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Board rejects vacation-rental proposal

by Richard Hanners Whitefish Pilot
| March 22, 2011 3:12 PM

Calling a proposal to increase

short-term rentals in Whitefish an “end-run” around the planning

process and not needed, the Whitefish City-County Planning Board

unanimously recommended denial for the plan on March 17.

Courtland Chelmo, who brought the

zoning-text amendment to the planning office, called the proposal

an “economic stimulus” that could help him and others “fill in

subdivision lots” by attracting Canadian buyers to Whitefish, a

“resort town.”

Chelmo is the developer behind the

Birch Glades subdivision, which lies along Aspen Grove Street, a

through road connecting Texas and Colorado avenues.

According to Chelmo’s proposal, 10-acre

zoning overlays could be created in residential areas when 65

percent of the property owners inside the overlay approved the

change, and individual properties inside the overlay could be

approved for short-term rentals after applying for an

administrative conditional-use permit.

The plan also included performance

standards to address density, parking, licensing, safety, signage

and contact information to help police when they respond to

complaints about noise.

When the proposal was first heard on

Feb. 17, the board asked Chelmo and planning staff to come back

with more information on the local vacation-rental market and how

other resort communities deal with short-term rentals.

More than 1,500 properties in Whitefish

and its two-mile planning and zoning “doughnut” area have zoning

that allows rentals for less than 30 days, and 116 units were

advertised recently online as short-term rentals. City planners

noted that it was not known how many of the advertised units were

legal.

Of the five people who addressed the

board, four opposed Chelmo’s proposal.

Joe Falk, who rents three condos at

Baypoint On The Lake, noted that the resort has on-site management

to address noise, parking, disputes and “drunks.” He said requiring

a large deposit and setting lots of rules “doesn’t always

work.”

Ben Cavin, who cited experience with

short-term rentals near his home on Houston Point Drive, said city

planners are too busy to deal with short-term rentals.

“We don’t need to do this,” he

said.

Jill Evans, whose Texas Avenue home

could end up being adjacent to a 10-acre overlay created by Chelmo,

pointed out that she and her neighbors wouldn’t get to vote on

whether the overlay should be created.

Saying she “treasures families” and

will “defend her neighborhood,” Evans said the city didn’t need

more short-term rentals — it needed more affordable homes.

“This is an end-run around planning,”

she said.

Another Texas Avenue homeowner, Tim

Salt, said the decision on allowing short-term rentals in an area

should be determined “by the community as a whole,” not just by

property owners inside a 10-acre overlay.

“Whitefish is not a resort town — it’s

a resort community,” he said.

In support of Chelmo’s proposal, Stacy

Schnebel, who owns a house on Kalispell Avenue, told the board that

individual homeowners should be allowed to compete with everyone

else in the short-term rental market.

During board discussion, Diane Smith

noted that while she ordinarily supports proposals that promote the

economy and jobs, “this would help the people who come in first and

blow out the rest of us.”

Smith noted that other resort towns

across the U.S. cited bad experiences with short-term rentals and

were increasing restrictions or outright banning them altogether.

She also pointed out that lodging on Big Mountain is often vacant,

showing there wasn’t enough demand to support Chelmo’s

proposal.

“Whitefish is a family town, not a

resort town,” she said.

Board chairwoman Karen Reeves agreed

with Evans that the plan appeared to be “an end-run.” Board member

Chris Kelsey said the proposal was “not a prudent stimulus plan”

and didn’t provide adjacent neighbors a chance to vote on whether

an overlay zone should be created.

In other planning board news:

• The board unanimously approved a

request by Fresh Life Church Inc. to establish a church in a former

piano store on U.S. 93 south of Highway 40.

Board member Ole Netteberg, who recused

himself because he’s a church member, said Fresh Life Church has

been meeting at Mountain Cinema “and it’s full every time.”

Board member Ken Meckel added one

condition to his motion — that no residential use is allowed on the

site. Reeves warned about hazards on U.S. 93, where the speed limit

is 60 mph with four lanes and a “suicide lane” in the middle.

• A code amendment to clean up how

administrative conditional-use permits are issued was approved by

6-1, with board member Dennis Konopatzke opposed on the principle

that board members should fully understand what they vote for. He

wanted to delay the vote so he could study it further.

All three planning board items,

including the vacation-rentals proposal, will go to the Whitefish

City Council on April 4.