[Adopted 7-19-2023 by Ord. No. 2023-20[1]]
[1]
Editor's Note: This ordinance also repealed former Art. II,
Rental to Minors, adopted 9-19-2018 by Ord. No. 2018-19.
A.
The Borough Council of the Borough of Seaside Heights finds and declares
that the short-term rental of residential dwelling units within the
Borough benefits the local community by affording owners of such units
the ability to collect income from their real property (also referenced
as "property") in order to diminish the financial burden of carrying
costs and maintenance expenses related to the property, as well as
providing travelers with an alternative option for accommodations
in the Borough, thereby promoting the local travel and tourism industry,
and contributing to the economic vitality of the Borough. Notwithstanding
those benefits, the Borough Council also finds and declares that certain
transitory uses of residential property tend to affect the residential
character of the community and, if unregulated, can be injurious to
the health, safety and welfare of the community.
B.
In addition, for many decades during the months of April, May and
June the Borough has experienced substantial numbers of unsupervised
minors who rent rooms in the Borough to celebrate high school proms
and graduations. These large numbers of unsupervised minors have grown
because of curfews and other restrictions imposed by neighboring municipalities.
C.
These crowds of minors often create unlawful and unsafe conditions
by engaging in violent and disorderly behavior which results in excessive
and unnecessary noise, parking complaints, vandalism, destruction
of public and private property, fights that lead to serious bodily
injury, underage drinking and public intoxication, underage possession
and use of cannabis, and public urination. These problems were exacerbated
by changes in state law in 2021 that virtually eliminated consequences
and accountability on the part of minors and their parents and criminalized
behavior of law enforcement officers.
D.
The Borough has been strained to dedicate substantial manpower and
financial resources to these problems while public safety employees
and volunteers are put in harm's way. Moreover, the Borough attempted
to control part of these problems by adopting in 2018 minimum age
of 18 years to rent any premises in the Borough. But experience and
data indicate very clearly that the rental restriction ordinance did
not mitigate the problems.
E.
The intended purposes of this article are to: a) balance the rights
of the owners of residential dwelling units proposed for short-term
rental use and the Borough's business community affected by the
allowance and existence of short-term rentals; b) protect the public
health, safety and general welfare of individuals and the community
at large; c) provide for an organized and reasonable process for the
short-term rental of certain defined classifications of residential
dwelling units in the Borough; d) monitor and provide a reasonable
means for the mitigation of impacts created by such transitory uses
of residential properties within the Borough; e) preserve and protect
the long-term housing market stock in the Borough; f) implement rationally
based and reasonably tailored regulations to protect the integrity
of the Borough's residential neighborhoods; and g) ensure that
the short-term rental property inventory in the Borough satisfies
basic property maintenance standards, in order to protect the safety
of occupants and the citizens of the Borough.
F.
The Borough Council of the Borough of Seaside Heights has therefore
determined that it shall be unlawful for any owner of any property
within the geographic bounds of the Borough of Seaside Heights, New
Jersey, to rent or operate a short-term rental contrary to the procedures
and regulations established in this article, or applicable state statute.
As used in this article, the following terms shall have the
meanings indicated below:
The fee charged by the Borough for the initial application
and renewal fee for the short-term rental license.
Any property that has been determined as violating the Borough Code of the Borough of Seaside Heights pursuant to Chapter 122 excessive qualifying calls for services, substantiated complaints, or for violations of the chapter.
The number of persons permitted in a short-term rental property
(also referenced as "STRP"), based upon an inspection completed in
compliance with local and state codes, and shall be capped at 10 occupants,
regardless of the number of bedrooms.
An individual or entity holding title to a property proposed
for short-term rental, by way of a legally recorded deed.
The owner of the property resides in the short-term rental
property, or in the principal residential unit with which the STRP
is associated on the same lot, and identifies same as his or her principal
residence as that term is defined in this section. For purposes of
this article, if the owner of the property is an entity other than
an individual or individuals, then at least one principal or member
of the owner entity must reside in the STRP, or in the principal residential
unit with which the STRP is associated on the same lot, and identify
same as his or her principal residence as that term is defined in
this section.
