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HomeMy WebLinkAboutZ-629-17 Short Term Residential RentalsSponsor: Councilor Kimball ORDINANCE Z-629-17 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF CARMEL, INDIANA An Ordinance adding standards for Short Term Residential Rental Units in the Unified Development Ordinance. Synopsis: This ordinance adds review and approval procedures, definitions and fees for the establishment of Short Term Residential Rentals in the Unified Development Ordinance. WHEREAS, the people of the City of Carmel desire to uphold the property rights of citizens of the City who own real property located in Residential Districts; WHEREAS, a result of the unplanned conversion of Dwellings to business uses within Residential Districts and neighborhoods in the City, the quality of life of residents and neighborhood integrity may be negatively affected; WHEREAS, the conversion of Dwellings to Tourist Homes or other transient uses impacts especially on property values in long established residential neighborhoods; and WHEREAS, it is in the public interest that the conversion of Dwellings be reasonably regulated and that due process be provided to all affected property owners, in order to protect the rights of owners of buildings or subdivisions where conversions are proposed as well as to conserve property values in Residential Districts. WHEREAS, pursuant to the Advisory Planning Law of the State of Indiana (contained in IC 36-7-4), each unit of local government that wishes to adopt land use and zoning ordinances must first approve by resolution a comprehensive plan for the geographic area over which it has jurisdiction; and WHEREAS, pursuant to Indiana Code 36-7-4-602 the Common Council is authorized to amend the text of the unified development ordinance; and WHEREAS, pursuant to Indiana Code 36-7-4-610 and City of Carmel Ordinance D-2391-17, the Carmel Unified Development Ordinance is incorporated by reference into the Carmel City Code; NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of Carmel, Indiana, that, pursuant to IC 36-7-4-600 et seq. and after Docket No. 17100033 OA having received a favorable recommendation from the Carmel Advisory Plan Commission on Tuesday, December 19, 2017, it hereby adopts this Ordinance to amend the Carmel Unified Development Ordinance (Ordinance Z-625-17, as amended), to read as follows: Section I: Amend Article 11 by adding or amending the following definitions: Bed and Breakfast Inn: A private, owner -occupied business with two (2) to ten (10) guest rooms where overnight accommodations and a morning meal are provided to transients for compensation and where the Bed and Breakfast Inn is operated primarily as a business. A Dwelling that is occupied by a Permanent Resident where only one (1) guest room or group of rooms is made available to transients for compensation shall not be considered a Bed and Breakfast Inn. 01/08/2018 Ordinance Z-629-17 1 Dwelling: A Building, or portion thereof, used primarily as a place of abode for one or more Permanent Residents of the Dwelling, but not including Hotels or Motels, lodging or Boarding Houses, Bed and Breakfast Inns, or Tourist Homes. Home, Tourist: A Building, not occupied by a Permanent Resident, in which guest rooms are used to provide or offer overnight accommodations to transient guests for compensation. Resident, Permanent: A natural person who occupies a Dwelling for at least sixty (60) consecutive days with intent to establish the Dwelling as his or her primary residence. A Permanent Resident may be an owner or a lessee. Short Term Residential Rental Unit: A Dwelling, or portion thereof, that is rented or leased to transient guests by a Permanent Resident of the Dwelling for a period of less than thirty (30) consecutive calendar days. Section II: Amend Section 1.29 by adding filing fees for the BZA Hearing Officer as follows: • Special Exception $100.00 • Renewal of Special Exception $50.00 Section III: Amend Article 2 by adding Short Term Residential Rental as a Special Exception for the following Residential Districts: 2.03 S 1 District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 2.05 S2 District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 2.07 R1 District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 2.09 R2 District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 2.11 R3 District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 2.13 R4 District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 2.15 R5 District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 2.17 UR District Intent, Permitted Uses, Special Uses and Special Exceptions Residential Special Exception — Short Term Residential Rental 01/08/2018 Ordinance Z-629-17 2 Section IV: Amend Article 2 by adding Short Term Residential Rental as a Permitted Use for the following Non -Residential Districts: 2.23 B3 District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental 2.25 B5 District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental 2.27 B6 District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental 2.29 B7 District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental 2.33 Cl District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental 2.35 C2 District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental 2.37 UC District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental (upper floors only) 2.39 MC District Intent, Permitted Uses, Special Uses Residential Permitted Use — Short Term Residential Rental (2nd or higher floor only) Section V: Amend Article S by adding a new Section 5.72: Short Term Residential Use — Specific Standards: 5.72 US -26: Short Term Residential Rental Use -Specific Standards These Use -Specific Standards for Short Term Residential Rentals apply to the following districts: [INSERT ICONS FOR S1, S2, R1, R2, R3, R4, R5, UR] A. Purpose: It is the purpose of this Section to benefit the general public by minimizing adverse impacts on established residential neighborhoods in the City and the owners and residents of properties in these neighborhoods resulting from the conversion of residential properties to tourist and transient use. B. Special Exception Eligibility: A Permanent Resident of a Dwelling located in a Residential District may use the Dwelling as a Short Term Residential Rental Unit if: The Permanent Resident applies for and is granted a Special Exception, pursuant to Section 9.08 hereof. 