New rules coming for Airbnb and short-term rental owners in Pasco
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- Pasco councilmen agreed to introduce new rules for short-term rental owners and landlords.
- City staff cited tax collection, ownership limits, and addressing residents’ concerns.
- Council granted a 120-day grace period allowing short-term rentals to keep operating.
New rules are coming for Pasco homeowners who operate vacation rentals and Airbnbs.
The Pasco City Council agreed on introducing new rules for short-term rental owners such as Airbnb and Vrbo, as well as residents who rent out their homes without using apps.
City staff said the conversation was in response to residents’ concerns about the presence of short-term rental tenants.
There are also questions about tax collection and preventing any single individual or company from owning a large number of properties for use as short-term rentals, which would drive up rental prices and lead to displacement.
They said that the city doesn’t currently regulate most short-term rentals in the city.
The growth of these types of rentals led staff to propose new regulations, which are set to be voted on by the council in early August, Deputy City Manager Richa Sigdel told the Tri-City Herald.
What neighbors and owners had to say
Owners of short-term rentals opposed the proposed measures, arguing that they are already regulated by state law. They must register with the Washington State Department of Revenue, pay retail sales taxes on the rental charges, comply with liability insurance and safety standards.
Shane Arnott, a Pasco resident and short-term rental owner, said that the negative effects of short-term property rentals need to be demonstrated.
“Operators here that are probably doing STRs are doing so to overcome income shortfalls,” he said at the city council workshop. “I would say the less regulation approach is probably gonna be the best way for the city of Pasco.”
Residents, however, said the new rules are necessary because guests staying at these places can create disturbances.
Pasco would be the first city in the Tri-Cities area to impose regulations on short-term rental owners. Richland Development Services and the city of Kennewick told the Tri-City Herald they don’t impose rules on short term rentals.
What the proposed rules would require
Owners of short-term rentals might be required to obtain a state and city business license.
Pasco also wants to ensure owners have a local point of contact available for neighbors and local authorities if any issues come up.
“Because usually the people living in the house in that moment are guests, having a local contact that is available 24/7 is something that we recommend,” Sigdal said.
Council members suggested requiring annual rental self-inspection by the owners, insurance and permits if tenants plan to host a wedding or other event on the rented property.
City staff also recommended banning parking spaces that exceed the residence’s capacity, such as street parking.
Pasco neighbor Thomas Brown said that rental owners in his neighborhood have moved into RVs, while others have cleared more space in their backyards to make room for more cars.
Other rules they’d like to implement include barring outdoor signage and requiring owners give renters information on city requirements such as trash rules and noise ordinances.
Doug Perez, another rental owner, said that the short-term rental platforms already require them to follow safety measures such as the installation of fire extinguishers and smoke detectors.
How would the city implement the new rules?
Council members agreed to grant a 90 to 120-day grace period to allow owners to adapt to the new rules after they’re approved.
If the rules pass in early August, operators would have until the last day of the year to get into compliance. After that, the city would begin to enforce the new rules, said Sigdel.
City Manager Harold Stewart said that during this grace period short-term rentals can continue to operate
“We are not precluding anyone from operating during this time frame,” he said.
