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HomeMy WebLinkAboutOrd 2025-4097_short term rentalsORDINANCE NO. 2025-4097 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA PORTE AMENDING THE CODE OF ORDINANCES OF THE CITY OF LA PORTE BY AMENDING CHAPTER 22 "BUSINESSES", BY ESTABLISHING REGULATIONS APPLICABLE TO THE OPERATION OF SHORT-TERM RENTALS ON PROPERTY WITHIN THE CORPORATE LIMITS OF THE CITY; CONTAINING A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; MAKING CERTAIN FINDINGS OF FACT RELATED TO THE SUBJECT; PROVIDING THAT ANY PERSON VIOLATING THE TERMS OF THIS ORDINANCE SHALL BE DEEMED GUILTY OF A MISDEMENAOR AND UPON CONVICTION SHALL BE FINED IN A SUM NOT TO EXCEED FIVE HUNDRED DOLLARS; PROVIDING FOR THE PUBLICATION OF THE CAPTION HEREOF; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS: WHEREAS, the City Council of the City of La Porte, Texas has investigated and determined that it would be advantageous, beneficial and in the best interest of the citizens of the City of La Porte, Texas to amend the La Porte Code of Ordinances, Chapter 22 "Businesses", by creating a new Article VIII, "Requirements for Owners of Residential Properties Used as Short -Term Rentals"; and WHEREAS, the City Council of the City of La Porte is continually reviewing the provisions of the City Code of Ordinances relating to land use and other circumstances which generally impact the health, safety and well-being of residents, citizens and inhabitants; and WHEREAS, the City Council finds that there are certain owners of residential short-term rental properties within La Porte who do not provide adequate information on how they may be contacted; and WHEREAS, the City Council finds that there are owners of residential short-term rental properties who do not reside locally or who reside out of state; and 1 WHEREAS, the City Council finds that some owners of residential short-term rental properties do not have firsthand knowledge of the condition of their properties or the individuals who are renting the structure for short-term rental; and WHEREAS, the City Council finds that there are owners of certain residential short term rental properties that do not pay the required hotel/motel occupancy tax; and WHEREAS, the City Council desires to preserve and enhance residential neighborhoods and property values; and WHEREAS, pursuant to the laws of the State of Texas, including Section 51.001 of the Texas Local Government Code, the City Council has the authority to adopt, publish, amend or repeal an ordinance that, among other things, is for the good government, peace or order of La Porte; and WHEREAS, Section 92.208 of the Texas Property Code allows a municipality to adopt an ordinance that conforms to the provisions of Texas Property Code, Chapter 92, Subchapter E, related to the disclosure of ownership and management of a dwelling. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS: Section 1: That the facts and matters set forth in the preamble of this ordinance are hereby found to the true and correct. Section 2: That Chapter 22, "Businesses", of the La Porte Code of Ordinances is hereby amended by creating new Article VIII, "Requirements for Owners of Residential Properties Used as Short -Term Rentals", and shall hereinafter read as follows: "ARTICLE VIII. - REQUIREMENTS FOR OWNERS OF RESIDENTIAL PROPERTIES USED AS SHORT-TERM RENTALS Sec. 22-500. - Purpose. 2 This article is adopted to promote the public health, safety, and general welfare within the city by providing neighborhood sustainability and preserving property values. Having current and reliable information about the owners of short-term rentals will allow the city to provide those owners with timely information on the condition of their properties and emergency contact information, to ensure collection of hotel occupancy taxes, to protect the health and safety of guests of short-term rentals and to aid in enforcement of applicable ordinances and laws. By requiring the registration of short-term rental properties, the city council seeks to protect property values and to prevent property damage within the city limits. Sec. 22-501. - Definitions. As used in this article, the following terms, phrases, words and their derivation shall have the following meaning: Adult means an individual twenty-one (21) years of age or older. Advertise means the act of drawing the public's attention to a short-term rental in order to promote the availability of the residence for use as a short-term rental. Said advertising may be found in any medium, including but not limited to, newspaper, magazine, brochure, website, or mobile application. Agent means a person designated by the short-term rental operation in lieu of themselves as the 24-hour emergency contact for a lawfully operating short-term rental. Bedroom means a room designated and used primarily for sleeping and rest on a bed, air mattress, cot, or couch. Booking Service means any reservation and/ or payment service provided by a person or entity that facilitates a short-term rental transaction between an Owner and a prospective Occupant, and for which the person or entity collects or receives, directly or indirectly through an agent or intermediary, a fee in connection with the reservation and/ or payment services provided for the short- term rental transaction. City means the City of La Porte, Texas, and all areas within its corporate limits. City Council the City Council of the City of La Porte, Texas. Director or designee means the department(s) or division(s) of the city designated by the city manager to administer and/or enforce the provisions of this article and any person or persons designated by such a department or division to represent the department or division for said purpose. Dwelling means a building or portion thereof including a single-family dwelling, two-family dwelling, garage apartment, guest house or a unit in a multi -unit building, including an apartment, condominium, cooperative or timeshare, designed and used exclusively for residential occupancy, but not including hotels, motels or lodging houses. Guest means a person contracting with a short-term rental for use of a residential dwelling or premises as a short-term rental and the person's invitees at the short-term rental. 