The address: 1) where at least one of the property owners
spends the majority of his or her nonworking time; and 2) which is
most clearly the center of his or her domestic life; and 3) which
is identified on his or her driver's license, voter registration
or state identification card as being his or her legal address. All
the above requirements must be met in order for an address to constitute
being a principal residence for purposes of this article.
A parcel of real property located within the boundaries of
the Borough of Seaside Heights, Ocean County, New Jersey.
The short-term rental property owner or a person (property
manager) designated by the owner to be called upon and be responsible
at all times during the period of a short-term rental and to answer
for the maintenance of the property, or the conduct and acts of occupants
of the short-term rental property, and, in the case of the property
manager, to accept service of legal process on behalf of the owner
of the short-term rental property.
The accessory use of a dwelling unit for occupancy by someone
other than the unit's owner or permanent resident for a period
of less than 30 consecutive days, up to a cumulative total period
not to exceed 180 days in a calendar year, which dwelling unit is
regularly used and kept open as such for the lodging of guests, and
which is advertised or held out to the public as a place regularly
rented to transient occupants, as that term is defined in this section.
The dwelling unit can be rented to short-term renters throughout the
licensed period (one year).
A residential dwelling unit that is used and/or advertised
for rent as a short-term rental by transient occupants as guests,
as those terms are defined in this section. Dwelling units rented
to the same occupant for more than 30 continuous days, licensed bed-and-breakfast
establishments, licensed rooming or boardinghouses, hotels, and motels
shall not be considered short-term rental property.
Any New Jersey licensed real estate agent or other person
designated and charged by the owner of a short-term rental property,
with the responsibility for making the STR application to the Borough
on behalf of the owner, and fulfilling all of the obligations in connection
with completion of the short-term rental property permit application
process on behalf of the owner. Such person shall be available for,
and responsive to contact on behalf of, the owner, at all times.
Any person or a guest or invitee of such person, who, in
exchange for compensation, occupies or is in actual or apparent control
or possession of residential property, which is either: 1) registered
as a short-term rental property; or 2) satisfies the definition of
a short-term rental property, as such term is defined in this section.
A.
It shall be unlawful for any owner of any property within the geographic
bounds of the Borough of Seaside Heights to rent or operate a short-term
rental contrary to the procedures and regulations established in this
article or applicable state statute. Failure to make application for,
and to obtain issuance of a short-term rental license prior to advertising
the rental in print publications or newspapers, on any internet-based
booking platforms, or online and/or in the MLS or other real estate
listing of a real estate agent licensed by the New Jersey Real Estate
Commission, shall be equivalent to operation of the rental without
a license, and shall constitute a violation of this code, and will
result in enforcement action and the issuance of a summons, and may
subject the rental owner, the rental agent, and the responsible party
to issuance of fines and/or penalties.
B.
Short-term rentals shall only be permitted in the following classifications
of property in the Borough of Seaside Heights:
C.
Notwithstanding the provisions of Subsection B above, short-term rentals shall not be permitted in hotels or studio hotels; motels; boarding- or rooming houses; dormitories; any housing owned or controlled by an educational institution and used exclusively to house students, faculty or other employees with or without families; foster homes; public or private clubs; rest homes; halfway houses; transitional housing facility or other facility operated for the care, treatment, or reintegration into society of any person; adult family care homes; assisted living facilities; community residences for developmentally disabled persons; community shelters for victims of domestic violence; nursing homes; any housing operated or used exclusively for religious, charitable or educational purposes; or any housing owned by a governmental or quasi-governmental agency and used to house its employees or for governmental purposes. Furthermore, short-term rental of the following properties is prohibited:
(1)
Condominiums or townhomes, where the condominium association
bylaws or master deed, or condominium rules and regulations, do not
permit short-term rentals of condominium units in the development;
(2)
Owner allowed the expiration of the STR permit, without having
made a timely application for renewal of the permit prior to its expiration
date; or
(3)
STR permit was suspended or revoked; or
(4)
Upon sale or transfer of title to the property to any other
individual, or entity, whether or not any of the current owner(s)
is a principal or member in the grantee entity.
