2 of 3 Lincoln County commissioners say they’re interested in capping vacation rental licenses

 

By QUINTON SMITH/YachatsNews.com

Two of three Lincoln County commissioners said Wednesday they would like to look closer at limiting the number of vacation rentals in unincorporated areas of the county.

Their comments came after county Counsel Wayne Belmont walked through short- and long-term proposals for gaining better control of the growing number of vacation rentals in areas outside of cities like Newport and Yachats, which have already enacted limits.

While all three commissioners – Kaety Jacobson, Doug Hunt and Claire Hall – expressed strong support for changes Belmont proposed, only Jacobson and Hall expressed support for a cap.

The county should investigate a limit on the number of licenses at least until it fully implements changes to ordinances and enforcement of short-term rentals, said Jacobson and Hall.

“I would like to look at capping,” said Jacobson, who was selected commission chair last month. “A temporary cap would allow us to get our ducks in a row as we get all this stuff together.”

Hall agreed, saying she is interested in “some form of cap” and once regulations are in place possibly focusing a long-term license limit on certain neighborhoods more heavily impacted by vacation rentals.

Hall said the county has to weigh the economic benefit of the taxes and visitors generated by almost 600 short-term rentals in unincorporated areas “versus the livability of neighborhoods.”

“The industry has fundamentally changed,” she said, from vacation homes owned by Oregonians using occasional rent to help with mortgages to investor-driven properties managed by national companies.

Hunt said he was adamantly opposed to a license limit.

“The problem is not the number of homes, but the people in the homes,” said Hunt, adding that the county needs to beef up its regulations and then enforcement them effectively. “It’s the people using the houses that are the source of the problem.”

He also said if there are 600 vacation rentals out of 13,500 houses in unincorporated Lincoln County “I don’t see that as a significant part of the (low-income) housing issue.”

“A lot of these properties are on the west side of Highway 101,” Hunt said. “Those aren’t affordable housing.”

Their comments only give Belmont and county staff a direction in which to proceed. Although the county enacted some changes to regulations last fall governing vacation rentals on septic systems, even the most basic of regulation changes outlined Wednesday will take months.

If there is some sort of license limit, Belmont also said commissioners need to sort out how – or if — it might allow license transfers (they’re not currently allowed) and if or how to set up a waiting list.

Short-term rental recommendations

Belmont divided his recommendations into programs already under way; program or ordinance changes; possible long-term changes; and, alternatives not recommended. Belmont said:

• The county is ready to buy a computer program that “scrubs the internet” to see who is advertising vacation rentals. That way the county can check if they are licensed and paying taxes. It can also be used to issue and renew licenses, as a data base used by homeowners and management companies, and possibly be used to register complaints.
• A change approved last fall to require septic inspections for vacation rentals – there were 36 of them – with no county record of having a septic system. He said 33 property owners have had septic inspections, six needed repairs or replacement, three let their vacation rental license lapse, and three have been sent letters saying they could not rent their houses until repairs are made.

• The sheriff’s office is ready to interview 13 people who have applied to be its second code enforcement deputy. Belmont said this position would focus almost exclusively on vacation rental issues and work nights and weekends.
• Asked if the commissioners want to require periodic inspections – every 2, 3 or 4 years — of septic systems used by vacation rentals. Commissioners said yes, but need to determine the best interval.
• The county should change the occupancy limits for short-term rentals in unincorporated areas. Lincoln County currently allows three guests per bedroom plus two additional people, Belmont said, which is much higher than what most other jurisdictions allow. This can put a strain on septic systems and can over-crowd homes and neighborhoods, especially when people gather for a wedding or party. He suggested a limit of two people per bedroom – and a discussion whether to allow any more. Commissioners agreed.
• Find a way to record serious complaints that can’t be resolved between neighbors and rental managers and establish a “three strike” system to pull licenses if persistent problems can’t be addressed or solved.
• Determine if the county wants to find, license and regulate rentals of individual rooms by homeowners not operating a bed and breakfast or vacation rental.

Belmont said during two workshops and from public comment since last fall, there has been sentiment ranging from banning all short-term rentals to dropping any and all regulation of them. Neither of those is recommended, he said. County staff is also recommending against regulating short-term rentals through the more cumbersome and complicated land-use process, he said.

Belmont said county staff will bring back recommendations in stages over the next few months.

“We’re not going to wait and bring it all back in one big package,” he said.