Short-Term Rental Administrative
Regulations
Agenda Item 12.A
By Matthew Downing, Community Development Director
Meeting Date: May 2, 2023
Short-Term Rental Advisory Task Force
•Mayor Pro Tem Reiss & Council Member Guthrie
•Planning Commissioner Shauna Wills
•Shelly Higginbotham – STR Operator
•Jeff Reynolds – STR Operator
•Jed Bickel – Hotel Representative
•Heather Muran – STR Neighbor
•Mike Cotta – STR Neighbor
Key Aspects of STR Regulations
Ownership requirements License Expiration /
Probationary Inspections
Homeowner Association Authorization /
Good Neighbor Policy Regulations
Corporate Managed/Operated Fractional
Ownership
Ownership Requirements
•Dwelling unit must be operator’s primary residence and must be owned by the operator for a minimum of two
years
•For the purpose of these regulations, primary residency means living at the dwelling unit for more than 50% of the year •Primary residency is measured on a rolling 365-day basis
License Expiration / Probationary Inspections
•STR licenses proposed to expire on September 30 of each year
•Renewals timed with business license renewal
•Reinspection for first three (3) years of new licenses OR for additional year if operation becomes noncompliant
with regulations
Homeowner Association Authorization / Good
Neighbor Policy Regulations
•City does not enforce CC&Rs
•Homeowner association authorization required prior to
submittal of a STR application (if homeowner association is active)
•Since Good Neighbor Policies were not codified, they
represent guidelines rather than rules
•Overnight occupants may only park in designated on-site parking spaces and trash bins may be out for collection no sooner than 5:00 p.m. the day before collection and
brought in no later than 8:00 p.m. on collection day
Corporate Managed/Operated Fractional
Ownership
•Definition of “vacation rental” to include corporate
managed/operated fractional ownership units and added
to STR regulations
•Rentals under 30 days by corporate managed/operated
fractional ownership units would be considered vacation rentals
•Vacation rental use is not allowable in residential districts
Next Steps
•Title 17 for Council consideration May 16, 2023
•Mail and email outreach to current STR operators
•Update website
•Update Good Neighbor Policy
Recommendation
Introduce an Ordinance modifying Chapter 5.22 of Title 5 of the Pismo Beach Municipal Code regarding
administrative regulations of short-term rentals.