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6343ORDINANCE NO. 6343 AN URGENCY ORDINANCE OF THE CITY OF ANAHEIM ADOPTING AN INTERIM MEASURE IMPOSING A MORATORIUM, WITH CERTAIN EXCEPTIONS, ON THE ISSUANCE OR RENEWAL OF USE PERMITS, VARIANCES, BUILDING PERMITS, BUSINESS LICENSES OR ANY OTHER ENTITLEMENTS OR PERMITS PROVIDING FOR THE USE, COMMENCEMENT, ESTABLISHMENT OR OPERATION OF SHORT-TERM RENTALS WITHIN THE CITY OF ANAHEIM. WHEREAS, pursuant to the City's police power, as granted broadly under Article XI, Section 7 of the California Constitution and Section 400 of the Charter of the City of Anaheim, the City Council of the City of Anaheim ("City Council") has the authority to enact and enforce ordinances and regulations for the public peace, morals and welfare of the City and its residents; and WHEREAS, by the adoption of Ordinance No. 6299 on May 13, 2014, the City Council added Chapter 4.05 (Short -Term Rentals) to Title 4 (Business Regulation) of the Anaheim Municipal Code for the purpose of establishing a permit program for owners of residential dwelling units who rent, offer to rent, or advertise for rent said dwelling units to a person or group of persons for occupancy, dwelling, lodging or sleeping purposes for a period of less than thirty (30) consecutive calendar days, i.e., "Short -Term Rentals". Chapter 4.05 (Short -Term Rentals) is known as the "Short -Term Rentals Ordinance"; and WHEREAS, the Short-Terin Rentals Ordinance permitted Short -Tenn Rentals as accessory uses within the Single -Family and Multiple -Family Residential Zones and established standards and regulations relating to the issuance of permits for Short -Term Rentals ; and WHEREAS, by the adoption of Ordinance No. 6317 on March 3, 2015, the City Council added "Short -Tenn Rental Units", as defined in Chapter 4.05 (Short -Term Rentals) of the Anaheim Municipal Code, as a permitted use within the Mixed Use (MU) Overlay Zone subject to a short -tern rental permit as provided in the Short -Term Rentals Ordinance; and WHEREAS, at the time of the adoption of the Short -Tenn Rentals Ordinance, staff found that there were approximately 207 residential dwelling units within the City that were being operated as Short -Tenn Rentals. Since Short -Term Rentals were not then listed as pennitted or conditionally permitted uses in Title 18 (Zoning) of the Anaheim Municipal Code and were not otherwise regulated by the City through a permit process, owners of Short -Term Rentals meeting the requirements of the Short -Term Rentals Ordinance were required to apply for and obtain a pen -nit by no later than July 31, 2014; and WHEREAS, in the approximately sixteen months since the adoption of the Short -Term Rentals Ordinance, the City has received applications for Short -Tenn Rental permits for 373 residential properties; however, only 197 permits have been issued by the City to date. The 1 balance of the applications that have been received are undergoing review for completeness and compliance with the Short -Tenn Rentals Ordinance while the volume of applications continues to grow at the rate of between 5 and 10 per week, which has had the effect of overwhelming staff resources, resulting in a lengthy processing time; and WHEREAS, residents living in close proximity to the locations of Short -Tenn Rentals have expressed concerns to the City of excessive noise, disorderly conduct, overcrowding, traffic congestion, illegal vehicle parking and the accumulation of refuse which has required an escalation in responses from police, Code Enforcement and other City services; and WHEREAS, without following the procedures otherwise required prior to the adoption of a zoning ordinance, California Government Code Section 65858 provides that for the purpose of protecting the public safety, health and welfare, the City Council may adopt, as an urgency measure, an interim ordinance prohibiting any uses which may be in conflict with "a contemplated general plan, specific plan, or zoning proposal that the [City Council], planning commission or the planning department is considering or studying or intends to study within a reasonable time"; and WHEREAS, the City Council recognizes that Short -Term Rentals raise issues of public policy and whether what are essentially commercial uses within residential zones or the Mixed Use (MU) Overlay Zone are compatible with residential uses, and that development standards and implementation regulations for Short -Tenn Rentals require careful consideration and