Short-Term Rentals Ad Hoc Committee — Columbia, SC
Date: 2022-09-29
Time: 16:00

COLUMBIA SHORT-TERM RENTALS AD HOC COMMITTEE MEETING AGENDA
 THURSDAY, SEPTEMBER 29, 2022


The Columbia Short-Term Rentals Ad Hoc Committee will conduct a meeting on Thursday,
September 29, 2022 at 4:00 p.m. at City Hall, 1737 Main Street, 3rd Floor, Columbia, SC 29201.
Members of the public may view the meeting online at www.columbiasc.gov. For questions
regarding the meeting, please contact the City Clerk at (803)545-3045 or
cityclerk@columbiasc.gov.

 The Honorable Howard E. Duvall, Jr., At-Large  The Honorable William Brennan, District III
 The Honorable Tina N. Herbert, District I

Prior to entering the meeting please turn all electronic communication devices to the silent, vibrate or off
 position. All presenters are asked to speak directly into the microphone for recording purposes.

CALL TO ORDER
PUBLIC INPUT ON SHORT-TERM RENTALS
COMMITTEE DISCUSSION AND NEXT STEPS
ADJOURNMENT




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COLUMBIA SHORT-TERM RENTALS AD HOC COMMITTEE MEETING AGENDA
 THURSDAY, SEPTEMBER 29, 2022


The Columbia Short-Term Rentals Ad Hoc Committee will conduct a meeting on Thursday,
September 29, 2022 at 4:00 p.m. at City Hall, 1737 Main Street, 3rd Floor, Columbia, SC 29201.
Members of the public may view the meeting online at www.columbiasc.gov. For questions
regarding the meeting, please contact the City Clerk at (803)545-3045 or
cityclerk@columbiasc.gov.

 The Honorable Howard E. Duvall, Jr., At-Large  The Honorable William Brennan, District III
 The Honorable Tina N. Herbert, District I

Prior to entering the meeting please turn all electronic communication devices to the silent, vibrate or off
 position. All presenters are asked to speak directly into the microphone for recording purposes.

CALL TO ORDER
PUBLIC INPUT ON SHORT-TERM RENTALS
COMMITTEE DISCUSSION AND NEXT STEPS
ADJOURNMENT




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COLUMBIA SHORT-TERM RENTALS AD HOC COMMITTEE MEETING MINUTES
 THURSDAY, SEPTEMBER 29, 2022

CALL TO ORDER
The Columbia Short-Term Rentals Ad Hoc Committee conducted a meeting on Thursday,
September 29, 2022 at 4:02 p.m. at City Hall (Council Chambers) 1737 Main Street, Columbia,
South Carolina.
  Attendee Name Title Status Arrived
  Will Brennan District III Present
  Howard E. Duvall At-Large Present
  Tina N. Herbert District I Present
PUBLIC INPUT ON SHORT-TERM RENTALS
Councilor Duvall said we are a committee appointed by City Council to hear positions on the
short-term rental ordinance. There is no ordinance discussion today. This is a public hearing to
listen to different sides of the argument on short-term regulations.
Ms. Kit Smith presented data from www.AirDNA.co demonstrating a concentration of STRs in
downtown neighborhoods. The 18% quarterly growth is striking. It went from 600 to 1,000 in
three years. The most impacted zip codes are 29205 with 232 active rentals and a 14% growth
rate and 29201 with 198 active rentals and a 10% growth rate. STRs disrupt the fabric of the
community. These two zip codes are already inundated with student rentals and this compounds
our problem of the impact on the affordability of housing and long-term rents.
Mr. David Bergman said we are talking about one percent of the housing stock. This is not
moving the market. This is not overrunning the neighborhoods. If it is more than one percent, let
us talk about other solutions. I was asked to request one more meeting on behalf of those who
could not be here today. We haven’t seen the code enforcement data as it relates to STRs. We
had our first meeting and we were introduced to an ordinance that bans STRs before we had any
discussion. Now we are hearing about another ordinance that was drafted behind closed doors.
We ask that the subcommittee put together a working group with the impacted areas.
Mr. Michael Anzelmo said one of the main concerns that can benefit both sides is the way to use
revenue that the city can generate from these short-term rentals and allow the residents to have
comfort with how this is used. I know you have ongoing litigation with Airbnb and other entities
about tax, fees, and revenue. You are in a good spot to be able to tax these entities. They operate
much like hotels. To overlay a similar tax that you impose on hotel stays would allow the city to
generate revenue in addition to the license fees. I suggest that you enhance your code
enforcement department. That would show the neighborhoods that we have an outlet, situations
are regulated, points are enforced and the city is helping us manage the situation in our
neighborhoods.

