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Council delays contract with AZAVAR after city seeks more review of short‑term rental plan
Summary
Council postponed a decision on a proposed AZAVAR (LocalGov) contract to identify and bring short‑term rentals into tax compliance, asking staff to review the scope, costs and alternatives before the next meeting.
The Dickinson City Council voted to postpone consideration of a contract with AZAVAR, the company that presented a platform and a manual short‑term rental (STR) identification service intended to increase compliance with the city’s hotel‑occupancy tax.
Marlon Castillo, AZAVAR representative, told the council the company estimates “around 50 something short term rentals currently in the city” and said the firm’s manual identification service would be quoted at $100 per property with a not‑to‑exceed $3,000 charge plus a $1,500 annual software fee. Castillo said the company’s approach combines data purchases and manual matching and that, after outreach, cities typically reach “around 94 to 97% compliance.”
Council members asked about procurement rules, contract exclusivity, service history and how the platform differs from the city’s existing LocalGov account. City staff confirmed the current contract was largely self‑administered and said staff would evaluate whether to pursue AZAVAR’s approach, seek other vendors, or issue an RFP. One council member moved that staff review the proposed agreement and return with a recommendation at the next council meeting; the motion was seconded and passed.
The postponement leaves open multiple options for the council: approving AZAVAR’s proposal, seeking competing bids, or directing a different enforcement or zoning approach. Council discussion repeatedly emphasized that the city has existing ordinance tools and could pursue zoning permits and fines if owners operate without required approvals. The staff packet and the proposed AZAVAR quote were not voted on; councilmembers requested the full contract and additional procurement details before any formal approval.
