Michigan House approves controversial short-term rental protections

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Michigan House lawmakers in an overnight session Tuesday approved legislation in a 55-48 vote that would prohibit cities and townships from banning short-term rental housing.

Last-minute changes to the bill do not appear to have wooed opponents of the measure, which was voted on shortly before 2 a.m. Wednesday.

The controversial legislation would include short-term rentals as a valid residential use under Michigan’s zoning act, upending zoning changes local communities have made or are considering to limit and regulate short-term rentals by deeming them commercial use. 

Lawmakers have argued that noise and nuisance rules are enough for communities to bring problematic renters in line.

A House substitute adopted early Wednesday added language that seemed to make some concessions, allowing local governments to limit the number of short-term rentals with a common owner to no fewer than two and limit overall short-term rental units within the community to no less than 30% of all existing residential units.

The bill also was amended to create a narrow exemption for non-compliantlocal short-term rental overlay districts implemented by July 11, 2019, a carve-out that appears to largely benefit the city of East Lansing.

“The measure approved by the House is a solid compromise that provides both certainty for private property owners across the state and flexibility for local municipalities that deserve to have some control over the planning and zoning of their communities,” said Rep. Sarah Lightner, the Springport Township Republican who sponsored the bill.

Lightner argued the legislation protected the private property rights of Michigan residents who wanted to rent their property while reining in corporations looking to “scoop up large numbers of homes to rent out, effectively acting as hotels without having to abide by safety standards or pay taxes like hotels.”

The Michigan Municipal League strongly opposed the legislation, which its officials  called an avoidable “calamity,” and urged the Senate “to reject this rolling disaster headed to a neighborhood near you.”

Michigan House lawmakers in an overnight session Tuesday approved legislation in a 55-48 vote that would prohibit cities and townships from banning short-term rental housing.

Last-minute changes to the bill do not appear to have wooed opponents of the measure, which was voted on shortly before 2 a.m. Wednesday.

The controversial legislation would include short-term rentals as a valid residential use under Michigan’s zoning act, upending zoning changes local communities have made or are considering to limit and regulate short-term rentals by deeming them commercial use. 

Lawmakers have argued that noise and nuisance rules are enough for communities to bring problematic renters in line.

A House substitute adopted early Wednesday added language that seemed to make some concessions, allowing local governments to limit the number of short-term rentals with a common owner to no fewer than two and limit overall short-term rental units within the community to no less than 30% of all existing residential units.

The bill also was amended to create a narrow exemption for non-compliant local short-term rental overlay districts implemented by July 11, 2019, a carve-out that appears to largely benefit the city of East Lansing.

“The measure approved by the House is a solid compromise that provides both certainty for private property owners across the state and flexibility for local municipalities that deserve to have some control over the planning and zoning of their communities,” said Rep. Sarah Lightner, the Springport Township Republican who sponsored the bill.

Lightner argued the legislation protected the private property rights of Michigan residents who wanted to rent their property while reining in corporations looking to “scoop up large numbers of homes to rent out, effectively acting as hotels without having to abide by safety standards or pay taxes like hotels.”

The Michigan Municipal League strongly opposed the legislation, which its officials  called an avoidable “calamity,” and urged the Senate “to reject this rolling disaster headed to a neighborhood near you.”

READ FULL ARTICLE: detroitnews.com/story/news/local/michigan/2021/10/27/house-approves-controversial-short-term-rental-protections-overnight-session/