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HomeMy WebLinkAboutMINUTES Town Board Informal Meeting 1998-09-24BRADFORD PUBLISHING CO.RECORD OF PROCEEDINGS SHORT TERM RENTALS Informal Town Meeting - September 24, 1998 Attending: Also Attending: Mayor Dekker, Trustees Barker, Baudek, Jeffrey, Marshall Town Administrator Widmer, Sr. Planner Joseph, Town Attorney White, Clerk O'Connor Trustee Baudek called the meeting to order at 7:01 p.m. and extended the Town's welcome. The Town Board is interested in what citizens have to say on the subject of Short Term Rentals. Purpose. For the public to express their views and ideas on short term rentals, the Town Board will listen and later consider some action. The audience was urged to keep in mind that any ordinance passed would apply only to those residents within Town limits. Everyone will be given an opportunity to express their views, and staff will give each speaker the portable microphone. If anyone prefers using the podium it is available, and notes of this meeting will be recorded. Speakers are to give their name and address, and if they are representing a homeowner's association, the association should be named. No one should speak a second time before all are given a first turn. Comments should be limited to three minutes, and speakers and the audience were encouraged to treat everyone with respect and courtesy. After everyone has spoken a first time, anyone wishing to clarify any points will be given another opportunity to speak. Requesting speakers not repeat themselves. Trustee Baudek noted the goal is to conclude by 9:00 p.m.; however, everyone, regardless of the hour, will be allowed to speak. George Hockman, 1625 Prospect Estates Dr. As he understands the purpose of the original ordinance, the intent is to preserve the quiet nature of residences/neighborhoods. He needs to know first if an enforceable ordinance can be drafted; if not, the ordinance would be useless. The Town Board should look at the best solution for the community. Since most people reside in residential areas, it appears reasonable to preserve their neighborhoods if possible. The Town Board has received a letter from Carole Harrison, 1751 Windcliff Dr., and she had interesting ideas that should be considered: compromise in those areas which might particularly satisfy various factions. Short term rentals in residential areas be defined as vacation rentals with a minimum of 6 consecutive nights—this would eliminate noise and activity associated with moving in and out every day, traffic in and out. The maximum number of renters permitted in a condominiums or houses be limited by the number of bedrooms, with 2 people/bedroom, up to a maximum of 6 people/unit. The maximum number of vehicles/rental unit be limited to 1 car/bedroom, with a maximum of 3 vehicles. This idea would allow people that need an income for rentals shorter than a one month rental to have income and eliminate short term. Terry Conley, 1309 Koral Crt. Concerned with property zoned E- Estate, and he is President of the Koral Heights Homeowners Assn. In Koral Heights, there are 67 homeowners with only one short term rental property. When he purchased his property in 1983, he believed he was protected against rentals, and he questioned what protection is available to his association from the County. He has discussed this issue with the County Commissioners and they BRADFORD PUBLISHING CO.RECORD OF PROCEEDINGS Informal Town Meeting - Short Term Rentals - 9/24/98 - Page 2 suggested owners amend their covenants. Thus, their covenants are being revised to prohibit short term rentals, and they are granting a variance for the one existing short term rental site. The Town Board and Larimer County are not being fair to property owners in E-Estate zoning. Gary Oliver, 1755 Dekker Cir. (20 yr. resident) . Mr. Oliver expressed his appreciation to the Town Board for having the meeting, and stated the issue is not about rentals, it is about use. Whether property rented out for short term or whether a family who lives out of state allows other family members, friends, neighbors to use the property on a short term basis creates the same problems residents are worried about. Short term rental should not be allowed just because owners are collecting revenue; what about without revenue, i.e.: heirs inherit property and allow its free use. If use is restricted, restrict reunions to a certain number of cars, etc. Carol Bissell, 1884 Devils Gulch Rd. Her property is located in Larimer County, zoned rural estate. The EVPC and County Commissioners are following this issue carefully and will be strongly influenced by Town Board action. This issue has been publicly discussed on three occasions. Allowing short term rentals is similar to allowing push cart vendors to sell their wares in competition with merchants. When Town Attorney White reviewed the law he advised that the definition of short term is less than 30 days which is not allowed in certain zones, and he added that the Town has a real problem as the current Code is not being enforced. Ms. Bissell is the Past President of the North End Homeowner's Assn, and with one exception, when residents were surveyed, everyone else was adamant that they did not want commercial activity in a residential area. Residents will fight to defend their property rights, not based on renters being "bad folks", nor are short term "disasters", but if there are a few rentals, there is reason to believe there will be more, plus potential Bed and Breakfasts—all of these instances change the nature of neighborhoods. Ms. Bissell related a friend's experience in Town with property that is not zoned for short term rental and a neighbor