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Housing, Planning, & Development Committee — 2026-07-13

Decision notes (reviewed)

Written by the reviewer from the ASR + docket; [verbatim-ASR] = quoted machine transcript; [paraphrase] = reviewer's wording, not a quote.

Per agenda item (official Granicus index → ASR evidence)

0:10Approval of the minutes of the July 6, 2026 meeting of the Housing, Planning, & Development Committee.
Motion type(s) spoken: — · no passage phrase heard by ASR
  • 0:12 “a motion to approve the minutes of the July 6th, 2026 HPMD meeting. Second. Maiden seconded.”
0:23Communication from Councilmember Bullock regarding resuming deliberations on proposed rules for Lakewood properties seeking to operate as short-term rentals. (referred to HPD 7/6/26)
Motion type(s) spoken: — · no passage phrase heard by ASR
    0:31ORDINANCE 28-2026 - AN ORDINANCE to take effect immediately provided it receives the affirmative vote of at least two thirds of the members of Council, or otherwise to take effect and be in force after the earliest period allowed by law, clarifying that sh
    Motion type(s) spoken: — · no passage phrase heard by ASR
    • 2:31 “for collaboration and feedback and dialogue on this one. Second, there's a number of”

    Full ASR transcript

    0:00 All right. Good evening, everybody. I will call to order the meeting of the July 13th,
    0:05 2026 meeting of the Housing Planning and Development Committee. First order of business. I'll make
    0:12 a motion to approve the minutes of the July 6th, 2026 HPMD meeting. Second. Maiden seconded.
    0:18 All in favor? Aye. Motion carries. Thank you. Two items in the agenda. Communication
    0:25 from Council Member Bullock. Short-term rentals in Lakewood and then a proposed ordinance.
    0:31 I'm just going to have a quick couple opening remarks and I'll turn it over to my colleague.
    0:39 This is something that we've been hearing from Council. I mean, I'll speak for myself
    0:45 specifically have been hearing quite a bit about this. We know it's an issue. People
    0:49 are just very I know justifiably frustrated with some of these circumstances of short
    0:56 term rentals in the city and we don't currently have the means to regulate that. So that's
    1:03 what we're here to talk about this evening. I'll thank Councilman Bullock in advance
    1:07 for his work on this to this point in putting together the ordinance to debate and
    1:15 I will say as well for the record, this is something we've been working on as a group
    1:21 for quite a while talking to other communities and working with other departments within
    1:26 the city. So that said, I will turn this over to Councilman Bullock to talk through
    1:32 his thoughts on this issue. Councilman Bullock. Thanks, Mr. Chair. And I'm interested also
    1:38 in the response and reactions of my colleagues in the administration to agree that we can
    1:43 get into that tonight. I did notify a couple of members of the public who have been talking
    1:49 with me about these issues and let them know that tonight a beginning, not the only
    1:55 discussion here. So where to begin? First, Mr. Chair, you were a co-sponsor last year
    2:06 in a proposal that began the discussion. I charged ahead with the current draft really
    2:13 just because time was short. So apologies if I didn't include you in that. It's
    2:20 just getting started is in my view. And I'll repeat what I said at the council
    2:26 meeting that to my colleagues and to the administration, first, sincerely I'm looking
    2:31 for collaboration and feedback and dialogue on this one. Second, there's a number of
    2:37 choice points, kind of small, medium, and large, available to the city in my view.
    2:44 What's before you is a starting point that makes some of those choices but not
    2:47 all. A major component not currently in this draft that I do want to get to is
    2:54 the consideration of fees and taxation. Because right now the way that rental properties are
    3:03 taxed is through property tax and through tenant income tax. There is no tenant income
    3:09 tax for short-term rentals by definition. And, you know, short-term rental properties
    3:16 currently do contribute property taxes, that's true. But you've got a commercial
    3:20 activity that's most like hotel operations. And hotel operations have a whole series of
    3:27 fees and taxes that they pay through the county government if they're properly
    3:32 registered and operating in a hotel. Hotels also have a higher threshold of fire code,
    3:39 health and safety standards, health and safety postings, parking requirements, a
    3:44 lot of those apply here automatically. So what we essentially have is either a new
    3:57 definition of a new commercial activity or a commercial activity that should fit under
    4:06 an existing city definition. But because of its new features, it hasn't heretofore
    4:13 been clear to the city government that it does fall within certain definitions.
