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cc 2023 AR 03/14 short-term rentals

Vista City Council
March 14, 2023

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cc 2023 AR 03/14 short-term rentals
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March 14, 2023
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Vista City Council
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ACTION:
____________________________
Clerk/Secretary
Department: City Manager Item No: D2
Prepared by: Amanda Lee, Assistant City Manager Meeting Date: March 14, 2023 Approved by: John Conley, City Manager Agenda Location: Discussion SUBJECT: SHORT TERM RENTALS
RECOMMENDATION: Discuss establishing short-term rental rules and provide direction to staff.

PRIOR ACTION: None
STATEMENT ON THE SUBJECT: Councilmember Melendez requested the City Manager place a discussion item on an upcoming agenda to discuss establishing regulations for short-term rentals. Currently, there are 19 known short-term rentals in the City.

FISCAL IMPACT: There is no direct fiscal impact associated with this discussion item.

EXHIBITS:

None.

AGENDA
REPORT

CITY COUNCIL

COMMUNITY DEVELOPMENT COMMISSION

SUCCESSOR AGENCY

BUENA SANITATION DISTRICT

JOINT POWERS FINANCING AUTHORITY
03/14/2023 D2 1 of 1
Discussed establishing short-term rental rules and provided direction to staff.

Vote: No vote

ADD TO PACKET
Dear Vista City Mayor and Council Member, March 10, 2023 I would like to submit below written statement outlining our bad experience dealing with a non -owner -occupied short-term rental (STR) next to us and our suggestions to regulate them so their impact to neighborhoods are minimized. This statement is for the agenda item Short Term Rental Regulations that will take place during City Council Meeting on March 141" and I plan to give 3 minute speech to cover main points of the statement.

Omer Acikel
Non -owner Occupied STR address 343 Palm Canyon Dr.

Property Information:
• Purchased in June 2019. Received business license in Oct 2019 from City of Vista. • Property has 3 full bathrooms, 5 bedrooms, 2380sgft on a cul-de-sac. • Backyard amenities: Swimming pool with waterfall, very large dining table, minigolf. • Listed to host 12 people (3 average families), this was first 8, then 10 and now 12.

Rented as non -owner occupied STR, renters have full access to property w/ no owner present This is asking for fire: providing wood, oxygen, and heat then hoping no fire starts! These properties lower neighboring home values because they become undesirable.

Owner, residents of Fallbrook:

Fredrick L. Bernier, retired Marine, purchased property with a VA loan never lived there (fraud).

Jennie L. Bernier, active Marine, wife of Fredrick, co-owner (VA loan co-signer, fraud) Property Manager (PM):

Gregory Rollins, former Marine, Oceanside resident.

Also manages 1766 Elevado Rd. Vista CA 92084 with swimming pool, 2200 sgft single house property as non -owner occupied STR. There are noise complaints to Sheriff from this property.

What's done with the owner:
• Took us 7 months get owner's attention while parties and gatherings were going on (Nov 2019 to May 2020). The business license was not posted to the property as it was supposed to.
• After our complaint to City of Vista, his response to our neighborhood email group evolved from
o First "I did not know about the problems"
o Then "need time to address problems", tried bribing for the inconvenience o Then called us "unreasonable" (consistently asking parties and gatherings with excessive parking to stop became "unreasonable").
o To accommodate I personally agreed to give feedback to PM to address the problems
D2

■ 1 personally gave noise feedback between July 3rd and Aug Pt 2020, for full 4 weeks.
■ 1 stopped this mediation effort when my 3 texts and phone calls to stop a party was flatly ignored. Also, received no response (to this date) to our group email asking what has been done in August 2020 in two emails. • We now know that the owner's and PM's business plan is to run a party/vacation house and look like "sensitive" to neighborhood by doing some trivial changes. o They have indoor noise sensors. But at best it looks like it sends automated text to renters, no repercussions for repeat offenders.
o They have cameras. Judging from repeated excessive parking and parties, no one checks them. They were installed after violent party caused property damage. o They put "Tow Away" sign in late 2021. Since then, my neighbor's truck was blocked by parked cars twice (have video of parked cars in front of the sign). The sign is for show.
o Their post says, "No party", "quiet neighborhood", even displays "quiet hours" (applies to residential property not to a business). We experience excessive noise and security problems due to constant parties because there is a fee for partying (more like endorsement) for $200 according to their post. • Bottom line is they purchased this large house with a pool for parties, vacations, and gatherings (business plan). They try to wiggle as much as they can to look like they care about the neighborhood.
o Both my neighbor and I have been threatened by litigation by the owner.

