Supplement-to-Item-4.-Short-Term-Rental-Ordinance — Fairfax City Council, November 6, 2024

FAIRFAX TOWN COUNCIL MEETING

SUPPLEMENTAL STAFF REPORT
1 SUPPLEMENT TO AGENDA ITEM #4
MEETING DATE November 6, 2024
PREPARED FOR Mayor and Town Council
PREPARED BY Jeffrey Beiswenger, AICP, Planning & Building Services Director SUBJECT Supplement to Agenda Item #4 PUBLIC HEARING: Introduce and read by title only an ordinance to amend zoning regulations related to short-term rentals updating the following chapters within Title 17 (Zoning) of the Fairfax Municipal Code: 17.008 (ʹDefinitionsʹ), 17.052 (ʹOff-Street Parking and Loading Requirementsʹ), 17.084 (‘RD-5.5-7 Residential Zone, High Density’), 17.088 (‘RM Multiple-Family Residential’), 17.092 (‘CL Limited Commercial Zone’), 17.096 (‘CH Highway Commercial Zone’), and 17.100 (‘CC Central Commercial Zone’) and consider corresponding updates to the Short Term Rental Program.

CEQA Categorically Exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to categorical exemption number 15301, Existing Facilities.

RECOMMENDATION
Conduct a public hearing, waive first reading, and read by title only an ordinance to amend zoning regulations related to short-term rentals updating the following chapters within Title 17 (Zoning) of the Fairfax Municipal Code: Chapters 17.008 (ʹDefinitionsʹ), 17.052 (ʹOff-Street Parking and Loading Requirementsʹ), 17.084 (‘RD-5.5-7 Residential Zone, High Density’), 17.088 (‘RM Multiple-Family Residential’), 17.092 (‘CL Limited Commercial Zone’), 17.096 (‘CH Highway Commercial Zone’), and

17.100 (‘CC Central Commercial Zone’); and
Adopt resolution to update the Short-Term Rental Program, rescinding and replacing Resolution 22-44 (Short Term Rental Program) in its entirety.

BACKGROUND
Additional changes have been made to the ordinance and resolution related to Short-Term Rentals (STRs) provided in the packet. The following is a summary of all changes with the recent updates in bold text, and the updated ordinance and resolution is attached:
 The definition of a Short-Term Rental in Chapter 17.008 (‘Definitions’), amended as follows:
“Short-Term Rental. An existing single-family residence or portion of an existing single- family residence, or an Accessory Dwelling Unit (ADU) or Junior Accessory Dwelling unit (JADU) established prior to January 1st, 2020, in which overnight accommodations are provided to guests for compensation that is rented for thirty (30) consecutive days or less. All short-term rentals must comply with the Short-Term Rental requirement contained in Town Code, Title 5, Division II (ʹSpecific Business Regulationsʹ), Chapter 5.57 (ʹShort-Term Rental Regulationsʹ).” 2  Add STRs as accessory uses in the following districts:
o RD-5.5-7 Residential Zone, High Density
o RM Multiple-Family Residential Zone
o CL Limited Commercial Zone
o CH Highway Commercial Zone
o CC Central Commercial Zone
Each of these zoning districts contain a list of “Accessory Uses and Structures” and “Short-Term Rental” could be added to each list as follows:
“Short-Term Rental uses contained within an existing structure permitted for residential use, as long as that structure is not an ADU/JADU established after January 1st, 2020.”  Chapter 17.052.030 (‘Off-Street Parking and Loading Requirements’) would be amended as follows. Language added to indicate that it is Director decision that is appealed to the Town Council:

Section 17.052.030 (ʹRequired Parking Spacesʹ)
[subsection (A) to (O), no changes]
“(P) Short-term rentals (STR's).
(1) Short-term rentals must provide one parking space for every four guests. In addition to the required parking for the existing residential use. comply with the following:
(2) If a short-term rental use meets all other requirements of the zoning ordinance, the applicant may apply for a waiver from the parking requirement, according to the following:
(a) Apply under the procedures in Section 17.044.090 (Authority to Grant Waivers) and Section 17.044.100 (Application Requirements and Review Procedures for Waivers).
(b) The waiver may be approved by the Director if it can be demonstrated that the lack of parking will not result in undue hardship on adjacent properties and if one or more of the following conditions exist and the findings in Section 17.044.100 can be met:

STR type Required parking
House/portion of house One 9 ft. x 19 ft. space for every four guests in addition to two spaces required for the long-term
residents (if only a portion of the house is used as a
STR)
JADU/ADU One 9 ft. x 19 ft. space for units with up to two bedrooms & for studio units; one space for every four
guests in units with three or more bedrooms
3 (i) Parking is available on the site, but it does not meet the standard size or configuration requirements specified in the code.
(ii) On-street or off-site parking is readily available within 300 feet of the site. (iii) The applicant demonstrates that the unique characteristics of the Shortterm Rental use does not necessitate additional parking. (iv) Providing additional parking has a negative environmental impact on the site (e.g. requiring removal a significant tree, requiring significant excavation, etc.).
(c) Upon approval of a waiver, notification to the applicant and property owners within 300 feet shall be provided with a notification of appeal rights under Chapter 17.036 (Appeals and Directed Referrals).”
 Town Code, Title 17 (ʹZoningʹ), Section 17.044.090 (ʹAuthority to Grant Waivers), subsection (J) (‘Exclusions’) would require an amendment to use the waiver process for parking. As currently written a waiver process cannot be used to reduce the minimum number of required parking spaces:
“(3) Minimum number of required parking spaces (except in the case of a short-term rental)”
Recommended Changes to the Short-term Rental Program
In 2022, the Town Council adopted Resolution 22-44 Short Term Rental Program. The following is a list of all recommended changes, with bold text indicating changes since the staff report was issued.  Amend definition of Residential Unit under Section 3 (Definitions of the Short-term Rental Program), as follows:
“Residential Unit. One or more rooms, including an existing single-family residence, portion of an existing single-family residence, or an Accessory Dwelling Unit (ADU) or Junior Accessory Dwelling Unit (JADU) (ADUs/JADUs created after January 1st, 2020) are excluded), designed, built, rented, leased, let or hired out to be occupied for Residential Use.”
 Consider amendments to property eligibility, as follows:
“1) The Residential Unit is offered for Tourist Home Use by the Permanent Resident of the residential use property upon which the residential unit is located.” 2) The Rresidential Unit property is the location of the Primary Residence of the Permanent Resident.”
 Under ineligible properties, eliminate the following:
“3) Commercial or industrial lots.”
4  Eliminate Section 4.C (Properties with Multiple Residential Units).  Change Section 5. Program Requirements, as follows:
• Add the following sentence to the end of subsection A, “contained within Section 17.052.030 (Required Parking Spaces) of the zoning ordinance” to clarify that the parking provisions within the zoning ordinance apply (and are not needed here). • Delete all subsection B. (Off-Street Parking Requirements), and renumber the subsequent sections.
• Under (new) B 1 (Property Registration, Property Information, strike out “(j) Parking Plan, where necessary per Section 5.B.1” since the zoning ordinance implements parking requirements.
• Add a new number B 3, to require a fire inspection and report, as follows: “Defensible space report. The registrant must provide a copy of the defensible space report prior to Program Registration.”
• Under B 4 (Interior Signage) strike out (d) Off-street Parking Requirements  Under Program Requirements, subsection G (Hotel User’s Tax Collection and Remittance). The last sentence of the paragraph should be deleted, as follows. “The Town’s current Hotel Users Tax is 10%”
 Under Section 7. Administration Enforcement Procedures, a new subsection on compliance deadlines has been added.

