(A) The purpose of this section is to establish regulations applicable to dwellings that are rented as vacation rentals for periods of not more than 30 days at a time. These regulations are in addition to all other provisions of this title. This section does not apply to Pajaro Dunes, where vacation rentals are governed by an existing development permit.
(B) Vacation rentals are allowed in all zone districts that allow residential use with no requirement for any other use, except that any vacation rental meeting the requirements of subsections
(C)(2) and
(D)(1) of this section may be permitted in any zone district. Habitable accessory structures, nonhabitable accessory structures, accessory dwelling units ("ADUs") constructed under the provisions of SCCC §
13.10.681, §
13.20.107, or §
13.20.108, and legally restricted affordable housing units shall not be used as vacation rentals. Further, no new vacation rental permits or transfer of permits shall be granted on parcels containing ADUs after March 9, 2018.
(C) For the purposes of this section, the following terms have the stated meanings:
(1) "Vacation rental"means a single-family dwelling unit, duplex, or triplex (including condominium and townhouse units, but not including apartments or manufactured homes in a mobile home park), where the owner/operator/local property manager/agent does not occupy the dwelling unit while it is rented, only the renter and guests thereof occupy the dwelling unit while it is rented, and the dwelling unit is rented for the purpose of overnight lodging for a period of not more than 30 days. Where there is more than one dwelling on a property as part of a dwelling group, the owner/operator/contact person/agent may live in a dwelling that is not used as a vacation rental. For the purposes of these regulations, the following are not considered to be vacation rentals: (a) ongoing month-to-month tenancy granted to the same renter for the same unit, (b) one less-than-30-day period per year, (c) a house exchange for which there is no payment, or (d) renting of individual rooms in a dwelling unit while the primary occupant remains on site.
(2) "Existing vacation rental"means a dwelling unit that was used as a vacation rental prior to April 5, 2011, and for which a vacation rental permit application was made on or before November 28, 2011, and for which a vacation rental permit was granted based on an application submitted on or before November 28, 2011.
(3) "New vacation rental"means a dwelling unit that was not used as a vacation rental prior to April 5, 2011, or for which a vacation rental permit application was not made on or before November 29, 2011, or for which a vacation rental permit has not been granted.
(4) The "Live Oak Designated Area" or "LODA" means the Yacht Harbor Special Community (as described in the General Plan—Local Coastal Program and depicted on the General Plan—Local Coastal Program map) and that portion of Live Oak that lies east and south of East Cliff Drive and Portola Drive from the intersection of 9th Avenue and East Cliff Drive to the intersection of Portola Drive and 41st Avenue, as depicted in Figure LODA, attached to the ordinance codified in this section.
(5) The "Sea Cliff/Aptos/La Selva Designated Area" or "SALSDA" means that portion of the Aptos Planning Area bounded on the west by the Capitola city limit, on the north by Highway 1, and on the east and southeast by Bonita Drive, San Andreas Road, the Urban Services Line from San Andreas Road to Monterey Bay, and the community of La Selva Beach, as depicted in Figure SALSDA, attached to the ordinance codified in this section.
(6) The "Davenport/Swanton Designated Area" or "DASDA" means that portion of the North Coast Planning Area bounded on the south by Riverside Avenue and San Vincente Street in the unincorporated town of Davenport, and extending north along Highway 1 to include the areas of New Town and Davenport Landing south of Highway 1, and bounded on the north by the intersection of Swanton Road and Highway 1, and including all parcels within one-quarter mile of Swanton Road, but excluding any parcels that abut Last Chance Road, as depicted in Figure DASDA, attached to the ordinance codified in this section.
(7) "Block"means the properties abutting both sides of a street extending from one intersecting street to another or to the terminus of the street, as indicated on the official Block Map (adopted by the Board of Supervisors on August 18, 2020). In the DASDA, "blocks" shall apply only in the town of Davenport, extending to all the R-1 zoned parcels along San Vincente Street, in New Town on Cement Plant, Adeline, and 1st, 2nd, and 3rd Streets, and on Davenport Landing.
(D) Permit Requirements. A vacation rental permit and transient occupancy tax registration (or proof of registration with verified vacation rental platforms) are required for each residential vacation rental. Each vacation rental permit shall remain valid as long as the vacation rental operates for at least three out of any consecutive five years, except that each vacation rental permit issued for a vacation rental shall expire the same month and day five years subsequent to the date of issuance of the original permit or as otherwise provided in subsection
(D)(3) of this section. If the expiration date falls on a Saturday or a Sunday, the following Monday shall be considered to be the expiration date. Approval of a vacation rental permit does not legalize any nonpermitted use or structure. Vacation rental permits are subject to revocation as provided for in SCCC §
18.10.136.