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Ms. Kelsey Kennedy said before I started my business, I was on food stamps. I could barely pay
my mortgage. I couldn’t afford daycare but I couldn’t afford to work. My business allows me
more time at home with my daughter, more financial freedom and an opportunity for others to
enjoy this beautiful historic city. The word investor has a negative view. The short-term rental
community is made up of a small group of people who are just like you. The data shows that
there is a need for short-term rentals here. To propose such harsh regulations against our business
is not fixing the problem that you think we are. The problem is a few long-term and short-term
investors whose character shows in their rentals. I hope you are able to draft regulations that are
fair and just.

Ms. Susan Cohen said we are not against short-term rentals. I represent the South Carolina
Restaurant and Lodging Association. While my overall goal is to represent and promote the
traditional lodging industry, we have members who are short-term rental owners, management,
etc. Across the country we have seen that well-meaning, unregulated short-term rental situations
have gotten out of hand. How can we work together to make this work for everybody? Limit
them, license them, and level the playing field. They are businesses and they need to be in a
commercial area. We need to know where they are and who they are.

Mr. Jim Ray said I own a short-term rental and I am for regulations. They have to be fair. If you
over regulate any industry, you are asking for a black market to be created. Can you tell the hotel
industry or the long-term rental industry that they can only rent their property for 50% of the
time? It has to be a level playing field. Short-term rentals should be regulated the same. If
someone breaks the law at a hotel, that person gets into the trouble. The hotel doesn’t get shut
down after three violations. Capping the number of short-term rentals is not a good idea. You are
capping the economic growth of Columbia. That is a bad idea.

Ms. Wendy Bergman said my husband and I were fortunate to purchase an investment property
in Earlewood. We poured our blood, sweat and tears into an extensive renovation of a
dilapidated 1919 home that was formerly a rental. We were approached by other STR owners
and asked to manage their homes. Being a STR host or manager is not an easy job. We are held
to high standards and we can’t defer maintenance. We have an established network of service
providers that have grown with us. Our dollars go back into the local economy. We provide an
opportunity for guests to shop, dine and stay locally. Some guests consider moving to Columbia.
We are currently housing Hurricane Ian evacuees. It is important to collaborate between all sides
of this issue and find a solution that fits our unique needs.




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Mr. Gustavo Bueno, Elmwood Park resident said our house sat on the market for six months and
it was in bad shape like many of the houses in the neighborhood. I see a lot of the STR people
doing good work in maintaining the houses. I have an Airbnb in one unit because that helps us
speed up the renovation process. The overall rent in the neighborhood is relatively low. It is not a
good investment for landlords of long-term rentals. I am for some regulation as long as it is
based on science and numbers. If we sit down with the right data and make an educated decision,
we can come up with an agreement where everybody is close to being happy. I don’t want to see
all my neighbors become a STR. Data without context is not useful

Mr. Jesse Stevenson said I am a real estate broker, property manager and an investor. I don’t
think Columbia is a traditional tourist town. We have people who come but I don’t foresee whole
neighborhoods becoming STRs. There aren’t that many people coming to Columbia for vacation.
Regulation is good. Long-term rentals are not required to be in a commercially zoned area and
some streets are full of nothing but long-term rentals. It is still a business in a residential
neighborhood. I don’t see why the licenses can’t be transferred. I would hate to see a cap. That is
a backhanded way of ending it. You should always be able to have new permits issued in the
future. Only 1% of the houses in the Columbia market are STRs.