3 Hosting Platform means a person or entity that participates in the short- term rental business by providing, and collecting or receiving a fee for, Booking Services through which an Owner may offer premises for an occupant on a short-term basis. Hosting Platforms usually, though not necessarily, provide Booking Services through an online platform that allows an Owner to advertise the premises through a website provided by the Hosting Platform and the Hosting Platform conducts a transaction by which potential occupants arrange their use and their payment, whether the would- be occupant pays rent directly to the Owner or to the Hosting Platform. Hotel means a building or group of buildings used as a temporary dwelling place for individuals in exchange for financial consideration where customary hotel services such as linen, housekeeping service and telephone are provided. Hotel room units are accessed through doorways into an internal hallway, courtyard or lobby. Financial consideration for hotel room units is generally calculated on a nightly basis. Owner means any person having a legal or equitable interest in real property or identified in the official records of the county as holding title to real property or otherwise having control of real property, including the guardian of the estate of such person and the executor of the estate of such person. The term "owner" does not include the holder of a non -possessory security interest in real property. Person means one or more individuals, corporations, partnerships, associations, labor organizations, legal representatives, mutual companies, joint stock companies, trusts, unincorporated organizations, trustees, fiduciaries and any other organization or entity of whatever character. Premises means the property, lot, plot or parcel of land, including any structures or portions of structures thereon. Short-term rental (STR) means a dwelling that is: (a) used or designed to be used as the home of a person, family or household, and (b) rented wholly or partly for a fee and for a period of less than thirty (30) consecutive days. The term "short-term renter" does not include the operator of a group care facility, or a premises that is used for a non-residential purpose, including an educational, health care, retail, restaurant, banquet space or event center purpose or another similar use, or a bed -and -breakfast as defined in the city's zoning ordinance; or a hotel. Short-term rental listing service means a person that participates in the short-term rental business by facilitating booking services through which an owner may offer short-term rentals to potential guests. Short-term rental listing services usually, though not necessarily, provide booking services through an online platform that allows an owner to advertise the premises through a website provided by the short-term rental listing service and the short-term rental listing service conducts a transaction by which potential guests arrange their use and their payment, whether the potential guest pays rent directly to the owner or to the short-term rental listing service. Short-term rental permit means a permit issued by the city that identifies the subject property as a lawful short-term rental. 4 Sleeping area means a habitable space within a dwelling designed or used for sleeping, including a bedroom. Tents, hammocks and recreational vehicles shall not be considered a sleeping area. Sec. 22-502. - Short-term rental permit required. (a) An owner or person who desires to operate, rent, lease, advertise, or otherwise permit or allow any premises to be operated, leased, used or advertised as a short-term rental within the City shall first obtain a short-term rental permit issued in accordance with this Article. (b) No person or owner shall operate, rent, lease, advertise, or otherwise permit or allow any premises to be operated, leased, used or advertised within the city without a current, valid short- term rental permit. All individual units having cooking, sleeping and bathing facilities within common buildings, regardless of ownership, shall require a separate, individual permit for each unit intended to be used as a short-term rental. Sec. 22-503. - Short-term rental permit application. (a) Application for a short-term rental permit shall include the following information, along with a non-refundable application fee in the amount of $300.00: (1) A list of all owners, operators and agents (if applicable) of the short-term rental, including names, addresses and current email addresses and telephone numbers of each such person. If the owner is not an individual, the name, physical/street address, mailing address, facsimile number, e-mail address, and telephone number of the corporate representative with authority to act on behalf of the owner and a copy of the documents filed with the Texas Secretary of State establishing the