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Clatsop County delays short-term rental cap after legal concern over license transfers
Summary
County counsel advised that proposed limits on transferring short-term rental licenses could violate ORS 215.13(5); the Board of Commissioners tabled the second reading of Ordinance 20419 and sent it back to staff for revision, with the hearing rescheduled for January.
Clatsop County’s Board of Commissioners on Tuesday postponed action on a short-term rental ordinance after legal staff said a transfer restriction in the draft could violate state law.
County counsel told the board that a law firm representing local stakeholders had sent a letter alleging the ordinance conflicted with ORS 215.13, subsection 5, specifically arguing a restriction on transferring short-term rental (STR) licenses to new property owners would be unlawful. “Right now, if someone was to purchase a property that had an STR license, that license can’t be transferred to them, but they could come in the next day, the planning and apply for a new license,” counsel said. “Once we put caps on those licenses, that’s no longer an option and that’s where we start to run into issues with ORS 215.13.”
Land use counsel reviewed the letter and agreed there were legal issues. The county’s legal advice, the counsel said, was to remove any new restriction on transfers and to revise the ordinance before a final hearing. “It would be in the county’s best interest to not impose a restriction on transfers of STR licenses under the new ordinance,” counsel told the board.
Given that advice, the board did not hold the scheduled second reading and instead voted to table the matter and return it to staff for correction and re-noticing. A county official said the item will come back in January for further review and possible a new first reading.
Jeff Davis, a remote commenter who had been signed up for tonight’s public hearing, told the board he had heard the discussion and was disappointed that the hearing would be delayed. “I did hear what you said, and I can wait until the next… I’m disappointed, of course,” he said.
The county’s Community Development Director, Gail Hendrickson, confirmed she had seen the correspondence and supported sending the ordinance back to staff for revision. The board closed the agenda item with the plan to revisit the STR caps in January.
