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Idaho hits pause on short-term rental bill after heated debate

The bill, HB 506, would prevent cities from regulating short-term rentals except in narrow circumstances.

BOISE, Idaho — This story originally appeared in The Idaho Press

Idaho’s House Business Committee voted Thursday to send a short-term rental bill to general orders after a heated debate over the line between private property rights and government regulation.

The bill, HB 506, would prevent cities from regulating short-term rentals except in narrow circumstances. Testimony was fairly even with slightly more testifying in favor.

“I do think this is an issue that needs to be discussed in this body,” said Rep. Jordan Redman, R-Coeur d’Alene, the bill’s sponsor. “They (my constituents) told me about an issue where they saw their personal property rights being infringed upon. This had been done through over-regulation of municipalities to effectively ban short-term rentals.”

Kelley Packer, executive director of the Association of Idaho Cities, said this bill removes the ability of the “government closest to the people” to deal with the issue. She said private property rights matter, but not just for those who own or want to own short-term rentals.

“A one-size-fits-all approach to this issue will not work,” Packer said. “All elected officials at the local level are trying to balance the needs and concerns of their permanent residents, with those of the guests that visit their towns.”

Many Idaho officials, from mayors to planning and zoning officials, and from McCall to Sandpoint, testified in opposition to the bill.

Dan Gookin, a Coeur d’Alene City Councilmember, said the city has been working on the issue for seven years. He said the issue is best fixed by local governments.

“This committee is attempting to address this complex and ongoing issue with maybe an hour’s worth of testimony and debate,” Gookin said. “The only time I hear people becoming defensive about their property rights is when they desire to exploit their residential property for financial gain.”

Allan Songstad, the chairman of the Bonner County Planning Commission, said there’s a reason to protect neighborhoods.

“There’s no reason for this committee on the Legislature to alter that balance,” Songstad said. “It takes away almost every possible restriction on short-term rentals, including parking, which is of course a major issue.”

On the other hand, Idaho Realtors and many short-term rental owners testified in support of the bill.

Max Pond, government affairs director with Idaho Realtors, said because short-term rentals are classified as residential use for zoning, they shouldn’t be subject to the “overreach” seen around the state from local jurisdictions. He said short-term rentals shouldn’t be forced to meet commercial standards.

“At what point do these requirements start to have a practical effect of prohibiting short-term rentals?” Pond said.

Melissa Radford, representing the Coeur d’Alene Vacation Rental Alliance and the Idaho Vacation Rental Association, said cities have created “strife within communities” by “encouraging outright discrimination of short-term rentals.”

“It requires them to provide all Idahoans with equal treatment under the law, no more or no less, please pass this bill,” Radford said. “Many of our city leaders have not acted in good faith and the Constitution must win.”

Others expressed concern about safety. Jade Riley, the Ketchum city administrator, said he was representing 21 communities that make up the Idaho Resort Cities Coalition.

Riley said the legislation would remove or dilute “common sense public safety regulations”, including working smoke and carbon dioxide detectors.

The ordinances ensure that people don’t convert a basement into a bedroom without emergency exits, for example, Riley said.

But some short-term rental owners were frustrated by what they said were unnecessary mandates that required them to spend tens of thousands of dollars installing and improving their septic, water and fire suppression systems.

And still others were concerned about the impact on local business in their communities.

Kathi Izatt from Fish Haven said local governments began “adopting regulations to strangle the new kid on the block,” of short-term rentals.

“We are Americans. We are Idahoans,” Izatt said. “We believe in and support free enterprise, private property rights and self determination.”


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