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O-2022-005 Urgency Moratorium STR Licensing 2022-06-21

Pismo Beach City Council
June 21, 2022

Document
O-2022-005 Urgency Moratorium STR Licensing 2022-06-21
Meeting
June 21, 2022
Body
Pismo Beach City Council
Pages
4
Original file
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ORDINANCE NO. 0-2022-005

AN INTERIM URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

PISMO BEACH, CALIFORNIA IMPOSING A MORATORIUM ON THE ISSUANCE OF

SHORT-TERM RENTAL LICENSES PURSUANT TO GOVERNMENT CODE
SECTION 65858
WHEREAS, Pismo Beach is a popular tourist destination, drawing visitors from around the world to enjoy the Pacific Ocean, the beach, and recreational opportunities available in and around Pismo Beach; and
WHEREAS, one of the City Council's 2022 goals is to build on the strength of the City's local community to preserve the City's "Classic California" charm and ensure an exceptional quality of life for residents; and
WHEREAS, the City Council recognizes the need to balance the provision of transient lodging options other than traditional hotels and motels for visitors with the needs of residents working in and around Pismo Beach to have affordable housing options; and WHEREAS, like many cities on the Central Coast, the City of Pismo Beach has a shortage of rental and for -sale housing affordable to people working in Pismo Beach and surrounding communities; and
WHEREAS, Chapter 5.22 of the Pismo Beach Municipal Code currently requires operators of short-term rentals and homestays to obtain a short-term rental license prior to engaging in the short-term rental business and as a condition of engaging in such business; and
WHEREAS, the City of Pismo Beach currently does not limit the number of short-term rental or homestay licenses that may be issued, either City-wide or in any neighborhood where such short-term rentals are allowed; and
WHEREAS, anecdotal evidence suggests that the COVID-19 pandemic has exacerbated the housing shortage, as people have moved to Pismo Beach and the Central Coast from more urban communities, and some housing units previously used as long-term rentals were sold to buyers intending to occupy them on either a full-time or part-time basis; and WHEREAS, the City has received complaints from neighbors of properties used as short- term rentals concerning parking, noise, trash, crowding, and other issues; and WHEREAS, it is in the interest of the City and its residents that the City undertake a review to consider zoning, land use, and regulatory measures to limit or otherwise regulate the number, location, and/or other aspects of short-term rental properties in Pismo Beach; and
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0-2022-005

WHEREAS, Article XI, Section 7 of the California Constitution authorizes the City to make and enforce within its limits all local, police, sanitary, and other ordinances and regulations not in conflict with general laws; and
WHEREAS, the City Council finds that there is a current and immediate threat to the public health, safety, and welfare associated with the lack of long-term rental housing in Pismo Beach, that there is a link between the prevalence of short-term rental properties and the lack of long-term rental housing, and that the issuance of additional short-term rental and homestay permits while the City undertakes a review and consideration of measures to regulate short-term rentals would exacerbate the threat and diminish or postpone the effectiveness of such measures; and
WHEREAS, California Government Code Section 65858 expressly authorizes the City Council to adopt by four -fifths (4/5) vote, without following the procedures otherwise required for the adoption of a zoning ordinance, an urgency ordinance that would go into effect immediately following its passage, which is necessary for the immediate protection of the public health, safety, and welfare; and
WHEREAS, on June 21, 2022, the City Council considered the adoption of this urgency ordinance at a properly noticed public meeting; and
WHEREAS, the City Council finds that it is necessary to adopt this urgency ordinance establishing a moratorium on the issuance of new short-term rental licenses pursuant to the Pismo Beach Municipal Code, in order to provide time for the City to review means of more effectively regulating short-term rentals and possibly adopting revisions to existing ordinances governing the establishment and operation of short-term rentals; and WHEREAS, the City Council finds that this ordinance does not have "the effect of denying approvals needed for the development of projects with a significant component of multifamily housing" within the meaning of California Government Code Section 65858(c).

NOW, THEREFORE, the City Council of the City of Pismo Beach does ordain as follows:

SECTION 1.

The foregoing recitals are adopted as findings of fact in support of this ordinance.

SECTION 2.

