For background, read previous legislative updates and Where We Stand posts on our Members page.
Before we get into today’s update, a quick reminder: The planning department is gathering public input on STRs for a potential future ordinance. It is crucial that local hosts share your experience with Town staff. Don’t miss this critical opportunity to have your voice be heard. The survey will be open until October 20.
ACTION ITEM:
Take the Town of Chapel Hill’s STR Survey
A Brief Recap of the 9/11 Council Meeting
At the September 11 Council meeting, the council divided STRs into three categories: rentals of rooms or ADUs in which the owner remains on site, rentals of a primary residence in which the owner vacates the property during the stay, and non-owner occupied rentals (aka “investor properties”). The task force will now focus primarily on non-owner occupied rentals. Meanwhile, town staff will work on registration and health and safety requirements for all STRs, which the task force will review. Additionally, nuisance issues will no longer be wrapped into the STR discussion or a future ordinance.
Task Force Appointment Recommendations
Following the STR task force application process, a council subcommittee reviewed all applications to make recommendations at the upcoming October 2 Council meeting during the last item on the agenda. Here are their recommendations published in the meeting materials (p. 466) with excerpts of their positions on STRs as stated in their applications (also in the meeting materials):
- Shelley [DeFosset], Chapel Hill Historic District Resident
- “I have had many positive experiences staying at STRs in the US and while traveling internationally. The best experiences have been when the rental is owned and operated by local people. I am concerned about houses being purchased by investors who are not connected to the property, there being too many rentals of any kind in any neighborhood. There needs to be a balance and protections for the neighborhood, renter and owner. And the hotel industry.”
- Jamine Ifedi, Community Member at Large
- “My views on regulation are in favor of the safety and integrity of our community. This Task Force must help generate a sustainable system to keep track of who is coming in and out. As an operator I believe it is fair to provide means for each host to register their space so communications and updates can be effectively disseminated and received. That is my main concern… I do not want Chapel Hill to be late adaptors. Instead we must be proactive at getting all the shareholders to the table and come to viable resolutions so we can leave more people with positive impressions of Chapel Hill while also maintaining and upholding the integrity of the city for our families.”
- James Parrott, Community Member at Large
- “My family and I use AirBnB relatively frequently, yet live in a sea of often challenging rental properties. So I am sensitive to the benefits and costs (or risks I should say) of STRs.” Note: Mr. Parrott works in housing policy.
- Sally Persing, Community Member at Large
- “I am a successful Airbnb host with 2-1/2 years experience in Boston, MA and 2-1/2 years in Chapel Hill. We home-share and have hosted people from all over the world. We have never had a serious problem as hosts or guests and wholeheartedly believe in the benefits of the sharing economy. I believe that many, if not all, concerns being expressed by community members can be handled without regulation, but with education and information sharing.”
- John Quinterno, Community Member at Large
- “While I neither rent out units via STR platforms or use them when I travel, I am currently in my third term as the chair of a condominium association that was established well before the advent of STR platforms. More units in our association now are being rented, either in whole or in part, on a short-term basis, which is causing an increasing number of community concerns and conflicts among owners. Those experiences have led me to believe that some system of town-wide regulation is needed to manage the process so as to avoid negative neighborhood aspects and ensure that all neighborhoods are treated fairly (i.e., avoid having all STRs concentrated in a few places).” Note: Mr. Quinterno represents CHALT, one of the organizations that put forth the petition against STRs with suggested strict limitations or bans.
- Manish Atma, Hotel Operator or those knowledgeable about lodging
- “I am a local Hotel owner in Chapel Hill with 3 hotels in the city of Chapel Hill. I have been involved from the beginning to bring regulations and control for STR’s. Being a Hotel Owner and have complete knowledge of how STR’s are effecting our community and Hotels. STR’s have caused financial harm to local Hotels.”
- Anthony Carey, Hotel Operator or those knowledgeable about lodging
- “I have stayed in a STRs and I support the idea, but feel there is a real need for our town to develop updated standards for home based businesses, like STRs. Safety is my biggest concern.” Note: Mr. Carey is the Chair of the Chapel Hill Orange County Visitor’s Board. The board will be presenting their 2019/2020 strategic plan at the Wednesday council meeting which describes STRs as a threat to hotels. View the presentation here.
- To be Determined, Housing Advisory Board Member
- Steven Whitlow, Planning Commission Member
- “I occasionally rent STRs on work or personal travel trips. I am interested in their potential for increasing tourism travel and wealth generation for homeowners while having concerns about their impact on housing affordability.”
- Nathan Ligo, Short Term Rental Operator or Advocate
- I am NOT in favor of investors (businessmen) who buy homes and apartments specifically to use as STR’s, hence taking houses off the market that might otherwise be purchased by individuals. However, I understand that, in terms of our Carrboro house, I kind of AM that, except that I am not a business that exists to enrich a business owner or a group of shareholders. I’m just a town resident and nonprofit director trying to make ends meet… I have a wide-range of perspective as to how STR’s can be operated for good reasons, and in ways that reduce impact on neighborhoods, and that are, first for foremost, safe and reasonable.
- Alexa Nota, Short Term Rental Operator or Advocate
- “I believe in fair and reasonable STR regulations created with host representation. I support registration and safety requirements for all hosts. I support the property rights of owners to rent their properties – for any duration – in a way that respects our neighbors’ rights to peacefully enjoy their homes, and there are myriad solutions available to towns to allow this without onerous restrictions or bans of STRs.”
- Jennifer Hoffman, Alternate Member
- “As an Airbnb host, I have been able to sustain myself financially as a single mom of 3 kids during the feast/famine cycle of my design & construction business. I’ve been able to stay debt-free and even afford home improvement projects because of the Airbnb income… I confess that at times, my guests have caused a nuisance to my neighbors. I would concede that there needs to be a general code of conduct for Airbnb hosts and their guests. I think Airbnb is a wonderful thing; it promotes community, affordable lodging, interesting travel opportunities to “live like a local”, and offers a great income opportunity for property owners.
- Mary Stowe, Alternate Member
- “I am a 20 year resident of Chapel Hill and a small business owner. I ha e been renting my primary residence out as a STR for over 3 years… Even though I operate a STR I do think that there should be some guidelines for owners and renters.”
Council Meeting Wednesday, October 2 at 7 p.m.
In the Wednesday Council meeting, council members will vote to approve the subcommittee’s recommendations or vote for other applicants individually on the ballot (p. 467 of the meeting packet.) It is unlikely the Council will open the floor for public comment. Once appointed, the task force will begin meeting in October with a goal of an ordinance being proposed around March 2020. The task force meeting schedule has not yet been set.
Other items of note:
- The Chapel Hill Orange County Visitor’s Bureau will be presenting their 2019/2020 Strategic Marketing Plan. The presentation states “The national sharing economy has catapulted Short Term Rentals, specifically Airbnb, into a threat to traditional hotel accommodations.” It is important to note that local occupancy taxes, including STR occupancy taxes, account for 97% of the bureau’s revenue.
- The council will also receive the town’s affordable housing report. View the draft presentation, the annual affordable housing report, and the housing and community report. None of these mention STRs, but affordable housing concern is a common argument against STRs, so it’s important to pay attention to this.
Members are encouraged to attend this meeting to stay engaged in the process and make your presence known.
Before you go
We are still working hard to grow our membership, and your help can make a huge difference. Please take just 2 minutes to join our private host Facebook group and invite other hosts to join the community there, or share our sign-up form here for members to join by email. Thank you!