The City Council finds and determines that the City of Encinitas ("City") has experienced an increase in permitting of short-term rental units located in residential areas and that it is necessary to impose reasonable limitations on the use and operation of such permitted uses to ensure the long-term availability of housing stock. As the popularity of short-term rentals has grown, the City has received numerous complaints related to short-term rentals, including, but not limited to, large and unruly gatherings, excessive noise, disorderly conduct, illegal parking, vandalism, overcrowding, traffic congestion and excessive accumulation of refuse. The City Council further finds and determines that these adverse impacts are related to the violations of short-term rentals by the occupants and guests of short-term rentals. The purpose of this chapter is to establish regulations to address and mitigate these adverse impacts to allow the public and residents to peacefully enjoy the City by ensuring neighborhood compatibility and maintaining harmony with surrounding uses. This chapter is also intended to continue protecting the health, safety, and welfare of short-term rental occupants, guests, and the City's residents.
This chapter is not intended to regulate non-vacation type rental arrangements not generally characterized by the adverse impacts referenced in this section, nor is it intended to unreasonably obstruct the lawful use of short-term rentals in the City. This chapter is not intended to provide any owner of a single-family or duplex unit with the right or privilege to violate any Covenants, Conditions and Restrictions (CC&Rs) applicable to the owner's single-family or duplex unit.
(Ord. 2006-05; Ord. 2021-22)
"Agent"
means a person or entity designated by the owner in writing to ensure compliance with the requirements of this chapter with respect to the short-term rental unit on the owner's behalf.
"Bedroom"
means a room that could be used for sleeping purposes having minimum widths of seven feet and having a closet, excluding bathrooms, kitchen, living room, and laundry.
"Duplex"
as defined within this chapter shall mean a building or buildings on a single lot containing not more than two dwelling units. An accessory unit constructed in accordance with Chapter 30.48 of this Code shall not be counted as a dwelling unit for purposes of this definition.
"Hosted unit"
means a short-term rental whereby the property owner remains on-site during the short-term rental period (except during daytime and/or working hours) and resides on-site or on a property immediately adjacent to the short-term rental unit property.
"Non-hosted unit"
means a short-term rental whereby the property owner does not remain or reside on-site or on a property immediately adjacent to the short-term rental unit property during the short-term rental period.
"Owner"
means the owner of the short-term rental who has an interest in the property as provided for in the property deed. All persons listed in the deed that have an ownership interest are required to sign the short-term rental permit application. If the property is held in a trust or is part of a limited liability company (LLC), the trustee or the general member of the LLC must sign the short-term rental permit application. If the property is held in a corporation's name, the corporation's duly-authorized agent shall sign the short-term rental permit application. Each owner shall be held jointly and severally liable for any violations of this chapter.
"Short-term rental"
means the rental of any single-family or duplex unit that is a privately-owned structure, or any portion of any structure (non-accessory dwelling unit as that term is defined in Government Code Section 65852.2, which may be amended from time to time), for occupancy for dwelling, lodging, or sleeping purposes of 30 consecutive days or less in the City. For purposes of this chapter, non-monetary forms of compensation shall also qualify a property as a short-term rental.
(Ord. 2006-05; Ord. 2021-22)
Any short-term rental shall obtain a short-term rental permit pursuant to this chapter. No person shall rent, offer to rent, or advertise for rent a short-term rental without a valid short-term rental permit issued by the City pursuant to and in the manner provided for by this chapter.
(Ord. 2006-05; 2021-22)
A. 
Business Registration Certificate. Owner/agent must obtain and maintain a current and valid business registration certificate issued by the City pursuant to Chapter 6.60 of this Code at all times while operating a short-term rental at the property.
B. 
Contents of Application. Applicants shall submit an application for a short-term rental permit to the City of Encinitas each year for each unit. A permit application must include all of the following information, which shall be updated when there is any change to ensure that the City has current information on file at all times relating to the short-term rental and its owner(s)/agent(s), as applicable:
1. 
