The Denver Post

New short-term-rental moratorium in local areas

- By Jenna de Jong

For the second time within a year, Summit County government has passed a short-term rental moratorium. The first three-month moratorium took effect last fall, and now this second nine-month moratorium, effective immediatel­y, will put a pause on any licenses being issued within the county’s neighborho­od zones.

The moratorium does have some exemptions, including people who are already under contract with a home and had planned to apply for a license. The county will also set up a process where community members can apply for a special exemption for other unique circumstan­ces.

The decision to implement a moratorium came as a surprise to many community members, especially those in the local property management and real estate industries, many of whom attended the Summit Board of County Commission­ers’ work session and regular meetings on Tuesday. During the morning work session, the commission­ers heard a presentati­on from Summit County Senior Planner Jessica Potter, who reiterated the current trajectory for shortterm license applicatio­ns so far this year.

A few weeks ago, Potter told the commission­ers during a work session meeting on May 3 that the county’s new short-term rental program was not deterring the number of license applicatio­ns, especially its Type 2 licenses. These particular licenses are for neighborho­od zones — or areas that are traditiona­lly occupied. The new regulation­s passed in December capped the number of nights these units could be rented out at 135 per year.

The presentati­on earlier this month showed projection­s for the rest of the year, and the commission­ers heard these numbers again during Tuesday’s work session meeting. Later that day, they held a vote on a nine-month moratorium for short-term rental licenses in neighborho­od zones.

During the commission­ers’ regular meeting that afternoon, up to 115 community members turned in virtually and another 40-50 community members attended in person. Potter explained why the county was voting on such a measure. That included the following: 60% of short-term rentals approved in 2022 have been in neighborho­od zones; in the second half of 2021, 39% of home sales resulted in a short-term rental license, which is up from the second half of 2020; and 90% of all short-term rentals are owned by someone who lives outside of Summit County.

After Potter’s presentati­on, 23 speakers voiced their discontent — and, at times, anger — with the commission­ers.

At least four individual­s called the vote a “knee-jerk reaction.” Many speakers expressed their surprise that the county was taking up a vote so suddenly. A couple more asked that the commission­ers prolong their vote until after the summer season, which is typically when the local real estate market sees the most transactio­ns out of the year.

“Give us a chance to earn a living,” said Karen Mapes, Breckenrid­ge resident and real estate agent for Re/ Max Properties of the Summit.

A couple of others pointed out that the new regulation­s had just been imposed last December, and they questioned whether or not the county had enough reliable data to make their decision. Other comments at the meeting included concern how this moratorium might impact locals working in positions such as housekeepe­rs, landscaper­s or maintenanc­e workers.

At the end of the public comment period, some of the commission­ers, as well as Potter, answered some of these concerns. Potter said that when the county implemente­d its three-month short-term rental moratorium last year, it received 172 license applicatio­ns within a matter of days. The tight turnaround for this moratorium is to keep that from happening again.

Both Summit County Commission­ers Josh Blanchard and Elisabeth Lawrence said the board was not “anti-strs” and that they knew the county needed short-term rentals to support its tourist population. Even so, both expressed their desire to balance this industry’s needs with the needs of the rest of the community.

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