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INDIAN RIVER COUNTY, FLORIDA MEMORANDUM /0A1 TO: Joseph A. Baird; County Administrator FROM: Stan Boling, AI"nmunity Development Director DATE: June 6, 2016 SUBJECT: Consideration of Proposed Vacation Rental Ordinance Establishing a Local License Requirement and Vacation Rental Regulations - It is requested that the data herein presented be given formal consideration by the Board of County Commissioners at its regular meeting of June 21, 2016. BACKGROUND From the 1980s — 2012, staff interpreted county regulations to treat residences rented for periods of less than 30 days as a lodging unit, requiring commercial zoning or special approval such as a residential resort (e.g. Disney resort) or bed and breakfast. During that period, there were occasional but not many short term rental "violations" that came through code enforcement. In July 2012, the Board of County Commissioners (Board), as part of a proposed change to clarify the county's treatment of short term rentals, adopted regulations clarifying that "... any residential dwelling unit offered for rent or lease for less than a month at a time shall not be considered a hotel/motel or lodging facility". That regulation change remains in effect and allows a residential dwelling unit in the unincorporated area of the county to be used as a "vacation rental" (see definition, attachment 1). At -the time of the 2012 regulation adoption, the Board directed staff to track site-specific complaints related to vacation rentals and coordinate with the state to try to ensure compliance with state licensing requirements for vacation rentals. In 2012, the Board also expressed a desire to have vacation rentals "come out of the shadows" and come into compliance with state requirements and local tax obligations. Since July 2012, county Code Enforcement has tracked site specific complaints related to vacation rentals and has coordinated with the state regarding state licensing of suspected "unlicensed" vacation rentals. To date, over a period of nearly four years, Code Enforcement has received complaints regarding a total of 32 specific, suspected unlicensed units. The location and disposition of those units with respect to proper state licensing is shown on the attached vacation rental complaint log (see attachment 2). MA\AGENDA\Current Year\2016\Consideration of Proposed Vacation Rental Ordinance Establishing Local License Requirement and Vacation Rental Regulations 062116.docx 123