The City of Morro Bay is currently working to crack down on short-term rental violations and could increase fines.
The city currently allows up to 175 short-term residential zone rentals (STRs). Last year, in an effort not to exceed that number, the city paused the issuance of permits.
That resulted in a decrease of STRs, including residential, commercial and home shares, from 193 to 146.
- Residential STRs decreased from 173 to 112
- Commercial STRs increased from 9 to 30
- Home shares decreased from 11 to 4
Now, the city is looking into increasing the violation fee for illegally-operating STRs.
“Introducing an ordinance per SB 60, which allows cities and counties to increase the amount of the maximum citations for short-term rentals that pose health and safety issues,” said Community Development Director Airlin Singewald, at the Jan. 13 City Council meeting.
The current fines are not to exceed $100 for the first violation, $200 for the second within one year of the first, and $500 for each additional violation within a year.
The new ordinance would set those maximums at $1,500 for the first violation, $3,000 for the second, and $5,000 for additional violations.
“Well, I’m fine with short-term rentals but the rules need to be followed, I think, to truly make it a short-term rental," said Jack Smith, a Morro Bay resident for over 50 years.
He also said that he’s noticed an increase in short-term rentals over the years.
“I see so many houses that my friends grew up in and now they’re rentals. You can drive through the beach tract here and see vacation rental after vacation rental, either Airbnb or short-term rentals,” Smith said.
Bill Leonard has owned a home in Morro Bay for 24 years and said there are about four STRs near where he lives.
“The people are all polite and they don’t park their cars in the wrong places or anything and it seems to be perfectly okay,” Leonard said.
He wishes the city would focus on other issues.
“The important thing in this town is the infrastructure is terrible and if they just spend their time working on the infrastructure, getting the streets paved and things like that," Leonard said.
At the city council meeting, Singewald said there are currently 187 properties on the waitlist.
The city council will vote on the ordinance on Jan. 27.