B&B compliance on the horizon

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Nicky Boyette – At Monday evening’s city council meeting, alderman David Mitchell addressed unfinished discussion from last week’s Planning Commission meeting regarding Bed & Breakfasts operating in violation of City Code. Code requires a B&B to have a manager or owner live on site and provide breakfast for guests. Mitchell claimed there has been lax enforcement, and now, because of Airbnb, VRBO and HomeAway, there are new ways to list properties as overnight rentals in defiance of Code.

He said four properties were recently uncovered as acting illegally – no license, no insurance and not paying the CAPC tax – and two of the properties were planning to remedy their situations by applying for a B&B license. Mitchell stated as a way to mitigate further end-runs around Code and to allow time for proper enforcement of existing situations, council could consider imposing a four-month moratorium on licensing of new B&Bs to give Planning a chance to get a handle. He referred to the lack of enforcement as “a big mess.”

Mayor Butch Berry said city hall checks to see who is licensed for a B&B, who advertises for overnight rentals, and if owners are operating within the law. If they are not, the city sends them letters. Berry said letters went out.

Alderman Bob Thomas stated the rules for B&Bs are clear, and asked Mitchell if he wanted more restrictions.

Mitchell replied, “I’m not sure, but our rules are not being enforced.”

Alderman James DeVito asserted he was wary of moratoriums because stopping all licenses penalizes legitimate operations, and the city can deal with violators on a case-by-case basis. He maintained there are only a few transgressors.

Thomas agreed, and proposed, “Why don’t we just start enforcing the law?”

Berry urged citizenry to notify his office if there are B&B operators out of compliance with City Code. If a complaint is filed, the city can act on it. “We have sent out cease and desist letters to violators, and if you know of others, let us know,” he said.

DeVito suggested if there were a problem, quarterly inspections would tighten up compliance, and Berry added random inspections would also encourage conformity.

Mitchell withdrew his suggestion of a moratorium to give Berry a chance to follow up.

Final items

  • Council adjusted the language in Ordinance #2239, which adjusted EMS fees, to make sure it complied with Arkansas law, and passed its third reading.
  • Berry announced aldermen would have February budget numbers for discussion before the 5:30 p.m. workshop prior to the March 28 council meeting. He commented the budget so far “looks very tight,” and he would propose revenue enhancement measures in April.

Next meeting will be Monday, March 28, at 6 p.m., with a budget workshop at 5:30 preceding the meeting.