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2020 12 03 STVRP AD-HOC1 SHORT-TERM VACATION RENTAL PROGRAM DECEMBER 3, 2020 AD-HOC COMMITTEE AGENDA Short-Term Vacation Rental Program Ad- Hoc Committee agendas and staff reports are available on the City’s web page: www.LaQuintaCA.gov SHORT-TERM VACATION RENTAL PROGRAM AD-HOC COMMITTEE AGENDA CITY HALL COUNCIL CHAMBER 78495 Calle Tampico, La Quinta REGULAR MEETING THURSDAY, DECEMBER 3, 2020 AT 4:00 P.M. ****************************** SPECIAL NOTICE Teleconferencing and Telephonic Accessibility In Effect Pursuant to Executive Orders N-25-20, N-29-20, N-33-20, and N-35-20, executed by the Governor of California in response to the state of emergency relating to novel coronavirus disease 2019 (COVID-19) and enabling teleconferencing accommodations by suspending or waiving specified provisions in the Ralph M. Brown Act (Government Code § 54950 et seq.), members of the Short-Term Vacation Rental Program Ad-Hoc Committee, the City Manager, City Attorney, City Staff, and City Consultants may participate in this meeting by teleconference. Additionally, pursuant to the above- referenced executive orders, the public is not permitted to physically attend at City Hall the meeting to which this agenda applies, but any member of the public may listen or participate in the open session of this meeting as specified below. Members of the public wanting to listen to this meeting may do so by tuning- in live via http://laquinta.12milesout.com/video/live. 2 SHORT-TERM VACATION RENTAL PROGRAM DECEMBER 3, 2020 AD-HOC COMMITTEE AGENDA Members of the public wanting to address the Short-Term Vacation Rental (STVR) Program Ad-Hoc Committee (Committee), either for public comment or for a specific agenda item, or both, are requested to send written comments ONLY by email to the Committee Secretary Lori Lorett at LLorett@LaQuintaCA.gov, and specify the following information: 1) Full Name 4) Public Comment or Agenda Item Number 2) City of Residence 5) Subject 3) Phone Number 6) Written Comments The email “subject line” must clearly state “Written Comments.” Written public comments must be emailed to the Committee Secretary no later than 12:00 p.m. on the day of the meeting. Written public comments will be distributed to the Committee, incorporated into the agenda packet and public record of the meeting, and will not be read during the meeting unless, upon the request of the Committee Chairperson, a brief summary of any public comment is asked to be read, to the extent City Staff can accommodate such request. ****************************** CALL TO ORDER ROLL CALL Committee members Best, Butler, Caldwell, Church, Coronel, Franco, Grotsky, Jonasson, McDonough, Monroe, Navarro, Shelton, Spinney, Tamm, and Chairperson Schutz PLEDGE OF ALLEGIANCE PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA Please email “Written Public Comments” to Committee Secretary Lori Lorett at LLorett@LaQuintaCA.gov and limit your comments to three minutes (approximately 350 words). The Committee values your comments; however, in accordance with State law, no action shall be taken on any item not appearing on the agenda. CONFIRMATION OF AGENDA 3 SHORT-TERM VACATION RENTAL PROGRAM DECEMBER 3, 2020 AD-HOC COMMITTEE AGENDA CONSENT CALENDAR Note: Consent Calendar items are routine in nature and can be approved by one motion. 1.APPROVE MEETING MINUTES OF NOVEMBER 5, 2020 REPORTS AND INFORMATIONAL ITEMS 1.REVIEW TIMELINE OF COMMITTEE RECOMMENDATIONS TO CITY COUNCIL CHAIRPERSON AND COMMITTEE MEMBER ITEMS 1.REVIEW CHAIRPERSON FINAL REPORT 2.REVIEW COMMITTEE MEMBER ADDITIONAL PERSPECTIVE ADJOURNMENT There are no further scheduled meetings of the Committee at this time. DECLARATION OF POSTING I, Lori Lorett, Committee Secretary of the City of La Quinta, do hereby declare that the foregoing Agenda for the Committee meeting was posted on the City’s website, near the entrance to the Council Chambers at 78495 Calle Tampico, and the bulletin boards at the Stater Brothers Supermarket at 78630 Highway 111, and the La Quinta Cove Post Office at 51321 Avenida Bermudas, on November 30, 2020. DATED: November 30, 2020 LORI LORETT, Committee Secretary City of La Quinta, California Public Notices The La Quinta City Council Chamber is handicapped accessible. If special equipment is needed for the hearing impaired, please call The Hub division of the Design and Development Department at (760) 777-7125, twenty-four (24) hours in advance of the meeting and accommodations will be made. 4 SHORT-TERM VACATION RENTAL PROGRAM DECEMBER 3, 2020 AD-HOC COMMITTEE AGENDA If special electronic equipment is needed to make presentations to the Committee, arrangements should be made in advance by contacting The Hub Division of the Design and Development Department at (760) 777-7125. A one (1) week notice is required. If background material is to be presented to the Committee during a Committee meeting, please be advised that fifteen (15) copies of all documents, exhibits, etc., must be supplied to the Committee Secretary for distribution. It is requested that this take place prior to the beginning of the meeting. Any writings or documents provided to a majority of the Committee regarding any item(s) on this agenda will be made available for public inspection at the Design and Development Department’s counter at City Hall located at 78495 Calle Tampico, La Quinta, California, 92253, during normal business hours. DRAFTSTVR PROGRAM AD-HOC COMMITTEE Page 1 of 5 NOVEMBER 5, 2020 MEETING MINUTES SHORT-TERM VACATION RENTAL PROGRAM AD-HOC COMMITTEE MINUTES THURSDAY, NOVEMBER 5, 2020 CALL TO ORDER A regular meeting of the Short-Term Vacation Rental Program Ad-Hoc Committee (Committee) was called to order at 4:01 p.m. by Committee Secretary Lorett. This meeting was held by teleconference pursuant to Executive Orders N-25- 20, N-29-20, N-33-20, and N-35-20, executed by the Governor of California in response to the state of emergency relating to novel coronavirus disease 2019 (COVID-19) and enabling teleconferencing accommodations by suspending or waiving specified provisions of the Ralph M. Brown Act (Government Code § 54950 et seq.). ROLL CALL PRESENT: Committee Members Best, Butler, Caldwell, Church, Coronel, Franco, Grotsky, Jonasson, McDonough, Monroe, Shelton, Spinney, Tamm and Chair Schutz ABSENT: Committee Member Navarro STAFF PRESENT: Design & Development Director Castro, Hub Manager Sanchez, Permit Technician/Committee Secretary Lorett, Public Safety Manager Mendez, Code Compliance Supervisor Meredith, and Community Resources Director Escobedo PLEDGE OF ALLEGIANCE Committee Secretary Lorett led the Committee in the Pledge of Allegiance. PUBLIC COMMENTS ON MATTERS NOT ON THE AGENDA Committee Secretary Lorett announced the following WRITTEN PUBLIC COMMENTS were received as of 12:00 p.m., which were distributed to the Committee, and incorporated into the agenda packet and public record of the meeting: DRAFTSTVR PROGRAM AD-HOC COMMITTEE Page 2 of 5 NOVEMBER 5, 2020 MEETING MINUTES • Sandy and Tom Baak – commenting on the Short-Term Vacation Rental (STVR) hotline; • Greg Schierholz – requesting an extension of Executive Order No. 10 imposing a moratorium on new STVR permits and recommending tiered permit fees; • Charles Eckman – recommending stronger restrictions on STVRs, and requesting enforcement assistance from the City for STVRs located within residential communities with homeowner associations (HOAs); • Keith Benham – requesting the termination of Executive Order No. 9 imposing stricter regulations on the use and occupation of STVRs; • Anthony Amini and Richard LaBrie – providing suggestions to the Committee to consider when making recommendations related to STVRs for Council’s consideration; • Carrie Babij – recommending how to improve the STVR program and requesting the termination of Executive Order No. 10; • Meagan Beavers, Arlene Gotshalk, and Jeffrey Smith – in opposition of STVRs; • Nelda Esmeralda – requesting new applications be accepted for homeshare STVRs during the moratorium imposed by Executive Order No. 10; • Barbara (Barb) Montavon – commenting on over occupancy for STVRs and monitoring advertisements for unlicensed properties; • James Lewis – recommending improvements for the STVR program; • David Dinnel – in support of STVRs and providing information on volunteer services to assist the City in collecting data. CONFIRMATION OF AGENDA Chair Schutz requested to switch the agenda order by taking up the Business Session items first, followed by Study Session. The Committee concurred. CONSENT CALENDAR 1. APPROVE MEETING MINUTES OF OCTOBER 1, 2020 MOTION – A motion was made and seconded by Committee Members Best/Caldwell to approve the Consent Calendar as submitted. Motion passed: ayes 14, noes 0, absent 1 (Navarro). REPORTS AND INFORMATIONAL ITEMS 1. CODE ENFORCEMENT UPDATE Community Resources Director Escobedo provided an update on Code DRAFTSTVR PROGRAM AD-HOC COMMITTEE Page 3 of 5 NOVEMBER 5, 2020 MEETING MINUTES Enforcement activities: • Staff is drafting a report to present to the City Council at the November 17, 2020, regular meeting outlining the STVR program’s characteristics; the City’s past, current, and future objectives and initiatives; and enforcement efforts; • City Council approved one additional Code Compliance Officer position on October 20, 2020; • A weekly posting of active and suspended STVR properties is available on the City website; • Staff is preparing to send out Cease and Desist letters to all unlicensed properties. Director Escobedo answered related questions from Committee Members. BUSINESS SESSION – items taken out of agenda order 1. APPROVE PERMITTING SUB-COMMITTEE REPORT WITH RECOMMENDATIONS TO MODIFY SHORT-TERM VACATION RENTAL PERMIT PROCESS AND REQUIREMENTS Committee Member Jonasson provided an overview of the proposed recommendations to modify the current STVR permit process and requirements: • Two types of permits – Homeshare and standard STVR; • Minimum stay requirements; • Neighbor notification of a new permit or permit renewal; • Review of costs for STVR program to ensure all costs are fully covered by permit/license fees; • Permits shall be non-transferrable; • Enhance City databases to improve enforcement and reporting of the STVR program; • Suspended STVR property addresses to be published on the City website; • Properties to be suspended for 6 months for operating without a permit and denied a permit if this type of violation re-occurs. MOTION – A motion was made and seconded by Committee Members Monroe/Shelton to approve the permitting sub-committee report with recommendations to modify short-term vacation rental permit process and requirements. Motion passed: ayes 12, noes 2, absent 1 (Navarro). 2. APPROVE DENSITY SUB-COMMITTEE REPORT WITH DRAFTSTVR PROGRAM AD-HOC COMMITTEE Page 4 of 5 NOVEMBER 5, 2020 MEETING MINUTES RECOMMENDATIONS TO MODIFY SHORT-TERM VACATION RENTAL OCCUPANCY LIMITS Committee Member Best noted the Committee considered this item at the October 1, 2020, meeting; and provided an overview of the proposed recommendations, which were amended based on the comments and feedback received from the Committee: •Studio and 1-bedroom properties are not to be considered the same; •Increase of Studio occupancy from 2 to 3 occupants, with one occupant being 12 years of age or younger; •Increase of 1-bedroom occupancy from 2 to 4 occupants, with 2 occupants being 12 years of age or younger; •Maintain recommendation on occupancy level for 2-bedroom properties at 4 occupants; •Maintain recommendation on occupancy level for 3-bedroom properties at 6 occupants. MOTION – A motion was made and seconded by Committee Members Caldwell/McDonough to approve the density sub-committee report with recommendations to modify short-term vacation rental occupancy limits. Motion passed: ayes 11, noes 3, absent 1 (Navarro). 