More: State bills would take away local control for short-term rentals, prompting local opposition, More: Local groups hoping for 'compromise' with Legislature over short-term rental regulation. Back in the spring, Steckloff agreed to add her name to the bill after being told it was about personal property rights not short-term rentals. At the heart of the issue is whether short-term rentals are a residential or commercial use of property. 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.. Rep. Sarah Lightner, R-Springport, sponsored 4722. worked on the compromising legislation, but it hasnt gained traction, said Judy Allen, MTAs director of government relations. 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. 23 Mika Meyers Attorneys Listed in Best Lawyers. And several destination cities, including Detroit and Traverse City, prohibit short-term rentals in residentially zoned areas. 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. Michigan Restaurant & Lodging Association oppose the legislation and have offered compromises. 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. 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. The Village of Suttons Bay, Suttons Bay Township, Village of Northport, Bingham Township, Empire Township, Leelanau Township, Leland Township and Elmwood Township have adopted short-term rental ordinances. "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. The blanket bans some communities have issued against short-term rentals completely disregard the private property rights of Michigan citizens. Humphrey agrees, saying New Buffalo has 150 rentals with active licenses plus a number of illegal rentals that the city struggles to police. - Amendments made by the Senate will be red, such as: Senate amended text. The (township) board's perspective on this is that short-term rentals are commercial activities.. Proponents say House Bill 4722, sponsored by Rep. Sarah Lightner (R-Springport Twp. 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. Based on the Beckett & Raeder report, the village currently has 61 operating short-term rentals, which represents 13% of the communitys total housing stock. 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. They replaced it as a 20-person Airbnb that completely wrecked our neighborhood, he said. The rental of residential property is important to Michigan second home markets and in urban areas around event destinations. Loud music, late-night bonfires, even PA systems, beer pong and extra tents take over the yard. Daniel Krason / Shutterstock.com. Holland Township does not allow short-term rentals through services like VRBO, Airbnb and Homestay. It is not subject to a special use or conditional use permit or procedure . The people in Lansing have no concept about what this bill will do to local municipalities.. Humphrey opposes attempts to legislate the issue from Lansing and says HB 4722 is a giveaway to private interests at the expense of the taxpayer. 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. You cant all of a sudden convert a single-family house into a store or an auto mechanic shop. 2021 House Bill 4722: Ban disparate regulations on Airbnb-type rentals. 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. To amend the law that authorizes local zoning restrictions on property owners so as to explicitly establish that short term "Airbnb" type rentals are not subject to any "special use or conditional use . Providing tools allowing you to research pending legislation, stay informed with email alerts, content feeds, and share dynamic reports. Under the bill, local governments can continue to create and enforce ordinances related to inspections, noise, traffic and other nuisances that apply to rentals and owner-occupied residences. The House Committee on Commerce and Tourism approved the bill on May 25, 2021. Municipal officials should contact Mika Meyers for assistance with any questions or concerns about the effects of HB 4722. 446, said the issue falls under private property protection. 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. 2023 Advance Local Media LLC. Lets talk about it how can we make it so people can reasonably use their properties without destroying communities?. Grand Rapids needs to add more than 9,000 housing units over the next four years to keep up with demand, city manager Mark Washington said. A 30% reduction in use during the winter months has other implications. That seems to be lost., , a Southwest Michigan community that recently. The ordinance has been in place since 2014, prohibiting new vacation rentals in residential districts, but Petoskey still has a problem with STRs operating illegally. We feel local communities are best equipped to deal with planning and zoning issues. 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.. 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. Please see our republishing guidelines for use of photos and graphics. 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. 206b. In 2017, the city developed a. in response to complaints from residents who showed up at public meetings. A single-family home was sold and renovated into a short-term rental. It was sounding a lot more like they were going to limit it down to nothing, which concerned me, Metcalf said. The current ordinance permits short-term rentals in residential areas. "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.". Corporate media arent cutting it. Bill authors are adamant that the. Short-term rentals have been on the Michigan Legislatures radar for. People who work here need to have a place to live, McGinnis said. a Southwest Michigan lakefront community 35 miles from Chicago. The legislation states a short-term rental is a residential use of property and a permitted use in all residential zones. One issue hinges on whether short-term rentals are considered commercial use. 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. Its the desirability of the area. 64. Representatives from Michigan Township Association testified in opposition to HB 4722 at early House committee hearings and worked on the compromising legislation, but it hasnt gained traction, said Judy Allen, MTAs director of government relations. Sen. Aric Nesbitt, R-Lawton, who authored S.B. 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. It wipes out local zoning control from every municipality, Humphrey said. 0:51. Sign up here The rental of residential property is important to Michigan second home markets and in urban areas around event destinations. 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. 