SIOUX FALLS, S.D. (KELO) — The ability to rent a house to a short-term transient renter is a privilege, Sioux Falls city council member Greg Neitzert said during an Aug. 22 joint jurisdiction district meeting.
“We’re not taking away a right,” Neitzert said of any short-term rental ordinance the city of Sioux Falls and Minnehaha County may agree on for the joint jurisdiction.
The city and county did not agree on the short-term rental ordinance on Tuesday but did agree to remand a proposed ordinance back to the planning commission with consideration of an amendment from Neitzert.
The proposed ordinance and any future ordinance that may come will cover an area from the city limits of Sioux Falls about 2 1/2 to 3 miles into Minnehaha County.
The votes came after more than an hour of public comment on the topic.
Several who spoke against the proposed ordinance said the joint jurisdiction would be taking away the rights of property owners. Proponents said an ordinance could hold short-term rental owners to higher standards than other owners. Others suggested the joint jurisdiction form a task force that would include short-term rental owners and/or with newly formed local and state short-term rental alliances.
Several in support of the proposed ordinance or more regulation, shared problems with noise, trash, traffic and other issues with nearby short-term rentals.
Neitzert said his amendment to use the CUP process can hold the owners of short-term rentals accountable. The CUP can be revoked and it involves a public process.
It would not allow for a special permitted use license.
His amendment is like what Minnehaha County has already passed, Neitzert said. The county’s ordinance is appropriate for the joint jurisdiction district, he said. “The city is going to be a different animal,” Neitzert said.
County commissioner Joe Kippley said the county needed a short-term rental ordinance because the existing CUP applied to bed and breakfasts. It did not include short-term rentals such as those available through Airbnb.
The county is able to handle individual CUP applications, Kippley said.
Kippley supported remanding the original proposed ordinance back to the planning commission. The county’s ordinance could be applied the joint jurisdiction, he said.
The CUP’s inclusion of accountability was also important to council member Curt Soehl.
“There has to be a way to take away the ability if there is a bad actor,” Soehl said.
Council member Pat Starr also agreed with considering Neitzert’s amendment but saw the need for a CUP from a different angle.
“The purpose of a CUP is to make sure we get good actors on the front end,” Starr said.
Neitzert said owners of short-term rentals should be held to a higher standard than other rentals because they “are renting to transient guests.” The renters are not long-term tenants and they have different rights than transient guests, he said.
These are neighborhoods and not business districts, Neitzert said. “You can’t just do whatever you want in a residential district,” he said.
If a short-term rental disturbs the neighborhood, the owner needs to be held accountable, he said.
Council member Alex Jensen also supported remanding the proposed ordinance but said he’d favor taking a longer look at any ordinance.