HomeMy WebLinkAboutPACKET Town Board Study Session 2023-04-11 April 11, 2023
5:30 p.m. — 6:45 p.m.
Board Room
TOWN BOARDEP 5:15 p.m. Dinner
® STUDY SESSION
AGENDA
No public comment will be heard
This study session will be streamed live and available on the
Town YouTube page at www.estes.org/videos
5:30 p.m. Business/Short Term Rental License Renewal Annual Report.
(Town Clerk Williamson)
6:00 p.m. SB23-213 Land Use.
(Town Attorney Kramer)
6:35 p.m. Trustee & Administrator Comments & Questions.
6:40 p.m. Future Study Session Agenda Items.
(Board Discussion)
6:45 p.m. Adjourn for Town Board Meeting.
Informal discussion among Trustees concerning agenda items or other Town matters may occur before this
meeting at approximately 5:15 p.m.
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TOWN OF ESTES PARI
Report TOWN CLERK'S OFFICE
To: Honorable Mayor Koenig
Board of Trustees
Through: Town Administrator Machalek
From: Jackie Williamson, Town Clerk
Date: April 11, 2023
RE: Business/Short Term Rental License Renewals Annual Report.
Purpose of Study Session Item:
To provide an overview of the 2022/2023 renewal process for business, bed &
breakfast, and vacation home licenses.
Town Board Direction Requested:
Direction on the residential cap and other potential regulation changes to vacation
homes and bed & breakfasts the Board would like to address.
Present Situation:
Renewals for 2023 were issued via email for all licensed businesses and short-term
rentals on December 1, 2022, with a deadline of renewing by January 31, 2023.
Reminders were sent on December 30, 2022, January 13, 2023, and January 27, 2023.
Currently the Town has 1406 business licenses, 14 bed & breakfast licenses, and 511
vacation home licenses with 322 residentially zoned under the current cap The
municipal code states the cap shall be reviewed annually by the Town Board, in or
near the month of April.
Since the end of 2022, the Town has received a number of inquiries in relation to the
licensing of residentially zoned properties as a bed & breakfast in lieu of a vacation
home license. This appears to be a method to licensing the properties and
circumventing the vacation home license cap. Questions from property owners revolve
around ways in which their property can be improved to rent out the entire home yet
have a separate area for the owner to reside such as adding breezeways to connect
buildings, owner occupation in accessory dwelling units, building owner suites
separated from the main house by a garage, etc.
Proposal:
Staff requests Board direction on maintain the residential vacation home cap, bed &
breakfast regulation clarifications, and interest in any other potential regulation changes
to be brought forward at an upcoming Town Board meeting.
Advantages:
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• Reviewing the cap would meet the requirements set forth in the municipal code.
• Additional clarifying language for bed & breakfast would provide staff and
property owners with a clear understanding of the use.
Disadvantages:
• The Board would not meet its obligation under the municipal code to review the
residential vacation home cap on an annual basis.
• A lack of clarity on the use of a residential property as a bed and breakfast may
continue.
Finance/Resource Impact:
The item would require staff time to review and propose additional code language and if
approved the cost to codify.
Level of Public Interest
Low however there is likely a strong interest from residential property owners wishing to
operate a vacation home in a residential zoning districts.
Attachments:
1. Presentation — To be provided during the Study Session.
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4/12/2023
Business/ Short Term Rental
License Renewal Annual Report
Town Board of Trustees
April 11, 2023
A
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COLORADO
1
Why Are We Here?
To1111
review the2022-2023Annual Liens Renewal
vew License w
process.
❖ Discuss residential vacation home cap per the
requirements of the Municipal Code.
Discuss current status of Vacation Home and Bed
Et Breakfast Licenses.
❖ Review the Workforce Housing Regulatory Linkage 111)
Fee.
Discuss future changes/issues.
