Urgency Ordinance

Extension of Moratorium on Issuance of

New Short-Term Rental (STR) Permits

August 31, 2021

Presentation Outline1. Background2. STR Moratorium Overview & Status3. East Placer Housing Data4. STR Permit & TOT Certificate Data5. STR Maps/Data Permitted STRsExempt STRsSTRs by Zoning

6. STR Enforcement Data7. STR Best Management Practices8. Recommended Action & Next Steps

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Background & Purpose• November 2019: County BOS Approved Ordinance

• January 2020: Ordinance took effect

• March 2021: Ordinance amended to update and clarify certain provisions of code

• June 25,2021: MHC “Emergency Meeting” to discuss housing crisis and brainstorm solutions

• July 27, 2021 – 45-Day Moratorium on New STR Permits Enacted

• Since July 27, 2021 BOS Action:• Stakeholder Outreach, including August 11, 2021

STR Forum & August 12, 2021 Town Hall• STR Program Research • Draft Work Program for STR Ordinance Update

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East Placer Housing Statistics - Takeaways

• New housing units built 2010-2021 in Tahoe: 1,315

• Decrease in Owner Occupied Units 2010-2021: 173

• Almost twice as many homes sold in 2020 as in 2010

• Half as many homes sold to owners claiming primary residence in 2020 as in 2010 (4.6% in 2020 vs. 9.7% in 2010)

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East Placer Housing Statistics 2021 Total Housing Units in East Placer 15,747

STR - PermittedSTR – Have Rented in 2020 or Are Currently Renting Without PermitSTRs – HOA Exempt STR Properties/Housing Units

2,446~400624*

15.5%~2.5%3.9%

Owner Occupied (Claims Homeowner Exemption) 1,911 12.1%

Vacant/Second Home OR Long-Term Rental 10,380 66.0%

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*Total 2021 STR Exemptions = 2,445; 624 of the 2,445 exemptions were issued to HOA STR properties/housing units.

East Placer STR Permits & TOT Certificates by Housing Unit Type

Unit Type ~ Percent of 2021 STR Permits

~ Percent of 2021 TOT Certificates

SF Home 75% 59%Duplex 2% 1%Triplex .5% .5%Apartment .5% .5%Condo 22% 39%Total Permits/Certificates 2,446 3,926*

*Does not include TOT Certificates Issued for Timeshare, Bed & Breakfast, Motel, Hotel, or Condotel Units. Total 2021 TOT Certificates for East Placer = 4,643.

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• ~ 2,600 STR permits issued for 2020 permit cycle

• 2021 permit cycle:• 2,382 STR permits – count the week prior to

July 27, 2021 BOS meeting• 64 STR permit applications – received week

leading up to July 27, 2021 BOS meeting• 2,446 STR permit applications

received/processed prior to moratorium (2,382 + 64)

• ~36 STR permit applications received after moratorium

Short Term Rental (STR) Program - Statistics

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Short Term Rental (STR) Program - Statistics

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STR Operations – Total Estimates2021 STR Permitted Properties 2,446

2021 STR Exempted Properties 1,445

2021 STR Permit Applications Received Following Moratorium 36

Estimate of STR Properties Currently Operating without STR Permit

230

Total ~4,157

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HOA, 43%

Hotel, Motel, Condotel, 21%

Resort, 33%

Timeshare, 3%

Percentage by Type

HOA Hotel, Motel, Condotel Resort Timeshare

Exemption Type Count Percentage

HOA 624 43.18

Hotel, Motel, Condotel 302 20.90

Resort 475 32.87

Timeshare 44 3.04

Total 1,445 100

Short Term Rental (STR) Program - Exemptions

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Short Term Rental (STR) Program –STRs by Zoning

STR Permits by General Zoning Type

Residential (Residential Forest, Residential Single-family, etc.)

