HomeMy WebLinkAboutItem 12 - Short Term RentalsAM23-08.RCPH - STRs 1
TO: HONORABLE MAYOR, CITY COUNCIL MEMBERS
FROM: BRUNO RUMBELOW, CITY MANAGER
MATTHEW BOYLE, CITY ATTORNEY
ERICA MAROHNIC, DIRECTOR OF PLANNING SERVICES
MEETING DATE: DECEMBER 19, 2023
SUBJECT: REQUEST TO CALL A PUBLIC HEARING TO THE
COMPREHENSIVE ZONING ORDINANCE (82-73) TO
AMEND SECTION 12, SECTION 21, SECTION 22, AND
SECTION 56
RECOMMENDATION:
City Council to consider calling a public hearing to create and amend definitions in Section
12, Definitions; create use-specific standards in Section 21, Reserved.; allow a new short-
term rental use with a conditional use permit in Section 22, “R-MF”, Multifamily District
Regulations; and establish parking standards in Section 56, Off-Street Parking
Requirement regarding short-term rentals including associated regulations.
BACKGROUND:
It has been the City’s contention since 2017 that short-term transient rentals also referred
to as short-term rentals, are not now and have never been listed as a permitted use within
any zoning district within the City. Strict prohibition of short-term rentals occurs because
they are not accommodated under the existing definitions of single -family attached or
detached buildings. Operation of short-term rentals deteriorates single-family
neighborhoods with their influx of non -residents contributing greater amounts of traffic,
on-street parking, noise, litter, calls for emergency services, and public nuisances not
normally occurring and causing great disruption.
ISSUES:
There are instances where the City Council finds that enacting a permitting program for
short-term rentals will serve to balance the rights of all stakeholders through a fair and
balanced regulatory framework that permits short-term rentals in limited locations and
circumstances but ensures that the short-term rentals do not become a nuisance to
residential neighborhoods. Therefore, the draft ordinance attached seeks to strike a
balance and allow for short-term rentals within two existing multifamily districts with
approval of a conditional use permit and subject to conditions.
Attached is a draft draft ordinance illustrating the insertions proposed in various sections
of the Zoning Ordinance.
ITEM #12
ORDINANCE NO. __________
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS, AMENDING THE COMPREHENSIVE
ZONING ORDINANCE OF THE CITY OF GRAPEVINE,
TEXAS, SAME BEING KNOWN AS APPENDIX “D” OF THE
CITY CODE OF GRAPEVINE, TEXAS, AMENDING
SECTION 12, DEFINITIONS; SECTION 21, RESERVED;
SECTION 22, “R-MF”, MULTIFAMILY DISTRICT
REGULATIONS; AND SECTION 56, OFF-STREET
PARKING REQUIREMENTS REGARDING SHORT-TERM
RENTALS INCLUDING ASSOCIATED REGULATIONS,
AM23-08); PROVIDING THAT THIS ORDINANCE IS
CUMULATIVE; PROVIDING A SEVERABILITY CLAUSE;
PROVIDING A FINE OF UP TO $2,000.00 FOR EACH
OFFENSE IN VIOLATION OF THE ORDINANCE;
PROVIDING A SAVINGS CLAUSE; AND PROVIDING AN
EFFECTIVE DATE.
WHEREAS, the City of Grapevine is a home-rule municipality authorized to adopt
and enforce ordinances necessary to protect heath, life, and property to preserve good
government and the security of its inhabitants; and
WHEREAS, the City of Grapevine has adopted a comprehensive Zoning
Ordinance to regulate the location and use of buildings and land in full accordance with
Chapter 211 of the Local Government Code; and
WHEREAS, the City of Grapevine began examining the impact of short-term
rentals in 2017; and
WHEREAS, Section 92.001 of the Texas Property Code defines “dwelling” as one
or more rooms rented for use as a permanent residence under a single lease ….”; and
WHEREAS, Section 156.101 of the Tax Code establishes that a “permanent
resident” is one who has the right to use or possess a room in a hotel for at least thirty
30) consecutive days; and
WHEREAS, Section 156.051 of the Texas Tax Code imposes a tax applicable to
short-term rentals as a commercially taxable use of property; and
WHEREAS, short-term rentals are not now and have never been listed as a
permitted use within any Zoning District within the City; and
WHEREAS, there has been a proliferation of short-term rentals within residential
areas of the City; and
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Ordinance NO. ________ 2 AM23-08
WHEREAS, short-term rentals do not fit in or fall under the definition of single -
family attached dwelling or single-family detached dwelling under the Zoning Ordinance;
and
WHEREAS, short-term rentals in the City of Grapevine, with their attendant
traffic, parking, noise, litter, and the influx of non -residents into residential areas is
incompatible with the intent of residential districts in the City and the desires and
expectations of the City’s residents and is contrary to the long-standing character of the
community; and
WHEREAS, short-term rentals are not consistent with the character or nature of
single-family residential uses under the Zoning Ordinance; and
WHEREAS, short-term rentals are not suitable in residential neighborhoods, are
not compatible with residential uses, and the neighborhood adjacency of short-term
rentals in residential neighborhoods is harmful; and
WHEREAS, short-term rentals are destructive to the residential character of
