Christine Erickson

AirBnB mysteriously changes from Bed & Breakfast zoning to short term rentals

l3wis March 20, 2018 10Comments

Short term rental or short term friendship with the mayor?

First off, I agree with the city, a ‘short term rental’ like AirBnB should be just that, a rental. For it to be considered a Bed & Breakfast it has to have a ‘service’ kitchen that serves food to the renters that needs to be inspected by the health department. Since it does not, it is pretty much like any other apartment, but just for a shorter time. But this could ruffle the feathers of your homeowner neighbors who ARE not short term renters.

The rules seem simple. The state requires a tax license;

Beginning Sept. 1, Airbnb will begin collecting and remitting state and municipal taxes on all eligible bookings in South Dakota.

The City of Sioux Falls requires rental registration;

Short Term rental properties (such as Airbnb, VRBO, etc.)

This all makes sense, taxes paid, registrations in check.

But here is where it gets a little ‘sticky’ and all that ‘transparency’ thingy a lot of council candidates like to talk about lately. This story from 2015 paints another picture;

“A bed and breakfast requires a Conditional Use Permit and approval of the Planning Commission for that permit to be approved,” said Shawna Goldammer, Sioux Falls Zoning Enforcement Manager.

Goldammer says an Airbnb is considered a bed and breakfast. Chances are, Airbnb hosts are unknowingly operating illegally.

“What the ordinance does for us in Shape Places makes residential residential. So when you live in a residential area under a residential zoning district, you can expect residential in your neighborhood,” said Goldammer.

Like I said at the beginning, I don’t consider short term rentals a bed and breakfast. What I take issue with is that after Shape Places passed and Goldammer made these statements, somehow the rules disappeared into the night without any action from the city council . . . that I can find.

What is also very interesting is that council candidate and incumbent, Christine Erickson’s main business is ‘short term rentals’ and AirBnB. Please tell me the rules didn’t change quietly in the night after a secret handshake with our mayor and code enforcement?

The irony of this is that Erickson could have had a very public debate about it, and would have probably won and got citizen support. Or maybe not. Would you want to own a home next to a short term rental in a residential neighborhood? I have renters in my neighborhood, I don’t take issue with it, but it’s not a revolving door either.

I would really like to know how these rules just magically change when it affects a city councilor’s business and a mysteriously renewed friendship with the mayor.

Kind of like the Downtown Parking ramp deal, Erickson got a little back peddling to do.