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Petoskey council adopts clearer rules for short-term rentals

Petoskey City Council · July 20, 2026
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Summary

On July 20 the Petoskey City Council adopted amendments to Chapter 15 to tighten short-term rental licensing and transfer language, including clarifications that transfer can extinguish a license and waiting-list placement rules; the ordinance passed 5-0 on second reading.

The Petoskey City Council on July 20 completed second reading and adopted changes to Chapter 15 of the city code to tighten licensing and transfer rules for short-term rentals.

Staff and counsel walked council through edits to clarify how licenses transfer on property sale and how waiting lists will be handled when a license lapses or is revoked. Council member comments focused on a suggested redraft that makes clear that upon transfer of property, licensure for short-term rental may lapse (extinguish) and that a licensee who loses or fails to renew will be placed at the bottom of the waiting list, subject to the specific subsection exceptions. City attorney Laura confirmed counsel incorporated the drafting changes and said legal staff appreciated the councils feedback.

A council member moved to accept the ordinance as recently modified; the motion was seconded and the council voted 5-0 to adopt the updated short-term rental provisions. Staff said the changes are meant largely as housekeeping and to tighten enforcement against unlicensed advertising and operation.