3.APPROVE DENSITY SUB-COMMITTEE REPORT WITH RECOMMENDATIONS TO INCLUDE SHORT-TERM VACATION RENTAL PROPERTY DENSITY LIMITS Committee Member Caldwell provided an overview of the proposed recommendations for density limits on STVRs: •Divide STVR community into 2 groups: homeshares and standard STVRs; •Homeshares would be exempt from density limitations; •Single family STVR properties would be subject to one STVR property per 300-foot radius of another permitted property; •Condominium complexes consisting of 4 or more units would be subject to 2 STVR properties per 300-foot radius; •STVRs within Tourist Commercial Zones would be exempt from density limitations; •A variety of recommendations on how density recommendations can be implemented successfully. MOTION – A motion was made and seconded by Committee Members Church/Spinney to approve density sub-committee report with DRAFTSTVR PROGRAM AD-HOC COMMITTEE Page 5 of 5 NOVEMBER 5, 2020 MEETING MINUTES recommendations to include short-term vacation rental property density limits. Motion passed: ayes 10, noes 4, absent 1 (Navarro). STUDY SESSION – items taken out of agenda order 1.DISCUSS MARKETING SUB-COMMITTEE REPORT AND UPDATE Committee Member McDonough provided an update to the Committee on the focus of the Marketing Sub-Committee. They will continue to work on a host checklist, Good Neighbor/Good Guest brochure, develop host training and best practices for hosts, create a violation notice/supplement for guests to receive, and research the creation of a welcome video for guests. Chair Schutz informed the Committee that all recommendations have been approved, therefore no further sub-committee meetings are needed for density, enforcement, and permitting. The Committee reached a general consensus that the next regularly scheduled Committee Meeting of December 3, 2020, will be the Committee’s final meeting. ADJOURNMENT There being no further business, it was moved and seconded by Committee Members Franco/Grotsky to adjourn this meeting at 5:55 p.m. Respectfully submitted, LORI LORETT, Committee Secretary City of La Quinta, California Page 1 of 48 City of La Quinta Ad-Hoc STVR Committee STVR Chair and Co-Chair Report Members of the Ad-Hoc STVR Committee, As the work of our Committee draws to a close, we have successfully accomplished all goals laid out for us by the La Quinta City Council in their original mandate, and this has been done despite very difficult working circumstances brought on by the Covid-19 pandemic. Community interaction has also been very robust, perhaps not unexpected given the high- profile nature of STVR evolution in the previous few years. We are grateful for their participation and would like to acknowledge their input has been factored into development of our final recommendations. This document provides some additional transparency with respect to Committee and Subcommittee discussions. It provides background material that may not have made it into the final recommendation documents but was used to help frame issues relating to development of those recommendations and exposes a summary of the deliberative logic used by the Committees (and Subcommittees). For completeness, the final recommendation documents are also included as appendixes. We very much appreciate the substantial additional time and effort put in by those Committee members who greed or serve on the various Subcommittees to develop subject matter expertise and conduct research used to fully inform the parent Committee members. The Committee is also grateful for the support of City personnel who were patient, cooperative and fully engaged in making the work of the Committee a success. On behalf of Michele and myself, we would like to thank each of you for your participation and engagement during the course of our work. Gavin Schutz, Chair Michele McDonough, Co-Chair CHAIRPERSON AND COMMITTEE MEMBER ITEMS NO. 1 City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 2 of 48 Table of Contents Introduction ........................................................................................................................... 4 Methodology .......................................................................................................................... 4 Background ............................................................................................................................ 5 Key Findings ........................................................................................................................... 6 Noise and Personal Behavior ............................................................................................................ 7 City Infrastructure ............................................................................................................................ 7 Stakeholder Communications ........................................................................................................... 8 Community Perspective .................................................................................................................... 9 Enforcement and Violations ................................................................................................... 9 Complaint Hotline .......................................................................................................................... 10 Education ....................................................................................................................................... 10 Citations ......................................................................................................................................... 11 Permitting ............................................................................................................................. 11 Density .................................................................................................................................. 13 Occupancy Density ......................................................................................................................... 13 Property Density ............................................................................................................................ 14 Density and Clustering .................................................................................................................... 15 Marketing ............................................................................................................................. 16 Marketing Sub-Committee’s Top 5 Priorities .................................................................................. 16 Other Considerations and Recommendations ........................................................................ 18 Inclusion of HOAs ........................................................................................................................... 18 Ongoing Assessment ...................................................................................................................... 18 Appendix 1 – Recommendations on Enforcement .................................................................. 19 Appendix 2 – Recommendations on Violations ...................................................................... 29 Appendix 3 – Recommendations on Permitting ..................................................................... 32 Appendix 4 – Recommendations on Occupancy Density ......................................................... 37 Appendix 5 – Recommendations on Property Density ............................................................ 41 City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 3 of 48 Appendix 6 – Recommendations on Marketing ...................................................................... 46 City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 4 of 48 Introduction On November 19, 2019, the La Quinta City Council approved the formation of a Short-Term Vacation Rental Program (STVRP) Ad-hoc Committee to evaluate the City’s STVRP, including STVR historical information, outreach and marketing of the program, compliance and enforcement tools, streamlining the STVR license application process, potential program enhancements and new requirements. On February 3, 2020, the La Quinta City Council appointed 15 members to serve on the Committee for a period not to exceed 12 months. Committee makeup included representation from all community stakeholders – STVR owner/operators, property managers, STVR business partners (cleaning services, etc.) and community members who do not own or operate an STVR. Residency within the City of La Quinta was not required to serve on the Committee. Open meetings were initially held monthly on the 1st Thursday of each month at 4:00 p.m. at La Quinta City Hall, 78495 Calle Tampico, La Quinta. Due to restrictions bought about by the Covid- 19 pandemic, meetings occurring after April were held via Zoom. Members of the public were invited to submit comments and questions prior to the meeting and a record of all meetings and submissions is available on the City Short-Term Vacation Rental Program Ad-Hoc Committee website. An additional special meeting was held on August 19th 2020. Initial direction from the La Quinta City Council was to focus Committee activities towards establishing a reasonable accommodation for the STVR properties within the community, therefore per City Council directive, the Committee did not address the option of eliminating STVR’s within the City. Methodology To process the volume of work and focus on specific issues, the Ad-Hoc Committee formed four sub-committees: •Enforcement and Violations •Permitting •Density (Occupancy and Property) •Marketing Each Subcommittee consisted of between 4 and 6 volunteers from the Ad-Hoc Group. There were no restrictions placed on membership – any Ad-Hoc Committee member could volunteer for any Subcommittee. The Subcommittees met at least weekly, often for one to two hours. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 5 of 48 Between these meetings, Subcommittee members worked with City employees to process and format data, turning it into information that could be used to inform deliberations. The Subcommittee also developed domain level expertise in the specific topic by reviewing best practices from other similar communities (within and outside of the Coachella Valley) and subsequently formulating a series of recommendations for the parent Ad-Hoc to consider adopting. Submissions from public comments were also considered in the review process. In all cases, recommendations from each of the Subcommittees were unanimously approved by that Subcommittee and submitted to the parent Ad-Hoc Committee. In addition, all recommendations contained in this report were approved for submission to the City Council by a majority of the Ad-Hoc Committee, reflecting consensus within the groups. The Committee and Subcommittees requested and received several data sets from the City. This data was used to quantify issues relating to historical growth, enforcement actions, rental owner behavior, neighbor perception, compliance workflows, etc. To inform deliberations the various groups compiled and reviewed STVR program data from other Coachella Valley cities, as well as programs from similar sized cities outside the Coachella Valley. For example, best practice data and STVR procedures were examined from programs in Palm Springs, Rancho Mirage, Cathedral City, Palm Desert and Indian Wells as well as Carlsbad, Newport Beach, Santa Cruz, Santa Monica and several other cities. Background The Short-Term Vacation Rental (STVR) industry has enjoyed rapid growth over the last several years. Figure 1 STVR Program growth City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 6 of 48 What started as a relatively small number of owner-operator rental businesses where individual homeowners would rent out a room during season to generate a small amount of extra income has evolved into a major commercial business where entire properties are advertised online by major agencies (VRBO et al) and are managed by homeowners or independent property managers who may or may not be resident on the property during the rental period (or at all). To accommodate STVR business, the City Council passed an ordinance (3.25) that allowed for commercial enterprises (STVRs) in residential zones. The City derives income from these rentals by charging a “Transient Occupancy Tax”. This tax has grown to be the third largest revenue source for the City’s General Fund budget, dropping from second place only because of the COVID pandemic. Figure 2 STVR Revenues This rapid growth has resulted in community issues relating to how STVR business is conducted in residential neighborhoods and how it has impacted both rental properties and neighbors whose homes are adjacent to or nearby those properties. Key Findings Specific recommendations can be found in the appendixes to this report. However, there are several key issues that tended to dominate discussions. These issues are: City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 7 of 48 •Noise and personal behavior problems are the biggest causes of friction between STVR properties and their neighbors. •City infrastructure needs to keep pace with STVR program growth •A gap exists between STVR owners and the public’s perception of the program •Community tolerance towards STVR activity is diminishing as the program grows Each of these issues is addressed below. Noise and Personal Behavior Examination of community input such as public comments to the Ad Hoc Committee and the City Council reveals that noise and behavioral issues emanating from STVR properties have a substantial and highly visible impact on the community. Comments focus on the repetitive nature of the infractions resulting from high occupancy turnover: it is not uncommon for noise disturbances to recur repeatedly in properties where there may be different occupants several times a week. In addition, once a property develops a reputation (by word of mouth, or online ratings) as a “party house” it may tend to attract renters that are predisposed to such behavior. City Infrastructure Effective management of the STVR Program has not kept pace with the growth rates experienced by the City. There are three main issues that are addressed in the Committee recommendations: •Availability of Code Enforcement Officers at critical times has lagged behind demand. Many STVR related code infractions occur during the late night / early morning window on weekends and holidays. Generally, an infraction must be witnessed by a Code Enforcement Officer before a citation is issued. Lack of appropriate resources is effectively preventing these citations from being issued, resulting in community stress from all stakeholders: the neighbors do not see the problems being addressed, and the STVR property owners are being marginalized because the program is developing a bad reputation based on a relatively few properties that are a continuing problem. Also, significant delays in responding to a complaint may result in the problem resolving itself by the time a Code Compliance Officer (or Riverside County Sherriff) attends the scene. In these cases, the neighbors have endured significant distress, and no action is taken against the property. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 8 of 48 •Calls to the City STVR Complaint Line are answered by individuals who are not resident and unfamiliar with the area, are unaware of the code requirements, unable to prioritize and follow up with the homeowner may be limited. In some cases, the call goes directly to voicemail. •Program management and infrastructure is distributed and not well integrated. Data systems necessary for effective and integrated management of the program such as permitting, complaint management, citation history, owner history, TOT reporting and property information (bedrooms, improvements etc.) should be scalable and interoperable - capable of efficiently generating meaningful information (not just data) for all stakeholders on an accurate and timely basis. Stakeholder Communications The issue of stakeholder communications is complex. Although it is generally perceived there are three primary stakeholders in the program: the homeowner, the renter (i.e. the person(s) renting the property from the homeowner) and the neighbor, there are also additional affected parties such as the property manager, the rental booking agency and various service providers. Communications between all these stakeholders is often diminished or lacking altogether. The Committee has addressed several areas where communications can be improved in their Enforcement recommendations. For example, mandatory workshops for owners and managers (as well as being optional for other stakeholders) will help get all parties on the same page with respect to ordinance requirements. However, there are still several areas that require addressing. For example, where a property is rented via an online facilitator (VRBO, Airbnb, Homeowner website etc.) and managed by a remote property management firm, there might be essentially no vetting of the renter (other than credit card information, driver’s license, signature to rental agreements, etc.). This means the owner or property manager may have little information on who (or how many) renters are actually occupying the property. While this is not an issue for Homeshare properties (where the owner is resident on the property for the full length of the renter stay and can effectively manage the renter in person in real time), it can be an issue for certain properties where there is little or no oversight as to who or how many individuals are actually occupying the property, leading to difficulties with respect to effective and timely management of noise and occupancy issues. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 9 of 48 Community Perspective As the program grows, it is evident that community attitudes are becoming increasingly polarized with respect to STVR activity. There is general agreement that viewpoints from both sides of the argument have suffered from a lack of definitive data and analytics, leading to perspectives that are informed by speculative interpretation. Recommendations in the Enforcement document suggest possible remedies for these issues. Achieving middle ground will depend on adequate support infrastructure for the program - capable of optimizing a balance between most properties that are well managed and not disruptive, and those properties that are causing a disproportionate amount of damage because of repeated offenses. Community outreach will be critical to managing an effective compromise. For example, a significant number of STVR properties reside within HOA Communities. It is important that Council action with respect to the STVR program does not exclude these communities. Also, it is unreasonable to expect HOA communities to deliver significant TOT revenues to the City while being exempted from ordinances or being abandoned with respect to support from City STVR program infrastructure. Enforcement and Violations The issue of enforcement was addressed early in the Committee work at the direction of City Council. It is significant to note enforcement and fine recommendations are only applicable to properties that are not in compliance, and conforming properties are not affected by enforcement issues at all. When enforcement action is taken, the penalties assessed must be significant enough to drive behavioral modification. Deminimus penalties are simply incorporated into the rental business models and will not result in behavioral change. Enforcement issues have resulted from a rapid expansion in the number of properties participating in the STVR program, and a corresponding need for City administrative infrastructure to keep up with this expansion. Specifically, availability of adequate enforcement personnel at the time of peak demand (evenings and weekends) has not kept up with STVR program growth. Public comment has focused extensively (but not exclusively) on the issues of noise and personal behavior of renters, most often from music or loud disturbances late in the evening or City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 10 of 48 early morning hours on weekends. This type of complaint is very disruptive to residents as it adversely impacts the neighborhoods quality of life. It is therefore important that compliance personnel be available to respond to these complaints expeditiously – to evaluate if they are reasonable and remedy if necessary. This is because by the time a complaint has been lodged, significant disruption has already occurred. Excessive delays in compliance evaluation generate unreasonable neighborhood stress. Availability of enforcement personnel is also important for establishing actual violation evidence for issuing citations. For example, in some cases the complaint might not be justified because noise levels do not exceed the levels required by the relevant ordinances. In these cases, it is important for a compliance officer to notify the person making the complaint so that expectations can be calibrated appropriately. The existing enforcement practice of calling the rental owner and informing them of a complaint often results in the owner contacting the renter and resolving the problem, however while this requires fewer enforcement personnel (as a site visit is not necessary) it may not lessen disruption to the neighborhood because the property is often rented to several different occupants every week, resulting in recurring disruptions. Failure of City enforcement personnel to fix problem properties results in frustration from all stakeholders and results in artificial magnification within the community of the relatively few properties that are repeat offenders. Complaint Hotline Another factor the Committee addressed is the Complaint Hotline. This line is often not staffed with trained or qualified individuals and often goes directly to voicemail, resulting in intense frustration often at the most critical times, and a high level of complaints from neighbors. Providing trained, qualified, live personnel who are capable of situational awareness, resource prioritization and interactive feedback with respect to the neighbor, property owner and renter will greatly benefit all parties and result in effective resolution of issues in real (or near real) time. Education Ensuring all stakeholders are familiar with the requirements for renting and operating an STVR is important. This includes not only the property owner but also the property manager (where appropriate), the renters and the neighbors. Familiarity by all stakeholders with the relevant ordinances (Ordinance 572, the Civil Code) will help ensure compliance and allow all stakeholders to manage their expectations. For this reason, the Committee recommends the City provide a mandatory training workshop for all City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 11 of 48 owners and managers involved in the STVR program. Cost of this training should be covered by the STVR owners and become a prerequisite for the issuing of a permit. Having these training workshops open to the public so that neighbors, vendors, and other service suppliers can also attend will assist with ensuring all parties are familiar with the regulations. For example, it is important that neighbors become familiar with the noise criteria before calling in a complaint. Finally, the training sessions will provide a direct (and interactive) opportunity for City staff to communicate with all stakeholders regarding any questions they may have. Citations With respect to issuing fines for citations, the Committee focused on addressing two critical issues: Operating an STVR without a permit, and habitual offenders. Operating without a permit denies the City revenues from TOT and allows a homeowner to avoid accountability. It also avoids ensuring the property is code compliant and the owner has satisfied requirements necessary for granting of a business license and STR operating permit. The Committee also recommends notifying neighbors in the event a permit is suspended. Permitting Analysis of best practice licensing and permitting including a comparison of other communities reveals there are two primary types of STVR property owner: those that are resident on the property and those that are not. The Committee is recommending two types of permit, a “Homeshare” permit for property owners that are resident on the property for the full duration of the renter stay, and an “STVR” permit for those homeowners that are not resident on property for the full length of the renter stay. There is overwhelming evidence that Homeshare properties do not contribute meaningfully to the number of citations issued. Based on an analysis of citations from January 2019 to June 2020, over 70% of cited properties were managed by non-resident owners. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 12 of 48 Citations by Property Manager Location La Quinta Based 23.7% 14 Coachella Valley Based 30.5% 18 Non CV Based 45.8% 27 Total Managed 59 Figure 3 Citations by property manager location It is anticipated there will be a difference in cost structures with respect to administering each type of permit. For example, the cost of enforcement for Homeshares may be different from the cost of enforcement for STVR permits. In the event this is the case, the Committee recommends permit fees be adjusted to cover the costs proportionately. The committee is also recommending that surrounding neighbors be notified when a permit has been issued to a property owner. To be fully informed regarding the relevant STVR ordinances and homeowners rights, the neighbor should be supplied with the same documentation that is furnished to a renter – including complaint hotline telephone numbers and a copy of the relevant ordinances. 23.7% 30.5% 45.8% Citations by Property Manager Location If a Property Manager is used to manage an STVR, where is the property manager based? La Quinta Based Coachella Valley Based Non CV Based City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 13 of 48 Density Density issues have been addressed in two parts, each with its own recommendations. Occupancy density covers the number of occupants permitted on the property during daytime and nighttime hours. Property density covers recommendations on effective density of STVR properties within a neighborhood or region. Occupancy Density The Committee reviewed several Coachella Valley City ordinances with respect to permitted daytime and nighttime occupancy. Figure 4 Comparison of overnight occupancy limits Occupancy of smaller studio and one-bedroom residences was modified to accommodate small families such as those with an infant or minor child. These residences are often Homeshares where the property owner is resident – and have not been a major factor in neighborhood disruption. The committee has also recommended removal of occupancy ranges, as they do not appear to add any value, and may make enforcement more difficult. It was also noted that alternative options exist for accommodating bigger groups. For example, if larger groups of occupants are required, the renter can simply occupy a larger property with additional bedrooms – there does not seem to be a viable reason why large groups of people need to occupy small residences with few bedrooms. In the case of exceptional events such as birthday parties, weddings, etc. where daytime occupancy (7:00a.m. – 10:00p.m.) levels may not be adequate, the property owner can be accommodated through an application for a special event permit. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 14 of 48 Property Density The primary goal for deliberations on property density were to achieve a rational compromise on the density of STVRs within a residential community while preserving the neighborhood sense of community (“look and feel”) and associated quality of life for permanent residents living in residential zones. A sense of community is established by enabling communications between individuals who live and work in proximity to each other. Neighborhoods “are the spatial units in which face-to-face social interactions occur—the personal settings and situations where residents seek to realize common values, socialize youth, and maintain effective social control.” Neighborhoods are social communities because the people that live in them commonly talk and physically interact with each other. High concentrations of STVRs with significant transient occupancy rates result in areas becoming commercial zones rather than residential neighborhoods. Preservation of a neighborhood (and sense of community) will therefore depend on effectively managing a balance between STVR density and residential properties. There are essentially two types of rental owners as described above: •Homeshare owners tend to rent out a room or two rather than the entire residence. They are resident on the property for the entire time of the rental period and are therefore viewed as neighbors by adjacent property owners. They have a sustainable, interactive face to face social relationship with adjacent neighbors. Because of this they do not seem to detract from the residential nature of the neighborhood. Rental rules and behavioral requirements are explained in person to the renter (direct information transfer), and they can personally observe and effectively manage renters continually in real time. •STVR owners are not resident on property during the rental period (or at all). It is therefore difficult to maintain a sustainable interpersonal relationship with adjacent neighbors. Because there are different occupants daily or weekly with no common social link, these properties tend to be viewed by residents/neighbors as commercial enterprises. In many cases, property oversight is by the remote homeowner, or engagement of a property management firm. In some cases, renters may not be physically vetted at the time of occupancy, and compliance with respect to renter behavior is not monitored in real time. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 15 of 48 Density and Clustering STVR Density is the ratio of STVR properties to residential properties in residential neighborhoods. Clustering is the uneven concentration of rental properties within a defined area or region. Clustering detracts from the ability to preserve a sense of residential community because it often results in “captive” properties where a full-time resident can be substantially (or completely) surrounded by STVR residences. In other words, the neighbor does not have a neighbor. As the density of STVR properties increases within a residential neighborhood, situations arise where permanent residents are adjacent to STVR properties that may have different occupants, - often several times a week. If these disenfranchised residents secede to move, they may sell to new STVR owners, increasing the concentration (Clustering) and exacerbating the issue for remaining full time residents, further eroding the residential nature of the area. Note the issue here is not behavioral, but sociological. It represents a change in neighborhood character even if the STVR properties are well behaved and well managed. In this instance it is not about enforcement, rather it speaks to the nature of balance between a residential community and rapid growth of commercial enterprises. Also as discussed previously, this is less of an issue when the STVR property owner is resident on the property (Homeshare). The Committee believed density restrictions should address these functional and social differences. Figure 5 Density While several options for managing property density were considered, the Committee is recommending limiting by distance such that STVR properties are separated by a radial distance of 300’: City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 16 of 48 •The method is simple and definitive •Easily managed by the City •Used in other communities •Used within La Quinta to manage B&Bs •Automatically addresses both density and clustering issues The Committee also noted that significant alternative growth opportunities exist within La Quinta for development of specialized STVR focused communities. Existing STVR specific communities (for example Legacy Villas, Signature, the proposed water park etc.) can be used for STVR growth. These purpose-built communities may be a better alternative for all stakeholders. Marketing Marketing was deemed important to the Committee because it is a critical vehicle that can be used to inform the community at large about the City STVR program. In addition, marketing can also help message expectations to all relevant stakeholders, and used to communicate information on changes, updates and current events. Marketing Sub-Committee’s Top 5 Priorities Recognizing that the quiet enjoyment of neighbors is of the highest priority for the success of the La Quinta STVR program, the marketing sub-committee is recommending an immediate focus on 5 key areas that could be implemented quickly to improve Host and Guest compliance, education for their overall benefit, as well as gaining confidence of the neighbors of STVRs. Immediate Recommendations: •Host Checklist: This checklist would be pushed to Hosts via the MuniRevs email list and possibly also posted in MuniRevs as a task to be completed and tracked. The priority would be distribution to owners and managers of known problem properties. The goal of the checklist is to educate Hosts on best practices they should implement immediately to ensure guests are informed and neighbors' interests are being considered. Checklist items include items required by city code, but also recommendations for specific items that engage a responsible Host to manage expectations before problems arrive. •Good Neighbor/Good Guest Brochure: The Good Neighbor Brochure has been updated by the City marketing staff and the sub- committee has offered suggestions to make it even more useful for Hosts. One suggestion is to rename it the Good Guest brochure, making it a one-sided sheet for City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 17 of 48 easy posting and durability in a vacation rental. The Sub-Committee has suggested a second, Neighbor specific brochure be considered to educate neighbors about when and how to open complaints, for example "Call about This, Not That". The Neighbor specific brochure would be distributed to all homes in the vicinity of a vacation rental as part of the neighbor notification requirement recommended by the Permitting sub- committee. •Host Training & Best Practices: The sub-committee has outlined a draft guest on-boarding process for the purpose of creating a Host Training Certification with live workshops and/or video training and a Host testing platform. The goal of the training is to improve hosting capabilities and guest management for reduced complaints and compliance thus less violations. This tactic supports recommendations from the Permitting sub-committee that Hosts complete training for permit renewal. •Violation Notice/Supplement: Guests are often uninformed by Hosts and/or lacking intel about the noise orders and expectations when renting a vacation rental. The sub-committee discussed the possibility of creating a Violation Brochure/Letter issued to Guests when Code Enforcement or the Sheriff visits the home in response to a complaint. Currently, Citations are issued to Owners and not Guests. The intent of this strongly worded 1 page document would be to inform the Guest that a citation with fines may have been issued for which they may be financially responsible as well and that any additional complaints may result in their immediate evacuation from the property and the Host's license being suspended. •Welcome Guest Video: Creation of a video to be posted on the City website and YouTube with a link that can be easily shared by Hosts to their guests as part of their pre-arrival on-boarding process. Content of a short, approximately 3-4-minute video would serve to welcome guests to La Quinta while notifying them that we are a “Neighbors First Community” and outlining expectations about noise, parking, trash, and occupancy. The video could also be shared via social media channels as part of a greater STVR marketing strategy. As time is of the essence, a simple but professional card deck style recording with interspersed stock video and professional voice-over could be created cost-effectively for immediate roll- out with a longer-range goal of replacing it with an improved video with high quality production once a larger budget is established. A QR code to view the video could be included in the Good Guest brochure. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 18 of 48 Other Considerations During the course of our work, a few additional issues were identified at various stages during Committee or Subcommittee deliberations. While these issues did not become the subject of specific recommendations (primarily because of time constraints), they are worthy of additional consideration when addressing the next steps for STVR program development Inclusion of HOAs All recommendations were made for city-wide application. Separate considerations for HOAs were not discussed. While HOAs are governed by their own set of CC&Rs, they are not exempt from the issues discussed above. In fact, more than a third of La Quinta’s STVR permits (and assumedly at least a third of the TOT) is generated from HOA-based STVRs. This argues strongly that the city benefits from HOA STVRs and therefore should continue to provide support for these communities. Additionally, by excluding HOAs from restrictions that might be placed in non-HOA areas, the demand will increase in the HOA communities placing greater potential for disruptions in those neighborhoods. Ongoing Assessment The Ad Hoc committee was put into place before COVID to deal with STVR problems. The virus exacerbated these issues. Because of the significant shift in demographics that is occurring because of COVID, a post-COVID world may, again, look different and bring a new set of issues. The Ad Hoc Committee did not consider ongoing assessment of the STVR program and any changes the City Council may make. Current practice distributes administration of the STVR program over multiple different City departments, making integrated analysis, operational decision making and accountability relatively complicated. The City should consider a process whereby an individual or a small committee periodically monitor metrics that measure success or failure of any changes made to the ordinance. The goal would be to identify new opportunities or modifications for future consideration to the Council. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 19 of 48 Appendix 1 – Recommendations on Enforcement City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 20 of 48 City of La Quinta STVR Committee Recommendations on Enforcement Rev 4 This report contains specific recommendations adopted by the Ad Hoc STVR Committee. Only enforcement recommendations are addressed here – additional recommendations will be presented as they are addressed by the Committee. The overall issues surrounding enforcement can be divided into three main groups: Each of these groups contain issues that must be addressed as part of a comprehensive enforcement process. This document provides a starting point for the Committee in identifying the main enforcement issues. It provides a brief discussion on each issue and outlines recommendations that will provide a solution to that specific issue. In some cases, a single recommendation may provide solutions to several problems (for example, trained and dedicated enforcement personnel). Finally, the document provides a priority matrix for discussion on suggested prioritization of recommendations. Sourcing for this document comes directly from the original list (“Lori List”) of issues identified by the Committee at its first meeting. Only issues relating directly to enforcement are covered here: other discussion topics not related to enforcement are outside the scope if this Subcommittee. Issues before an enforcement event: •Communicating with the City / Verifying a Complaint •STVR Homeowner not Registering with the City •STVR Owner not aware of the rules •Renters not aware of the rules •Neighbors (or community at large) not aware of the rules •Knowledge level or outsourced services City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 21 of 48 The enforcement event: •No contact with Owner / Representative •Noise / behavior / party events •Occupancy Limit violations •Parking •Trash •Sensitive neighbors After the enforcement event: •Repeat offenders / 3 Strikes Issues before an enforcement event Issue: Communicating with the City / Verifying a complaint Discussion: STR Owner/Managers and homeowners have expressed frustration with the City hotline. The hotline is often unmanned in times of most critical need. Even when manned the latency between phoning in and having an issue addressed is often hours (sometimes longer). Frequently, because of this delay, the issue being reported resolves itself before the City responds, but after a homeowner has endured several hours of pain. When it eventually responds, the City may therefore find no evidence of any issues, resulting in a false negative incident report, frustrating homeowners and leading to inaccurate violation statistics. Anecdotal evidence indicates this tends to be a bigger issue in STVR properties that are managed by non-resident owners (i.e. management companies). Also, if the City calls property management (starting the clock on the 45-minute rule) it simply hands off, and little or no follow up checking is done with the reporting homeowner (or STVR Owner) to confirm the issue is resolved. Also, in the case of STVR owners employing property managers, sometimes the actual owner doesn’t even know there has been a complaint. Effective and timely communications between STVR property owners, renters and neighbors with respect to notification and enforcement represents a critical path in getting the community to work together harmoniously. Recommendation: •Staff the hotline with live, (local, trained) personnel who are familiar with La Quinta geography and empowered and equipped to initiate complaint resolution immediately. •Increase field enforcement staffing by at least two additional full time STVR trained officers available for immediate dispatch during times of need. