City staff propose third‑party pilot and code clean‑ups to tighten short‑term rental enforcement

City staff told the Arvada City Council on Feb. 10 that short‑term rentals present an enforcement challenge and recommended a one‑year pilot using a third‑party vendor to improve complaint response and identify unlicensed listings.

Why it matters: Staff said the city has about 250–300 licensed short‑term rentals, but monitoring of marketplace listings suggests about 800–900 properties are operating without a city license. Complaints about STRs constitute a small share of code‑enforcement caseloads but can generate intense neighborhood friction, especially when properties are used for late‑night gatherings or appear repeatedly in neighborhood complaints.

What staff proposed: Gabriella Balmer, director of human resources (presenting personnel items earlier in the meeting), and Roslyn Thompson, principal planner, and code‑enforcement staff described the proposal. Jessica Garner, presenting the STR overview, said the pilot would cost roughly $18,000 for 12 months, with costs split between the police department and Community and Economic Development; the vendor would provide a 24/7 hotline, rental‑monitoring services to identify unlicensed listings and multi‑platform bookings, and a case‑management platform the city could view in real time.

Code enforcement data and practice: Peter Krentz, a code enforcement officer, told council that the majority of verified STR complaints are routine (trash bins left out, snow/ice on sidewalks). He said chronic problem properties — some owned through out‑of‑state LLCs — consume disproportionate staff time because identifying and contacting an owner can be difficult. Krentz said “most folks are very happy to work with us” when they have a license; the enforcement headache rises when a listing is unlicensed or lacks a reachable local contact.

Council questions and policy options: Staff outlined four substantive policy options council could consider later: prohibit renting entire homes as STRs; require owner occupancy; reduce the maximum number of STR units a single licensee may hold (current cap is three); and prohibit accessory dwelling units (ADUs) from operating as STRs. The staff also suggested three code-cleanup items: clarify parking and loading references, add an STR definition into the Land Development Code, and standardize ADU terminology.

Council members debated tradeoffs. Several members supported a third‑party pilot as a pragmatic way to locate unlicensed listings and provide after‑hours complaint response. Council member Pfeiffer said he would be open to limiting STRs in single‑family zones (noting a Colorado Springs ordinance that restricts STRs in single‑family neighborhoods and imposes spacing rules to avoid clustering). Council member Davis and others emphasized the large number of unlicensed listings and asked staff to pursue higher compliance and clearer enforcement timelines.

Fees and enforcement finance: Staff said the current annual STR permit fee is $150. Council members suggested the STR program should pay for any pilot, and some asked staff to study higher permit fees or lodging‑tax options; staff said fee increases must be justified by a nexus to program enforcement and comparable local rates (staff cited an approximate regional usual fee range of $150–$300).

Next steps: The council did not vote on code changes that night. Staff asked for direction; attendees recommended proceeding with a one‑year pilot vendor contract to test whether third‑party monitoring and a 24/7 hotline improve compliance and reduce recurring enforcement work. Staff said they would return with a proposed contract and options for fee adjustments or code text changes if council requests them.

Ending: Council members encouraged better cross‑agency coordination (code enforcement and Arvada Police Department) and asked staff to return with a pilot contract, updated enforcement timelines and options for fee adjustments or zoning limits.