Some municipalities, including Traverse City and Grand Haven, have taken the stance that short-term rentals are a commercial activity and local zoning rules prohibit other commercial activities in residential neighborhoods. . The current ordinance permits short-term rentals in residential areas. We ask that you edit only for style or to shorten, provide proper attribution and link to our web site. The legislation would give local governments the authority to limit the number of short-term rentals owned by the same person in an effort to prevent investors from buying up multiple homes. 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. Rep. Sarah Lightner, R-Springport, sponsored 4722. 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. Theres also some opposition from business groups, like the Michigan Restaurant and Lodging Association, which says the legislation would add to the challenges the hotel and lodging industry faces while continuing to recover from the COVID-19 pandemic. 206b. Both the Michigan Realtors, an advocacy group for Michigans real estate professionals, and the Mackinac Center for Public Policy, a free-market think tank, support the legislation. ), protects an owners right to rent. An unintended consequence is a decline in population, school enrollment and quality of life for year-round residents. A Whitmer spokesperson said Wednesday the governor has not made a decision on the bill because its still going through the legislative process. 50, District The village issued a moratorium on short-term rental licenses in June and recently extended it for an additional 90 days. The Michigan Municipal League is in support of H.B. 206b. 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. Short-term rentals have been on the Michigan Legislatures radar for several years, but bills havent gained traction until last month. Metcalf lives in the area and has several short- and long-term rentals in and around Suttons Bay, which he manages and maintains. that strips power from local governments to control short-term rentals and 79% believe they should be taxed the same as hotels. If you notice any inconsistencies with these official sources, feel free to file an issue. Ottawa County has also opposed it. The final result of the House vote was 55 in favor, 48 opposed, and 6 abstentions. The definition of common ownership has a loophole big enough to drive a semi through it, Rigterink said. The heated debate continues in New Buffalo, a Southwest Michigan community that recently extended a moratorium on new short-term rental licenses until Dec. 13. May 24, 2021. DONATE, by Marla R. Miller, Michigan Advance November 27, 2022, SUPPORT NEWS YOU TRUST. - Amendments made by the House will be blue, such as: House amended text. Weve had a 33% decrease in school population in 10 years, Humphrey said. Among the states more than 1,200 townships, the league only found one with a ban in place. 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. 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. There is a growing trend in local government to enact zoning bans that preemptively tell property owners they are unable to rent, according to a statement on the Michigan Realtors website. They replaced it as a 20-person Airbnb that completely wrecked our neighborhood, he said. Proponents say House Bill 4722, sponsored by Rep. Sarah Lightner (R-Springport Twp. 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. 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. Holland Township does not allow short-term rentals through services like VRBO, Airbnb and Homestay. Skyrocketing housing costs have pushed hospitality and service industry workers into outlying areas or forced them to relocate. Beckett & Raeder report, the village currently has 61 operating short-term rentals, which represents 13% of the communitys total housing stock. If you want to open a mechanic shop in your garage, you cant do that, she said. Corporate media arent cutting it. The new version of the bill contains an exemption for existing zoning ordinance provisions that regulate the rental of dwellings by overlay district without distinction between short-term rentals and rentals for longer terms if the ordinance provisions were in place as of July 11, 2019 and initiated by petition. The ordinance has been in place since 2014, prohibiting, new vacation rentals in residential districts, but Petoskey still. Besides taking business away from traditional hotels. The bill would prohibit local governments from adopting . 206b. We have had a long history of dealing with short-term rentals and a set of regulations that are strongly supported by our community.. (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. are supported by a coalition of organizations representing local government, public safety, the restaurant and lodging industry. lived the experience in his own neighborhood. 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. Popular platforms for the homes include Airbnb and Vrbo. their names from the bill, in a somewhat unusual move. Lightner first introduced the bipartisan legislation back in April. Lightners office declined a request for an interview, but sent the Advance her statement. The bill is supported by Michigan Realtors, a real-estate advocacy group, and the Mackinac Center for Public Policy, a conservative think tank. We ask that you edit only for style or to shorten, provide proper attribution and link to our web site. 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. You cant all of a sudden convert a single-family house into a store or an auto mechanic shop. 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. The substitutes would keep short-term rentals from being zoned out of existence, but would not stop local ordinances from regulating noise, traffic, advertising and capacity. 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. The bill has been referred to the Senate Committee on Regulatory Reform. Before HB 4722 can become law, it still must be passed by the Senate and then signed into law by Governor Whitmer. It does the following: Prevents municipalities from banning short-term rentals Removes most regulations that unfairly discriminate against owners of short-term rental property When it comes to the property rights issue, there seems to be a lack of acknowledgement that everybody has property rights, Rigterink told the Advance. Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. He also worked to dispel arguments that short-term rentals are driving up prices and displacing locals. At the heart of the issue is whether short-term rentals are a residential or commercial use of property. Although short-term rentals have been a concern in resort communities for several years, the issue has expanded to inland cities and rural townships due to a general housing shortage. The people in Lansing have no concept about what this bill will do to local municipalities.. Many local officials say communities should have the final say over regulations for short-term rentals. They have said that communities are banning short-term rentals. They often never visit Michigan, or the city where the home is located, and have no stake in the community other than profit. 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. The bill would prohibit local governments from adopting zoning regulations banning short-term rentals. 67, District WHEREAS, While the amendments to HB 4722 as passed by the House emphasize the ability of local governments to inspect properties for health and safety . "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.". Banning the right to rent harms property owners and local businesses in many communities all over Michigan.. In Leelanau County, another popular vacation destination, villages and townships continue to grapple with the issue. Area residents are turning garage apartments and even backyard tents into short-term rentals, and investment companies also are buying up homes for vacation rentals. Several communities in Ottawa County have regulations on short-term rentals or continue to examine the issue, while also opposing the bill. Amends 2006 PA 110 (MCL 125.3101 - 125.3702) by adding sec. surprised many who have followed the legislation. The rental of residential property is important to Michigan second home markets and in urban areas around event destinations. 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
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