    4:20 So what that means is there's a bunch of operational impacts on the surrounding community
    4:27 that aren't currently being captured or fully factored into our planning, into our cost
    4:33 structure, into our safety oversight and into our housing and building quality oversight
    4:39 to a degree.
    4:41 Some of our housing and building applies here like anywhere else, largely on the exterior,
    4:49 but perhaps on the interior side there's a question.
    4:53 So that's a preamble to say the research I've done, including conversations with
    5:01 peer local governments, is in support of our enhanced oversight here because there
    5:10 are many impacts that are not currently being captured by city regulation, city oversight,
    5:18 city health and safety engagement and city cost reimbursement, which we might also call
    5:25 fees and taxes.
    5:26 So I'll pause there because that was already quite a lot.
    5:30 And then there's more to talk about when it comes to city enforcement and staffing
    5:37 and then design of the legal schema, which this proposal takes one view of and we certainly
    5:44 should discuss whether this or something different is called for.
    5:48 Thanks, Councilman Bullock.
    5:50 Appreciate that.
    5:51 And I think in a moment we'll ask you to kind of walk through your thought process
    5:57 when you're putting together the proposed ordinance.
    6:01 Just for the record, I do want to say that before we and before I forget that
    6:05 we have already gotten quite a bit of online feedback for tonight's meeting and people
    6:12 having concerns about this issue.
    6:14 So it is, and I'll say anecdotally myself, I'm certainly getting quite a bit of resident
    6:20 feedback about this as well, concerns.
    6:24 And also thank you for, I do agree the entire fee side of this is something that's
    6:33 entirely appropriate for us to be looking at because we're just basically allowing
    6:37 businesses to run without any kind of obstruction for that.
    6:42 So yeah, unless anybody else have any questions at this point or do you want to let Councilman
    6:49 Bullock dive in?
    6:55 Yeah, thank you, Chair.
    6:57 And I'll say that this is, I do think, and we had some discussions with the law
    7:03 director before the meeting.
    7:05 I do think that we kind of have to decide, because I've gotten a lot of feedback from
    7:10 my constituents as well, probably more they want to see some regulatory framework, some
    7:17 want to see it banned, some like, or strictly regulated, some would like to see,
    7:25 like that it's here in Lakewood, but understand that some regulatory framework
    7:30 is necessary if we continue to allow it in Lakewood.
    7:34 What I will say is that, so I think we have to decide kind of as a committee and then
    7:41 work with the administration to figure out where we want to fall on the kind of regulatory
    7:45 framework.
    7:48 And to Councilman Bullock's point, if you do want to have, allow it, but have
    7:53 a pretty detailed regulatory framework, that requires a lot of coordination with
    7:58 the administration because that's essentially a full-time employee to kind of administer
    8:04 that program.
    8:06 Different communities have done it differently.
    8:09 So I recently pulled the City of Cleveland's short-term rental legislation
    8:15 that they passed a month ago yesterday, and it became effective on July 1st.
    8:21 And the way that they seek to regulate it is high level.
    8:28 No more than 10% of a city block can be an STR, that's the short-term rental,
    8:33 that's the way the City of Cleveland has outlined it.
    8:36 No more than 10% of a building can be a short-term rental.
    8:39 So think of a multi-family apartment building or something like that.
    8:46 If you go over the 10% cap, you have to get a variance from BZA.
    8:51 So let's say you're the next license and you put it to 11%, you'd have to go
    8:54 to BZA to get that approved.
    8:56 And there's kind of like a building code framework where each room has to have
    9:00 a bathroom, you know, in the structure.
    9:02 You have to leave the structure, some health and sanitary code issues.
    9:07 There's a $150 kind of licensure fee.
    9:10 That licensure requires a lot of things like having a local agent that can be
    9:15 at the property within an hour of being called at any time.
    9:19 It has a nuisance component to it that if there's more
    9:22 than three nuisance violations in a given year, then your license is pulled.
    9:29 And then it also has a grandfathering in that the 10% cap
    9:33 in a neighborhood doesn't apply to currently existing STRs as long
    9:37 as they get a license and they don't have any nuisance violations in the last year.
    9:44 Interestingly enough, the City of Cleveland already has essentially a bed tax
    9:48 for any hotel rooms and it adds short-term rentals to that bed tax.
