Ferguson couple appeals vacation rental permit occupancy limit in Bonner County

In a recent Bonner County Board of Commissioners meeting, a significant discussion unfolded regarding the appeal of a vacation rental permit renewal that has implications for property rights and local regulations. The case centers on Bill and Karen Ferguson, owners of a vacation rental property in the Huckleberry subdivision near Priest Lake, who are contesting a decision that limits their rental occupancy from 12 to 9 people due to new parking regulations.

The meeting began with a detailed overview of the Ferguson's permit history, which dates back to 2021. Initially, their property was granted a maximum occupancy based on the number of bedrooms and parking spaces available. However, a change in local ordinance in 2024 altered the occupancy standards, reducing the allowable number of guests per bedroom and per parking space. This change directly impacted the Ferguson's ability to host larger groups, which they argue is essential for their business.

The Fergusons' attorney, AT Miller, argued that the couple was unaware of the ordinance change when they submitted their renewal application in May 2025. He emphasized that they have access to additional parking in a commonly owned HOA lot, which should allow them to maintain their previous occupancy limit. Miller contended that there have been no issues with on-street parking in the neighborhood, suggesting that the county's concerns about safety and welfare are unfounded.

During the meeting, Karen Ferguson confirmed that they had not received any notification about the changes in parking regulations, which would have prompted them to submit an updated parking plan. She explained that the narrow roads and limited driveway space in their development make it challenging to accommodate larger groups without utilizing the HOA's common areas.

The commissioners deliberated on the appeal, considering the legal arguments presented and the potential economic impact on the Ferguson's rental business. They ultimately decided to continue the discussion to the following week, allowing time for the review of additional documents requested by the Ferguson's legal team.

This case highlights the ongoing tension between local regulations and property rights, particularly in areas where vacation rentals are a significant part of the economy. As the commissioners prepare to revisit the appeal, the outcome could set a precedent for future vacation rental permits in Bonner County, balancing community standards with individual property rights.