Illegal Ojai Rentals Come Under Fire
By Tiobe Barron
Illegal residential rentals in Ojai came under fire Tuesday, as City Council members discussed their stance on what they call “vacation rentals.”
City officials say they have found numerous ads online for properties that are within city limits and in violation of the city’s policy on the “bed tax,” and estimate a loss of $30,000 to $60,000 per year through the illegal rentals.
According to an administrative report prepared by city manager Rob Clark, a “rental of a hotel room, time share, or any portion of any type of residential unit for less than 30 days is considered to be a transient rental and is subject to 10 percent occupancy tax. Owners of these units are required to obtain a business license and to collect and remit transient occupancy tax. Transient rental is not permitted in residential zones without first obtaining a conditional use permit from the Planning Commission.”
How to enforce the policy seems to be up for much debate. Options for fighting the alleged drain on city coffers range from citing those who have complaints filed against them, collecting back taxes, imposing a $1,000-per-day fine, and putting a lien on property as a last resort.
Ojai resident Bob Daddi warned the council to approach the proposed policy with extreme caution. “The fees are outrageous,” he said. “Before you go any further with this and turn it into a disaster, turn to the Fair Housing Act … I’m not asking you to give up money, I’m just asking you not to turn this into a circus … It’s more critical than our little Golden State Water issue. Get the money, get them to comply, charge them the fees, but just do it in a little bit different manner and I think it’ll work.”
Mayor Carol Smith, clearly flustered by Daddi’s remarks, was quick to defend her position. “I don’t like to be threatened,” she said before snapping at Daddi to take his seat. “That’s a big amount of money for us … (and) private property is private property … What can I say, (Daddi’s comments are) melodramatic.”
Councilwoman Carlon Strobel also weighed in on the topic. “For the city, this is almost a new program,” she said. “We need to put the policy in place before we can start enforcing it.”
Most council members seemed in agreement that any policy should be enforced across the board — rather than based solely on complaints — out of fairness to those who are in compliance. There also appeared to be a near-consensus on the need for more public input.
Seemingly more controversial and problematic was whether or not these types of rentals should be permitted within residential neighborhoods in Ojai at all. There was mention of extra wear on the roads due to increased traffic, and a burden on neighbors and neighborhoods due to noise, etc.
Ojai resident Doug Adrianson said he came to the council meeting expressly to thank the members for responding to a complaint he filed about his neighbor advertising his home as a vacation resort replete with a conference center, despite the fact that the neighborhood is not mixed-use.
“I want to thank council for putting some real teeth into this,” he said. “It’s about respect for neighbors, and for the law.”
Councilwoman Sue Horgan also interjected. “I’d like to shut them down,” she said. “Frankly, I don’t want to encourage them. I don’t think they are appropriate.”
Councilman Paul Blatz countered, saying, “I don’t think it’s appropriate to take out some sort of resentment on these types (of rentals) … If we’re going to allow them, we should be collecting taxes and allow public input. If not, we shut them down, let the public address their concerns.”
Resident Kenley Neufeld pointed out that these rentals do play an important function in our community, especially when an event takes place that fills all rooms at the legitimate inns and lodgings. Mayor pro tem Betsy Clapp echoed this sentiment, adding that Ojai has recently renovated the Libbey Bowl to draw larger crowds, and hotel rooms do fill up. Adrianson interrupted council members, after the allotted window for public comments had been closed, to express a clarification that he worried a blanket prohibition would damage Ojai.
“I’d be interested to know what the public’s feeling is on this,” said Blatz.
Horgan and Clapp mirrored this sentiment, and the council agreed to bring the policy back at a future date for further revision.
Other items of note at the meeting included a public hearing on an ordinance amending a section of the Ojai Municipal Code to allow a method for the public to submit their input in regards to whether or not a business is defined by the city as a “formula business,” essentially a chain store. Said Chamber of Commerce CEO Scott Eicher, “We must trust (these applicant businesses) but verify. There must be an instrument within the ordinance to verify (the information set forth by the applicant). The ease with which Best Western was granted eliminated the ordinance as we thought it would take effect. It took the guts right out of it.” Councilwoman Clapp agreed, saying, “It was ridiculous. It is an element that needs to be dealt with.”