thorough study; and WHEREAS, to address these issues, as well as the community concerns regarding the proliferation and operation of Short -Term Rentals, it is necessary for the City of Anaheim to study the potential impacts such uses may have on the public health, safety and welfare; provided, however, that this City Council finds and determines that it would be fair and equitable to allow applications received by the City prior to the effective date of this Ordinance to be processed and Short -Term Rental permits issued for such pending applications provided that such pending applications are approved and permits issued in compliance with the procedures, terms, conditions and requirements of the Short -Term Rentals Ordinance; and WHEREAS, based on the foregoing facts and the facts presented to the City Council at the meeting at which this Ordinance is introduced and adopted, the City Council finds that, with the exceptions noted herein below, issuing or renewing previously issued use permits, variances, building permits, business licenses, certificates of occupancy, or any other applicable entitlements or permits providing for the use, commencement, establishment and/or operation of Short -Term Rentals prior to the City's completion of its study of the legality, potential impact and regulation of such Short -Term Rentals, would pose a current and immediate threat to the public health, safety or welfare, and that a temporary moratorium on the issuance or renewal of previously issued use permits, variances, building permits, business licenses, certificates of occupancy, and any other applicable entitlements is thus necessary; and WHEREAS, this Ordinance is an interim urgency ordinance adopted pursuant to the authority granted to the City by Government Code Section 65858, and is for the immediate preservation of the public health, safety and welfare. The facts constituting the urgency are: 2 1. The City has received an increased number of public nuisance complaints emanating from Short -Term Rentals, involving the following: (a) Loud, unnecessary and unusual noises, which have disturbed the peace and quiet of neighborhoods and caused discomfort and annoyance to residents of those neighborhoods; (b) Apparent over -occupancy of units, which may pose a public health and safety risk; (c) Excessive on -street parking affecting the ability of residents to park their vehicles within a reasonable distance from their homes; and (d) Parking of small "party buses" on residential streets, affecting the appearance and desirability of neighborhoods. 2. After receiving complaints of this nature, the City has committed resources to investigate and study the impacts of Short -Term Rentals on the surrounding community; and 3. Absent the adoption of this Ordinance, the continued existence of Short -Term Rentals in the City and an increase in the number thereof may result in an even greater increase in nuisance conditions negatively affecting the well-being of the community, thereby diminishing property values and introducing incompatible land uses to existing neighborhoods or in close proximity thereto; and 4. Absent the adoption of this Ordinance, an increase in the number and location of Short-Terin Rentals may increase the burden upon City services due to enforcement of the established standards and regulations relating to the issuance of permits for Short -Tenn Rentals; and 5. Permitting the renewal of previously issued use pennits, variances, building pennits, business licenses, certificates of occupancy, or any other applicable entitlements or permits for the continued use and operation of Short -Term Rentals lawfully existing as of the effective date of this Ordinance during the period this Ordinance is in effect would be contrary to the purpose of this Ordinance, i.e., the need to study the existing and potential impacts of Short -Tenn Rentals and to consider possible amendments to the City's Zoning Ordinance and the development standards and implementation regulations relating to the continued issuance, if at all, of use pennits, variances, building permits, business licenses, certificates of occupancy, or any other applicable entitlements or permits for the use of any land within the City as a Short -Term Rental or the commencement, establishment or operation of a Short -Tenn Rental thereon; and 6. As a result, except for (a) a change of ownership of a Short -Term Rental property or a change of the agent of the owner (as set forth herein below), and (b) pen -nits that may be issued under and in compliance with the procedures, terns, conditions and requirements of the Short - Tenn Rentals Ordinance in response to pending applications that were received by the City prior to the effective date of this Ordinance, it is necessary to establish a temporary, forty-five (45) day 3 moratorium on the issuance or renewal of any use permits, variances, building permits, business licenses, certificates of occupancy, or any other applicable entitlements or pen -nits providing for the use, commencement, establishment and/or operation of new Short -Tenn Rentals in the City, pending completion of the City's study of the potential impacts of Short -Tenn Rentals, and possible amendments to the City's Zoning Ordinance and the development standards and implementation regulations relating to the issuance of permits for Short -Tenn Rentals; and 7. In addition, except for (a) Short -Term Rentals lawfully existing as of the effective date of this Ordinance and (b) permits that may be issued under and in compliance with the procedures, terms, conditions and requirements of the Short -Tenn Rentals Ordinance in response to pending applications that were received by the City prior to the effective date of this Ordinance, it is necessary to prohibit, as a public nuisance, the use of property in any zone of the City for purposes of Short -Term Rental for the duration of this Ordinance, or any extension thereof, and WHEREAS, the City Council determines, by at least a four-fifths (4/5) vote, that this urgency ordinance is a matter of City-wide importance, is a reasonable and necessary measure designed for the immediate preservation and protection of the public health, safety or welfare of the community, and is in accord with the public purposes and provisions of applicable State and local laws and requirements. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ANAHEIM DOES ORDAIN AS FOLLOWS: SECTION 1. The City Council finds that this Ordinance is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly; and it prevents changes in the environment pending the completion of the contemplated municipal code review. SECTION 2. The recitals and statements of fact set forth in the preamble to this Ordinance are true and correct, constitute a substantive part of this Ordinance, and are incorporated herein by this reference. Based on those facts, the City Council finds, determines and declares that this Ordinance is necessary as an emergency measure for the immediate preservation of the public peace, health or safety pursuant to, and as authorized by, Section 65858(a) of the California Government Code and Section 511 of the Anaheim City Charter. Accordingly, this Ordinance shall become effective immediately upon adoption. SECTION 3. With the exception of (1) permits that may be issued under and in compliance with the procedures, terms, conditions and requirements of the Short -Term Rentals Ordinance in response to pending applications that were received by the City prior to the effective date of this Ordinance, and (2) a change of ownership of a Short -Term Rental property or a change of the agent of the owner (as described in the next succeeding section of this Ordinance), it is necessary to establish a temporary, forty-five (45) day moratorium on the commencement, establishment and/or operation of new Short -Term Rentals in the City and on any applications for renewal of Short -Term Rental permits existing on the date this Ordinance is adopted, pending completion of the City's study of the potential impacts and regulation of Short -Term Rentals, and possible amendments to the City's zoning ordinance and related provisions of the Anaheim Municipal Code to ensure that adequate development standards and implementation regulations, which may include a repeal of Ordinances Nos. 6299 and 6317, are in effect prior to any decision on future applications for Short-Terin Rentals. To that end, the Planning and Building Department, with the assistance of the City Attorney's Office, is directed to analyze the appropriateness of Short - Term Rentals within the City limits of the City of Anaheim, including but not limited to, the desirability of Short -Term Rentals, the appropriateness and effectiveness of separation requirements from adjacent sensitive land uses, and the extent of adequate development standards and regulatory controls, should Short -Term Rentals be deemed appropriate. For purposes of this Ordinance, "Short -Term Rentals" shall have the same meaning as that term has in Chapter 4.05 (Short -Term Rentals) of the Anaheim Municipal Code. SECTION 4. Upon a change of ownership of a Short -Term Rental property or a change of the agent of the owner, the License Collector shall issue an amendment to the permit substituting the transferee or the agent (as the case may be), which amendment shall be and remain in effect for the balance of the original term of the Short -Tenn Rental permit, if the following requirements are met: 1. The permit holder submits a request to the License Collector requesting the transfer or a change of the agent. 