Rentals — P P Section 7.110 Residential Zones LODGING Mixed Use Zones c. New Section 7.110. Section 7.110 entitled "Short -Term Vacation Rentals" is hereby added to Chapter 7, "Standards for Specific Land Uses," to read as follows: Planning Commission Resolution No. 2014-40 Page 3 7.110 - Short -Term Vacation Rentals This Section establishes requirements and conditions for the establishment and operation of short-term vacation rentals within residential planned unit development and mixed-use zoning districts. A. Purpose. The purpose of this section and the standards outlined below is to serve visitors of Petaluma, to ensure that short-term vacation rentals are compatible with residential and mixed use, and planned unit districts, and to preserve the character of the neighborhoods in which they are located. B. Permit Required. 1. Short-term vacation rentals area permitted use only in residential, planned unit development and mixed use zoning districts and only pursuant to a valid Short Term Vacation Rental Permit issued in accordance with this section by the Planning Director or designee of the Planning Director. 2. Notice to Neighbors. Upon approval of a Short -Term Vacation Rental Permit, all property owners within 100 feet of the permitted Short -Term Vacation Rental shall be noticed in writing. Such notice shall include the location of the short term vacation rental, number of rooms available for short term vacation rental and contact information for the locally -available manager. C. Requirements Applicable to All Short Term Vacation Rentals. 1. Guest Manual. The Host shall provide a written manual to auests providing the local manager's contact information. the Performance Standards set forth in Chapter 21 of the Implementing Zoning Ordinance parking limitations and other helpful information to minimize conflict within the neighborhood. 2. Signs. On-site signage is prohibited. 3. Business License. All short-term vacation rentals require a valid Business License issued in accordance with Chapter 6.01 of the Petaluma Municipal Code 4. Transit Occupancy Tax. Short-term vacation rentals are subiect to and must satisfy all applicable requirements of the City's transit occupancy tax 5. Permit Number. In every advertisement for the Short Term Vacation Rental the Permitee shall include the City issued Permit Number. D. Requirements Applicable To Hosted Short Term Vacation Rentals. A Short Term Vacation Rental in which the permittee occupies the properly with the guests and is subiect to the following requirements: Planning Commission Resolution No. 2014-40 Page 4 1. Limit on Maximum Number of Occupants No more than 2 overnight occupants per bedroom plus 2 additional occupants are permitted. a. No more than two bedrooms in the dwelling may be furnished for compensation. (See section 7.100 for Bed and Breakfast requirements.) b. If the entire dwelling is an accessory/secondary unit, it may be furnished for compensation as a Hosted Short Term Vacation Rental provided that the quests constitute one party, which may be evidenced through a single rental agreement for the entire dwelling. 2. Manager. The permittee must be available at all times and be able to respond to complaints within 1 hour. E. Permit Requirements Applicable To Non -Hosted Short Term Vacation Rentals A Short Term Vacation Rental in which the permittee does not occupy the property with the quests and is subject to the following requirements 1. Limits on Occupants. a. The entire dwelling maybe furnished for compensation provided that the quests constitute one party, which may be evidenced through a single rental agreement for the entire dwelling. b. No more than 2 overnight occupants per bedroom plus 2 additional occupants are permitted. 2. Limitation on Days. The dwelling as a non -hosted vacation rental may be furnished for compensation for no more than 90 days during any calendar year. 3. Manager. A manager located within 45 miles of the City must be available at all times and be able to respond to complaints within 1 hour. F. Short -Term Vacation Rentals in Planned Unit Developments. A permit issued for a Short Term Vacation Rental in a Planned Unit Development must comply with Section 19.050 of the Implement Zoning Ordinance. G. Dispute Resolution. Upon receipt of three or more complaints in a calendar year about a Short Term Vacation Rental, with the consent of the parties involved the City may refer the parties to a third party mediator. The cost shall be shared equally by the parties involved unless the parties agree otherwise in writing. H. Application Process. The application process for a Short Term Vacation Rental Permit shall be as follows: 1. Application for Permit. Application for a Short -Term Vacation Rental Permit shall be made to the Director on a form provided by the City. Planning Commission Resolution No. 2014-40 Page 5 2. Fee. The fee that applies to process applications for Short -Term Vacation Rental Permits shall be set by City Council resolution. 3. Parking. The application must show that the applicant can provide: a. Parking. On-site parking for the existing residential use shall be provided as required in Table 1 1.1 for Dwelling Single Family or Multiple Household, as applicable. The Planning Director, in his or her sole discretion, may give credit for up to two uncovered spaces on the abutting public street if there is legal non -conforming parking on the site; or b. Parking Exception. Applicants that are unable to meet the parking requirements in Section D.7. due to existing legal non -conforming parking and/or site constraints, may obtain a Parking Exception upon approval of a Minor Conditional Use Permit as prescribed by Section 24.030 Applications for a Parking Exception must provide documentation demonstrating that adequate on -street parking is available to accommodate the proposed short term vacation rental and the other existina uses on the site. 4. Safety. All short term vacation rentals must provide smoke detectors CO2 detectors be adequately heated, and otherwise satisfy all applicable requirements of the California Building Standards Code as in effect in the City 5. Duration. Short -Term Vacation Rental Permits shall be valid through the end of the calendar year in which they are issued. 