CUP FAQ

Question: What is a CUP?

Answer: A Conditional Use Permit (or "CUP") is a variance issued to the owner of a property, or more specifically to the property. The variance can be for anything, but in this context we are talking about a variance to allow the renting or leasing of a room or rooms with or without table for periods of fewer than thirty (30) consecutive days duration." This is a specific variation on the use of a residential property as a business. It is called "Transient Rental (Sec. 9-6.603 AMC)."

You will be applying for a Condition Use Permit for Transient Rental of your property.

Question: Issued to the Property?

This simply means that the CUP is issued to you, but remains with the property. If you sell the property, then the new owner will receive the property with the CUP still in effect. The new owner would have to get another business license, etc., etc. but not a new CUP.

Question: How do I get a Conditional Use Permit?

The first step is to get an application from the City of Avalon Planning Department and a copy of the standard requirements. Read the requirements and be sure you and your property meet these requirements.

If you don't meet the requirements, you can still apply, but expect an uphill battle.

Q: Are there any other requirements?

A: For one thing, the property cannot have been used as a year round rental in the past two years. If the home has been owner-occupied then this should not be a problem. You should check to see if the property has been rented in the previous two years. This may affect your getting the CUP or not. This question is on the CUP application.

The location is somewhat critical. Some neighborhoods have objected strenuously to CUPs being issued in their locale. Check with your real estate agent about possible organized objections. Generally the "flats", condo developments, and Hamilton Cove are no problem. On the "terraces" or hillsides there may be some organized objection. There is no legal basis for denying a CUP in these areas, but there will be some vocal local objections.

A copy of the "Standard List of Conditions for Transient Rental Conditional Use Permit" is on this web site.

A copy of the "Application for Transient Rental Conditional Use Permit" is on this web site.

Q: How much does it cost?

The application fee with the City of Avalon is $1000.00 Yes, that's a lot, but that is what they feel it costs them to accept and administer your application.

In addition you will need to get a City Business license and your tenants will pay Transient Occupancy Tax ("TOT") of 9% of the rent.

Q: To whom does the application go?

The application is processed by the Planning Department staff and is scheduled for a hearing at an upcoming Planning Commission meeting. The Commission must act on the permit within 30 days, or the application is accepted by default.

Take your application with the required fee to City Hall (Tel: 310.510.0220) or mail it to The City of Avaon, Planning Department, P.O. Box 707, Avalon California, 90407

If you are working with a management company, they may take care of submitting the application for you - contact tehm for information.

Q: What happens next?

A: In addition to scheduling a meeting, the Planning Department will publish a public notice of the property address and the applicant's name. This is the formal announcement of your intention to apply for a CUP and it is the opportunity for the public to learn about the application. The notice must appear before the meeting to permit all parties to respond.

Q: How should I manage the property?

A: CIPOA recommends that you use a rental agency to manage the property. They will be able to support your application and help you make the application and help you with the Planning Commission Meeting.

At this point you should try to locate people who support your application and ask them to write a letter of support to the City for your application. Property owners are the best source of letters of recommendation. Contact the rental agency that you plan to use, some other property owners, or the Catalina Island Property Owners Association (info@CIPOA.COM).

Q: When are the meetings? Who may attend?

The Planning Commission meets the third Wednesday at 7:00 PM, and is open to the public. The meeting is also broadcast on the local community service cable channel. They meet in the Municipal Court Room, next to the Public Library on Sumner Ave.

The general public may make comments. You, or your agent, will be asked to speak at the hearing, so plan to attend the meeting. There is not a late boat, so plan to spend the evening in Avalon. People may speak for or against the application. Letters are also accepted on the matter. The letters should be in the hands of the Planning Commission at least a week before the meeting is scheduled.

Q: How is the CUP approved?

A: The commission will call the item and the Commission may make brief remarks. Next, written correspondence is read and discussed. Finally the floor is opened to the public. Usually the first speaker is the applicant or his/her agent.

Be brief. State why you a want the CUP and why you meet the requirements. The commission may ask you questions too. Other members of the public may speak for or against the application. The public comment period then closes and the Commission continues its discussion.

When discussion is complete, a roll-call vote is taken, with each member voting to approve or deny the application. A simple majority is required for passage. If there is a tie, your application is not approved.

Q: What if my application is denied?

A: If your application is denied, you may appeal the Planning Commission decision to the City Council. You may appeal for any reason whatsoever. The City Council charges an appeal fee and your hearing will be scheduled before the City Council at an future meeting. You should look at why your application was denied, and try to mitigate those negative findings. If your application meets all the requirements, then you should try to strengthen your case for approval.

Q: When does the City Council meet?

A: Another cycle of announcements and public notices will start and a public meeting will be held. The City Council meets once a month on the second Tuesday of the month at 7:00 PM in the same location. Information that you want to submit should be submitted to the City Clerk at least a week before the meeting is scheduled.

Q: How does the City Council decide?

A: The council will call the item, as before, and discuss it. Usually there are planning commission members there to defend their positions. The public is invited to speak and you may state your case again. The council vote to pass must be a simple majority. If they deny the appeal then you must use the court system to try to enforce your right to get a CUP for your property. In any court case, you may be limited to the issues raised in the application and/or appeal process. You should check with an attorney if you feel that this issue may go to litigation.

If you win your appeal, ask the Council for your appeal fee back.

Good luck, CIPOA is here to help you - please join.