2. In the case of a change ownership, the transferee has completed and properly filed an application for a Short -Term Rental permit on the form provided by the City with the License Collector (or his/her designee), setting forth the information called for under Section 4.05.060, and has paid a fee in the amount set forth by resolution of the City Council. 3. In the case of a change of the agent of the owner, the owner provides the name, address and telephone number of the new agent. 4. The Short -Term Rental is not in violation of the provisions of the Short-Terin Rentals Ordinance. 5. The permit holder has not been notified by the City that revocation proceedings have been or will be brought against the pen -nit holder. 5 The transfer of a permit for a Short -Tenn Rental or a change in the agent of an owner of a Short -Term Rental shall not impact or impair in any way the City's right to revoke or tenninate the Short -Tenn Rental permit for any reason permitted by the Short -Tenn Rentals Ordinance, including grounds which existed prior to the transfer of the permit or a change in the agent of an owner, as the case may be. SECTION 5. In accordance with the authority granted to the City of Anaheim by California Government Code Section 65858 and Sections 504 and 511 of the Anaheim City Charter and for the reasons set forth herein above, commencing as of the effective date of this Ordinance and continuing thereafter for a period of forty-five (45) days to and including October 30, 2015, no approvals may be made or issued by the City, its officers or employees of any new applications for a use permit, variance, building permit, business license or any other applicable entitlement or pennit, including, without limitation, any applications for renewal of a Short -Term Rental pen -nit existing on the date this Ordinance is adopted, brought pursuant to Chapter 4.05 (Short - Tenn Rentals) of the Anaheim Municipal Code for the use of any land within the City as a Short -Term Rental or the commencement, establishment or operation of a Short -Term Rental thereon; provided, however, that this section shall not apply to (1) a change of ownership of a Short -Term Rental property or a change of the agent of the owner in accordance with the preceding section of this Ordinance, or (2) permits that may be issued under and in compliance with the procedures, terms, conditions and requirements of the Short -Term Rentals Ordinance in response to pending applications received by the City prior to the effective date of this Ordinance. For the period of this Ordinance, or any extension thereof, other than any Short - Term Rental lawfully existing as of the effective date of this Ordinance, a Short -Term Rental shall be considered a prohibited use in any zoning district of the City and neither the Planning Commission, the City Council nor City staff shall approve any use pennit, license, certificate of occupancy, zoning code or general plan amendment allowing the use of any land within the City as a Short -Term Rental. SECTION 6. No person (as defined in 1.01.240 of the Code) shall commence or establish the operation of any Short -Tenn Rental, as defined in this Ordinance, within the City limits of the City of Anaheim during the period this Ordinance is in effect. SECTION 7. Except for (1) any Short -Tern Rental lawfully existing as of the effective date of this Ordinance or (2) any Short -Term Rental lawfully established as a result of permits that may be issued under and in compliance with the procedures, terms, conditions and requirements of the Short -Term Rentals Ordinance in response to pending applications received by the City prior to the effective date of this Ordinance, the commencement, establishment or operation of any Short -Term Rental, as defined in this Ordinance, within the City limits of the City of Anaheim during the period this Ordinance is in effect is declared