ORDINANCE 1653ORDINANCE NO. 1653
AN ORDINANCE OF THE CITY OF EL SEGUNDO AMENDING TITLE 4
CHAPTER 16 (HOME SHARING PERMIT) AND TITLE 15 (ZONING
REGULATIONS) OF THE EL SEGUNDO MUNICIPAL CODE TO
PERMANENTLY ALLOW SHORT-TERM HOME SHARING RENTALS IN
THE CITY'S RESIDENTIAL ZONES THROUGH A SHORT-TERM HOME
SHARING PERMIT.
The City Council of the City of El Segundo does ordain as follows:
SECTION 1: The City Council finds and declares as follows:
A. Due to close proximity of El Segundo to Los Angeles International airport, beaches
and Southern California tourist destinations, and being home to a significant
number of Fortune 500 companies, the City of El Segundo is a popular location for
alternative short-term lodging;
B. The renting of rooms in private homes on a short-term basis to visitors provides a
community benefit by expanding the number and type of lodging facilities available
and assists owners of homes by providing revenue which may be used for
maintenance and upgrades to these units;
C. The renting of rooms in private homes by owners for temporary occupancy is also
a community concern due to the potential for increased traffic, and noise in
residential neighborhoods if these uses are not properly regulated;
D, Problems with short-term lodgings are particularly acute in the residential zones
where the peace, safety and general welfare of the long-term residents are
potentially threatened;
E, An effective way to minimize the problems associated with short-term rental units
is to allow short-term home sharing through a permit process with restrictions and
operational regulations;
F. On October 27, 2022, the El Segundo Planning Commission held a noticed public
hearing to receive public testimony and other evidence regarding the proposed
ordinance, including information provided by city staff; and, adopted Resolution
No. 2927 recommending that the City Council approve proposed amendments to
permanently allow short-term rentals in the form of home sharing only, as a
permitted use through issuance of a Home Share Permit;
G. On November 15, 2022, the El Segundo City Council held a public hearing and
considered the information provided by staff and public testimony regarding the
ordinance recommended by the Planning Commission;
H. The City Council extended the short-term home sharing pilot program for another
12 months, until the end of 2023, for gathering additional information regarding the
impacts of the program and to study the appropriate methods and penalties for
individuals engaging in unlawful short-term rental activities in the residential areas
of the City, and directed staff to return in one year;
Government Code § 34104 et seq. authorizes the City to issue subpoenas
requiring the attendance of witnesses or production of books or other documents
for evidence or testimony, and the City Council finds that City inquiries into
operators' compliance with this ordinance constitutes an "action or proceeding, as
described in Government Code § 34104.
J, On November 7, 2023, the El Segundo City Council held a public hearing and
considered the information provided by staff and public testimony regarding the
recommended ordinance; and,
K. This ordinance and its findings are made based upon the entire administrative
record including testimony and evidence presented to City Council at its November
19, 2019, February 4, February 18, March 3 and June 16, 2020, November 15,
2022, and November 7, 2023 public hearings and the staff reports submitted by
the Community Development Department.
SECTION 2: Environmental Assessment. The City Council finds that this ordinance is
exempt from further review under the California Environmental Quality Act (Public
Resources Code Sections 21000 et. seq. ("CEQA")) pursuant to Section 15358 (the
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter
3, because it has no potential for resulting in physical change to the environment, directly
or indirectly. Moreover, the City Council finds that this Ordinance is also exempt under
CEQA pursuant to Guidelines Section 15061(b)(3) (there exists no possibility that the
activity will have a significant adverse effect on the environment).
SECTION 3: General Plan Findings. Considering all of its aspects, the El Segundo
Municipal Code ("ESMC") amendments proposed by this ordinance will further the goals,
objectives and policies of the General Plan and not obstruct their attainment. More
specifically:
A. This amendment conforms to the Land Use Element Goals, Objectives and
Policies. Specifically, the amendment is consistent with Goal LU1, Objective LU1-
1, Goal LU3, in that the amendment ensures the preservation, protection and
extension of existing residential uses; and promotes the health, safety, and
wellbeing of the people of El Segundo by adopting standards for the proper
balance, relationship, and distribution of the residential land uses at all times in
accordance with applicable law.
B. This text amendment of the Permitted Uses section in each of the City's residential
zones conforms to the General Plan. The changes do not modify or increase the
maximum density of dwelling units per acre currently allowed in the Residential
Land Use designation. As a result, the Zone Text Amendment conforms to the
Land Use Element of the General Plan.