6. Permit Approval. A Short -Term Vacation Rental Permit application shall be approved if all applicable requirements are satisfied; otherwise the application shall be denied. Renewal of Permit. 1. Permittees may apply to renew Short -Term Vacation Rental Permits on forms provided by the City. 2. Permit renewal applications do not require notice in accordance with Section B. 2 3. The Director shall issue a renewal of a Short Term Vacation Rental Permit if the permittee satisfies all applicable requirements pursuant to this Chapter otherwise such renewal applications shall be denied. The Director may deny a renewal application if he or she determines that any of the following have occurred durinq the 12 months prior to the renewal application: a. Failure to timely remit Transient Occupancy Taxes; ar Planning Commission Resolution No. 2014-40 Page 6 b. More than three violations of this section; or c. The Director determines that permittee has provided false information in the application or previous renewal ooplication; or d. An authorized official has given notification of health or safety violations or non-compliance on the property: J. Revocation of Permit. Upon confirmation of three or more violations of this section or other information alleging that a short-term vacation rental has violated or is in violation of any applicable laws, regulations or other reauirements including but not limited to the requirements of this section. the Planning Director or a designee of the Planning Director may commence permit revocation proceedings in accordance with section 24.0301J1. Once a Short -Term Vacation Rental Permit has been revoked continued use of the Short -Term Vacation Rental at that location is prohibited and subsequent opplicaiions may not be filed within one (1) year from the date of revocation. K. Appeal. Appeal of decisions of the Planning Director pursuant to this section may be brought pursuant to Section 24.070. L. Enforcement. The City may seek remedies for any violations of this section pursuant to any applicable authorities including but not limited to those contained in Chapter 26 and those contained in Title 1 of the Petaluma Municipal Code. d. Glossary Amended. The Glossary in Chapter 27 is hereby amended to add a definition of "Short Term Vacation Rental' definition, and to amend the definitions of "Bed and Breakfast Inn," "Rooming or Boarding, Accessory" and "Rooming, Lodging or Boarding House" to read as follows: Bed and Breakfast Inn (BBB). A residential structure with one household in permanent residence, with ene-three or more bedrooms reated furnished for compensation for overnight lodging, where meals may be provided subject to applicable Health Department regulations. Does not include room rental, which is separately defined (see "Rooming, Lodging, -or Boarding House, or Short Term Vacation Rental'). Rooming or Boarding, Accessory. A portion of a dwelling where lodging and boarding are provided for no more than 3 persons for a period of 30 days or longer. Rooming, Lodging or Boarding House. A dwelling or part of a dwelling where lodging is furnished for compensation to three or more persons living independently from each other for a period of 30 days or lancer. Meals may also be included. Short -Term Vacation Rental - A dwelling part of a dwelling, or dwelling as an accessory or secondary unit furnished for compensation for a period of less than 30 days. Meals may also be Planning Commission Resolution No. 2014-40 Page 7 included. Does not include room rental for 30 days or more which is separately defined (see "Rooming, Lodging or Boarding House"). Section 2. Amendments to SmartCode. Sections 3.1 and 9.10.010 of the Petaluma SmartCode, Ordinance no. 2470 N.C.S., are hereby amended as follows. a. Table 3.1 Amended. Table 3.1 of Section 3 of the Smart Code is hereby amended to add a Short-term vacation rental use to Table 3.1 to read as follows: Bed and breakfast inn P P P2 P2 Hotel or motel P2 P2 P2 P Short-term vacation rental Ps P5 P2.5 P2.5 Key P Permitted MUP Minor Use Permit CUP Conditional Use Permit -- Prohibited See Section 9 (Glossary for use type definitions 2 On a frontage where shop fronts are required, use is allowed only on upper floor(s) or behind an allowed around floor use per the permit reauirement indicated. 3 Permitted use (per the permit requirement indicated) if limited to a maximum of 5,OOOsf on 4 Permitted use (per the permit requirement indicated in spaces of greater then 8,OOOsf on ground floor 5 Short-term vacation rental permit required (see section 7.110 of Implementing Zoning Ordinance) b. Section 9 Amended. Section 9 of the Smart Code is hereby amended to revise the Bed and Breakfast Inn definition and to add a definition for "Short-term vacation rental" to read as follows: Bed and Breakfast Inn (B&B). A residential structure with one household in permanent residence, with ene three or more bedrooms rented for overnight lodging, where meals may be provided subject to applicable Health Department regulations. Does not include room rental, which is separately defined (see "Rooming, Lodging,-er Boarding House, or Short Term Vacation Rental'). Short -Term Vacation Rental - A dwelling part of a dwelling, or dwelling as an accessory or secondary unit furnished for compensation for a period of less than 30 days; Meals may also be included. Does not include room rental for 30 days or more which is separately defined fsee "Rooming Lodging, or Boarding House"). Planning Commission Resolution No. 2014-40 Page 8 ADOPTED this 18th day of November, 2014, by the following vote: Commission Member Aye No Absent Abstain Benedetti-Petnic X Lin X Gomez X Marzo X Councilmember Miller X Vice Chair Pierre X Chair Wolpert X ATTEST: Bill Wolpert, Chair APPROVED AS TO FORM: Andrea Visveshwara, Assistant City Attorney Planning Commission Resoluiion No. 2014-40 Page 9