Napa County To Get $500K Settlement Payment In Code Enforcement Case

Press release from the Napa County Government:

NAPA COUNTY, CA — Napa County will be receiving a $500,000 settlement payment as successful resolution of an ongoing code enforcement case that has been a matter of concern for the community. The settlement was made possible through the authority granted by the Board of Supervisors last year.

The case involved a nuisance abatement and unlawful competition action. In late 2019, the County learned that a property located at 3119 Mt. Veeder Road was allegedly being offered as a luxury short-term rental since at least 2018. Napa County Planning, Building, and Environmental Services Department (PBES) staff began code enforcement efforts, and County Counsel initiated litigation in March 2021. The County promptly pursued and obtained a preliminary injunction to prohibit further short-term rental of the property during the litigation. Upon learning of the owners’ alleged short-term rental of a second property located at 5145 Wild Horse Valley Road, the County added that property to the lawsuit.

The County eventually engaged the services of reputable outside counsel, Aleshire & Wynder, to advance the litigation. The parties participated in prolonged settlement discussions and ultimately settled in the amount of $500,000.

The $500,000 settlement amount covers various expenses incurred by the County, including unpaid transient occupancy taxes, penalties, PBES code enforcement costs, as well as the fees of the outside counsel.

This resolution represents a significant step forward in upholding the integrity of Napa County's zoning and short-term rental regulations. The County intends to hold those who violate these regulations accountable and seek reimbursement for the resources expended to address this issue. Additionally, the County’s enforcement efforts safeguard against property owners profiting from the operation of short-term rentals in violation of the law and in direct competition with law-abiding businesses.

Board Chair Joelle Gallagher expressed gratitude for the diligent work of County Counsel, staff, and Aleshire & Wynder in securing this settlement. She noted that this outcome reinforces Napa County's commitment to protect the community's interests and upholding the rule of law.

This press release was produced by the Napa County Government. The views expressed here are the author’s own.