rents short term. The friend will not speak out even though she is asked to turn-on the heat in the house for guests, and the owners do not landscape, and the opportunity to get to know neighbors is lost. Turning a neighborhood into a commercial zone is not in the long term interest of Estes Park. Patrick Cipolla, 632 Aspen Ave. If the Town decides to issue business licenses to short term rentals, the name and address should be reported to the County to establish a level playing field with "mom/pop" motel owners. If property owners are paying a 29% tax rate for motels, and short term rental property owners are taxed at 9%, this is unfair; both should be taxed at 29%. Leonard Schmidt, 1010 St. St. Vrain. Member of the Eagles Landing Homeowners Assn. Questioned whether condominiums are included in short term rentals. Trustee Baudek responded in the affirmative. Dominick Taddonio, resides in a residential area outside Town limits. A packet containing ads and other information concerning rentals in Windcliff Estates was presented to each Board member. He reminded the Board that the ordinance presented to them is a BRADFORD PUBLISHING CO.RECORD OF PROCEEDINGS Informal Town Meeting - Short Term Rentals - 9/24/98 - Page 3 prefacing statement that could be used as a precedent for an application throughout the whole valley. Mr. Taddonio emphasized he was attending as a private citizen and homeowner. In a September 18th Trail Gazette article, statements embodied what this issue is not about. It is not about intolerance and irrationality, where a minority of homeowners are trying to make the rules for everyone. Elected officials make up the rules for the majority. Short term rentals are a violation of property rights, and they should be restricted. On use that is well established, property owners cannot be deprived without just compensation. The issue is about harmonious development in heath, safety and general welfare of all the people. To promote harmonious development municipal development codes and uses are implemented. Why the Town would not allow a hog farm near the Trail Gazette even though it would bring in taxes is due to zoning districts. The Zoning Code Statement of Purpose was read aloud. In his community, 1 out of 3 residents are strangers where conferences, receptions, beer parties, etc. occur. The mountains are used for repelling practice, there are fireworks displays, dangerous drivers unfamiliar with mountain driving, and more. Intrusions are not limited to Windcliff renters. At the Planning Commission meeting February 17th, a neighboring property owner stated he often hears noise from renters in the Windcliff area and incidents can make life miserable. Those defending rentals in prohibited areas because rentals have always been there, etc., and that revenue is needed to pay for a mortgage, these may be personal concerns, how are they justified to the rest of the community. Some people have referred to the opponents as intolerant, saying they lack empathy, however, the County has had a restriction on their books a long time. In 1989, transient was defined as one who rented for less than 30 days, and all knew the intent of the ordinance. At a 1/26/94 EVIA forum for E- Estate rentals, Messrs. Dement and Garrett supported rentals and asked the ordinance be stricken or lowered. Why would these persons request a change if they didn't think they were breaking the law—who is destroying harmonious development. He is not talking trivia here, the intrusions are full blown commercial, tied to real estate brokerage. A loophole has been discovered in the preparation of the existing Town ordinance. Everyone knows the intent and the ordinance should be fixed; perhaps the ordinance should be written to grandfather for 3-7 years. Although valid questions have been raised on enforcement and defense, they should not limit consideration on rentals. The Town Board should be compelled to do what is right considering all citizens and harmonious development. The Town should consider their actions, control by complaint basis will pit one neighbor against another. Valley residents will eventually outnumber Town residents by 2/1, and he urged the Town not to adopt the proposed ordinance, and if it is rewritten, grandfather only if need be. The Town should arrange a supervised vote specifying conditions and let the chips fall where they may. It is incongruous to maintain E-Estate with short term rentals. Cindy Oliver, 1755 Dekker Circle, 20 year resident. She owns a motel business, and they have rentals off the motel property. They have found that people who want homes don't want to stay in a motel. With one rental property, they use it approximately one-third of the time for friends and family, and these guests have been accosted by neighborhood residents. How will the Town enforce short term rentals when the site is being used for family use. She agrees this is a use issue, it is impossible to BRADFORD PUBLISHING CO.RECORD OF PROCEEDINGS Informal Town Meeting - Short Term Rentals - 9/24/98 - Page 4 enforce, and the ordinance won't allow family use. Concerning fireworks and repelling, these incidents could be anybody's grandkids. The property owner is responsible, if there is a problem, they want to know about it. Their guests are screened, and their guests have not caused any problems. Can the Town say it is better to rent thirty days v. one week—is this constitutionally correct? From a constitutional rights stance, it doesn't sound right to her. She does understand the homeowners and neighborhood concerns, and she believes there needs to be communication between them on how best to resolve these concerns. Ms. Oliver also commented on different methods