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Excerpt of Draft Minutes of the Planning Commission Meeting of April 11, 2022

Sunnyvale City Council
April 26, 2022

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Excerpt of Draft Minutes of the Planning Commission Meeting of April 11, 2022
Meeting
April 26, 2022
Body
Sunnyvale City Council
Pages
5
Original file
726 KB
Text extracted from the city's file for reading and search. Open the original on legistar.granicus.com. That file is the official record.

City of Sunnyvale
Excerpt Meeting Minutes - Draft
Planning Commission
7:00 PM Telepresence Meeting: City Web Stream |
Comcast Channel 15 | AT&T Channel 99
Monday, April 11, 2022
Special Meeting: Study Session - Canceled | Public Hearing - 7:00 PM 7 P.M. PLANNING COMMISSION MEETING

CALL TO ORDER
Pursuant to Government Code Subdivision 54953(e), the meeting was conducted telephonically; pursuant to state law, the City Council made the necessary findings by adopting Resolution No. 1089-21, reaffirmed on April 5, 2022.

Chair Howard called the meeting to order at 7:00 PM.

ROLL CALL
Chair Daniel Howard
Vice Chair Martin Pyne
Commissioner John Howe
Commissioner Nathan Iglesias
Commissioner Carol Weiss

Present: 5 -
Commissioner Sue Harrison
Commissioner Ken Rheaume

Absent: 2 -
Commissioner Harrison’s absence is excused.

Commissioner Rheaume’s absence is excused.

ORAL COMMUNICATIONS
None.

CONSENT CALENDAR
MOTION: Commissioner Howe moved and Vice Chair Pyne seconded the motion to approve the Consent Calendar.

The motion carried by the following vote:

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April 11, 2022Planning Commission Meeting Minutes - Draft Yes: Chair Howard
Vice Chair Pyne
Commissioner Howe
Commissioner Iglesias
Commissioner Weiss
5 -
No: 0

Absent: Commissioner Harrison
Commissioner Rheaume
2 -

1. 22-0464
Approve Planning Commission Meeting Minutes of February 28, 2022

PUBLIC HEARINGS/GENERAL BUSINESS

2. 22-0300 Forward a Recommendation to City Council to Introduce an Ordinance to Amend Sunnyvale Municipal Code Chapter 19.76 (Short-Term Rental of Residential Property), Adopt a Resolution to Amend the FY 2021/22 Citywide Fee Schedule Related to Fines for Violations of the Short-Term Rental Ordinance, and Find that these Actions are Exempt from the California Environmental Quality Act
Deputy City Manager Jaqui Guzmán presented the staff report with a slide presentation.

Commissioner Howe confirmed with Deputy City Manager Guzmán that the process by which applicants register for a short-term rental (STR) is a user-friendly one that involves an online application form and low fees.

Commissioner Howe also confirmed with Deputy City Manager Guzmán that the City’s Neighborhood Preservation Specialist issues citations for an applicant’s failure to comply with regulations on a case-by-case basis.

Commissioner Weiss inquired about Neighborhood Preservation’s current staffing numbers. Senior Neighborhood Preservation Specialist Jhoanne Navarro-Tran advised her that there are currently two Neighborhood Preservation Specialists and two vacant Neighborhood Preservation Specialist positions.

Commissioner Weiss asked about whether the City notifies residents that they are in the vicinity of approved STRs. Deputy City Manager Guzmán responded that residents do not have the option of objecting to the approval of STRs in the same way that they do for other proposed projects reviewed by the Planning Commission.

Deputy City Manager Guzmán added that verifying whether hosts of STRs are

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April 11, 2022Planning Commission Meeting Minutes - Draft known sex offenders is not part of the STR application approval process, and she is uncertain about whether Airbnb performs this verification process as well.

Vice Chair Pyne, regarding the increased penalties for violations of STRs, asked about whether City staff anticipate the elimination of or a decrease in the profit margin associated with illegal STRs. Deputy City Manager Guzmán clarified that the increased fines apply to public health and safety violations (i.e., building code violations that render a property unsafe). She added that the existing fines for administrative citations, which range from $100 to $500, apply to unregistered STRs or un-hosted stays and that state law limits the fines that the City may impose for administrative citations.

Vice Chair Pyne questioned the ability of the City to enforce STR requirements on hosting platforms. Deputy City Manager Guzmán explained that, while these platforms do not currently require STR permit numbers in their advertisements, platforms such as Airbnb and Vrbo are willing to work with the City to comply with such requirements. Deputy City Manager Guzmán added that requirements may be enforced if the City chooses to sue these platforms, but this option is not being explored by the City.

