11-27-2017 Council Packet - Laserfiche WebLink

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MINUTES OF THE ORONO CITY COUNCIL MEETING Monday, November 13, 2017 7:00 o'clock p.m. 16. #17-3984 — CITY OF ORONO TEXT AMENDMENT: RENTAL LICENSING, VACATION RENTAL PROHIBITION — Continued Richie Anderson, 3205 Crystal Bay Road, noted this is the first public hearing on this issue but that he would relate it back to the public hearing the City Council held on sexual predators, which is somewhat similar to this situation. Anderson noted he heard at the last City Council meeting how a young teenager goes out in her yard and gets harassed by the renters with lewd comments and how another neighbor does not like to go outside. Anderson stated that could happen at any number of rental properties and that the neighbors do not know who is renting the house. Anderson stated rental properties are similar to renting dock slips in the City of Orono. Anderson questioned whether the rental homes are getting taxed properly as an Airbnb, and that he would guess the properties are not being taxed the same as a residential homesteaded property. Anderson stated arguments can be made pro and con, but that when it is in your back yard, it is quite a different story. Anderson stated when he purchased his house, if he could not afford the taxes, he would not buy it. Anderson noted there was a letter that was sent to Staff that talks about there being no places to rent for their guests in the nearby vicinity. Anderson stated that has changed and that there is a hotel in Wayzata. Orono is not a rental community or a destination community. Anderson stated the person can rent a room at the hotel and have all the conveniences of that and that it should not be a way to help pay for the taxes on the house. Anderson stated in his view a rental house should be taxed more. Anderson stated he is not sure how Staff identified the properties that are for rent, but that they should be in a different tax bracket. In addition, the Council talked earlier this year about conditional use permits and how they do not have any teeth. If the Council decides not to do what Shorewood, Greenwood and a few other communities have done, it should be a conditional use permit with the teeth in it to enforce it. Anderson noted the neighbors are afraid to call the cops due to fear of retribution, which does happen, and that the City Council should not pass the buck. Anderson commented it is too bad one person can spoil it for everybody else but that homestead is homestead and not a rental. If it is a rental, it should be non - homesteaded. Natalie Whitaz Spring Park, stated her boyfriend started renting his property out in March of this year and that their biggest fear was short-term renters would not respect the neighbors or the property. Whitaz indicated they have an elderly couple who lives next door. Whitaz stated one nice thing about Vrbo is that it allows the property owner to set a lot of controls for screening the guest. Whitaz stated some of the things they have done are to require a minimum age limit and minimum night stays. Whitaz indicated one-night stays will be the bachelor/bachelorette parties. Whitaz stated they have found that a lot of the renters are people returning to the area for weddings and other events. Whitaz stated it also helps that they are nearby, which allows them to ensure the rules are being followed. Whitaz stated they also ask for a large damage deposit and that most bachelor/bachelorette parties do not want to pay another $300 to $500. Whitaz noted she recently stayed at a Vrbo in Seattle where the owner did not live in the City, but they said if they get one phone call from their next-door neighbor, they are out of there since the owner has the authority to kick the people out. Whitaz stated in her view there should be some accountability and that there should be someone watching the property. It should not be a situation where the neighbors have to call the police and fear the blowback from that. Whitaz stated with their rules, they have found that they have zero problems and that Page 4 of 17