They maintain local communities are in essence banning short-term rentals by limiting the number of licenses and restricting where they can be located. replaced it as a 20-person Airbnb that completely wrecked our neighborhood, he said. This means that at least 30% of the residential units in each municipality could be potentially used as short-term rentals. The bill still has yet to be passed by the Senate and signed into law by Gov. For instance, many vacationers stay up later and may have bonfires, parties or play loud music while the person next door is trying to sleep and get up for work the next day. Theres also some opposition from business groups, like the Michigan Restaurant and Lodging Association, which says the legislation would add to the challenges the hotel and lodging industry faces while continuing to recover from the COVID-19 pandemic. Many lakeshore communities have enacted similar ordinances in recent years in an effort to preserve housing stock and residential neighborhoods, maintaining that short-term rentals are a commercial use of property. The Airbnb app icon is seen on an iPad screen, Saturday, May 8, 2021. short-term rentals arent subject to the same taxes or regulations. The current ordinance permits short-term rentals in residential areas. HB 4722 is supported by Airbnb, the Michigan Association of Realtors and the Rental Property Owners Association. HOLLAND The Michigan House of Representatives stayed in session through the early hours of Wednesday morning, passing a bill that local officials say will largely strip communities of their ability to regulate short-term rentals. Marla R. Miller is an award-winning journalist and content marketing writer who previously worked for newspapers in Indiana and the Muskegon Chronicle. 2023 Advance Local Media LLC. Short-term rentals have been on the Michigan Legislatures radar for. The legislation aims to protect Michigan property owners fundamental right to use their dwelling or home as a short-term rental, according to proponents. By common sense, these are commercial uses of property, said Keith Van Beek, city manager of Holland. The legislation prohibits local municipalities from adopting zoning regulations that outright ban short-term rentals or make them subject to a special-use or conditional-use permit. Short-term rentals have been on the Michigan Legislatures radar for several years, but bills havent gained traction until last month. Corporate media arent cutting it. Its a big challenge for us, said Traverse City Mayor Jim Carruthers. The San Francisco-based company Airbnb has a long history of fighting local regulations across the country. Murphy said the bill would void our efforts and the will of the people here in Petoskey.. The Park Township Board of Trustees formally opposed the House and Senate bills in a resolution approved over the summer. , sponsored by Rep. Sarah Lightner (R-Springport Twp. You cannot approach this as a one-size-fits-all, she told the, Lightners office declined a request for an interview, but sent the, 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, Calls to Michigan Realtors were not returned for this story, but the association does have a statement on its. Before HB 4722 can become law, it still must be passed by the Senate and then signed into law by Governor Whitmer. We ask that you edit only for style or to shorten, provide proper attribution and link to our web site. They also create added costs for inspections and code enforcement, which are a strain on public resources. He also worked to dispel arguments that short-term rentals are driving up prices and displacing locals. and Senate Bill 446 (Sen. Aric Nesbitt, R- . While Metcalf feels for people who live next to problematic short-term rentals, he said local communities need to focus on enforcement of occupancy limits, noise, parking and nuisance violations. More: Low income housing, single-family homes remain focus in Holland, More: Park Township hires firm for short-term rental help. The following bill formatting applies to the 2019-2020 session: - New language in an amendatory bill will be shown in bold - Language to be removed will be stricken. House GOP narrowly passes bill to raise debt limit and cut spending John Humphrey has been outspoken about his opposition to the rise of Airbnb-style rentals in his community, which held several packed public meetings in 2021 as the City Council took up the issue. stop Michigan communities from outright banning short-term rentals, short-term rentals through services like VRBO, Airbnb and Homestay. House Republicans on Wednesday narrowly passed a bill to increase the nation's debt ceiling while cutting federal government spending -- and while the legislation has no prospect of becoming law . Loud music, late-night bonfires, even PA systems, beer pong and extra tents take over the yard. Michigan House Bill 4722 (Prior Session Legislation) MI State Legislature page for HB4722. She voted no last week. In order for us to maintain a quality life in Grand Rapids, we need additional housing supply, he said. Permanent residents also have the right to enjoy their property, negate nuisances and protect property values. They [legislators] dont understand that people need to live here to pay for public safety and infrastructure.. Lawmakers and opposing groups have worked to, 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.. Bill 4722 is not a thoughtful solution to a complicated issue that needs to balance residential safety, fair competition and property rights it is a tone-deaf handout to mostly out-of-state corporations that will erode neighborhoods, increase crime and cost jobs, Winslow said in a statement. passed Roll Call # 502 Yeas 55 Nays 47 Excused 0 Not Voting 7, passed; given immediate effect Roll Call # 503 Yeas 55 Nays 48 Excused 0 Not Voting 6, Reps. Sara Cambensy, Samantha Steckloff, Brad Paquette removed as co-sponsors, REFERRED TO COMMITTEE