New B&Bs on suspension

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Nicky Boyette – At Monday evening’s meeting, Eureka Springs city council voted to impose a six-month moratorium on issuing licenses for Bed & Breakfasts in all residential zones in the city. The decision was prompted by recent confusion caused by what Planning commissioners and aldermen have both called vague language in City Code related to B&Bs.

Alderman James DeVito began the discussion by pointing to the changing nature of the residential landscape in Eureka Springs. He said affordable housing is scarce for prospective workers and there is an increasing number of people buying second homes in town, so fewer rental properties increases what renters must pay. He contended if council does not do something soon, the town will revert to having too many B&Bs and not enough housing.

“What we need to hold onto is we are a living, breathing community. We are not Disneyland. People do live here,” he said, proposing that council consider a moratorium on B&Bs “until we can address the bigger issues.”

Alderman Mickey Schneider responded she was the exact opposite of DeVito. She claimed a B&B is a home where a family lives and they rent a room to visitors. She claimed B&Bs expand the town’s population. “How does this take away from our population? What am I missing? I don’t get it,” she stated.

“This is a complex issue,” alderman David Mitchell replied. He maintained some people cannot afford to live in neighborhoods because of the high rent, but B&Bs do not take away affordable housing. He reiterated the cause of recent problems is vague language in City Code about B&Bs and tourist lodgings.

He added that new rental strategies such as Airbnb only confuse the issue further. He agreed with DeVito that council must pay attention and do something. However, he was not confident imposing a moratorium would solve the problem.

DeVito disagreed with Schneider’s claim that families run B&Bs, and having a place for families is one of his concerns. He said he is looking out for the city as a whole. In his view, council has an opportunity to act before the number of B&Bs proliferates.

“We can do nothing and later lament the fact we didn’t shut the barn door, or we can be proactive,” he commented.

Schneider still insisted B&Bs are homes for locals plus temporary locals who might become return visitors. She stated council must take time to “hash this thing out.”

Mitchell pointed out rental of cottages and cabins has boomed, but B&Bs not so much. He said a moratorium would make sense, but was not sure what Planning would be able to do. Nevertheless, he pointed out, “We slammed the door shut on weekly rentals, but the door for B&Bs is still open.”

Alderman Terry McClung said this predicament is not what city leaders envisioned 15 years ago when parts of Code were crafted. He said a moratorium was a good idea, would give Planning a chance to work on Code language, and council would have to contribute effort as well.

Alderman Bob Thomas asked what would be accomplished by imposing a moratorium, and mayor Butch Berry answered it would give Planning time to come up with recommendations for council to consider.

At that point, DeVito moved to impose a six-month moratorium on issuing licenses for B&Bs in all residential zones in the city, and McClung seconded the motion.

Schneider insisted a moratorium did not make sense. She wondered if council should appoint a committee to look at revising Code.

Berry was firm that it was the task of Planning to make recommendations about Code revisions to council. Mitchell said council should give some direction on what it wants from Planning and Thomas agreed. Berry maintained Planning commissioners were aware that the ordinance regulating B&Bs needed revision, and council should let them do their work.

McClung stated Planning lost a very qualified commissioner because of the vagueness in City Code, and a moratorium would give the city a chance to clear up the confusion. He added he did not appreciate those who take advantage of the rules.

“And someone needs to enforce the rules,” Mitchell asserted. He agreed times have changed and interpretations of Code are different, and it was unfortunate Planning lost a valuable commissioner because of ambiguity left uncorrected. The vote on DeVito’s motion to impose a six-month moratorium on issuing licenses for B&Bs in all residential zones in the city was 3-2, Thomas and Schneider voting No. Berry cast the deciding fourth Yes vote.

Other items

  • Council set 5 p.m., August 8, as the date for a workshop to go over recommendations of the food truck committee.
  • Berry announced Planning has a vacant seat.
  • He also announced the Auditorium Committee will continue to meet under the auspices of the City Advertising and Promotion Committee.
  • Planning commissioner Fergie Stewart told council there would be a Eureka Springs block party at Lake Leatherwood City Park from 10 a.m. – 2 p.m. on August 20. Activities will take place in the ballfields and in the main meadow at the park. Service organizations including the Good Shepherd Humane Society, Flint Street Mission, the Historic Museum and others as well as ESPD, ESFD, ambulance providers and more will be on site to explain what they do.
  • Council approved all three readings of Ordinance 2243 which removed part of Hickory Street from the jurisdiction of Parks for further consideration by council.
  • Also approved was Resolution 685 which authorized Interim Fire Chief Nick Samac to submit a grant request to the Arkansas Rural Economic Development Commission for the purpose of securing state funds of $50,000 for purchasing additional breathing devices.

Next meeting will be Monday, July 11, at 6 p.m.