Dearborn Heights council debates short-term rental ban; moratorium motion fails

Council members debated how to regulate short-term rental properties in Dearborn Heights on Feb. 25 as frustrated residents and several council members pressed for an immediate prohibition while others urged a legally defensible ordinance and enforcement plan.

Councilman Tom Wenzel proposed a resolution that would make operating short-term rentals in the city illegal “immediately upon approval” unless and until the council adopted a detailed ordinance and an enforcement plan. Wenzel said short-term renters “do nothing for our community, only harm,” and argued that if the city cannot effectively regulate the use it should ban it.

Supporters of a quick ban said short-term rentals have created noise, parking and safety problems in neighborhoods and argued the city should act now. Opponents, including Council Chair and several other council members, said the charter and state zoning law require careful drafting and review to avoid litigation and to ensure the ordinance is enforceable. Council members repeatedly said they have asked special legal counsel to draft a proposed ordinance and that they preferred to wait for that text rather than adopt a legally vulnerable moratorium.

Corporation counsel and special legal counsel both addressed the council during debate. Corporation counsel warned that the charter limits certain designations and cited prior litigation over special counsel in the city, while special legal counsel said the zoning-enabling issues make immediate moratoriums risky and recommended a carefully drafted ordinance or enforcement of existing codes where applicable.

Councilman Wenzel moved a resolution calling for an immediate moratorium and ban; the motion failed on a roll-call vote. Separately, the council earlier amended the agenda to add Wenzel’s short-term rental resolution for discussion and asked special legal counsel to prepare a first reading of a formal ordinance for a future meeting.

Council members said they will combine public complaints, planning commission work and counsel’s draft when a formal ordinance is presented. Several residents who spoke during public comment urged quick action; others and multiple council members emphasized the need for a plan the city can enforce without inviting legal challenges.

The council did not adopt a moratorium or immediate ban on Feb. 25; special legal counsel was ordered to continue drafting an ordinance and the item will return for a formal first reading when ready.

Ending: Council members repeatedly said they share the goal of fewer neighborhood disruptions but disagreed about timing and legal strategy. The city’s next step is for special legal counsel to provide a draft ordinance and related enforcement options for the council’s review and a future vote.