Solvang Municipal Code Ch. 5 Lodging Establishments

The city council, after public hearing, finds that the following facts are true:

A. That the hotel and motel industry is a very substantial factor in the economy of the city;

B. That the transient occupancy tax based upon the rent charged by a hotel or motel operator, is vital to the economic health and welfare of the city;

C. That on weekends and during other business periods, price signs are removed and higher prices are charged;

D. That complaints of price gouging and of limited services have been received;

E. That complaints of deceptive, misleading and unfair practices have been lodged against hotels and motels in the city;

F. That the overall fair and reasonable impression made upon the tourists in the city by the hotel and motel industry has and will be substantially reduced as a result of price gouging and other abuses and that such practices adversely affect the traveling public, the residents and businesses of the city, as well as the public at large;

G. That the large fluctuations in rental rates charged by hotels and motels make enforcement, regulation and collection of the transient occupancy tax difficult and uncertain;

H. That the regulation of hotel and motel rates is required to: (1) protect the traveling public from false and misleading practices; (2) protect the traveling public from price gouging; (3) protect the public health, welfare and economic viability of the residents and businesses in the city; (4) protect the economic vitality and welfare of the city; (5) protect the tax base for the transient occupancy tax and ensure that the proper amount of such tax is paid by the transients and hotel and motel operators.

(Ord. 87-74, 1987)

Unless a different meaning is clearly indicated from the context, the following terms, shall have the following meanings when used in this chapter:

Discount Rate.

Any rate which permits one or more persons to spend one or more nights at a hotel at a rate lower than the maximum rate.

Hotel.

Any hotel, inn, boardinghouse, lodging house, motel, rooming house or other structure or business maintained or held out to the public as a place where two or more sleeping or rooming accommodations are furnished to the public, whether with or without meals, for any period of less than 30 days.

Maximum Rate.

The maximum rate that a person would be charged for accommodations in any particular room in a hotel on any particular night.

Operator.

Any person who is a proprietor, owner, manager, lessee, sublessee or who acts in any other capacity and is in charge of the operation of a hotel.

Outdoor Sign.

Any sign visible to passersby whether the same shall be located within or without a hotel.

Person.

Any individual, firm, partnership, joint venture, association, corporation or other entity, group or combination acting as a unit.

(Ord. 87-74, 1987)

A. Maximum Rates. No operator of a hotel may post or maintain posted on any outdoor sign any rate for accommodations in that hotel unless the outdoor sign conforms to the following standards:

1. The sign indicates the maximum rate or maximum rates for all rooms or other rental units offered for rental;

2. The sign indicates the number of rooms or other rental units offered for rental at the maximum rate or maximum rates, and the days of the week such rates are offered for the rooms;

3. The sign indicates the number of persons accommodated at the maximum rate or maximum rates in the room(s) indicated.

B. Discount Rates. Providing that a hotel operator has complied with the provisions of subsection A of this section, the operator may also post, on the same outdoor sign, one or more discount rates or indicate that discount rates may be available, if the outdoor sign discloses with respect to such discount rate or rates:

1. The information required by subsection A of this section;

2. A brief statement of the conditions precedent to receiving such discount rate or rates.

C. Prominence. Any posted rate or descriptive data required by this chapter shall be in type and material of the same size and prominence as any other posted rate or descriptive data required by this chapter. Any sign posted or maintained by a hotel shall comply with all other applicable city ordinances, regulations and zoning requirements.

D. Posted Language. It shall not be permissible to state either a discount rate or a maximum rate as a rate per person or by stating a rate and indicating by legend or otherwise "and up."

(Ord. 87-74, 1987)

A. Initial Filing. Every hotel operator shall file with the city clerk a room rate schedule containing the information required to be posted on outdoor signs by section 4-5-3 of this chapter, irrespective of whether any signs are actually posted, as well as the following information:

1. The name and address of the operator of the hotel.

2. The name and location of the hotel.

3. A schedule of additional charges for kitchen facilities, extra beds or other items for which extra charges are made.

B. Amended Schedules. Room rate schedules filed pursuant to subsection A of this section may be amended by filing a new room rate schedule with the city clerk. A new schedule, however, will not go into effect until 15 days after its filing with the city clerk. Not more than one new schedule may be filed during any consecutive period of 30 days.

(Ord. 87-74, 1987)

A. Charges in Excess of Schedule or Posted Rates. It is unlawful for an operator to charge rental for any room in excess of: (1) the maximum rate(s) listed on the room rate schedule then in effect and on file in the office of the city clerk, or if the rental charged for a room is a discount rate, the applicable discount rate listed on such schedule; or (2) the maximum rate(s) posted pursuant to section 4-5-3(A) of this chapter or, if the rental charged for a room is a discount rate, the applicable discount rate posted pursuant to section 4-5-3(B) of this chapter. Subject to section 4-5-8 of this chapter, it is also unlawful for any operator to make any charges for any extras or services not listed on the schedule filed with the city clerk.

B. Prohibited Increases in Maximum Rate. It is unlawful for any hotel operator to post, charge or file a schedule with the city clerk containing a maximum rate for any particular room or rental unit which would be 5% greater than the maximum rate which could be charged for that same room or rental unit for the previous day's or night's accommodations. This provision shall not apply, however, to an increase in maximum rates effected by the filing of a new schedule of rates with the city clerk.

C. Compliance with Other Law. Nothing contained in this chapter shall be deemed to excuse or waive compliance by any hotel operator with the provisions of any other law of the state or any ordinance of the city.

(Ord. 87-74, 1987)

A. Posting.

1. A hotel operator must post in a prominent and conspicuous manner and in an area where persons are normally registered, a list of: (a) all rooms or other rental units offered for rental by the hotel; (b) the maximum rates, as well as discount rates, charged for each room when occupied by one person or by two persons; and (c) the rate charged for each additional occupant.

2. Every operator of a hotel shall post in every bedroom of the hotel a printed copy of Civil Code section 1863 and a copy of the then effective schedule required to be filed with the city clerk pursuant to section 4-5-3(A) of this chapter.

B. False or Misleading Practices. It is unlawful for an operator of a hotel, with the purpose or intent of misleading any person, to do any of the following:

1. Post or maintain posted any outdoor sign or any schedule of rates that is false, untrue or misleading;

2. File with the city clerk any false, untrue or misleading schedule of rates;

3. Post or maintain any false, untrue or misleading outdoor sign, including "No Vacancy," "Vacancy," "Full" or similar signs;

4. Utilize any other misleading practice, including, without limitation, the posting of any rates on any hotel other than the hotel for which those rates apply.

(Ord. 87-74, 1987; Amd. 2001 Code)

Nothing contained in this chapter shall be construed so as to require hotels to have outdoor signs.

(Ord. 87-74, 1987)

A. Nothing in this chapter shall be construed to prevent operators from charging rates that are less than those contained in the schedule on file with the city clerk or those posted on any outdoor sign.

B. The provisions of this chapter shall not apply to prices or rates charged for food, beverages or other goods delivered to a room for consumption by the occupants, commonly known as room service.

(Ord. 87-74, 1987)

Violation of this chapter is an infraction punishable as provided in section 1-3-2 of this code. Each and every day a violation continues shall constitute a separate offense. Violation of this chapter may also be enjoined by any court of competent jurisdiction.

(Ord. 87-74, 1987; Amd. 2001 Code)