Revisions to Fine Schedules FY2023-24 Attachment T
Exhibit Code Action Current
Section
New Section Description Revised/New Description Current Fine New Fine Justification 1 SMMC Revised Fine
Amount 4.36.100 Temporary Relocation Assistance - First Offense $250 $2,000 Revised amount. The current fine amount ($250) is significantly lower than the current daily relocation fines. As such, violators may see it as more advantageous to not pay the required fine. The 24-hours requirement to comply is consistent with
4.36.100 (c)(4). The violations would be less dependent on the specific number of days of noncompliance and focused on violating the Relocation Order itself. This process would allow cases to be forwarded to the City Attorney’s Office much quicker, thus reaching a solution much sooner.
1 SMMC Revised Fine
Amount 4.36.100 Temporary Relocation Assistance -Second Offense 125% for first violation amount $4,000 Revised amount. The current fine amount ($312.50) is significantly lower than the current daily relocation fines. As such, violators may see it as more advantageous to not pay the required fine. The 24-hours requirement to comply is consistent with
4.36.100 (c)(4).The violations would be less dependent on the specific number of days of noncompliance and focused on violating the Relocation Order itself. This process would allow cases to be forwarded to the City Attorney’s Office much quicker, thus reaching a solution much sooner.
1 SMMC Revised Fine
Amount 4.36.100 Temporary Relocation Assistance - Third Offense 150% of first violation amount $6,000 Revised amount. The current fine amount ($375) is significantly lower than the current daily relocation fines. As such, violators may see it as more advantageous to not pay the required fine. The 24-hours requirement to comply is consistent with
4.36.100 (c)(4). The violations would be less dependent on the specific number of days of noncompliance and focused on violating the Relocation Order itself. This process would allow cases to be forwarded to the City Attorney’s Office much quicker, thus reaching a solution much sooner.
1 SMMC Add to Fine
Schedule 6.20.022 Advertisements for home-sharing - Required Listing Information $250 As this section is not enumerated in this fine schedule, it is subject to the base fine of $75.00 which is inadequate to ensure advertisements for homesharing comply with the code. This fine amount is commensurate with other violations of operating conditions for businesses.
1 SMMC New Fine 6.20.30.a Homesharing Advertisements - Listings without a Listed Rental Price - First Offense1 $1,000
A flat fine can be viewed as a cost of doing business for higher end hosts. Basing the fine amounts on the specific listing content reduces the likelihood of being viewed as a cost of doing business and is more commensurate with the potential benefit received by the violator.
1 SMMC New Fine 6.20.30.a Homesharing Advertisements - Listings without a Listed Rental Price - Second Offense1 $2,000
A flat fine can be viewed as a cost of doing business for higher end hosts. Basing the fine amounts on the specific listing content reduces the likelihood of being viewed as a cost of doing business and is more commensurate with the potential benefit received by the violator.
1 SMMC New Fine 6.20.30.a Homesharing Advertisements - Listings without a Listed Rental Price - Third Offense1 $5,000
A flat fine can be viewed as a cost of doing business for higher end hosts. Basing the fine amounts on the specific listing content reduces the likelihood of being viewed as a cost of doing business and is more commensurate with the potential benefit received by the violator.
1 SMMC New Fine 6.20.30.a Homesharing Advertisements - Listings with a Listed Rental Price - First Offense1
400% of
Advertised Daily
Rate
Flat rate Short Term Rental (STR) fines are unfair and unjust in their very structure:
•For small time violators, the flat $1,000 fine amount can be seen as overburdensome and excessive.
•For larger violators, the $1000 fine amount can be seen as a cost of doing business.
1 SMMC New Fine 6.20.30.a Homesharing Advertisements - Listings with a Listed Rental Price - Second Offense1
600% of
Advertised Daily
Rate
Flat rate Short Term Rental (STR) fines are unfair and unjust in their very structure:
•For small time violators, the flat $1,000 fine amount can be seen as overburdensome and excessive.
•For larger violators, the $1000 fine amount can be seen as a cost of doing business.
1 SMMC New Fine 6.20.30.a Homesharing Advertisements - Listings with a Listed Rental Price - Third Offense1
800% of
Advertised Daily
Rate
Flat rate Short Term Rental (STR) fines are unfair and unjust in their very structure:
•For small time violators, the flat $1,000 fine amount can be seen as overburdensome and excessive.
•For larger violators, the $1000 fine amount can be seen as a cost of doing business.
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Revisions to Fine Schedules FY2023-24 Attachment T
Exhibit Code Action Current
Section
New Section Description Revised/New Description Current Fine New Fine Justification 1 SMMC Code Updated 6.20.030 6.20.030.b Advertising, Facilitating, or Operating a Vacation Rental - Operating more than one homeshare
Advertising, Facilitating, or Operating a Vacation Rental - Operating more than one homeshare $1,000 $1,000 The code was been updated.
1 SMMC Add to Fine
Schedule 6.20.0250 Hosting platform responsibilities $1,000 As this section is not enumerated in this fine schedule, it is subject to the base fine of $75.00 which is inadequate to ensure hosting platforms comply with the code. 1 SMMC Add to Fine
Schedule 6.20.080 Regulations $250
As this section is not enumerated in this fine schedule, it is subject to the base fine of $75.00 which is inadequate to ensure advertisements for homesharing comply with the code. This fine amount is commensurate with other violations of administrative regulations.
1 SMMC New Fine 6.42.030 Santa Monica Outdoors Parklet Program Requirement - First Violation $500 New - Standard $75 fine was assessed in the past.
The current fine amount is too low and businesses may absorb this as a cost of doing business.
1 SMMC New Fine 6.42.090 Santa Monica Outdoors Parklet Program Administrative Regulations - First Violation $250
New - Standard $75 fine was assessed in the past.
The current fine amount is too low and businesses may absorb this as a cost of doing business.
Notation
1 Advertised Rental Rate shall be defined as the advertised nightly rate multiplied by the minimum number of nights required to rent the dwelling or part of the dwelling. The Advertised Rental Rate shall not include deposits or ancillary fees.
This language has been added to provide clarity on the term Advertised Rental Rate.
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