1. City of langley
Short term rentals

2. Purpose
Present proposed new regulations for short term rentals in the City of Langley Receive citizen input.
PAB has been working on this subject for a year.
Vision, goals and objectives of the Comprehensive Plan give the PAB the guard rails.
Balancing these lofty statements against individual interests

3. Vision
Tourism continues to play an important role in Langley’s economy
Fulltime residents outnumber seasonal residents and tourists
Tourism and service workers live in Langley
Long-term rentals outnumber short-term rentals
The majority of short-term rentals are bedrooms or accessory dwelling units where the owner/ manager lives there.
A small percentage of whole homes are used as short-term rentals and the owner/manager lives in close proximity.
All short-term rental operators and operations comply with the City and State Codes.
The City enforces unauthorized short-term rentals.

4. OBJECTIVES
Establish and manage a short-term rental regulation and program that
Maximizes the availability of potentially more affordable housing options by minimizing the numbers of long-term rental properties being converted into short-term rentals
Prevents residential neighborhoods from being turned into tourist areas to the detriment of full-time residents
Ensures that short-term rentals are taxed in the same way as traditional lodging providers to create a level playing field and maintain local service jobs
Does not negatively affect property values (and property tax revenue)
Does not create pseudo hotels or “party houses”
Ensures that the city does not lose out on lodging tax revenue that is invested in tourism related activities consistent with State code
Minimizes public safety risks and nuisances such as noise, trash and parking problems
Is managed and enforced equitably across the City.
Gives permanent residents the option to occasionally use their properties to generate extra income from short-term rentals.
Does not create an undue burden on City staff and resources.
Builds in cost recovery.

5. Results from July 2018 housing survey
54% in favor of placing more restrictions on STRs
5% reported having an STR
140 respondents
Compliance is complaint driven.
70% said there was not enough housing in Langley

6. Growth of short term rentals in langley
Within City limits
Internet scan and not 100% accurate
Reflects a very strong increasing trend
No data

7. Number of Tourist Beds

8. Business license

9. Tourist Accommodation tax Revenue
Year
Taxes allocated to Langley
Increase ($)
Increase (%)
2015
$68,068.65 - --
2016
$75,595.59
+$7,526.94
+11%
2017
$77,687.70
+$2,092.11
+3%
2018
$78,410.01
+$722.31
+0.9%
Tourism fund is made up of the 4% Hotel/motel tax distributed by the State
3% increase between 2016 and 2017 in tax collected but a 45% increase in private STR operations
How much taxes gets collected by STR platforms/managers is unclear
Chamber of Commerce - promotion, build and maintain the public restrooms and visitor center
Island Shakespeare
Langley Street Dance
Langley Main Street
WICA
Langley Whale Center
Wayfinding signs

10. Tourist Accommodation
Current Municipal Code
Hotel (Inn at Langley)
Motel (Langley Motel)
Bed & Breakfast Inn
Bed & Breakfast Rooms (rooms in the home or in an ADU)
Tourist accommodation - commercial
Traditional tourist accommodation operators – hotel/motel/inn operate at 65% capacity year round basis

11. Moratorium Six month moratorium in July 2018 Renewed in January 2019
Reviewing other codes
What makes sense for Langley?

12. State and County Requirements
The Washington State Department of Revenue requires registration for the purpose of collecting sales tax and lodging tax from guests.
Island County Health Department requires a food handlers certificate.
“Transient accommodation" means a facility such as a hotel, motel, condominium, resort, or any other facility or place offering three or more lodging units to travelers and transient guests. RCW
Depending on what you are serving your kitchen might need inspection.

13. Proposed ordinance framework
Short-Term Rental Type I – Rooms
STR Type I is hosted and the owner/operator shall reside on-site when guests are present.
The number of guest rooms shall be limited to no more than two.
Is permitted as an accessory or secondary use in all residential zone districts.
  Short-Term Rental Type II – B&B Inn
STR Type II is hosted and the owner/operator shall reside on-site when guests are present.
The number of guest rooms shall be limited to no more than six.
Is permitted as a principal (conditional) use in all residential zone districts.
Short-Term Rental Type III - Commercial
STR Type III maybe hosted or non-hosted.
Is permitted as a principal use in the commercial zone districts
In the CB zone short term rental use is not permitted on the first floor and/or street level of the building.
Short-Term Rental Type IV – Limited NEW
STR Type IV maybe non-hosted
The number of guest rooms shall be limited to no more than five.
Is permitted in all residential zone districts.
Is not transferable.
Permits are only valid for one year.
Limited number of permits.
STR - Type I
STR – Type II
STR - Type III
STR – Type IV
Current LMC
B&B Rooms
LMC
New
B&B Inn
LMC
Tourist Accomodation Commercial
LMC )
Type of use
Accessory or Secondary
Principal
Zone
RS5000, RS7200, RS15000 and RM
Neighborhood Business, Central Business
Number of bedrooms
2 bedrooms max
In DU or ADU
Whole home and ADU – max 5 bdrms 
Whole home and ADU – max 5 bdrms
Number of guests
Two adults and child < 6 years per legally established bedroom.
The maximum number of guests is 10.
Management structure
Hosted
(FT resident)
Non-hosted
No resident
FT resident
Approval process
Administrative/notice
Hearing Examiner/notice
Utilities TBD
Residential
Commercial
Septic
Confirmation of IC septic permit and # of permitted bedrooms
Not permitted on septic
Parking
All parking located on the subject property. One parking stall per bedroom being rented and where hosted two parking stalls for the owner/resident manager.
Distinguishing between hosted and non-hosted
One STR per owner
Type I, III, and IV – not transferrable, administrative review
Type II – Conditional use/Hearing examiner and transferable
Type IV – annual license & Limited number of permits
Manager that is off site must be available 24/7 and can respond to emergencies within 20 minutes.

14. Life Safety & Food safety
Guest room is a bedroom
Food handling permits for those serving and/or providing food
Smoke detectors
Carbon Monoxide detectors
Fire extinguisher
Egress routes posted in each guestroom
Off-site manager 24/7 contact with 20 minute response time

15. other considerations All parking must be onsite.
Signs must be unlit and 4 square feet or less
Quiet time is 9pm to 9am. Outdoor fires are not allowed.
STRs on septic must have a performance evaluation and be approved for the number of bedrooms.
No events or large gatherings in residential zones.

16. Host compliance
Third party agency to assist us with enforcement and compliance
Scan from March 2019 shows 56 listings
Address identification – monthly reporting/live web dashboard with addressing information – who’s doing what/where
Compliance monitoring – ongoing monitoring for compliance/up to date lists/assist with pro-active outreach
24/7 hotline to report non-emergency problems – document complaints, complainant can take pictures/videos/audio recordings.

17. enforcement License may be suspended after two documented violations
Monetary penalties for each day of violation
Repeat offenders could lose license to operate

18. Regularizing existing Strs
Existing STRs that have received City approval AND a business license can continue operation. Review as part of 2020 business license application.
STRs that conform with current code and with the new code BUT have not received prior City approval will be required to apply for approval and obtain a business license.
STRs that are not permitted by current code but comply with new code will have to go through the full application process.

19. Next steps Refine code amendments
Establish new fee structure including utilities
Share with Chamber of Commerce & Island County Tourism Board
Prepare draft ordinance
Begin formal adoption process

20. Questions and answers

21. City of langley THANK YOU PO Box 366 112 Second Street
Langley WA 98260