D.
In addition to any other licensing requirements set forth in the
Borough Code, the owner of an STRP shall obtain a short-term rental
license from the Borough before renting or advertising for rent any
short-term rental. The failure to obtain a valid STR license prior
to operating or advertising the short-term rental property in any
print, digital, or internet advertisement or web-based platform, and/or
in the MLS or any realtor's property listing shall be a violation
of this article.
E.
No STR license issued under this article may be transferred or assigned
or used by any person or entity, other than the owner to whom it is
issued, or at any property location or dwelling unit other than the
property for which it is issued.
G.
The short-term rental license, if issued, shall be valid for the
year or partial year for which the applicant has applied, without
proration and shall be renewed on an annual basis by submitting a
renewal application to the Code Enforcement Office.
H.
The short-term rental license shall expire automatically when the
short-term rental property changes ownership, and a new initial application
will be required in the event the new owner intends to use the property
as a short-term rental property. A new initial application shall also
be required for any short-term rental that was subject of a license
suspension or revocation.
I.
Application fees, license fees, and renewal fees of any kind shall
not be prorated.
A.
Applicants for a short-term rental license shall submit to the Code
Enforcement Office an initial application and an annual renewal application.
The application shall be furnished, under oath, on a form provided
by the Borough, accompanied by the nonrefundable initial application
fee or renewal application fee. The application shall include:
(1)
The name, address, telephone number and email address of the
owner(s) of record of the dwelling unit for which a license is sought
as well as a copy of their driver's license or other valid state
identification card.
(2)
The number and location of all parking spaces available to the
premises, which shall include the number of off-street parking spaces
and on-street parking spaces directly adjacent to the premises. The
owner shall certify that every effort shall be made to avoid and/or
mitigate issues with on-street parking in the neighborhood in which
the STR is located, resulting from excessive vehicles generated by
the STR usage of the property, in order to avoid a shortage of parking
for residents in the surrounding neighborhood.
(3)
The address of the proposed STR unit.
(4)
If the owner is an LLC, corporation, or partnership, the following
information must also be included: individual names of all members
of the LLC, principals of corporation, or partners in partnership
and the personal contact information, including address and telephone
numbers for each of them.
(5)
The name, address, telephone number and email address of the
STR responsible party, which shall constitute his or her seven-day-a-week,
twenty-four-hour-a-day contact information.
(6)
The owner's acknowledgement that owner received a copy
of this article, has reviewed the article, understands its requirements,
and certifies, under oath as to the accuracy of all information provided
in the license application.
(7)
The owner agrees to use his or her best efforts to assure that
use of the premises by all transient occupants will not disrupt the
neighborhood, and will not interfere with the rights of the neighboring
property owners to the quiet enjoyment of their properties.
(8)
For a condominium short-term rental license application, a letter
of approval by the condominium association must be submitted with
application.
(9)
A sworn statement shall be required that there have been no
prior revocations or suspensions of this or a similar license, in
which event a license shall not be issued, which denial may be appealed
as provided hereinafter.
(10)
Attached to and concurrent with submission of the license application
described in this article, the owner shall provide:
(a)
Proof of the owner's current ownership of the short-term
rental unit;
(b)
Proof of general liability insurance in a minimum amount of
$500,000 including coverage specific to short-term rental activity;
and
(c)
Written certificates from the STR responsible party that they
agree to perform all of the respective duties specified in this article.
(11)
Owner's agreement that all renters of the short-term rental
property shall be limited to one vehicle per four occupants of the
short-term rental property.
(12)
Every application for a short-term rental license shall be subject
to annual inspections for the STRP's compliance with the Borough's
fire safety regulations and property maintenance code.
(14)
The Borough Administrator or designee shall have the authority
to obtain additional information from the STRP owner or amend the
license application to require additional information, as reasonably
necessary, to achieve the objectives of this article.