business entity and showing the entity is in good standing with the State of Texas; (2) The name, address and 24-hour telephone number of a contact person who resides within one (1) hour of the short-term rental unit and who is the owner, operator or designated agent and who shall be responsible and authorized to respond to complaints concerning the short-term rental; (3) An acknowledgement that any permit granted under this article does not supersede any property -specific restrictions against short-term rentals that may exist under law, agreement, lease, covenant or deed restriction; (4) A depiction of the floor plan of the rental unit that identifies sleeping areas, proposed maximum number of guests, evacuation routes and location of all fire extinguishers and smoke alarms; (5) All floors with an enclosed space of any kind must have a minimum of one Class 2A:10B:C type fire extinguisher (standard five -pound fire extinguisher) mounted so as to be conspicuous and convenient for the occupants; (6) The guest safety information required by section 22-506 of this article; and 5 (7) A sworn statement that the owner has met and will continue to comply with all requirements of this article including, but not limited to, paying applicable hotel occupancy tax, property tax, and utility fees when due, and obtaining annual inspections of required fire extinguishers in compliance with this article, along with the city's current fire code. (8) Provide satisfactory evidence to the director that the premises has an approved sound level monitoring and recording program or system in order to be eligible to receive a credit of $150.00 reimbursable to an owner, operator, or agent. (b) Applications shall be considered complete when all documentation required under this article has been submitted and all permit fees have been paid. Incomplete applications will not be accepted. (c) Any existing short-term rental shall have ninety (90) days from the effective date of this ordinance to complete the required registration and obtain their short-term rental permit. (d) A short-term rental permit is not transferable to a new property owner, operator or location. A new owner must apply for a short-term rental permit within sixty (60) days from the closing date of the purchase or any other conveyance of ownership. Failure of a new property owner to apply for permit within sixty (60) days from the closing date may result in the revocation or non -renewal of an existing short-term rental permit or the denial of a new short-term rental registration. (e) Any property owner delinquent to the City of La Porte in payment of taxes or fees, to include, but not limited to, property tax, hotel occupancy tax, and utility fees, will be prohibited from registering a short-term rental until such time as payment or acceptable resolution is approved by the City of La Porte finance department. (f) Unless revoked by the director earlier pursuant to this article, the initial short-term rental permit expires at the end of the calendar year in which the initial permit is issued. Subsequent renewal of a short-term rental permit will be on an annual calendar year basis. A permit holder shall apply for renewal prior to December 31 St of the applicable permit year on a form provided by the director or their designee. The permit holder shall update the information contained in the original permit application required under this section or any subsequent renewals under this section, if any of the information has changed. The permit holder shall sign a statement affirming that there is either no change in the information contained on the original permit application and any subsequent renewal applications, or that any information that has been updated is accurate and complete. Complete applications for renewal received after the expiration of a current permit shall be treated as applications for a new permit. The amount of the non-refundable fee for renewal of a short-term rental permit is $300.00. (g) Upon receipt of a complete application for renewal of a short-term rental permit, the director or their designee may deny the renewal of a short-term rental permit if it is determined that the permit was issued in error or on the basis of incorrect information supplied by the applicant or if: (1) The permit holder or a tenant has pleaded no contest to or been convicted of a violation of any ordinance of the city, or any state or federal law, related to operation of 6 a short-term rental on the premises or the permit holder or tenant has permitted such a violation on the premises by any other person. Such violation may include, but is not limited to, parking, noise, littering, destruction of property, public intoxication, indecent exposure, or disorderly conduct; (2) The permit holder has failed to pay delinquent property taxes, hotel occupancy taxes, utility fees, or other city levy applicable to the property or premises used as a short-term rental; or (3) There are grounds for suspension, revocation or other registration sanctions as provided for in this article. Sec. 22-504. - Right to inspect short-term rental premises. To ensure compliance with the requirements of this article, a short-term rental shall be inspected in the following methods: (a) Initial inspection. As part of the issuance of a new short-term rental permit and any renewals thereof, the city shall conduct an inspection to verify compliance with this article. (b) Fire extinguishers. The owner is responsible for maintenance of the fire extinguishers in compliance with this article, along with the city's