    9:52 And it says that basically 3% of your fee becomes a tax to the city.
    9:59 And I believe that's how they will seek to then fund the position that will manage that.
    10:03 We have hotels in Lakewood.
    10:04 We don't have a bed tax.
    10:06 I'm interested as to why we don't.
    10:08 It'd be a good discussion to have, I think, because from a perspective
    10:13 of regulating this, I think it's a nice amenity to have
    10:16 in Lakewood potentially if done right.
    10:18 The challenges when we talked about this is that let's say 100 houses are short-term rentals
    10:24 and there's no residents in them, that's 100 houses that don't have income.
    10:30 Like all of us on this dais and, you know, many of our neighbors,
    10:34 we pay income taxes to the City of Lakewood, we contribute to our trash pickup,
    10:38 to our snow plowing, to our city streets, to our police force.
    10:44 If you come in as a guest to an STR to stay,
    10:48 you are not contributing to Lakewood's upkeep.
    10:52 So we have to think about that, how we want to do that.
    10:55 So I think from a regulatory framework, this is, we have some decisions to make.
    11:00 I do think there are models we can use and I'm excited to work with all of you
    11:04 and the administration to try to find the right one.
    11:07 Thank you, Councilman Bigger.
    11:08 And I really do appreciate the time you've taken to investigate, you know,
    11:13 some of our neighbors and go through that and stress that here
    11:17 in Lakewood, any legislation we adopt, we want it to be absolutely enforceable
    11:23 and for it to work.
    11:25 We're not just going to make laws for the sake of making it.
    11:29 And I would be interested to see how Cleveland is doing with their regulation
    11:33 and actual enforcement because I've heard a lot about that too in the community.
    11:37 Well, they've passed, you know, this city has done this
    11:39 and this city has done this, but it's like, well, how's it going actually?
    11:45 So that's an important point.
    11:46 Councilman Vixenstein, do you have anything here?
    11:48 Okay, thanks.
    11:50 So I'll turn it over to Councilman Bullock again.
    11:52 So just please kind of just start, you know,
    11:55 how you got to this point with the proposed ordinance.
    11:57 Thanks and I'm looking forward to the part of the meeting
    11:59 where Director Vargo says this is great and we're moving
    12:04 for full steam ahead or whatever you're going to say.
    12:06 I'm tongue in cheek there.
    12:08 We do want, of course, the law department's view which is going
    12:14 to be multilayered.
    12:16 So the legal approach that is proposed and what I proposed is
    12:23 in some ways the simplest approach that I as a non-attorney could make
    12:28 which is to edit existing liquid codified ordinances.
    12:34 We have a preexisting law providing
    12:38 for conditional use permits for bed and breakfasts.
    12:43 And it's been on the book since 2006.
    12:45 I'm uninformed although I'm looking at the planning department,
    12:48 Ian Andrews, as to how many times that's actually been used historically.
    12:53 I think maybe, I remember Sloan Subway, there used to be not a single one
    13:02 in your time and there was an Irish cottage at the top
    13:06 of Sloan Subway for quite some years.
    13:08 I don't know if that was ever registered as a bed
    13:10 and breakfast under our laws.
    13:12 It was a florist, wasn't it?
    13:14 I thought it was.
    13:16 What about both?
    13:16 Maybe it was.
    13:17 I don't know.
    13:19 I never went in so that was on the books before I arrived
    13:26 and according to the research I've done,
    13:29 2008 was the first time an air bed
    13:32 and breakfast ever was created at all in San Francisco.
    13:38 So I don't understand why air bed
    13:40 and breakfast wouldn't be bed and breakfast, okay.
    13:43 And so the simplest way to look at what I proposed is to clarify
    13:49 in Lakewood Codified Ordinances that the term that we use
    13:53 in Lakewood Codified Ordinances
    13:55 for bed and breakfast also incorporates air bed
    13:58 and breakfast, short-term rentals, okay.
    14:03 And if we follow that logic, let me call up the text, what you would do
    14:16 if council were to adopt this proposal would be
    14:22 to capture air bed and breakfast short-term rentals in all
    14:27 of the preexisting requirements or rules that have been on the books
    14:32 in Lakewood's laws for 20 years.