It bewilders me, having lived in the Ojai valley in 1965-68 while teaching in Ventura and my husband was a deputy DA fresh out of law school. Same old, same old! I’m ‘a comin’ home! Maybe we could get someone to listen. Patricia Smith
Saw the “highly professional” meeting on TV. Wow! Did you Ojai residents actually elect her???? I think she needs a “Dealing with people you don’t agree with” seminar. Thought she was going to get up and spank Daddi.
Remember, the illegal rentals with all of the support people living in garages are in Meiners Oaks which does’nt answer to Ojai S#$%y Council. Next door to my house is a home (?) with about 25 people living in it. The rentals the S. C. are talking about are for rich tourists whose money the Council wants.
If you just made it legal, it wouldn’t be a problem. (A quote from the book “Stoner’s Logic.”)
Laura lee, if its tourism you are disgusted with then why say the City should leave the vacation rentals alone? You’re contradicting yourself.
During the past 20 yrs. I’ve had to deal w/ Ojai: the city has been a total rip off w/ greed it’s main theme. As a single mom raising 2 kids I’m disgusted how the spirit of Ojai has been evaporating right before my very eyes. Ojai only has tourism on it’s mind & is void of empathy for it’s soul & the people who live there.I think the city should leave the Vacation Rentals alone & spend more time regaining a heart.
sorryforthemisspells,
Tomorrow night listen to Bing Crosby, Oingo Boingo, and Tiny Tim singing “Tip Toe Through the Tulips” all at the same time, and that will really be a bingo!!!
Then you’ll really have a bingo! Actually throw “Bingo Was His Name O”, in just for a bit of spice… I garentee you’ll have some strange manefistations and visitors coming to your house!!! But don’t say you weren’t warned. Just like playing the Beatles #9 backward,s and saying Bloody Mary in a mirror in a dark room
Sorry for the misspells
Yovi,
Yesterday I watched A Christmas Carol and then listened to One Tin Soldier. Didn’t do it; nothing happened.
Last night I watched A Christmas Carol with the sound turned off while listening to One Tin Soldier on repeat on my iPod. Zilch.
Today -on a lark- I watched Billy Jack while listening to Bing Crosby’s White Christmas. Bingo. Home run.
Hi Lenny.
Not sure about within city limits, but outside city limits in county jurisdiction there are ordinances governing the number of people living in a single family residence.
Perhaps I was the one that blurred the line in the first place. Although the intent of my post was to encourage a consistent and fair enforcement of any legality regarding someone profiting by illegal measures (rentals). Whether short term or long term, SFR (single family residence) is supposed to be SFR for many reasons including the assumed “right to use” and enjoy certain benefits of living in a SINGLE FAMILY neighborhood as opposed to MULTI FAMILY arrangement (such as apartments). People spend ALOT of money to live in Ojai and purchasing a home in a SINGLE FAMILY neighborhood, expect their neighbors to be just that…ONE FAMILY. Again, I would think caution and consistency should be the guideline. Either enforce it all or leave it alone.
I wasn’t trying to frame anything. These comments started out being about circumventing the bed tax and morphed into a discussion about “illegal” granny flats, both issues worthy of discussion, but separate issues, which I thought people were confusing.
You have brought up a third issue, de facto boarding houses (people generally live there for more than 30 days so they are not subject to the occupancy tax). This is also an important issue, although I don’t think we are in any danger of becoming Oxnard or Tijuana.
I spoke at a few council meetings about ten years ago on behalf of some friends who lived next door to a house that had far too many people living there than made sense. I was told by city officials that there was nothing they could do about. I did some research on the question of whether cities could limit the number of non-related people who could live in an apartment or house and I no longer remember what I came up with.
Lenny Klaif, it sounds like you’re trying to frame the discussion in a manner that is about what’s good for the fiscal health of local government, while at the same time avoiding the social issues involved.
Let’s talk about the “social issues” Lenny. What are you going to do about all those houses filled with a big heaping serving of illegal (deleted), each with their own car, spilling onto local streets, or more likely parked on the lawn? Aren’t there laws against this sort of thing too? These are obviously not “family residences”, but rather are boarding houses, sometimes with multiple shifts using the same bed during a 24-hour period. Will you force these situations to pay an occupancy tax for running a boarding house?
Let’s be straight, Lenny: money for the city is important, but not as important as keeping Ojai from becoming an outpost of Tijuana or Oxnard. I think it’s time you started framing your arguments based on social order, and not just fiscal health.
