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ORD 591 Chapter 3.25 Non-Issuance of New STVR Permits ORDINANCE NO. 591 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, AMENDING CHAPTER 3.25 OF THE LA QUINTA MUNICIPAL CODE BY ADDING SECTION 3.25.055 RELATED TO NON-ISSUANCE OF NEW SHORT-TERM VACATION RENTAL PERMITS AND SECTION 3.25.065 RELATED TO GROUNDS FOR DENIAL OF SHORT-TERM VACATION RENTAL PERMITS WHEREAS, Chapter 3.25 of the La Quinta Municipal Code (LQMC) relates to short-term vacation rentals; and WHEREAS, the City has the authority to regulate businesses operating within the City; and WHEREAS, Chapter 3.25 of the LQMC addresses permitted uses, short- term vacation rental process and permitting procedures; and WHEREAS, the proposed amendments are intended to impose regulations for the non-issuance of new short-term vacation rental permits upon the effective date of this Ordinance, and periodic review by the City Council of the impacts on the non-issuance regulations, under the City’s short- term vacation rental program, as more particularly set forth in this Ordinance. NOW, THEREFORE, the City Council of the City of La Quinta does ordain as follows: SECTION 1. Chapter 3.25 shall be amended by adding Section 3.25.055 Non-issuance of new short-term vacation rental permits; Periodic council review, as written in "Exhibit A" attached hereto and incorporated herein by reference. SECTION 2. Chapter 3.25 shall be amended by adding Section 3.25.0065 Short-term vacation rental permit – Grounds for denial, as written in "Exhibit A" attached hereto and incorporated herein by reference. SECTION 3. Corrective Amendments: The City Council does hereby grant the City Clerk the ability to make minor amendments and corrections of typographical or clerical errors to "Exhibit A" to ensure consistency of all approved text amendments prior to the publication in the La Quinta Municipal Code. Ordinance No. 591 Amendments to Chapter 3.25 Short-Term Vacation Rentals (STVR) Adding Section 3.25.055 Related to Non-Issuance of New STVR Permits Adding Section 3.25.065 Related to Grounds for Denial of STVR Permits Adopted: April 20, 2021 Page 4 of 6 Chapter 3.25 SHORT-TERM VACATION RENTALS Chapter 3.25 SHORT-TERM VACATION RENTALS 3.25.055 Non-issuance of new short-term vacation rental permits; Periodic council review. A. Commencing May 20, 2021, which is the effective date of the ordinance adding this section, there shall be no processing of, or issuance for, any applications for a new short-term vacation rental permit, required by this chapter to use or operate a short-term vacation rental unit in the city, except applications for a new a short-term vacation rental permit covering a short-term vacation rental unit that meets one or more of the following: 1. A residential dwelling within a residential project located in the CT Tourist Commercial District zone, as defined in Section 9.70.070 (or successor section) of this code and depicted in the city’s official zoning map. 2. A residential dwelling within a residential project located in the VC Village Commercial District zone, as defined in Section 9.70.100 (or successor section) of this code and depicted in the city’s official zoning map. 3. A residential dwelling within a residential project subject to a development agreement with the city, or subject to a condition of approval(s) attached to any entitlement approved by the city (including but not limited to a specific plan, subdivision map, or site development permit), pursuant to which short-term vacation rentals are a permitted use, and the residential dwelling’s use as a short-term vacation rental is authorized under a declaration of covenants, conditions, and restrictions (CC&Rs), for the residential project. 4. A residential dwelling within the area covered by the SilverRock Resort Specific Plan. B. The city manager or authorized designee shall have the authority to implement policies or procedures to review and verify whether an application for a new short-term vacation rental permit meets the criteria set forth in this section. C. This section shall not apply to applications for a renewal of an existing short-term vacation rental permit and business license, submitted in EXHIBIT A Ordinance No. 591 Amendments to Chapter 3.25 Short-Term Vacation Rentals (STVR) Adding Section 3.25.055 Related to Non-Issuance of New STVR Permits Adding Section 3.25.065 Related to Grounds for Denial of STVR Permits Adopted: April 20, 2021 Page 5 of 6 compliance with this chapter, and for which the short-term vacation rental permit is not under suspension or revoked during the time for processing the renewal application, and the short-term vacation rental unit covered by the renewal application is not in violation of this chapter or any other provisions of this code. D. The city council shall periodically review the impacts or effects, if any, caused by the non-issuance of new short-term vacation rental permits set forth in this section. The city manager or authorized designee shall prepare a report assessing impacts or effects, if any, for the council to review at a regular or special meeting. 3.25.065 Short-term vacation rental permit—Grounds for denial. A. In addition to any other grounds provided in this chapter, an application (including renewal application) for a short-term vacation rental permit may be denied if use of the short-term vacation rental unit has been, will be, or is apt to become any one or more of the following. 1. Prohibited by any local ordinance or by any state or federal law, statute, rule or regulation; 2. A public nuisance; 3. In any way detrimental to the public interest; 4. Prohibited by zoning laws and ordinances. B. An application (including renewal application) for a short-term vacation rental permit may also be denied on the grounds that the applicant has knowingly made a false statement in a material matter either in his/her/their application or in his/her/their testimony before the city manager or other body hearing such testimony. C. This section is intended to be, and shall be construed as being, in alignment with the grounds for denial of a business license set forth in Section 3.28.080 (or successor section) of this code.