    14:36 So bed and breakfast establishment, so if you look at Section 2
    14:41 of what I proposed, you know, new LCO 1161.03C is hereby established
    14:46 as follows, bed and breakfast establishment including short-term
    14:52 rental, quote, short-term rental is the term of our hereby defined
    14:55 as any rental unit that is not classified as a motel or hotel,
    14:58 used and is rented for a period of 30 days or less, okay.
    15:02 And then I also propose adding provided that it is not located
    15:06 within 1,500 feet of a school which would be a new addition whether we want
    15:13 to include that or not and whether 1,500 is the right distance or not,
    15:18 but that's a new proposal,
    15:22 may be conditionally permitted subject to all the following.
    15:26 And then all of these conditions are preexisting that the bed
    15:30 and breakfast establishment is located in a single-family
    15:32 or two-family dwelling which serves
    15:34 as the principal residence of the applicant.
    15:36 That right there requires owner occupancy.
    15:40 That's not something I propose, it's been on the books.
    15:43 The owner of the bed and breakfast shalltalk full time, et cetera.
    15:45 The architectural integrity of the structure must be maintained.
    15:48 That is already not in the actual practice in Lakewood we know
    15:52 of at least one property that has undergone significant architectural change
    15:58 for the purpose of renting it as a high-cost weekend resort type breakfast.
    16:06 There shall be no more than three guest rooms, et cetera.
    16:11 I mean these, so subsection five, those are things
    16:15 that the previous city council defined.
    16:16 I haven't proposed a change.
    16:18 We could certainly consider all of these things.
    16:21 Bedroom shall be part of the primary residential structure, each paying guest.
    16:26 They stay not for more than three nights.
    16:28 That predates, that's in the existing ordinance.
    16:30 Not a total of 14 nights in any given calendar year.
    16:33 Parking for all vehicles, I think this is a good one, including vehicles
    16:37 by the owner-operator, shall be in a garage or rear yard on approved surface.
    16:41 There shall be one off-street parking space for at least each guest room.
    16:46 Let me as a side note interrupt myself.
    16:51 Parking and character impacts have been cited by neighbors concerned
    16:56 about bed and breakfast operations.
    16:57 That's in a different category than the acute chronic nuisance problems
    17:02 or outright crime that we've heard some occasional but meaningful instances of.
    17:08 Does that matter?
    17:09 I'd like to make the argument it does because same as in a commercial corridor.
    17:14 All the parking considerations, all the refuse,
    17:17 I mean Councilman Baker's point is a good one.
    17:19 City residential refuse services serving these businesses, if you have a hotel,
    17:25 you're not getting city refuse services.
    17:29 Why the difference, okay?
    17:31 But back to the parking impacts, are those a big deal?
    17:34 Is that worth our consideration?
    17:35 I would argue yes, because even though traditional residential long-term tenant
    17:41 or property owner doesn't have the entitled right to use the street parking.
    17:45 Nevertheless, it's part of the character of the street.
    17:48 And so if somebody's making active money generation,
    17:53 if they're using that as an input to their business practice, then it's valid for the city
    18:01 to consider how we balance the use of that public space, that public parking space,
    18:09 and the domino effect on other neighbors as part of our calculus.
    18:13 So I think parking consideration is valid.
    18:17 Only one, okay, I'm continuing on in the existing law.
    18:20 Only one meal shall be served.
    18:22 That meal shall be breakfast.
    18:23 This is a little bit micromanagey, if you ask me, but this is what the law says currently.
    18:30 Only one kitchen facility.
    18:32 They're basically, the previous council went through to ensure that a bed
    18:35 and breakfast was a light intensity use and didn't become essentially a backdoor way
    18:42 to get a restaurant in the middle of a residential neighborhood
    18:45 or a wedding reception facility in a residential neighborhood.
    18:49 Because if you keep reading on subsection 13 rental, bed and breakfast establishment
    18:53 for special gatherings such as wedding receptions and parties shall be prohibited.
    18:57 Again, not my proposal, that's on the books right now.
    19:01 Wedding receptions, I don't have a problem with.
    19:03 Parties are the, probably the primary source of problems
    19:07 that our neighbors have been experiencing today under short-term rentals is the party use.
    19:12 Wedding receptions and parties could be the same.
    19:14 Well, fair enough.
    19:17 I've gone to the boring, polite ones apparently.
    19:21 So, okay, and then they have signage, et cetera, right?
    19:24 So they go through all these details, but perhaps the biggest one remaining,
    19:29 they require compliance with health and fire and building codes.