current fire code. (c) Inspections upon report or suspicion of a violation. The city may perform inspections when a violation of this article or other law is reported or suspected. Sec. 22-505. - General standards. All short-term rentals permitted pursuant to this article are subject to the following standard requirements: (a) Parking. Parking shall comply with the regulations and standards contained in Chapter 106 "Zoning" of this Code. No required parking shall be permitted within public rights -of -way or access easements as defined by city code or state regulations regarding parking. Yards or any other unimproved surface shall not be used to provide the necessary parking. (b) Updated information. The owner shall provide timely updates to the city of any changes to the name, address and 24-hour telephone number of the contact person who is the owner, operator or designated agent responsible and authorized to respond to complaints concerning the short-term rental within one hour or less. Should a law enforcement officer respond to the short-term rental and issue a citation for any violation of city ordinances or other law, such responsible person may be contacted by the officer or their designee. The responsible person shall attempt to contact the occupants within one (1) hour of any contact from the city to address the occupants about the complaints. Should a second complaint be filed and citation issued to the occupants or guests, the owner and responsible party must take appropriate steps to assure future complaints do not occur. Failure to provide updated information to the city regarding the 24-hour contact person shall be a violation of this section. 7 (c) Advertising. The short-term rental permit number, maximum occupancy as permitted, and health and life -safety inspection expiration date must be listed in all advertising for the short- term rental. (d) Bathrooms. Not less than one (1) full bathroom shall be provided for each five (5) occupants for the short-term rental. This full bathroom must meet the minimum International Residential Code standards and include a washbasin, toilet and tub or shower. (e) Occupancy. The maximum number of occupants allowed to sleep in a short-term rental is two occupants per sleeping room, plus an additional two occupants. (f) Emergency egress. Every sleeping area must have at least one operable emergency escape and rescue opening as per all applicable city -adopted codes, regulations, and ordinances. (g) Permit display. The city issued short-term rental permit shall be posted at all times in a prominent location inside the property for which it is issued. (h) Other standards. It is unlawful: (1) To advertise in any medium, including but not limited to a short-term rental listing service, hosting platform, newspaper, magazine, brochure, website, or mobile application or offer a short-term rental without first obtaining a short-term rental permit in accordance with this article; (2) To operate a short-term rental in a manner that does not comply with all applicable city and state laws and codes; (3) To operate a short-term rental without paying the required hotel occupancy taxes; (4) To rent to a guest who is under the age of twenty-one (21); (5) To post or allow external signage on or off the premises of the short-term rental that indicates the property is a short-term rental; (6) To fail to include the city permit number for the short-term rental in all advertisements, including online, for the short-term rental within the description or body for public reference; (7) To permit the use of a short-term rental to promote activities that are illegal or for the purpose of temporary or transition housing for registered sex offenders; operating a structured sober, recovery or other purpose living home or similar enterprise; selling illegal drugs; selling alcohol or another activity that requires a permit or license under the Texas Alcoholic Beverage Code; operating as a sexually oriented business, or for rental periods of less than 24 hours; and (8) To permit the use of tents, hammocks, recreational/camper vehicles or other vehicles and outdoor areas that are not residential dwellings as short-term rentals. (i) Hotel occupancy tax. Failure to timely pay the hotel occupancy taxes is considered a violation of this article and may result in revocation of the permit. Owner shall have thirty (30) days from 8 the date the city or state issue a notice of delinquency to submit hotel occupancy tax to the City and/or the state before revocation of the short-term rental permit begins. Sec. 22-506. - Guest safety notification and minimum requirements. Each owner of a short-term rental shall provide to guests a brochure and post in a conspicuous location of the short-term rental unit the following minimum information: (1) The owner, operator or designated agent's name and 24-hour contact telephone number. (2) Pertinent neighborhood information including, but not limited to, parking restrictions, trash collection schedules and location of required parking, other available parking and prohibition of parking on landscaped areas; (3) Noise restrictions as specified under Chapter 34 "Environment", Article III "Noise Pollution" of this Code; (4) Information to assist guests in the case of an emergency posing threats to personal safety or damage to property, including emergency and non -emergency telephone numbers for police, fire and emergency medical services; and (5) Depiction of floor plan identifying evacuation routes, including the dwelling's exits, primary evacuation routes and secondary