The City’s response

We think the City has listened carefully to community voices asking for more information about overlays and for even greater flexibility in the Code. 

The City has:  

• Updated its FAQ page to provide detailed information to residents about the existing code and proposed Ordinance 1538 (see below). 

• Produced and distributed this infographic to explain the overlay rental restriction ordinances, and what they allow and prohibit. (The infographic does not mention guests, who can stay with homeowners without restriction. For more, see our FAQ page; this video clip of the City Attorney, explaining the guest provision; and this article in the Fall 2024 Dialog, also explaining the guest provision.)

• Created a new housing ordinance, Ordinance 1538, which retains the flexibility and progressive definitions from the existing Code, adds important updates, and reorganizes the relevant code so that it is much easier to read and understand. Highlights of the new Ordinance include:

• Medical care and In home care: Replaces the current “medically prescribed caregivers” with “medical care” and “in home care,” and eliminates the prescription requirement for this exemption. See § 7-62. 

• Domestic assistants: Replaces “domestic servants”—an outdated term—with “domestic assistants.” See § 7.82(6).

• Child care: Maintains the exemption but eliminates the minimum number of hours required for child caregivers. See § 7.82(4).

• Guests: Spells out the definition of “guest” with more clarity, to distinguish between guests who stay at houses with rental licenses and those who stay at houses that do not require rental licenses. See § 7-62. This does not change the existing definition; it just makes it easier to understand.

• Exchange students, Estate representatives, One- and two-family dwelling sales, and Religious occupancy: Retains the current definitions. See § 7.82(3)-(5), (7).

• House sitters: Eliminates the distinction between active duty military homeowners and those who aren’t on active duty, and expressly refers to the “exceptional circumstances” provision (see below) for those who need to extend the duration of the house sitting. See § 7-82(2).

• Rent: Defines “rent” and explains that “rent” includes more than money. See § 7-62. 

• Exceptional circumstances: Adds an “exceptional circumstances” provision for people who have situations that don’t fit neatly in the preexisting categories, and a straight-forward process to request an “exceptional circumstances” exception. See § 7-62.  Exceptional circumstances might exist, for example, when a homeowner needs to extend the term of their house sitter beyond two years. 

At the August 13, 2024 City Council meeting, the Council voted to introduce and refer this new ordinance to the Housing Commission. It is important to remember that a vote for EL Proposal 1 is not a vote for this new ordinance. Instead, this new ordinance will go through the ordinary legislative vetting process for zoning ordinances, and not the ballot box.