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C. The text amendment complies with Objective LU 1-5.6 in that the changes to the
existing language will permanently allow short-term home sharing rentals for
property owners through a home sharing permit requirement provided it is the
property owner's primary residence.
D. The text amendment is consistent with the Residential Land Use designation in
that the changes do not modify or increase the maximum density of dwelling units
per acre currently allowed by the Residential zoning designations.
SECTION 4: Zone Text Amendment Findings. In accordance with ESMC Section 15-26-
4 the City Council finds as follows:
A. This ordinance is consistent with the purpose of the ESMC, which is to serve the
public health, safety, and general welfare and to provide the economic and social
advantages resulting from an orderly planned use of land resources. The
proposed Ordinance allows home sharing as a permitted use provided that a Home
Share Permit is approved, which contains operational regulations, permit
conditions and restrictions that minimize impacts in residential neighborhoods.
B. This ordinance is necessary to minimize the likelihood that this activity goes
underground, at which point the City would not have an account of the number of
short-term rentals, their locations, or a funding mechanism to offset any increase
in demand for City services resulting from the short-term rental units.
SECTION 5: The title of Chapter 16 of Title 4 of the ESMC 4-16 is amended to read as
follows: HOME SHARING PILOT PERMIT PROGRAM..
SECTION 6: Section 4-16-1 is amended in its entirety to read as follows:
"The purpose of this Chapter is to require the owner of a residentially -zoned'
dwelling unit that is used for home sharing to apply for and secure a permit
authorizing such use in the manner provided for in this Chapter."
SECTION `; Section 4-16-4 (Application for Permit; Fee) of the ESMC is amended to
read as follows:
"4-16-4: APPLICATION FOR PERMIT; FEE
An application for a Short-term Home Sharing Rental Permit must be made on a
form approved by the Director and must contain the following information:
A. The name, address and telephone number of the owner of the unit for which
the permit is to be issued.
B. Evidence that a City business license has been applied for or obtained for
operating a short-term home sharing business.
C. Evidence that a valid Transient Occupancy Registration Certificate has
been issued by the City for the home sharing unit.
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D. Proof of general liability insurance in the amount of $1,000,000 combined
single limit and an executed agreement to indemnify, defend, and hold the City
harmless from any and all claims and liabilities of any kind whatsoever resulting
from or arising out of the short-term home sharing rental activity.
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E. An affidavit signed by the property owner attesting that the property to be
used for short-term home sharing rental is the owner's primary residence as
defined in Section 4-16-2.
G F. Such other information as required by the Administrative Guidelines or as
the Director deems reasonably necessary to administer this Chapter.
# G. The Short-term Home Sharing Permit Application must be signed by the
property owner and notarized.
I H. An application for a Short-term Home Sharing Rental Permit must be
accompanied by a fee established by resolution of the City Council."
SECTION 8: Section 4-16-5 (Permit Expiration) of the ESMC is amended to read as
follows:
"4-16-5: PERMIT EXPIRATION
B. Upon a change of property ownership, the Short-term Home Sharing Rental
Permit will automatically expire. For purposes of this Chapter, a change of
ownership has the definition set forth in Revenue and Taxation Code section 60 et
seq."
SECTION 9: Subsection (B) of Section 4-16-7 of the ESMC is amended to read as
follows:
"B. Home sharing is permitted in the residential unit that is the primary residence
of the property owner within the R-1, R-2, or R-3 Zones, pursuant to El Segundo
Municipal Code §§ 15-4A-1. dl
SECTION 10: Section 4-16-11 of the ESMC is amended to read as follows
"A. Any person who violates any provision of this Chapter, or any hosting platform
that fails to meet its obligations under Section 4-16-9, is guilty of either (i) an
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infraction which shall be punishable by a fine not exceeding $2,500 for the first
violation and $5,000 for each additional violation within a twelve-month period, or
(ii) a misdemeanor which shall be punishable by a fine not exceeding $1,000 or by
imprisonment in the county jail for not more than six months, or by both.
B. Any person who violates any provision of this Chapter, or hosting platform that
violates its obligations under Section 4-16-9, shall be subject to administrative
citations and penalties pursuant to Title 1, Chapter 2A of this Code.