4722 bill to amend 2006 PA 110, entitled "Michigan zoning enabling act," (MCL 125.3101 to 125.3702) by adding section 206b. Were still at the table, ready and willing to negotiate if the opportunity arises.. 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. 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, Amid the wrangling, three of the bills co-sponsors Reps. Sara Cambensy (D-Marquette), Samantha Steckloff (D-Farmington Hills) and Brad Paquette (R-Niles) . 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. Locals are using zoning to prevent nuisances she said. 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. Its the change in use that is the problem for that neighborhood, McGinnis said. The Michigan Municipal League is in support of H.B. Rigterink has been fielding plenty of calls from members after the surprise vote. 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. DEIJ Policy | Ethics Policy | Privacy Policy. 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. In addition, the law allows local governments to limit the number of units under common ownership used for short-term rentals to two. Beckett & Raeder report, the village currently has 61 operating short-term rentals, which represents 13% of the communitys total housing stock. 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. Metcalf lives in the area and has several short- and long-term rentals in and around Suttons Bay, which he manages and maintains. , maintaining that local governments can enforce nuisance ordinances and housing codes to protect public safety and address any unruly behavior. In order for us to maintain a quality life in Grand Rapids, we need additional housing supply, he said. Michigan Advance maintains editorial independence. A statement from President Joe Biden's administration says that the bill would put LGBTQ students at a higher risk. Humphrey said short-term rentals have been . 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 (1) For the purposes of zoning, all of the following apply to the rental of a dwelling, including, but not While most people were sleeping the state House passed House Bill 4722 (H-11) by a vote of 55-48. 206b. The rental of residential property is important to Michigan second home markets and in urban areas around event destinations. House Bill 4722 was not on the Oct. 26 agenda, but an amended version passed 55-48 after the GOP-controlled House stayed in session past 2 a.m. Oct. 27. We have put forth compromise after compromise, Allen said. 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. Representative Markkanen's office declined the Gazette's request for comment. Each one has different needs and different makeups. The Village of Suttons Bay is reexamining its current ordinance after complaints from residents and even hired a firm, Beckett & Raeder of Ann Arbor, to research short-term rental regulations in communities around Leelanau County and elsewhere. Whats next in the fight over regulating short-term rentals, After years of misogyny, racism and threats in Lansing,, Hes doing their bidding: Critics say Republicans use. Airbnb will continue to work with leaders across the state on balanced rules that protect property rights, help address community concerns, and support the states tourism economy.. An unintended consequence is a decline in population, school enrollment and quality of life for year-round residents. (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. figure, .tipContainer, .socContainer, .subscribeShortcodeContainer, .donateContainer {display:none !important;} .youtubeContainer { position: relative; padding-bottom: 56.25%; padding-top: 30px; height: 0; overflow: hidden; margin-bottom:12px; } .youtubeContainer iframe, .video-container object, .video-container embed { position: absolute; top: 0; left: 0; width: 100% !important; height: 100%; margin: 12px 0px !important; } .newsroomSidebar {width:35%;max-width:35%;padding:10px;border-top:solid 2px black;background-color:#d3d3d3;float:right;margin-left:50px;} .snrsInfoboxSubContainer {padding:10px;border-top:solid 2px black;background-color:#d3d3d3;} .halfwidth {float:right;width:50%;max-width:50%;} .indent2Container {margin-left: 1em;margin-bottom:1em; border-left: solid 1px black;padding-left: 2em;} @media only screen and (max-width: 600px) {.newsroomSidebar {max-width:95%;width:95%;margin-left:4%} .halfwidth {float:none;width:100%;max-width:100%;} }. The Michigan Municipal League is among the groups opposing the bill. The bill passed just after 2 a.m. Wednesday morning, and it could mean more . The bill does not appear to have enough support in the legislature to override a veto. They havent fully banned them, but youre banning it for the vast majority of property owners, Skorup said. Cookie Settings/Do Not Sell My Personal Information. Amends 2006 PA 110 (MCL 125.3101 - 125.3702) by adding sec. Saying that were going to let nuisances happen, and then well let people issue a noise violation. 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. We have put forth compromise after compromise, Allen said. 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. Murphy said the bill would void our efforts and the will of the people here in Petoskey.. 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. "It was disappointing, then, to see the House of Representatives work through the night to pass legislation that will make the hotel industry's recovery that much harder.". Lightners office declined a request for an interview, but sent the Advance her statement. (AP Photo/Patrick Semansky)AP. 206b. 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. The league and the Michigan Township Association are not advocating for bans, Gilmartin said. GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX, by Marla R. Miller, Michigan Advance November 6, 2021. Short-term rentals incur a much larger cost due to the number of people they bring in, Humphrey said. The legislation aims to protect Michigan property owners fundamental right to use their dwelling or home as a short-term rental, according to proponents. 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. Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. Holland is another West Michigan community that has enacted local ordinances to manage short-term rentals, permitting them in commercially zoned areas such as the downtown. He also worked to dispel arguments that short-term rentals are driving up prices and displacing locals. Follow them on Twitter @arpanlobo, @BizHolland and @cjmuyskens. Question should be asked of those supporting the Michigan Housing Coalition whove signed on acknowledging housing issue across our state, yet also are pushing hard for unfettered short-term vacation rentals, Rigterink said. , Each community is different. 