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HomeMy WebLinkAbout02-06-17 CC Mtg - A1. Ordinance 1970, Extending Ordinance 1958 - Extended Stay LodgingsPage 1 Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Chuck Winn, Assistant City Manager Karen Stambaugh, Assistant City Attorney SUBJECT: Ordinance 1970 – Extension of Interim Zoning Ordinance 1958 regarding Extended Stay Lodging (Short Term Rentals) MEETING DATE: February 6, 2017 AGENDA ITEM TYPE: Action RECOMMENDATION: Conduct Public Hearing, consider protests, and determine whether to adopt Ordinance 1970 (2/3 majority of Commission required). RECOMMENDED MOTION: Having conducted a public hearing and considered public testimony, and finding the City requires additional time to study the issue and develop solutions, I hereby move to adopt Ordinance 1970 extending Interim Zoning Ordinance 1958 for an additional six-month period or until such time as the City acts to amend the municipal code or reinstate the conditional use, whichever is earlier. BACKGROUND: Over the past several months the City Commission has considered the issue of the increase in the number of short term rentals (STRs) throughout the City and in particular Bozeman’s lower density residential zoning districts. The Commission had discussions on this issue at its regular meeting on July 11, 2016 and a continuation of that discussion on July 18, 2016. On July 18, 2016 the Commission requested City staff draft an interim zoning ordinance that would prohibit such uses in specific zoning districts until such time as the City was able to study the effects of the increasing number of short term rentals on existing residential neighborhoods. The Commission adopted Interim Zoning Ordinance 1958 on August 8, 2016 repealing and suspending extended stay lodging as a conditional use in R-1, R-2, R-S and NEHMU zoning districts for a period of six months. Ordinance 1958 was effective immediately. Staff was directed to research best practices in other similar communities, solicit public input on the issues, and return to the Commission with recommendations for the regulation of STRs in the City. Ordinance 1958 expires on February 8, 2017. 149 Page 2 As reported in an update to the Commission on December 19, 2016, since the adoption of the interim zoning ordinance an internal team was formed to continue the discussion on STRs, define the scope of the issues, and identify a process to obtain public feedback. The team includes Fire Chief Josh Waldo, Fire Marshal Trisha Wolford, Community Development Director Martin Matsen, Community Development Policy and Planning Manager Chris Saunders, City Attorney Greg Sullivan, Assistant City Attorney Karen Stambaugh, Neighborhood Coordinator Jessica Johnson, Police Captain Jim Veltkamp, and Assistant City Manager Chuck Winn. The internal team drafted and launched an online City Hall survey which began on December 20, 2016 and ran through January 31, 2017. The team has also been researching best practices in communities that are similar in size and/or character as a vacation destination, including Vail, Hood River, Austin, Whitefish and Missoula. The Assistant City Manager led three public engagement meetings in January, which were scheduled on different days of the week in the evening and in three different locations in an effort to boost attendance. Survey results and feedback from the meetings is currently being compiled and analyzed by the team, and a summary will be presented to the Commission along with the draft ordinance this spring or summer. The authority to extend an interim zoning ordinance is found at 76-2-306(3), MCA: 76-2-306. Interim zoning ordinances. (1) Except as provided in 76-2-340, the city or town council or other legislative body of the municipality, to protect the public safety, health, and welfare and without following the procedures otherwise required prior to the adoption of a zoning ordinance, may adopt as an urgency measure an interim zoning ordinance prohibiting any uses that may be in conflict with a contemplated zoning proposal that the legislative body is considering or studying or intends to study within a reasonable time. (2) An interim zoning ordinance may be applicable only within the city limits and up to 1 mile beyond the corporate boundaries of the city or town and takes effect upon passage if a hearing is first held upon notice reasonably designed to inform all affected parties. A notice must be published in a newspaper of general circulation at least 7 days before the hearing. (3) An interim zoning ordinance is no longer in effect 6 months from the date of its adoption. However, after notice pursuant to 76-2-303 and pursuant to public hearing, the legislative body may extend the interim zoning ordinance for 1 year. Any extension requires a two-thirds vote for passage and becomes effective upon passage. No more than two extensions may be adopted. Any extension requires a 2/3 majority vote, and no more than two extensions may be adopted. The hearing on the extension of an interim ordinance must be noticed no less than fifteen days prior to the public hearing. The protest provisions of state law related to adoption of zoning regulations apply. Notice of this ordinance was published in the Bozeman Daily Chronicle on Sunday January 15, 2017 and Sunday January 22, 2017. 