Mr. Matt Carroll said who we want to be as a city and what issues are we trying to correct. There
is an overall rental issue. Is the current long-term ordinance accomplishing what it needs to
accomplish? I don’t think that 832 houses creates a citywide nuisance. Is this a big enough
problem that we need to go through all of these discussions? Demand has increased which has
caused supply to increase. There are a lot of reasons why STRs are necessary. Everyone is in
favor of some sort of regulation and tax. Revenue is also generated by the businesses next to
STRs. If my short-term rentals are banned, they will become long-term rentals.

Mr. Dennis Wiehl said I serve on the Shandon Neighborhood Council. The strong distinction
between owner-occupied and non-owner occupied should be maintained.

Mr. Noah Harris said I love Airbnbs. We discovered Airbnb as a guest before we became a host.
We own a real estate company with 100 properties. I help people who want to buy a home. It is
important to understand that Airbnb allows us to have options when we are trying to figure out
what to do with a property. A lot of this stuff is temporary. I would not have lived in 29201 ten
years ago. Those neighborhoods are nice because of people like us.




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Mr. Tim Williams said I am the owner and broker in charge of 803 Realty. STR has gotten a
negative narrative. One common misconception is that we get a lot of party folks. If that
happens, we can immediately remove nuisance guests. It takes landlords longer to remove those
tenants. The STR industry is competitive and we have to keep our properties at a high standard
which will increase property values in neighborhoods. We don’t advertise short-term rentals
when selling properties. It is a stretch to think you can only dictate the sale to an individual
family. Secondary homes are taxed at 6%. The city is getting a tremendous amount of revenue
off of the higher tax rate. I am for regulation, permitting, and inspections.

Mr. Aaron Bedding said a lot of negative things get done in the name of the fabric of the
neighborhood. Please don’t make any rules for the “fabric of the neighborhood” reasons. The
occupancy rates are going down. We are reaching a tipping point. There will be a natural cap
based on supply and demand. These nice homes will be sold or rented. There is no down side.

Ms. Sara Bedding said I am for STRs with regulation. Most hosts are not malicious. We work
very hard to make a business profitable and we care about the neighborhood. I am worried that
there are a lot of feelings and thinking, but there is not a lot of data. I ask that we get hard data on
what is happening and then make decisions with both sides having equal say.

Ms. Kate Culley, Housekeeping and Operations Manager at Heartwood Furnished Homes said
thank you for hearing all of the different perspectives today and all the other meetings. I want to
give you a perspective of the little fish in this big pond. That is our cleaners, maintenance staff
and support staff. I hear about hosts, owners and investors, but the people who are just trying to
make a living are the real investors. We have 25 cleaners from a range of backgrounds. They are
mostly single moms. The short-term rental industry gave me financial value and self-esteem.
One of our best cleaning teams is a former teacher and a disabled combat veteran who now have
their own short-term rental. I encourage you to consider these people who live in Columbia.

Mr. Hart Trailor said we want to see this city thrive. I have worked in residential real estate since
2009. In my experience, the majority of buyers are looking to achieve the American dream of
purchasing real estate; owning a home they can occupy. We are not seeing major corporations
and big investment groups buying up all the houses and turning our neighborhoods into short-
term rentals. I work with a number of investors and they are average Joes like you and me. They
bought properties that were in disrepair, fixed them, and increased property values. There are
more opportunities to get into short-term rentals for maintenance. We like Airbnbs. You have an
opportunity to decide how we will embrace short-term rentals.



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Ms. Vanessa Trailor said this is a legitimate need in a healthy housing market. We must have
some level of short-term rentals and most of the people here are providing excellent options. I
feel as if owner-occupied properties need to have more freedom. They should be exempt from
most of this. The pricing and financial side is extremely high. I am looking for my first
investment property but it is expensive to invest here.

Ms. Catherine Fleming Bruce said I hope you will look at the reality of each residential area.
Some blocks are very different. The block I live in has a lot of institutional and commercial
interests and very little residential. You all are doing a great job. Some of the meetings did not
have a lot of STR owners that look like me. I am not a STR owner. One day I would like to do
that but there is language that is going to cut off people who can get into the STR business. I
would like to see diversity in the population of the people who are doing that. Owners are able to
create a revenue stream for themselves. We want an opportunity to address the racial wealth gap.
We want our neighborhoods to retain peaceful enjoyment and we are able to provide host
opportunities for others.

