But when warm weather rolls around, you soon discover a revolving door at the house next door. He rallied STR owners to attend Suttons Bay council meetings on the issue. This is not a false concern. 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. In addition, the law allows local governments to limit the number of units under common ownership used for short-term rentals to two. Marla R. Miller is an award-winning journalist and content marketing writer who previously worked for newspapers in Indiana and the Muskegon Chronicle. Its now up to the Senate to move on the bill in the lame duck session following the Nov. 8 election. The city has offered incentives to developers to build more affordable units, but even those are becoming short-term rentals in commercially zoned areas. Proponents say House Bill 4722, sponsored by Rep. Sarah Lightner (R-Springport Twp. She lives in Norton Shores and her work can be found at marlarmiller.com. In Leelanau County, another popular vacation destination, villages and townships continue to grapple with the issue. The measure approved by the House is a solid compromise that provides both certainty for private property owners across the state and flexibility for local municipalities that deserve to have some control over the planning and zoning of their communities, Lightner said in a statement. Before HB 4722 can become law, it still must be passed by the Senate and then signed into law by Governor Whitmer. Under HB4722, that number could increase to 750 short-term rental units. 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. The bills remove local governments' ability to outright ban. I do support the [HB 4722] legislation, but I think that a local governments ability to police these, which still seems to be preserved in that legislation, is still the most important angle, said Jason A. Metcalf, an attorney and short-term rental owner in Suttons Bay who has been monitoring the developments at the local and state level. While those opposed to the bill say communities arent banning outright short-term rentals, Skorup argues that municipalities like Holland Township and St. Clair Shores essentially have full bans through their zoning. If we let it go hog wild, we wont have neighborhoods.. We ask that you edit only for style or to shorten, provide proper attribution and link to our web site. They have said that communities are banning short-term rentals. Use our new PolitiCorps to join with friends and collegaues to monitor & discuss bills through the process.Monitor Legislation or view this same bill number from multiple sessions or take advantage of our national legislative search. We have put forth compromise after compromise, Allen said. Holland's regulations on short-term rentals were adoptedlast year after the pilot program was deemed a success. Daniel Krason / Shutterstock.com. DONATE, by Marla R. Miller, Michigan Advance November 27, 2022, SUPPORT NEWS YOU TRUST. has a problem with STRs operating illegally. a Southwest Michigan lakefront community 35 miles from Chicago. In addition, many lakeshore communities are grappling with a shortage of available, affordable, year-round housing for service-industry workers or people who want to relocate to the community for employment. 206b. In general, we definitely feel that the bill as proposed really doesnt have any compromise built into it, Van Beek said. (The Center Square) - In an overnight session, the Michigan House voted 55-48 to pass a bill that aims to prohibit local governments from banning short-term rentals. Rigterink disagrees and said that is the whole point of zoning for conflicting uses. In my district, 30% is almost 15,000 of our housing stock.. We know from other communities, what this could have the impact of doing is taking either single-family homes that are owner-occupied, or potentially long-term rental properties, and converting them away from those uses, which are homes for long-term residents, whether they be owner-occupied or rentals, and convert them into these short-term rental uses, which only puts additional pressure on what we know is a very tight housing market, particularly a very tight affordable housing market.. In short, lawmakers claiming the current bills wont take away local control is a false narrative, Rigterink said. In Holland Township, the rentals are banned. Skyrocketing housing costs have pushed hospitality and service industry workers into outlying areas or forced them to relocate. Roll Call: MI HB4722 | 2021-2022 | 101st Legislature | LegiScan McGinnis has attended previous legislative hearings in Lansing to address attempts to change the law. 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. Broad allowances for short-term rentals would also affect local hotels, according to a statement from the Michigan Restaurant and Lodging Association. The people in Lansing have no concept about what this bill will do to local municipalities.. The average limit is 6.4% of the housing stock based on other Leelanau County communities that have short-term rental caps. Besides taking business away from traditional hotels, short-term rentals arent subject to the same taxes or regulations. The legislation aims to protect Michigan property owners fundamental right to use their dwelling or home as a short-term rental, according to proponents. Tackling short-term rentals was a tumultuous two-year process that included a moratorium on city-issued licenses for rentals in May 2020, and a Nov. 23, 2021, special session where the. Rigterink sees the law as ripe for litigation. Use of and/or registration on any portion of this site constitutes acceptance of our User Agreement (updated 4/4/2023), Privacy Policy and Cookie Statement, and Your Privacy Choices and Rights (updated 1/26/2023). Grand Haven welcomes short-term rentals, but there needs to be a balanced approach, McGinnis said. The practice helps Michigan property owners cover the cost of property taxes and maintenance. We ask that you edit only for style or to shorten, provide proper attribution and link to our web site. 