37-39 Priest Street

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~~P''~`'~~~ SAN FRANCISCO

a PLANNING DEPARTMENT
ao?bds
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September 17,2015
1650 Mission St.

Suite 400
San Francisco,
CA 94103-2479
Patricia Barlow
1611 Jackson Street
San Francisco, CA,94109
Reception:
415.558.6378
Fax
415.558.6409
NOTICE OF DECISION
SF Administrative Code Chapter 41A Short Term Residential Rental
Site Address:
Assessor's Block/Lot:
Zoning District:
Complaint Number:
Hearing Officer:
Planning
Information:
415.558.6377
37-39 Priest Street

0215/029
RH-2(Residential-House,Two-Family)Zoning District
13375_ENF
Adrian C. Putra,(415)575-9079 or [email protected]
DECISION
The Director's appointed hearing officer, Adrian C.Putra, has determined that Patricia Barlow, the owner
of 37-39 Priest Street has violated Administrative Code Chapter 41A for illegally offering and/or
operating three dwelling units for rent as a Tourist or Transient use (a.k.a. short-term rental). The details
of the violation and decision are discussed below.
This decision is based on the entirety of the record before the hearing officer, including but not limited to
testimony of witnesses and the responsible party and information submitted by Planning Department
staff, the responsible party/ies, and other witnesses. The record may be found at 1650 Mission Street,
Suite 400, San Francisco. Although factual information from the record is summarized below, this
decision is based on the record as a whole.
DESCRIPTION OF VIOLATION
The subject property contains three dwelling units (37 Priest, 37A Priest, and 39 Priest Streets). T'he
Planning Department received a complaint on July 30, 2014, alleging that the property has been converted
to short term rentals.
UNLAWFUL CONVERSION
Chapter 41A of the San Francisco Administrative Code prohibits the offering of residential units for
Tourist or Transient use (which is a rental for less than 30 days), unless the units are registered on the
Short-term Residential Rental Registry. Under Administrative Code Section 41A.6, if the Hearing Officer
determines that a violation has occurred, an administrative penalty shall be assessed as follows:
www.sfplanning.org
37-39 Priest Street

Complaint No. 13375_ENF
Chapter 41A Notice of Decision

September 17,2015
1. For the initial violation, not more than four times the standard hourly administrative rate of
$121.00 for each unlawfully converted unit, or for each identified failure of a Hosting Platform to
comply with the requirements of subsection (g)(4), per day from the notice of Complaint until
such time as the unlawful activity terminates;
2. For the second violation by the,same Owner(s), Business Entity, or Hosting Platform, not more
than eight times the standard hourly administrative rate of $121.00 for each unlawfully converted
unit, or for each identified failure of a Hosting Platform to comply with the requirements of
subsection (g)(4), per day from the day the unlawful activity commenced until such time as the
unlawful activity terminates; and
3. For the third and any subsequent violation by the same Owner(s), Business Entity, or Hosting
Platform, not more than twelve times the standard hourly administrative rate of $121.00 for each
unlawfully converted unit or for each identified failure of a Hosting Platform to comply with the
requirements of subsection (g)(4) per day from the day the unlawful activity commenced until
such time as the unlawful activity terminates.
COMPLAINT AND SUPPORTING DOCUMENTS

On July 30, 2014, Planning Department staff received a complaint that the subject property was
converted to short term rentals. Planning Department staff investigated the complaint under Planning
Code Section 176 and found that all three units at the subject property were being offered as short-term
rentals on a nightly or weekly basis through hosting platform websites Airbnb (www.airbnb.com) and
VRBO (www.vrbo.com). Planning Department staff has worked to bring this property into compliance
utilizing the enforcement mechanisms under Planning Code Section 176 with no success.
On June 29, 2015, staff investigated the complaint under Administrative Code Section 41A and found that
three dwellings at the property were advertised on Airbnb for short term rental.
NOTICE OF COMPLAINT AND APPARENT VIOLATION

On June 30, 2015, staff issued a Notice of Complaint to the property owner by certified and non-certified
mail.
On July 1,2015, staff posted a notice at the subject property notifying the property owner of the hearing.
PRE-HEARING SUBMISSION
Staff received a mailed packet from the property owner on July 16, 2015. The packet contained an email
from Airbnb to the property owner, addressing her inquiry regarding the compan~s new user
agreement. The packet additionally contained a copy of the company's terms of service that were
updated on July 9, 2015.
ADMINISTRATIVE HEARING
On August 19, 2015, the hearing officer convened the administrative hearing. All testifying witnesses
were sworn in and the hearing was audio recorded. The hearing was attended by the following people:
SAN FRANCISCO
PLANNING DEPARTMENT
37-39 Priest Street