Additional Planning Commission Recommendation
 Consider a cap on number of days. The maximum number of days per year in which an STR could operate at one address could be established by the short-term rental program. This could be added under Section 5.
“A Short-term Rental shall only be permitted to operate on the subject property for a maximum of 180 days per calendar year, starting January 1 and terminating on December 31.”

ATTACHMENT
A. Ordinance
B. Resolution (clean version)
C. Resolution (redline version)
1 ATTACHMENT A
ORDINANCE NO.

AN ORDINANCE OF THE TOWN COUNCIL OF THE TOWN OF FAIRFAX

REVISING REGULATIONS RELATED TO SHORT-TERM RENTALS BY AMENDING TOWN CODE TITLE 17 (ZONING), CHAPTERS 17.008 (ʹDEFINITIONSʹ), 17.052 (ʹOFF-STREET PARKING AND LOADING REQUIREMENTSʹ), 17.084 (‘RD-5.5-7 RESIDENTAL ZONE, HIGH DENSITY’), 17.088 (‘RM MULTIPLE-FAMILY RESIDENTIAL’), 17.092 (‘CL LIMITED COMMERCIAL ZONE’), 17.096 (‘CH HIGHWAY COMMERCIAL ZONE’), AND 17.100 (‘CC CENTRAL COMMERCIAL ZONE’).

WHEREAS, on July 6, 2022 the Fairfax Town Council adopted an Ordinance to regulate the operation of short-term rentals in Fairfax as Town Code Chapter 5.57, Short-Term Rental Regulations; and
WHEREAS, on July 6, 2022, the Fairfax Town Council (Council) adopted an Ordinance amending Title 17 (Zoning) to allow short-term rentals within certain single-family zones and apply certain development standards by amending Chapters: 17.008 (ʹDefinitionsʹ), 17.052 (ʹOff-Street Parking and Loading Requirementsʹ), 17.076 (ʹRS-7.5 Single-Family Residential Zone, Medium Densityʹ), 17.080 (ʹRS-6 Single-Family Residential Zone, High Densityʹ), and 17.124 (ʹUR Upland Residential Zoneʹ); and
WHEREAS, the Council determined that it is necessary to regulate the short-term rentals to ensure that the short- term rental activities do not become a nuisance or threaten the public health safety or welfare of neighboring properties, while also assuring that their existence is regulated in a manner that allows the Town to maintain its long-term rental housing stock in Fairfax; and
WHEREAS, the Town Council has found that short-term rentals provide an added financial benefit to owners of residential properties and can help individuals meet their financial responsibilities and has documented with this resolution the intention of the Town to issue shortterm rental business permits to the widest population base of permanent residents that are natural persons and not a business, corporation, et cetera; and WHEREAS, after implementing the short-term rental program, Town staff identified that certain amendments to the Municipal Code could be warranted; and WHEREAS, the Planning Commission conducted a public hearing on September 19, 2024 to consider zoning ordinance amendments, and continued the public hearing to October 17, 2024 for additional discussion and deliberation; and
WHEREAS, on October 17, 2024, the Planning Commission of the Town of Fairfax voted to recommend Town Council adoption of ordinance amendments; and WHEREAS, a duly and properly noticed public hearing regarding the Ordinance was conducted by the Town Council on November 6, 2024, and the Town Council carefully considered all pertinent testimony and the staff report offered at the public hearing.

The Town Council of the Town of Fairfax does ordain as follows:

Section 1: Fairfax Town Code, Title 17 (ʹZoningʹ), Chapter 17.008 (ʹDefinitionsʹ), Section

17.008.020 (ʹDefinitionsʹ) is amended as follows, with additions identified with an underline and deletions identified with a strike-out:

Short-Term Rental An existing single-family residence or portion of an existing singlefamily residence, or an Accessory Dwelling Unit (ADU) or Junior Accessory Dwelling unit (JADU) established prior to January 1st, 2020, in which overnight accommodations are provided to guests for compensation that is rented for thirty (30) consecutive days or less. All short-term rentals must comply with the Short-Term Rental requirement contained in Town Code, Title 5, Division II (ʹSpecific Business Regulationsʹ), Chapter

5.57 (ʹShort-Term Rental Regulationsʹ).

Section 2: Fairfax Town Code, Title 17 (ʹZoningʹ), Chapter 17.052 (ʹOff-Street Parking and Loading Requirementsʹ), Section 17.052.030 (ʹRequired Parking Spacesʹ) is amended as follows with additions identified with an underline and deletions identified with a strike-out:
[subsection (A) to (O), no changes]
(P) Short-term rentals (STR's).
(1) Short-term rentals must provide one additional parking space for every one to four guests, on-site, in addition to the required parking for the existing residential use. comply with the following:

(2) If a short-term rental use meets all other requirements of the zoning ordinance, the applicant may apply for a waiver from the parking requirement, according to the following:
(a) Apply under the procedures in Section 17.044.090 (Authority to Grant Waivers) and Section 17.044.100 (Application Requirements and Review Procedures for Waivers).
(b) The waiver may be approved by the Director if it can be demonstrated that the lack of parking will not result in undue hardship on adjacent properties and if one or more of the following conditions exist and the findings in Section 17.044.100 can be met:
(i) Parking is available on the site, but it does not meet the standard size or configuration requirements specified in the code. (ii) On-street or off-site parking is readily available within 300 feet of the site.
(iii) The applicant demonstrates that the unique characteristics of the Short-term Rental use does not necessitate additional parking. (iv) Providing additional parking has a negative environmental impact on the site (e.g. requiring removal a significant tree, requiring significant excavation, etc.).
(c) Upon approval of a waiver, notification to the applicant and property owners within 300 feet shall be provided with a notification of appeal rights under Chapter 17.036 (Appeals and Directed Referrals).

Preferential parking spaces and parking spaces located within the public rightof-way may not be used to meet the short-term rental parking requirements STR type Required parking
House/portion of house One 9 ft. x 19 ft. space for every four guests in addition to two spaces required for the long-term residents (if only a portion of the house is used as a STR)
JADU/ADU One 9 ft. x 19 ft. space for units with up to two bedrooms & for studio units; one space for every four guests in units with three or more bedrooms
3 ATTACHMENT A
unless the preferential parking was created for the main house and the entire main house is being used as a short-term rental unit.