property owners could utilize to continue their rental business. This is an Estes Valley decision, and she stressed that hopefully all can join together to solve this problem. Craig Stephens, 1581 Zermott Trail, part-time resident. He was in the rent pool at Windcliff for 17 years, and now owns a home in this subdivision. He has looked at short term rentals internally and polled the membership—they do not object to rentals. Windcliff residents view Estes Park as a fun, quiet place, and they are a year-round fragment of the entire population. Out of 95 homes, there are only 25-26 in the rental pool. He has seventeen years of rental experience here and the average rental is for 17 weeks, they are not year-round rentals. Rentals make such operations economically feasible. The quality of renters is very high, and there is virtually no property damage. He does recognize the use issue; however, short term rentals are very popular in the valley. There is a shortage of rooms with approximately 200,000 visitors, and there aren't enough motels. Windcliff has a rental history of 25 years, and he was not personally aware that rentals in E-Estate were a problem; grandfathering is appropriate. Wade Whilden, part-time Windcliff resident. Short term rental is a use issue. The rental business is important to the community- many people come here to rent homes and they don't want a motel. He first came to Estes Park in 1949, and through the years, he and his family purchased a home here. Regarding Mr. Taddonio's comments regarding repelling and fireworks, full-time residents may be doing the same thing; but when renters are involved, there should be stringent controls. Approximately 80% of the owners responded to a poll, and 80% supported rentals. Windcliff owners are proud of their community, and they know their neighbors. On the economic issue, if there are 1,600 rental weeks x 7 days = 11,200 days. If there are five people/party = 56,000 people. If they average spending $100/person, it equates to more than $5.5 Million to this economy. Testimony offered today was good; the ordinance is a compromise, and it is fair and can be defended. Regarding covenants, if homeowners don't like the ordinance as passed and if they want more stringent restrictions, they can do so in their own neighborhoods. Mr. Whilden encouraged the County to do what the Town Board does to eliminate any distinction between both entities. He opposes grandfathering as it doesn't solve the problem, and creates another status—it leads towards a solution that he thinks is wrong. Most people came to Estes Park as renters, and stringent control on short term rentals may drive people who want homes here to other communities. Rental brings the type of people to Estes we want, not people who like to go to Aspen, Vail. The Trail Gazette editorials were well thought out, identifying that rentals are a basic property right issue, and he urged the Town to let people BRADFORD PUBLISHING CO.RECORD OF PROCEEDINGS Informal Town Meeting - Short Term Rentals - 9/24/98 - Page 5 use their property, and if they are not offending neighbors, let them go. The Ordinance is fair. Murial Ream, 671 Heinz Parkway. There are only three property owners that rent in her area. One of those will loose his property if he can't rent it, and other than 1997, there were no problems resulting from renters this year. Bart Schmidt, 321 Big Horn Dr., President/Lewiston Condominiums. People rent short and long term, and his Association has adopted stringent rules to govern use. Their rules cover cars, people, and the amount of rental time. A rental period minimiam is one week, if the period is lessened, the party is gone before any complaints can be addressed. The Association does have some problem with short term rentals, however, they are few and far between. Owners must sign a form that they have read the rules and that they will follow them. Third-party rental agents are a problem as they are not concerned with their rules. They have found that out of state owners who utilize property managers don't necessarily take care of the property as an owner would. Bob Mussman/Sunnyside Knoll Resort. From a resort owner's standpoint, how is a business allowed in E-Estate. Additionally, if people operate a business, many things should happen so there is a level playing field: utility rates, taxes, mortgage rates, interest rates, etc. Is it illegal to sign a mortgage and use the property for commercial purposes? Mr. Mussman urged the Town Board to make everything more equal. Brian Mitchner, 2332 Mountainside Dr. He is a County resident who has rented long-term for over 20 years and in his experience, short term rentals require a presence—absentee owners or managers are otherwise unavailable if a problem arises. Homeowner's rights should be respected when people buy a home where short tern rentals was not permitted—it is a matter of integrity. Down-zoning, tax evasion, insufficient amount of low- cost housing for employees were also mentioned. Vail and other municipalities require developers to provide 20% of their project for employee housing, this creates a harmonious community. The Town should create a model to be proud of for the entire valley and not make it worse. Agreed that Carole Harrison did have some good suggestions. Associations are limited in what they can enforce, this is a Town responsibility. John Hiatt, 3254 Eaglecliff Dr., Windcliff. He is a former renter, and has been a permanent resident for the past three years. During his rental period, he appreciated the experience of his neighborhood, and he would not be a property owner if not for short term rental. He never experienced negative incidents, and he urged the Board