Santa Ana officials are joining a host of OC cities in cracking down on short-term rentals, more commonly known as Airbnbs, and explicitly banning them from town amid noise complaints and parking problems.
City council members voted unanimously Tuesday on an urgency ordinance to explicitly ban short-term rentals amid pushback from a host of residents operating the rentals, who argued that it was a way for them to make money and afford their bills.
The ordinance went into effect Tuesday night.
The decision in Santa Ana comes as cities in the county like Costa Mesa, Garden Grove and Irvine have an outright ban on short-term rentals, while others like Fullerton, Newport Beach and Orange have put in place regulations, caps and required permits on the Airbnbs.
Most Santa Ana officials Tuesday voiced support for the ban, arguing that short-term rentals are impacting residents’ quality of life and reducing the city’s supply of homes during a statewide housing crisis.
“I feel for the few that live on the property and are trying to make extra income, but a majority of ones proliferating are causing problems in our neighborhoods and that is a fact,” said Councilman David Penaloza during Tuesday’s meeting.
Mayor Valerie Amezcua and Council members Phil Bacerra and Thai Viet Phan voiced support for allowing short-term rentals to operate within the city down the road if regulations were to be put in place.
Phan expressed worry for people who live on site and rent out a room for a couple of days to help pay for bills, saying the problem was landlords and companies who see short-term rentals as a “cash cow.”
“Our residents don’t want that kind of business, but I’m not going to take away an opportunity from a family that’s trying to make the mortgage work. I’m not going to take away the opportunity from grandparents who want to have the opportunity to hold on to their house,” she said.
Councilwoman Jessie Lopez said that she doesn’t want to be punitive to people who rely on that income, but the city can’t ignore what’s happening in its neighborhoods.
She also said that clarifying that there is a ban on Airbnbs in the city was the first step in a process to bring stakeholders together and look at possible regulations.
“This is a very nuanced conversation, I think that all of those little details need to be figured out. They should not happen here right now,” she said.
Councilman Johnathan Hernandez said Santa Ana is not ready for short-term rentals.
“At this moment, the time is not now. In order for something like this to be reasonable, fair and equitable, workers have to be at the table. Stakeholders have to be at the table,” he said.
The council also voted 4-3 on a regular ordinance banning short-term rental that will come back for a second vote. Amezcua, Bacerra and Phan were the dissenting votes.
To Ban or Not to Ban Short-Term Rentals?
City staff said short-term rentals have always been banned in Santa Ana and the ordinance was intended to clarify the prohibition against Airbnbs and short-term rentals.
A city staff report noted that there are more than 1,100 active short-term rental units across Santa Ana based on data collected from multiple online platforms.
According to the report, the rental units make up 35% of the city’s housing needs under California’s Regional Housing Needs Allocation, which calls for 3,137 permanent housing units added by 2029.
Mihn Thai, director of planning and building, said that the city had identified 112 active rental enforcement cases, with a majority of units owned by an LLC or owned by a property management company with an offsite landlord.
Some residents urged city leaders to consider regulations for these kinds of rental units versus an outright ban.
Sheri Menke, a Santa Ana homeowner and short-term rental host, said renting out her home allows her to earn income to support her family. She added that renting out her property also provides a cheaper alternative for larger families unable to afford hotels when traveling.
“By introducing a rushed ordinance to restrict short-term rentals, the city is acting contrary to well-established case law in California and ignoring due process in community input,” Menke said during public comment.
Proponents of the ban – including members of Unite Here Local 11, a union made up of hotel, restaurant and airport workers – argued short-term rentals raise rents, increase the cost of living within the city and cause a variety of disturbances in local neighborhoods.
Jonah Breslau, a researcher for the union, said that union workers “are suffering from the housing crisis.”
“Many cities in Orange County have already passed strict regulations on short-term rentals because they recognize that short-term rentals remove long-term housing from the market,” he added.
Hugo Rios is a Voice of OC intern. Contact him at hugo.toni.rios@gmail.com or on Twitter @hugoriosss
Hosam Elattar is a Voice of OC reporter and corps member with Report for America, a GroundTruth initiative. Contact him at helattar@voiceofoc.org or on Twitter @ElattarHosam.
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