Ms. Emily Bryan, Rosewood Neighborhood resident said she had to call the police to report a
strange man drinking a beer near her home. Neighbors said drug dealers rent the Airbnbs. I stay
in Airbnbs because it is easier to stay in. I want it regulated so that it is safe.

Mr. Rick Lackland, Director of Sales and Marketing for the Doubletree Conference Center /
Lake Murray Country Regional Tourism Board member said we work very hard to bring tourism
to Columbia. Lake Murray is alive and well. We will host World Bass Fishing with 25 countries
coming into Columbia. We have five presidential suites and 33 junior suites that can house eight
people. We pay a 13% occupancy tax. I report to a single owner of our hotel. He pays taxes and
there are guidelines and regulations. The tax helps to rebuild our roads and our parks. Hotels are
being built in Columbia and they have to follow city and state guidelines. We are asking for an
occupancy tax that puts everyone on an equal playing field and also refurbish our city.

Mr. Jim Daniel, President of the Wheeler Hill Neighborhood Association said Wheeler Hill has
one short-term rental owned and managed by a LLC. The owner lives in Silicon Valley and he
has agreed to limit the number of cars. Charleston spent two years on this and they ended up with
three different sectors for short-term rentals. Effective October 1, the Department of Revenue
will require people who rent rooms to have a retail license and electronically file and pay
accommodations taxes. We had an issue with not having anyone to call on weekends about
parking. There is an emerging law around the country that says short-term rentals in a residential
neighborhood is a commercial establishment and a zoning violation. We do need to have a
registration with the name of the owners and someone we can contact here to address issues.

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Mr. John Wilkinson, President of the Elmwood Park Neighborhood Association shared a
statement on behalf of the board. We are behind the times on this issue and we can learn from
other cities. What are the benefits to the residents who have built these wonderful residential
neighborhoods? Elmwood Park is the closest residential neighborhood to downtown Columbia.
Our neighbors have expressed legitimate concerns about the proliferation of short-term rentals
and the impacts on safety and quality of life. There is a tipping point where the sense of security
starts to spiral downward. Our neighbors also recognize the benefits of short-term rentals for our
community. We have several STR investors and they contribute as much to our neighborhood as
any neighbor. We are seeking outcomes that benefit and protect residents and homeowners. We
supported the city’s business friendly initiatives. Let’s not lose sight of neighborhood friendly
initiatives. We would like to express our strong support of regulations that eliminates bad actors
and protect our communities. When City Council approves this ordinance, we expect that it will
be backed with the resources to actually and swiftly enforce it.

1. Presentations Received on Short-Term Rentals

2. Letters Received on Short-Term Rentals

3. Emails Received on Short-Term Rentals

COMMITTEE DISCUSSION AND NEXT STEPS

Councilor Brennan said thank you to everybody that came out to the second of three hearings.
We look forward to the third meeting. We will follow-up on the recommendation to have a
conversation. Hopefully we will come back with something that works for everybody.

Councilor Herbert said I also want to thank everyone for coming out. We have to have
courageous conversations. As the city of Columbia takes on new issues, we must have the
conversations and balance the needs of everyone. I look forward to furthering the conversation
with my fellow council members and you all. If you sent me an email, I received it. Thank you
for your passion about the subject because we need to hear your thoughts and positions.

Councilor Duvall said I too want to thank you for your attendance today and the comments you
have constructively made. I can ensure you that we want to produce an ordinance that is fair to
the STR industry and the neighborhoods and will benefit the city of Columbia. We will be
working with members of the industry and other people who are interested in this topic to see if
we can come up with a well-balanced ordinance.

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COLUMBIA SHORT-TERM RENTALS AD HOC COMMITTEE MEETING MINUTES
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ADJOURNMENT

The meeting was adjourned at 5:15 p.m.

Respectfully submitted:


Erika D. Moore Hammond, CMC
City Clerk




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