2
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4/12/2023
I
Outline
1. Business Licenses
2. Vacation Home Licenses
3. Bed Ex Breakfast Licenses
4. Workforce Housing Regulatory Linkage Fee
Board Questions/Discussion
3
■—
Business Licenses
Business Licenses- 2012-2022
2022 Overview
1700 — — — 1700
► 1516 licenses as of 12-01-2022 1600 1600
► 171 (67 in Town) licenses inactive 1500 1500
throughout 2022 1400 1400
1300 1300
► 3 in Town licenses relocated in 2022
1200 1200
► 22 in Town licenses transferred „00 1100
ownership 1000 _ moo
2023 Renewals 900 -- 900
► 1397 licenses as of today 800 800
700 _ __ 700
► 29 in Town licenses were delinquent 600 600
as of 02-01-2023 500 500
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
► 6 Citations were issued for Total Licensed �In Town ---Out of Town
businesses which did not renew by
02-15-2023
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4/12/2023
Vacation Home Licenses 0
Total Registered Residential Commercial Current Cap 322
Town Limits
2012 122 104 18 Vacation Homes - 2012-2022
550 550
2013 143 122 21 500 500
2014 162 139 23 450 450
2015 191 163 29 400 400
350 350
2016 267 203 64
300 Sao
2017 377 282 95 250 zso
2018 423 319 104 zoo zoo
150 150
2019 424 308 116 00 100
2020 463 322 141 50 0
2021 480 322 158 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
2022 506 321* 185 Total Registered Residential ——-Commercial
Town Limits
*1 license became inactive in 12/2022
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Residential Vacation Home Cap
Waitlist 36 Waitlist by Year Applications
Decreased by 24 since Processed
moratorium 10/2021 2018 8
2019 16
Next Application on Waitlist 2020 15
Received 02/2021 2021 14
► Reasons for waitlist attrition 2022 8
► Withdrawals, transfer of ownership, loss 2023 9
of interest, long-term renter
► Board direction/discussion on residential
cap 1
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Vacation Home Transferability
Currently allow license to be transferred if commercially
zoned or the license has been maintained since 10/18/2021
Transfer Applications I No
Transfers per Year by Yea Processed eligible
45 transfer
■
40 2018 38 n/a
35
30 2019 42 n/a
25 2020 34 n/a
20
15 I I 2021 12 4
15 I III I 2022 16 9
I I iii_ Ii.
2023 2 18
2018 2019 2020 2021 2022
•Applications •Residential .Commercial
Process *As of 04/11/2023
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Inactive Vacation Home Licenses
► Reasons licenses have gone inactive Year Total Inactive Residential Comm-
Licenses
► Workforce Housing Regulatory
Linkage Fee 2017 38 27 11
► Increase in lodging tax - Ballot 2018 39 25 14
Issue 6E 2019 26 20 6
► Too many regulations 2020 28 19 9
► No longer operating 2021 23 15 8
2022* 35 10 25
► Not actively used
*Shift due to incomplete applications(1 Res,13 Com)
► New owner
► Overdue transfer
► Expired license
Ant_'
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Bed Et Breakfast Licenses
Total Registered Residential Commercial
Town Limits
2012 0 0 0 Vacation Homes- 2012-2022
20 20
2013 1 1 0
2014 4 2 2
15 15
2015 4 3 1
2016 5 4 1
10 10
2017 7 6 1 y
2018 4 4 0
5 5
2019 17 17 0
2020 15 15 0
111
o �� o
2021 14 14 0 2012 2013 2014 2015 2016 2017 201E 2019 2020 2021 2022
Total Registered Residential —— Commercial
2022 15 15 0 Town Limits
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Bed &t Breakfast Licenses
Increased Interest in Bed £t Breakfast Commercial Property Tax Rates
licenses ► State requirements C.R.S. 39-1-102
► A result of the cap and waitlist ► Lodging accommodations for a fee
moratorium.