(1) Existing Vacation Rental. At the inception of the Vacation Rental program, the County established a low-barrier method for recognizing and permitting then-existing vacation rentals. The term is retained here as an historic reference but no longer has regulatory distinction, and all vacation rentals are now considered to be either new or renewal vacation rentals.
(2) New Vacation Rentals. For new applications for vacation rentals of three bedrooms or fewer, except as provided in SCCC §
18.10.124(B), no public hearing shall be required and action on these applications shall be by the Planning Director or designee through the Level IV administrative use permit process as provided in SCCC §
18.10.131(B). Appeals of the action on the application may be made by any member of the public pursuant to SCCC §
18.10.324, and the Planning Director may refer the application to the Zoning Administrator or Planning Commission for a public hearing in accordance with SCCC §
18.10.124(B). For new applications for vacation rentals consisting of four or more bedrooms, the application shall be considered at a public hearing in accordance with Level V use permit public hearing procedures as provided in SCCC §
18.10.131(C). Any new vacation rental permit issued for vacation rentals consisting of four or more bedrooms will be given a one-year provisional permit subject to review for compliance with vacation rental code requirements prior to granting the remainder of the standard five-year term. When a public hearing is required, notice of such a public hearing shall be provided not less than 10 calendar days before the public hearing, pursuant to SCCC §
18.10.117 through §
18.10.119.
(a) Designated Area Caps. Within the LODA, no more than 262 vacation rental permits shall be issued, and no more than 18 hosted rental permits shall be issued, for a total of 280 vacation rentals and hosted rentals in the LODA. Within the SALSDA, no more than 241 vacation rental permits shall be issued, and no more than 45 hosted rental permits shall be issued, for a total of 286 vacation rentals and hosted rentals in the SALSDA. Within the DASDA, no more than three vacation rental permits shall be issued, and no more than four hosted rental permits shall be issued, for a total of seven vacation rentals and hosted rentals in the DASDA.
(b) Designated Area Block Limits. In the LODA, SALSDA or DASDA ("Designated Areas"), no new vacation rental shall be approved if parcels with permitted vacation rentals or permitted hosted rentals on the same block total 20 percent or more of the total parcels on that block that allow residential use. A Block Map adopted by resolution of the Board of Supervisors shall assign parcels to blocks to determine block capacity for future vacation rental permits. In the count of parcels that allow residential use in each of the Designated Areas, parcels in the Mobile Home Park Combining Zone District shall be excluded.
The count of parcels that allow residential use shall not include the following streets and areas because numbers are not limited by caps or block limits in these locations: Pot Belly Beach Road; Las Olas Drive; those residentially zoned parcels in the Rio Del Mar flats consisting of parcels fronting on Stephen Road, Marina Avenue, and Venetian Road between its intersection with the Esplanade and Aptos Beach Drive to its intersection with Lake Court and Stephen Road; those parcels fronting on or gaining access from Cliff Court or fronting on or gaining access from Rio Del Mar Boulevard between its intersection with Aptos Beach Drive and Beach Drive to its intersection with Kingsbury Drive, Cliff Drive, and Beach Villa Lane; Beach Drive; and Via Gaviota.
Notwithstanding these block limits, each block in the LODA, SALSDA, or DASDA that has parcels that allow residential use, excluding those parcels in the Mobile Home Park Combining Zone District, may have at least one vacation rental or hosted rental if otherwise allowable under applicable Designated Area Caps for both vacation rentals and hosted rentals.
(i) Block Map Adjustment. Several areas throughout the County, especially in the LODA and SALSDA, are comprised of incongruous "blocks." The Block Map is intended to clarify that parcels are permanently assigned to a block in the most organized fashion possible; however, adjustment of blocks may be warranted in certain circumstances. In conjunction with applying for a Vacation Rental Permit, an applicant may request a Block Map Adjustment.
(ii) The Planning Director or designee has the discretion to adjust the Block Map upon making the following finding:
Adjustment of the Block Map is warranted because the block in question is incongruous and such adjustment of the Block Map will not result in an overconcentration (20 percent or more) of parcels with vacation rentals on the assigned block.
(c) Applicants for a permit for a new vacation rental shall provide the following to the Planning Department:
(i) Completed application form.
