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Settlement has been reached in Last Stand's challenge to the City of Key West's transfer of transient licenses from Parrot Key to other areas of town.  Details in the story below from the October 1 Key West Citizen:
City admits Parrot Key transfers error

By MANDY BOLEN Citizen Staff

An environmental group and several concerned residents have won a battle in the war against transient rentals that displace permanent housing.

Key West city commissioners on Tuesday will consider a settlement agreement that would end a legal battle with the city and prevent further license transfers from the Parrot Key Resort to downtown properties.

Last Stand, along with several individuals, last year sued the city of Key West for allowing developer Pritam Singh to transfer surplus transient licenses that came from the redevelopment of the resort from the Hampton Inn to Parrot Key.

The lawsuit claimed the city violated its own code of ordinances by allowing the transfers to take place between different zoning districts when transient rentals are allowed in the district that surrounds the sender site.

In other words, because transient rentals are permitted on North Roosevelt Boulevard, where Parrot Key is located, then those transient licenses may not be transferred out of that zoning district.

"You can transfer them to a hotel across the street, but not downtown," said City Commissioner Bill Verge, blaming the city's lack of affordable housing on the conversion of long-term rentals to transient ones.

Verge said he supported the resort's development, but opposed allowing the licenses to be transferred, especially since they were going to properties that formerly had offered long-term rentals for residents. Yet he, and four other city commissioners, voted in favor of the Parrot Key development application, which included the plans to transfer surplus transient licenses.

"I totally missed it," Verge acknowledged, and said he should have asked for the item to be tabled until he could have further considered its implications and unforeseen consequences.

Commissioners Mark Rossi and Clayton Lopez were absent from the July 18, 2006, meeting and did not vote on the application.

In passing the resolution, commissioners interpreted their own laws "so as to allow the transfer of transient rental licenses from a zoning district where transient rental uses are allowed," which is contrary to the actual law, "which expressly applies only to transfers ... from an area where transient uses are prohibited."

In addition, Verge said, the commission amended an ordinance, or law, with a resolution, which is illegal. The commission must change the law with a new law that requires two public readings and prior public notice.

The settlement, if approved by commissioners Tuesday, would invalidate that resolution and prevent additional transfers planned from Parrot Key. The two transient license transfers the city's Planning Commission already approved will be allowed to move forward.

Assistant City Attorney Larry Erskine will recommend the commission approve the settlement agreement.

mbolen@keysnews.com

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