What is done with the City
• Note that City of Vista issues non -owner occupied STIR business license with no regulations on the book!
• In 2020 spring, two neighbors (one by myself) filed online noise complaints. However, the setup is for neighbor -to -neighbor residential issues not to a business. • In 2022 spring, our cases were closed. I was told it is because the property is a business! • Since the complaint set up is for residential problems, it is useless for our problems. • In May and June 2021, we had zoom and in -person meetings with then Mayor and 4 city council members, Assistant City Manager Amanda Lee, and then Director of Community Development and Engineering John Conley, now City Manager. We received lip service. • City of Vista claimed our problems are "isolated". The metric they decided to use was call volume to Sheriff. As explained in the next section, it is a flawed metric at best. • Bottom line is the City creates these problems by issuing business licenses in residential areas without any regulations, the City owns the problems. o The City needs to study non -owner occupied STIR problems in other cities. o The City believes if there are no calls to Sheriff, there is no problem! Wrong What is done with the Sheriff
• We collectively have more than 50 event numbers for the disturbances caused by the subject property.

• Once Sheriff realizes the repeat nature of noise complaint calls to the same address, Sheriff deputies stop responding because they deem the case is "chronic", requiring City's attention. We stopped calling, not because the problem is gone, because no one comes once calls are reaeats.
o Hence the flaw nature of using call volume as metric to assess this problem. • Sheriff department is small and their priority is crime fighting not noise complaints. • Some Sheriff deputies (have names and badge numbers) believe "partying is a right", showing insensitivity to our situation.
• The bottom line is the Sheriff sees this as a chronic problem and it is the City of Vista who should address it.

What is done with Airbnb and vrbo
• We have multiple noise complaint cases opened with Airbnb. Vrbo has less accessible way to file complaints: once received an email with case number, nothing else. • Airbnb complaint process is not transparent. To this day, not sure what has been done once a complaint is filed. PM still posts the property on Airbnb and vrbo. o The PM lost his "super host" status with Airbnb sometimes in 2021. • They claim to have policies against partying and point fingers to property owner.

What is done as Litigation
• After talking to couple of real estate lawyers, most recommended to solve the problem through the City given there is no regulation on the books. "Cease or decease" cases can linger, be costly, and may not resolve the problem. Why should we spend our time and hard earn money for a court process when the City should address the problem they created in the first place? The owner has threatened one of my neighbors in October 2020 and myself in January 2023 with litigation when we voiced concerns on continuing noise and security issues caused by their renting practices and try to find ways to get relief from disturbance their rental practices cause. We will pull the City into the litigation process should we pulled into it ourselves by the owner. The City creates the problem, the City owns the problem.

What should be done
• The City needs to set regulations for businesses when issuing business license to non - owner occupied STRs. These establishments cause many problems all around the US. • Any city issuing such licenses, mostly coastal cities, have heavy regulations:
o They limit number of licenses very low and usually in clusters, not spread o They have special task force, other than police or sheriff, to address issues specific to such properties. It requires fast and decisive control.

Any business license should include a process for suspension and revoke of business licenses when owners do not correct continuing problems. Currently the City of Vista rubber stamps licenses annually regardless of problems that are proven to be there.

• There should be size and outdoor amenity limitations for such properties when one applies for non -owner occupied STR business license. When there is a large house with a pool or any other water feature, it does not take too much imagination to know there will be problems even if the property owner tries to control the crowd. o It is cheaper to avoid giving licenses to such properties all together. Any property w/ any outdoor water feature will cause disturbance requiring enforcement. In such properties, no one takes responsibility of renters' bad behavior but claim to have rules in place. Please study already available cases all around the US before issuing such license.
o If the City insists to issue license, then it needs a separate task force to address unique problems such establishments create and they have to act fast, i.e. number of such officers should be proportional to number of licenses given. o These special task force should have full access to the property to check number of renters and their activities when there is a complaint and should have power to issue suspension and recommend revoking the business license for proven repeat offenses. The City of Vista should not rubber stamp business licenses for bad actors.

From: Kimberly Jackson
To: Public Comments; Kathy Valdez; John Franklin; Corinna Contreras; Joe Green; Katie Melendez; Dan 0"Donnell Subject: Item number (D2), Short Term Rentals (CC)
Date: Saturday, March 11, 2023 4:37:33 PM
You don't often get email from [email protected]. Learn why this is important Dear Honorable Mayor and Vista City Council Members,
I write to show support for the legal vacation rentals in your city. I work for three families that own homes in the City of Vista. All have deep roots to Vista and long standing local ties to your community. They choose to keep their homes while living elsewhere on work assignments (2 families) and to care for aging parents in another part of the country (1 family).

These families use their homes when they come to town regularly during school breaks and Holidays, and thus, they can not be used for long term housing, as they would be unable to slide in and out of their homes when they have the opportunity to come home.