(ii) Application fee deposit. The deposit will cover the estimated costs of processing the application for a new vacation rental permit. Upon notice by the Planning Department, applicants may need to deposit additional funds to cover further processing costs.
(iii) Plans, which do not need to be drawn by a professional, drawn to scale including the following:
A. Plot plan showing location of all property lines, location of all existing buildings, and location of dimensioned on-site parking spaces.
B. Floor plan showing all rooms with each room labeled as to room type.
(iv) Form of a rental/lease agreement to be used, or house rules/requirements, which shall include, but not necessarily be limited to, the following:
A. Number of guests allowed, which shall not exceed two per legal bedroom plus two additional guests (children under eight years old not counted); for celebrations and gatherings between 8:00 a.m. and 10:00 p.m., the maximum number of people allowed is twice the maximum number of guests allowed.
B. Number of vehicles a guest is allowed to park on site and off site (specific to the neighborhood), which shall not exceed the number of existing, required, or permitted parking spaces. The on-site parking requirements for new vacation rental permits shall be a minimum of one on-site space for one- and two-bedroom units, and a minimum of two on-site spaces for three- or more bedroom units. The guest will be allowed to park one additional vehicle off site. The guest must use street parking for the off-site vehicle in the vicinity of the vacation rental but will not have any exclusive or assigned use of any available street parking. Should off-site parking occur within a parking district, the vacation rental permit holder will be required to purchase a parking permit at the business rate and will not be eligible for residential parking permit allocations. In situations where the required on-site parking cannot be provided, an on-site parking exception may be requested in conjunction with a Level V Vacation Rental Permit Application, for consideration by the Zoning Administrator at a public hearing, who shall make the following finding in conjunction with approval of the parking exception:
Existing traffic and parking on nearby streets and properties would not be adversely affected by granting of an on-site parking reduction, as off-site parking is typically available and not subject to significant levels of congestion.
C. Restrictions on noise, illegal behavior, and disturbances, including an explicit statement that fireworks are illegal in Santa Cruz County; and directions for trash management (e.g., trash to be kept in covered containers only).
(v) Copy of County of Santa Cruz transient occupancy registration, or proof of registry with a verified online platform, for the purpose of the operation of a vacation rental.
(vi) No new vacation rental use may be permitted in a dwelling unit having a common wall or walls with another dwelling unit, unless the applicant provides a written agreement acceptable to the County and signed by the record owner(s) of the adjoining dwelling unit(s) either at the time of application submittal or prior to approval of the vacation rental permit, stating that they are aware of the proposed vacation rental use and have no objection to issuance of a permit for such use. The agreement shall be binding on the parties thereto and their successors in interest for so long as the vacation rental permit for which the agreement was submitted, if issued, remains valid, and each party shall be responsible to inform its own successor(s) in interest in the unit of the agreement as part of the sale or transfer of the unit to such successor(s).
(vii) Only one vacation rental is permitted per parcel regardless of the number or configuration of dwellings on the parcel.
(d) Residences that are subject to affordable housing covenants and/or are income-restricted for affordable housing purposes are not eligible for a vacation rental permit.
(e) Waiting List. The Planning Department shall maintain a waiting list in the event that a Designated Area is at or exceeds the established block or designated area maximum, which shall be comprised of property owners who wish to operate either a vacation rental or a hosted rental in the LODA, SALSDA or DASDA. Prospective applicants shall submit requests via a Waiting List Request Form. Applicants for the waiting list must be the current owner/s of the property. The waiting list request shall become void upon transfer of ownership in accordance with the criteria outlined in subsection
(D)(4) of this section.
(3) Renewal of Vacation Rental Permits. All vacation rental permits must be renewed every five years starting on December 15, 2020, except those in the LODA and SALSDA, where vacation rental permits must be renewed every five years from the date of issuance. An application to renew a permit for a vacation rental shall be submitted no sooner than 180 days before the expiration date of the existing permit, and no later than the date of expiration of that permit. Upon receipt of a complete application, the expiration of the existing permit shall be stayed until final action is taken on the renewal application. Except as provided in SCCC §
18.10.124(B), vacation rental renewals shall be processed pursuant to the Level IV administrative use permit process as provided in SCCC §
18.10.131(B). Appeals of the proposed action on the renewal application may be made by the applicant or any member of the public pursuant to SCCC §
18.10.324.