Section 3: Town Code, Title 17 (ʹZoningʹ), Section 17.044.090 (ʹAuthority to Grant Waivers), subsection (J) (‘Exclusions’) is amended as follows with additions identified with an underline:
[subsection 1, 2, 4, 5 and 6, no changes]

3. Minimum number of required parking spaces (except in the case of a short-term rental);
Section 4: The following Zone Districts lists of permitted uses are amended as follows, with additions identified with an underline and deletions identified with a strike-out:

Fairfax Town Code, Title 17 (ʹZoningʹ), Chapter 17.084 (RD-5.5-7 Residential Zone, High Densityʹ), Section 17.084.040 (ʹAccessory Use and Structuresʹ) is amended to include subsection (E) Short-Term Rental uses contained within an existing structure permitted for residential use as long as the residential unit is not an ADU/JADU constructed prior to 1/1/2020.

Fairfax Town Code, Title 17 (ʹZoningʹ), Chapter 17.088 (RM Multiple-Family Residential Zone), Section 17.088.040 (ʹAccessory Use and Structuresʹ) is amended to include subsection (D) Short-Term Rental uses contained within an existing structure permitted for residential use as long as the residential unit is not an ADU/JADU constructed prior to 1/1/2020.

Fairfax Town Code, Title 17 (ʹZoningʹ), Chapter 17.092 (CL Limited Commercial Zone), Section 17.092.060 (ʹAccessory Use and Structuresʹ) is amended to include subsection (C) Short-Term Rental uses contained within an existing structure permitted for residential use as long as the residential unit is not an ADU/JADU constructed prior to 1/1/2020.

Fairfax Town Code, Title 17 (ʹZoningʹ), Chapter 17.096 (CH Highway Commercial Zone), Section 17.096.040 (ʹAccessory Use and Structuresʹ) is amended to include subsection (C) Short-Term Rental uses contained within an existing structure permitted for residential use as long as the residential unit is not an ADU/JADU constructed prior to 1/1/2020.

Fairfax Town Code, Title 17 (ʹZoningʹ), Chapter 17.100 (CC Central Commercial Zone), Section 17.100.060 (ʹAccessory Use and Structuresʹ) is amended to include subsection (C) Short-Term Rental uses contained within an existing structure permitted for residential use as long as the residential unit is not an ADU/JADU constructed prior to 1/1/2020.

Section 5: The Town Council finds that this ordinance is Categorically Exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to categorical exemption number 15301, Existing Facilities.

Section 6: This Ordinance shall be in full force and effect thirty days from and after its final passage and adoption.

Section 7: Copies of the forgoing ordinance shall, within fifteen days after its final passage and adoption, be posted in three public places in the Town of Fairfax which places are designated for that purpose:

1. Bulletin Board, Town Hall offices, located at 142 Bolinas Road, Fairfax;

2. Bulletin Board, Fairfax Post Office, located at 773 Center Boulevard, Fairfax; and

3. Bulletin Board, Fairfax Women’s Club building, located at 46 Park Road, Fairfax.

The foregoing ordinance was duly and regularly introduced at a special meeting of the Fairfax Town Council held in said Town on the 6th day of November, 2024, and thereafter adopted at a regular meeting of the Town Council, held in said Town on the 4th day of December, 2024 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:
_________________, Mayor
Attest:

Deputy Town Clerk
1 ATTACHMENT C
RESOLUTION 24-xx

RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF FAIRFAX

UPDATING POLICIES AND PROCEDURES FOR THE ADMINISTRATION OF THE “SHORT-TERM RENTAL PROGRAM” AS SET FORTH IN
FAIRFAX TOWN CODE CHAPTER 5.57
WHEREAS, the Town wishes to establish a uniform regulatory structure for permitting short-term rentals in residential areas that ensure adequate off-street parking, limits eligibility to permanent resident-occupied properties, provides for local and emergency contacts, and creates fair reporting and monitoring procedures that authorizes the Town to ensure compliance; and
WHEREAS, the Town seeks a short-term rental program that will allow permanent residents to mitigate housing costs by supplementing their income from their primary residential property, while minimizing potential adverse impacts on the housing supply and on persons and households of all income levels that could result from the loss of residential units through their conversion to tourist home use – the term tourist home shall also be synonymous with short-term rental herein; and
WHEREAS, Resolution 22-44 was adopted June 1, 2022, to implement Chapter

5.57 of the Municipal Code and the Town seeks to amend the short-term rental program in accordance with Town policies; and
WHEREAS, a short-term rental program has been assessed in accordance with the authority and criteria contained in the California Environmental Quality Act (CEQA) and the State CEQA Guidelines and it has been determined that approval of these program implementation procedures are exempt from further environmental review under the general rule in CEQA Guidelines Section 15061(b)(3) that CEQA only applies to projects that have the potential for causing a significant effect on the environment; and WHEREAS, on November 6, 2024, the Town Council conducted a public hearing and introduced an ordinance to amend zoning regulations related to short-term rentals; and
WHEREAS, this resolution shall become effective only if the Town Code amendments introduced on November 6, 2024 are adopted by the Town Council and upon the effective date of those amendments.

NOW, THEREFORE, BE IT RESOLVED, that the Town Council hereby adopts the following Policies and Procedures for the administration of the "Short Term Rental Program" (“Program") rescinding and replacing all provisions contain within Resolution 22-44 in its entirety.

Section 1. Purpose and Intent
It is the purpose of this Program to benefit the general public by minimizing potential adverse impacts on the housing supply and on persons and households of all income 2 levels resulting from the loss of residential units through their conversion to tourist home use. This is to be accomplished by regulating the conversion of residential units to tourist home use, and through appropriate administrative and judicial remedies. Regulating short-term rentals ensures that short-term rental activities do not become a nuisance or threaten the public health safety or welfare of neighboring properties, while also assuring that their existence is regulated in a manner that allows the Town to maintain its longterm rental housing stock. Short-term rentals also provide an added financial benefit to owners of residential properties and can help individuals meet their financial responsibilities and thus remain in their homes.

Section 2. Applicability
The provisions of this Program shall apply to qualifying Residential Units within the Fairfax town limits, or a unit in a structure that is being used for residential uses whether or not the residential use is a conforming use permitted under the Fairfax Town Code, which is hired, rented, or leased to a household within the meaning of California Civil Code Section 1940.

Section 3. Definitions
The following words and phrases shall have the meanings set forth below when used to administer this Program:

ACCESSORY STRUCTURE. The same meaning as defined in Fairfax Town Code §

17.008.020.

