The legislation prohibits local municipalities from adopting zoning regulations that outright ban short-term rentals or make them subject to a special-use or conditional-use permit. So that doesnt actually stop the nuisance from happening.. The bill passed just after 2 a.m. Wednesday morning, and it could mean more . The rental of residential property is important to Michigan second home markets and in urban areas around event destinations. PDF Resolution Opposing Michigan House Bill 4722 and Senate Bill 0466 (2021 It does erode the long-term opportunities for people to live here.. Please see our republishing guidelines for use of photos and graphics. In my district, 30% is almost 15,000 of our housing stock.. Use of and/or registration on any portion of this site constitutes acceptance of our User Agreement (updated 4/4/2023), Privacy Policy and Cookie Statement, and Your Privacy Choices and Rights (updated 1/26/2023). McGinnis has attended previous legislative hearings in Lansing to address attempts to change the law. has a problem with STRs operating illegally. Municipalities dismayed, property owners pleased as short-term rental The bill passed in the House, 213-208. We dont agree with that, but they should have the ability to regulate them to balance the need of full-time residents as well as accommodate visitors. I dont want this legislation unintendedly to create a further gap, a further erosion of our housing supply.. While most people were sleeping the state House passed House Bill 4722 (H-11) by a vote of 55-48. Follow Michigan Advance on Facebook and Twitter. At the heart of the issue is whether short-term rentals are a residential or commercial use of property. 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 . My biggest fear is housing and apartments for our seasonal and everyday laborers in Petoskey; that it will take up those spaces with short-term rentals knowing someone can make one months rent in a week during the busy season of the year, said Petoskey Mayor John Murphy. MARQUETTE State Rep. Sara Cambensy, D-Marquette, is a cosponsor of House Bill 4722, which would "amend the Michigan Zoning Enabling Act to provide that the short-term rental dwelling, for 30 . She called it a freshman mistake and fielded complaints from constituents and local officials in her district for months. Short-term rentals also are popular among tourists throughout Michigan. Although the substitute bill would allow local governments to limit the total number of units that may be used as a short-term rental in their jurisdiction, the bill requires that any such limit not be less than 30% of the total number of residential units in the municipality. "Legislation should not politicize our . While those opposed to the bill say communities arent banning outright short-term rentals, Skorup argues that municipalities like Holland Township and St. Clair Shores essentially have full bans through their zoning. for service-industry workers or people who want to relocate to the community for employment. If, 30% becomes the number, then enforcement becomes a huge issue., Local governments could still enforce ordinances related to parking, noise and nuisance complaints. In Leelanau County, another popular vacation destination, villages and townships continue to grapple with the issue. It was sounding a lot more like they were going to limit it down to nothing, which concerned me, Metcalf said. Tackling short-term rentals was a tumultuous two-year process that included a moratorium on city-issued licenses for rentals in May 2020, and a Nov. 23, 2021, special session where the. The Arguments Against Short-Term Rentals Are Shallow Summary; Sponsors; Texts; . Corporate media arent cutting it. HB 4722 is supported by Airbnb, the Michigan Association of Realtors and the Rental Property Owners Association. 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. There is a growing trend in local government to enact zoning bans that preemptively tell property owners they are unable to rent, the group says. Grand Rapids needs to add more than 9,000 housing units over the next four years to keep up with demand, city manager Mark Washington said. Representatives from Michigan Township Association testified in opposition to HB 4722 at early House committee hearings and worked on the compromising legislation, but it hasnt gained traction, said Judy Allen, MTAs director of government relations. Why are they getting more out of this than the person who lives next door? Ottawa County has also opposed it. Short-term rentals incur a much larger cost due to the number of people they bring in, Humphrey said. I dont have two identical townships. We have put forth compromise after compromise, Allen said. Amends 2006 PA 110 (MCL 125.3101 - 125.3702) by adding sec. Michigan House Bill 4722 ( Prior Session Legislation) MI State Legislature page for HB4722 Summary Sponsors Texts Votes Research Comments Track Status Spectrum: Strong Partisan Bill (Republican 12-1) Status: Engrossed on October 27 2021 - 50% progression, died in chamber Action: 2022-10-11 - Referred To Committee Of The Whole House Bill 4722 has four main components: it would bar local governments from enacting or enforcing ordinances that ban short-term rentals; it would place a cap on the total number of short-term rentals to 30 percent of all residential units; local governments could limit an owner or ownership group to two short-term rental properties; Were still at the table, ready and willing to negotiate if the opportunity arises., 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, . Representative Markkanen's office declined the Gazette's request for comment. If you notice any inconsistencies with these official sources, feel free to file an issue. If you purchase a product or register for an account through one of the links on our site, we may receive compensation. PDF HB-4722, As Passed House, October 27, 2021 - Michigan Legislature No legislative action