(a) If a public hearing is required, the Planning Director shall schedule the public hearing before either the Zoning Administrator or the Planning Commission, at the Planning Director's discretion. Notice of such a public hearing shall be provided not less than 10 calendar days before the public hearing, pursuant to SCCC §
18.10.117 through §
18.10.119.
(b) Applicants for renewal of a permit for a vacation rental shall provide the following to the Planning Department:
(i) Completed application form.
(ii) Application fee deposit. The deposit will cover the estimated costs of processing the application for renewal of a vacation rental permit. Upon notice by the Planning Department, applicants may need to deposit additional funds to cover further processing costs.
(iii) Proof of payment of transient occupancy tax, or proof of registry with a verified online platform, for the use of the dwelling as a vacation rental and a summary of the dates the unit was used as a vacation rental between the time of issuance of the existing permit and the date of application for the renewal. For renewal applications processed prior to November 1, 2016, renewal applications must show significant rental use of the unit for two of the previous five years. For renewal applications processed on or after November 1, 2016, applications must show significant rental use for three out of the previous five years. Significant rental use shall be interpreted to include no fewer than 10 percent of weekend nights in a given year, or a minimum occupancy of five weekends or 10 nights per calendar year.
(iv) A photograph of the sign installed on the parcel as required by the existing permit, and clearly including all information required under subsection
(F) of this section.
(c) Processing of renewal applications includes a review of any issued or pending building permits or other permits and review of all pertinent information specific to complaints, if any, that have been received about the subject vacation rental. Approval of a vacation rental renewal permit shall be based on affirmative findings as set forth in SCCC §
18.10.230. Denial of an application for renewal shall be based on one or more of the required findings not being able to be made, as set forth in SCCC §
18.10.230(A). Additionally, a County Code violation or violations related to the property, such as operating the vacation rental while under emergency orders from the State or County that prohibit such operation, mis-advertising the rental, citations for violation of Chapter
8.30 (Noise) SCCC, and/or failure of the local property manager to timely respond to complaints are all grounds for denial.
(d) Renewals of "Existing Vacation Rentals," or permits issued pursuant to the first-adopted version of the County's vacation rental regulations in 2011, shall not be subject to block density, neighbor sign-off for condominium units with shared walls, on-site parking requirements, or the restriction on operating a vacation rental on a property which is also developed with an ADU. Additionally, the restriction not allowing vacation rentals in ADUs applies only to vacation rental permits originally issued after March 9, 2018.
(4) Transfer of Property with Vacation Rental Permit in the LODA, SALSDA, or DASDA. Within the Live Oak Designated Area, the Seacliff/Aptos/La Selva Designated Area (except within the La Selva Beach community), and the Davenport/Swanton Designated Area, for properties transferred after September 13, 2016, when a property transfer triggers reassessment pursuant to the California Revenue and Taxation Code Section
60 et seq., as determined by the Assessor, the vacation rental permit(s) associated with the property shall expire and shall become nonrenewable at the time of property transfer. For properties located in all other areas of the County, and including the community of La Selva Beach, that are transferred after December 21, 2020, when a property transfer triggers reassessment pursuant to the California Revenue and Taxation Code Section
60 et seq., as determined by the Assessor, the vacation rental permit(s) associated with the property shall expire and shall become nonrenewable at the time of property transfer. Any future use as a vacation rental shall require approval of an application for a new vacation rental rather than a renewal vacation rental.
(5) Expansion of Permitted Vacation Rental. In addition to any other permits required for a proposal to expand the square footage of a permitted vacation rental structure by an amount equal to or more than 50 percent or to increase the existing number of bedrooms by demolition or remodeling, a new vacation rental permit shall be required in accordance with subsection
(D)(2) of this section.
(E) Local Property Manager. All vacation rentals shall designate a local property manager, who is located within 30 miles of the vacation rental. The local property manager shall be available 24 hours a day to respond to tenant and neighborhood questions or concerns. A property owner who lives within 30 miles of the vacation rental may designate themself as the local property manager. Failure to respond within 60 minutes of being contacted, as verified by County Code Enforcement staff or the County Sheriff, shall constitute a significant violation and may lead to revocation of the permit in accordance with SCCC §
18.10.136.
The applicant shall mail, deliver, or otherwise provide the name, address, telephone number(s) of the local property manager, and the beginning and expiration dates of the vacation rental permit, to the Planning Department, the local Sheriff Substation, the Auditor-Controller-Treasurer Tax Collector, the main County Sheriff's Office, and the local fire agency, and to the property owners of all properties located within a 300-foot radius of the boundaries of the parcel on which the vacation rental is located. Proof of mailing or delivery of the contact information to all of the above shall be submitted to the Planning Department within 30 days of permit approval, amendment, or renewal. The name, address and telephone number(s) of the local property manager shall be permanently posted in the rental unit in a prominent location. Any change in the local property manager's address or telephone number shall be promptly furnished to the agencies and neighboring property owners as specified in this subsection.