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 22 of 48 •Hotline and enforcement staff should be dynamically managed: more staff when the hotline is heavily used (evenings and weekends) and less staffing at times when complaints tend to be low (weekday mornings and afternoons). •Require a code inspection be performed on a property prior to granting an STVR license. This inspection should be for the purposes of verifying accuracy with respect to the application, particularly in the areas of occupancy limits (number of bedrooms) and living arrangements (room conversions, etc.). Issue: STVR Homeowner not Registering with the City Discussion: A significant number of homeowners who rent property do not register with the City, thereby avoiding paying fees, oversight and TOT. Enforcement of the City mandate requiring STVR owners to register is difficult as the City is often unaware of their business unless a complaint is filed against the property. Recommendation: •Require that a City of La Quinta STVR permit number be included in all property advertisements on all platforms (VRBO, print, web, etc.). •Publicize the registration requirements regularly on the web site and through social media outlets. •Include mail inserts to all residents in any surface mailings sent out to residents. •Where possible, partner with HOA communities and Management Companies to exchange information on STVR rental activities. •Assess significant monetary penalties for non-compliance. These penalties must be paid before an STVR license can be obtained. Issue: STVR Owner not aware of the rules Discussion: Some owner/operators/managers do not read the relevant statutes/ordinances governing how properties may be rented even though this is a requirement of registration. Recommendation: •Applicants, any individuals listed as contacts for the property, and any designated Management Company representatives who directly manage a property must attend a compulsory workshop prior to the issuance of permits. Applicants must sign a document asserting they have attended the workshop, understand the rules and agree to be bound by them. •STVR Owners, any individuals listed as contacts for the property, and any designated Management Company representatives who are directly responsible for managing a property that has been assessed a violation City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 23 of 48 must retake the compulsory workshop at their own expense before a license for that property can be renewed. •This training workshop should also be open to the public so that interested parties (neighbors, potential new STVR licensees) can familiarize themselves with the requirements and responsibilities of STVR ownership. •False advertising (i.e. number of bedrooms, sleeping capacity, occupancy limits) will result in a citation, and count as a strike against the property. Issue: Renters not aware of the rules Discussion: Many renters who occupy STVR units are not aware of the rules for conduct or behavior. While the City ordinance requires STVR owners to provide a copy of the relevant documents, they are often ignored by many renters. When renters first occupy the property, it is often not their priority to stop and read documents. In many cases, the renters only become aware of the rules after they have caused a disruption with neighbors, which is too late. Recommendation: •The City require the property owner/manager assert that a renter has been provided with all current City ordinances governing expected behavior in advance of allowing that renter to occupy the property. •A condensed copy of the relevant ordinance(s) must be permanently fixed to a prominent location inside the property. This document will be generated by the City and outline the relevant rules in plain language. •Update and strengthen the “Good Neighbor” brochure to include specific language relating to noise and personal behavior requirements. Require a copy be included as part of every rental agreement. •Changes to City ordinances, including adoption of temporary orders must be posted in a prominent location inside the property within 48 hours of adoption, and before the property can be rented again. Issue: Neighbors not aware of the rules Discussion: Neighbors are often ill-informed about the specifics regarding STVR rules and ordinances that affect them. Many have unreasonable expectations regarding ill- defined and vaguely defined concepts such as “quiet enjoyment” and what exactly constitutes “noise levels of greater than 60dBA”. Differences between daytime and nighttime restrictions are also not well understood. (Note this issue may also apply to STVR owners and renters). Parking requirements and trash pickup rules are sometimes not clear (and may conflict with HOA rules in managed communities). For example, some communities require parking in the driveway before street parking may be used. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 24 of 48 Another example is many neighbors have expectations that any audible noise is cause for complaint. Some are unaware of the 10:00 p.m. curfew on amplified noise, while others believe that any noise after 10:00 p.m. is unacceptable. Recommendation: •ALL neighbors adjacent to (on all sides) and across the street from an STVR property be notified by the city and supplied with the same documents the Owner is required to furnish to the renter. (This could be a requirement placed on the STVR owner if the City feels it is appropriate – as long as the neighbor gets the information). These documents must include: o A copy of the City STVR Ordinance o A Copy of the “Good Neighbor” brochure o Contact information for complaints to the City. o Contact information for the Property owner and the Property Manager if applicable. o A link to the City STVR website where interim rule changes are posted. •These documents should be refreshed annually as part of the license renewal process. •A document should be provided to the neighbor explaining the meaning of any technical terms. Where possible real-life examples should be used to illustrate the terms used. This document should be provided to renters as well. The Enforcement Event Issue: No contact with Owner/Representative Discussion: In cases where a complaint is received by the City, the current process is to call the STVR owner or property management representative. This begins a 45-minute clock as required by the City ordinance. In the event the City is unable to contact the responsible party within a 45-minute window, the escalation process is to report the issue to RCS and handoff to them. This process has proven ineffective as the RCS often takes significant time to respond – if at all. In the meantime, the City has no way of verifying the complaint, and the neighbor continues to endure the problem. The issue seems to predominantly affect STVR properties where there is a non- resident or externally managed property (needs to be verified by City statistics). While a fine may be issued to the STVR property owner after the 45-minute window has expired, this does not help at all with enforcement of the actual issue being reported. In addition, the fine may be dismissed as simply a “cost of doing City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 25 of 48 business” by the property owner and absorbed by them (or passed on to the offending renter if possible). Recommendation: •Implement an escalation process whereby if the first call to the designated contact goes unanswered within a 30-minute window, a call is made to RSO and a mandatory citation is issued. •As described above, increase the number of trained and dedicated enforcement personnel to levels that can actively address the situation with or without the homeowner / property manager. Issue: Noise/ Behavior/Party events Discussion: Noise and behavior related disturbances represent a significant portion of overall complaints (need to incorporate City data). Also, these complaints tend to be high profile and very visible in the community, as they potentially impact all neighbors surrounding the property and interfere directly with neighborhood quality of life. Often there is a three-way knowledge gap (STVR homeowner, renter and neighbor) about exactly how much noise is too much, and what conduct is acceptable during daylight or nighttime hours. City and county statues/ordinances are definitive and objective in this regard, however they are of little use as they rely on technical specifications such as dB(A) ratings etc., and do not supply enough guidance for measurement. This leads to deeply subjective interpretation of the relevant rules and unrealistic expectations from neighbors about exactly how much noise is acceptable. Recommendation: •A document should be prepared and provided to all parties clarifying definitively the meaning of any technical measurements and how these measurements should be interpreted. (See also above). •Enforcement personnel should be provided with and trained to use relevant noise level meters and other tools that enhance objective measurement of noise. They should also be trained to explain the results of these measurements to neighbors and renters in the event of a complaint. •Where possible, real-life examples should be used to illustrate the terms used. This document should be provided to renters as well. •The City should implement tutorial workshops that clarify what the noise and behavior rules are. These workshops should open to all community members and conducted on a regular basis (perhaps once every calendar quarter). •Quiet hours shall be between the hours of 10:00 pm and 8am. No amplified noise shall be permitted between the hours of 8pm to 8am. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 26 of 48 Issue: Occupancy Limit violations Discussion: The City places occupancy limits on all occupied dwellings, however enforcement is difficult in most cases because of privacy issues. In the case of STVR properties, the most visible issue results from parties or renters allowing additional occupants overnight on the property. This problem is also difficult to manage from an STVR owner’s perspective as often the renter declares substantially fewer occupants on the lease than actually show up. Enforcement is difficult when there are no other issues with the rental property, however when a complaint is issued, the City is empowered to ask (and verify) how many occupants are on property. (need to check legality of this). This problem is seldom an isolated issue: it usually arises as part of a complaint involving noise, vandalism, trespassing (i.e. people in pools) or some other behavior. From an STVR rental issue, this problem may not need to be addressed unless it is the cause of some other complaint. However, if such a complaint is filed (particularly in evening or nighttime hours), the City has a responsibility to respond. Recommendation: •Empower and require enforcement personnel to ask and verify (subject to legal applicability) the number of occupants at time of a complaint. •Notify the STVR owner or property manager immediately if a citation will be issued. This is will enable recovery of any fines from the occupants before security deposits are refunded, etc. •Limit overnight parking for STVR properties (see also below). (This is the way some HOA communities manage occupancy issues) Issue: Parking Discussion: Excessive vehicle parking in and around the property is disruptive to neighbors and represents safety issues on smaller, narrower streets. Often, mailboxes and fire hydrants are obstructed in violation of city codes. Recommendation : •Require the Owner/Contact person/Property Manager obtain a list of vehicle license plate numbers for renters occupying the property. This list must be City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 27 of 48 available to the compliance officer upon demand. Failure to provide this list will result in a citation. •Limit the number of vehicles that may be parked on the street to a maximum of three vehicles during times the property is rented. Issue: Trash Discussion: Trash is sometimes left out on the street when renters exit the property, creating an objectionable look and possibly a health hazard. Also, trash policies can vary depending on location within the city. For example, certain HOA communities may have different trash regulations from other non HOA communities. Recommendation: •Current regulations are adequate for dealing with this issue, however during the process of getting a license, the STVR applicant should be specifically made aware of the current trash collection policy, including the availability of larger capacity bins and concierge collection services, as well as the fines associated with non-compliance. •The STVR owner must inform the renter in writing of the property specific trash policy as part of the rental agreement. After the enforcement event Issue: Repeat offenders /3 Strikes Discussion: There is evidence that while some STVR properties are repeat offenders, a vast majority of properties are not unduly disruptive from an enforcement perspective. This means that many of the enforcement issues discussed here result from a relatively small proportion of STVR properties. (Note: The issue of STVR Density, the effects on quality of life and community perspectives etc. are outside the scope of this Enforcement Subcommittee and will be addressed by the main group). Therefore, there should be a heavy focus on enforcement of repeat offenders, as they contribute disproportionately to how the overall program is perceived. The City already has measures in place that deal with “threepeat” offenders. Anecdotal evidence suggests these measures are not being used. One reason may be because the City does not have adequate dedicated resources to manage the enforcement program, allowing repeat offenders to get away with multiple offenses. It also disrupts the neighborhood, provides negative press and denies the City access to substantial revenues from the program (see above). City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 28 of 48 Recommendation: •Reduce the current 3-strike rule to a 2-strike rule for noise and personal conduct violations. •In the event an STVR permit is suspended for any cause, the City shall notify the Owner, and any contact person or Property Management firm associated with the property. In addition, a notification of suspension shall be sent to all neighbors adjacent to (on all sides) and across the street from of the suspended property. •Staff the hotline with a live, (local) person who is familiar with La Quinta geography and empowered and equipped to initiate complaint resolution immediately. (See previously). •Increase field enforcement staffing by at least two full time STVR trained officers available for immediate dispatch during times of need. (See previously). City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 29 of 48 Appendix 2 – Recommendations on Violations City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 30 of 48 City of La Quinta STVR Committee Recommendations on Violations This report contains specific recommendations on violations unanimously approved by the Enforcement Subcommittee. In generating these recommendations, the Subcommittee has considered the relative impact of violations including - but not limited to - three primary areas: •Impact on the ability of the City to effectively regulate and manage STVR Properties •Impact of a compliance violation on neighboring properties •Aligning the interests of an STVR homeowner with the interests of the neighborhood. The Subcommittee believes the magnitude of fines assessed should be strong enough to act as a behavioral modifier with respect to future conduct, with the three most serious offenses being: •Operating without a permit (bypassing the regulatory process altogether) •Noise and personal conduct violations (neighborhood and quality of life disruption) •Serial offenses (repeated violations) Research indicates the vast majority of STVR properties comply with existing regulations, however the relative few that do not tend to result in highly visible and disruptive behaviors that impact neighborhood quality of life and require significant City resources to manage. It is therefore prudent to ensure the fine structure is sufficient to discourage future activity. These recommendations are consistent with adjacent Coachella Valley Cities STVR fine structures. 