I am anxious to learn the issues Vista is having with Short Term Rentals. I hear this is a "one house problem", with the address of: 343 Palm Canyon Dr? Have you suggested the owner and inflamed neighbor engage in Mediation to resolve their issues?
Regardless, short term rentals are a valuable part of your ecosystem in Vista. The guests we host tend to eat out for many meals at your local restaurants. When these folks come to town, they shop in your local boutiques. By disrupting vacation rentals, you risk a loss of city tax money that visitors bring to the table. The shops and food establishments would take a financial hit, something business owners can't afford during a recessionary period. Please, we ask for no government overreach when trying to solve a one address issue.

Thanks for reading, see you on Tuesday night,
Kimberly Jackson

U FOUNDER
Vacation Rental Management
(503) 957-9354
Kim(a)vrbkim.com
www.vacationrentalsbykimberly.com

From: Ann Terrell
To: Public Comments; Kathy Valdez; John Franklin; Corinna Contreras; Joe Green; Katie Melendez; Dan O"Donnell Subject: Short Term Rentals
Date: Sunday, March 12, 2023 11:24:52 AM
ISome people who received this message don't often get email from [email protected]. Learn wh, this is im op rtant
Vista Mayor and Council People,
I raised my kids here in town. I keep our family home here (even though I now live in Santa
Cruz), so that when we want to have Easter, Thanksgiving, and Christmas in our family home, we can. Please continue to allow me to use my home as a vacation rental so I can continue to host our family gatherings in our beloved home. If I was not allowed to vacation rent it, I would have to sell it. I would not keep it and rent it long term. I don't want to sell it. This makes me so sad even thinking about that. Thanks for considering my feelings.

From: Hugh Terrell
To: Public Comments; Kathy Valdez; John Franklin; Corinna Contreras; Joe Green; Katie Melendez; Dan O"Donnell Subject: Vacational Rentals
Date: Sunday, March 12, 2023 1:16:11 AM
You don't often get email from [email protected]. Learn why this is important Dear Honorable Mayor & Council Members,
I hear you are trying to impose rules on the vacation rentals we have here in town. Why? Don't turn our visitors away, they contribute to our local economy. My store depends on their business.

Thank you,
Hugh Terrell, Broker
Vacation Rentals by Kimberly

From:

Terri Matthews
To:

Public Comments; Kathy Valdez; John Franklin; Corinna Contreras; Joe Green; Katie Melendez; Dan O"Donnell Subject:

Short term rentals in Vista
Date:

Sunday, March 12, 2023 4:14:58 PM
ISome people who received this message don't often get email from [email protected]. Learn why this is im op rtant
To Whom it May Concern,
I work in the vacation rental industry as a cleaner for vacation rentals. I was born and raised in Vista and this income is imperative to my family. I am licensed and insured and rely on income taking care of these units. I also live in Vista. We pay taxes in Vista on the income we make, please don't disrupt our rentals with restrictive rules and regulationss on our guests. There are a variety of reasons why people come to stay in our homes: work, family in the area, medical reasons, leisure and for most of our home owners, this is their second home. This rental income affords them to live somewhere else and still maintain their home in Vista. Please think about all the people who rely on this income: pool/hot tub cleaners, property managers, cleaners, gardeners, pest control and many others just to name a few. I appreciate you taking the time to read my letter and hope this will help in making a decision on imposing unnecessary rules and regulations on short-term rentals.

Sincerely,
Terri M.

ADD TO PACKET
From:

Mark Nicha
To:

Kadw Valdez: John FmnWinCarina G.ntraas' Jae Green; Kane Melende ; Dan o" Doonek subject:

Gxmmentary on D2 Short Term Rentals
Date:

Malay, Mardi 13, 20D 7:16:08 PM
Hello, I have learned that Vista is considering some kind of rules for Short -Term Rentals. I'm not sure what these will be. However, I want to voice my support of Short Term Rentals in Vista, which is becoming a destination in its own right and does not have an adequate supply of hotels. Without a supply of short-term rentals in Vista, visitors will stay in Oceanside, Carlsbad, or San Marcos instead, which will be a missed opportunity.

Thank you
Mark Pejcha
IYA

From: Kylie Castro
To: Kathy Valdez; John Franklin; Corinna Contreras; Joe Green; Katie Melendez; Dan O"Donnell Subject: Short Term Rentals
Date: Monday, March 13, 2023 2:51:17 PM
Hi there,
I have been made aware of the upcoming meeting regarding short-term rentals. I hope this email finds you well and serves a purpose in any decision -making towards short-term rentals.

I have been working for a lovely couple who are vacation rental owners as a cleaner for many years now. I solely rely on this income, in which I pay taxes on, to support myself and my family. Aside from working, I am also a Vista native which benefits me in the commute to units I travel to. I am thankful for the job opportunities I have been given due to short-term rentals.

With that being said, I ask you to closely consider my email when making your final decisions regarding short-term rentals and to please not disrupt our ecosystem with heavy restrictions and rules on our guests and homes.