Legal name, address and telephone number of all owner(s), agent(s), and the 24-hour, seven-day per week local contact person (if different from owner/agent).
2. 
The address and assessor's parcel number of the property proposed to operate as a short-term rental unit.
3. 
The number of bedrooms within the unit.
4. 
The number of existing on-site parking spaces designated for the exclusive use of the unit.
5. 
The number of fire extinguishers and smoke and carbon monoxide alarms at the short-term rental property, and a self-certification of compliance with the Fire Code subject to review and approval by the City's Fire Marshal.
6. 
Signed statement acknowledging that the owner is permitted to use the owner's property as a short-term rental, per applicable private governing documents.
7. 
Copy of any application and all other forms that renters of the short-term rental will be required to complete.
8. 
Copy of the owner's rules and regulations for the short-term rental.
9. 
Signed statement by the owner acknowledging all of the following: (a) all of the information contained in the short-term rental permit application is true and correct; (b) all owner(s)/agent(s), and the designated local contact person, are familiar with the requirements of this chapter; (c) all owner(s)/agent(s), and the designated local contact person, are responsible for ensuring compliance with this chapter; and (d) failure to comply with this chapter and all applicable provisions of this Code may result in suspension and/or revocation of a short-term rental permit.
10. 
Evidence of liability insurance for the property in an amount of at least $1,000,000.00 to cover the short-term rental operations, which insurance shall be maintained during the entire term of any permit issued by the City. Renewal must be provided to the City before expiration of the insurance on file.
11. 
Such other information as the City Manager, or designee, deems reasonably necessary to administer this chapter.
12. 
The application and permit are only applicable to the individual(s) named on the application and are non-transferable.
C. 
Application Fee. The application for a permit shall be accompanied by a nonrefundable application fee or renewal fee established by the City Council; however, the fee shall be no greater than necessary to defray the costs incurred by the City in administering and enforcing the provisions of this chapter. Although the applicant may be the property owner or the property owner's agent, the property owner shall be the party responsible for compliance with all provisions of this chapter and all of the laws regulating short-term rentals.
D. 
Change of Ownership. Within 14 days of a change of property ownership or conveyances that materially change the ownership interest in the property, a new application for a short-term rental permit to continue operation of the short-term rental and shall be accompanied by the required application fee. A request for change of ownership for the purpose of evading fines or the suspension or revocation of a permit will be automatically denied.
E. 
Granting of Application. The application shall be granted unless the applicant does not meet the conditions and requirements of the permit or fails to demonstrate the ability to comply with this Code or other applicable laws, rules or regulations. All permits issued under this ordinance must be renewed 12 months from the initial date of issuance. If the term of liability insurance expires within the permit term, the permit approval is automatically revoked unless evidence of insurance renewal is provided to the City in advance of expiration.
F. 
False Statements. Any false statements or information provided in the application are grounds for denial of a short-term rental permit, or if the permit has already been issued by the City, revocation and/or imposition of penalties, as outlined within this chapter.
(Ord. 2021-22)
Short-term rentals shall be regulated in all residential zones including residential developments in PRDs (planned residential districts), as follows:
A. 
Avoidance of Public Nuisance. Owner/agent shall ensure that the occupants and/or guests of the short-term rental unit do not create a public nuisance by allowing unruly gatherings or creating raucous noise. Owner/agent shall ensure that any unruly gatherings, raucous noise, disorderly conduct, or other violations of state or local codes are timely abated.
B. 
Loud and Raucous Noise Prohibited. It shall be unlawful and shall constitute a public nuisance for any owner/agent of a short-term rental unit to cause, allow or permit the emission or transmission of any loud or raucous noise, as identified in Section 9.32.414 of this Code, from any sound-making equipment or sound-amplifying device to occur or be maintained at a short-term rental. A raucous noise may include, but is not limited to, the following: yelling, screaming, shouting, or making other disturbing noises which unreasonably interferes with the peace and quiet of the nearby residents or members of the public.
