James City County board unsure about short

JAMES CITY — There are 38 unpermitted short-term rentals operating in James City County. That influx prompted members of the county's Planning Commission to return to the Board of Supervisors at its business meeting recently to request more direction on how to evaluate these cases.

There were still no obvious solutions, but the discussion did shed more light on the problems. The commission has indirectly called for assistance from the board on this issue as recently as January, after the county began working with a consultant who discovered dozens of property owners operating rentals without a permit. These owners have been sent cease and desist letters, and some have responded by applying for special-use permits.

There are 354 short-term rentals being advertised in James City County, including timeshares and hotel units. Earlier this month, the Planning Commission debated some of these cases, such as in the area around Lake Powell Road. It had voted unanimously to deny two requests from a family of homeowners in the neighborhood who had petitioned for exceptions on the basis that the supplemental income from their Airbnb rentals would help them keep their houses and care for their elderly mother. "Each one of these has an emotional piece to it," said commission Chair Frank Polster at the May 23 meeting. "When you listen to the stories of the folks, trying to apply the guidance pieces that we have in a strict manner sometimes becomes rather tough."

The county's comprehensive plan sets some guiding principles for where short-term rentals should be allowed, prioritizing lots outside or peripheral to residential areas or along major roads. It also recommends the property owner lives on the property. Over time, planning commission members have raised doubts about how these rules come into conflict with other goals of the comprehensive plan, namely full-time employment opportunities and affordable housing.

Disagreements among commissioners and board members centered on questions of whether short-term rentals maintain affordable housing and whether rentals better serve local residents or corporations. Commissioner Tim O’Connor said the housing stock suitable for workforce housing and Airbnb rentals is the same market, as the governing documents for planned unit developments prohibit short-term rentals.

"A 30-year-old kid that used to work for me put an offer in on a house," O’Connor said. "It was under 300 grand (and) somebody came in and outbid them with cash by over 20%, and they’re turning it into an Airbnb. So if our (comprehensive) plan tells us we want to keep our young people here and find a place to employ them and have them live here, then, you know, that's some of the balance we’re up against."

On the other hand, board member Ruth Larson said the extra income brought in by short-term rentals could help keep homes affordable.

"I don't have a problem with somebody who is trying to be able to afford their house by dealing with this, but what I hear more often is, ‘Now I’ve got this house going, now I want another one,’" board member John McGlennon said. "We’re gonna have a harder and harder time finding those starter homes that people are relying on."

"Isn't that the American dream to be able to build yourself up?" Board Chair Michael Hipple said. "I mean not go, ‘Well, I’m not gonna build up (and) buy that house because it could be affordable.’"

Hipple floated one idea to limit the number of short-term rentals by lot as one possible solution, but there was still concern from other members that at some point, multiple short-term rentals turn into a different kind of venture.

"When you start getting someone who's running three, four, five, 10 of (these rentals), that's a commercial business," board member Jim Icenhour said. "I’m more concerned about the corporate aspect of it."

County Attorney Adam Kinsman said it would be difficult for the county to prevent corporations from operating short-term rentals in the area.

"Each application is considered separately as a land use issue. And so that’d be a tough one to sort of tie it to ownership," he said.

At the end of the meeting, Polster concluded that the commission would have to learn from experience when considering the large number of cases coming its way, and then report back to the board in the future. The Lake Powell short-term rental cases are scheduled to be heard by the board at its June 13 meeting.

J.W. Caterine, [email protected]

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