BOOKING SERVICE. Any reservation and/or payment service provided by a person or entity that facilitates a short-term rental transaction between an Owner or Business Entity and a prospective tourist home user, and for which the person or entity collects or receives, directly or indirectly through an agent or intermediary, a fee in connection with the reservation and/or payment services provided for the short-term rental transaction.

BUSINESS ENTITY. A corporation, partnership, or other legal entity that is not a natural person that owns or leases one or more residential units.

COMPLAINT. A complaint submitted to the Department and/or the Town’s third-party contractor alleging a violation of the Fairfax Town Code and/or this Program and that includes the Residential Unit's address, including unit number, date(s) and nature of alleged violation(s), and any available contact information for the Owner and/or resident of the Residential Unit at issue.

CONVERSION or CONVERT. A change of use from Residential Use to Tourist Home Use, including, but not limited to, renting a Residential Unit for a Tourist Home Use (a.k.a. short-term rental use).

DEPARTMENT. The Department of Planning and Building Services. 3 DIRECTOR. The Director of the Planning and Building Department, or his or her designee.

GOOD STANDING. To maintain good standing on the Town’s/Third-Party Contractor’s Registry of Short-Term Rentals, the Permanent Resident shall be in compliance with all program requirements set forth in the Town’s Short-term Rental Program.

HOST. A person or Business Entity that participates in the short-term rental business by providing a short-term rental.

HOSTING PLATFORM. A person or Business entity that participates in the shortterm rental business by providing and collecting or receiving a fee for Booking Services through which a Host may offer a Residential Unit for Tourist Home Use.

Hosting Platforms usually, though not necessarily, provide Booking Services through an online platform that allows a Host to advertise the Residential Unit through a website provided by the Hosting Platform and the Hosting Platform conducts a transaction by which potential tourist home users arrange Tourist Home Use and payment, whether the tourist home user pays rent directly to the Host or to the Hosting Platform.

TOURIST HOME (SHORT-TERM RENTAL) USER. Any person who exercises occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or other agreement for a period of thirty (30) consecutive calendar days or less, counting portions of calendar days as full days. Any such person occupying space in a tourist home shall be deemed to be a tourist home user until the period of thirty days has expired unless there is an agreement in writing between the operator and the occupant providing for a longer period of occupancy. In determining whether a person is a tourist home user, uninterrupted periods of time extending both prior and subsequent to the effective date of the ordinance codified in Chapter 5.57 (“Short-Term Rental Program”) of the Town Code may be considered.

INTERESTED PARTY. A Resident of the building in which the Tourist Home Use is alleged to occur, any homeowner association associated with the Residential Unit in which the Tourist Home Use is alleged to occur, the Owner of the Residential Unit or Business Entity property in which the Tourist Home Use is alleged to occur, a Resident or Owner of a property within 100 feet of the property containing the Residential Unit in which the Tourist Home Use is alleged to occur, the Town of Fairfax, or any nonprofit organization exempt from taxation pursuant to Title 26, Section 501 of the United States Code, which has the preservation or improvement of housing as a stated purpose in its articles of incorporation or bylaws.

PERMANENT RESIDENT. A person who occupies a Residential Unit for at least 60 consecutive days with intent to establish that unit as his or her primary residence. A Permanent Resident may be an Owner or a lessee.
4 PRIMARY RESIDENCE. The Permanent Resident's usual place of return for housing as documented by at least three of the following: motor vehicle registration; driver's license; voter registration; tax documents showing the Residential Unit as the Permanent Resident's residence for the purposes of a homeowner's tax exemption; or a utility bill. A person may have only one Primary Residence.

RECREATIONAL VEHICLE. A motorhome, house car, travel trailer, truck camper, or camp trailer; with or without motive power; designed for human habitation or other occupancy.

RESIDENTIAL UNIT. One or more rooms, including an existing residence, portion of an existing residence, or an Accessory Dwelling Unit (ADU) or Junior Accessory Dwelling Unit (JADU) (ADUs/JADUs created after January 1st, 2020 are excluded) , designed, built, rented, leased, let or hired out to be occupied for Residential Use.

RESIDENTIAL USE. Any use for occupancy of a Residential Unit.

SHORT-TERM RENTAL. The same meaning as defined in Fairfax Town Code §

17.008.020. Also known as “tourist home” as included in the definition of “hotel” in Fairfax Town Code § 3.32.010.

SHORT-TERM RENTAL REGISTRY or REGISTRY. A database of information maintained by the Department and/or its third-party contractor that includes a unique registration number for each Short-Term Rental and information regarding Hosts who are permitted to offer Residential Units for Short-Term Rental. The Registry shall be available for public review to the extent required by law, except that, to the extent permitted by law, the Department and/or its third-party contractor shall redact any Host names and street and unit numbers from the records available for public review.

TRAVEL TRAILER. A vehicle designed for recreational purposes to carry persons or property on its own structure and constructed to be drawn by a motor vehicle, as defined in California Vehicle Code § 242 or California Vehicle Code § 324.

TOURIST HOME USE. Any use of a Residential Unit for occupancy for less than a 30- day term of tenancy, or occupancy for less than 30 days of a Residential Unit leased or owned by a Business Entity, whether on a short-term or long-term basis, including any occupancy by employees or guests of a Business Entity for less than 30 days where payment for the Residential Unit is contracted for or paid by the Business Entity.

Section 4. Property Eligibility
A. Eligible Properties. Only properties where all the following conditions are met are eligible to register for the Short-Term Rental Program:
1) The Residential Unit is offered for Tourist Home Use by the Permanent Resident of the property upon which the residential unit is located; 2) The residential property is the location of the Primary Residence of the Permanent Resident;
3) The Permanent Resident is a natural person;
5 4) The Permanent Resident has registered the Residential Unit and maintains good standing with the Town of Fairfax and/or its third-party contractor and has no outstanding code violations or violations of the Town’s Short-term Rental Program, fees or taxes.

B. Ineligible Properties. The following property types are never eligible to be considered a Short-Term Rental and cannot register for the Short-Term Rental Program:
1) Income-restricted or deed-restricted affordable housing, including BelowMarket-Rate (BMR) units and public housing; 2) Student housing, dormitories and Single-Room-Occupancy (SRO) buildings;
3) Non-residential areas within buildings, such as garages, storage areas or accessory structures
4) Motorized Recreational Vehicles (RVs), including non-motorized travel trailers;
5) Boats or House Boats;
6) Teepees, yurts, tents, and treehouses;
7) Sleeping Quarters in Vans or Cars;
8) Properties with outstanding code violations.
9) Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs) created after January 1, 2020.

Section 5. Program Requirements
A. Occupancy Limitations. Occupancy for any Short-Term Rental is limited to two (2) occupants per bedroom, as defined in the California Building Code. An additional two (2) occupants are allowed in Short-Term Rentals that provide a separate living space. In no instance can a Short-Term Rental provide a total occupancy that is greater than the capacity of the number of vehicles which can be accommodated by the off-street parking requirements contained within Section 17.052.030 (Required Parking Spaces) of the zoning ordinance.

