Previously, the city required a consent letter from the homeowners’ association for every short-term rental, but problems with that system led the council to consider whether to remove that requirement altogether Tuesday, Dec. 19.
Now, the city has opted for a compromise, removing the letter requirement but putting the onus on HOAs to take responsibility for their short-term rentals.
Active HOAs can now notify the city if their neighborhood has restrictions on short-term rentals in its covenants, conditions and restrictions (CC&Rs). City attorney Jeremy Cook explained the change.
“It kind of puts the burden on the HOA to verify that they do have… CC&Rs that actually restrict short-term rentals,” he said. “And then if they do, the city won’t issue business licenses.”
Any existing short-term rentals that aren’t allowed would then have their business licenses revoked, with a four-month grace period.
Under the new rules, HOAs will need to submit a neighborhood map, the association’s registration certificate, and a statement showing the group has the legal authority to restrict rentals.
Councilmember Mike Johnston said he thinks it’s a fair solution to the question of how to handle rentals, and it will help identify where HOAs are defunct.
“I think this is the right way to go,” he said. “It may not be the solution somebody wants right now, but it will work itself out this year.”
Tony Pericle, whose short-term rental property in Heber City prompted the council’s discussion, wrote a letter asking them to change the rules. Mayor Heidi Franco read his comments.
“This revision creates a manageable path for an HOA to say no to short-term rentals,” he wrote.
Pericle argued requiring proof of any restrictions in neighborhood CC&Rs would improve the regulations.
Councilmember Ryan Stack said the change should be widely publicized so all Heber’s HOAs are aware of the new regulations.
“Just my humble urging is that we blast this to the maximum extent,” he said.
He also encouraged the next council to consider adopting overlay zones, which would map where in the city short-term rentals could be permitted.
The change passed unanimously. Information about the new requirements will be mailed to all Heber City water customers in the new year.