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City Politics Vs. Small Business
On August 11, 2016 the City of South Lake Tahoe's Zoning Administrator decided to deny the application of a VHR (Vacation Home Rental) permit for a home (3758 Overlook Crt) I and two partners recently built. This is the first permit to be denied for a home that has met all guidelines and standards. The home meets all current building codes, has passed the city's VHR inspection, and prospective buyers have paid all VHR application fees and submitted all required paperwork to the building dept. and VHR division.
To read more about the case you can go here
Currently, the City of South Lake Tahoe is considering whether to prohibit new vacation rental permits based on "saturation" levels within our city's neighborhoods. The definition of "saturation has not been set so there is no benchmark for builders, homeowners, real estate agents, sellers/buyers to use.
How do we have faith in our local govt. before we make investments, purchase a home, sell or build a home if we do not feel that the rules are fair and just? If one bureaucrat (the Zoning Administrator John Hitchcock) and/or City Council members can choose winners and losers, based on an opinion or feelings, how can anyone feel that the VHR ordinance is used fair and square. Maybe a friend or family member of the ZA would have had better luck because he feels that the neighborhood has not yet met the "saturation" point. With no defined benchmark of what constitutes "saturation", we feel this has left wide open the door for nepotism, favortism, and unfair meting of permits.
It is a crucial time for all community members who feel that well-managed (and regulated) Vacation Home Rentals provide great benefits to our community. VHRs have grown the local building economy (ask any person in the local construction trade), has stimulated the tourism industry and brought many new people to our great city, has generated much needed revenue to our city's coffers via tourism taxes (TOT), and homes that were once empty for the majority of the year are now being used by people who spend money in our town and at local businesses.
It concerns us greatly that the SLT City Council made a decision which was based on two beliefs that are not supported by formal reports or statistics:
- They incorrectly believe that VHRs are a leading cause of the reduction in supply of affordable housing
- They incorrectly believe that VHRs are degrading the quality of residential neighborhoods
Although there are examples of both of these issues occurring, we are certain that VHRs are not a leading cause of our shortage of affordable housing, and we are also certain that the majority of VHRs are well-managed, and that they are actually enhancing the residential neighborhoods in which they operate.
The City’s decision to start prohibiting VHRs is not the correct solution managing this modern issue. It is an overreaching solution which has city-wide negative effects. There are much better solutions which can address the concerns of housing and neighborhood quality, while preserving the economic and social benefits provided by short term rentals.
We Support Fair Regulation of Short Term Rentals
Where Will Your Money Go
Funds will be used for legal fees only. How did we arrive at the dollar amount of 25 thousand? The 25k is what we were told it would cost if we have to take this case to before City Council, we are hoping it does not have to go that far.
What about any unused money? Do the developers keep it? No, we are not going to pocket any money you donate to our cause. We are discussing what we can do with any unused funds (if there are any) at conclusion of case. We most likely would set-up a chartiable trust which would allow us to give the funds to help offset others' legal fees with similiar cases in South Lake Tahoe.
How You Can Help
Here's how you can help:
1) Give. It is going to cost at least 25k to fight this case. Be part of the Protect SLT Initiative and give $5 today; share with your friends and ask them to give, too.
2) Speak. Add your voice to those who are standing up for the rights of builders, contractors and those who choose to use their homes as vacation rentals. Follow the cause on Facebook, Twitter, and other social media using the hastag #protectslt.
3) Educate. Take the time to learn about the issue. Help others understand the big picture. Here's a well written book outlining the national issue of VHRs, the arguments surrounding them, stats and the economic impacts and how they have become villified.
4) Contact. Contact our local city council members and let them know that the VHR permitting process needs to be fair, honest, and reliable. We cannot allow an elected official or one city employee to engage in unfair practices.
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