C. 
Loud and Unruly Gatherings Prohibited. It is unlawful and shall constitute a public nuisance for any owner/agent of a short-term rental unit to cause, allow or permit a loud and unruly gathering to occur or be maintained at a short-term rental. A loud and unruly gathering shall include, but is not limited to, the following: the number of occupants and/or guests at the short-term rental exceeds the number permitted on the short-term rental permit; the activities of the occupants and/or guests create raucous noise and/or unreasonably loud amplified music in violation of Section 9.32.414 of this Code, that may be heard by nearby residents or members of the public; and/or occupants and/or guests engage in or create disorderly conduct in a manner that disturbs the public peace.
D. 
Prompt Response to Complaints. Owner/agent shall, upon receiving notification from a resident, the City, the Sheriff's Department, a rental platform, or any other means, that any occupants or guests of a short-term rental unit have created raucous noise, engaged in disorderly conduct or committed violations of this Code or applicable law pertaining to noise, disorderly conduct, overcrowding, the consumption of alcohol or the use of illegal drugs, respond within one hour of the time the initial call (complaint) was made to take corrective action to address any violation. Failure to respond timely to complaints is grounds for penalties as set forth in this chapter. It is not intended that the property owner, local agent or contact person act as a peace officer or place himself or herself in an at-risk situation. Owner/agent shall provide documentation on what steps were taken to mitigate the issue.
E. 
Permitted Occupancy. The property owner or agent shall limit overnight occupancy of the short-term rental unit to a specific number of occupants not to exceed two persons per bedroom plus one additional person per dwelling unit. All other applicable occupancy laws shall apply.
F. 
Parking. The property owner or agent shall limit the number of vehicles at the short-term rental unit to the number designated in the permit. All designated on-site parking spaces shall be made available for the vehicles of occupants. Street parking is prohibited and vehicles shall not impede access to sidewalks and adjoining neighbor properties or driveways.
G. 
Compliance with Laws. The property owner or agent of a short-term rental unit shall comply with all applicable provisions of this Code, and all other federal, state, and local laws, rules, and regulations.
H. 
Trash and Refuse. Trash and refuse shall not be left or stored within public view except at a location that is designated for collection from sunset on the day prior to trash pick-up until up to midnight on the day designated for trash pick-up. All trash shall be in approved receptacles pursuant to Section 11.20.090 of this Code.
I. 
Additional Standards Imposed by City Manager, or Designee. The City Manager, or designee, shall have the authority to impose additional standards and/or conditions to short-term rental permits as necessary to address complaints regarding the operation of the short-term rental and to achieve the objectives of this chapter.
J. 
Interior Display of Short-Term Rental Permit. Owner/agent shall affix the short-term rental permit on the inside of the main entry door of each short-term rental unit to which it applies. The interior display shall also contain the maximum number of overnight occupants permitted to stay in the unit, the maximum number of vehicles, and a 24-hour, seven-day per week local phone number of the owner/agent responsible for the short-term rental unit.
K. 
Exterior Display of Short-Term Rental Unit. Owner/agent shall display, at a minimum size of eight and one-half inches by 11 inches on the exterior of a short-term rental unit during the period of short-term rental operation, a notice provided by the City containing a 24-hour, seven-day per week local phone number of the owner/agent responsible for the short-term rental unit. The exterior display must also contain the number of bedrooms, maximum number of occupants permitted to stay in the unit, and the maximum number of vehicles. The notice shall be in plain view of the general public and/or common areas and shall be maintained in good condition.
L. 
Adjacent Property Owners Notified. Applicants are also required to provide adjacent property owners located within 300 feet of the subject short-term rental property with the 24-hour, seven-day per week local phone number of the owner/agent responsible for the short-term rental unit, and a copy of the good neighbor policy on a form provided by the City.