B. Property Registration. The following information shall be documented as part of the Program registration for any Short-Term Rental. The Department shall determine, in its sole discretion, the completeness of this information and request additional documentation as necessary:
1) Property Information.
(a) Primary Resident Name and Contact Information
(b) Documentation of Primary Residency
(c) 24-Hour Local Emergency Contact
(d) Property Address
(e) Type of Short-Term Rental, i.e., entire or portion of structure, Accessory Dwelling Unit, etc.
6 (f) Occupancy
(g) Number of Bedrooms
(h) Number of Bathrooms
(i) Number of Designated Off-Street Parking Spaces
2) Property Inspection. As part of the registration process, an inspection must be conducted of the Short-Term Rental, in a form prescribed by the Program. This inspection may be conducted and certified by the Primary Resident, and shall include (but is not limited to):
(a) Egress
(b) CO2 and Smoke Detectors
(c) Interior Signage
(d) Designated Off-Street Parking
3) Defensible space report. The registrant must provide a copy of a defensible space report from the Fire Department prior to Program Registration. 4) Interior Signage. Properties offered as Short-Term Rentals shall have a clearly visible and legible notice posted on or directly adjacent to the inside of the front door, containing the following information:
(a) 24-Hour Local Emergency Contact Person
(b) Maximum number of occupants
(c) Maximum number of vehicles
(d) Garbage/Recycling/Compost/Disposal Instructions
(e) Information regarding Fire Safety and Fire Access Roads (f) Emergency and Wildfire Evacuation Procedures
(g) Information on signing up for emergency alerts
(h) Information on Fairfax Noise Ordinance
C. Registration. Registration shall be for a one-year term, which may be renewed by the Host by filing a completed renewal registration. Initial and renewal registrations shall be in a form prescribed by the Department. The Department shall determine, in its sole discretion, the registration completeness. Upon receipt of a complete initial registration, the Department shall send emailed notice to the owner of record of the Residential Unit, informing the owner that a Registration for the unit has been received.

In addition to the information set forth here, the Department may require any other additional information necessary to show compliance with this Program. Upon the Department's determination that an application for registration is complete, the unit shall be entered into the Short-Term Rental Registry and assigned an individual registration number.

D. Fee. The fee for the initial registration and for each renewal shall be set by the Town Council by resolution.
7 E. Hotel User’s Tax Collection and Remittance, The Hosts shall collect and remit Hotel User’s Taxes to the Town on a quarterly basis for each Short-Term Rental.

F. Reporting Requirement. To maintain good standing on the Registry, the Host shall submit an annual report to the Department by January 15 of each year, regarding the number of days the Short-Term Rental has been rented since either initial registration or the last report, whichever is more recent, and any additional information the Department may require demonstrating compliance with this Program.

G. Annual Audit. Each calendar year, the Program may select five percent (5%) of registrations to be audited for Program compliance. This audit may be conducted by the Program staff and may include:
1) Registration review;
2) Property Inspection;
3) Hotel User Tax payment review.

If a Short-Term Rental is deemed non-compliant, the Department shall follow the Administrative Enforcement Procedures outlined in Section 7.

Section 6. Requirements for Hosting Platforms
A. All Hosting Platforms shall provide the following information in a notice to any user listing a Residential Unit located within the Town of Fairfax through the Hosting Platform's service. The notice shall be provided prior to the user listing the Residential Unit and shall include the following information: that Fairfax Town Code Chapter 5.57 and this Program regulate Short-Term Rental of Residential Units; the requirements for registration of the unit with the Department; and the hotel user tax obligations to the Town.

B. A Hosting Platform shall comply with the requirements of Title 5 (Business Taxes, Licenses and Regulations) and Chapter 3.32 (Hotel Users Tax) of the Fairfax Town Code, among any other applicable requirements, collecting and remitting all required taxes, and this provision shall not relieve a Hosting Platform of liability related to an occupant's, resident's, Business Entity's, or Owner's failure to comply with the requirements of Title 5 and Chapter 3.32. A Hosting Platform shall maintain a record demonstrating that the taxes have been remitted to the Town.

C. A Hosting Platform may provide, and collect a fee for Booking Services in connection with Short-Term Rentals for Residential Units located in the Town only when the Hosting Platform exercises reasonable care to confirm that those Residential Units are lawfully registered on the Short-Term Rental Registry at the time the Residential Unit is rented for short-term rental. Whenever a Hosting Platform complies with administrative guidelines issued by the Town to confirm that the Residential Unit is lawfully registered on the Short-Term Rental Registry, the Hosting Platform shall be deemed to have exercised reasonable care for the purpose of this subsection.

D. On the fifth day of every month, a Hosting Platform shall provide a signed affidavit to the Town/third-party contractor verifying that the Hosting Platform has complied with subsection 6.C in the immediately preceding month. 8 E. For not less than three years following the end of the calendar year in which the Short-Term Rental transaction occurred, the Hosting Platform shall maintain and be able, in response to a lawful request, to provide to the Town for each Short-Term Rental transaction for which a Hosting Platform has provided a Booking Service:
1) The name of the Owner or Business Entity who offered a Residential Unit for Tourist Home Use,
2) The address of the Residential Unit,
3) The dates for which the tourist home user procured use of the Residential Unit using the Booking Service provided by the Hosting Platform, and 4) The registration number for the Residential Unit.

F. The Town may hire a third-party contractor to identify and register Short-Term Rentals. Among other things, the third-party contractor shall ensure compliance and monitoring of Short-Term Rentals and shall post information on its website for members of the public who wish to file Complaints under this Program or who otherwise seek information regarding this Program or Short-Term Rentals.

G. Notwithstanding any other provision of this Program, nothing in this Program shall relieve an individual, Business Entity, or Hosting Platform of the obligations imposed by any and all applicable provisions of state law and the Fairfax Town Code including but not limited to those obligations imposed by Title 5 (Business Taxes, Licenses and Regulations) and Chapter 3.32 (Hotel Users Tax). Further, nothing in this Program shall be construed to limit any remedies available under any and all applicable provisions of state law and the Fairfax Town Code including but not limited to Title 5 (Business Taxes, Licenses and Regulations) and Chapter

3.32 (Hotel Users Tax).

Section 7. Administrative Enforcement Procedures
A. Determination of Violation. Upon the filing of a written Complaint, the Director and/or third-party contractor shall take reasonable steps necessary to determine the validity of the Complaint. To determine if there is a violation of this Program and/or Fairfax Town Code Chapter 5.57, the Director and/or third-party contractor may initiate an investigation. This investigation may include, but is not limited to, an inspection of the subject property and/or a request for any pertinent information from the Owner, Business Entity, or Hosting Platform, such as leases, business records, or other documents. The Director shall have discretion to determine whether there is a violation of this Program and/or Fairfax Town Code Chapter

5.57. Notwithstanding any other provision of this Program, any alleged violation related to failure to comply with the requirements of Title 5 (Business Taxes, Licenses and Regulations) and Chapter 3.32 (Hotel Users Tax) of the Fairfax Town Code shall be enforced under the provisions of Title 5 and Chapter 3.32.

