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File #: 20-0174    Version: 1
Type: report Status: Filed
File created: 2/14/2020 In control: Planning Commission
Agenda date: 2/24/2020 Final action: 2/24/2020
Title: Short-Term Rental Status Update
Attachments: 1. Project web page, 2. Lodging Tax chart, 3. Guiding Principles

Title

Short-Term Rental Status Update

 

Recommended Action

NA.  Status update only.

 

Report

Issue:

Briefing from staff on process for addressing short-term rentals.

 

Staff Contact:

Catherine McCoy, Associate Planner, Community Planning and Development, 360.570.3776

Leonard Bauer, Deputy Director, Community Planning and Development, 360.753.8046

 

Presenter(s):

Catherine McCoy, Associate Planner, Community Planning and Development

Leonard Bauer, Deputy Director, Community Planning and Development

 

Background and Analysis:

Short-term rentals are one of the best known and widely used examples of the rapidly growing sharing economy.  Some of the most commonly known online short-term rental platforms include:  Airbnb, HomeAway, VRBO, and Flipkey.  Local listings for short-term rentals have grown as a proportion of overall lodging stays over the past several years, as shown in the attached City of Olympia lodging tax chart.

 

The city’s zoning code does not currently define a “short-term rental.”  As a result, properties advertised and used as short-term rentals are not currently regulated by the City, though state law does include some regulations of short-term rentals. 

 

The purpose of this project is to establish clear and objective standards for short-term rentals that protect public interests, promote fairness, help to meet our community’s unique social and economic needs, and align with our community priorities. 

 

The City Council’s Land Use and Environment Committee has provided direction to staff for this project in the form of Guiding Principles (attached).  These Principles were introduced on the project website, and received broad support in comments received.

 

Based on the Guiding Principles, a survey of potential approaches to regulating short-term rentals is available on the project website.  Staff will review preliminary responses to the survey and examples of comparable cities’ approaches.

 

Neighborhood/Community Interests (if known):

Short-term rentals may have impacts throughout the city.  Staff have met with a variety of stakeholders and interested groups, including to the Council of Neighborhood Associations, short-term rental operators, the City’s lodging tax advisory committee, and others.  These groups have voiced concerns about effects on economic opportunities, long-term housing affordability, and neighborhood character and quality.

 

Options:

NA.  Status update only.

 

Financial Impact:

Staff resources in Community Planning and Development have been allocated to this work effort.  There may be increased costs to implement and enforce additional programs or regulations, if adopted.

 

Attachments:

Project Website

Lodging Tax Chart

Guiding Principles