The City Council hereby places a moratorium on the issuance of permits and directs that no permits issue for short-term rentals and homestays under Chapter 5.22 of the Pismo Beach Municipal Code, nor shall short-term rentals and homestays not in existence as of the date of this ordinance be an allowed use under either Chapter 17.09 or Chapter

17.113 of the Pismo Beach Municipal Code. Nothing herein shall affect the City's authority to deny a permit application pending as of the date that is one week before the adoption of this ordinance, or to suspend or revoke a permit, pursuant to Section 5.22.160 of the PAGE 2 OF 4
0-2022-005

6.1 Pismo Beach Municipal Code, or to take action for violations as set forth in Section

17.09.100 or Section 17.113.100. The City Council hereby enacts this interim urgency ordinance by not Tess than a four -fifths vote, and in light of the findings set forth herein, under the authority granted to it by Article XI, Section 7 of the California Constitution and Section 65858(a) of the California Government Code, which allows the City to adopt an interim urgency ordinance in order to protect the public safety, health, and welfare, prohibiting any uses that may be in conflict with a zoning proposal that the City Council, Planning Commission or the Planning Department is considering or studying or intends to study within a reasonable time.

SECTION 3.

Under the provisions of the California Environmental Quality Act (CEQA) Guidelines Section 15061(b)(3), this ordinance is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment.

Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, such as the adoption the regulations contained herein, the activity is not subject to CEQA.

SECTION 4.

This ordinance shall not be interpreted in any manner to conflict with controlling provisions of state or federal law, including, without limitation, the Constitution of the State of California. If any section, subsection, or clause of this ordinance shall be deemed to be unconstitutional or otherwise invalid, the validity of the remaining sections, subsections and clauses shall not be affected thereby. If this ordinance, or any section, subsection or clause of this ordinance shall be deemed unconstitutional or invalid as applied to a particular appeal, the validity of this ordinance and its sections, subsections, and clauses in regard to other contracts shall not be affected.

SECTION 5.

Based upon the findings set forth above, this is an interim urgency ordinance adopted pursuant to Government Code Section 65858. This ordinance shall therefore take effect immediately upon adoption. This ordinance shall remain in effect for forty-five (45) days from the date of adoption; that is, until August 5, 2022. The amendments to the City's LCP and zoning ordinance created by this urgency ordinance do not require certification from the California Coastal Commission. The Coastal Act does not deprive local governments from exercising their statutory power to enforce urgency ordinances, nor require prior review and approval of such ordinances by the Coastal Commission, provided that the ordinances are not in conflict with the Coastal Act. Certification by the Coastal Commission is required only for amendments that authorize a use other than that designated as a permitted use in the LCP. Conway v. City of Imperial Beach (1997) 52 Cal.App.4th 78.

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SECTION 6.

The City Clerk shall certify to the passage and adoption of this Ordinance, shall enter the same in the book of original ordinances of the City and shall make a minute of the passage and adoption thereof in the records of the meeting at which the same is passed and adopted.

Before the expiration of fifteen (15) days after the passage of this Ordinance, the City Clerk shall cause the same to be posted in three public places within the City of Pismo Beach, to wit: 1) City Hall, 760 Mattie Road, Pismo Beach, 2) U.S. Post Office, Shell Beach Road, Pismo Beach, 3) U.S. Post Office, Crest Drive, Pismo Beach.

ADOPTED at a regular meeting of the City Council held this 21st day of June, 2022, on motion of Council Member Guthrie, seconded by Council Member Blake, and on the following roll call vote, to wit:

AYES: 5 Guthrie, Blake, Newton, Reiss, Waage
NOES: 0
ABSENT: 0
ABSTAIN: 0
RECUSED: 0
Approved:

V —
Ed Waage, Mayor
APPROVED AS TO FORM:

David . leishman, Ci y Attorney
Attest:
rica Inderlie •,�!' ity Clerk
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I, Erica Inderlied, the City Clerk of the City of Pismo Beach, California, hereby certify in accordance with California Government Code Section 40806 that the foregoing document is a true and correct copy of Ordinance No. 0-2022-005, titled AN INTERIM URGENCY ORDINANCE OF THE CITY COUNCIL OF

THE CITY OF PISMO BEACH, CALIFORNIA IMPOSING A MORATORIUM ON THE ISSUANCE OF SHORT-TERM RENTAL LICENSES PURSUANT TO GOVERNMENT CODE SECTION 65858, and that I caused the same to be duly posted in three public places within the City within fifteen (15) days of adoption thereof, pursuant to the requirements of California Government Code Section 36933.

STATE OF CALIFORNIA

CERTIFICATION OF ORDINANCE POSTING
Government Code §40806
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COUNTY OF SAN LUIS OBISPO }
Dated this 23rd day of June, 2022. Witness my hand and official seal. rica Inderlie•. 0 Clerk
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