Under HB 4722, the cap is up to 30% of a communitys existing housing stock, which opponents say is unreasonable for small communities. DONATE, by Marla R. Miller, Michigan Advance November 27, 2022, SUPPORT NEWS YOU TRUST. During the House session, which lasted from 1:30 p.m. Tuesday, October 26 until a few hours past midnight, the bill was read to the House for its second time, then amended with a substitute bill, and then the substitute bill was presented to the House for the bills required third reading before the full chamber could vote on it. 206b. According to city documents, there are more than 12,000 residential units in the city of Holland, based on data from 2011-2015. It just doesnt make sense and it does nothing to protect against the rights of the property owners that live around that vacation rental.. Lawmakers and opposing groups have worked to introduce compromise legislation that recognizes the difference between homeowners who rent their properties a few weekends a year and those who buy up properties to operate them as mini hotels. House Bills 5465 and 5466 are supported by a coalition of organizations representing local government, public safety, the restaurant and lodging industry. Introduced by Rep. Sarah Lightner R-Springport on April 27, 2021. Each one has different needs and different makeups. City staff found few complaints. Imagine buying your first home in a coastal community or even your dream home on a lake and creating a peaceful backyard oasis. 0:01. Based on the Beckett & Raeder report, the village currently has 61 operating short-term rentals, which represents 13% of the communitys total housing stock. Michigan Democrats in the state Legislature took the final step to pass gun safety measures Gov. amendment that prohibits new short-term rentals in certain residentially zoned districts. 4985, calling it a compromise. The bill would prohibit local governments from adopting zoning regulations banning short-term rentals. Besides taking business away from traditional hotels, short-term rentals arent subject to the same taxes or regulations. From the township's perspective, short-term rentals are prohibited, and we believe that any action that takes away local zoning authority from the local unit of government is not good legislation, said Township Manager Steve Bulthuis. That seems to be lost.. THE PEOPLE OF THE STATE OF MICHIGAN ENACT: Sec. The state wants to come in and say, We know better, preempting them from the work that they have done., Zoning is intended to regulate conflicting land uses and problems that ensue, and communities zone based on master plans, local needs, and the, Voters embraced affordable housing initiatives. Providing tools allowing you to research pending legislation, stay informed with email alerts, content feeds, and share dynamic reports. Holland has a wide variety of hotels, including the Courtyard by Marriott on Eighth Street, the Haworth Hotel on College Avenue and CityFlats on Seventh Street. There is a tradition up here, long before Vrbo and Airbnb, of short-term rentals. A local unit of government shall not adopt or enforce zoning ordinance provisions that have the effect of prohibiting short-term rentals," the bill states. HB 4722 would allow limited authority to oversee short-term rentals in some scenarios including if local noise and traffic ordinances are violated and if the number of occupants in a unit is more than permitted although this would have to take place on an individual basis for units. The legislation would give local governments the authority to limit the number of short-term rentals owned by the same person in an effort to prevent investors from buying up multiple homes. The bill specifies that short-term rentals would be subject to parameters required for other commercial uses in a residential district. If we let it go hog wild, we wont have neighborhoods.. However, local officials say that does little to address the erosion of neighborhoods, quality of life issues, home values and other problems associated with short-term occupants. Holland Township does not allow short-term rentals through services like VRBO, Airbnb and Homestay. In addition, it also codifies the right for counties, cities and townships to continue to, or begin to, require the issuance of a locally issued STR license, limit local licenses to two per person, and implement license enforcement policies to meet the communitys standards. Republican-led Senate Regulatory Reform Committee in late September moved the legislation to the floor in a 6-3 vote. All rights reserved (About Us). , Each community is different. The bill does not appear to have enough support in the legislature to override a veto. In Grand Haven, that means up to 1,500 homes could convert to short-term rentals. If you want to open a mechanic shop in your garage, you cant do that, she said. Access to affordable housing has been a prevalent issue throughout greater-Holland. In a late-night vote last week, the Michigan House of Representatives approved a bill that essentially nullifies local ordinances on short-term rentals which have become increasingly popular with the growth of companies like Airbnb and VRBO in the name of protecting private property rights. Proponents of the bill say that its passage will help property owners earn extra income and will give tourists more lodging options. Many lakeshore communities have already adopted short-term rental ordinances that officials say are in the best interest of local residents and homeowners. The city allows short-term rentals in specific zoning districts and requires out-of-town owners to designate a local agent to manage the rental and address problems. 