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DCA23-0002aORDiNANCE NO. DCA23-0002a AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE DENTONDEVELOPMENT CODE RELATED TO SHORT-TERM RENTAL USES, SPECIFICALLYAMENDMENTS TO SECTIONS 5.3.5T.1.B AND 5.3.5T.2.E.III RELATED TO REMOVING THE PRIMARY RESIDENCY REQUIREMENTS ASSOCIATED WITH A SHORT-TERMRENTAL PROPERTY; PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF$2,000.00 FOR VIOLATIONS THEREOF; PROVIDING A SEVERABILITY CLAUSE AND AN EFFECTIVE DATE. (DCA23-0002a) WHEREAS, pursuant to Ordinance No. DCA18-0009q, the City Council of the City of Denton adopted the newly revised 2019 Denton Development Code, the (“DDC”); and WHEREAS, the City desires to amend the DDC to respond to a recent 5th Circuit court decision in the case of Hignell-Stark v. City of N e\v Orleans', and WHEREAS, the 5th Circuit recently held that the City of New Orleans’ regulation requiring Short-Term Rental applicants to demonstrate the proposed Short-Term Rental dwelling unit was their primary residence was unconstitutional under the dormant Commerce Clause; and WHEREAS, the purpose of the Code amendments to the DDC is to remove regulations related to requiring that a short-term rental property is the applicant’s primary residence; and WHEREAS, on July 19, 2023, the Planning and Zoning Commission, in compliance with the laws of the State of Texas, gave the requisite notices by publication, held due hearings and recommended approval [6-0] of the Code amendments to the Denton Development Code; and WHEREAS, on July 25, 2023, the City Council likewise conducted a public hearing in accordance with local and state law and the City Council hereby finds that the Code amendments related to Short-Term Rental are consistent with the City’s comprehensive plan, and federal, state, and local law are in best interests of the City of Denton; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The findings and recitations contained in the preamble of this ordinance are incorporated herein by reference and found to be true. SECTION 2. Sections 5.3.5T.1.b and 5.3.5T.2.e.iii of the DDC is amended as set forth in “Exhibit A” which is attached and fully incorporated herein by reference. SECTION 3. Any person, firm, partnership or corporation violating any provision of this ordinance shall, upon conviction, be deemed guilty of a misdemeanor and shall be punished by fine in sum not exceeding $2,000.00 for each offense. Each day that a provision of this ordinance is violated, shall constitute a separate and distinct offense. Page 1 SECTION 4. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid by any court, such invalidity shall not affect the validity of the provisions or applications, and to this end the provisions of this ordinance are severable. SECTION 5. That an offense committed before the effective date of this ordinance is governed by prior law and the provisions of the Denton Development Code of Ordinances, as amended, in effect when the offense was committed, and the former law is continued in effect for this purpose. SECTION 6. In compliance with Section 2.09(c) of the Denton Charter, this ordinance shall become effective fourteen (14) days from the date of its passage, and the City Secretary ishereby directed to cause the caption of this ordinance to be published twice in the Denton Record Chronicle, a daily newspaper published in the City of Denton, Texas, within ten (10) days of the date of its passage. Th, m,ti,„ t, ,pp„„ thi, „di„,„,, w„ m,d, by Br ,'.... 'K'cl ,„d seconded by Jo, R-pIll'_ J , the ordinance was passed and approved by the foilowing vote U - A Aye \/ / ./ ,/ Nay Abstain Absent Gerard Hudspeth, Mayor: Vicki Byrd, District 1 : Brian Beck, District 2: Paul Meltzer, District 3 : Joe Holland. District 4:\/ aBrandon Chase McGee, At Large Place 5 : Chris Watts, At Large Place 6:Z/ PB de ItsPASSED AND APPROVED this, the Z) ' -day of .J , I y , 2023 GEms N ATTEST: JESUS SALAZAR, CITY SECRETARY L\\t 1111111 Page 2 APPROVED AS TO LEGAL FORM: MACK REINWAND. CITY ATTORNEYI+ I@\ p IWh ?i1 ; ;7 y ?290r : : : 5 8 : 3 5BY: J v -05’00‘ Page 3 Exhibit A Amend Section 5.3.5T as follows: T.Short-Term Rental 1.Registration Requirements No person shall advertise, offer to rent, or rent, lease, sublease, license, or sublicense a residential property within the city as a short-term rental for which a registration has not been properly made and filed with the Development Services Department. Registration shall be made upon forms furnished by the city for such purpose and shall specifically require the following minimum information: a.Name, address, phone number and e-mail address of the property owner of the short. term rental property; Verification that the proposed short-term rental property is managed by the property owner or by a management company; b. C.Name, address, phone number and e-mail address of the designated local emergency contact; d.The maximum number of occupants permitted for the dwelling unit or sleeping room in accordance with Subsection 5.3.1 D: Maximum Persons Occupying a Dwelling; e.A submission of a sketch floor plan of the dwelling with dimensional room layout; and A site plan/survey of the property indicating