2. The Permanent Resident maintains a valid Registered Retail Merchant Certificate; 3. The Permanent Resident posts a clearly printed sign inside his or her Dwelling on the inside of the front door that provides information regarding the location of any fire extinguishers in the unit and building, gas shut off valves, fire exits, or pull fire alarms; C. Required Information for Application: Both the initial application and any renewal application for a Special Exception permit shall contain the following: 01/08/2018 Ordinance Z-629-17 3 1. Information sufficient to show that the applicant is the Permanent Resident of the Short Term Residential Rental Unit, and that the applicant has a Registered Retail Merchant Certificate. Permanent residency shall be established by showing that the Unit is listed as the applicant's residence on at least two (2) of the following: motor vehicle registration; driver's license; voter registration; tax documents showing the unit as the applicant's primary residence for a standard homestead credit; or utility bill. A renewal application shall contain sufficient information to show that the applicant is a Permanent Resident and has occupied the unit for at least two hundred seventy-five (275) days of the preceding calendar year. 2. Primary and secondary emergency contact information, including mailing address, phone number or email address. Upon approval of a Special Exception, emergency contact information shall be shared with the Carmel Police Department. D. Limitations: The term of a Special Exception permit granted to a Permanent Resident shall be one (1) year. The grant of a Special Exception permit provides an exception only to the other requirements of this Ordinance. It does not confer a right to lease, sublease, or otherwise use a Dwelling as a Short Term Residential Rental Unit where such use is not otherwise allowed by law, a homeowners association agreement or requirements, any applicable covenant, condition, and restriction, a rental agreement, or any other restriction, requirement, or enforceable agreement. Nothing in this Section shall relieve any person or facilitator of the obligations imposed by any and all applicable provisions of state law and the Carmel City Code, including but not limited to those obligations imposed by Indiana tax laws and rules. Further, nothing in this Section shall be construed to limit any remedies available under any and all applicable provisions of state law and the Carmel City Code. E. Suspension of Section: The Mayor may, subject to approval by resolution of the Council, suspend operation of this Section for not more than thirty (30) days per calendar year, during periods of time when major sporting activities or other special events, including, but not limited to the Indianapolis 500, PGA Tournament, NCAA Tournament, or a large convention, are scheduled in the Central Indiana community. During these periods, a Permanent Resident may use his or her Dwelling as a Short Term Residential Rental Unit without obtaining a Special Exception permit. Section VI: Amend Article 9 by adding a new Section 9.08: Special Exception: 9.08 Special Exception A. General Information: Special Exception approval by a Hearing Officer of the Board of Zoning Appeals shall be necessary prior to the establishment of a Special Exception, so cited by the district regulations herein, or the issuance of an Improvement Location Permit for said Special Exception. A Special Exception shall be considered as an exception to the uses allowed under the Unified Development Ordinance, and thus the original application for a Special Exception shall not generally be entitled to favorable consideration; however, an application for the renewal of a Special Exception shall generally be entitled to favorable consideration, so long as it is not opposed by the Director of Community Services. A Hearing Officer shall have discretion whether to approve or deny each Special Exception application, with his or her decision to be based on the special and unique conditions pertinent to the site, determined as a result of the review procedure established herein. B. Procedure: 1. Procedure Generally: Whenever an application for a Special Exception within the planning jurisdiction is made, it shall follow the procedure set forth herein and shall conform to the regulations and requirements of the Unified Development Ordinance. 01/08/2018 Ordinance 2.629-17 4 2. Consultation with the Director of Community Services and Application: Applicants shall meet with the Director of Community Services to review the zoning classification of their site, review copies of the regulatory ordinances and materials, review the Special Exception procedures, and examine the proposed exception and development of the property. The Director of Community Services shall aid and advise the applicant in preparing the application and supporting documents as necessary. The applicant shall then submit two (2) copies of the written application form and all necessary supporting documents and materials. 3. Initial Review by the Director of Community Services: Docketing on Hearing Officer Agenda: Following the receipt of the written application and necessary supporting documents and materials by the Director of Community Services, the Director shall then review the materials solely for the purpose of determining whether the application is complete and in technical compliance with all applicable ordinances, laws, and regulations, and therefore entitled to be forwarded to the Board of Zoning Appeals. If the materials submitted by the applicant are not complete or do not comply with the necessary legal requirements, the Director of Community Services shall inform the applicant of the deficiencies in said materials. Unless and until the Director of Community Services formally accepts the Special Exception application as complete and in legal compliance, it shall not be considered as formally filed for the purpose of proceeding to succeeding steps toward Special Exception approval as hereinafter set forth. Within thirty (30) days of the formal acceptance of the application by the Director of Community Services, the Director shall formally file the application by placing it upon the agenda of a Board of Zoning Appeals Hearing Officer, according to the Rules of Procedure of the Board of Zoning Appeals. 