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Industry News for Vacation Rental Managers

New Orleans City Council Advances Vacation Rental Ban

New Orleans City Council Advances Vacation Rental Ban
mm
Alexa Nota
January 10, 2019

Earlier today, the New Orleans city council voted unanimously to advance a proposed ordinance to restrict short-term rentals outside of commercial zones to owner-occupied properties, effectively banning the traditional vacation rental in most of the city. This vote was the first of four required to codify the restrictions.

Put forth by council member Kristin Gisleson Palmer with co-sponsorship from council members Joseph Giarrusso, Jay Banks, and Helena Moreno, the proposed ordinance distinguishes two categories for short-term rental permitting: residential permits that would be valid in residential areas but limited to those in which the owner lives on site, up to three licenses per lot, and up to three rooms and six total guests per unit; and commercial permits valid in mixed-use zones and limited to license and occupancy caps based on unit counts.

The approved motion directs the city planning commission to draft amendments to the comprehensive zoning ordinance based on the proposal. It also asks the commission to provide a number of recommendations for commercial short-term rentals on safety, security, density, and other requirements, as well as provisions to create affordable housing based on research from an inclusionary zoning financial feasibility study that is already underway.

The council also voted unanimously to approve a resolution for code amendments to include a “substantial increase” of licensing and nightly fees to support the Neighborhood Housing Improvement Fund (NHIF), for the chief administrative officer of the city to examine the feasibility of a standalone short-term rental enforcement office, and for the department of safety and permits to provide recommendations on improved platform accountability on items like data sharing, registration, and tax and fee collection.

Furthermore, the council considered a motion to direct the city planning commission to conduct a study on the possibility of special programs or conditions to allow permit holders more than one residential short-term license in limited areas to incentivize economic development in those areas. Though multiple council members expressed significant reservations about the motion, the council voted 7 – 0 to approve it.

“Local residents who have—for decades—responsibly opened their doors to travelers deserve a policy that includes them. Unfortunately, this deeply flawed ban will harm homeowners who’ve played by the rules and the small businesses that rely upon them,” Philip Minardi, director of policy communications for Expedia and HomeAway, said in a statement. “While we’re extremely disappointed that council continues to move in the wrong direction, we’re hopeful New Orleans will find a path forward that addresses housing concerns while protecting the long-standing vacation rental community.”

“It’s possible to strike a balance that allows small mom-and-pop operators to continue supporting their families and protects long-term housing stock,” Laura Spanjian, senior public policy director for Airbnb in New Orleans, said in a statement. “Instead, the overly-restrictive Palmer ban will unfairly hurt New Orleanians who rely on short-term rentals to support their families. We remain committed to working with the city on fair, reasonable regulations for short-term rentals.”
The votes followed several hours of public comments on both sides of the issue. Among them was Eric Bay, president of the Alliance for Neighborhood Prosperity, a New Orleans short-term rental advocacy group. “Collectively we need to acknowledge and harness the positive economic benefits of all types of licensed vacation rentals. We need to maintain owners opportunity for all previously licensed or current licensed properties to continue to legally operate and craft new policy for future applicants. You were elected to serve all constituents… You are all too smart to settle on a ban, an easy fix solution,” he said, speaking directly to the council.
“Banning 1,700 whole-home operators will not create one affordable housing unit. Leveraging taxes and NHIF funding can. Grandfather. Regulate. Tax. Enforce. Limit new applicants,” he continued. “Do not ban our licenses. You all can do better.”
Read More: 
New Orleans Council Set to Step Toward Vacation Rental Ban

New Orleans Councilmember Palmer Proposes Vacation Rental Ban

Airbnb and HomeAway Win Preliminary Injunction Against New York City Law

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Industry News for Vacation Rental Managers
January 10, 2019
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Alexa Nota

Alexa Nota is the co-founder and COO of Rent Responsibly. A journalist and marketer by trade, Alexa has served in many roles in the industry, including marketing director for a property management companies on North Carolina’s Outer Banks and Telluride, CO. She also served as vice president of VRM Intel where she reported on STR regulations around the country. Here she realized the need and passion for engaged local alliances and associations in order to create fair regulations and a secure home for vacation rentals in every destination's tourism economy. Together with David Krauss in 2019, she co-founded Rent Responsibly, a community-building and education platform for local vacation rental alliances. Learn more at RentResponsibly.org.

Related Itemsairbnballiance for neighborhood prosperitycity councileric bayexpediaFeaturedhomeawaylaura spanjiannew orleansphilip minardishort term rental banShort Term Rental Regulationsvacation rental banvacation rental regulations

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