(15)
Security plan.
(a)
STRPs that are owner occupied shall submit a security plan for
rentals occurring during the period of April 15 through June 30 of
each year.
(b)
STRPs that are not owner occupied shall submit a security plan
for rentals occurring during the period of April 15 through June 30
of each year that includes a SORA-Certified Security Officer.
B.
A physical inspection of the unit by the Code Enforcement Office
is required for each application and renewal thereof. If an STRP fails
the initial inspection, the owner must make all necessary improvements
and call for a new inspection. Each additional inspection will generate
a charge of $50 which must be paid in advance of the reinspection(s).
C.
The owner of the short-term rental must maintain three years of records
concerning rental occupancy, including the identity of all transient
occupants who have occupied the property, which shall consist of names,
ages, addresses and dates of occupancy, which shall be made available
upon request of the Borough.
D.
The STRP owner must be current with all property taxes, water and
sewer utility charges, and electric utility charges assessed to the
property prior to issuance of a short-term rental license. In the
event any code violations have been issued by the Borough relating
to the STRP, a short-term rental license shall not be issued until
such time as all violations are remedied.
E.
All fines or penalties issued by the Municipal Court of Borough of
Seaside Heights for any past code violations relating to the STRP,
including penalties for failure to appear in court, must be satisfied
in full prior to the issuance of a short-term rental license.
F.
The STRP owner shall publish the short-term rental license number
issued by the Borough in every print, digital, or internet advertisement,
and/or in the Multiple Listing Service (hereinafter "MLS") or other
real estate listing of a real estate agent licensed by the New Jersey
State Real Estate Commission, in which the STRP is advertised for
rent.
G.
Each and every time there is a change of occupancy by transient occupants
during the license year, the STR responsible party shall provide the
Borough in advance of occupancy the names and dates of birth of all
STR occupants; name and address of the primary transient occupant
who is responsible for the STR; and start and end dates of the STR
period on a form to be made available in paper and online by the Code
Enforcement Office.
H.
During the period commencing April 15 and ending at 12:00 midnight
on June 30 of each year, no short-term rental property shall be rented
to any person under 21 years of age. The primary occupant executing
the rental agreement shall be 21 years of age or older and must actually
occupy the property during the term of the short-term rental. In the
event any occupants are under 18 years of age those occupants shall
be the immediate family member or under legal guardianship of the
primary occupant or another occupant that is 21 years of age or older.
Both the primary occupant executing the short-term rental agreement
and the STR owner shall be responsible for compliance with this provision,
and both shall be responsible for a violation.
I.
During the period commencing July 1 and ending at 12:00 midnight
on April 14 of each year, no short-term rental property shall be rented
to any person under 18 years of age. The primary occupant executing
the rental agreement shall be 18 years of age or older and must actually
occupy the property during the term of the short-term rental. In the
event any occupants are under 18 years of age those occupants shall
be the immediate family member or under legal guardianship of the
primary occupant or another occupant that is 18 years of age or older.
Both the primary occupant executing the short-term rental agreement
and the STR owner shall be responsible for compliance with this provision,
and both shall be responsible for a violation.
A.
Upon submission of a completed initial or renewal application and
all required fees and completion of the STR inspection, the Code Enforcement
Office shall either issue or deny in writing the short-term rental
license (with the reasons for a denial being stated therein) with
10 business days.
B.
In cases where a STR application is denied, the owner shall have
10 calendar days to appeal in writing to the Borough Administrator.
C.
The Borough Administrator or designee shall hear and decide the appeal
within 30 days.
A.
Short-term rentals must comply with all applicable rules, regulations
and ordinances of the Borough of Seaside Heights and all applicable
rules, regulations and statutes of the State of New Jersey, including
regulations governing such lodging uses, as applicable. The STRP owner
shall ensure that the short-term rental is used in a manner that complies
with all applicable laws, rules and regulations pertaining to the
use and occupancy of a short-term rental.
B.