Thank you,
Kylie

room:

Kathy Valdez
To:

Claire Lopez
subject:

RN: Shop Won rentals
Date:

Tue ay, Mach 14, 2023 2:13:14 PM
Sent from my T-Mobile 4G LM Device
________ Original messa a --------
From Leora Moore
Date: 3/14/23 1:23 PM (GMT-08:00)
To: Public Comments
Subject: Short term rentals
IYou donY often get email from
Hello.

Allhaugh I am aware of the pros and cons of this issue, I am writing to sham my experiences of living next door to a boom which has been a short tern rental home for several years_ The experience has been a positive one and I think it has to do with how the house is marketed and the exceptional integrity and Gloomier tithe owners it all started when our neighbors started renting their home when they went out of town. They market their home as a great rental for families and emphasize the proximity to majorfamity attractions_ They am very dear about the expectations they have for Mir guests and also treat their guests very well so they feel they are getting the most out of their rental. Our neighbors are very consrieatiaus about checking in with us and their other neighbors regarding any problems or issues with any of their guests_ Being right next door, we have never had any issues with any of their guests_ Sadly, our neighbors grew out of the house read door to us and A is now a full time shod team rental home which continues wilhrut any issues. Our biggest issue with the situalirn is that we new have In drive 10 mmules to see the neighbors who became like family when lheywere right next dear Wculd d be nice fo have a new neghbof! yes, but you never know what you're going to get. Then: s a family across the street who stopped intrawbrg with everyone when OOVID hit and barely leavetheir hone anymore_Afewdrorsdmm,theresadog thatbarksout in the yard, late into the night Ideal need any more neighbors like these_
Thank ycu,
Lean

From: Kathy Valdez
To: Claire Lopez
Subject: FW: Short Term Visitor Policy
Date: Tuesday, March 14, 2023 2:13:03 PM
Sent from my T-Mobile 4G LTE Device
-------- Original message --------
From: Brigette Browning
Date: 3/14/23 1:03 PM (GMT-08:00)
To: Public Comments
Subject: Short Term Visitor Policy
[You don't often get email from Learn why this is important at https://aka.ms/LeamAboutSenderldentification ]
I am writing on behalf of UNITE HERE Local 30 - the Hotel Workers' Union. We are in strong support of regulating Short Term Visitor Accommodations. If unchecked they will make it very hard for lower income residents to remain in Vista. We have seen that they drive up rents and often force our members to move further and further from job centers. Sensible policies are also necessary to preserve neighborhoods. These units are notorious for loud parties and if you allow them to proliferate in your community many of your neighborhoods will be permanently changed. We look forward to collaborating with you all going forward. Thank You - Brigette Browning - President

Short -Term Rentals
Rules and Regulations in the City of Vista

What is a Short-Term Rental (STR)
A Short-Term Rental, sometimes called a vacation rental , is a furnished house, apartment, or dwelling unit that is rented for short amounts of time. The guest typically books a stay of a few days or a few weeks, but fewer than 28 days. The amenities, rates, and other factors may be preferred to a hotel or motel stay.

Rules and Regulations for Short-Term Rentals
The City of Vista does not have rules and regulations for STRs.

When comparing other cities, rules and regulations may include:
• A permitting process with requirements for operation o Rules on amenities
o Minimum length of stay
o Paking requirements
o Quiet hours
o Many other conditions may be considered as requirements for operation • Penalities for violations of the permit

Rules and Regulations for Short-Term Rentals
The City of Vista does not have rules and regulations for STRs.

When comparing other cities, rules and regulations may include:
• Limitations on the concentration of STRs in neighborhoods or districts. • Moratorium on total STRs in the city or a district. • Restrictions on the type of dwelling unit for STRs, e.g. single-family homes only.
• Limitations based on secondary use of the property, i.e. owner- occupied only.
• Limitations on the number of permits held by a property owner.

Reasons to Consider Rules and Regulations for STRs • Repect for zoning in residential neighborhoods. • Address neighborhood concerns such as noise, parking, etc. • Reduce calls to service for sheriff department. • More efficient deployment of enforcement for complaints. • Ensure consistent expectations set for local businesses. • Creation of a regulated market to ensure taxes or other revenues are properly documented and collected.
• Reasonable regulations now to prevent unmanageable STR circumstances in the future.

Recommendations for City of Vista Staff
In order to implement rules and regulations for Short-Term Rentals, the Vista City Council directs staff to do the following:
• Develop an ordinance for Short-Term Rentals to include:
• Permits with requirements for operation
• Penalties for violations of the permit
• Research and present information about staff time required to implement new ordinance

Discussion :

Rules and Regulations for
Short-Term Rentals
Together,
let's discuss an
ordinance that will �
be a "good fit" for
The City of Vista. 7-7

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