(F) Signs. All vacation rentals shall have a sign identifying the structure as a permitted vacation rental and listing the 24-hour local property manager responsible for responding to complaints and providing general information, which shall be placed no more than 20 feet back from the nearest street. For all rentals, the sign must also display the beginning and end dates of the five-year vacation rental permit. This information shall be updated upon any renewal of such a permit. The sign may be of any shape but may not exceed 216 square inches. There is no minimum sign size so long as the information on the sign is legible from the nearest street. A sign required by this subsection shall be continuously maintained while the dwelling is rented.
(G) Posting of Rules. Vacation rental rules shall be posted inside the vacation rental in a location readily visible to all guests. The rules shall include, but not necessarily be limited to, the following: number of guests allowed; number of vehicles allowed; restrictions on noise, illegal behavior, and disturbances, including an explicit statement that fireworks are illegal in Santa Cruz County; and directions for trash management (e.g., trash to be kept in covered containers only).
(H) Noise. All residential vacation rentals shall comply with the standards of Chapter
8.30 SCCC (Noise) and a copy of that chapter shall be posted inside the vacation rental in a location readily visible to all guests. No use of equipment requiring more than standard household electrical current at 110 or 220 volts or activities that produce noise, dust, odor, or vibration detrimental to occupants of adjoining dwellings is allowed.
(I) Transient Occupancy Tax. Each residential vacation rental owner shall meet the regulations and standards set forth in Chapter
4.24 SCCC, including any required payment of transient occupancy tax for each residential vacation rental unit.
(J) Advertising. All advertising for vacation rentals shall include the vacation rental permit number in the first two lines of the advertisement text, and where photos are included, a photo containing the permit number shall be included, as well as a photo of the required signage that includes the 24-hour contact information and vacation rental identification. Advertising a vacation rental for a property without a vacation rental permit is a violation of this chapter and violators are subject to the penalties set forth in Chapter
19.01 SCCC.
(K) Dispute Resolution. By accepting a vacation rental permit, vacation rental owners agree to engage in dispute resolution and act in good faith to resolve disputes with neighbors arising from the use of a dwelling as a vacation rental. Unless an alternative dispute resolution entity is agreed to by all parties involved, dispute resolution shall be conducted through the Conflict Resolution Center of Santa Cruz County.
(L) Violation. It is unlawful for any person to use or allow the use of property in violation of the provisions of this section. The penalties for violation of this section are set forth in Chapter
19.01 SCCC, Enforcement of Land Use Regulations.
A violation of any of the requirements to obtain a vacation rental permit may be grounds for denial of a new vacation rental permit application. Further, violations of vacation rental regulations, or of any other provision of the Santa Cruz County Code, may be grounds for denial of a renewal application or revocation of an existing vacation rental permit after consideration at a Level V public hearing by the Zoning Administrator (or by the Planning Commission upon referral).
If more than two significant violations occur on a vacation rental property within a 12-month period, a permit shall be noticed for a Level V public hearing to consider permit revocation. "Significant violations" are: citations for violation of Chapter
8.30 SCCC (Noise); violation of any specific conditions of approval associated with the permit; mis-advertising the capacity and limitations applicable to the vacation rental; written warnings, or other documentation filed by law enforcement; violations of State or County health regulations; non-compliance with a public health order or emergency regulation issued by State or local authorities which may limit use and occupancy of vacation rentals; delinquency in payment of transient occupancy taxes, fines, or penalties; non-responsive property management, including failure by the local property manager to respond to calls within 60 minutes; and failure to maintain signage. In the event a permit is revoked, the person or entity from whom the permit was revoked shall be barred from applying for a vacation rental permit for the same parcel without prior consent of the Board of Supervisors.
(M) It is unlawful to make a false report to the Sheriff's Office regarding activities associated with vacation rentals.
(Ord. 5092 § 6, 2011; Ord. 5198 § 1, 2015; Ord. 5229 § 5, 2016; Ord. 5264 § 13, 2018; Ord. 5265 § 12, 2018; Ord. 5266 § 8, 2018; Ord. 5345 § 5, 2020; Ord. 5365 § 5, 2021)