M. 
Rental Agreements. Information on the permitted occupancy of the dwelling, parking capacity for each unit, and trash disposal requirements shall be stated in the rental information and agreement provided to prospective renters, prior to their occupancy of the unit.
N. 
Payment of Transient Occupancy Tax. Owner/agent shall comply with all provisions of Chapter 3.12 of this Code concerning the payment of Transient Occupancy Tax (TOT). The TOT calculation shall include cleaning fees, resort fees, and other fees as part of the total rent charged for the short-term rental unit. If the owner/agent uses a hosting platform, the hosting platform shall be considered an agent of the host for purposes of collecting and remitting the TOT to the City.
O. 
Outdoor Fire Pits. No open wood-burning fire pits, bonfires or campfires are permitted at short-term rental properties. Natural gas/propane burning fireplaces and fire pits with 20-pound tanks or smaller are acceptable outside, provided the device is at least 10 feet away from a structure and any flammable materials.
P. 
Grills and Barbeques. Grills and barbeques are not permitted beneath a potentially flammable source, including, but not limited to, trees, umbrellas, decks, or other appurtenant structures, and shall be no less than 10 feet away from a structure and any flammable materials. Charcoal grills of any type are strictly prohibited.
Q. 
No Roof Access. Due to neighborhood privacy concerns and potential risks of bodily harm, accidental death or injury and other safety concerns, standing, sitting, sleeping, lying, walking, or running on the roof of any short-term rental is prohibited. This does not include permitted roof decks.
R. 
Life/Safety Compliance. The property that is the subject of the short-term rental must meet basic life/safety requirements, including, but not limited to, operable smoke and carbon monoxide alarms, fire extinguisher, and first aid kit, and shall comply with minimum operating standards.
S. 
Inspections. Owner/agent shall permit the City to inspect the short-term rental unit and property: (1) prior to the issuance of a short-term rental permit; and/or (2) in response to any complaint received by the City for the purpose of making a reasonable inspection to observe and enforce compliance with all applicable laws, rules and regulations, including the provisions of this chapter.
T. 
No Subletting. The subletting of a short-term rental unit is prohibited. Only owners/agents with a valid short-term rental permit issued by the City are permitted to advertise and rent out a property as a short-term rental unit.
U. 
No Special Events Permitted On site. Weddings, corporate events, commercial functions, and any other similar events that have the potential to cause traffic, parking, noise, or other problems in the neighborhood are prohibited at the short-term rental property or as a component of short-term rental activities.
V. 
No Commercial Filming. No commercial filming shall occur on-site of the short-term rental property concurrently with an active short-term rental permit.
W. 
Recreational Vehicles. An owner/agent shall obtain all necessary permits to allow the overnight parking of a recreational vehicle for a guest of the short-term rental subject to the provisions and requirements of Section 14.40.155 of this Code.
X. 
Permitted Guest Hours. Guest hours permitted at the short-term rental shall be limited from 8:00 a.m. to 10:00 p.m. daily.
Y. 
Advertisements. It is unlawful for any person or entity to advertise a short-term rental in the City without a valid and current permit issued by the City. All advertisements for a property operating with a valid short-term rental permit, including those advertisements posted on or by hosting platform sites, must include the short-term rental permit number provided by the City, the maximum number of occupants permitted to stay in the unit, and the maximum number of vehicles permitted to be parked at the unit.
Z. 
Minimum Night Stay. Non-hosted short-term rental units shall have a minimum night stay of three consecutive nights. This provision shall not apply to hosted short-term rental units.
AA. 
Permit Modifications. The operational requirements may be modified by the City Manager, or designee, based on site-specific circumstances for the purpose of allowing reasonable accommodation of a short-term rental. All requests must be in writing and shall identify how the strict application of the operational requirements creates an unreasonable hardship to a property, and if the requirement is not modified, reasonable use of the property for a short-term rental would not be allowed. Any hardships identified must relate to physical constraints to the subject site. Such hardships cannot be self-induced or economic. In addition, any modification to the operational requirements cannot further exacerbate an already existing problem.
