Orlando Sentinel (Sunday)

House, Senate OK differing plans for vacation rental rules

- By Dara Kam over-regulating

TALLAHASSE­E — Taking another run at one of the Legislatur­e’s thorniest issues, the House and Senate on Thursday advanced disparate plans about regulating vacation-rental properties.

Lawmakers have repeatedly wrangled in recent years about the issue amid the skyrocketi­ng use of platforms such as Airbnb.

Some lawmakers have tried to strengthen protection­s for homeowners, especially those from beachside communitie­s, who complain about trash, noise and parking associated with “party” houses. Other legislator­s have supported arguments about property rights allowing owners to use residences to generate income.

In plans that advanced Thursday, the House and Senate took different approaches to the issue.

The full Senate approved a proposal (SB 180) that would allow local government­s to create vacation-rental registrati­on programs, which many municipali­ties already do.

The bill, sponsored by Sen. Nick DiCeglie, R-Indian Rocks Beach, also would cap maximum overnight occupancy at the greater of either two people per bedroom, plus an additional two people in one common area, or more than two people per bedroom if there is at least 50 square feet per person.

The Senate proposal seeks to establish “a uniform set of regulation­s” throughout the state about vacation rentals, DiCeglie said during a floor debate Thursday. He noted that the occupancy restrictio­ns included in his bill are the first time state lawmakers have attempted to set a cap on the number of people who can stay at properties.

“When we talk about these party homes, it’s impossible not to correlate that with occupancy. So, to have the ability to address that, that is such a large part of this bill,” DiCeglie argued.

But Democrats argued that DiCeglie’s plan would hamstring the ability of local government­s to regulate short-term rentals.

“It all comes back to balancing the rights of everyone who lives in that area,” Sen. Tina Polsky, D-Boca Raton, said before the Senate passed the measure in a 26-14 vote. “You talk about the property rights of people wanting to make some money and rent something out. I get it. But equally, so are the rights of people who buy the house next door, who expect it to be quiet and peaceful, and raise their family there.”

The Senate plan also would set up a process for suspending registrati­ons of operators who violate local codes or ordinances.

But Sen. Jason Pizzo, D-Sunny Isles Beach, said the suspension process would be too lax.

Vacation rentals are the top legislativ­e issue for constituen­ts in his community, Pizzo said. He pointed to issues such as “pornograph­ic films being shot in the backyard where every other neighbor can see it.” He said DiCeglie’s bill would require people who want to make complaints about properties in their neighborho­od to identify themselves by name, which could put them at risk for retaliatio­n.

But DiCeglie said his plan would ensure that local government­s aren’t properties.

“Everything in this bill, I believe, is fair and balanced. What I don’t want to see is … where these local government­s are using these ordinances as a weapon to stop vacation rentals from operating at all,” he said.

A plan approved Thursday by the House Regulatory Reform & Economic Developmen­t Subcommitt­ee, meanwhile, would not spell out occupancy limits.

The proposal (HB 1537), sponsored by Rep. Griff Griffitts, R-Panama City Beach, would allow local government­s to have registrati­on programs for vacation rentals. The House and Senate plans would set up parameters for the registrati­on programs. Both proposals would allow programs to require operators to “designate and maintain at all times a responsibl­e party who is capable of responding to complaints or emergencie­s” related to the rentals.

But under Griffitts’ bill, county tax collectors would have to administer the registrati­on programs.

The House and Senate proposals would require advertisin­g platforms such as Airbnb to collect and remit state and local taxes for properties listed on their sites. Platforms also would have to verify that properties have been licensed by the state and, if applicable, registered by local officials before they can be listed on the sites.

The Senate bill also would steer $3.5 million to the Florida Department of Business and Profession­al Regulation for nine employees to oversee the vacation-rental oversight program. Both House and Senate plans would require the platforms to submit quarterly reports with lists of all vacation rentals and other informatio­n related to the properties.

The quarterly reports would allow the Department of Business and Profession­al Regulation to perform quarterly audits, Griffitts said.

“This bill will grant unpreceden­ted tools at the local and state level to effectivel­y prohibit the operation of bad actors while also ensuring adequate due process, the ability to redress wrongs, cure violations where appropriat­e, so that the property rights of good actors are never infringed upon,” Griffits said.

The House plan would cap registrati­on fees for the local programs at $150 and charge up to $150 for initial inspection­s of the properties. The Senate, meanwhile, would allow local government­s to charge a “reasonable fee” for registrati­on and inspection.

Rep. Joe Cassello, D-Boynton Beach, said short-term rentals “would no longer have any effective supervisio­n” under Griffitts’ bill. But Griffitts defended the proposal, which the House panel approved in an 11-4 vote.

“I will tell you, 45 years in the hotel business with my family, (as a) former county commission­er, I know these problems very, very well. They’re not going away,” he said. “The pre-emption part is a conversati­on we’ve had, home rule is a conversati­on we had. We cannot put that genie back in the bottle. I believe personally this bill will help streamline the process, it will give a uniformity across the state, and it will help us weed out the bad actors.”

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