The City of Dallas staff is developing new regulations for short-term rentals.
Staff briefed council members on two proposed ordinances during a Quality of Life and Arts Committee meeting on Monday — a zoning ordinance and a registration ordinance.
The City Plan Commission’s (CPC) recommended zoning ordinance defines short-term rentals (STRs) as a building containing at least one kitchen, bathroom, and bedroom that is rented to occupants for less than 30 days at a time.
This ordinance would also require STRs to have at least one off-street parking spot. Under this ordinance, STRs would only be permitted in designated zoning areas.
If the CPC’s recommendations were adopted, only 1.8% of existing STRs would be permitted to continue operating.
The ordinance is being put forth to “establish regulations to protect the health and safety” of STR occupants and to “preserve the neighborhood character of residential districts” where STRs operate, according to a proposed statement by the CPC.
Chris Christian, director of Code Compliance Services, briefed council members on a proposed STR registration ordinance that would require STR owners to register annually with the municipality for a $214 fee.
Applicants could be denied registration if they fail zoning inspections, do not meet minimum property standards, have at least three citations for violations of the City Code within the 12 months prior, or are within 2,000 feet from another registered STR.
Additionally, the ordinance would require all STR owners to “be a good neighbor” by allowing no more than three occupants per bedroom, not allowing people to rent more than two consecutive nights, and not allowing amplified sound that could be heard across property lines after 10:00 p.m.
After staff briefed the committee, council members entered a closed executive session to discuss the potential legal ramifications of these regulations.
Because the session lasted longer than planned, council members will question staff about these regulations at a full council briefing on April 4. During the briefing, there will be time for public comment, so the people of Dallas can provide council members with their input.
The City Plan Commission approved defining STRs as a form of “lodging” in December, as previously reported by The Dallas Express. This is the same category hotels are placed in.
Because of this categorization, the City of Dallas can collect a 7% hotel occupancy tax from STR owners.
As previously reported by The Dallas Express, short-term rentals have also been increasingly linked to alleged criminal activity, including prostitution and human trafficking.
Police have “seen the newer tactic of using short-term rentals by sex trafficking organizations to conduct business,” according to a statement by DPD Sergeant Warren Mitchell.
“Using short-term rentals allows the organizations to move their operations more frequently and to cross jurisdictional lines to avoid raising suspicion from people who live around the short-term rental, as well as local law enforcement,” he said.