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. 104, District We are doing it well; we are doing it the way it was meant to be done, McGinnis said. The House Committee on Commerce and Tourism approved the bill on May 25, 2021. 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. Banning the right to rent harms property owners and local businesses in many communities all over Michigan.. There has been some movement. It wipes out local zoning control from every municipality, Humphrey said. 206b. Website is a free service of the Legislative Service Bureau in cooperation with the Michigan Legislative Council, the Michigan House of Representatives, the Michigan Senate, and the Library of Michigan. "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. Introduced by Rep. Sarah Lightner R-Springport on April 27, 2021. It does erode the long-term opportunities for people to live here.. Michigan Advance maintains editorial independence. 206b. Airbnb says HB 4722 and HB 5605 would modernize Michigans regulation of short-term rentals. Petoskey has an ordinance that permits short-term rentals in a business district with a city license. Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. amendment that prohibits new short-term rentals in certain residentially zoned districts. We ask that you edit only for style or to shorten, provide proper attribution and link to our web site. WHEREAS, Michigan Senate Bill 446 and its companion legislation House Bill 4722, seek to amend the Michigan Zoning Enabling Act, to define a short-term rental as any rental of not more . Humphrey said more than 20 community leaders in lakeshore communities in Southwest Michigan have united to oppose the legislation by adopting formal resolutions and contacting legislators. In 2018, when Holland began a pilot program allowing short-term rentals in residential neighborhoods, city officials set a limit of 25 non-owner occupied units. 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. ContactArpan Lobo, Cassandra Lybrink and Carolyn Muyskens at newsroom@hollandsentinel.com. 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 House passes bill barring the banning of short-term rentals Toilet paper wasnt the only shortage caused by the pandemic. We feel local communities are best equipped to deal with planning and zoning issues. Michigan Advance is part of States Newsroom, a network of news bureaus supported by grants and a coalition of donors as a 501c(3) public charity. The league and the Michigan Township Association are not advocating for bans, Gilmartin said. City officials from Grand Rapids, Frankenmuth and Marquette joined the press conference to voice their concern over short-term rentals eating away at an already competitive housing market. The bill targets those efforts and essentially strips a local municipalitys ability to regulate short-term rentals through local zoning ordinances or make them subject to a special-use or conditional-use permit. Summary as Introduced (5/17/2021) This document analyzes: HB4722 Summary as Reported from Committee (6/24/2021) This document analyzes: HB4722 Summary as Passed by the House (11/2/2021) This document analyzes: HB4722 Senate Fiscal Analysis SUMMARY OF BILL REPORTED FROM COMMITTEE (Date Completed: 10-10-22) This document analyzes: HB4722 History Short-term Rental Preemption Bill Passed By House - Inside 208 You cannot approach this as a one-size-fits-all, she told the Advance Thursday. If you notice any inconsistencies with these official sources, feel free to file an issue. This legislation protects private property rights by preventing short-term rentals from being zoned out of existence and also allows local governments to effectively regulate these properties, he said. On October 28, 2021, the Michigan House of Representatives passed HB 4722 by 55-48 which would prohibit local governments from adopting zoning regulations banning short-term rentals. We recognize from employers and those that are looking for housing that there just are limited housing options available to people, he said. Bill authors are adamant that the. In order for us to maintain a quality life in Grand Rapids, we need additional housing supply, he said. Data on Open States is updated periodically throughout the day from the official website of the Michigan Legislature. Michigan Democrats in the state Legislature took the final step to pass gun safety measures Gov. The MML, a nonprofit association representing municipalities and their leaders, calls HB 4722 disastrous and said it essentially gives unfettered approval to short-term vacation rentals across the state. If short-term rentals didnt exist here at all, either they would be sold at high prices or they would be rented at high prices, which would preclude workforce housing.. The rental of residential property is important to Michigan second home markets and in urban areas around event destinations. They maintain local communities are in essence banning short-term rentals by limiting the number of licenses and restricting where they can be located. The reason it is a big deal now is the internet and Airbnb, he added. There is a growing trend in local government to enact zoning bans that preemptively tell property owners they are unable to rent, the group says. Noise, trash and nuisance complaints, and a lack of affordable housing for year-round residents, are some of the issues associated with too many short-term rentals in a community. Tackling short-term rentals was a tumultuous two-year process that included a moratorium on city-issued licenses for rentals in May 2020, and a Nov. 23, 2021, special session where the City Council approved a zoning ordinance amendment that prohibits new short-term rentals in certain residentially zoned districts. Our restaurant workers are having a hard time living here [and] were a foodie town, Carruthers said. Thirty percent of 12,185 is 3,655 meaning if HB 4722 were to become law as written, Holland couldnt set a limit on the number of short-term rentals below 3,655. According to city documents, there are more than 12,000 residential units in the city of Holland, based on data from 2011-2015. 