C. If the property upon which a short-term home sharing rental unit is located is the
subject or the site of two violations of any of the provisions of this Chapter, or of
Chapters 1, 2, or 13 of Title 7 of this Code, the Short-term Home Sharing Rental
Permit for the unit shall be automatically revoked. In such a case, no new Short-
term Home Sharing Rental Permit may be issued for the unit for the earlier of either
three months from the effective date of revocation; or a change of the ownership of
the unit to a new person.
D. In addition to the penalties set forth herein, if the short-term home sharing rental
property is the site of a loud or unruly gathering in violation of Section 7-12-3 that
results in the issuance of an administrative citation or criminal charge, the Short-
term Home Sharing Rental Permit will be automatically revoked if and when the
administrative citation becomes final (i.e., the time for administrative or judicial
review has passed or a final court judgment has been entered upholding the
citation) or a criminal conviction is obtained. In such a case, no new Short-term
Home Sharing Rental Permit may be issued for the unit for the earlier of either three
months from the effective date of revocation; or a change of the ownership of the
unit to a new person.
E. The City may issue and serve administrative subpoena, pursuant to
Government Code § 34104 et seq., as necessary to obtain specific
information regarding short-term home sharing rental listings located in the
City, including, without limitation, the names of the persons responsible for
each such listing, the address of each such listing, the length of stay for each
such listing, the listing price, and any other information necessary for the
City to determine compliance with this Chapter.
F. The remedies provided in this Section are not exclusive, and nothing in this
Section shall preclude the City's use or application of any other remedies, penalties
or procedures established by law."
SECTION 11: Section 4-16-13 of the ESMC is repealed:
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SECTION 12: "Table No. 1 — Permitted uses in residential zones" in Section 15-4A-1 of
the ESMC is amended as follows:
SECTION 13: CONSTRUCTION. This ordinance must be broadly construed in order to
achieve the purposes stated in this ordinance. It is the City Council's intent that the
provisions of this ordinance be interpreted or implemented by the City and others in a
manner that facilitates the purposes set forth in this ordinance.
SECTION 14: ENFORCEABILITY. Repeal of any provision of the ESMC does not affect
any penalty, forfeiture, or liability incurred before, or preclude prosecution and imposition
of penalties for any violation occurring before this ordinance's effective date. Any such
repealed part will remain in full force and effect for sustaining action or prosecuting
violations occurring before the effective date of this ordinance.
SECTION 15: VALIDITY OF PREVIOUS CODE SECTIONS. If this entire ordinance or its
application is deemed invalid by a court of competent jurisdiction, any repeal or
amendment of the ESMC or other city ordinance by this ordinance will be rendered void
and cause such previous ESMC provision or other the city ordinance to remain in full
force and effect for all purposes.
SECTION 15: SEVERABILITY. If any part of this ordinance or its application is deemed
invalid by a court of competent jurisdiction, the City Council intends that such invalidity
will not affect the effectiveness of the remaining provisions or applications and, to this
end, the provisions of this ordinance are severable.
SECTION 17: The City Clerk is directed to certify the passage and adoption of this
ordinance; cause it to be entered into the City of El Segundo's book of original ordinances;
make a note of the passage and adoption in the records of this meeting; and, within 15
days after the passage and adoption of this ordinance, cause it to be published or posted
in accordance with California law.
SECTION 18: This ordinance will take effect 30 days after its passage and adoption.
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PASSED AND ADOPTED this 5t" day of December, 2023,
ATTEST;
Tracy WeaveWeaveU City Clerk
APPROVED AS TO FORM::
�Yw
Mark D. He ley, City Attorney
Drew 1369fes, Mayor----,.,
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CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO )
I, Tracy Weaver, City Clerk of the City of El Segundo, California, do hereby certify that
the whole number of members of the City Council of said City is five; that the foregoing
Ordinance No. 1653 was duly introduced by said City Council at a regular meeting held
on the 7t" day of November, 2023, and was duly passed and adopted by said City Council,
approved and signed by the Mayor, and attested to by the City Clerk, all at a regular
meeting of said Council held on the 5th day of December, 2023, and the same was so
passed and adopted by the following vote:
AYES: Mayor Boyles, Mayor Pro Tern Pimentel, Council Member Pirsztuk,
Council Member Giroux, and Council Member Baldino
NOES: None
ABSENT: None
ABSTAIN: None
WITNESS MY HAND THE OFFICIAL SEAL OF SAID CITY this 6�1day of December,
2023.
TrUcy Weaver, City Clerk
of the City of El Segundo,
California
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