The City Council Tuesday night decided to pass the hot potato issue of regulating short term rentals in Hermosa Beach to another meeting and directed city staff to come back with a report on the impacts such a change would have on the city.
“We’ve known this problem has existed in our city for years and we’ve allowed it to,” said Councilmember Jeff Duclos. “That’s not right.”
The original recommendation from staff was for council to provide direction regarding options for regulating transient short-term rentals. While rentals of less than 30 days are not allowed within the city, the report said that it still occurs and results in adverse impacts to the community.
“Enforcement has been problematic due to the transient nature of the use,” the report stated. “Short-term rentals may result in adverse impacts when rented for the purpose of hosting parties or large groups, which may result in increased demand for police eservices, parking issues, excessive noise or disorderly conduct, overcrowding of the residence, and trash accumulation, among other impacts.”
In early 2010, the Council considered options for allowing and regulating rentals restricted to areas west of Manhattan Avenue or Monterey Blvd subject to a regulatory business license and standards. The council decided not to amend the code.
Since July 1, 2012 through June 2013, The Code Enforcement Division received twelve complaints of short term rentals and in February, 105 short term rental listings were posted on Vacation Rentals By Owner (VRBO). Twelve of the listings only had a one month lease option and 93 were advertised as short term. Nightly prices ranged from $200 to $2,000. A message was sent to the person responsible for those listings warning them that short-term rentals are prohibited in residential zones. “Please discontinue the practice and have this advertisement removed immediately.”
“Six responded and said they didn’t know it was illegal,” said Councilman Peter Tucker. “We need more people to enforce what we make laws for. They cause a problem, I see it – I hate to say it, but it’s the culture we’ve developed in this community. ‘Come down for the weekend, what a great deal!’ This [enforcement] isn’t going to happen this summer, but it’s something we need to look at again and ramp it up.”
The report suggests that if short term rentals were legalized, the city could collect Transient Occupancy Task (TOT) and that the collection of TOT would additionally provide funds for enforcement. The report cites a City of Manhattan Beach Finance Director report which says such fees of $50,000 annually are collected in that city.
“We have plenty of property owners and long term renters that cause problems and plenty, but fewer, short term renters that cause problem,” said Councilman Michael DiVirgilio. “But it’s a density issue, and the fact is many people live like we’re out in farm land somewhere and throw a party like they don’t have next door neighbors and throw trash and invite people over like there are no next door neighbors…It’s easy to kick the short term renters, but the fact is that it’s community-wide and its a general disrespect for our neighbors.”
Local resident Sandi Pfister told the council that she’s been observing the rental issue for over 20 years in Hermosa Beach.
“I think that when you’re a visitor and you have your family or a couple of families…you cannot afford 12 hotel rooms – but you can afford a three-bedroom vacation rental that is a home,” said Pfister. “…Let them [city staff] work out together some sort of potential ordinances that would make sense for us on an economic basis. Direct them to put something together that makes sense for everybody, like policing that party house and making the ordinance really something you can bite down and get enforcement up from police.”
The council also voted to form a working group to discuss a solution to enforcement and possible legalization of short term rentals.
“Let’s have a fully informed discussion,” said DiVirgilio. “… and let’s get some rules in place with some real teeth that really make sense.” ER
