Laserfiche WebLink
CITY OF STILLWATER <br />ORDINANCE NO. 1093 <br />AN ORDINANCE AMENDING THE STILLWATER CITY CODE CHAPTER 31, ENTITLED <br />ZONING ORDINANCE BY ADDING REGULATIONS FOR SHORT TERM HOME RENTALS <br />THE CITY COUNCIL OF THE CITY OF STILLWATER DOES ORDAIN: <br />1. Definitions <br />Amend City Code Chapter 31, Section 31-101 Definitions, by adding the following: <br />119.1. Primary Residence, means the dwelling unit within which a person lives for six months plus a <br />during a calendar year. <br />119.2. Primary Resident, means a person living on a property where the property is the person's prim <br />residence. <br />day <br />ary <br />145.1. Short Term Home Rental, Type A (hosted short term rental), means a dwelling unit that is offered to <br />transient guests for a period of less than 30 consecutive days, where a primary resident of the property is present <br />while the transient guests are present. <br />145.2. Short Term Home Rental, Type B (unhosted short term rental), means a dwelling unit that is offered to <br />transient guests for a period of less than 30 consecutive days, where the property serves as a person's primary <br />residence but a primary resident of the property is not present while the transient guests are present. This Type <br />B also includes Short Term Home Rental of any Accessory Dwelling Units, non -owner occupied Duplexes or <br />"mother-in-law" apartments. <br />145.3. Short Term Home Rental, Type C (dedicated short term rental) means a dwelling unit that is offered to <br />transient guests for a period of less than 30 consecutive days, where the property does not serve as a person's <br />primary residence <br />145.4. Short Term Home Rental, Type D (Bed & Breakfast) - see the definition of Bed & Breakfast in Para- <br />graph 16 of this Definition Section 31-101. <br />2. Short Term Home Rental Regulations. <br />Amend City Code Chapter 31 by adding the following Section. <br />Sec. 31-514.1. Short -Term Home Rental Regulations <br />Subd. 1. Purpose. The purpose of this Section 31-514.1 is to allow Short Term Home Rentals where appro- <br />priate while mitigating impacts upon surrounding properties by implementing balanced regulations to protect the <br />integrity of the city's neighborhoods as well as protect the general public health, safety and welfare. <br />Subd. 2. License required. No property may be used for Type A, B or C Short Term Home Rental unless <br />granted a license by the city. No property may be used for Type C Short Term Home Rental unless granted a <br />Conditional Use Permit and a license by the city. No property may be used for Type D Short Term Home Rental <br />(aka Bed & Breakfast) unless granted a Special Use Permit by the city pursuant to Section 31-504 of this Chapter. <br />Subd. 3. License application. Any property owner desiring to undertake Short Term Home Rentals must <br />apply to the community development department for a Short Term Home Rental License. A license must be <br />approved prior to operating within the city. The license application request must be submitted on the form <br />prescribed by the city and must include all the information requested on the application form. The license appli- <br />cation will not be accepted by the city unless an inspection report has been signed by personnel from both the <br />city's fire department and building department. <br />Subd. 4. License fee. The license application form must be accompanied by payment in full of the required <br />license application fee. The license application fee amount will be as determined by the city council in the city <br />fee schedule. <br />Subd. 5. License issuance. The process for review and issuance of a license will vary depending upon the <br />type of Short Term Home Rental as follows: <br />A. Type A, Hosted Short Term Home Rentals. Type A Short Term Home Rentals are required to have an ad- <br />ministratively issued license from the city. <br />1. A Type A Short Term Home Rental license or renewal license will be issued administratively only if: <br />i. The licensee certifies on the application form that all applicable items found in this Section 31-514.1 are <br />satisfied. That includes: <br />a. Proper zoning as found in Subd. 6; and <br />b. Performance standards as found in Subd. 7. <br />ii. The applicant submits a site plan, drawn to scale, showing parking and driveways, all structures and out- <br />door recreational areas that guests will be allowed to use, including, but not limited to, deck/patio, barbeque <br />grill, recreational fire, or sauna. <br />iii. The