So after 13 public meetings addressing vacation home rentals I finally have a vacation rental update for South Lake Tahoe.

The El Dorado County Board of Supervisors took a step toward an official ordinance at their meeting on Aug. 28 and with a 5-0 vote, supervisors approved the first reading of a vacation home rental (VHR) ordinance for unincorporated areas of the Tahoe Basin. Moved by District 5 Supervisor Sue Novasel and seconded by District 4 Supervisor Michael Ranalli, the ordinance will return for approval on Sept. 11.

The topic last appeared before the Board of Supervisors on July 24, where supervisors conceptually approved an ordinance ahead of a public input meeting held two days later in Meyers. Some of the previous revisions, approved in concept only, included a 12-person cap on overnight guests, quiet hours from 10 p.m. to 8 a.m., penalties assigned to the violator rather than the owner and a limit on all VHR permits given in the Tahoe Basin.

General consensus that the focus should be on enforcement of VHR regulations

Vacation Rental Update in South Lake Tahoe-The July 26 public input meeting brought forward a general consensus that the focus should be on enforcement of VHR regulations, according to a presentation from Hennike. Those who expressed their thoughts felt VHR permit limits may affect construction of new homes and re-sale of existing ones, Hennike’s presentation said. The cap on overnight guests brought concern because the process to allow more guests is expensive and a cap may not be necessary for certain VHRs, depending on their location and parcel size.

According to Novasel, caps on both overnight guests and permits were not well-received at the meeting in Meyers because people on either side of the issue did not feel they properly addressed enforcement.

Regarding the overnight guest policy and unlimited VHR permits, staff intends to collect data once the ordinance goes into effect, then report back to the board within a year.

“Let’s give these policies a little more time to work … and see if a later cap might be necessary,” Hennike said.

Public comment was minimal at the ordinance’s first reading last week, with three speakers coming forward. Two speakers, county resident and property owner Michelle Benedict and El Dorado County Chamber of Commerce CEO Laurel Brent-Bumb, expressed approval for the new ordinance. Benedict did ask for clarification on parking regulations and what owners are required to post on signage.

Vacation Rental Update in South Lake Tahoe

Jim Morris, a longtime South Lake Tahoe resident and property manager, was concerned with how many overnight guests are allowed in VHRs, worrying that it may impact the transient occupancy tax collected. He also objected to a lack of information on which VHRs were creating problems and warned supervisors not to lump all rental owners together.

“We don’t want a broad brush applied to owners who are properly informing tenants of the rules,” Morris said.

As of now, parking enforcement remains an issue. Parking is unenforceable at this point because if there are too many cars on a street, officers must go door-to-door and match each car to its respective house, Hennike said. However, VHR owners are required to post information for guests regarding snow removal rules and on-site parking.

Upon the ordinance’s official approval, the county will move toward implementing, enforcing and evaluating the new regulations, Hennike said. High penalties and rules regarding the way a VHR is advertised are in place to discourage illegal VHRs and large, rowdy parties being booked in the area.

“We’ve made it very, very clear there are pretty stiff penalties … you can get up to the point where it’s $1,000 per day,” Hennike said.

In the city the rules are a little bit different. 

In October 2017 the rules changed and the city put a limit or a cap on the amount of total vacation rental permits (in the city only) to 1400.  As of 8/28/2018 we have 1384 and a wait list of 178.  So far to date for the year the city has released 48 new permits.  At that time the fines were also increased to an immediate $1000 for each offense given to the tenant and the owner.  The largest complaints are in this order;  noise, parking and trash.  Recently this month (Aug. 2018) the city has reduced those fines to $250 first offense then $500 then a $1000.  After the third offense in a 24 month period the owner loses their permit.  Once a house sells the permit isn’t transferable-I get asked that question often.  If you would like to see the complete city report email me jfortune@chaseinternational.com and I will send it to you.