The Effingham Plan Commission discussed short-term rental regulations during last week’s meeting, after extending the public hearing from last month.
City Planner Greg Koester drafted an amendment regarding the short-term rental zoning ordinance after the city learned of three short-term rentals operating without a permit in zoning districts that don’t currently allow short-term rentals.
The three short-term rentals ceased operations when the city notified them of the violations, but they would like to resume if and when possible, according to Koester.
Currently, the city allows short-term rentals with special-use permits in B-1 Neighborhood Shopping Districts, B-2 General Commercial Districts, B-3 Central Business Districts and M-1 Light Industrial Districts. When applying for a permit, city staff considers each application on a case-by-case basis and multiple other factors, such as if that is the highest and best use of the property, the effect it would have on the character and development of the neighborhood, and its conformance to the comprehensive plan.
When applying for a special-use permit, people must include a conceptual plan that outlines various aspects of the short-term rental, including the property’s layout, a floor plan and the maximum number of guests.
Some of the changes in the amendment that Koester drafted include allowing short-term rentals in any zoning district, requiring more detail on conceptual plans, requiring addresses and phone numbers of guests for law enforcement purposes, and having a maximum number of eight guests.
Effingham resident Edward Emmerich spoke in support of allowing short-term rentals in the various zoning districts, highlighting how they offer an opportunity to support homeowners, strengthen local businesses and attract more visitors.
Emmerich and his wife own a short-term rental, which encourages them to maintain the property.
Short-term rentals increase tourism and inspire visitor spending by attracting more people to the community, says Emmerich. All of the money spent would stay in the local economy.
“Visitors may spend the majority of their travel budget on lodging, alone. This leaves less money available for restaurants, shopping, entertainment and other local activities,” Emmerich told the plan commission. “Short-term rentals can provide more affordable lodging options. When visitors save money on lodging, they are more likely to spend that money throughout the community and local businesses during their stay.”
“With sensible regulations in place, these accommodations can co-exist with residential neighborhoods while benefiting the broader community,” Emmerich continued. “If the city does not wish to allow short-term rentals in all our districts, we would like to propose a middle ground.”
Emmerich’s compromise was to allow short-term rentals in some residential districts, but not others.
Effingham resident, Joan Thies, spoke in opposition of Koester’s amendment, but expressed her support for allowing short-term rentals in only some of the residential districts.
After some discussion, the plan commission recommended that the city council allow a minimum of two short-term rental permits in NU – nonurban district and a maximum of four short-term rental permits in R-3 and R-4 districts. These caps would not apply to the other districts that currently allow short-term rentals.
The short-term rental zoning ordinance amendment will be an agenda item on the April 7 city council meeting.