applicant submits a floor plan, drawn to scale, of the home identifying which rooms will be used as <br />transient guest bedrooms. <br />iv. The property passes the city inspection (see Section 31-514.1, Subd. 9B) for residential code standards <br />applicable to renting a home on a short term basis. The list of health and safety items that will be inspected for <br />this purpose will be included amongst license application materials so that the property owner will know what <br />items will be inspected prior to submitting the license application to the city. <br />a. An inspection must be completed within 60 days prior to submission of the license application form. <br />b. An inspection report must be submitted together with the license application form and other necessary <br />materials. Without the inspection report, the license application will not be considered complete, nor will it be <br />accepted by the city. <br />c. If the inspection identifies items that must be corrected, all corrections must be completed and verified by <br />the city prior to submitting an application for the Short Term Home Rental license. <br />2. There shall be no change in the exterior appearance of the home or premises, or other visible evidence of <br />the conduct of a Short Term Home Rental, except that additional on-site city code compliant parking may be <br />provided. <br />3. The licensee must provide proof of sufficient and suitable property insurance at the time of license issuance, <br />and must be able to confirm that the coverage remains in place within 24 hours of a city request for confirmation. <br />4. Licenses are non -transferable and shall expire upon change of ownership of the property. <br />5. A license constitutes a limited license granted to the applicant by the city and in no way creates a vested <br />zoning right. <br />6. No more than a total of thirty-five Type A licenses may be valid within the city at one time. <br />7. If three substantiated and relevant complaints are received from neighbors or guests within a 12 month <br />period, the license shall be revoked. The revocation may be appealed to the city council pursuant to procedures <br />established in Section 31-217 of this Chapter. If a license is revoked, the owner is prohibited from making appli- <br />cation for another license for any type of Short Term Home Rental for six months. <br />8. Licenses are valid for a period of three years. A renewal license must be applied for every three years. <br />B. Type B - Unhosted Short Term Rental. Type B Short Term Home Rentals are required to have an admin- <br />istratively issued license from the city. Prior to issuing the license, a neighborhood notification is required, as <br />specified below. <br />1. A Type B Short Term Home Rental license or renewal license will be issued administratively only if: <br />I. The applicant submits a site plan, drawn to scale, showing parking and driveways, all structures and out- <br />door recreational areas that guests will be allowed to use, including, but not limited to, deck/patio, barbeque <br />grill, recreational fire, or sauna. <br />ii. The applicant submits a floor plan, drawn to scale, of the home identifying which rooms will be used as <br />transient guest bedrooms. <br />iii. The licensee certifies on the application form that all applicable items found in this Section 31-514.1 are <br />satisfied. That includes: <br />a. Proper zoning as found in Subd. 6 <br />b. Performance standards as found in Subd. 7 <br />c. Proof of sufficient and suitable property insurance. <br />iv. No more than a total of thirty-five Type B licenses may be valid within the City at one time. <br />v. Notices have been mailed by the city to all surrounding property owners according to the following stan- <br />dards: <br />a. 150 feet of all applicant properties zoned RB, CCR, CR, TH, CTHR, RCL, RCM, RCH, CBD; <br />b. 200 feet of all applicant properties zoned RA, LR, CTR, TR; <br />c. 500 feet of all applicant properties zoned AP; and <br />vi. There are no objections received by the city within ten days of mailing the notices. <br />a. If objections are received, then the license request must be considered by the planning commission. <br />(1). The planning commission must hold a hearing, to which neighbors within the above defined notification <br />area are invited to offer comments. <br />(2). After considering the license request and hearing comments from the neighbors, the planning commission <br />may either approve a one year provisional license, with or without conditions, or deny the license request. <br />(3). If there are no substantiated relevant complaints from neighbors or guests during the provisional year, the <br />permit will automatically extend two more years. If there are three substantiated relevant complaints, the provi- <br />sional license is automatically revoked and the owner is prohibited from making application for another license <br />for any type of Short Term Home Rental for six months. <br />vii. The property passes the city inspection (see Section 31-514.1, Subd. 9B) for residential code standards <br />applicable to renting a home on a short term basis. The list of health and safety items that will be inspected for <br />this purpose will be included amongst license application materials so that the property owner will know what <br />items will be inspected prior to submitting the license application to the city. <br />a. An inspection must be completed within 60 days prior to submission of the license application form. <br />b. An inspection report must be submitted together with the license application form and other necessary <br />materials. Without the inspection report, the license application will not be considered complete, nor will it be <br />accepted by the city. <br />c. If the inspection identifies items that must be corrected, all corrections must be completed and verified by <br />the city prior to submitting an application for the Short Term Home Rental license. <br />2. There shall be no change in the exterior appearance of the home or premises, or other visible evidence of <br />the conduct of a Short Term Home Rental, except that additional on-site city code compliant parking may be <br />provided. <br />3. The licensee must provide proof of sufficient and suitable property insurance at the time of license issuance, <br />and must be able to confirm that the coverage remains in place within 24 hours of a city request for confirmation. <br />4. If three substantiated and relevant complaints are received from neighbors or guests within a 12 month <br />period, the license shall be revoked. The revocation may be appealed to the city council pursuant to procedures <br />established in Section 31-217 of this Chapter. If a license is revoked, the owner is prohibited from making appli- <br />cation for another license for any type of Short Term Home Rental for six months. <br />5. Licenses are non -transferable and shall expire upon change of ownership of the property. <br />6. A license constitutes a limited license granted to the applicant by the city and in no way creates a vested <br />zoning right. <br />7. Licenses are valid for a period of three years. A renewal license must be applied for every three years. No <br />neighborhood notification is required for the renewal of licenses. <br />C. Type C - Dedicated Short Term Rental. Type C Short Term Home Rentals are required to have both a <br />Conditional Use Permit and an administrative license issued by the city. The Conditional Use Permit and initial <br />license may be processed simultaneously. <br />1. Conditional Use Permit. The application for the Conditional Use Permit to operate a Type C Short Term <br />Home Rental must be filed with the city's community development department on the applicable form. The ap- <br />plication will be reviewed according to the process established in Sections 31-204 and 31-207 of this Chapter. <br />In addition, the following procedures, criteria and conditions shall also apply: <br />i. The applicant must submit a site plan, drawn to scale, showing parking and driveways, all structures and <br />outdoor recreational areas that guests will be allowed to use, including, but not limited to, deck/patio, barbeque <br />grill, recreational fire, or sauna. <br />ii. The applicant submits a floor plan, drawn to scale, of the home identifying which rooms will be used as <br />transient guest bedrooms. <br />iii. The Conditional Use Permit runs with the land and must be filed in the property's chain of title, but since a <br />license is also required for a Type C Short Term Rental, possession of a Conditional Use Permit is not sufficient <br />to operate. Any new owner desiring to operate a Type C Short Term Rental on property that has an unexpired <br />Conditional Use Permit filed in the chain of title must also obtain a license from the city. A Conditional Use Permit <br />expires if a property is not operated as a Short Term Home Rental for more than a year. <br />iv. The Conditional Use Permit applicant must certify on the city application form that all applicable items <br />found in this Section 31-514.1 are satisfied. That