150 Page 3 Should the Commission adopt this ordinance, it will be effective for no more than six months or until the Commission adopts alternative zoning provisions regarding extended stay lodging/short term rentals in these zoning districts. Although the statute authorizes a one-year extension, staff believes six months is a reasonable deadline to bring back to the commission a draft ordinance for first and second read so that any new regulations go into effect by August 8, 2017. UNRESOLVED ISSUES: None identified regarding adoption of this ordinance. ALTERNATIVES: As suggested by the Commission. FISCAL EFFECTS: None recognized from adoption of this ordinance. Staff time will be required to continue the process of collecting and analyzing public input and drafting potential regulations. Attachments: Ordinance 1970 Ordinance 1958 151 Page 1 of 4 ORDINANCE NO. 1970 A SIX MONTH EXTENSION OF INTERIM ZONING ORDINANCE 1958 OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA TO AMEND SECTION 38.08.020 OF THE MUNICIPAL CODE TO CHANGE THE USES ALLOWED WITHIN THE R-1, R-2, R-S, AND NEHMU ZONING DISTRICTS BY REMOVING “EXTENDED STAY LODGINGS” AS A CONDITIONAL USE IN THOSE DISTRICTS. WHEREAS, the City Commission adopted interim zoning ordinance 1958 on August 8, 2016 pursuant to Section 76-2-306, Montana Code Annotated, providing for adoption of an interim zoning ordinance prohibiting for a period of six months any uses which may be in conflict with a contemplated zoning proposal which the legislative body is considering or studying, or intends to study, which is set to expire on February 8, 2017; and WHEREAS, the City Commission directed City staff to study options regarding appropriate locations and regulations for short term rentals, and their compatibility with residential uses within the City and to recommend revised or new regulations to the City Commission within six months; and WHEREAS, the development and review of amendments to Chapter 38 of the Bozeman Municipal Code to address short term rentals requires City staff to inform and involve and obtain input from the public and other agencies prior to adoption of any proposed amendments; and WHEREAS, City staff formed a task force including staff from the Fire Department, Police Department, City Attorney’s Office, and City Manager’s Office to research best practices from other communities, solicit feedback from Bozeman residents, and draft proposed 152 Ordinance 1970, Extending Interim Ordinance 1958 for 6 Months – Extended Stay Lodgings Page 2 of 4 regulations; and WHEREAS, City staff has conducted an online survey, held several public workshops, sought input from neighborhood associations and other governmental agencies, and begun drafting proposed permanent zoning or general ordinances for the City Commission’s consideration; and WHEREAS, City staff requires additional time to develop such proposed ordinances; and WHEREAS, 76-2-306(3) provides that pursuant to a duly noticed public hearing the City Commission may extend interim zoning ordinance 1958; and WHEREAS, notice of a public hearing on February 6, 2017 to consider extending interim ordinance 1958 was published in accordance with state law. NOW, THEREFORE, BE IT ORDAINED by the City Commission of the City of Bozeman, Montana, that: Section 1 The City Commission incorporates the above recitals into this ordinance. Section 2 The City Commission hereby directs the City Manager to continue to investigate and study the effects of extended stay lodgings, and other similar uses, including short term and vacation rentals, on locations in the City zoned R-1, R-2, R-S, or NEHMU and other locations and to make recommendations in as timely a manner as possible to the City Commission regarding the zoning of such uses and other matters relating to impacts of such uses on the public health, safety, and general welfare. 153 Ordinance 1970, Extending Interim Ordinance 1958 for 6 Months – Extended Stay Lodgings Page 3 of 4 Section 3 Effective Date and Period. This ordinance shall be effective immediately upon passage and for a period of not more than six (6) months from the date of adoption hereof, unless otherwise extended in accordance with Montana law. Section 4 Supersedence. All City ordinances and parts thereof in conflict herewith are hereby temporarily superseded by this Ordinance for the time period as described in Section 3 above, insofar as said ordinances or parts thereof may apply within the corporate boundaries of the City of Bozeman. Section 5 Severability. If any provision of this Ordinance or the application thereof to any person or circumstances is held invalid, such invalidity shall not affect the other provisions of this Ordinance which may be given effect without the invalid provision or application and, to this end, the provisions of this Ordinance are declared to be severable. Section 6 Savings Provision. This Ordinance does not affect the rights or duties that matured, penalties and assessments that were incurred, or proceedings that were finally acted upon prior to the effective date of this Ordinance. Section 7 154 Ordinance 1970, Extending Interim Ordinance 1958 for 6 Months – Extended Stay Lodgings Page 4 of 4 Codification Instruction. This Ordinance shall not be codified but shall be kept by the City Clerk and entered into a list in numerical order with all other ordinances of the City and also shall be organized in a category entitled “Interim Zoning Ordinances.” The City Clerk must immediately transmit this Ordinance for inclusion on the City’s internet-accessed municipal code website so as to prominently display the continued repeal and suspension as provided for in this interim ordinance. PASSED, ADOPTED AND APPROVED by the City Commission of the City of Bozeman, Montana, at a regular session thereof held on the 6th day of February, 2017. __________________________________________ CARSON TAYLOR Mayor ATTEST: _______________________________ ROBIN CROUGH City Clerk APPROVED AS TO FORM: __________________________________________ GREG SULLIVAN City Attorney 155 156 157 158 159 160