The Wayzata City Council will hold a workshop on September 17, 2024, to review proposed amendments to the Rental Dwelling Licenses Ordinance that would introduce regulations for short-term rental properties. The amendments are part of the City’s efforts to maintain neighborhood character and safety through proper oversight.
18 Short Term Rentals
Planning Consultant Eric Zweber, in collaboration with City Manager Jeffrey Dahl, will lead the discussion, which focuses on the first phase of ordinance amendments. These changes come after research found that approximately 18 properties within the city are being used as short-term rentals.
The proposed amendments would apply rental licensing requirements, similar to those for other rental properties, to short-term rentals. However, a few distinctions are proposed:
- Short-term rental owners would not be required to attend Phase I Crime-Free Training.
- Background checks on prospective tenants would not be mandatory.
- Rental agreements for short-term tenants would not need to include “Crime-Free/Drug-Free and Disorderly Conduct” provisions.
If the City Council supports moving forward, staff will begin implementing the following steps:
- Add short-term rental licenses to the city’s fee schedule at the same rate as single-family home rental licenses.
- Host an engagement session to inform and gather feedback from short-term rental owners.
- Set January 1, 2025, as the effective date for the amendments, with applications due by April 1, 2025.
- Revise the rental license application to include short-term rentals.
- Hold a follow-up workshop in early 2025 to assess the process and discuss potential further amendments.
Different rules for different licenses?
Some long-term landlords may express concerns about the potential for tougher regulations on their properties, while short-term rental operators face less stringent standards.
With short-term rentals typically involving higher tenant turnover and more frequent use, some landlords may find the current proposal might create an uneven playing field.
They may argue that short-term rentals, which can bring more traffic and activity to neighborhoods, should have stricter guidelines, particularly regarding tenant screening and safety training, to ensure they align with the standards long-term rental properties must meet.
The discussion is part of the City’s 2024-2026 Strategic Plan priorities aimed at preserving community character while enhancing safety through regulation.
The workshop will be held from 6:00-6:30 p.m. at Wayzata City Hall and the public is welcome to attend.
