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Planning commission debates scope of short‑term rental ordinance, considers business licensing and county review
Summary
Staff presented a draft short‑term rental ordinance; commissioners and consultants debated whether to restrict rentals to certain zoning districts, require business licenses, and collect hotel taxes. County review was requested and staff expects comments before returning the draft for further action.
City planning staff presented a draft short‑term rental ordinance and discussed where short‑term rentals should be allowed and how they should be regulated.
Jerome Skrinkowski told the commission the draft places short‑term rentals in commercial districts by right and would make them a special‑exception use in the R‑3 district. “The R 3 Zoning District was the 1 that was selected because it was a closer transition to the commercial districts,” Skrinkowski said, adding that the ordinance includes zoning provisions and a permit attachment with supplemental requirements.
Commissioners, the city’s planning consultant and members of the public discussed several policy choices: whether to allow short‑term rentals in additional residential districts such as R‑2, whether to limit the number or frequency of rentals, how to treat existing unlicensed listings, and whether operators should be required to obtain business privilege licenses and collect hotel taxes.
Planning consultant Matt summarized legal and policy practice in other jurisdictions: “The way the Supreme Court has ruled this is these short term rentals are commercial uses ... that's how we've been treating and regulating them since that case law has been out.” Commissioner Will Cinpisi asked whether operators should hold a business privilege license and remit applicable hotel or occupancy taxes; staff noted a county hotel tax already applies in the region and that many short‑term rental ordinances require tax or hotel‑license compliance.
Staff reported the draft has been sent to Berks County for review; Skrinkowski said he expects another month of review before the commission receives county comments and can forward a recommendation to city council. Commissioners suggested mapping existing Airbnb/VRBO listings and engaging enforcement or licensing staff to identify unlicensed operations in R‑1 and R‑2 districts.
Why it matters: short‑term rental rules affect neighborhood character, housing availability and municipal tax collections. Commissioners voiced concern about saturation in residential neighborhoods and the need to balance property‑owner flexibility with neighborhood impacts.
Next steps: staff will gather county comments and technical input on taxes and licensing and return the draft to the commission at a future workshop. No ordinance language was adopted at the workshop.
