Loading...
HomeMy WebLinkAboutCouncil Presentation - Short Term and Vacation Rentals OrdinanceJane Fairall, Town Attorney 3/31/2023 Short-Term and Vacation Rentals 2 •2016: SB1350 preempted local governments’ zoning authority over short-term/vacation rentals •2019: HB2672 slightly expanded local governments’ authority to deal with problems resulting from short-term rentals •2022: SB1168 allows municipalities additional regulatory authority regarding vacation and short-term rentals Legislative History 3 •Adds new Chapter 9-14 “Short-Term and Vacation Rentals” to the Marana Town Code •Based on model League of Arizona Cities & Towns ordinance Proposed Ordinance 4 •Requires owner of STR to do all of the following: •Obtain & maintain a business license from the Town •Provide notice to certain specified neighbors before offering the STR for rent •Provide emergency point of contact available within 60 minutes in an emergency; within 24 hours for non-emergency •Maintain liability insurance of at least $500K –or –advertise through an online lodging marketplace that provides equal or greater coverage •Conduct sex offender background checks on rental guests Owner Requirements 5 •Prohibited Uses of STR •Any nonresidential use •Holding a special event that requires a permit or license pursuant to a town ordinance or state law or rule •Operating a retail business, restaurant, event center, banquet hall or similar use •Housing sex offenders •Operating or maintaining a sober living home Prohibited Uses •Prohibited Uses of STR (continued) •Selling or offering for sale, consideration, or entrance fee, liquor or illegal drugs •Commercial display or production of pornography •Obscenity as prohibited by A.R.S. title 13, chapter 35 •Operating or maintaining an adult-oriented business including nude or topless dancing •Any other use prohibited by A.R.S. §9-500.39 or the Town Code Prohibited Uses 7 •Allows for 12-month suspension of license for: •3 “verified violations” (i.e., violation of state law or town code with finding of guilt or responsibility) within a 12-month period, not including an aesthetic, solid waste disposal, or vehicle parking violation that is not a serious threat to public health and safety. •1 “verified violation” that results in or constitutes any of the following: •A felony offense committed at or in the vicinity of the STR by owner or owner’s designee •A serious physical injury or wrongful death at or related to a STR resulting from the knowing, intentional or reckless conduct of the owner or owner’s designee •The owner or owner’s designee knowingly or intentionally housing a sex offender, allowing offenses related to adult-oriented businesses, sexual offenses, or prostitution, or operating or maintaining a sober living home •The owner or owner’s designee knowingly or intentionally allowing the use of a STR for a special event that requires a permit or license per Town Code or state law or for a retail, restaurant, banquet space or other similar use License Suspension 8 •Violation of code will result in civil code violation case in accordance with chapter 5-7 of Town Code •Up to $1,000 civil sanction per violation •Order to abate and correct•Additional civil penalties for “verified violations”: •Up to $500 or up to an amount equal to 1 night’s rent, whichever is greater, for 1st violation •Up to $1,000 or up to an amount equal to 2 nights’ rent, whichever is greater, for 2nd violation •Up to $3,500 or up to an amount equal to 3 nights’ rent, whichever is greater, for 3rd and any subsequent violation Civil Violations & Penalties 9 •Additional civil penalties: •Up to $1,000 per month if STR owner or owner’s fails to apply for a license within 30 days of receiving written notice from the Town •Up to $1,000 for every 30 days STR owner fails to provide contact information for an emergency point of contact Civil Violations & Penalties 10 •Bring back to Council for adoption on 4/4, subject to feedback tonight •Concurrent ordinance amending comprehensive fee schedule to add fee for license also on 4/4 agenda •$60 initial license; $40 for annual renewal •Notify any known short-term/vacation rentals in the Town of 30-day time period to apply for license Next Steps 1111 Discussion