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HomeMy WebLinkAboutORD 236ORDINANCE NO. 236 AN ORDINANCE OF THE CITY OF PALM DESERT, CALIFORNIA, DECLARING AN EMERGENCY AND PROHIBITING AND PLACING A MORATORIUM ON TIME-SHARE PROJECTS IN ANY ZONE WITHIN THE CITY OF PALM DESERT. THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, DOES HEREBY ORDAIN, AS FOLLOWS: SECTION 1. URGENCY. This Ordinance is adopted as an urgency measure pursuant to the authority of Section 65858 of the Government Code of the State of California, to institute a moratorium upon establishment within the City of Palm Desert of any "time-share" or "interval ownership" project. The nature of the emergency justifying the adoption of this Ordinance as an urgency measure is that a number of time-share or interval ownership projects are being developed or proposed for development within the City at a time when the extent of needed control, the effect of existing zoning controls, the effect upon transient occupancy tax revenues, and the nature of sales and promotional techniques to be used, all remain uncertain. Each of such matters is or may be contrary to the public health, safety and welfare. SECTION 2. DEFINITIONS. Time-share Project shall mean one wherein a purchaser receives the right in perpetuity, for life, or for a term of years, to the recurrent, exclusive use or occupancy of a lot, parcel, unit, room(s), or segment of real property, annually or on some other seasonal or periodic basis, for a period of time that has been or will be allotted from the use or occupancy periods into which the project has been divided and shall include, but not be limited to time-share estate, interval ownership, vacation license, vacation lease, club membership time-share, and time-share use, as hereinafter defined. -1- Time-share Estate shall mean an ownership or leasehold estate in property devoted to a time-share fee (tenants in common, time span ownership, interval ownership) or a time-share lease. Interval Ownership shall mean the buyer owns a unit during a stipulated period of time for a specified number of years, or in perpetuity, generally including a provision that at the end of the useful life of the building, or at the end of the time span, ownership becomes tenancy in common with all other owners of the real property of which the unit is part. Vacation License shall mean a right granted to a buyer to use a unit for a specified time period for a term of years, or useful life of the building. The buyer may or may not be permitted to sell his license. Vacation Lease shall mean a lease on a particular unit, which entitles the lessee to a fixed annual period of occupancy. Club Membership Time-share shall mean a concept where a buyer purchases a club membership which allows a right to occupy a unit for a specified period of time each year. The club is a nonprofit association, purchasing or leasing structure(s) for the benefit of club members. Time periods may be fixed or selected annually. Time-share Use shall mean any contractual right of recurrent periodic exclusive occupancy which does not fall within the definition of a "Time-share Estate" including, but not limited to, a vacation lease, vacation license, club membership, limited partnership or vacation bond. SECTION 3. MORATORIUM. A ninety (90) day mora- torium is hereby established within which to initate a study to ascertain the magnitude of the potential problems in the concept of "time-share" projects within the City of Palm Desert and to develop controls in compliance with State Law for the following purposes: -2- a. The "time-share" concept is a transient type of activity and has no apparent local control under the City's current ordinances. A study is needed to determine the compa- tability of this concept with the City's existing residential zoning classifications to insure protection of the public's health, safety and welfare. b. The relationship between the "time-share tourist type use and the City's existing Transient Occupancy Tax needs to be studied and resolved. C. The communications involved in the promotion of the "time-share" concept and sales of time-share units within the City may require restrictive legislation to prevent high pressure sales tactics and other possible impositions upon the public. Additional time is necessary to study and propose means and methods of control for the promotion and sale of "time-share projects" and/or vacation licenses. SECTION 4. ZONES PROHIBITING TIME-SHARE PROJECTS. During the period of the above stated moratorium, time-share. projects shall not be a permitted use in any zone in t141 City of Palm Desert. SECTION 5. EXCEPTIONS. This Ordinance shall not affect time-share projects for which approved permits from the State Department of Real Estate have been issued or projects in which units have been lawfully sold or offered for sale to the public, at the date of adoption of this Ordinance. SECTION 6. EFFECTIVE PERIOD OF ORDINANCE. This Ordinance shall remain in effect for a period of ninety (90) days from the date of adoption unless sooner repealed or otherwise modified, and subject to any extension of the time period, pursuant to and in accordance with Section 65858 of the Government Code of the State of California. -3- SECTION 7. This Ordinance shall be in full force and effect immediately upon adoption by at least a four - fifths vote of the City Council. SECTION 8. The City Clerk shall certify to the passage of this ordinance and shall cause the same to be posted as required by law. PASSED, APPROVED and ADOPTED by the City Council of the City of Palm Desert, California on the 4th day of December, 1980, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: Newbrander, Puluqi, Snyder & Wilson None: McPherson None ATTEST: "— SHEILA R. G LIGANCITY CLERK CITY OF PALM DESER , , CALIFORNIA