had been taken on HB 4722 in [] - Amendments made by the Senate will be red, such as: Senate amended text. DONATE 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. Representatives from Michigan Township Association testified in opposition to HB 4722 at early House committee hearings and. While the Legislature is currently controlled by Republicans, Democrats won both chambers, which adds to the uncertainty of what might be on the last session agendas of the year. Humphrey argues that short-term rental owners dont pay any additional taxes, other than the non-homestead tax rate, or fees to local communities, like a lodging or tourism tax. Petoskey has an ordinance that permits short-term rentals in a business district with a city license. ), protects an owners right to rent. A statement from President Joe Biden's administration says that the bill would put LGBTQ students at a higher risk. This exemption is remarkably narrow and specific; it does not seem to further a distinguishable public policy purpose, but rather it appears to be a byproduct of political maneuvering among legislators. The city even took an illegal STR operator to court after they were cited numerous times and won. 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. surprised many who have followed the legislation. But opponents say short-term rentals should be regulated at the local level. Michigan Legislature - House Bill 4722 (2019) Airbnb makes long awaited debut on stock exchange, Thirteen years after its founders first rented air mattresses in their San Francisco apartment, Airbnb is making its long-awaited stock market debut. Our stories may be republished online or in print under Creative Commons lisence CC BY-NC-ND 4.0. The rental of residential property is important to Michigan second home markets and in urban areas around event destinations. Bridgman Council members told short-term rental bill alive in State Based on the Beckett & Raeder report, the village currently has 61 operating short-term rentals, which represents 13% of the communitys total housing stock. (The Center Square) - Local governments are pushing back on bills that aim to prevent cities from banning short-term rentals (STR) Senate Bill 446 and House Bill 4722 seek to allow homeowners to convert their homes to short-term vacation rentals. There has been some movement. 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. Providing tools allowing you to research pending legislation, stay informed with email alerts, content feeds, and share dynamic reports. Locals are using zoning to prevent nuisances she said. View Latest Bill Text Sign In to Follow The city allows short-term rentals in specific zoning districts and requires out-of-town owners to designate a local agent to manage the rental and address problems. One issue hinges on whether short-term rentals are considered commercial use. , but bills havent gained traction until last month. . May 24, 2021. Noise, trash and nuisance complaints, and a lack of affordable housing for year-round residents, are some of the issues associated with too many short-term rentals in a community. The legislation aims to protect Michigan property owners fundamental right to use their dwelling or home as a short-term rental, according to proponents. Michigan Advance is part of States Newsroom, a network of news bureaus supported by grants and a coalition of donors as a 501c(3) public charity. The Village of Suttons Bay has decided to grandfather in existing short-term rental licenses and reduce the number through attrition, while looking at ways to update the ordinance and right-size the number of short-term rentals. Votes: MI HB4722 | 2021-2022 | 101st Legislature | LegiScan Short-term rentals are more prevalent in lakeshore communities that attract tourists and those that host sporting events, but they also are located on small inland lakes and in rural parts of the Upper Peninsula. "I was very surprised it moved on [Oct. 27] in the way and fashion it did," said Jennifer Rigterink, a legislative associate with the Michigan Municipal League (MML), which opposes the bill. . However, local officials say that does little to address the erosion of neighborhoods, quality of life issues, home values and other problems associated with short-term occupants. 206b. He also worked to dispel arguments that short-term rentals are driving up prices and displacing locals. (AP Photo/Patrick Semansky)AP. Van Beek also raised concerns about housing stock issues if short-term rentals are allowed to go virtually uncapped, particularly among affordable housing units. Legislative Update on Short-Term Rentals Bill | Mika Meyers If 30% becomes the number, then enforcement becomes a huge issue.. Rigterink has been fielding plenty of calls from members after the surprise vote. She lives in Norton Shores and her work can be found at marlarmiller.com. Were the ones that live here and try to make it a livable place for everybody and set the rules and priorities.. You cant all of a sudden convert a single-family house into a store or an auto mechanic shop. We ask that you edit only for style or to shorten, provide proper attribution and link to our web site. This means that at least 30% of the residential units in each municipality could be potentially used as short-term rentals. PDF SEVEN Reasons HB 4722 and SB 446 are WRONG for Michigan Calls to Michigan Realtors were not returned for this story, but the association does have a statement on its website, maintaining that local governments can enforce nuisance ordinances and housing codes to protect public safety and address any unruly behavior. Michigan House says cities can't block short-term rentals - WZZM13.com To me, this is a prime example of cities being allowed to legislate for themselves, Murphy said. Homes are being purchased and not available when they have a business locate in their community, Allen said. Contact Editor Susan Demas for questions: info@michiganadvance.com.