single-family neighborhoods, by replacing long-term, permanent residents with a
revolving door of transients; and
WHEREAS, short-term rentals have a detrimental impact on the local housing
market by diminishing market supply and inflating the overall costs of housing; and
WHEREAS, in the absence of being listed as a permitted use in any Zoning
District, short-term rentals are prohibited under the City’s Zoning Ordinance; and
WHEREAS, short-term rentals in residential areas of the City pose a risk of
increased public nuisances, disruption of neighborhoods, and additional enforcement
related issues; and
WHEREAS, the City’s Police Department has responded to multiple calls for
service at known addresses of short-term rentals in residential areas of the City; and
WHEREAS, the calls for service attributable to short-term rentals in residential
areas of the City include noise, parking, trash, and disturbance complaints; and
WHEREAS, the increase in calls for service attributable to short-term rentals in
residential areas of the City result in an additional burden on the Police Department; and
WHEREAS, the City of Grapevine City Council has determined that it is a
necessity to regulate activities as provided for herein to safeguard the public; and
WHEREAS, the City Council of the City of Grapevine deems the passage of this
ordinance as necessary to protect the health, safety, and welfare of the public; and
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WHEREAS, the City Council of the City of Grapevine wishes to amend the zoning
ordinance regarding short-term rentals with certain stipulations; and
WHEREAS, the City Council finds that enacting a permitting program for short-
term rentals will serve to balance the rights of all stakeholders through a fair and balanced
regulatory framework that permits short-term rentals in limited locations and circumstance
but ensures that the short-term rentals do no become a nuisance to the residential
neighborhoods; and
WHEREAS, regulations requiring the registration and permitting of short-term
rentals in the City will allow the City to properly identify the location of short-term rentals
and to provide contract information for owners and agents of short-term rentals to aid in
responding to complaints and emergencies; and
WHEREAS, the City has received numerous complaints about short-term rentals
in the past six years from citizens who have contacted code enforcement, police and city
councilmembers about short-term rentals in their neighborhoods; and
WHEREAS, out-of-town guests staying at short-term rentals are often unfamiliar
with City ordinance regulations governing noise, trash collection, occupancy restrictions,
and parking, as those regulations vary by jurisdiction, and lack familiarity with the City’s
ordinances can contribute to guests violating City ordinances; and
WHEREAS, short-term rentals can often times become party houses where there
is an increase in activity of persons, traffic, and noise that are disruptive to the
neighborhood especially where the rental capacity of such short-term rentals is expanded
beyond traditional residential uses; and
WHEREAS, the City of Grapevine is authorized by law to adopt the provisions
contained herein.
WHEREAS, the City desires to implement those rules and regulations that protect
health, life, and property and that preserve good government, order, and security of the
City and its inhabitants; and
WHEREAS, all statutory and constitutional requirements for the passage of this
ordinance have been adhered to, including but not limited to the Open Meetings Act and
Chapter 211 of the Local Government Code.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS:
Section 1. That all matters stated herein above are found to be true and correct
and are incorporated herein by reference as if copied in their entirety
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Section 2. That Section 12 of the Zoning Ordinance, “Definitions” is hereby
amended to add definitions as follows.
ADVERTISE 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.
BOOKING SERVICE 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.
HOSTING PLATFORM 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.
HOUSEKEEPING UNIT A permanent residence as defined by Section 92.001 of
the Property Code. Housekeeping unit specifically excludes any short-term rental,
boarding house, lodging house, hotel, club, or any other use which is subject to the hotel
occupancy tax imposed by Section 156. 051 of the Texas Tax Code.
LEASEBACK An arrangement where the seller of a home leases the home back
from the purchaser. In a leaseback arrangement, the specifics of the arrangements are
typically made prior or immediately after the sale of the home.
MULTIFAMILY SHORT-TERM RENTAL The renting of a multifamily dwelling unit,
or any portion thereof, for a period of less than 30 days.
OPERATOR Any person or entity who has control of the property or dwelling unit.
RENTAL The renting, bartering, trading, letting or otherwise allowing the use of a
dwelling unit, or portions thereof, for compensation.
SHORT-TERM RENTAL The rental or offer for a rental of a dwelling unit, or any
portion thereof, for a period of less than 30 days. This term does not include a leaseback.
