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6. 1. B. - Page 2 <br />More information and a complete reading of the ordinance can be found at <br />www.redwoodcity.org/shorttermrentals. <br />To ensure compliance with the short-term rental ordinance, staff considered the City <br />resources required to create its own registration platform, the inputs needed to collect <br />registration fees and TOT, and labor required to monitor short-term rental hosting <br />platforms for rentals within city limits and ensure compliance. Staff also explored <br />utilizing a short-term rental compliance and monitoring service. In comparing the costs <br />and effectiveness of creating a short-term rental compliance platform in-house to a <br />third -party service, staff concluded third -party services were the least costly and most <br />effective. <br />Since short-term rental compliance and monitoring is a relatively new field, staff <br />researched available third -party services and examined practices among similar <br />California cities. After conducting the research, staff determined the platform that best <br />meets the City's needs is Host Compliance and explored utilizing the competitive <br />procurement process of another California city in order to minimize the costs of <br />procurement. The utilization of other public agency's procurement processes, also <br />known as "piggybacking", is further detailed and analyzed below. <br />ANALYSIS <br />In procuring services, the City follows Article VII of Chapter 2 of the Municipal Code <br />(Purchasing Ordinance). The Purchasing Ordinance outlines the process for soliciting <br />goods and services through competitive bidding advertised by the City. However, the <br />Purchasing Ordinance recognizes that in certain situations alternative procedures may <br />be used. In this instance, staff determined that forgoing a City initiated competitive <br />process was in the best interests of the City in order to save time and obtain better <br />terms for service. Staff recommend using another agency's purchasing process and <br />contract which is also known as "piggybacking". Since compliance and monitoring of <br />short-term rentals is a new activity, staff reviewed how other cities enforce their short- <br />term rental ordinances, and, if a third -party monitor was used, how the city obtained <br />those services. <br />Under Section 2.80 of the Purchasing Ordinance, an alternative procedure allows the <br />City to procure services from vendors on established lists awarded the same type of <br />purchase contract by another public agency if that agency has competitive processes <br />substantially equivalent to the City's. The City may consider doing so if it is more <br />likely to obtain maximum quality, service or performance at a minimum price. This <br />process allows the City to piggyback on the pricing that has been achieved through <br />another public agency's bidding process. Further, alternative procedures may be <br />