► How property improvements can Minimum 1 meal provided per day*
maximize renting options: ► Maximum 13 sleeping rooms
► Owner suites ► Has an Innkeeper on/near property**
► Owner occupation in ADUs ► Mixed-use property classification
► Breezeways to connect buildings ► Based on square footage of rental
► A need to clarify the difference area
between Bed Et Breakfasts and Vacation ► Must meet the State requirements
Homes for both owner and staff
► More direction on owner residency Not currently addressed in Town regulations
**Town regulations are more restrictive
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Workforce Housing Regulatory 4/12/2023
Linkage Fee
1111-
8 Exemptions were requested and granted.
Properties must be zoned CO Outlying Commercial, license was
issued when allowed in the CO zoning district, has not been used
for household living prior/since being licensed.
► 15-20 Complaints/comments were received regarding the Workforce
Housing Regulatory Linkage Fee through the renewal process.
► 1 license expired for failure to remit the fee.
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Discussion Items
► Consider adjustments to the residential vacation home cap.
► Consider refining definitions for short term rentals and updating
terminology to align with other jurisdictions, as well as alleviate confusion
with owner occupied vacation homes.
► Any additional refinement to vacation home requirements, i.e. sales tax
requirement, minimum usage, reporting during renewal, etc.
► Consider aligning the Town's bed and breakfast definition with the State
definition for consistency. If so...
► Require additional application requirements such as a drawing.
► Require a meal to be served
► Require full time residency rather than only when occupied - primary residence
e
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Board Discussion/Direction Et
Questions
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Also,our current license with the town of Estes Park requires that we have someone on the property
whenever guests are present.We will therefore have someone staying in a mother-in-lac'suite
that is oniy connected to the house through a garage beneath the kitchen.Our goal will be invisible
to you,and you will have full access to all of the main house,so please consider this as nothing
different than a regular short-term rental property.We are on the waiting list for the license that
r • -. _ doesn't require this,so we might even not be there by the time your dates arrive,but we just wanted
.A 1Pgil
to let you know.
- fy
Issues:
- No true onsite management interacting with guests
- No meals provided
- Linkage fee does not apply
- Fire pits and other solid fuel devices allowed with onsite
management
- Confusion with neighbors-Vacation Home vs Bed Et Breakfast
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SB 23 -213 - Land Use
Town Board of Trustees
Study Session
April 11, 2023
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1
Outline
Introduction
2. Scope of the Bill
Effect on Town Codes
Board Direction
2
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Introduction
Land use has traditionally been an
aspect of local control.
Bill development in 2023.
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Bill's Classification of Cities
Urban Municipalities: within a
metropolitan planning organization
Rural Resort Job Center Municipalities:
jobs and population requirements, plus
current regional transit service with at
least 20 trips per day
Non-Urban Municipalities: others with
over 5000 in population
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Bill's Classification of Cities
illr.
Urban Municipalities
•Tier I Urban Municipality •P ..
Tlu,2 Urban Munm patty 3 1#4
r
"alliiit."'
•
Bill's Classification of Cities
Urban Municipalities Urban Rural Resort Job Non-Urban
Tier 1 Municipalities Centers Municipalities
Tier 2
DRCOG:Arvada,Aurora,Boulder. DRCOG:Dacono.Fort Aspen,Avon. Alamosa.Brush,
Brighton.Broomfield.Castle Pines, Lupton.Firestone. Breckemdge, Canon City.
Castle Rock,Centennial,Cherry Fredenck Crested Butte, Carbondale.Cortez,
Fills Village.Cokmbine Valley North Front Range: Dillon,Durango. Craig.Delta,Eagle,
Commerce City,Denver, Evans,Berthoud Frisco.Glenwood Fruita.Fort Morgan.
Edgewater,Englewood,Erie,
Federal Heights.Glendale,Golden, Johnstown,Timiath. Springs.Mountain Gunnison.Gypsum.
Eaton.?Aiken, Village. La Junta,Lamar,
Greenwood Vill
age,Lafayette, Severance Silverthorne, Montrose.Rifle,
Lakewood,Littleton,Lochbuie. Pikes Peak:Monument Snownass Village. Sterling,Trinidad.
