Committee backs making short-term rentals a permitted use, drops $500 one-time conditional-use fee

The Lorain City Council Billings and Lands Committee agreed to send to full council a package of changes to the city's short-term rental rules that would make short-term rentals a permitted use rather than a conditional use and eliminate a one-time $500 conditional-use application fee while keeping annual registration and parking requirements.

Planning Director Matt Kuzhenark told the committee the changes, recommended by the Planning Commission, would move the review from a one-time conditional-use permit before the Planning Commission into an administrative review handled by the Building, Housing and Planning (BHP) Department. "We would be making short term rentals a permitted use as opposed to a conditional use, thus essentially getting rid of that 1 time application requirement," Kuzhenark said.

The changes would retain the city's annual rental-registration requirement and existing off-street parking standards. Kuzhenark said the registration lets staff "know who is owning and operating these rental properties" and that the city cross-references registration with the treasurer's bed-tax records to identify operators. He told the committee staff estimates there are "about between 80 and 90 short term rentals" in the city.

Under the proposal, short-term-rental operators would submit a BCI background check for the owner and the operator at application for the annual registration. Kuzhenark said the city plans to add revocation and denial language in a follow-up ordinance modelled on Columbus's standards, allowing denial or revocation for certain criminal histories or repeated police calls: "If a person has been convicted or been found guilty of, you know, using properties for various purposes, that would be ... grounds for denial or revocation," Kuzhenark said. He also said multiple police calls to a property within a year or a six-month period could trigger revocation.

Committee members asked follow-up questions about tenants' information, parking and how illegal short-term rentals would be handled. Kuzhenark said the city would not require operators to submit identification or photos for each guest: "we wouldn't require to see that information, for every single tenant that rents an Airbnb in the city." On parking, he said BHP requires at least "1 and a quarter space per ... dwelling unit" and that surface (gravel or paved) is not restricted so long as the required spaces fit off-street.

Councilman Thornberry described a prospective short-term rental project in his ward, a restored windmill, and a resident spoke in favor of the work. Kuzhenark said staff is also working on an agreement with providers such as Airbnb to obtain rental addresses to aid enforcement.

At the end of the item, Councilman Torresburg moved to send the ordinance changes to full council for consideration; the motion was seconded and approved by voice vote.

The committee did not adopt the ordinance at the meeting; the item will be considered by full council.