to be a public nuisance and poses a current and immediate threat to the public health, safety and welfare. Other than (1) any Short - Co Term Rental lawfully existing as of the effective date of this Ordinance or (2) any Short -Term Rental lawfully established as a result of permits that may be issued under and in compliance with the procedures, terms, conditions and requirements of the Short -Term Rentals Ordinance in response to applications received by the City prior to the effective date of this Ordinance, no property in any zone of the City is to be used for purposes of a Short -Tenn Rental during the period this Ordinance is in effect. The use of any property for such purpose shall be a public nuisance. A violation of this Ordinance shall be and is hereby declared to be contrary to the public interest and shall, at the discretion of the City, create a cause of action for injunctive relief as well as any other available civil remedies. Additionally, any person that violates this Ordinance may be subject to the City's applicable administrative remedies, including, but not limited to, the remedies provided in Sections 4.05.120 and 4.05.130 of the Short -Term Rentals Ordinance. SECTION 8. SEVERABILITY. The City Council of the City of Anaheim hereby declares that should any section, paragraph, sentence, phrase, term or word of this Ordinance be declared for any reason to be invalid, it is the intent of the City Council that it would have adopted all other portions of this Ordinance independent of the elimination herefrom of any such portion as may be declared invalid. If any section, subdivision, paragraph, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance, and each section, subdivision, paragraph, sentence, clause and phrase thereof, irrespective of the fact that any one (or more) section, subdivision, paragraph, sentence, clause or phrase had been declared invalid or unconstitutional. SECTION 9. REPORT. The Planning and Building Director is authorized and directed to prepare the report required by paragraph (d) of California Government Code Section 65858 describing the measures taken to alleviate the condition which led to adoption of this Ordinance for presentation to the City Council no later than ten (10) days prior to the expiration of this Ordinance. SECTION 10. EFFECTIVE DATE. This Ordinance shall become effective immediately upon adoption if adopted by at least a four-fifths (4/5) vote of the total members of the City Council and shall be in effect for forty-five (45) days from the date of adoption, unless extended by the City Council as provided in California Government Code Section 65858. SECTION 11. CERTIFICATION; PUBLICATION BY CLERK. The City Clerk shall certify to the passage of this Ordinance and shall cause this Ordinance or a summary thereof to be printed once within fifteen (15) days after its adoption in the Anaheim Bulletin, a newspaper of general circulation, published and circulated in the City of Anaheim. 7 THE FOREGOING ORDINANCE was introduced at a regular meeting of the City Council of the City of Anaheim held on the 1 5thday of September , 2015, and passed and adopted as an urgency measure on that date, by the following roll call vote, and shall be and become effective immediately: AYES: Mayor Tait and Council Members Kring, Murray, and Vanderbilt NOES: Council Member Brandman ABSENT: None ABSTAIN: None CITY OF ANAHEIM By: MA OR OFT E CITY OF ANAHEIM ATTEST: CITY CLERK OF THE CITY F ANAHEIM 111923-v10/TJR STATE OF CALIFORNIA COUNTY OF ORANGE CITY OF ANAHEIM CLERK'S CERTIFICATE ss. I, LINDA ANDAL, City Clerk of the City of Anaheim, do hereby certify that the foregoing original Ordinance No. 6343 was introduced at a regular meeting of the City Council held on the 15th day of September, 2015 and passed and adopted as an urgency measure on that date by the following vote of the members thereof: AYES: Mayor Tait and Council Members Kring, Murray, and Vanderbilt NOES: Council Member Brandman ABSENT: None ABSTAIN: None IN WITNESS WHEREOF, I have hereunto set my hand this 15th day of September, 2015. CITY CLERK OF THE CITY 6F ANAHEIM (SEAL) CLERK'S CERTIFICATE STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF ANAHEIM ) I, LINDA ANDAL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original Ordinance No. 6343 and was published in the Anaheim Bulletin on the 24th day of September, 2015. (SEAL) AFFIDAVIT OF PUBLICATION PROOF OF PUBLICATI STATE OF CALIFORNIA,) ) ss. 40 County of Orange ) I am a citizen of the