2,268

Residential Multi-Family 65

Commercial/Mixed Use 93

Conservation/Recreation 4

Resort/Tourist 16

Total 2,44619

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Short-Term Rental (STR) Program

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Short Term Renta l Programs – Best Management Pract ices

( Pre l i m i n a r y Re s e a rc h )

• Resort communities analyzing STRs impacts on housing markets & long-term housing & considering restricting STRs (Attachment D)

• Jurisdictions findings – what regulations work:• Large fines• Tie enforcement to advertising not bookings• Distance or zoning restrictions effective• Neighborhood density limitations effective• Homeowner’s exemptions work• Decreasing permits by attrition works

• Jurisdictions findings – what regulations don’t work:• Capping days or number of bookings• Partial vs. whole house rental regulations • Nuisances related to non-permitted STRs (need get non-compliant

units permitted in order to regulate nuisances)

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STR Caps by Jurisdiction – Examples(Prel iminary Research)

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City/County Total Number of Homes

STR Cap % STR Cap of Housing Stock

El Dorado County 8,900 (in Basin) 900 10.1%

Douglas County 4,700 (in Basin) 600 12.8%

Mendocino County 38,930

A ratio of thirteen (13) long term residential dwelling units to one (1) single unit rental or vacation home rental 7.7%

Sonoma County 208,305 1,904 1%

City of Paso Robles 11,426 325 3%

City of Santa Cruz 24,000 250 1.0%

City of San Diego 556,735 n/a 1% outside of Mission Beach, 30% inside Mission Beach

Town of Mammoth Lakes 9,795

STRs prohibited in residential zones including Residential Multi-Family 1, Residential Single Family, or Rural Residential zones

Zoning regulations limit short-term rental activities to certain zones, including Commercial, Residential Multi-Family 2, Resort, and Specific Plan zones. Short-term rental is not permitted in other residential zones including Residential Multi-Family 1, Residential Single Family, or Rural Residential zones.

Steamboat Springs, CO 9,693 3,854 40%

Crested Butte, CO 1,077 30% 30%

Government Code Section 65858 - Urgency Ordinance

• Authorizes BOS to adopt ordinance for 45-days, prohibiting land uses that may be in conflict with a contemplated zoning proposal the Board may be considering/studying

• Board (by 4/5 vote) may extend the urgency ordinance for up to 22 months and 15 days if action is taken prior to expiration of 45-day period

• Staff proposing BOS adopts urgency ordinance to extend moratorium until March 31, 2022

• Staff proposing minor revisions to the exemptions included in the July 27, 2021 moratorium to ensure full extent of STR permit inventory is captured

• Ordinance would exempt (from moratorium):• STRs with valid permit for 2020 permit cycle & renewal of a valid STR

permit that expired due to change in ownership & w/no outstanding fees or violations

• Processing of STR permit applications that have been submitted/accepted 24 hours prior to date of enactment of ordinance

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Urgency Ordinance – Findings• Exacerbated housing crisis in Tahoe region - increase in

second homeownership; loss of long-term rentals; significant/increasing workforce housing shortage

• Growing concern regarding preservation of neighborhood character/integrity and STR nuisances, including noise, disturbances, traffic, and parking

• Current and immediate threat to the public health, safety and welfare associated with the proliferation of Short-Term Rentals

• Urgency Ordinance needed to avoid a “rush” or major influx on STR permits so staff can focus on review/revision of STR ordinance/program

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Potential STR Ordinance Update

• STR Ordinance Update work program to include the following tasks:

• Study/update permit feeds to align with program needs

• Transition STR permit system to alignment with TOT certificate process

• Study/expand regulations to limit STR permits• Study/update exemption process• Study/update operational standards where

needed• Outreach to TRPA and other key stakeholders

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Recommended Action

Conduct a public hearing to consider introduction, waiver of oral reading and adoption of an urgency ordinance extending until March 31, 2022, the moratorium imposed in existing Ordinance 6094-B related to the issuance of new Short-Term Rental permits pursuant to Placer County Code Chapter 9, Article 9.42.

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