maximum number of vehicles that can be legally parked on the property, without encroaching onto streets, sidewalks or alleys, other public rights-of-way or public property. f. 2.Operation a. b. External Signage There shall be no external on-site or off-site advertising signs or displays indicating the property is a short-term rental. Limit on Occupants Allowed No more than two adult guests per bedroom, plus no more than two additional adults shall be allowed when renting a property as a short-term rental. except that there shall be a maximum occupancy of 10 persons, adults and children. C.Limits on Number of Vehicles There shall be a maximum of one vehicle per bedroom, or the maximum number of vehicles that can be accommodated within the garage and driveway, without extending over the public rights of way (alleys and sidewalks), whichever is less. d.Advertisements and Contracts Any advertisement of the property as a short-term rental and all rental contracts must contain language that specifies the allowed maximum number of occupants andmaximum number of vehicles. e. Other Restrictions It is unlawful: i. To operate or allow to be operated a short-term rental without first registering, in accordance with this DDC, the property in which the rental is to occur; Page 4 11.To advertise or offer a short-term rental without first registering, in accordance with this DDC, the property in which the rental is to occur; documented advertisement of the subject property as a short-term rental, online or offline, shall be considered evidence of a violation of this DDC; To operate a short-term rental that does not comply with all applicable city and state laws and codes; To operate a short-term rental without paying the required hotel occupancy taxes. To offer or allow the use of a short-term rental for the sole or primary purpose of having a party venue; To fail to include a written prohibition against the use of a short-term rental for having a party in every advertisement, listing, or other publication offering the premises for rent; and Permit the use of short-term rental for the purpose of: housing 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 Alcoholic Beverage Code; or operating as a sexuallyoriented business. iii. iv- V. VI. VII+ 3.Brochure and Safety Features a.Informational Brochure Each registrant operating a short-term rental shall provide to guests a brochure that includes: i. 11. iii. iv. The registrant's 24-hour contact information; A local responsible party’s 24-hour contract information if the owner is not within the city limits when guests are renting the premises; Pertinent neighborhood information including, but not limited to, parking restrictions, restrictions on noise and amplified sound, and trash collection schedules; and Information to assist guests in the case of emergencies posing threats to personal safety or damage to property, including emergency and non-emergency telephone numbers for police, fire, and emergency medical services providers and instructions for obtaining severe weather, natural or manmade disaster alerts and updates. b.Safety Features Each short-term rental registrant shall provide, in the premises, working smoke detectors in accordance with adopted codes, at least one working carbon monoxide detector and alarm, and one working fire extinguisher. The premises shall, otherwise comply with all applicable City regulations, including but not limited to Building and Fire Codes. 4.Notification of Approval of Short-Term Rental Within 10 days of the approval of a short-term rental, the city shall send notice to all property owners within 100 feet of the subject property, and shall include the 24-hour complaint line, and pertinent information about standards regulating short-term rentals. Page 5 5.Registration Term, Fees, and Renewal a. All short-term rental registrations approved under this DDC shall be valid for a period of one year from the date of its issuance. b.The fee for registration of a short-term rental is identified in the Administrative Criteria Manual. C.Upon receipt of an application for renewal of the registration, the Director may denythe renewal if there is reasonable cause to believe that: 1.The registrant has plead no contest to or been convicted of a violation of any ordinance of the city, or any state, or federal law on the premises or has permitted such a violation on the premises by any other person; or There are grounds for suspension, revocation, or other registration sanction as provided in this DDC or other applicable city codes. ii. 6.Right to Inspect Premises The City of Denton reserves the right, with reasonable notice to the owner, to inspect the residential premises to determine compliance with this DDC as well as other applicable city codes a. If only a portion of the premises is offered for rent, then that portion, plus shared amenities and points of access, may be inspected b. If, upon completion of an inspection, the premises are found to be in violation of one or more provisions of applicable city codes and ordinances, the city shall provide written notice of such violation and shall set a re-inspection date for a violation to be corrected prior to its occupancy. Page 6