206b. It really could happen and you would have all of these communities where the population could dip 20 or 30%.. She called it a freshman mistake and fielded complaints from constituents and local officials in her district for months. If 30% wanted to locate in your most desirable neighborhood, you have now turned that residential district into transient mini-hotels and completely crushed anybody who is actually living there, she said. The city also launched a pilot program for non-owner occupied short-term rentals in residential areas with various regulations that was adopted as part of its local zoning ordinance. The way short-term rentals are defined in the substitutes still provide them protection from local regulation, she said. If the sole purpose is to be a commercial activity to make money that is different from families who live, work, raise their children there, and want to have a quality of life in a community, she said. Local governments could still enforce ordinances related to parking, noise and nuisance complaints as long as such regulations are applied consistently to owner-occupied residences as well. The bill would prohibit local governments from adopting . Short-term rentals have been on the Michigan Legislatures radar for. The key thing here is, from our perspective, were very strong on private property rights, and people should be able to do what they want with their own property, said Mackinac Center Director of Marketing and Communications Jarrett Skorup, who testified in favor of the bills in May. Rigterink disagrees and said that is the whole point of zoning for conflicting uses. ), protects an owners right to rent. The Michigan Municipal League is among the groups opposing the bill. If its 30% as proposed, right now it would allow up to 500 short-term rentals in the city of Petoskey, and I think thats way too much, Murphy said. "Michigan's hotel industry remains in a weakened state from a pandemic that is still presenting very real challenges to its survival 18 months later," said President and CEO Justin Winslow on Wednesday. Like any land use, too much of one thing becomes a negative impact on other things.. Thats the worst kind of public policymaking, he said. Short-term rentals are more prevalent in lakeshore communities that attract tourists and those that host sporting events, but they also are located on small inland lakes and in rural parts of the Upper Peninsula. House: House Third . DONATE HB 4722 specifically states short-term rentals are not a commercial use of property. So that doesnt actually stop the nuisance from happening.. Each community is different. Corporate media arent cutting it. Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. Contact Editor Susan Demas for questions: info@michiganadvance.com. She voted no last week. Follow them on Twitter @arpanlobo, @BizHolland and @cjmuyskens. The municipal law attorneys at Mika Meyers will continue to monitor developments and reports regarding HB 4722 and its potential impacts on local governments. ContactArpan Lobo, Cassandra Lybrink and Carolyn Muyskens at newsroom@hollandsentinel.com. Other studies show short-term rentals deplete housing stock and increase rent for long-term renters. In todays digital economy, its relatively easy for an outside investor or homeowner to advertise their property as a short-term rental. Amid the wrangling, three of the bills co-sponsors Reps. Sara Cambensy (D-Marquette), Samantha Steckloff (D-Farmington Hills) and Brad Paquette (R-Niles) withdrew their names from the bill, in a somewhat unusual move. HB 4722 would amend the Michigan Zoning Enabling Act of 2006 to define and add the term short-term rental to the Code as a residential use of property that is permitted in all residential zoning districts. While Traverse City has a short-term rental ordinance, permitting them in commercially zoned areas, Carruthers said a lot of people have been doing it on the down low.. Saying that were going to let nuisances happen, and then well let people issue a noise violation. A House Fiscal Agency Legislative Analysis of House Bill 4722 stated that the bill would: amend the Michigan Zoning Enabling Act to provide that the short- term rental a dwelling (for 30 days or less) is a permitted residential use of property that is not subject to a special use or conditional use permit or procedure. Local officials maintain a one-size-fits-all approach does not work when it comes to short-term rentals because each community has different needs, demographics and public safety and housing concerns. Legislation is moving through the house and senate seeking to stop Michigan communities from outright banning short-term rentals like Airbnb and VRBO. Proponents say House Bill 4722, sponsored by Rep. Sarah Lightner (R-Springport Twp. Our restaurant workers are having a hard time living here [and] were a foodie town, Carruthers said. WHEREAS, While the amendments to HB 4722 as passed by the House emphasize the ability of local governments to inspect properties for health and safety . Michigan Advance maintains editorial independence. The bill would not prohibit zoning ordinance provisions that regulate noise, advertising, traffic, or other nuisances related to the rental of a dwelling, but only if such regulations are applied consistently to owner-occupied residences as well. Michigan Advance maintains editorial independence. Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. In the early morning hours of Wednesday, October 27, 2021, the Michigan House of Representatives passed House Bill 4722 (HB 4722), which significantly limits how local governments may regulate short-term rentals. But having too many short-term rentals on one residential street causes unintended problems. Although the substitute bill would allow local governments to limit the total number of units that may be used as a short-term rental in their jurisdiction, the bill requires that any such limit not be less than 30% of the total number of residential units in the municipality. This is not a false concern. Sign up here If 30% becomes the number, then enforcement becomes a huge issue.. The Park Township Board of Trustees formally opposed the House and Senate bills in a resolution approved over the summer. ), protects an owners right to rent. (1) For the purposes of zoning, all of the following apply to the rental of a dwelling, including, but not The definition of common ownership has a loophole big enough to drive a semi through it, Rigterink said. that strips power from local governments to control short-term rentals and 79% believe they should be taxed the same as hotels.
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