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Item 4I M E M O R A N D U M January 8, 2018 To: Mayor and City Council From: Ken Baker, AICP – Sr. Director of Planning & Development Services Subject: Ordinance No. 1187, 1st Reading, Prohibition of Short Term Rentals, Amending Chapter 11 of the Southlake Code of Ordinances "Offenses and Miscellaneous Provisions" to create a new article VI "Short Term Rentals (STR)". Action Requested: Approve on 1st reading Ordinance No. 1187 which prohibits short term home rentals (STR) in the City of the Southlake. Background Information: Over the past several months, the City Council held two work sessions to discuss and receive public input on short term home rentals in the City of Southlake. Below is a summary of the two work sessions. September 5, 2017 On September 5, 2017, the City Council held a work session on STR properties. At the work session staff provided an overview on the manner in which the City currently regulates STR properties, provided examples on how other cities regulate STR properties, and provided an overview on proposed State regulations considered but not passed into law that would prevent Texas Cities from banning STRs less than 30 days. Also, during the work session the City Council allowed the public to comment on STR properties. City Council instructed staff to set up a work session on November 7th to further discuss the possible regulatory options in more detail. Also, within in a few days of this work session, the staff set up a “STR” page on the City’s web site to keep the public informed on this topic and allow for written comments to be submitted to the City. 2 November 7, 2017 On November 7, a City Council held a work session was held to further discuss possible approaches to the regulation of residential units that are used as short term rentals (STRs). Staff presented three (3) possible STR regulatory options to the City Council for consideration. Following the work session discussion, City Council instructed staff to prepare an ordinance for consideration that prohibits the short term rental of property in the City. A SPIN meeting on the proposed ordinance was conducted on Tuesday, January 9th. Proposed Ordinance Attached to the document is the proposed ordinance which will prohibit the short term rental of property in the City of Southlake. An audio Powerpoint providing an overview of the proposed ordinance is provided in the packet. Also, written public comments are provided electronically in your packet. Financial Considerations: None Strategic Link: Serve Our Customers – Corporate Objective C1 & C3 Legal Review: The ordinance is under review by the City Attorney Alternatives: The City Council may approve or deny this ordinance. Citizen Input/ Board Review: City Council Work Sessions held September 5, 2017 & November 7, 2017. SPIN meeting held January 9, 2018. Supporting Documents: Draft Ordinance 1187 Public Comments on STR properties KMB/kmb