Complaint No.13375_ENF

September 17, 2015
Mr. Adrian Putra, hearing officer

Ms. Audrey Butkus, staff planner
Ms.Patricia Barlow, property owner
Ms. Butkus,staff planner gave the following testimony:

On June 29, 2015, staff located the listings on Airbnb advertising all three units.at the property for
short term rental.
On July 3, 2015, staff found that all of the listings for the property on Airbnb were removed.
On July 6, 2015, Ms. Barlow called Ms. Butkus and left her a voicemail inquiring about the Notice
of Complaint.
On July 7, 2015, Ms. Butkus spoke with Ms. Barlow via telephone during which Ms. Barlow
agreed to remove any remaining online presence of the subject property and stated a desire to
come into compliance with Administrative Code Section 41A.
Ms. Barlow, property owner, gave the following testimony:
Ms. Barlo~s dwelling units at Priest Street are no longer listed on Airbnb and that she has no
outstanding reservations for the property.
Ms. Barlow's listings on Flipkey (www.flipkey.com) were modified to require a one month
minimum stay.
Ms.Barlow's listings on VRBO were removed prior to June 30,2015.
That 37A Priest Street was occupied by an individual from May 27, 2015 to August 10, 2015 and is
currently vacant.
That 37 Priest Street is currently occupied by a couple on a 33 day lease.
That 39 Priest Street is currently occupied by an individual who will be staying at the property
long term beginning in October of 2015.
That 37 Priest Street did have an individual stay on a short-term basis after June 30, 2015, because
Ms. Barlow was unable to cancel her Airbnb reservation.
POST-HEARING SUBMISSION
Ms. Barlow submitted a packet of additional information on August 26, 2015. A summary of the
information of the submittal is below:
Two email correspondences from Airbnb representatives inquiring about separate reservations at
the property that were cancelled by NIs. Barlow.
A list of Airbnb reservations printed on August 19, 2015, showing all of the cancelled short-term
rental reservations for 37, 37A and 39 Priest Streets that were to take place between August 1,
2015 and February 8, 2016.
An Airbnb booking confirmation for an individual that stayed at 37 Priest Street from July 2, 2015
to July 14, 2015.
A rental agreement for an individual to stay at 37 Priest from July 15, 2015 to August 15,2015.
A rental agreement for a couple to stay at 37 Priest Street from August 15, 2015 to September 17,
2015.
FINDINGS
Based on the review of the record as a whole, the hearing officer finds as follows:
SAN FRANCISCO
PLANNING DEPARTMENT
37-39 Priest Street

Complaint No.13375_ENF

September 17, 2015
1. The dwelling at 37A and 39 Priest Streets were offered for Tourist or Transient use until at least
July 2,2015.
2. The dwelling at 37 Priest Street was offered and/or operated as an unauthorized Tourist or
Transient.use until at July.14, 2015.
3. T'he dwellings at 37, 37A, and 39 Priest Streets are not currently being offered for Tourist or
Transient use.
CONCLUSION AND ORDER

Based on the above findings and the evidence in the record as a whole,the hearing officer determines that
dwellings at 37A and 39 Priest Streets were offered for Tourist or Transient use through July 2, 2015, in
violation of Administrative Code Chapter 41A. Additionally, the hearing officer determines that the
dwelling at 37 Priest Street was offered and/or operated as a Tourist or Transient use through July 14,
2015, in violation of Administrative Code Chapter 41A. Because this is an initial violation, the hearing
officer may assess administrative penalties from the date of the Notice of Complaint(here June 30, 2015)
until the date the violation is cured (here July 2, 2015 for 37A and 39 Priest Streets, and July 14, 2015 for 37
Priest Street) on both a per diem and per -unit basis. Thus, by this determination the hearing officer
assesses administrative penalties against the property owners for a total of 21 days (three days each for
the units at 37A and 39 Priest Street and 15 days for the unit at 37 Priest Street) at a rate of $484 per day.
Accordingly, administrative penalties for the total amount of $10,164.00, is now due to the Planning
Department. Please submit a check for the total amount of $10,164.00, payable to "Planning
Department Code Enforcement Fund" immediately. Please be aware that curing the violation of
Administrative Code Chapter 41A does not absolve the owner of accrued penalties for the violation
assessed when enforced under Planning Code Section 176.
Sincerely,
f-',~
~~.
Adrian C.Putra
Hearing Officer
CC: Audrey Butkus,Planner, Office of Short Term Rentals, City &County of San Francisco
SAN FRANCISCO
PLANNING DEPARTMENT

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~~P''~`'~~~ SAN FRANCISCO

1650 Mission St.