B. Compliance Deadlines. Once a violation is determined, the following notification procedure shall be followed:

1. STR operator will be notified and shall have 30 days to comply by either registering the STR or ceasing to operate the STR.

2. If after 30 days the STR operator fails to cure the violation a second 15-day warning letter shall be sent.
9 3. If after 15 days from the second letter, the STR operator still fails to comply, a third letter will be sent indicating the fines will be assessed after a five day period according to provisions in Chapter 1.08 and Chapter 1.10 identified below.

C. Administrative Citations and Noticing and Administrative Hearing Procedures.

Administrative citations and Noticing and Administrative Hearing Procedures for violations of this Program and/or Fairfax Town Code Chapter 5.57 shall be conducted in accordance with Fairfax Town Code Chapter 1.08 and/or Fairfax Town Code Chapter 1.10.

D. Administrative Penalties for Violations and Enforcement Costs. Administrative Penalties and Enforcement Costs for violations of this Program and/or Fairfax Town Code Chapter 5.57 shall be imposed in accordance with Fairfax Town Code Chapter

1.08 and/or Fairfax Town Code Chapter 1.10.

E. Revocation of Registration. A Short-Term Rental registration issued under the terms of the Program shall be revoked by the Director at any time if they conclude any of the following:
1) The Short-Term Rental is not current on hotel user taxes and has not paid all such taxes to the Town in full by the date upon which such taxes became due. 2) There have been three or more upheld citations for violations of the Fairfax Town Code at the Short-Term Rental property within a twenty-four (24) month period. For the purposes of this subsection, upheld citations means citations which were neither overturned after contest or appeal nor dismissed. 3) The Short-Term Rental applicant has submitted a Short-Term Rental application containing a material misrepresentation or omission of material facts.
4) There has been a transfer or an attempt to transfer a Short-Term Rental registration to another person, entity, or property.

The foregoing Resolution was duly passed and adopted at a Regular Meeting of the Town Council of the Town of Fairfax held in said Town on the 6th day of November 2024, by the following vote:

AYES:

NOES:

ABSENT:

Barbara Coler, Mayor
Attest:

Christine Foster, Deputy Town Clerk
1 ATTACHMENT C
RESOLUTION 24-xx

RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF FAIRFAX

UPDATING POLICIES AND PROCEDURES FOR THE ADMINISTRATION OF THE “SHORT-TERM RENTAL PROGRAM” AS SET FORTH IN
FAIRFAX TOWN CODE CHAPTER 5.57
WHEREAS, the Town wishes to establish a uniform regulatory structure for permitting short-term rentals in residential areas that ensuresensure adequate off-street parking, limits eligibility to permanent resident-occupied properties, provides for local and emergency contacts, and creates fair reporting and monitoring procedures that authorizes the Town to ensure compliance; and
WHEREAS, the Town seeks a short-term rental program that will allow permanent residents to mitigate housing costs by supplementing their income from their primary residencesresidential property, while minimizing potential adverse impacts on the housing supply and on persons and households of all income levels that could result from the loss of residential units through their conversion to tourist home use – the term tourist home shall also be synonymous with short-term rental herein; and WHEREAS, Resolution 22-44 was adopted June 1, 2022, to implement Chapter

5.57 of the Municipal Code and the Town seeks to amend the short-term rental program in accordance with Town policies; and
WHEREAS, a short-term rental program has been assessed in accordance with the authority and criteria contained in the California Environmental Quality Act (CEQA) and the State CEQA Guidelines and it has been determined that approval of these program implementation procedures are exempt from further environmental review under the general rule in CEQA Guidelines Section 15061(b)(3) that CEQA only applies to projects that have the potential for causing a significant effect on the environment; and WHEREAS, on June 1, 2022November 6, 2024, the Town Council heldconducted a duly noticed public hearing to introduce and consider the proposed amendmentsintroduced an ordinance to amend zoning regulations related to short-term rentals; and public comments thereon; and
WHEREAS, this resolution shall become effective only if the Town Code amendments introduced on November 6, 2024 are adopted by the Town Council and upon the effective date of those amendments.

NOW, THEREFORE, BE IT RESOLVED, that the Town Council hereby adopts the following Policies and Procedures for the administration of the "Short Term Rental Program" (“Program"):") rescinding and replacing all provisions contain within Resolution 22-44 in its entirety.

Section 1. Purpose and Intent
2 It is the purpose of this Program to benefit the general public by minimizing potential adverse impacts on the housing supply and on persons and households of all income levels resulting from the loss of residential units through their conversion to tourist home use. This is to be accomplished by regulating the conversion of residential units to tourist home use, and through appropriate administrative and judicial remedies. Regulating short-term rentals ensures that short-term rental activities do not become a nuisance or threaten the public health safety or welfare of neighboring properties, while also assuring that their existence is regulated in a manner that allows the Town to maintain its longterm rental housing stock. Short-term rentals also provide an added financial benefit to owners of residential properties and can help individuals meet their financial responsibilities and thus remain in their homes.

Section 2. Applicability
The provisions of this Program shall apply to allqualifying Residential Units within the Fairfax town limits, or a unit in a structure that is being used for residential uses whether or not the residential use is a conforming use permitted under the Fairfax Town Code, which is hired, rented, or leased to a household within the meaning of California Civil Code Section 1940.

Section 3. Definitions
The following words and phrases shall have the meanings set forth below when used to administer this Program:

ACCESSORY STRUCTURE. The same meaning as defined in Fairfax Town Code §

17.008.020.

BUSINESS ENTITY. A corporation, partnership, or other legal entity that is not a natural person that owns or leases one or more residential units.

CONVERSION or CONVERT. A change of use from Residential Use to Tourist Home Use, including, but not limited to, renting a Residential Unit for a Tourist Home Use (a.k.a. short-term rental use).

DEPARTMENT. The Department of Planning and Building Services. 3 DIRECTOR. The Director of the Planning and Building Department, or his or her designee.

HOST. A person or Business Entity that participates in the short-term rental business by providing a short-term rental.

TOURIST HOME (SHORT-TERM RENTAL) USER. Any person who exercises occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or other agreement for a period of thirty (30) consecutive calendar days or less, counting portions of calendar days as full days. Any such person so occupying space in a tourist home shall be deemed to be a tourist home user until the period of thirty days has expired unless there is an agreement in writing between the operator and the occupant providing for a longer period of occupancy. In determining whether a person is a tourist home user, uninterrupted periods of time extending both prior and subsequent to the effective date of the ordinance codified in Chapter 5.57 (“Short-Term Rental Program”) of the Town Code may be considered.

