September Short-Term Rental Discussion

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Sheri Gallo
Posts: 22
Joined: Fri Jan 16, 2015 2:47 pm

September Short-Term Rental Discussion

Post by Sheri Gallo »

In preparation for our September short-term rental discussion, my office has drafted a resolution containing the items from my original August resolution which were postponed for further discussion. I have included the draft language for the resolution at the bottom of this message post.

As the original sponsor of the short-term rental resolution, I respectfully request that recommendations which deal specifically with enforcement issues be offered as amendments to the remaining parts of my original resolution which were postponed to September for further discussion.

I would suggest that any Council Member recommendations which are directed at changing the scope of the current short-term rental policy be submitted to the Planning and Neighborhoods Committee as separate resolutions with new co-sponsors.

Thank you to Council Member Pool who has already converted her proposed amendment into a new resolution.

I would respectfully request that Mayor Pro Tem Tovo please consider dividing the recommendations she posted on the message board on August 19, 2015 in the following way:

As an Amendment to my Resolution:
• Prohibit use of STRs for large gatherings, such as weddings, bachelor parties, etc.

• For any STR application or license renewal, require both owner and property manager to certify that they have no outstanding code or APD violations within last two years.

As a new Resolution:
• Implement an immediate suspension on all new Type 2 short term rental licenses until new code enforcement amendments and processes are in place, and schedule a public hearing six months after the date of rules adoption to gauge effectiveness and consider revisions.

• Initiate a phased-in process to limit Type 2 short term rentals to commercially zoned areas, and require Conditional Use Permits for continued operation of Type 2s in single family zoning.

• Repeal provision that allows 25% of multifamily units in commercially zoned areas to be removed from rental market as Type 3 STRs, and cap at no more than 1-3%.

• Clarify that Type 2 STRs and non-owner occupied Type 3s are subject to federal ADA requirements as commercial places of lodging.



Below is the draft language for the resolution:

RESOLUTION NO.

WHEREAS, on August 17, 2015, the Planning and Neighborhoods Committee took public comment and discussed code amendment recommendations for better enforcement of short-term rentals; and

WHEREAS, at the August 17, 2015 Planning and Neighborhoods Committee, the Committee postponed discussion and action on some of the short-term rental recommendations to the committee’s September 2015 meeting; and

WHEREAS, on August 20, 2015, the City Council passed Resolution 20150820-052, directing the City Manager to process amendments, among other things, to the City Code to achieve the Planning and Neighborhoods Committee’s recommendations; and

WHEREAS, it is in the City’s best interest to ensure compliance with short-term rental regulations and other City codes including occupancy limits and zoning and land use regulations to protect the quality of life in our neighborhoods; NOW, THEREFORE,

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF AUSTIN:
The City Council initiates and directs the City Manager to process amendments to the City Code that are necessary to achieve the following objectives:

1. Add short-term rentals to Section 1301 in City Code Section 25-12-213 (Local Amendments to the International Property Maintenance Code) inspection requirements in Chapter 13 of the Local Amendments;

2. Require inspection, including septic systems, during the application or approval process for all short-term rentals;

3. Require short-term rentals to have property insurance that has commercial liability coverage (business liability); require the applicant to provide proof of commercial liability coverage during the application process; and make failure to maintain commercial liability coverage to suspend or revoke the license;

4. Consider including a prohibition against locating new Type 2 short-term rentals within 1000 feet of another existing licensed Type 2 short-term rental. The prohibition should include a grandfathering clause for existing Type 2 short-term rentals that comply with City Code;

5. Set the occupancy limit for short-term rentals as the lesser of:
a. six adults;
b. four adults in the area defined in City Code Section 25-2-511(C) and (D); or
c. not more than two adults per bedroom;

BE IT FURTHER RESOLVED:
The City Manager is directed to bring the proposed code amendments to Council for consideration within 150 days. Changes that do not require code amendments should be fully implemented within six (6) months, with monthly updates to be provided until all of the changes have been implemented.
Sheri Gallo, Council Member District 10