1.General STVR Violations (Noise / Parking) – •First Violation: $1,000 •Second Violation: $2,000 + Suspension of STVR permit for a period of not less than 30 days and not more than 1 year 2.Operating a STVR without a valid short-term vacation rental permit – •First Violation: $4,000 + Suspension on applying for a STVR permit for a period of not less than 30 days (with every additional day being an offense) City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 31 of 48 •Second Violation: $6,000 + Suspension on applying for a STVR permit for a period of not less than 1 year (with every additional day being an offense) 3.Failure to respond within the defined timeframe in person or by phone – •First Violation: $2,000 •Second Violation: $2,000 + Suspension of STVR permit for a period of not less than 30 days 4.Exceeding Occupancy Limits without a permit – •First Violation: $2,500 •Second Violation: $5,000 + Suspension of STVR permit for a period of not less than 30 days 5.The City will notify all adjacent properties as indicated in the illustration below in the event an STVR permit is revoked for any reason or any length of time. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 32 of 48 Appendix 3 – Recommendations on Permitting City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 33 of 48 City of La Quinta STVR Committee Recommendations on Permitting The Subcommittee on STVR Licensing has been formed to frame issues and make recommendations relating to licensing of STVR properties in the City. Discussion The City of La Quinta currently has a single class of license for all types of STVR properties. Criteria for obtaining a permit is the same irrespective of the type, size, rental capacity or management arrangements for a property. The Committee believes the hosting community can be better served by accommodating two types of licensing, based on how the property is managed. Homeshares: Homeshare properties are rentals where the property owner hosts visitors in the owner’s home, while the owner lives on-site and is in the home throughout the visitor’s stay. Homeshare hosts are resident on the property and tend to rent out a room or two rather than the entire residence. Because they are full time residents, they are viewed as neighbors by adjacent property owners: •Because they are resident, they are immediately contactable at all hours and therefore they promote a neighborhood “look and feel”. •They can directly observe and effectively manage all rental activities. •Rental rules and any other renter behavioral requirements are explained in person (i.e. there is personal and direct information transfer). Compliance is monitored continually (by the resident homeowner), so any conduct or other behavioral issues can be managed in real time. Because of this, issues are addressed before they become problematic from a neighbor or community perspective. STVR’s: STVR properties are properties where the Owner is not living on-site and in the home throughout the visitor’s stay. STVR hosts are not resident on the property for the entire duration of the renters stay and are managed by non-resident property owners or property management firms who may be available locally or out of the area. These properties may be viewed by residents/neighbors (and possibly renters) as commercial enterprises. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 34 of 48 •Property oversight is by the remote homeowner or engagement of a property management firm. •Because there is limited interpersonal contact, compliance is not monitored in real time, and notification to the homeowner or property manager is only made after disruption has occurred and a complaint has been made. •These properties require a disproportionate amount of City resources for compliance enforcement. (Copy of STVR Administrative Citations January 2019 to July 2020 08282020[1].xlsx). Recommendations The Committee believes it appropriate to make the following recommendations: 1.Short Term Rental permits shall be separated into two types of permit categories: Homeshares and STVR Properties - as defined above. 2.Minimum Stay requirements: a.In the case of Homeshares, the Subcommittee does not recommend implementation of a minimum stay requirement. b.In the case of STVR’s, the Subcommittee recommends a two-night minimum stay requirement. 3.Neighbor notification of a new permit or permit renewal: a.As part of the permitting process, the applicant shall notify (at their expense) adjacent property owners of their receiving a permit to operate. For the purposes of notification, the term adjacent property will include all properties surrounding the licensed property as shown in Figure 1 below. b.If the subject property is in a HOA community, the applicant shall also notify (at their expense) the Homeowner Association. c.The permittee shall provide complete documentation regarding rules and regulations pertaining to the rental to the adjacent properties described in 3(a) and 3(b) above. This shall include complete copies of any City recommended documents, contact information for the owner and any designated representative(s), as well as contact details for the City complaint hotline. d.The permittee shall provide to the City proof of service and HOA notification (if applicable) to adjacent property owners as described above, in the form of registered mail receipts or an affidavit certifying service. 4.Property Inspection: a.Virtual inspection: The City shall prepare, and supply to the applicant, a list of requirements that are necessary for property evaluation. The applicant shall City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 35 of 48 provide photographic and any other supporting evidence that these requirements have been met. b.Physical Inspection: The licensee shall make the property available for a physical inspection upon notification from the City. City inspection shall be at the sole discretion of the City and any fees will be paid for by the applicant homeowner 5.Costs of Program Administration. a.All costs associated with administering the program should be fully covered by the permit/licensing fees. b.Homeshare permit fees should therefore be less than STVR permit fees. 6.Permits shall not be transferrable. 7.The City shall prepare an integrated, comprehensive relational database of permittees and applicants. This data framework shall allow for on demand statistical analysis of all aspects of the STVR program, including but not limited to: contact information for the owner and designated emergency contact or property management firm, types of permit, density in relation of adjacent properties, history with details on complaints and/or citations, and any other fields necessary for the effective enforcement and reporting on the STVR program. 8.The address of properties having suspended permits shall be published on the City STVR website, together with the duration of the suspension. 9.In the event a property owner is cited for operating without a permit, a period of not less than 6 months shall pass before the owner can apply for a permit. In the event a property owner is cited a second time for operating without a permit, that owner shall not be eligible for a permit at all. The Subcommittee debated reinstatement options for suspended permits. That is, should the permit be automatically reinstated at the end of a suspension period or should the owner be required to reapply for a new permit. The Subcommittee did not reach a consensus on this issue. The Subcommittee felt the issue should be considered in the context of Density Subcommittee recommendations and the level of desire to achieve a more rapid achievement of the density recommendations. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 36 of 48 Figure 1: Adjacent properties requiring notification of a permit being granted: City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 37 of 48 Appendix 4 – Recommendations on Occupancy Density City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 38 of 48 City of La Quinta STVR Committee Density - Recommendations on Occupancy Density The Subcommittee on STVR Density has been formed to frame issues and make recommendations relating to occupant and property density concentrations of rental properties in the City. There are two questions regarding Density: •Occupancy Density: The number of occupants that are permitted to occupy a given rental property. •Property Density: The number of STVR properties as a percentage of total properties in a geographic area This recommendation is part 1 of 2 and addresses only the issue of Occupancy density. The Subcommittee continues to work on part 2 of 2 – recommendations on Property density. The Subcommittee is recommending Ad-Hoc Committee adoption of the following: Part 1. Occupancy Density Discussion Occupancy caps can be used to manage renter behavior and help preserve neighborhood residential characteristics. The City has daytime and overnight residential limitations on STVR properties; however, issues continue to arise from certain properties where heavily populated gatherings result in neighborhood disruptions from excessive noise or other personal conduct issues (“party houses”). Noise and personal behavior violations resulting from high occupancy events are very visible within the community as they tend to disturb neighbors within a wide radius of the subject property for extended periods. The high visibility and resulting severe adverse community reaction towards these properties often masks the majority of peaceful neighborhood STVR businesses. Citation statistics confirm the noise issue is worse for properties that have absentee owners or managers. This is because an onsite owner/manager is able to directly and expeditiously supervise the property in real time by limiting the occupancy or other renter behavior (and therefore noise generated) of a property. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 39 of 48 Properties where there is no onsite supervision have a more difficult time managing the numbers of people on property as they are in most cases only alerted to the issue after it becomes problematic. For reference, the current ordinance allows the following occupancy: Number of Bedrooms Total Overnight Occupants* Total Daytime Occupants (Including Number of Overnight Occupants)** 0 - Studio 2 2 - 8 1 2 - 4 2 – 8 2 4 – 6 4 – 8 3 6 – 8 6 – 12 4 8 – 10 8 – 16 5 10 – 12 10 – 18 6 12 – 14 12 – 20 7 14 14 – 20 8 16 16 – 22 9 18 18 – 24 The Committee recommends the following occupancy levels: Number of Bedrooms Total Overnight Occupants* Total Daytime Occupants (Including Number of Overnight Occupants)** Studio 3 (1 must be child under 12) 6 1 4 (2 must be children under 12) 6 2 4 8 3 6 10 4 8 12 5 10 14 6 12 16 7 14 18 8 or more 16 18 * Overnight (10:01 p.m. – 6:59 a.m.) ** Daytime (7:00 a.m. – 10:00 p.m.) Note: Occupancy levels exceeding these numbers will require a Special Events Permit. There are several factors for recommending these changes to occupancy limits: City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 40 of 48 •Accommodation has been made for a single family with children under 12 in Studio and one bedroom rentals •Occupancy ranges are not necessary because the concept of a limit implies only the highest number is relevant. •Occupancy ranges may be confusing from an enforcement and STVR renter perspective. •The recommended occupancy levels are consistent with other desert communities. •Reasonable and fair accommodations are made with respect to the number of additional daytime visitors, while also respecting a neighbors’ right to quiet enjoyment, privacy and safety. