New Marathon Ordinance Limits Number of Legal STRs Permitted
Trevor Phipps
During the last few years, more than 100 short-term rental (STR) businesses have operated inside unincorporated Teller County, without any legal permits.
The controversial issue fell through the cracks because STRs were not listed as an allowable use. At the same time, they had not been declared illegal by county officials
Then about two years ago, as concerns exploded throughout the region regarding the STR issue, the Teller County commissioners began a process to consider what action they should take in dealing with STRs. They held a slew of meetings with residents and experts. In the end, the commissioners opted to create a licensing process for STR units, allowing them to operate legally with rules and limits.
On August 6, the commissioners held the first reading of the county’s first-ever STR proposed law, Ordinance 23, which will regulate and allow a limited number of STRs within unincorporated parts of Teller. Now, the rubber hits the mat regarding this contentious issue, with STR D-Day set for this Thursday, Aug. 20. This will mark the first official public hearing on the proposed STR law, slated to go into effect on December 1.
Despite the public furor over the topic, the commissioners say the need for a licensing process for STRs was prompted by safety reasons and not by political pressure. Teller County Commissioner Dan Williams pointed out a snowstorm that took place during a springtime period several years ago, resulting in the lost lives of seven county residents.
When the storm hit, tourists were stranded in STRs across the county without the proper supplies to get through a snowstorm. And since the county had no record of which properties within the county were being rented as STRs, it made it difficult for emergency services to provide aid.
“There wasn’t one, there were dozens of dozens of people in short sleeves, STR occupants,” Williams said. “Regardless of what we will hear today, they were just caught off guard. And we were caught off guard because we didn’t know they were there and we didn’t know how to get them out. We received dozens of calls from STR owners saying, ‘Please help my people get out!’ They came during the springtime and didn’t realize we had spring snows.”
The commissioners also mentioned that STR licensing was needed during county-wide emergencies like wildfires. During major wildfires when neighborhoods get evacuated, county officials will now have a better way to get the evacuation message out to STR occupants, under the proposed law. Williams said that the county can now have better confidence that a neighborhood is completely evacuated.
STR Ordinance Gets Initial Green Light
The Aug. 6 meeting was rather uneventful with no verbal punches thrown. Members of the audience did speak regarding the STR proposal, but most asked for clarifications or small changes in the ordinance’s verbiage.
One resident asked for a change to the part of the ordinance that states that a property can only have one short term rental license. He pointed out that if a property owner has a large property, then they should be allowed to have more than one STR. He provided evidence that two STRs on a 35-acre property would create a lower density of STRs than 10 percent of the homes in subdivisions such as Sherwood Acres or Spring Valley.
Other residents, though, applauded the commissioners’ efforts to create STR regulations. One resident, who said she is surrounded by STRs, said that living next to them is “a challenge.” Some residents also thought the caps on the number of STRs would help restore neighborhood character.
The commissioners made some minor changes to the ordinance’s language but held firm against making major changes due to personal requests. Overall, the commissioners said they drafted the ordinance the best they could, opting to find middle ground between those who don’t want STRs and those who own them. In studying the issue for a lengthy period, the commissioners concluded that Teller residents are really split regarding their views on STRs.
New Ordinance Puts Limits on STRs Inside a Subdivision
During the first reading of the ordinance, one resident complained that the entire reading of the ordinance into the record by County Attorney Paul Hurcomb took more than 36 minutes. The attorney also added that the 19-page ordinance would cost the county about $5,000 to publish the new law in a designated legal newspaper.
The new ordinance regulates STR properties. But at the same time, it takes steps towards making it easy for those who currently own STR business to keep them. The ordinance requires that the STR property adhere to county building codes and pass an inspection.
The new law does limit the number of STRs to 10 percent of the properties inside a subdivision. But those that apply for an STR license within the first 60 days will be exempt from the cap.
The ordinance also requires STR license applicants to have owned the property for at least one year. Teller County Commissioner Erik Stone said the ownership requirement was added to help prevent out-of-state investors from buying multiple homes for use as STRs. This has turned into a major problem in Colorado’s resort communities.
The ordinance also limits the number of STRs allowed in the county by restricting STR licenses to only one per property. Accessory dwelling units (ADUs) and guest houses also won’t be eligible for an STR license. The ordinance further prohibits campers or tents to be used as STRs.
Moreover, STR occupants will not be allowed to do things like shoot firearms on an STR property, have outdoor fires or drive off-highway vehicles. STRs also won’t be allowed to be used for any type of event, “including but not limited to conferences, meetings, retreats, weddings, concerts, or similar events.”
The county will now have the means to properly license and enforce violations of STR policies. Those who violate the new regulations can now face the risk of losing their STR license.
