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91 92 Draft Language – Attachment C(creates a business license for rentals less than 30 days) 93The draft ordinance provided as Attachment C is based on Chapter 907 of current code, which 94 regulates residential rentals of one to four units through a registration process, yet recognizes the 95 business element of short-term rentals by requiring a business license. Staff feels this process is 96 appropriate if the Council is uninterested in a short-term rental ban. Since this is an entirely new 97Chapter, all language is in Underline format, indicating new language. 98 99Thedraftlanguage proposed by staffaims to accomplishthe following: 1001. Defines short-term rental as a whole home rental of less than 30 days. Home 101and/or room rentals that are owner-occupied for the duration of the rental period 102would be excluded. This definition specifies that a short-term rental for the sole 103purpose of holding a social or commercial event is prohibited and that short-term 104 rentals cannot occur in recreational vehicles, campers or other similar vehicles. 105 2. Requires Council approval of a business license for a short-term rental. 106 3. Maximum over-night sleeping occupancy is proposed the same as Chapter 907 of 107 City Code, which is a maximum of four unrelated adults or a family. 108 4. Requirements including a license fee, collection of local lodging tax, and issuance 109 of administrative fines for violations to the ordinance. These fees would help 110 offset the cost of enforcement. 111 5. Outlines a process for enforcement of the ordinance, including provisions for 112 suspension, revocation, and reinstatement. 113 6. Includes notification to properties within 350’ of the short-term rental only when 114 consideration of a license suspension, revocation or reinstatement is presented 115 before Council. 116 117 M ISCELLANEOUS I TEMS FOR C ONSIDERATION 118 Staff acknowledges this topic is far more complicated when one considers actual enforcement. 119 When considering the three options outlined above, staff would note the following: 120 1. The burden of enforcement will be on the Police Department, who will rely solely 121 on the neighborhood for reporting issues. If a license is created, Community 122 Development will notify PD of properties holding this license. Community 123 Development would also work with Administration on the actual license issuance, 124 suspension and revocations processes. th 125 2. While the Council expressed no interest during the August 24 discussion on a 126 ban, staff was contacted after the meeting by some Council members who were 127interested in reviewing language that would ban short-term rentals as part of the 128next discussion on the topic. Staff thinks a ban is reasonable in that it impacts 129very few properties, yet solves substantial problems. Council also expressed 130some interest in treating short-term rentals differently in terms of what activities 131are allowed to occur. Staff has concerns that it will be difficult to discern what a 132social or commercial “event” is versus having guests over to the home. While the 133code language proposed in Attachment C states short-term rentals for the sole 134purpose of holding a social or commercial event is prohibited, we are not 135 confident in how to enforce this restriction as it is likely impractical to require all 136 parties staying at the home to be noted on the lease AND to require the lessee to 137 present said lease to ensure enforcement (leases are legal documents to which the 138 City is not a party). Staff suggests “violations” are only those items listed under 139the Registration, Suspensions, and Revocation section. 140 3. There was a suggestion, received via email by a resident, that lakeshore property 141be treated differently than non-lakeshore property. While two of the three