Unable to reach agreement, commissioners delay Miami-Dade’s Airbnb crackdown

After almost two hours of deliberation over a proposed ordinance that would create a laundry list of new regulations for short-term rental owners in unincorporated Miami-Dade County, commissioners couldn’t reach an agreement.

The ordinance, sponsored by Commissioner Sally Heyman and fine-tuned over four months of meetings, would require hosts on platforms such as Airbnb to sign up for a certificate of use, register for a business tax receipt, screen for sexual offenders and enforce a number of “vacation rental standards” on their guests.

The ordinance also imposes requirements on the platform hosting the listing, whether that be Airbnb, HomeAway, Craigslist or another site. Platforms will have to notify hosts of their requirements under the ordinance to rent in unincorporated Miami-Dade, maintain compliance records and provide any information the county requests in relation to rental properties in suspected violations of state or local law. Sites will be required to publish listings only to renters who have a valid certificate of use.

“The industry is here; I just want to see it sufficiently regulated for our client Miami-Dade County,” Heyman said.

But commissioners, unable to agree on several of the provisions in the ordinance and worried that Airbnb and other platforms may sue the city, deferred a vote on the ordinance until Sept. 7. At question were some of the specific requirements imposed on hosts, such as home inspection rules, the potential effect vacation rentals could have on affordable housing and the legality of creating requirements for the platforms themselves.

Commissioner Javier Souto, who has fiercely opposed the growth of the short-term rental industry locally, called the ordinance “quick money” that the city will have to pay for later.

“This is something that looks good but in the end, it might kill us,” said Souto, who added that the growth of short-term rentals will drive away “good tourism” and incite “drug and sex tourism.”

Worried that short-term rentals of full homes are depleting the affordable housing stock, Commissioner Barbara Jordan suggested imposing a $1 surcharge on all rentals, with funds directed into a housing trust. That would be similar to an agreement Airbnb recently reached in New Orleans.

But the leading short-term rental platform, which has 6,800 hosts in Miami-Dade County, said it would not reach a similar agreement with Miami-Dade unless the county addressed some of its concerns with Heyman’s proposed ordinance. Representatives from the platform, as well as one from HomeAway who was also present at the meeting, said they believe some of the rules in the amendment violate federal statutes and Florida’s short-term rental law. The state law prohibits local governments from enacting new rules after 2011 that impact the frequency and duration of short-term rentals.

While county attorneys argued that the rules in the ordinance would not violate existing laws, attorneys for Airbnb said they would likely sue the city based on the requirements in the current legislation.

Airbnb attorney Neisen Kasdin, a partner with firm Akerman LLP, argued that the Stored Communications Act protects the platform from sharing user information. He also argued that the Communications Decency Act protects the platform from pre-approving content before it is posted on its site (as in the case of platforms ensuring a homeowner has a valid certificate of use). Heyman’s ordinance also requires that hosts be on-site or only rent the property if they live there more than six months a year. Kasdin argued that this went against the state’s preemption law as well.

“Airbnb supports reasonable regulations that allow our host community to responsibly share their homes,” said Benjamin Breit, a spokesman for Airbnb, in a statement.. “As written, the proposed ordinance includes several overreaching measures that may be in conflict with both state and federal law. Based on good-faith debate held by the commissioners today, we are increasingly hopeful that the county will reconsider these challenging aspects of what is otherwise fair legislation.”

HomeAway, which has been advertising vacation rentals for nearly three decades, said it also supports “reasonable local regulations” and is open to continue discussing changes to the ordinance with the commission.

“We appreciate the commission deferring their vacation rental ordinance discussion until September and taking the time for needed stakeholder input, not only from advertising platforms like HomeAway and VRBO, but from the property owners and small businesses who will be affected by these regulations,” said spokesman Philip Minardi, via a statement.

As it’s written, the ordinance includes the following requirements:

▪ Hosts must apply for a certificate of use, which would require a “minimal” application fee, Heyman said. Applicants will have to provide contact information for the property owner (who is also liable for any violations) and the short-term rental host, as well as the platform where the vacation rental will be listed.

In their application, hosts will also have to certify that they will be collecting and remitting local tourist and state taxes, have permission from the property owner to rent short-term, have insurance coverage on the property, and have a vacation rental license with the Florida Department of Business and Professional Regulation. Hosts will also have to indicate whether they are renting a room, rooms or an entire dwelling and say how many times that property was used as a vacation rental in the previous year.

Hosts will also have to acknowledge that the property owner is aware he or she risks losing a homestead exemption by renting short-term.

The certificate of use must be renewed annually and will be revoked, with few exceptions, if the property has three or more violations in the preceding 24 months.

▪ Hosts must notify renters of all government rules and the limitations at the vacation rental in terms of access for disabled visitors. Hosts must also post the certificate of use and their contact information inside the rental.

▪ If applicable, hosts must notify their homeowners association or condo association that they are renting the property short-term and adhere to the association or board’s vacation rental policies.

▪ If a host lives 2,500 feet from a school, he or she will be required to ensure, via a nationwide search that can be conducted by Miami-Dade County Police Department, that a prospective guest is not a registered sexual offender or sexual predator. Registered sexual offenders or predators can’t stay at a rental that is near a school for four days or more in a month.

▪ Hosts must report all issues or violations with the county or police and the corresponding rental platform. They’re expected to be available 24/7 to handle guest issues and must either be on-site or only rent the property if they live there more than six months a year.

▪ Hosts must also maintain a register with the names and dates of all the guests who stay at the home or apartment — including people invited to the property by the guests. The maximum overnight occupancy at any short-term rental should not exceed two people per room, plus two per property for a maximum of 12. During the day, capacity is limited to 16 people.

▪ Guests are expected to follow standard garbage procedures, noise restrictions (including no amplified sound outdoors) and rules for pets, in coordination with the host. Guest parking is limited to two cars at a time on the property or on the street.

Fines for violations range from $100 for a first offense to $2,500 for a third offense within 24 months.

This story was originally published July 6, 2017 at 6:17 PM with the headline "Unable to reach agreement, commissioners delay Miami-Dade’s Airbnb crackdown."