Background:
While short-term rentals (also known as vacation rentals, VRBOs, Air BnBs, etc.) are not new, the impacts of these accommodations have increased in recent years. Communities across the west are struggling with competing interests, such as tourist demand and revenue, individual property rights, the effect on housing, and the impact of these short-term guests on permanent residents and local neighborhoods. Alamosa is no exception to this complex balance.
In August 2021, City Council directed staff to propose new short term rental (STR) regulations to maintain a balance of uses in our community. Staff studied approximately 20 communities across Colorado and New Mexico, and the regulations are as varied as the communities themselves. Staff attempted to take a very balanced approach and selected and modified those regulations to address the most common issues - tracking of licenses, loss of housing stock, and neighborhood impacts such as parking, noise, etc. The first proposal for STR regulations was taken to Planning Commission for discussion and recommendation in September. They recommended a 300-400 foot buffer around each STR.
In advance of the first reading, staff reached out to all known current STR owners as well as local banks and real estate agents about the proposed changes and strongly encouraged them to engage in the public hearing process. The changes were also covered in local news and received some impassioned feedback - both for and against the changes.
Council passed a version of this ordinance on first reading on November 17, 2021, but tabled the matter on second reading two weeks later on December 1st, in order to schedule more work sessions and facilitate further public input. A moratorium was placed on new short term rental applications in the interim. Incidentally, the moratorium and the potential "buffer" system caused a surge in speculative licenses and 147 licenses were in place before the moratorium went into effect.
The most controversial component of the original Ordinance was the proposed buffer system which required STRs to be a set distance from other STRs. Following multiple work sessions and additional public input, the buffer system was replaced with "short term rental zones". These zones strike a balance between maintaining neighborhood integrity and respecting private property rights. The number of STR licenses will be capped at 5% of the total number of housing units within each zone. Licenses are available on a first-come, first-served basis. An interactive map of STR units and STR zones, a waiting list, and all application materials will be available on the City's website.
In brief, this ordinance adds or clarifes the following regulations for STRs vs. the existing regulations:
- Clarifies on-site versus on-street parking requirements
- Reinforces all short term renters are responsible for adhering to City ordinances
- Establishes that licenses are transferrable to other owners but may be revoked or non-renewed for violations
- Requires the City to notify all property owners within 100' when a new license is granted
- Requires a local owner or operator who is responsible for compliance and must respond to any issues within 24 hours
- Sets standards for STR rentals in multifamily units
- Requires STRs to have smoke detectors, carbon monoxide detectors and fire extinguishers
- Requires basic building safety inspections when a new license is applied for
This proposal also distinguishes STR properties that are occupied by owners who live on-site for at least 9 months per year as "Bed and Breakfast Inns". These units would still need a business license but are not required to have an STR license and are not subject to the license caps within each zone.