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. Short-term rentals have been on the Michigan Legislatures radar for several years, but bills havent gained traction until last month. Nobody knew they were voting on it.. Listings on Airbnb comprise 0.3% of total dwellings across the state, according to data from Airbnb, and 61% of Michigan hosts are women and over 25% are over the age of 60. Toilet paper wasnt the only shortage caused by the pandemic. He was surprised about the late-night vote on the bill. Typically, tourists, vacationers and some business travelers rent them for a brief stay, or not more than 30 days, through platforms like Airbnb, VRBO, Vacasa, Turnkey and others. Lightner first introduced the bipartisan legislation back in April. The village issued a. moratorium on short-term rental licenses in June and recently extended it for an additional 90 days. The bill has been referred to the Senate Committee on Regulatory Reform. 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 . Introduced by Rep. Sarah Lightner R-Springport on April 27, 2021. The bill was referred to the Senate Committee on Regulatory Reform. The Thats the worst kind of public policymaking, he said. For additional roll call votes on Michigan HB4722 please see the Vote List Bill Title: Land use: zoning and growth management; Michigan zoning enabling act; amend to include short-term rentals. The current ordinance permits short-term rentals in residential areas. The reason it is a big deal now is the internet and Airbnb, he added. The bill was referred to the Senate Committee on Regulatory Reform. Last year, the Michigan House of Representatives passed House Bill 4722, which, if enacted, would establish short-term rentals as a residential use permitted in all residential zoning districts throughout the state. The definition of common ownership has a loophole big enough to drive a semi through it, Rigterink said. 104, District "Legislation should not politicize our . HB 4722 passed Michigan's House with a vote of 55-48. Grand Haven welcomes short-term rentals, but there needs to be a balanced approach, McGinnis said. 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. Imagine buying your first home in a coastal community or even your dream home on a lake and creating a peaceful backyard oasis. House: House Third . HB 4722 Michigan House Bill 2021-2022 Regular Session Introduced in House Apr 27, 2021 Passed House Oct 27, 2021 Senate Governor Land use: zoning and growth management; Michigan zoning enabling act; amend to include short-term rentals. You cannot legislate for the entire state of Michigan, she said. Airbnb says HB 4722 and HB 5605 would modernize Michigans regulation of short-term rentals. Our stories may be republished online or in print under Creative Commons lisence CC BY-NC-ND 4.0. There has been some movement. While the Legislature is currently controlled by Republicans, Democrats won both chambers, which adds to the uncertainty of what might be on the last session agendas of the year. Contact Editor Susan Demas for questions: info@michiganadvance.com. Of Michigans 533 cities and villages, not one has a full short-term rental ban on the books, Gilmartin said. Petoskey has an ordinance that permits short-term rentals in a business district with a city license. House Bill 4722, introduced by Rep. Sarah Lightner, R-Springport Township, passed 55-48 after the House remained in session past 2 a.m. I dont have two identical townships. HB 4722 is supported by Airbnb, the Michigan Association of Realtors and the Rental Property Owners Association. 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. Data on Open States is updated periodically throughout the day from the official website of the Michigan Legislature. lived the experience in his own neighborhood. This is not a false concern. , sponsored by Rep. Sarah Lightner (R-Springport Twp. The Michigan Advance is a nonprofit outlet featuring hard-hitting reporting on politics and policy and the best progressive commentary in the state. The bill specifies that short-term rentals would be subject to parameters required for other commercial uses in a residential district. Marla R. Miller is an award-winning journalist and content marketing writer who previously worked for newspapers in Indiana and the Muskegon Chronicle. 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. 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. It was supported by Representative Greg Markkanen, R-Hancock. The final result of the House vote was 55 in favor, 48 opposed, and 6 abstentions. You cannot approach this as a one-size-fits-all, she told the Advance Thursday. This exemption is remarkably narrow and specific; it does not seem to further a distinguishable public policy purpose, but rather it appears to be a byproduct of political maneuvering among legislators. Proponents say that will prevent outside investors and corporations from owning too many units, but opponents disagree. But she said there are problems with the bill, particularly the stipulation that permits short-term rentals in up to 30% of existing residential units. that strips power from local governments to control short-term rentals and 79% believe they should be taxed the same as hotels. 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. The bill would prohibit local governments from adopting . Rigterink disagrees and said that is the whole point of zoning for conflicting uses. in residential areas with various regulations that was adopted as part of its local zoning ordinance. I would hope the Senate is more levelheaded. 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. Its skyrocketed in popularity.. An amendment offered before Wednesdays vote would also allow local units to set limits for how many short-term rentals a property owner could operate, with a limit of no fewer than two. 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. Short-term rentals also are popular among tourists throughout Michigan. Jennifer Rigterink, assistant director of state and federal affairs for the Michigan Municipal League, one organization that opposes the legislation. The average limit is 6.4% of the housing stock based on other Leelanau County communities that have short-term rental caps. No legislative action had been taken on HB 4722 in []

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