4. Public Hearing: Once the Director of Community Services has accepted and filed the application with a Hearing Officer, a docket number shall be assigned and a date and time set for a public hearing by the Hearing Officer, according to the Rules of Procedure of the Board of Zoning Appeals. The applicant shall be responsible for the cost and publication of any required published legal notification of the public hearing. The applicant shall also notify all interested parties and property owners as required by the Rules of Procedure of the Board of Zoning Appeals; however, notice by publication shall not be required for the renewal of a Special Exception. The conduct of the public hearing shall be in accordance with the Board of Zoning Appeals Rules of Procedure. 5. Approval or Denial of the Special Exception Application: Upon approval of a Special Exception, the Hearing Officer shall inform the applicant that the applicant may apply to the Director of Community Services for Improvement Location Permits (if necessary) or may commence the Special Exception if no permits are required. Failure of the Hearing Officer to inform the applicant of the time limits set forth in Section 5.72(D) shall not relieve the applicant of complying with said Section. 6. Appeal of Hearing Officer Decision: A decision of a Hearing Officer shall not be a basis for judicial review, but it may be appealed to the Board of Zoning Appeals. The Board of Zoning Appeals shall conduct a new hearing on the matter and shall not be bound by any Findings of Fact made by the Hearing Officer. A person who wishes to appeal a decision of the Hearing Officer must file the appeal with the Board of Zoning Appeals within five (5) days after the decision is made, as provided in I.C. 36-7-4-924. 7. Time Limit for Re Application: A Special Exception application that is denied by a Hearing Officer or the Board of Zoning Appeals is ineligible to be placed again on an agenda for consideration until the legality of the decision is finally determined by a court, pursuant to judicial review according to the Advisory Planning Law, or for a period of twelve (12) months following the date of the denial, whichever is later. In addition, whenever a Special Exception application is denied, the property involved in the application shall not be the subject of a different Special Exception 01/08/2018 Ordinance Z-629-17 5 application, or any use variance or rezone proposal, for a period of six (6) months following the date of the denial. C. Basis of Review: A Hearing Officer, in reviewing a Special Exception application, shall give consideration to the particular needs and circumstances of each application and shall examine the following items as they relate to the proposed Special Exception: 1. Surrounding zoning and land use; 2. Access to public streets; 3. Driveway and curb cut locations in relation to other sites; 4. Parking location and arrangement; 5. Trash and material storage; 6. Necessary exterior lighting; and 7. Protective restrictions and/or covenants. D. Basis of Approval or Rejection: A Hearing Officer, in approving or rejecting a Special Exception application, shall base his or her decision upon the following factors as they relate to the above listed items (Section 9.08 (C) concerning the proposed Special Exception: 1. The economic factors related to the proposed Special Exception, such as costibenefit to the community and its anticipated effect on surrounding property values; 2. The social/neighborhood factors related to the proposed Special Exception, such as compatibility with existing uses in the vicinity of the premises under consideration and how the proposed Special Exception will affect neighborhood integrity; and 3. The effects of the proposed Special Exception on vehicular and pedestrian traffic in and around the premises upon which the Special Exception is proposed. E. Special Exception Decisions; Commitment: Pursuant to IC 36-7-4-1015, a Hearing Officer may, as a condition to any approval of an application for a Special Exception, require or allow the owner to make any or all of the following commitments concerning the use of the property: 1. That the Special Exception will fully comply with Section 5.72 Short Term Residential Rental Standards. 2. That the Special Exception will be limited to thirty (30), sixty (60), or ninety (90) days during a calendar year, at the discretion of the Hearing Officer. 3. If the Hearing Officer determines that a homeowners association or similar entity has established limitations or prohibitions that apply to the property, that the owner's implementation of the Special Exception will not result in the violation of any such limitations or prohibitions. Section VII: All prior Ordinances or parts thereof inconsistent with any provision of this Ordinance are hereby repealed. Section VIII: This Ordinance shall be in full force and effect from and after its passage and signing by the Mayor. 01/08/2018 Ordinance Z-629-17 6 ADOPTED by the Common Council of the City of C 7el, Indiana this day of G C41 2018, by a vote of � ayes and nays. UNCIL FOR THE CITY OF CARMEL ATTJW: Christine S. Pau y, Clerk- Presented by me to the Mayor of the City of Carmel, Indiana this l day of G h Int ' 2018, at M. C stine S. Paule ,Clerk-Treasur Approved by me, Mayor of the City of Carmel, Indiana, this 'day of 2018, at �2 yi -I M. es Brainard, Mayor Prepared by: Adrienne Keeling, Planning Administrator, One Civic Square, Carmel, IN 46032 01/08/2018 Ordinance Z-629-17 7