The owner of a STRP shall not install any advertising or identifying
mechanisms, such as signage, including lawn signage, identifying the
property for rent as a short-term rental property, high school prom
rental, high school graduation rental, or group rental in general.
C.
Transient occupants of the STRP shall comply with all ordinances
of the Borough of Seaside Heights including, but not limited to those
ordinances regulating noise and nuisance conduct. Failure of transient
occupants to comply shall subject the transient occupants, the STRP
owner, the STRP responsible party, and the STRP rental agent listed
in the short-term rental license application to fines and/or penalties
and suspension or revocation of the STRP license.
D.
The STRP owner shall post the following information in a prominent
location within the short-term rental property:
(1)
Owner name; if owner is an entity, the name of a principal in
the entity, and phone number for the owner (individual);
(2)
The name and phone number of the responsible party and the STRP
rental agent (as those terms are defined in this article);
(3)
The phone numbers for the Borough of Seaside Heights Police
Department and Code Enforcement Office;
(4)
Maximum number of parking spaces available on site;
(5)
Trash and recycling collection information and all applicable
rules and regulations regarding trash disposal and recycling;
(6)
A copy of the Borough of Seaside Heights animal house ordinance
and this article; and
(7)
Notification that a transient occupant, STRP rental agent, the
responsible party or STRP owner may be cited or fined by the Borough
of Seaside Heights for violations of, and in accordance with, any
applicable ordinance(s) or laws.
E.
In the event any complaints are received by the Seaside Heights Police
Department or Code Enforcement Officer regarding the short-term rental
and/or the transient occupants in the STRP, and the STRP owner is
unreachable or unresponsive, both the responsible party and the STRP
rental agent identified in the short-term rental license application
shall be responsible for taking any action required to properly resolve
such complaints, and shall be authorized by the STRP owner to do so.
F.
While a STRP is rented, the owner, the STRP rental agent, or the
responsible party shall be available 24 hours per day, seven days
per week for the purpose of responding within two hours to complaints
concerning the STRP premises, maintenance of the STRP premises, operation
of the STRP, or conduct of the STRP occupants, or nuisance complaints
arising by virtue of the short-term rental.
G.
Failure to make application for, and to obtain the issuance of, a
short-term rental license prior to advertising the STRP in print publications
or newspapers, on any internet-based booking platforms, or online,
and/or in the MLS or other real estate listing of a real estate agent
licensed by the New Jersey State Real Estate Commission, shall be
equivalent to operation of the STRP without a permit, and shall constitute
a violation of this article, and will result in enforcement action
and the issuance of a summons, and shall subject the STRP owner, the
STRP rental agent, and the responsible party to issuance of fines
and/or penalties.
H.
The person offering a dwelling unit for short-term rental use must
be the owner of the dwelling unit. A tenant of a property may not
apply for a short-term rental permit, nor shall the property or any
portion thereof be subleased by the tenant on a short-term basis,
or operated as a STRP by the tenant. This STRP regulation shall supersede
any conflicting provision in a private lease agreement permitting
subleasing of the property, or any portion of the property. Violation
of this article may result in enforcement action against the tenant,
the STRP owner, the STRP rental agent, and the responsible party,
and will subject all such parties to the issuance of a summons and
levying of fines and/or penalties.
Any short-term rental license may be suspended or revoked pursuant to the same process provided for mercantile licenses set forth in Chapter 122.
A.
A violation of any provision of the within article may subject the
STRP owner, transient occupant(s), the short-term rental property
rental agent, and the responsible party or their agents to fines assessed
by the Municipal Court up to $2,000 per violation, per day, that the
violation exists.
B.
Any ordinances or parts thereof inconsistent herewith shall be amended
and supplemented to conform to the provisions contained herein.
C.
If any part of this article is declared unconstitutional or illegal
by any court of competent jurisdiction, the remaining provisions shall
continue in full force and effect.
D.
This article shall take effect upon final passage and publication
in accordance with the laws of the State of New Jersey, following
the required twenty-day period after adoption, as set forth in N.J.S.A.
40:69A-181(b).