Commissioner Iglesias questioned Deputy City Manager Guzmán about whether other cities found that their STR practices and requirements achieved desired results. Deputy City Manager Guzmán answered that the requirement of STR permit numbers in platform advertisements coupled with ongoing collaboration between the City and these platforms have been the most effective way to manage STR programs. She added that platforms that offer portals for the submittal of complaints on STRs that are not compliant have been successful in managing STRs as well.

Commissioner Iglesias noted that although the Transient Occupancy Tax (TOT) collected from STRs benefits the community, the risk of increased transiency and the risk of the community’s health and welfare remain. He also mentioned that STRs in South Lake Tahoe are required to post a notice that includes the STR permit number as well as a number to contact to report the rental’s failure to comply with regulations. When asked whether the City has considered imposing similar requirements, Deputy City Manager Guzmán responded that while this option was considered, alternative options for best practices were chosen.

Commissioner Iglesias requested the statistics for complaints received by the City pertaining to Airbnb rentals and how those compare to the other complaints

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April 11, 2022Planning Commission Meeting Minutes - Draft received by the City. Neighborhood Preservation Specialist Navarro-Tran informed him that 10 to 15 percent of the City’s complaints involve STRs. These complaints generally involve parking or the presence of many people at the rental property.

Chair Howard and Deputy City Manager Guzmán discussed the impact that STRs have on long-term rental housing. Deputy City Manager Guzmán stated that requiring hosted stays for STRs assists with the prevention of long-term rental housing loss, out-of-control parties, and other such nuisance activities within the City.

Commissioner Iglesias stated that, in his opinion, City regulations pertaining to STRs is limiting since they stipulate the prohibition of un-hosted stays and the use of only those accessory dwelling units (ADUs) approved prior to January 1, 2020 as STRs. He added that these requirements do not support the aging in place of Sunnyvale residents.

In response to comments made by Commissioner Iglesias, Chair Howard advised that while there may be ways to creatively interpret the regulations concerning hosted stays, the requirement of hosted stays for STRs is a valuable consideration that will likely hinder the use of STRs for parties.

Chair Howard opened the Public Hearing.

There were no public speakers for this agenda item.

Chair Howard closed the Public Hearing.

When Commissioner Howe asked about terminology pertaining to service levels, Deputy City Manager Guzmán explained that recommendations regarding service levels are not within the Planning Commission’s purview and that they will be decided upon solely by the City Council.

MOTION: Commissioner Howe moved and Vice Chair Pyne seconded the motion to approve Alternative 2- Forward a Recommendation to City Council to Introduce an Ordinance to Amend Sunnyvale Municipal Code Chapter 19.76 (Short-Term Rental of Residential Property) Adopt a Resolution to Amend the 2021/22 Citywide Fee Schedule Related to Fines for Violations of the Short Term Rental Ordinance, and Find that these Actions are Exempt from CEQA pursuant to CEQA Guidelines Section 15061(b)(3), with a modification.

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April 11, 2022Planning Commission Meeting Minutes - Draft The modification is as follows:

1.) Note that a review of the enforcement service level determined by the City Council should be conducted within a timely manner (i.e., one year).

Commissioner Howe commended City staff and the City Council for their efforts to permit STRs while simultaneously ensuring that hosts are compliant. He also noted the importance of the City Council to make corrective actions to the determined staffing levels withing a known timeframe (i.e., one year).

Vice Chair Pyne agreed with comments made by Commissioner Howe and revealed that he feels assured by the fact that platforms such as Airbnb and Vrbo are voluntarily working with the City to maintain compliance. He also stated that the City’s ordinance pertaining to STRs has the capacity to allow the STRs while also addressing STR violations by means of citations.

Chair Howard spoke in favor of the motion, echoed comments made by Commissioner Howe and Vice Chair Pyne, and added that some may argue about the flexibility surrounding hosting requirements for STRs. He also noted that Commissioner Howe’s amendment to the motion might already be addressed in the staff report, specified under the section Maximum Enforcement Pilot.

The motion carried by the following vote:

Yes: Chair Howard
Vice Chair Pyne
Commissioner Howe
Commissioner Iglesias
Commissioner Weiss
5 -
No: 0

Absent: Commissioner Harrison
Commissioner Rheaume
2 -

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