to continue with some sort of short term rental. Ursula Scott, 560 Larkspur Rd., High Dr. She is an absentee property owner who utilizes a rental agent. With rental income, she has been able to preserve a rustic cabin which serves as an example of Estes Park's former characteristic era of the 30's. Trustee Baudek announced a 5-minute break at 8:06 p.m. The meeting was reconvened at 8:10 p.m. BRADFORD PUBLISHING CO.RECORD OF PROCEEDINGS Informal Town Meeting - Short Term Rentals - 9/24/98 - Page 6 Leonard Schmidt, Eagles Landing Assn. He lives in a condominium and these owners have different problems then homeowners. Due to the structure at Eagles Landing, they invite very short term rentals. Recently, an apartment was rented to too many people and a pet, this created problems with vehicles. Mr. Schmidt encouraged a condominiiim rental limit of one month. Additionally, the ordinance should contain language that makes the rental agent responsible. Vicky Holler, 384 Park View Ln. They own long term rental property and they have as many problems with long term rentals as residents are experiencing with short term. If short term rentals are not allowed, this will create a problem for people who can't afford to be here otherwise. It is unfair to take private property rights. Caldwell Banker handles both short and long term rentals. Patty Taylor Czarnowski, 2180 Blue Spruce Dr. In fairness of E- Estate property owners, they have property rights too. These residents don't expect a business next to them, and property owners who are renting their homes aren't paying the same taxes as commercial. What are property rights worth. Carol Bissell. She has heard testimony for the need of rental property in Estes Park, and perhaps trends are changing and maybe people want homes in lieu of motel rooms. Accommodations on Fall River Rd. are addressing that need. Tiny Town could have bigger cabins and rent. With commercial loans, why is there a need to bend the rules to help pay a mortgage. Estes Park is both a resort and real Town with real people living here year around. There are benefits from both. People will move here and will find homes even if they don't get special breaks. Rental property owners should pay the same taxes, and vote in their area to allow—why compete with accommodations when not on the same basis. Cindy Oliver/Brynwood on the River. Reiterated that some people don't want a motel, they want a vacation home. If they don't get a home from her, they will go to another Town. If have weekly rentals, renters can be told to leave if there is a problem, they're gone that night. Terry Conley. Commended everyone for listening to all comments. Is there a valley-wide solution? In his Association, there is only 1 out of 67 homes that is rented, and Windcliff residents have reported that Windcliff has been renting for 25 years; perhaps residents are afraid of the unknown, and also believe the County let them down. If there is any solution, it should include a 24 hr. rental agent available for problems. Wade Whilden. He agrees, a local contact is important, employee elimination of short term rentals will hurt the economy, families do want homes not motel rooms as travel patterns have changed and few travelers take a month vacation now. Concerning mortgage rules, previous testimony is not correct—when a mortgage is obtained, there are no rules against renting the property, and property owners are not breaking the law by renting their homes. Dominick Taddonio. During this meeting, people have missed the point. The audience is forgetting that people also come here to BRADFORD PUBLISHING CO.RECORD OF PROCEEDINGS Informal Town Meeting - Short Term Rentals - 9/24/98 - Page 7 live in residential areas, zoned E-Estate or higher who understand that permitted uses don't include transient type of rentals and they deserve protection. Areas can rezone to become accommodations, but E-Estate should be left unfettered. Lynere Whilden, Windcliff. Every person that lives in Windcliff bought their property when rentals were in effect, and Windcliff has had rentals for 25 years. Jim Czarnowski, 2180 Blue Spruce. This issue is important even though it may not be the largest problem in Town. Good government protects the rights of the people and not special interest. It is illogical to allow commercial use in residential areas. Government must do a good job to see what was originally intended is enforced. Bob McCreery, 2725 Devils Gulch Rd./North End Association President. In his rental property experience in Hawaii, the owner must have a manager even if the home is not rented year- round. A local person must be accountable, and the manger is perhaps more responsible than the owner, particularly if the owner is absent. Problems could be resolved with a responsible manager on a 24 hr. basis. His family began renting cottages in the 20's. With current zoning, he is comfortable with the situation and prefers not having short term rentals in the area. People should obey zoning regulations currently in effect. If short term rentals are desired, zoning should be changed. People should obey the law as it stands. Town Attorney White clarified the Town's position on short term rentals. The term short term rentals was never mentioned when the Town Zoning Code was adopted in 1986, therefore, it was not drafted into the Code. The Town did not err as this subject was not then an issue. Mr. Taddonio is incorrect in his statement to the contrary. As there were no further comments. Trustee Baudek extended his appreciation to the audience for the courtesy they extended, and is hopeful many questions were answered. The meeting adjourned at 8:33 p.m. Vickie O'Connor, CMC/AAE, Town Clerk