Lone Tree,Longmont,Louisville, Grand Valley: Steamboat
Northglem,Parker,Sheridan, none Springs. Wellington
Pueblo Area:none Tellunde,`Jail,
Superior.Thornton,Westminster Hinter Park
Wheat Ridge
North Front Range:Greeley.Fort
Collins,Loveland.Windsor
ii0_
Pikes Peak:Colorado Springs.
Fountain
Grand Valley:Grand Junction
Pueblo Area:Pueblo
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Impacts Inapplicable to the Town 4/12/2023
❖Middle Housing
•' Transit-Oriented Development
Key Corridors
•:. Local Housing Needs Plan Requirements
❖Greenfield Development Analysis
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Impacts on the Town
Accessory Dwelling Unit Regulations
•. Model Code
• Minimum Standards
Occupancy Limits
Water Loss Audits
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4/12/2023
Impacts on the Town:
Accessory Dwelling Units
Current Development Code Introduced Bill:
Minimum Standard.
Use by Right RE, E-1, E, R, R-1 Anywhere a single-family home
(Not R-2, RM, Nonresidential) is allowed
(Adds R-2, RM,A, A-1, CD, 0)
Design standards generally Same as principal units Only the same as apply to
single family units in the zone
Size 800 s.f. or 49% of the primary 800 s.f. or 50% of the primary,
dwelling, whichever is less whichever is greater
Setbacks Depends on zone district. No side or rear setbacks over 5
Front (15-50 ft.) feet can be required, except
Side (10-50 ft.) for health or safety.
Rear (15-50 ft.)
Occupancy Limit Family, or up to 4 unrelated Same as single-family home
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Impacts on the Town:
Accessory Dwelling Units
Current Development Code Introduced Bill: Minimum
Cost and Time "Feasibility" Must meet Town standards No local laws that
and processes "cumulatively create
unreasonable costs or delays"
or that make the ADU
"infeasible"
"Interference" with statute Must meet Town standards No local laws that "interfere
and processes with the intent" of the bill.
Further rules, undefined and Must meet Town standards DOLA has discretion to make
unlimited. and processes more rules to "update" the
minimum standards.
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Impacts on the Town:
Accessory Dwelling Units
Current Development Introduced Bill:
Code inimum Standards
Off-street parking 1 space for each bedroom No impact (only Urban
Municipalities)
Lot area If does not meet If a single family home
minimum lot size for could be built there, an
zone, allowed as a ADU would be allowed as
1
conditional use (or, if at a use by right and under
least 70%of required the same design
size, allowed with a standards.
housing covenant)
Vacation Homes Prohibited in ADUs No impact
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Impacts on the Town : Other
Current Code Introduced Bill
Occupancy Limits Household living defined No limits that differ
as a family unit or 8 or based on the
fewer unrelated relationships of the
individuals occupants
Occupancy Limits for 2 per room, plus 2, and No impact
Vacation Homes no more than 8 without
further process
Manufactured housing Not treated differently Cannot treat differently
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Impacts on the Town : Other
Water Loss Audits: Would be required,
but already conducting one.
Additional elements within new
comprehensive plans.
1
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Board Direction : Options
❖Take no position.
❖ Direct staff to advocate on the bill.
Support
-. Support with amendments
4 Oppose
Oppose unless amended
Direct staff to bring back a resolution
for the Town to take a formal position.
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Questions Et Discussion
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ESTES PARK
Future Town Board Study Session Agenda Items
April 11, 2023
April 25, 2023 Items Approved — Unscheduled:
• Joint Study Session with Estes Park • Planning Fee Schedule
Housing Authority on 6E Funds. • Proposition 123 Introduction
• Governing Policies Updates
May 9, 2023 • Stanley Park Master Plan
• Electrical Vehicle Infrastructure and Implementation
Readiness Update • Downtown Loop Updates as Necessary
Items for Town Board Consideration:
None
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