evacuation routes near the front door of the dwelling. (6) Shelter in place emergency procedure guidelines, as are promulgated by the La Porte Local Emergency Planning Committee. Sec. 22-507. - Authority of the director. The director shall implement and enforce this article and may by written order establish such procedures, not inconsistent with this article or other city ordinances, rules, or regulations, or any county, state, or federal laws or regulations, as the director determines are necessary to discharge any duty under this article. Sec. 22-508. - Notification of complaints. Complaints related to the operation of a short-term rental, including but not limited to complaints concerning noise, garbage, parking, and disorderly conduct by guests, shall be reported to the police department. Sec. 22-509. - Compliance with other laws. The owner, operator, local contact person, and guests shall comply with all applicable laws, rules and regulations pertaining to the operation, use, and occupancy of a short-term rental. The Owner shall not be relieved from any civil or criminal liability for a violation of this 9 article, regardless of whether such violation is committed by the owner, operator, local contact person, or guest of the owner's short-term rental. Nothing in this article shall be construed to relieve any person or owner of any other applicable requirements of federal, state, or local law, rules, or regulations. Nothing in this Article shall be construed to provide any property owner with the right or privilege to violate any lease, private conditions, covenants, and restrictions applicable to the owner's property that may prohibit the use of such owner's property as a short-term rental as defined in this article. Sec. 22-510. - Permit suspension or revocation; appeal. (a) A short-term rental permit may be revoked or suspended in any case where any of the provisions of this article are violated, or where any owner, permit holder or their guest is engaged in any conduct which violates any of the state laws or city ordinances. The revocation or suspension proceedings shall be as prescribed by subsections (b) and (c) of this section. (b) A short-term rental permit may be revoked or suspended by the City Council after notice and hearing for any cause set forth in this section. (c) The director or their designee shall initiate such proceedings by petition to the city secretary in writing setting forth specifically the grounds for revocation or suspension, and if a suspension, the length of time for which such suspension is requested. A copy of such petition shall be mailed to the last known address of the permit holder. Notice of the time and date of the hearing before City Council, setting forth the specific grounds upon which the director or their designee's petition is based, shall be given in writing by the city secretary through certified mail to the permittee at his last known address at least fifteen (15) days prior to the date set for such hearing. (d) The City Council shall meet on the date specified in the notice mailed to the permit holder, and by a majority vote, determine whether or not such permit shall be revoked or suspended, and such action shall be final and conclusive. Sec. 22-511. - Penalty. Any person who shall violate any provision of this article shall be deemed to be guilty of a misdemeanor and shall upon conviction, shall be fined in an amount not more than $500.00 per offense. Neither allegation nor evidence of a culpable mental state is required for the proof of an offense defined in this section." Section 3: All ordinances or parts of ordinances inconsistent with the terms of this ordinance are hereby repealed; provided, however, that such repeal shall be only to the extent of such inconsistency and in all other respects this ordinance shall be cumulative of other ordinances regulating and governing the subject matter covered by this ordinance. Section 4: Should any section or part of this ordinance be held unconstitutional, illegal, or invalid, or the application to any person or circumstance for any reasons thereof ineffective or inapplicable, such unconstitutionality, illegality, invalidity, or ineffectiveness of such section or part shall in no way affect, impair or invalidate the remaining portions thereof; but as to such 10 remaining portion or portions, the same shall be and remain in full force and effect and to this end the provisions of this ordinance are declared to be severable. Section 5. The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council is posted at a place convenient to the public at the City Hall of the city for the time required by law preceding this meeting, as required by Chapter 551, Texas Local Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 6. Any person, as defined in Section 1.07 (27), Texas Penal Code, who shall violate any provision of the ordinance, shall be deemed guilty of a misdemeanor and upon conviction shall be punished by a fine not to exceed FIVE HUNDRED DOLLARS ($500.00). Section 7. This Ordinance shall be effective fourteen (14) days after its passage and approval. The City Secretary shall give notice of the passage of this ordinance by causing the caption hereof to be published in the official newspaper of the City of La Porte at least once within ten (10) days after the passage of this ordinance. PASSED AND APPROVED this the c J day of CITY OF LA PORTE., TEXAS B Rick Helon,`Mayor AT EST : 0.A. O. F. Lq p‘ ‘; 10 oodwarty Secretary' '� % 1l,y�: i APPROVED AS TO FORM: �� v•. .x. T 4i-a te Clark T. Askins, City Attorney 2025. 11