Council discussed short-term rentals, annexation at work session

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Emily Featherston

Council discussed short-term rentals, annexation at work session

The Vestavia Hills City Council tonight received updates on ongoing discussions.

At a work session on April 16, the council discussed annexation guidelines, short-term rentals and the community spaces plan.

After pulling several studies to look at how other cities have handled the issue of short-term rentals, Councilor Kimberly Cook presented a brief report on her findings.

“This is a lot of paper to say something that’s really kind of simple,” Cook said.

After talking with Councilor George Pierce and members of the community, Cook said it was important to keep the wellbeing of citizens and local business owners as a focus.

“The majority did not favor home-sharing in Vestavia, 60/40, when asked,” Cook said, “and we had a fairly representative response.”

Cook also added that when the Chamber of Commerce was polled, it was about a 50/50 split between those in favor of home-sharing in general and those opposed. When the question was made more specific, however, asking about if they want a nearby neighbor participating in short-term rentals, Cook said the percentage of those opposed increases to 71 percent no.

City attorney Pat Boone also researched the topic, she said, and short-term rentals could be done legally as an approved conditional use. The cost to get that approval, however, includes $100 to apply for the conditional use, the cost of notifying surrounding neighbors (ranging from $300-$1,000, Cook said) and $150 per year for a business license. In addition to that cost, there are also safety regulations including a fire marshal review.

“The end summary is that it would take a lot to do it, and I would doubt, I don’t think many people would be willing to do it legally,” Cook said.

Overall, she said, these rentals are not likely to happen much if the city kept its standards as they are — not passing an ordinance to make it “easier and cheaper” to host a short-term rental.

Another question to consider, however, is whether the city should actively look for these rentals, or if they should wait until complaints arise.

“No one is going to do this legally, so I think what we’re going to be left with is as long as it’s not bothering anybody and it doesn’t get reported, it might happen, but if people report it then we would take action,” Cook said.

“I think we’d have to,” said Mayor Ashley Curry.

Cook added that information regarding how to operate a short-term rental legally should be published.

Also at the work session, the council:

Discussed how the city’s average home value and the value of a home applying for annexation should be considered in the annexation process. City Manager Jeff Downes said that after crunching several numbers, including cost of city services, average number of children per home, ad valorem taxes and other factors, he believes that home value should only be one of several factors considered in annexation. Other factors, including whether it is one home up for annexation or a whole subdivision, or if that home already receives some city services such as police and fire coverage, should also be considered, he said.

Heard an update on the Community Spaces Plan. Downes said they are beginning the process of notifying tax payers of the tax increase which will take place June 1. A few action items will come before the council, regarding the parameters of the bond issue and other items, Downes said. “In other words, we’ve got to wait for the money to come in, and once we’re capitalized we can start moving on this,” Downes said.

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