OWNER. Any person who is the owner of record of the real property. As used in this Program, the term Owner includes a lessee where the lessee is offering a Residential Unit for Tourist Home Use, provided a lessee has written permission by the Owner of record of the real property.
4 PERMANENT RESIDENT. A person who occupies a Residential Unit for at least 60 consecutive days with intent to establish that unit as his or her primary residence. A Permanent Resident may be an Owner or a lessee.

PRIMARY RESIDENCE. The Permanent Resident's usual place of return for housing as documented by at least three of the following: motor vehicle registration; driver's license; voter registration; tax documents showing the Residential Unit as the Permanent Resident's residence for the purposes of a homeowner's tax exemption; or a utility bill. A person may have only one Primary Residence.

RECREATIONAL VEHICLE. A motorhome, house car, travel trailer, truck camper, or camp trailer; with or without motive power; designed for human habitation or other occupancy.

RESIDENTIAL UNIT. One or more rooms, including an existing single-family residence, portion of an existing single-family residence, or an Accessory Dwelling Unit (ADU) or Junior Accessory Dwelling Unit (JADU) (ADUs/JADUs created after January 1st, 2020 are excluded), designed, built, rented, leased, let or hired out to be occupied for Residential Use.

RESIDENTIAL USE. Any use for occupancy of a Residential Unit.

SHORT-TERM RENTAL. The same meaning as defined in Fairfax Town Code §

17.008.020. Also known as “tourist home” as included in the definition of “hotel” in Fairfax Town Code § 3.32.010.

Section 4. Property Eligibility
A. Eligible Properties. Only properties where all of the following conditions are met are eligible to register for the Short-Term Rental Program:
5 1) The Residential Unit is offered for Tourist Home Use by the Permanent Resident of the Residential Unitproperty upon which the residential unit is located;
2) The Residential Unitresidential property is the location of the Primary Residence of the Permanent Resident;
3) The Permanent Resident is a natural person;
4) The Permanent Resident has registered the Residential Unit and maintains good standing with the Town of Fairfax and/or its third-party contractor and has no outstanding code violations or violations of the Town’s Short-term Rental Program, fees or taxes.

B. Ineligible Properties. The following property types are never eligible to be considered a Short-Term Rental and cannot register for the Short-Term Rental Program:
1) Income-restricted or deed-restricted affordable housing, including BelowMarket-Rate (BMR) units and public housing; 2) Student housing, dormitories and Single-Room-Occupancy (SRO) buildings;
3) Commercial or industrial zoned lots;
4)3) Non-residential areas within buildings, such as garages, storage areas or accessory structures
5)4) Motorized Recreational Vehicles (RVs), including non-motorized travel trailers;
6)5) Boats or House Boats;
7)6) Teepees, yurts, tents, and treehouses;
8)7) Sleeping Quarters in Vans or Cars;
9)8) Properties with outstanding code violations.
10)9) Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs) created after January 1, 2020.

C. Properties with Multiple Residential Units. Properties with multiple residential units on a parcel can be offered as Short-Term Rentals under the following condition:
1) Where a lot a contains a single-family dwelling and any combination of the following habitable spaces: an additional dwelling unit, an Accessory Dwelling Unit or Junior Accessory Dwelling Unit constructed and/or permitted prior to January 1, 2020, this lot may not offer as a Short-Term Rental an entire single-family dwelling and the additional habitable space concurrently. Rooms in a single-family dwelling may be offered as a ShortTerm Rental concurrently with habitable space only if the Permanent Resident is present throughout the duration of the rental.

Section 5. Program Requirements
6 A. Occupancy Limitations. Occupancy for any Short-Term Rental is limited to two (2) occupants per bedroom, as defined in the California Building Code. An additional two (2) occupants are allowed in Short-Term Rentals that provide a separate living space. In no instance can a Short-Term Rental provide a total occupancy that is greater than the capacity of the number of vehicles which can be accommodated by the off-street parking requirements of Section 5.B. For the purposes of the Program, vehicle capacity is considered as four (4) individuals per vehiclecontained within Section 17.052.030 (Required Parking Spaces) of the zoning ordinance.

B. Off-Street Parking Requirements. Properties offered as Short-Term Rentals must provide sufficient designated and easily identified off-street parking spaces to meet the occupancy level offered by the Short-Term Rental. If multiple ShortTerm Rentals are offered concurrently on the same property, separate designated off-street parking spaces must be provided for each Short-Term Rental offered. In no instance can the total occupancy of a Short-Term Rental exceed the vehicle capacity of the designated off-street parking available. For the purposes of the Program, vehicle capacity is considered as four (4) individuals per vehicle.
1) Properties with Privately Maintained Shared Vehicle Access. For Short-Term Rentals where vehicle access to the property is shared with multiple owners and is privately maintained, a "Parking Plan" shall be submitted. The "Parking Plan" documents the methods in which the presence of a Short-Term Rental will avoid encumbering parking. These methods may include:
(a) Existing variances;
(b) Shared maneuvering diagrams or conditions;
(c) Signage identifying designated off-street parking spaces; (d) Agreements indicating designated off-street parking spaces.

Additionally, the "Parking Plan" shall include instructions to be provided to guests of the Short-Term Rental outlining the location of designated off-street parking spaces and instructions for maintaining clear access to shared maneuvering areas. The Town will consider blocked access to shared maneuvering areas or guest parking outside of designated off-street parking spaces to be Program violations.

B. Property Registration. The following information shall be documented as part of the Program registration for any Short-Term Rental. The Department shall determine, in its sole discretion, the completeness of this information and request additional documentation as necessary:
1) Property Information.
(a) Primary Resident Name and Contact Information
(b) Documentation of Primary Residency
(c) 24-Hour Local Emergency Contact
(d) Property Address
(e) Type of Short-Term Rental, i.e., entire or portion of structure, Accessory Dwelling Unit, etc.
(f) Occupancy
7 (g) Number of Bedrooms
(h) Number of Bathrooms
(i) Number of Designated Off-Street Parking Spaces
(j) Parking Plan, where necessary per Section 5.B.1
2) Property Inspection. As part of the registration process, an inspection must be conducted of the Short-Term Rental, in a form prescribed by the Program. This inspection may be conducted and certified by the Primary Resident, and shall include (but is not limited to):
(a) Egress
(b) CO2 and Smoke Detectors
(c) Interior Signage
(d) Designated Off-Street Parking
For Short-Term Rentals located within a Wildland-Urban Interface as defined in Fairfax Town Code § 8.06.017, the3) Defensible space report. The registrant must pass provide a copy of a vegetation inspection, in a form prescribeddefensible space report provided by the Program, proof of which must be completed and submitted as part of theFire Department prior to Program Registration.
3) 4) Interior Signage. Properties offered as Short-Term Rentals shall have a clearly visible and legible notice posted on or directly adjacent to the inside of the front door, containing the following information:
(a) 24-Hour Local Emergency Contact Person
(b) Maximum number of occupants
(c) Maximum number of vehicles
(d) Off-street Parking Requirements
(e)(d) Garbage/Recycling/Compost/Disposal Instructions
(f)(e)Information regarding Fire Safety and Fire Access Roads (g)(f)Emergency and Wildfire Evacuation Procedures
(h)(g) Information on signing up for emergency alerts
(i)(h)Information on Fairfax Noise Ordinance
DC. Registration. Registration shall be for a one-year term, which may be renewed by the Host by filing a completed renewal registration. Initial and renewal registrations shall be in a form prescribed by the Department. The Department shall determine, in its sole discretion, the registration completeness of an registration.. Upon receipt of a complete initial registration, the Department shall send mailedemailed notice to the owner of record of the Residential Unit, informing the owner that a Registration for the unit has been received.
8 In addition to the information set forth here, the Department may require any other additional information necessary to show compliance with this Program. Upon the Department's determination that an application for registration is complete, the unit shall be entered into the Short-Term Rental Registry and assigned an individual registration number.