includes: <br />a. Proper zoning as found in Subd. 6 <br />b. Performance standards as found in Subd. 7 <br />c. Proof of sufficient and suitable property insurance. <br />v. The property must pass inspection by city building and fire code inspectors and found to meet the res- <br />idential code standards applicable to renting a home on a short term basis (see Section 31-514.1, Subd 913) <br />prior to holding the public hearing for the Conditional Use Permit. The list of health and safety items that will be <br />inspected for this purpose will be included amongst license application materials so that the property owner will <br />know what items will be inspected prior to submitting the license application to the city. <br />vi. No more than a total of fifteen Conditional Use Permits for Type C Short Term Home Rentals may be valid <br />within the City at one time. <br />2. License. The application form for the license or renewal license must certify by the applicant that all appli- <br />cable items found in this Section 31-514.1 are satisfied. That includes: Council Ex. E 17-3984 <br />i. A Conditional Use Permit has been issued for the subject property and is still valid. <br />ii. The property has been inspected no more than 60 days prior to submission of the license application by <br />city building and fire code inspectors and found to meet the residential code standards applicable to renting a <br />home on a short term basis. <br />a. An inspection must be completed and the inspection report submitted together with the license application <br />form and other necessary materials. Without the inspection report, the license application will not be considered <br />complete, nor will it be accepted by the city. <br />b. If the inspection identifies items that must be corrected, all corrections must be completed and verified by <br />the city prior to submitting an application for the Short Term Home Rental license. <br />iii. Proper zoning as found in Subd. 6 <br />iv. Performance standards as found in Subd. 7 <br />v. Proof of sufficient and suitable property insurance. <br />vi. No more than a total of fifteen Type C Short Term Home Rental licenses may be valid at one time within <br />the City. <br />3. The license for a Type C Short Term Home Rental may only be issued to the owner of the property and is <br />not transferable to any other entity. <br />4. There shall be no change in the exterior appearance of the home or premises, or other visible evidence of <br />the conduct of a Short Term Home Rental, except that additional on-site city code compliant parking may be <br />provided. <br />5. The licensee must provide proof of sufficient and suitable property insurance at the time of license issuance, <br />and must be able to confirm that the coverage remains in place within 24 hours of a city request for confirmation. <br />6. Type C Short Term Home Rental licenses are valid for a period of three years. A renewal license must be <br />applied for every three years. The Conditional Use Permit will not expire unless its use is discontinued for more <br />than a year. <br />7. The Type C Short Term Home Rental license is not transferable and shall expire upon change of ownership <br />of the property. <br />8. A license constitutes a limited license granted to the applicant by the city and in no way creates a vested <br />zoning right. <br />9. If three substantiated and relevant complaints are received from neighbors or guests within a 12 month <br />period, the license shall be revoked. The revocation may be appealed to the city council pursuant to procedures <br />established in Section 31-217 of this Chapter. If a license is revoked, the owner is prohibited from making appli- <br />cation for another license for any type of Short Term Home Rental for six months. <br />D. Type D - Bed & Breakfast. Type D Short Term Home Rentals are also known as Bed & Breakfasts and are <br />required to have a Special Use Permit as regulated in Section 31-504 of this Chapter. <br />Subd. 6. Zoning District. Short Term Home Rentals are permitted, with an approved license from the City of <br />Stillwater, in the following Zoning Districts: <br />A. Residential Zoning Districts. Type A and B Short Term Home Rentals are allowed by city license in all <br />Residential Zoning Districts. Type C Short Term Home Rentals are allowed by Conditional Use Permit in all Res- <br />idential Zoning Districts. Type D Short Term Home Rentals (aka Bed & Breakfasts) are allowed by city license in <br />the RCL Zoning District and by Special Use Permit in the RB and RCM Zoning Districts. <br />B. Commercial Zoning Districts. Type A, B and C Short Term Home Rentals are permitted by city license in <br />the CBD Zoning District. <br />Subd. 7. Performance standards. Type A, B and C Short Term Home Rentals shall be subject to the following <br />performance standards. Type D Short Term Home Rentals shall be subject to the standards found in Section <br />31-504 of this Chapter. <br />A. Parking. <br />1. In residential zoning districts, all guest parking must be accommodated on improved surfaces on the prem- <br />ises. No on -street parking is allowed for guests. At a minimum, parking shall be provided at the following rate: <br />i. 1-2 bedroom unit, 1 space <br />ii. 3 bedroom unit, 2 spaces <br />iii. 4 and 4+ bedroom units, number of spaces equal to the number of bedrooms minus one. <br />2. In the CBD zoning district, guest parking must either be accommodated on the property of the Short Term <br />Home Rental dwelling unit, or a parking mitigation plan must be approved by the Parking Commission. <br />B. Length of guest stay. The minimum length of stay is one day. The maximum length of stay is 30 days, since <br />more than that is by definition not a Short Term Home Rental property. <br />C. Number of guests. The maximum number of transient guests will be limited to two times the number of <br />bedrooms plus one. <br />D. Guest records. The licensee for Type B and C Short Term Rentals must keep a transient guest record in- <br />cluding the name, address, phone number, and vehicle license plate information for all guests and must provide <br />a report to the city upon 48 hours notice. <br />E. Guest disclosures. The licensee must disclose in writing to their transient guests the following rules and <br />regulations, and must submit a copy of the disclosure to the city with the license application and renewal appli- <br />cations. In addition the disclosures must be conspicuously displayed in the home. <br />1. For Type B and C Short Term Home Rentals, the name, phone number and address of the owner, operating <br />lessee or managing agent/representative; <br />2. The maximum number of guests allowed at the property; <br />3. The maximum number of vehicles allowed at the property and where they are to be parked; <br />4. Property rules related to use of outdoor features, such as decks, patios, grills, recreational fires, saunas <br />and other recreational facilities; <br />5. City nuisance ordinances will be enforced by the Stillwater Police Department, including reduced noise <br />levels between 10 PM and 8 AM. <br />6. No events are allowed to be hosted on the premises. <br />F. License number. The licensee must post their city license number on all print, poster or web advertise- <br />ments. <br />G. Proximity of assistance. For Type B and Type C Short Term Home Rentals, the property owner or a man- <br />ager/representative must be located within 30 minutes travel time of the property. The community development <br />department must be notified within 10 days of a change in the managing agent/representative or their contact <br />information. The licensee must provide the name, address and phone number for the licensee or managing <br />agent/representative to all property owners within 150 feet of the property boundary. The licensee must notify <br />neighboring properties within 10 days of a change in the managing agent/representation or contact information. <br />H. Garbage. As required by City Code Chapter 30-1, Subd 5, all garbage must be kept in rubbish containers <br />that are stored out of view of a public street. <br />I. Signage. No signage is allowed on the property of a Type A, B or C Short Term Home Rental. Type D is <br />allowed signage as regulated in Section 31-504 of this Chapter. <br />J. Events. Events are not allowed to be hosted by transient guests on the premises. For purposes of this <br />Section 31-541.1, an event means a gathering on the premises of more than three un -registered transient guests. <br />Events hosted by the property owner are allowed, but must abide by all applicable city ordinances and polices, <br />including the prohibition on renting private residential property out for events. <br />Subd. 8. Required inspections. <br />A. Type A, B and C Short Term Home Rentals <br />1. These types of Short Term Home Rentals are required to have, and pass, a health and safety code inspec- <br />tion by city building and fire code staff prior to issuance of a license or renewal of the license. <br />2. The list of health and safety items that will be inspected for this purpose will be included amongst license <br />application materials so that the licensee will know in advance what items will be inspected. <br />3. Upon receipt of a complaint, the city zoning administrator will contact the licensee and will determine <br />whether a compliance inspection is required. <br />B. Type D Short Term Home Rentals (aka Bed & Breakfast) <br />1. This type of Short Term Home Rental is required to have inspections as regulated by Section 31-504. <br />Subd. 9. Limit on number of licenses. No more than a total of thirty-five licenses may be valid at any one <br />time for Type A Short Term Home Rentals. No more than a total of thirty-five licenses may be valid at any one <br />time for Type B Short Term Home Rentals. No more than fifteen licenses may be valid at any one time for Type <br />C Short Term Home Rentals. Type D Short Term Home Rentals are required to have a Special Use Permit, but <br />no license is required. <br />Subd. 10. Sales taxes. In addition to state sales tax, the licensee is required to pay the city lodging tax. <br />A. The city lodging tax must be collected and paid either by the web based booking company that the Short <br />Term Home Rental is listed on, or by the licensee directly to the city if the Short Term Home Rental does not use <br />a web based booking service. <br />B. The license application must supply information on any web based booking service(s) used for the licensed <br />property. <br />C. The licensee, or booking agent on their behalf, is required to pay the city lodging tax quarterly. If no sales <br />are made during a quarter, a report must none the less be submitted to the city stating that no sales were made <br />or lodging tax collected during that quarter. <br />Subd. 11. Interchangeability. A licensee may use the license to operate any Short Term Home Rental type <br />equal to or less restrictive than the one for which the license is issued. Therefore, if an owner is issued a Type <br />C license, the property is permitted to operate as a Type C, B or A. And, a Type B license allows the owner to <br />operate as a Type B or A. However, a Type D owner may only operate as a Bed & Breakfast. <br />Subd. 12. Enforcement. <br />A. In the event of a violation or threatened violation of this ordinance, the city, in addition to other remedies, <br />is entitled to seek Injunctive Relief or proceedings to prevent, restrain, correct or abate such violations or threat- <br />ened violations. <br />B. The penalty for violation of this Section 31-514.1 shall be a Misdemeanor. <br />C. In addition to penalty provisions A and B above, the fine for the first substantiated and relevant complaint <br />or violation shall be $250. The fine for the second shall be $500.00. The fine for the third shall be $750.00 and <br />this third offense shall also result in automatic license revocation. <br />3. Amend City Code Section 31-315, Allowable Uses in Residential Districts by adding: <br />ALLOWABLE USES ZONING DISTRICTS <br />A -P <br />LR <br />CTR <br />RA <br />ITR CCR RB ICR TH <br />CTHR <br />I RCL RCM <br />Bed & Breakfast (type D Short <br />Term Home Rental <br />SUP10 <br />P" SUP <br />Short Term Home Rental; Type A P <br />and B <br />P <br />P <br />P <br />P P P P P <br />P <br />P P <br />Short Term Home Rental; Type ClCUP <br />CUP <br />CUP <br />CUP <br />1 CUP CUP CUP CUP CUP <br />CUP <br />CUP CUP <br />P = Permitted use <br />SUP = Use permitted with a Special Use Permit <br />CUP = Use permitted with a Conditional Use Permit <br />A = Accessory use <br />Blank cell in table means that the use is NOT allowed. <br />4. Amend City Code Section 31-325, Allowable Uses in Non -Residential Districts by adding: <br />P = Permitted use <br />SUP = Use permitted with a Special Use Permit <br />CUP = Use permitted with a Conditional Use Permit <br />PUD = Use permitted with a Planned Unit Development Permit <br />A = Accessory use <br />ACC = Allowed as an accessory improvement to an allowed use located on or adjacent to the site <br />Blank cell in table means that the use is NOT allowed. <br />5. Savings. In all other ways City Code Chapter 31 shall remain in full force and effect. <br />6. Effective Date. This Ordinance will be in full force and effect from and after its passage and publication <br />according to law. <br />Enacted by the City Council of the City of Stillwater this 2nd day of May, 2017. <br />CITY OF STILLWATER <br />/s/ Ted Kozlowski <br />Ted Kozlowski, Mayor <br />ATTEST: <br />/s/ Diane F. Ward <br />Diane F. Ward, City Clerk <br />Published in the <br />Stillwater Gazette <br />May 12, 2017 <br />687353 <br />