SINGLE-FAMILY SHORT-TERM RENTAL The renting of a single-family dwelling
unit, or any portion thereof, for a period of less than 30 days. This term does not include
a leaseback.
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Section 3. That Subsection 22(C) of Section 22 of the Zoning Ordinance – “R-
MF”, Multifamily District Regulations is hereby amended to add multifamily short-term
rentals to the list of uses allowed in the “R-MF” District subject to and conditioned upon
the issuance of a conditional use permit.
Section 4. That Section 21 of the Zoning Ordinance – “Reserved.” is hereby
renamed to “Short-term Rentals” and is amended as follows:
Short-term Rentals
A. Single-family short-term rentals are hereby prohibited. It shall be unlawful to
advertise for a single-family short-term rental in the City. It shall further be
unlawful to advertise for any short-term rental which does not have a valid
short-term rental permit issued under this Section.
B. Multifamily short-term rentals are allowed with the R-MF and RMF-2 Zoning
Districts, subject to the issuance of a conditional use permit.
C. A hosting platform or booking service cannot advertise or facilitate the rental of
a short-term rental unless such unit is permitted by a current short -term rental
permit. Any hosting platform or booking service must provide the City of
Grapevine a regular, written report on all short-term rental revenue collected
for short-term rentals in the City. Said reports must also include details of all
hotel occupancy taxes collected and remitted as to short -term rentals in the
City. Said reports must be submitted at least quarterly.
D. Short-term rentals must comply with the following conditions:
1. Short-term rentals are only allowed in multifamily complexes with at least
fifty (50) units.
2. Short-term rentals are not allowed within the Historic Grapevine Township
or within any Transit District Overlay.
3. Multifamily short-term rentals cannot be located in a complex whose
property line(s) falls within five hundred feet of any property zoned for
single-family use, including the R-5.0, R-7.5, R-12.5, R-TH, and R-20
Zoning Districts.
4. The operator of a short-term rental must be the owner of the property or the
representative of the owner.
5. The operator of a short-term rental must obtain a permit from the City of
Grapevine to operate the short-term rental. Said permits are non-
transferable.
6. The permit application requirements for a short-term rental are as follows:
a. A five-hundred-dollar ($500.00) application fee is required annually
for the permit; and
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b. The name, physical/street address, mailing address, facsimile
number, e -mail address, telephone number, date of birth, driver's
license number, of the operator and representative; and
c. If the operator 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-entity 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 ;
and
d. The name and website link to all internet platforms on which the
operator advertises or take reservations for lodging at the short-
term rental at any time during a 12 -month period from the date of
application , including the identity of any booking service or hosting
platform utilized for such short-term rental; and
e. Designation of a responsible party who will be available at all times
of the day or night for the short-term rental. Said responsible party
must be available and able to respond to incidents at the short-term
rental within sixty (60) minutes of being contacted; and
f. Total number of units and the unit numbers of the prop osed short-
term rentals; and
g. Proof of general liability insurance in an amount of not less than one
million ($1,000,000.00) per occurrence issued by a company or
companies licensed to operate in the State of Texas with a minimum
A- rating by AM Best throughout the term of the policy; and
h. House rules that the operator requires the renters to follow which
must follow this ordinance; and
i. The operator must notify the City of Grapevine in writing of any
material change in the information contained in the application for
a license within seven (7) days of the change, including but not
limited to a change of ownership; management; and advertisements
hosted on internet platforms ; and
j. Identify all off-street parking available for and dedicated to such
short-term rental(s); and
k. Any other certifications that are deemed necessary to establish proof
of compliance.
7. Multifamily short-term rentals can occupy no more than three percent (3%)
of the available units in the complex.
8. During the time the short-term rental is taking place, the renters of the unit
need to maintain a common household. Therefore, internal doors cannot
have key locks that exclude renters of the property from any rooms.
Everyone using the rental unit must have complete unrestricted access to
the entirety of the rental.
9. The operator of the short-term rental is only allowed to use the property as
a short-term rental for one hundred and eighty (180) days out of the
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calendar year. For one hundred and eighty (180) days the operator of the
rental must utilize or maintain the property without the operation of a short-
term rental.
10. The operator of the short-term rental cannot either directly or indirectly allow
the property to be physically converted to add bedrooms. Once the property
has been registered with the City as a multifamily short-term rental, that
property cannot add any bedrooms.
11. A short-term rental cannot be occupied or utilized by more than two (2)
people per bedroom or twelve (12) persons overall during any given rental
period.
12. A short-term rental cannot be advertised to or host more than twelve (12)
people staying overnight at the property with a maximum occupancy of two
2) people per bedroom.
13. The sound level at a short-term rental may not exceed sixty-three (63)
decibels when measured at the dividing line or property line between the
short-term rental unit or property and its neighboring property or unit.