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 41 of 48 Appendix 5 – Recommendations on Property Density City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 42 of 48 City of La Quinta STVR Committee Density - Recommendations on Property Density The Subcommittee on STVR Density has been formed to frame issues and make recommendations relating to occupant and property density concentrations of rental properties in the City. There are two questions regarding Density: •Occupancy Density: The number of occupants that are permitted to occupy a given rental property. •Property Density: The number of STVR properties as a percentage of total properties in a geographic area This recommendation is part 2 of 2 and addresses only the issue of property density. The Subcommittee has previously submitted recommendations for Part 1: Occupancy Density. The Subcommittee is recommending Ad-Hoc Committee adoption of the following: Part 2. Property Density Discussion Residential neighborhoods are social communities because the people that live in them commonly talk and interact with each other. A neighborhood is commonly defined as “the spatial units in which face-to-face social interactions occur—the personal settings and situations where relationships develop, and residents seek to realize common values, socialize youth, and maintain effective social control.” For this reason, neighborhoods are often zoned to exclude commercial businesses or industrial development. In 2012, La Quinta passed an ordinance to allow appropriately permitted homes to operate as business entities in residential zones (STVR Ordinance 3.25). While ordinance has been amended as the STVR business has evolved, the rapid increase of commercial enterprise has had an impact on the residential nature of the neighborhood. If it is desired to maintain a sense of community (i.e. neighborhood “look and feel”), there should be a balance between STVR properties and residential properties such that enough residential properties are preserved to maintain that sense of community. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 43 of 48 STVR’s by nature comprise transient occupants who are not resident in the community long enough to establish relationships capable of building community. High concentrations of STVR’s with significant transient occupancy rates result in areas becoming commercial zones rather than residential neighborhoods. An additional concern is the ‘clustering’ of STRs in some areas which overburden some neighborhoods. Preservation of a neighborhood (and sense of community) will therefore depend on effectively managing the balance between STVR density/clustering and residential properties. Significant research by the Subcommittee (including review of STR codes, densities, allowances, restrictions in the Coachella Valley, as well as other like cities) has revealed the short-term rental community can be subdivided into two constituent groups - Homeshares and STVR’s: Homeshares: Homeshare properties are rentals where the property owner hosts visitors in the owner’s home, while the Owner lives on-site and in the home throughout the visitor’s stay. Homeshare owners are resident on the property and tend to rent out a room or two rather than the entire residence. Because they are resident, they are viewed as neighbors by adjacent property owners: •They are immediately contactable at all hours and therefore they do not detract from the neighborhood “look and feel”. •They can directly observe and effectively manage all rental activities in real time. •Rental rules and any other renter behavioral requirements are explained in person (direct information transfer). •Compliance is monitored continually, so any conduct or other behavioral issues can be managed in real time. STVR’s: STVR properties are properties where the Owner is not living on-site and in the home throughout the visitor’s stay. STVR owners are not resident on the property and may be managed by absentee property owners or property management firms. These properties may be viewed by residents/neighbors (and possibly renters) as commercial enterprises. •Property oversight is by the remote homeowner or engagement of a property management firm. •While renters do sign contracts, because there may be limited interpersonal contact, they may not be adequately vetted immediately prior to occupancy. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 44 of 48 •Compliance is not monitored in real time, and notification to the homeowner or property manager is only made after disruption has occurred and a complaint has been made (~75% of citations are to non-resident owners). The desired goal is to prevent the complaint altogether. Because of these critical differences, the Committee believes it appropriate to make the following recommendations: 10.For the purposes of property density recommendations, Short Term Rental properties shall be separated into two categories: Homeshares and STVR Properties - as defined above. 11.In the case of Homeshares, the Subcommittee does not recommend implementation of density limitations at this time. 12.In the case of STVR’s, the Subcommittee recommends that STVR permits be limited to: a.For single family residences, one STVR property per 300 feet radius of a previously permitted property. b.For condominium complexes consisting of four or more units, two STVR properties per 300 feet radius. 13.Tourist Commercial Zones should be exempt from density limitations. 14.The Subcommittee was able to achieve consensus on how these density recommendations should be implemented: a.Approve pending and new applications that comply with the density requirement above b.Properties that have their permits suspended shall be required to reapply for a permit and be subjected to the density recommendations c.Phasing in density limits to existing STVR’s that do not comply with the density requirement with renewals effective in 2022 An example of the recommended property radius is shown below (La Quinta Cove). Note radius is measured from the property boundaries. City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 45 of 48 Figure 3 Illustrative example of La Quinta Cove with proposed 300 foot density recommendation City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 46 of 48 Appendix 6 – Recommendations on Marketing City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 47 of 48 City of La Quinta STVR Committee Recommendations on Marketing Discussion Recognizing that the quiet enjoyment of neighbors is critical for success of the La Quinta STVR program, the Marketing Sub-committee is recommending an immediate focus on 5 key areas that should be implemented quickly to improve compliance by all stakeholders, as well as educating and gaining confidence of the neighbors of STVRs. Recommendations Compile and Distribute Host Checklist: This checklist should be compiled and pushed to Hosts via the MuniRevs email list and posted in MuniRevs as a task to be completed and tracked. The priority would be distribution to owners and managers of known problem properties. The goal of the checklist is to educate Hosts on best practices they should implement immediately to ensure guests are informed and neighbors' interests are being considered. The Checklist should include items required by city code, and recommendations for other specific items that will enable a responsible Host to manage expectations before problems occur. Update Good Neighbor/Good Guest Brochure: The Good Neighbor Brochure should be updated and strengthened by the City marketing staff. The sub-committee has offered additional suggestions to make it even more useful for Hosts, including renaming it the Good Guest brochure, making it a one-sided sheet for easy posting and formatting for durability in a vacation rental. The Sub-Committee also recommends a second, Neighbor specific brochure be generated to educate neighbors about when and how to open complaints - for example "Call about This, Not That". The Neighbor specific brochure would be distributed to all homes in the vicinity of a vacation rental as part of the neighbor notification requirement recommended by the Permitting sub-committee. Host Training & Best Practices: City of La Quinta Ad-Hoc STVR Committee Final Report & Recommendations Rev 3 Page 48 of 48 The sub-committee has recommended a draft guest on-boarding process for the purpose of creating a Host Training Certification with live workshops and/or video training and a Host testing platform. The goal of this training is to improve hosting capabilities and guest management to reduce complaints and drive compliance, resulting in fewer violations. This recommendation supports other recommendations from the Permitting sub-committee that Hosts complete training for permit renewal. Violation Notice/Supplement: Guests are often uninformed by Hosts and/or lacking intel about the noise orders and expectations when occupying a vacation rental. The sub-committee recommends creating a Violation Brochure/Letter issued to Guests at the time Code Enforcement or the Sheriff visits the home in response to a complaint. Currently, Citations are issued to Owners and not Guests. The intent of this strongly worded 1-page document should be to inform the Guest that a citation with fines may have been issued for which they may be financially responsible as well and that any additional complaints may result in their immediate evacuation from the property and the Host's license being suspended. Create Welcome Guest Video: The Subcommittee recommends creation of a “Welcome Guest Video” to be posted on the City website and YouTube with a link (and/or QR Code) that can be easily shared by Hosts to their guests as part of their pre-arrival on-boarding process. The video should be brief and succinct, approximately 3-4-minute in length and will serve to welcome guests to La Quinta while notifying them that we are a “Neighbors First Community”, as well as addressing expectations about noise, parking, trash, and occupancy. The video should also be shared via social media channels as part of a greater STVR marketing strategy. To facilitate timely distribution, a simple but professional card deck style recording with interspersed stock video and professional voice-over could be created cost-effectively for immediate roll-out - with a longer-range goal of replacing it when a professionally produced is available. A QR code to view the video should be included in the Good Guest brochure. STVR Ad-Hoc Committee Member Submission Some Additional Perspective In the course of reviewing the Ad-Hoc Committee deliberations, work of the four Sub-committees and their processes, as well as extensive community input, an additional area of opportunity has surfaced with regard to data collection and management, enforcement pressure and culture and overall program oversight. All of this suggests it may be time to look at how the program is managed given the significant growth in recent years and the complex challenges that brings. Data collection and management Criticism about the data available to the committee was a recurring theme. While staff provided multiple data sets from the software programs used to manage the program, analysis of the raw data was absent and left to the sub-committees to complete. This surfaced the following issues: •The software programs used to manage the program, MuniRevs, LodgingRevs, and GoRequest, are not fully developed to capture the necessary data and produce reporting for properly monitoring and measuring performance. •The information that is being collected has multiple data hygiene issues including: o The same licensee is listed with name variations in MuniRevs making each one appear as a unique entity and therefore skewing reports that would quantify permits or citations per licensee. o The address entered into GoRequest for complaints and citations is not formatted consistently making it difficult to quantify citations by address. •The software programs cannot speak to each other for accurate and real-time reporting of the relational data creating a high level of effort for staff to overlay the data sets. o There is no primary key in GoRequest, such as permit number, to align with MuniRevs to allow one to quickly and easily quantify complaints or citations by permitee or licensee. •There is no dashboard and no set of on-demand reports from the software for staff to quickly and proactively assess or explain problems with the program. Enforcement Pressure & Culture The Code Enforcement team has responsibility for more than 25,000 dwellings in the city, 5.3% of which are STVRs. Typical code complaints are items that, while annoying, are not typically urgent. The players, home owners, remain the same throughout the case and the goal, as describe by code staff, is to work with neighbors to gain compliance. These cases can take days to years to resolve. These complaints include: •Property Maintenance/ Illegal garage conversions •Illegal Dumping •Vehicle Issues •Graffiti & Vandalism •Landscape & Weeds CHAIRPERSON AND COMMITTEE MEMBER ITEMS NO. 2 STVR complaints are quite different. They often stem from properties that are over-occupancy and operating without a license and include: •After-hours noise & parties •Guest behavior, including trash •Excessive vehicles & parking As evidenced by the vast amount of qualitative data received by the Ad Hoc committee from neighbors of STVRs, neighbors desire urgent and immediate remediation for their peace and quality of life. With STVR complaints, the players change every few days and therefore the goal must be immediate behavior modification rather than compliance in time. We would recommend that management examine whether the structure and culture of the Code Enforcement department is properly aligned to anticipate and respond to STVR complaints for the immediate remediation desired by neighbors. Span of Control and Program Oversight The STVR program has never fit neatly into any one department at the City. Over the years, as the program has grown and changed, it has moved from the Finance Department to Community Development and now to Design and Development with support from Community Resources for enforcement. Today, it is being touched by 17 full-time employees across two departments. Source: July 9, 2020 Committee Packet Both directors overseeing the program have significant other responsibilities. The Community Resources Director is responsible for: •Code Compliance, including STVRs •Human Resources •Public Safety •Emergency Services Recreation Facilities & Programs: •Wellness Center •Museum •Library •Public Art The Design & Development Director