ON REGULATORY REFORM, reported with recommendation with substitute (H-1), bill electronically reproduced 04/27/2021, referred to Committee on Commerce and Tourism, introduced by Representative Sarah Lightner. Jennifer Rigterink, Michigan Municipal League legislative associate, called the substitutes laughable as a solution. Spectrum: Strong Partisan Bill (Republican 12-1). - Amendments made by the Senate will be red, such as: Senate amended text. Were still at the table, ready and willing to negotiate if the opportunity arises., There is a growing trend in local government to enact zoning bans that preemptively tell property owners they are unable to rent, according to a statement on the Michigan Realtors, . The bills remove local governments' ability to outright ban. At the heart of the issue is whether short-term rentals are a residential or commercial use of property. Local governments would also be able to set limits on the number of short-term rentals, so long as the limit wasnt less than 30 percent of existing residential units in a municipality. House Bill 4722, introduced by Rep. Sarah Lightner, R-Springport Township, passed 55-48 after the House remained in session past 2 a.m. 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. 64. Rigterink sees the law as ripe for litigation. The city has offered incentives to developers to build more affordable units, but even those are becoming short-term rentals in commercially zoned areas. Short-term Rental Preemption Bill Passed By House - Inside 208 If you purchase a product or register for an account through one of the links on our site, we may receive compensation. Multiply that by five, and theyre much more likely to occur near water, and those neighborhoods could become completely overrun with short-term rentals and thats just not good for our town.. The Michigan Advance is a nonprofit outlet featuring hard-hitting reporting on politics and policy and the best progressive commentary in the state. Airbnb makes long awaited debut on stock exchange, Thirteen years after its founders first rented air mattresses in their San Francisco apartment, Airbnb is making its long-awaited stock market debut. If HB 4722 becomes law, it will have the effect of invalidating many regulations crafted and implemented by municipalities across the state to address issues presented by short-term rentals at the local level. Are There Legal Restrictions To Homeowners Or Tenants Opening Their Michigan House Bill 4722 ( Prior Session Legislation) MI State Legislature page for HB4722 Summary Sponsors Texts Votes Research Comments Track Status Spectrum: Strong Partisan Bill (Republican 12-1) Status: Engrossed on October 27 2021 - 50% progression, died in chamber Action: 2022-10-11 - Referred To Committee Of The Whole Steckloff had to wait to withdraw her name from the bill until the House took it up. Broad allowances for short-term rentals would also affect local hotels, according to a statement from the Michigan Restaurant and Lodging Association. Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. Other studies show short-term rentals deplete housing stock and increase rent for long-term renters. Additionally, Rigterink takes issue with how the substitute handles zoning, saying allowing nuisance ordinances is a reactive instead of proactive solution to problems that may arise with renters. The average limit is 6.4% of the housing stock based on other Leelanau County communities that have short-term rental caps. Our restaurant workers are having a hard time living here [and] were a foodie town, Carruthers said. The way short-term rentals are defined in the substitutes still provide them protection from local regulation, she said. We have had a long history of dealing with short-term rentals and a set of regulations that are strongly supported by our community.. One of the biggest challenges facing Traverse City is having enough quality housing for a range of incomes and demographics, including families, retirees, single individuals, young professionals and a growing homeless population. State bill would take away local control for short-term rentals There is a growing trend in local government to enact zoning bans that preemptively tell property owners they are unable to rent, according to a statement on the Michigan Realtors website. their names from the bill, in a somewhat unusual move. 446, said the issue falls under private property protection. The state wants to come in and say, We know better, preempting them from the work that they have done.. 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. You cant all of a sudden convert a single-family house into a store or an auto mechanic shop. Amends 2006 PA 110 (MCL 125.3101 - 125.3702) by adding sec. The proposed law states communities cannot restrict short-term rentals to less than 30% of the number of existing residential units in the local unit of government. MARQUETTE State Rep. Sara Cambensy, D-Marquette, is a cosponsor of House Bill 4722, which would "amend the Michigan Zoning Enabling Act to provide that the short-term rental dwelling, for 30 . HB 5605, which Rep. Graham Filler (R-DeWitt) introduced in December 2021, proposes an excise tax on short-terms at a rate equal to the tax of traditional lodging, along with a requirement that accommodation intermediaries such as Airbnb be responsible for the remittance of all their hosts taxes. . In addition, many lakeshore communities are grappling with a, shortage of available, affordable, year-round housing. It was sounding a lot more like they were going to limit it down to nothing, which concerned me, Metcalf said. DEIJ Policy | Ethics Policy | Privacy Policy. PDF HB-4722, As Passed House, October 27, 2021 - Michigan Legislature 93, District The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of Advance Local. 206b. 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.

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