96 South Main Street, Nephi, Utah 84648 - Voice: 435 623-0525 - FAX: 435 623-4735 News for October 23, 2024 |
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Planning commission recommends moving forward with short-term rental ordinance |
By Myrna Trauntvein The Nephi Planning Commission has recommended an ordinance governing short-term rentals. “It is currently illegal to have a short-term rental in Nephi City but they do exist,” said Seth Atkinson, city administrator. “This ordinance will allow for a short-term rental and set the terms for how one may operate.” A short-term rental is a residential unit that is rented for less than 30 consecutive days to the same person or entity. “The ordinance does not allow them in internal accessory dwelling units, accessory structures, or temporary living structures,” he said. The rental unit must receive a fire inspection, be licensed, pay the city and county transient room tax, and is also required to have an off-street parking space for each guest bedroom with a minimum of two parking stalls. There is no current maximum set in the ordinance. “The city staff is recommending that the city wait to see how many are licensed and determine whether or not the housing supply is affected for residential homeowners,” said Atkinson. “If there is an impact, a maximum limit could then be set.” He said the staff and the Nephi Planning Commission were recommending the prepared ordinance and said that it is ready for council consideration. Short-term rental (STR) describes furnished, self-contained apartments or houses that are rented for short periods of time. They are usually seen as an alternative to hotels. “Short stay” rentals are an offshoot of the corporate housing market, and are also offered by private owners and investors via online platforms such as Airbnb. Through short-term rental, landlords can make upwards of 30 percent more than they would on a rent controlled property. Ordinance 10-15-2024--Short-Term Rentals--states that a rental must be for fewer than 30 consecutive days to the same person or entity. A short term rental is prohibited in an internal accessory dwelling unit, a mobile home, an accessory building, in a recreation vehicle or motor home, in a travel trailer, boat or similar vehicle or facility and in any other temporary living structure. That one parking stall must be provided for each guest bedroom in the short term rental, and that would mean that four spots would be needed for a four bedroom short term rental but the ordinance said that there needed to be a minimum of two parking stalls per short term rental site, said JC Parady. To his way of thinking, that just did not seem to have been worded clearly and he said he would prefer having Kasey Wright, city attorney, look over that wording and clarify it. “The property must be rented and used as a short-term rental at least one time per calendar year in order to maintain the approved status as a short-term rental,” said Atkinson. A business license, sales tax number, and collection of transient room tax, and the business license has to be renewed annually. A short-term rental may be allowed within any zone that allows for residential dwellings and must meet all applicable requirements of the ordinance, building codes, fire codes and health codes.
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