50, District They havent fully banned them, but youre banning it for the vast majority of property owners, Skorup said. their names from the bill, in a somewhat unusual move. The bill does not appear to have enough support in the legislature to override a veto. The legislation states a short-term rental is a residential use of property and a permitted use in all residential zones. State bill would take away local control for short-term rentals 45, District 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. 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. But having too many short-term rentals on one residential street causes unintended problems. Sen. Aric Nesbitt, R-Lawton, who authored S.B. Municipalities dismayed, property owners pleased as short-term rental Amends 2006 PA 110 (MCL 125.3101 - 125.3702) by adding sec. My biggest fear is housing and apartments for our seasonal and everyday laborers in Petoskey; that it will take up those spaces with short-term rentals knowing someone can make one months rent in a week during the busy season of the year, said Petoskey Mayor John Murphy. Of Michigans 533 cities and villages, not one has a full short-term rental ban on the books, Gilmartin said. It was just done through less formal means.. House Bill 4722, along with its companion Senate Bill 446, has been making its way through the Legislature for several months. The Michigan Advance is a nonprofit outlet featuring hard-hitting reporting on politics and policy and the best progressive commentary in the state. Short-term rentals take away year-round housing stock, and affordable housing is already an issue for local residents and service-industry workers who live in tourist towns. 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. Bill tracking in Michigan - HB 4722 (2021-2022 legislative session Who determines the 30% of property owners eligible to have a short-term rental while denying the other 70% is it based on location, a first-come, first-serve application process, housing density or other factors? At the heart of the issue is whether short-term rentals are a residential or commercial use of property. Local elected officials know better what is good for a small community such as ours rather than it being dictated to us out of Lansing.. 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. Heres what affected Michiganders, Michigan Democrats want investigation into states ties to US Capitol riot, Michigan House advances bills banning vitamin E acetate in vaping products, Michigan House votes to ban government-backed coronavirus vaccine passports. 105, District Posted on October 27, 2021 by Dene Westbrook. Thats the worst kind of public policymaking, he said. By stripping local authority on short-term rentals, the bill would erase years of consideration in local communities, says Holland City Manager Keith Van Beek. Metcalf lives in the area and has several short- and long-term rentals in and around Suttons Bay, which he manages and maintains. Bill tracking in Michigan - HB 4722 (2021-2022 legislative session) - FastDemocracy Introduced Apr 27, 2021 Passed House Oct 27, 2021 Passed Senate Signed into Law HB 4722 Michigan House Bill Did you know we offer free bill tracking in Congress and 50 states, and a great mobile app? More: Low income housing, single-family homes remain focus in Holland, More: Park Township hires firm for short-term rental help. . By common sense, these are commercial uses of property, said Keith Van Beek, city manager of Holland. PDF Resolution Opposing Michigan House Bill 4722 and Senate Bill 0466 (2021 Michigan House Bill 4722 (Prior Session Legislation) MI State Legislature page for HB4722. It appearsthat much of what was passed by the House last night would gut some of the reasonable regulations that we spent a considerable amount of time as a community walking through and putting in place for what we thought was right for the city, Van Beek said in an interview Wednesday. Michigan Legislature - House Bill 4722 (2021) Steckloff said she appreciates short-term rentals and she does use them, as do many businesspeople who visit the Farmington Hills area for work. Effective land-use planning results in fewer conflicts.. Loud music, late-night bonfires, even PA systems, beer pong and extra tents take over the yard. Each one has different needs and different makeups. Governor Whitmer has not yet commented publicly as to whether or not she would sign the bill into law if it is passed by the Senate. Local governments, renters divided over short-term-rental bills If you purchase a product or register for an account through one of the links on our site, we may receive compensation. 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. It also caps the total number of short-term rentals as a percentage of all residences, but officials say the proposed 30% cap is unreasonable for small communities. Please see our republishing guidelines for use of photos and graphics. , Each community is different. A single-family home was sold and renovated into a short-term rental. SEVEN Reasons HB 4722 and SB 446 are WRONG for Michigan House Bill 4722 (Rep. Sarah Lighter, R-Springport Twp.) Saying that were going to let nuisances happen, and then well let people issue a noise violation. The San Francisco-based company Airbnb has a. of fighting local regulations across the country. 