14. There can be no outside congregation at a short-term rental between 10:00
p.m. and 9:00 a.m.
15. Each short-term rental must provide at least one off -street parking space
each for the greater of: 1) each bedroom or room where sleeping quarter s
are provided; and 2) every two (2) guests in the short -term rental’s
advertised capacity.
16. On street parking is prohibited for any renters or guests of a short-term
rental.
17. A short-term rental must be available for a minimum rental period of twenty-
four (24) hours.
18. A short-term rental cannot be utilized for any special events such as
banquets, bachelor or bachelorette parties, weddings, receptions, concerts,
or any other similar events.
19. Permit Suspension or Revocation. The City reserves the right to suspend
or revoke a short-term rental in the event the operator or address accrues
three or more violations of this ordinance or any other ordinance of the City
of Grapevine during a calendar year. A violation shall include any written
notice of violation, citation, or other or other documentation of a violation.
Additionally, the City may suspend or revoke a short-term rental permit in
the event of any single, severe ordinance or criminal violation, including but
not limited to criminal arrests. Such determinations may be made by the
staff of the City of Grapevine. These remedies are in addition to all other
remedies and enforcement options available to the City, including but not
limited to the issuance of citations and/or the filing of suit pursuant to
Chapter 54 of the Local Government Code.
20. In the event of the revocation of a short-term rental permit, the operator
cannot apply for any additional short-term rental permits for two (2) years.
21. If a short-term rental permit is denied, suspended, or revoked, the applicant
or operator can appeal to the City of Grapevine City Manager’s office within
thirty (30) days of receiving notice that that permit was suspended, revoked,
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or denied. The final decision of the City Manager’s office can be appealed
to the Board of Zoning Adjustment. During any such appeal, the applicant
shall not be authorized to operate a short-term rental.
Section 5. That Subsection 56(C)(1) of Section 56 of the Zoning Ordinance –
Off-Street Parking Requirements is hereby amended to add multifamily short-term rentals
to the list of uses that are required to provide a minimum number of parking spaces
subject to and conditioned upon the issuance of a conditional use permit.
C. NUMBER OF PARKING SPACES REQUIRED: Multi-use projects shall have
aggregate parking requirements. The minimum number of off -street parking spaces
required shall be as follows:
1. RESIDENTIAL:
USE NUMBER OF PARKING
SPACES
REQUIRED FOR EACH
Single-family dwellings:
attached, detached,
townhouse, duplex
2 Dwelling Unit
Mobile home subdivision 2 Dwelling Unit
Apartment, Condominiums,
triplex, fourplex
2 Dwelling Unit
Motel or Hotel 1 parking space per guestroom for a hotel/motel with no
restaurant or meeting facilities; 1.25 parking spaces per
guestroom of a hotel/motel with restaurant or meeting
facilities. The minimum number of parking spaces may
be varied subject to and conditioned upon approval of a
conditional use permit, pursuant to Section 48 of this
ordinance and an approved site plan.
Multifamily Short-term
Rental
At least one off-street parking space each for the greater
of:
1) each bedroom or room where sleeping quarters are
provided; and
2) every two (2) guests in the short-term rental’s
advertised capacity.
Section 6. That the City of Grapevine staff is hereby directed to proceed with
the development and implementation of a notice and enforcement initiative as to short-
term rentals.
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Section 7. If any section, article, paragraph, sentence, clause, phrase or word
in this ordinance, or application thereto any person or circumstance is held invalid or
unconstitutional by a Court of competent jurisdiction, such holding shall not affect the
validity of the remaining portions of this ordinance; and the City Council hereby declares
it would have passed such remaining portions of the ordinance despite such invalidity,
which remaining portions shall stay in full force and effect.
Section 8. The fact that the present ordinances and regulations of the City of
Grapevine, Texas are inadequate to properly safeguard the health, safety, morals, peace,
and general welfare of the public creates an emergency which requires that this ordinance
become effective from and after the date of its passage, and it is accordingly so ordained.
Section 9. Any person violating any of the provisions of this ordinance shall be
deemed guilty of a misdemeanor and upon conviction thereof shall be fined in a sum not
to exceed Two Thousand Dollars ($2,000.00) for each offense . Each day on which a
reported violation is committed will be deemed a separate offense.
Section 10. All ordinances or any parts thereof in conflict with the terms of this
ordinance shall be and hereby are deemed repealed and of no force or effect.
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ITEM #12
Ordinance NO. ________ 10 AM23-08
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS, on this the ____ day of ______________, 2023.
APPROVED:
Mayor
William D. Tate
ATTEST
Tara Brooks
City Secretary
APPROVED AS TO FORM:
City AttorneyDR
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