has primary oversight of the STVR program as well as: •Building Division •Planning Division •The HUB (Permit & License Center) 1.Building Permits 2.Businesses Licenses- All Other 3.Film Permits 4.Garage Sale Permits 5.Special Event Permits 6.STVR Businesses Licenses (operators) 7.STVR Permits (homes) It should be noted that the Planning and Building divisions were completely separate departments with their own department directors until a re-organization a few years ago. The Hub also reports to this department and handles STVR licenses and permits but they also process a whole host of other licenses for residents and the business and development community. Staff has made significant improvements to the STVR program and has grown it to generate $3.5 million in transient occupancy tax last year, which likely would have been met or exceeded if not for the pandemic and shut-down. But with more than 1300 homes now permitted, complaints have grown to an all-time high and there is a heightened awareness of the issues STVRs bring that likely will not disappear when the covid crisis is resolved. The City is effectively managing the program with a committee of 17 full-time employees, none of whom are solely dedicated to the program, and the ongoing comments from neighbors suggest a lack of confidence the city can quickly change the culture of vacation rentals in the near term. For comparison purposes, the golf operation at SilverRock, generates approximately the same amount of annual revenue yet has an entire team of nearly 50 dedicated to its management through a contract with Landmark. To continue to generate the significant transient occupancy tax that STVRs deliver, while also maintaining the balance our neighborhoods desire and quickly gaining the confidence of neighbors, we would suggest that the time has come that the program would best be served with a dedicated champion- a high-level manager with no competing responsibilities who is dedicated entirely to this program. Based on the data and enforcement issues outlined above, we would urge the City to consider a Manager/Ombudsman type individual possessing the following qualities: •Collaborative with strong conflict management skills •Strong Customer Service and Outreach skills to proactively follow-up with neighbors and HOAs to understand and resolve community impacts with immediacy •Strong analytical skills to turn data into information, spot data collection problems and the ability to identify trends and make recommendations surfaced by reporting from software, Code Enforcement and The Hub •Economic development mentality who understands the importance of sustaining TOT •Highly technical skills for understanding the digital tools and the ability to lead the continual development of the software platforms so the City can keep pace with market and advertising platform changes. We would also recommend that the City consider assigning dedicated Code Enforcement officers to report to this position, cross-trained to act as junior community ombudsmen, as an active and visible presence in problem areas working closely with neighbors and hosts to shift the STVR culture in our community. WRITTEN PUBLIC COMMENTS STVR AD-HOC COMMITTEE MEETING DECEMBER 3, 2020 From: To:Lori Lorett Cc: Subject:STVR PROPERTY DENSITY CONCERNS Date:Tuesday, November 10, 2020 12:24:43 PM Attachments:image001.png image002.png image003.png image004.png image005.png ** EXTERNAL: This message originated outside of the City of La Quinta. Please use proper judgement and caution when opening attachments, clicking links or responding to requests for information. ** Lori, I wanted to provide the city of La Quinta’s city council and STVR sub committee an illustration of the number of STVR properties that would be out of compliance at time of renewal. The data points were provided from; STVR Report is current as of October 30, 2020 and it contains all Active & Suspended STVR permits as of this date. This map used the address’s from the list provided, a 300 ft radius to each address, with a red ring to surround the radius. The purpose of these illustrations are to show how drastic this suggested property density code is and how much this would affect the city and community by implanting these restrictions. Please keep in mind that many of these properties rely on the income, and pay the proper imposed taxes to the city. It is frightening what would happen if the city were too discontinue renewing these licenses, and prevent new applications. The city would lose a large amount of the TOT and create a sell off of the properties that would normally rely on this rental income. I propose that these or similar maps be included as illustrative purposes, for all future property density decisions, as these drastic changes would have huge fiscal consequences for the city of La Quinta, and all property owners within the city. STVR PROGRAM AD-HOC COMMITTEE MEETING - DECEMBER 3, 2020 - PUBLIC COMMENTS BY RESIDENT PATRICK HARLOW PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - RELATED TO STVR STVR PROGRAM AD-HOC COMMITTEE MEETING - DECEMBER 3, 2020 - PUBLIC COMMENTS BY RESIDENT PATRICK HARLOW PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - RELATED TO STVR I can help you! Patrick Harlow Mortgage Loan Originator Stearns Lending, LLC | | Stearns.com/PHarlow Stearns Lending, LLC is an Equal Housing Lender STVR PROGRAM AD-HOC COMMITTEE MEETING - DECEMBER 3, 2020 - PUBLIC COMMENTS BY RESIDENT PATRICK HARLOW PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - RELATED TO STVR From: To:Lori Lorett Subject:Short term rental recommendation for Ad-Hoc Committee Date:Wednesday, November 11, 2020 11:10:07 AM ** EXTERNAL: This message originated outside of the City of La Quinta. Please use proper judgement and caution when opening attachments, clicking links or responding to requests for information. ** Hi Lori, Can you please pass this along to the Ad-Hoc Committee? I’m currently a short term rental host with a local property manager managing the house and guests when they arrive. I have noise aware and monitor the noise outside so I know when guests are playing music outdoors. I communicate the "no amplified sound" executive order to my guests prior to their booking and prior to their arrival, but some guests think they can play music outside at a “reasonable level” anyway. Even when I text them to stop playing music outside, many times they think it is not a problem and will continue to play music. The problem I see with the current enforcement is that the guests are not being held accountable with the city. Yes, I can make them sign a contract that says they must pay me back if they break the rules, but that is difficult for me to pursue. If a guest commits any other crime like theft, or assault, the guest is arrested and held accountable. I think guests should be held accountable to the rental laws in the same way in regards to citations. My suggestion would be to have guests sign an on-line waiver that explains the noise and occupancy requirements. In a perfect world and aided with technology, code enforcement would be able to look up an address to see if a waiver was signed by the guests. If a waiver was signed, then the burden of the citation would be on the guest, not the host. If a waiver was not signed, then the burden of the citation would be on the host for not communication the laws and requirements. As a host, I personally would not let a guest stay at my property without signing such a waiver. Best, Andy STVR PROGRAM AD-HOC COMMITTEE MEETING - DECEMBER 3, 2020 - PUBLIC COMMENTS BY RESIDENT ANDY MYERS PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - RELATED TO STVR From: To:Lori Lorett Cc: Subject:Written Public Comments for La Quinta"s STR Program Date:Wednesday, December 2, 2020 8:06:41 AM ** EXTERNAL: This message originated outside of the City of La Quinta. Please use proper judgement and caution when opening attachments, clicking links or responding to requests for information. ** Lori, I would like to submit written comments in favor of La Quinta's STR Program. Can you confirm receipt when you have a chance? Here is the requested info, per the website: 1)Full Name: Brent Lamb 2)City of Residence: La Quinta 3)Phone Number: 4)Public Comment 5)Subject: Written Public Comments in Favor of La Quinta's STR Program 6)Written Comments: "My wife and I rely on the income we receive in renting out our house to short term renters to support our family, especially since I recently lost my job due to covid layoffs. We understand that there are some issues with some STR permit holders, but the minority of STR holders who are causing issues should not jeopardize the STR program for the majority of folks who are respectful and abide by the rules. We ask that you please consider this, as well as the the impact that not allowing STRs will have on our La Quinta community, such as the further impact to small businesses, and devastating loss of tax revenue that our schools rely on, our police and fire departments, city workforce, infrastructure, jails, parks, and countless other public and municipal services and resources that our hard working residents rely on. We support more stringent rules for STRs to alleviate the issues caused by the rise in vacation rentals from the pandemic. However, the pandemic will come to an end and the rate of vacation rentals will normalize, but the decisions that are made by this committee will have a lasting impact on our community and the people that rely on short term rental income. Let's work together to solve these issues with calm and respectful reasoning. Thank you for your consideration." STVR PROGRAM AD-HOC COMMITTEE MEETING - DECEMBER 3, 2020 - PUBLIC COMMENTS BY RESIDENTS BRENT LAMB PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - RELATED TO STVR From: To:Lori Lorett Subject:Written Comments STVR Ad-Hoc Committee Date:Wednesday, December 2, 2020 12:04:21 PM ** EXTERNAL: This message originated outside of the City of La Quinta. Please use proper judgement and caution when opening attachments, clicking links or responding to requests for information. ** Steven Parker La Quinta, CA To: SVTR Ad-Hoc Committee I wrote another letter to the City Council yesterday, and am writing to inform you once again of the negative impact Short Term Hotel Businesses have on the quality of life for full time residents. The last time I checked, we have approximately 25 of these businesses located on my street alone. Oak Hill at PGA West. That means we are surrounded by businesses full of an ever-changing array of strangers 24/7/365. That also means our life basically sucks all the time with misbehaving renters breaking nearly every community rule in the book on a regular basis, and rarely being caught or fined for their actions. Who knows if they are casing the place for future malfeasance, are felons, or are worse than that. But there you have them. A rotating group of partying jerks right next door, all day, every day. I get it that if you people don't have to live with it, that it's easy to dismiss my complaints as "a few bad apples". That is pure BS. This is a constant and ongoing issue that will never be solved until rentals of less than 30 days are banished once and for all from the city of La Quinta. As soon as it is practical to so in regard to this pandemic, I hate to say this, but we are strongly considering getting the hell out of PGA West and La Quinta because of the nightmare created by these abominations impacting our lives. Thank you. STVR PROGRAM AD-HOC COMMITTEE MEETING - DECEMBER 3, 2020 - PUBLIC COMMENTS BY RESIDENT STEVEN PARKER PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - RELATED TO STVR From: To:Lori Lorett Subject:Written Comments Date:Wednesday, December 2, 2020 11:16:19 PM ** EXTERNAL: This message originated outside of the City of La Quinta. Please use proper judgement and caution when opening attachments, clicking links or responding to requests for information. ** 1)Name- Mariam Avetisyan 2)City- La Quinta 3)Phone Number- 4)Agenda Number- Agenda #3- Density of Single Family STVRs 5)Subject Line- Density of Single Family STVRs 6)Written Comments: Dear Committee, Our house is a single family STVR and is the only STVR on our street. We have never had any complaints and are in a very good relationship with all our neighbors. We do our job to make sure our guests don't bother our neighbors. There is another single family STVR on a parallel street which is on about 285 foot radius from our house. There are no other STVRs on both streets or nearby. I have a few questions: 1. In our scenario, will my property be affected from the 300-foot radius density rule if these two properties are the only STVRs? 2. The other STVR from the parallel street obtained their short term license a few months before us. Which STVR property will be affected from this rule and when? It seems that if the 300-foot radius rule passes, our property will be wrongfully punished. Please advise. Thank you in advance, Mariam STVR PROGRAM AD-HOC COMMITTEE MEETING - DECEMBER 3, 2020 - PUBLIC COMMENTS BY RESIDENT MARIAM AVETISYAN PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - RELATED TO STVR POWER POINT STVR AD-HOC COMMITTEE MEETING DECEMBER 3, 2020 STVR Program Ad-Hoc Committee Meeting December 3, 2020 1 SHORT-TERM VACATION RENTAL PROGRAM AD-HOC COMMITTEE December 3, 2020 1 2 STVR Program Ad-Hoc Committee Meeting December 3, 2020 2 REPORTS AND INFORMATIONAL ITEMS: REVIEW TIMELINE OF COMMITTEE RECOMMENATIONS TO CITY COUNCIL CHAIRPERSON AND COMMITTEE MEMBER ITEMS ITEM NO. 1 REVIEW CHAIRPERSON FINAL REPORT 3 4 STVR Program Ad-Hoc Committee Meeting December 3, 2020 3 CHAIRPERSON AND COMMITTEE MEMBER ITEMS ITEM NO. 2 REVIEW COMMITTEE MEMBER ADDITIONAL PERSPECTIVE THANK YOU FOR COMING! THE CITY OF LA QUINTA WOULD LIKE TO THANK YOU FOR YOUR PARTICIPATION IN THE STVR PROGRAM AD-HOC COMMITTEE! 5 6