(Ord. 2021-22)
A. 
It is unlawful for any person to fail to comply with any of the requirements of this chapter or with any standards/conditions of a short-term rental permit, or to operate a short-term rental within the jurisdiction of the City contrary to or in violation of any of the provisions of this chapter, any applicable provisions of this Code, or any other applicable laws, rules, and regulations.
B. 
Any person who violates any provision of this chapter shall be subject to the fine amounts set forth in Government Code Section 36900(d), as that section may be amended from time to time.
C. 
Violations of this chapter may be enforced by any method allowed in Chapter 1.08 of this Code, or any other applicable enforcement mechanism available to the City.
(Ord. 2021-22)
A. 
Denial, Suspension or Revocation. In addition to any other remedy provided by this chapter, a short-term rental permit may be denied, and if already issued, may be suspended or revoked by the City Manager, or designee, pursuant to this section.
B. 
Grounds. A permit issued under this chapter may be denied, suspended or revoked upon any of the following grounds:
1. 
A material misrepresentation, false or misleading information was included on the application or renewal application for a permit application.
2. 
A violation of any provision under this chapter, any applicable provision of this Code, and/or any other applicable law, rule or regulation has occurred on the premises of the short-term rental unit.
3. 
An authorized official has given notification of existing health or safety violations on the property or noncompliance with applicable laws, rules or regulations relating to health and safety.
4. 
A short-term rental permit for the property has been revoked in the previous 12 months, unless the property has been sold and the new owner can demonstrate to the City change of property ownership during that time period.
5. 
The applicant is delinquent in the payment of any outstanding fees, assessments or taxes owed to the City related to any property located in the City that is owned by the applicant, including, but not limited to, Transient Occupancy Taxes (TOT).
C. 
Appeal of Denial, Suspension or Revocation. The appeal procedures for the denial, suspension or revocation of a short-term rental permit shall be those set forth in Chapter 1.12 of this Code.
D. 
Public Notice of Suspension or Revocation. If a short-term rental permit is suspended or revoked pursuant to this section, notification of the suspension or revocation shall be provided by the City to all record property owners located within 300 feet of the subject short-term rental. Posting of the suspension or revocation shall also be provided on the City's short-term rental webpage.
E. 
Prohibited Operations. If a short-term rental permit is revoked pursuant to this section, the owner/agent shall not operate a short-term rental at the property for a period of 12 months from the date of such revocation. No permit that is revoked by the City may be transferred to any other person or entity to operate a short-term rental at the property during such period of revocation.
(Ord. 2021-22)
Permits and fees required by this chapter shall be in addition to any license, permit, or fee required under any other chapter of this Code. The issuance of any permit pursuant to this chapter shall not relieve the property owner of the obligation to comply with all other provisions of this Code pertaining to the use and occupancy of their property.
(Ord. 2021-22)
Any person who has suffered, or alleges to have suffered, damage to person or property because of a violation of this chapter may bring an action for money damages and any other appropriate relief in a court of competent jurisdiction against the party alleged to have violated this chapter.
Nothing herein shall be deemed or construed to create any right of action against the City or any of its officers, employees, or agents. The sole purpose and intent of this section is to create a right of action between private parties, entities, and interests, which are or may be impacted or affected by various aspects of short-term rentals within the City.
(Ord. 2021-22)
Existing permit holders with a valid and current short-term rental permit issued by the City prior to the effective date of the ordinance codified in this chapter, must be in full compliance with the provisions of this chapter no later than 90 days from the effective date of ordinance codified in this chapter, with the exception of any fee increase authorized under Section 9.38.040(C) of this Code, which fee increase shall not apply until the time of renewal of the short-term rental permit.
(Ord. 2021-22)