I could be missing something (it has happened) but…I think folks are confusing two separate issues. The city council was discussing short term rentals; informal bed and breakfasts (or bed without breakfasts) not long term rentals of “illegal” units.
The problem with these “unregistered” b&bs is that the City does not collect the bed tax that registered hotels, motels, inns and b&bs collect. The bed tax is the largest revenue source for the City. In addition, the “unregistered” b & bs have a competitive advantage over the legal businesses as no taxes are collected.
So whatever you think about the issues it is helpful to at least have everyone discussing the same issue or be clear when we are discussing different issues.
One more thing… When times were good and thee so called illegal units were rented, most were rented to the service staff for the inns of Ojai. These were also claimed to have the privalige of being called the so called illegal aliens.
Yet the city council had not gripes or qualms over this issue. Now…who are thy targeting?
I hate to say it buy the one’s in the system are making a slight echo from many years past…Now that we are entering November…I guess it’s time to eliminate these vermon of society from Ojai. Especially since they cause extra wear to the roads, use our water that’s only fit for the true people of Ojai! Breed disease and pestulance,pervert our society, yadda yadda yadda…
I guess well see on November 9th and 10th…
Anyone renting a room, trailer, garage, or chicken coop better bu out of Ojai by then…
Mayor Carol Smith will call in the stormtroopers, and the orchestra will play the “Storm trooper March” at Libby bowl while it’s happening!
Let them eat cake!!!!
So..the city is upset over loss of revenue due to the illegal housing around town. I know a way that will bring in a lot of money…at least for a time…start ticketing the morons driving cars, riding bikes, and those peds who think that a car can stop on a dime who walk out in front of traffic without looking!!
Ooppsss…silly me: that would drive out all the L.A. “tourists” wouldn’t it? And…it would sure upset the locals who do the above.
David, If it comes down to you or the illegals, I take the latter. Anyway, we thought you had taken your millions & stumbled back to SB…
live in a garage, and you would never know it…I know of several famalies that do here , Ventura, and Santa Barbara. Half live in their garages and rent their houses, just so they can save money for their kids, and to keep their houses.
These are hard times, and the real message needs to be sent to the so called powers to be… Meanning you wish to make laws and make it hard… Well we can just vote you out, and perhaps your local banker may not be as forgiving with you. Or your mechanic, plumber, Doctor, candlestick maker or Indian Chief… When you run into problems…
Bottom line…If you live a good life, and give back to your community who should point fingers?
I think in this case anyone that wishes to disapline, harm, or vanquish someone in one of these rentals that stays under the radar should do one thing… Watch “A Christmas Carol”. and then listen to the song “One Tin Solder”.
Sorry for the misspells
The illegal rental owners should be deported back to L.A.
I agree that this issue needs to be considered very carefully. What is true is that there are LOTS and LOTS of “illegal” rentals, bootleg “granny flats”, “garage conversions” and other additional “alternative” living arrangements in many (most?) of the residential areas. This is not hard to figure out when the economy is in it’s current state and the rental rates are ridiculously high. People have to live somewhere (we KNOW we can’t park our RV’s on the streets either) so honestly, what’s a hard working family to do? Does everyone that is struggling have to leave Ojai to the well to do? Maybe so. Can Ojai come up with a solution for hard working or “down and out” families? Doubtful. Are affordable housing options available? NO. Can people afford their mortgage payments without the additional rental income? maybe, maybe not. Which would you rather have IMBY (opposite of NIMBY?) empty, foreclosed houses or extra inhabitants “helping” with the mortgage. This will be your choice Ojai depending on how you handle this situation.
Apparently we live in a town that is more concerned with “illegal rentals” than “illegal aliens”… wow. Folks, Ojai truly is The Twilight Zone.
Give me a break! Stinkin City always wanting to get in personal business of homeowners. Stay out of it. You just want to buck however you can get it. None of your business what people do with their homes.
So when the motels and inns are not filled then the illegal lodgings are in direct competition and because they’re illegal the playing field isn’t level. As pesky as the law is (unless it’s serving ME) the illegals should have to follow rules–most of us have to in one way or another or there’s a consequence, not only to us but for others in terms of safety, density, etc.
Typical Politicians, stick your hands as deep as you can into the “peoples” pockets. Is this tax even legal? Recall the Mayor…recall the City Counsel…they are outdated yuppies!!!
I think Bob Daddi’s recommendation should be taken seriously. If a bed tax is owed, it should be collected but approach the Fair Housing Act with caution.