Vocal crowd at SLT City Council's Vacation Home Rental meeting

Once again, an audience full of mainly Realtors and property managers filled the South Lake Tahoe City Council Chambers as the topic of Vacation Home Rentals (VHR) was on the agenda for discussion.

Renting a vacation home is being increasingly popular in South Lake Tahoe just as in other communities. Many tourists prefer to rent a VHR instead of a traditional motel or hotel room. There are many reasons from enjoying time with family to reunions and wedding parties.

The City has been working to balance out retaining the characteristics of the neighborhoods and their livability with private property rights and South Lake Tahoe's tourism economy.

South Lake Tahoe is much different than many other communities. Over 70% of those people buying homes today are making the purchase with the understanding they will be renting it out. Closer to 100% of the buyers will not be living in the home full time. All non-tourist centered towns have buyers that will be living in their home full time, thus becoming a part of the community and neighborhood they own a home in.

The topic of VHRs has been covered several times in the last seven months: November 18, 2014, February 18, during a March 24 workshop, April 7, and on April 21. (Click on each date to read the results of previous meetings)

With two-thirds of the 1,800 permitted vacation homes in South Lake Tahoe in neighborhoods and not in commercial zones, the issue is a big one. Many cities are re-evaluating their ordinances, revamping them or simply banning vacation home rentals.

"The residents have a right to quiet and being able to enjoy their home," said City Attorney Tom Watson. He said there is dynamic change everywhere and that many communities are facing the same situation as South Lake Tahoe.

The ordinance passed by Council on April 21, 2015 addressed fines, fees, and regulations concerning noise, trash, occupancy and hot tubs. The reason for today's meeting was to review the process of the issuance of new permits only.

Over two dozen people spoke during the public portion of the council meeting. Many just want the City to enforce the April 21 ordinance before looking at other steps. They asked that enforcement be done to see what, if any, the issues are with new rules in place. Many of the speakers stressed that a change in the way permits are handled will cause an adverse reaction and tourism will suffer along with home values.

"We are already seeing perspective buyers pull out of sales due to the uncertainty of the ordinance," said Realtor Ellen Camacho.

Up for discussion Tuesday was a four step process for any new vacation rentals. First would be an application followed by letters issued to all residents within 300 feet of the proposed home. The Zoning Administrator would then evaluate the application and complaints received, if any, and approve or deny the permit. The applicant would be able to get an appeal hearing if they were denied. All approved permits would then have to get an annual review before being reissued.

"Living here and dealing with vacation rentals is part of the deal you make by being here," local resident and Realtor Mark Royer told the Council.

Former Mayor and Bed and Breakfast owner Jerry Birdwell said he was disappointed to see and hear people in the community give misleading comments about the agenda item.

He was referring to rumors circulating that the Council was going to ban vacation rentals when in reality the Council was discussing the possibility of have all future rental permits have a different set of rules than current ones have.

"We need to maintain a balance in our town and do what is good for the community as a whole," said Birdwell.

Understanding that VHR policies and ordinances affect a large segment of the community, the Council decided to step back and create a sub-committee with council members Wendy David and Austin Sass. They will work with City staff as well as community partners to look at what a new ordinance should look like, or, if there should be a new one at all.

"We have big plans for our future and we'll look to you again to help in the process," Wendy David told the crowd.