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. Amends 2006 PA 110 (MCL 125.3101 - 125.3702) by adding sec. Were the ones that live here and try to make it a livable place for everybody and set the rules and priorities.. Representative Markkanen's office declined the Gazette's request for comment. Contact Editor Susan Demas for questions: info@michiganadvance.com. Lightner first introduced the bipartisan legislation back in April. Noise, trash and nuisance complaints, and a lack of affordable housing for year-round residents, are some of the issues associated with too many short-term rentals in a community. Why are they getting more out of this than the person who lives next door? Were on high alert on that bill, said Jennifer Rigterink, assistant director of state and federal affairs for the Michigan Municipal League, one organization that opposes the legislation. The bill was referred to the Senate Committee on Regulatory Reform. These are some of the issues created by short-term vacation rentals, according to local government and municipal officials who oppose recent state legislation that would preempt local regulations on short-term rentals. Banning the right to rent harms property owners and local businesses in many communities all over Michigan.. Right now, we just have under 300 short-term rentals, McGinnis said. House Bill 4722, along . Weve had a 33% decrease in school population in 10 years, Humphrey said. Related: Lawmakers look to stop cities from banning short-term rentals, but some say they add to housing shortage. The Village of Suttons Bay has decided to grandfather in existing short-term rental licenses and reduce the number through attrition, while looking at ways to update the ordinance and right-size the number of short-term rentals. The bill would prohibit local governments from adopting . However, the bill loosely defines common ownership as ownership in whole or in part by the same individual, individuals, or legal entity. Consequently, it seems that an individual could potentially circumvent a limit on the number of short-term rental units under common ownership by forming business entities to own additional units. House Bill 4722, introduced by Rep. Sarah Lightner, R-Springport, would amend the Michigan Zoning Enabling Act to allow short-term rentals, units where guests reside for not more than 30 days, to . The municipal law attorneys at Mika Meyers will continue to monitor developments and reports regarding HB 4722 and its potential impacts on local governments. - Amendments made by the House will be blue, such as: House amended text. 446, said the issue falls under private property protection. House Bill 4722 passed the House 55-47 during an extended session early Wednesday. Amends 2006 PA 110 (MCL 125.3101 - 125.3702) by adding sec. That seems to be lost., , a Southwest Michigan community that recently. HB 4722 - Michigan House (2021-2022) - Open States Contact Editor Susan Demas for questions: info@michiganadvance.com. While most people were sleeping the state House passed House Bill 4722 (H-11) by a vote of 55-48. 59, District They often never visit Michigan, or the city where the home is located, and have no stake in the community other than profit. Community Rules apply to all content you upload or otherwise submit to this site. In addition, the citys infrastructure water, sewer and other utilities were built for a year-round population. 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. Michigan Legislature - House Bill 4722 (2019) 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. Register now for our free OneVote public service or GAITS Pro trial account and you can begin tracking this and other legislation, all driven by the real-time data of the LegiScan API. Zoning is intended to regulate conflicting land uses and problems that ensue, and communities zone based on master plans, local needs, and the Michigan Zoning Enabling Act. The current ordinance permits short-term rentals in residential areas. or continue to examine the issue, while also opposing the bill. One issue hinges on whether short-term rentals are considered commercial use. Calls to Michigan Realtors were not returned for this story, but the association does have a statement on its website, maintaining that local governments can enforce nuisance ordinances and housing codes to protect public safety and address any unruly behavior. (1) For the purposes of zoning, all of the following apply to the rental of a dwelling, including, but not Short-term rentals incur a much larger cost due to the number of people they bring in, Humphrey said. In addition, with inflation and the rising cost of living across the country, many short-term rental hosts rely on the additional income. It just doesnt make sense and it does nothing to protect against the rights of the property owners that live around that vacation rental.. YouTubes privacy policy is available here and YouTubes terms of service is available here. Lawmakers contend HB 4722 strikes a balance between property owners who may want to buy an investment property or a second home and then rent it out while still giving local municipalities some authority in how to regulate the industry. McGinnis said Grand Haven deals with more problems and noise complaints during the busy summer months, and it would take more staff to enforce noise and nuisance ordinances associated with more short-term rentals. Michigan Municipal League, Michigan Township Association and Michigan Restaurant & Lodging Association oppose the legislation and have offered compromises. Providing tools allowing you to research pending legislation, stay informed with email alerts, content feeds, and share dynamic reports. Humphrey said short-term rentals have been destroying our town for the last seven years. He moved to New Buffalo, a Southwest Michigan lakefront community 35 miles from Chicago, with a young family and lived the experience in his own neighborhood. No legislative action had been taken on HB 4722 in the five months between when it was referred out of Committee and the legislative session when it was brought to a vote before the full chamber of the House. "I was very surprised it moved on [Oct. 27] in the way and fashion it did," said Jennifer Rigterink, a legislative associate with the Michigan Municipal League (MML), which opposes the bill.
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