E. D. Fee. The fee for the initial registration and for each renewal shall be set by the Town Council by resolution. The applicant also shall be required to obtain and maintain a Town of Fairfax business license.

Waiver of Initial Registration Fee. For the first six months after the effective date of the ordinance codified in Chapter 5.57 (“Short-Term Rental Program”) of the Town Code, the Department shall waive the initial registration fee to incentivize registration of Short-Term Rentals.

F.E. Hotel User’s Tax Collection and Remittance, The Hosts shall collect and remit Hotel User’s Taxes to the Town on a monthlyquarterly basis for each Short-Term Rental . The Town’s current Hotel Users Tax is 10%..

G.F. Reporting Requirement. To maintain good standing on the Registry, the Host shall submit an annual report to the Department by January 15 of each year, regarding the number of days the Short-Term Rental has been rented since either initial registration or the last report, whichever is more recent, and any additional information the Department may require to demonstratedemonstrating compliance with this Program.

H.G. Annual Audit. Each calendar year, the Program may select five percent (5%) of registrations to be audited for Program compliance. This audit may be performedconducted by the Program staff and may include:
1) Registration review;
2) Property Inspection;
3) Hotel User Tax payment review.

If a Short-Term Rental is deemed non-compliant, the Department shall follow the Administrative Enforcement Procedures outlined in Section 7.

B. A Hosting Platform shall comply with the requirements of Title 5 (Business Taxes, Licenses and Regulations) and Chapter 3.32 (Hotel Users Tax) of the Fairfax Town Code, among any other applicable requirements, collecting and remitting all required taxes, and this provision shall not relieve a Hosting Platform of liability related to an occupant's, resident's, Business Entity's, or Owner's failure to comply 9 with the requirements of Title 5 and Chapter 3.32. A Hosting Platform shall maintain a record demonstrating that the taxes have been remitted to the Town.

C. A Hosting Platform may provide, and collect a fee for, Booking Services in connection with Short-Term Rentals for Residential Units located in the Town only when the Hosting Platform exercises reasonable care to confirm that those Residential Units are lawfully registered on the Short-Term Rental Registry at the time the Residential Unit is rented for short-term rental. Whenever a Hosting Platform complies with administrative guidelines issued by the Town to confirm that the Residential Unit is lawfully registered on the Short-Term Rental Registry, the Hosting Platform shall be deemed to have exercised reasonable care for the purpose of this subsection.

E. For not less than three years following the end of the calendar year in which the Short-Term Rental transaction occurred, the Hosting Platform shall maintain and be able, in response to a lawful request, to provide to the Town for each Short-Term Rental transaction for which a Hosting Platform has provided a Booking Service:
1) The name of the Owner or Business Entity who offered a Residential Unit for Tourist Home Use,
2) The address of the Residential Unit,
3) The dates for which the tourist home user procured use of the Residential Unit using the Booking Service provided by the Hosting Platform, and 4) The registration number for the Residential Unit.

3.32 (Hotel Users Tax).

Section 7. Administrative Enforcement Procedures
A. Determination of Violation. Upon the filing of a written Complaint or the identification of a short-term rental by Town staff or a third-party contractor, the Director and/or third-party contractor shall take reasonable steps necessary to determine the validity of the Complaint. To determine if there is a violation of this Program and/or 10 Fairfax Town Code Chapter 5.57, the Director and/or third-party contractor may initiate an investigation. This investigation may include, but is not limited to, an inspection of the subject property and/or a request for any pertinent information from the Owner, Business Entity, or Hosting Platform, such as leases, business records, or other documents. The Director shall have discretion to determine whether there is a violation of this Program and/or Fairfax Town Code Chapter

B. Compliance Deadlines. Once a violation is determined, the following notification procedure shall be followed:

1. STR operator will be notified and shall have 30 days to comply by either registering the STR or ceasing to operate the STR.

2. If after 30 days the STR operator fails to cure the violation a second 15-day warning letter shall be sent.

3. If after 15 days from the second letter, the STR operator still fails to comply, a third letter will be sent indicating the fines will be assessed after a five day period according to provisions in Chapter 1.08 and Chapter 1.10 identified below.

B.C. Administrative Citations and Noticing and Administrative Hearing Procedures.

C.D. Administrative Penalties for Violations and Enforcement Costs. Administrative Penalties and Enforcement Costs for violations of this Program and/or Fairfax Town Code Chapter 5.57 shall be imposed in accordance with Fairfax Town Code Chapter

1.08 and/or Fairfax Town Code Chapter 1.10.

D.E. Revocation of Registration. A Short-Term Rental registration issued under the terms of the Program shall be revoked by the Director at any time if they conclude any of the following:
1) The Short-Term Rental is not current on hotel user taxes and has not paid all such taxes to the Town in full by the date upon which such taxes became due. 2) There have been three or more upheld citations for violations of the Fairfax Town Code at the Short-Term Rental property within a twenty-four (24) month period. For the purposes of this subsection, upheld citations means citations which were neither overturned after contest or appeal nor dismissed. 3) The Short-Term Rental applicant has submitted a Short-Term Rental application containing a material misrepresentation or omission of material facts.
4) There has been a transfer or an attempt to transfer a Short-Term Rental registration to another person, entity, or property.

BE IT FURTHER RESOLVED that any and all amendments to the Policies and Procedures for the administration of the "Short Term Rental Program" herein, as deemed necessary from time-to-time, shall be adopted by resolution of the Town Council. 11 The foregoing Resolution was duly passed and adopted at a Regular Meeting of the Town Council of the Town of Fairfax held in said Town on the 6th day of November 2024, by the following vote:

AYES:

NOES:

ABSENT:

Barbara Coler, Mayor
Attest:

Christine Foster, Deputy Town Clerk

Fairfax City CouncilNovember 6, 2024

Fairfax City Council
November 6, 2024