United States and a resident Proof of Publication of of the County aforesaid; I am over the age of eighteen years, and not a party to or interested in the above -entitled matter. I am the principal Paste Clipping of clerk of the Anaheim Bulletin, a newspaper that Notice SECURELY has been adjudged to be a newspaper of general In This Space circulation by the Superior Court of the County of Orange, State of California, on December 28, - SUMMARY PUBLICATION CITY OF ANAHEIM 1951, Case No. A-21021 in and for the City of try AN URGENCY ORDINANCE OF THE CITY OF ANAHEIM Anaheim, County of Orange, State of California; ;' ADAPTING AN INTERIM MEASURE IMP08ING A MORA- TORIUM, WITH CERTAIN EXCEPTIONS, ON THE ISSU- ANCE OR RENEWAL OF USE PERMITS, VARIANCES, that the notice, of which the annexed is a true BUI) D1NC PERMITS, BUSINESS LICENSES OR ANy OTH- ER ENTI,T7.EMENTS OR PERMITS PR DING FOR THE USE, COMMIN¢qEM NT ESTABUSHIXNT OR OPERA - printed copy, has been published in each regular TI El OF SHORT--TEn RENTALS WITHIN THE CfTY;OF ANAHEIM. and entire issue of said newspaper and not in any Ordinance No'. 6343 Is an urggdncy ordinance -imposing a temporary moratorium, com- mencjn from and after the ad0ptionof Ordinance No. 6343 and continuing to and includ- ing O bar .30, 2015,, on the commencement,, establishment and/or pporation of 'naw supplement thereof on the following dates, to Short arm ji'8ntals-(as defined In Cf a st h.o5 (Short -Term Rentals) of Title 4 4 sihess Regglatlo mf iherAnaheitti Mtunicipal Codg� (tlie 'Shots Term ReOtals Ordinanceaftd on any applications for renewal of ShortTorm Rental permits existing on the date of adoption wit: of Ordinance No. 6343, pending Completion of the C'tty s study of the potential impacts and regulation of Short -Term Rentals, end possible amendments to the City's zoning ordinance and related provisions of the Anaheim Municipal Code to ensure that adequate develop - September 24 2015 ment standards and implementation regulations, which may Include a repeal of Ordinan- ces Nos, 6298 and 6317, are in affect to protect the public health, safety, and welfare prior to any decision on future applications for Short -Term Rentals. The moratoriumestablished by Ordinance No. 6343 does not apply to (1) permits that may be issued under and in compliancewith the procedures, terms, conditions and requirements of the Short -Term "I certify (or declare) under the penalty of Rentals Ordinance In response to pending applications that were received by the City prior to ,the adoption of Ordinance No, 6343, and (2) a change of ownership of a Short -Term perjury under the laws of the State of California Rental property, ora change of the agent of the owner. Furthermore, no person fad defined in Section 1,01.240, of the Anaheim Municipal Code)' shall commence or establilsh.the gqppemfi�on of any ShorhTerm Retital-within the City' limits of that the foregoing is true and correct": the:C'ity of•Anaheim during the period ! a Ordinance is in effect. ' Ordinance No. 6343 shall take effeci I' etilateiyy as an urgency measure and shall remain in full force and effect for a period of forty-five 45) da s atter the data of adoption, or until repealed, unless extended bylbei Ado tion ofya subsequent ordinance in accord- soonerExecuted at Santa Ana, Orange County, ance with Calffomla.i1ovemmentCode 6boon 65858: California, on __ 1, Linda N. Andal, City. Clerk of the City of Anaheim, do hereby certifyt5at the foragcing.ls a summary of''Ordinance No. 6843, which ordinance was Introduced, passed and duly adopted at a Date: September 24, 2015 regular maeYlnti Of the: City Councll-df the City of Anaheim on the 15th day of September,. 2075 by the fol.pwtng roll call vote of the members. thereof: �i AYES; Mayor Taft And Cbudcll Members zing, Murray, and Vanderbilt NOES: Council Member Brandman ABSENT: None ABSTAIN: None The above summary is a brief description of the subject matter contained in the text of Or- dinance No. 8343, which has been prepared pursuant to Section 512 of the Charter of the City of Anaheim. This summary does not include or describe everyprovision of the ordi- nance arid should not be. relied.on ae a substitute,for the full text ofe ordinance., Signature To obtain a copy.of the full text of the ordinance, lease contact the Office of the City Clerk, (714) 7665768, between 8:00 AM and 5:00 PM, Monday through Friday. There is no charge for the copy. Anaheim Bulletin jr 2Jr gol$ 10091713, 625 N. Grand Ave. Santa Ana, CA 92701 (714)796-2209