    19:34 I don't know if that's happening right now with our short-term rentals.
    19:37 The conditional use permit shall expire 36 months after the date of issuance and then,
    19:43 but the commissioner can renew it administratively within certain good use conditions.
    19:50 Somewhere there's a zoning provision which I wanted to mention.
    19:55 I've lost it in front of me, but it says it's in multi-family
    19:59 or commercial areas I believe, okay?
    20:01 So again, the previous city council was not agnostic about where on the zoning map
    20:07 to allow conditional use bed and breakfast.
    20:09 They have a clear answer to that.
    20:11 Right now, the actual practice of short-term rentals is everywhere, not in compliance.
    20:18 So the question I have before is, one of the questions is,
    20:21 how is any short-term rental use currently legal unless they've gone
    20:25 through this conditional use set of rules?
    20:32 And we don't have to answer that, but I'm posing it as a hypothetical
    20:35 because that may be a law department question which I'm not going to ask you
    20:40 to answer today.
    20:43 So for Councilman Baker's point, and I'll be quiet after this, if an Airbnb,
    20:50 if a short-term rental is not this definition, then what definition is it?
    20:54 It probably does not exist in the code and therefore we would need
    20:57 to create a new definition and attach all these regulatory considerations
    21:03 to that new definition if that's the route we want to go.
    21:08 We could also just use this definition and change the conditional use permit.
    21:11 I actually kind of favor that because then what you would do,
    21:14 even though you would slam architectural board of review with a ton of work
    21:19 at the outset, you have a long-established process for considering such matters,
    21:28 granting permits, overseeing the permits, resolving problems, leading to renewals,
    21:34 that has worked well in a bunch of other categories.
    21:37 So I welcome feedback on all of that.
    21:43 Thanks, Councilman Bullock.
    21:44 I mean, I certainly see the merits of trying to use things around the books
    21:53 to regulate what we have.
    21:54 So I think there's some, you know, some good stuff there.
    22:00 And I agree, I think the entire part about fees for which is essentially a business
    22:09 and a bed tax are huge points that, yeah, I agree with Councilman Baker.
    22:14 I'm not sure why we don't have those things in the books regardless.
    22:17 And I think those are good tools in starting to find that balance between kind
    22:22 of, you know, carrot stick for how to regulate these things.
    22:27 I'm interested to see what my other colleagues, what their initial first feedback is
    22:36 to this idea of trying to just either use existing ordinance or to kind
    22:46 of slightly modify it to push this forward.
    22:55 Thank you, Councilperson Evans.
    22:56 Thank you for bringing this to the floor this evening.
    23:00 I'm amenable to either way to proceed.
    23:03 You know, I think to me having some sort of annual operating license does make a lot
    23:10 of sense and, you know, and with that having a local manager who must be able
    23:15 to respond in a reasonable time, you know, like an hour as Councilperson Baker indicated.
    23:23 I think we're, you know, and I too have fielded responses from residents on both sides of this.
    23:33 So, you know, and I happen to live on a street that has a short-term rental property
    23:40 that doesn't currently cause problems and that I know some neighbors have gotten,
    23:47 have found to be convenient.
    23:48 So, well, I certainly empathize with those who are struggling
    23:54 with a problematic short-term rental property.
    23:57 You know, I have heard from people on both sides of that aisle.
    24:02 I also certainly agree with this notion, let's level the playing field
    24:05 from an occupancy tax standpoint and do that regardless of how we land on this issue.
    24:16 So, I certainly support that.
    24:18 You know, I think this idea of a three-strikes rule of sorts also makes sense
    24:25 as does limiting the density on any given block as far
    24:31 as how many short-term rental properties could exist on a given block.
    24:37 You know, I know, you know, a more drastic measure of course would be,
    24:42 you know, owner-occupied versus non-owner-occupied and, you know,
    24:47 considering the ramifications of that.
    24:51 And I realize that might not even be where we're currently looking.
    24:55 But in so far as the other measures that we've talked about and particularly the ones
    25:00 that Vice President Baker brought up, those do seem
    25:03 like they're certainly worth exploring.
    25:08 Thanks, Councilman.
    25:09 Councilman Baker.
    25:13 Yes, and so I think, and thank you, Councilman Bullock.
    25:16 I do think that if we, I think we need to do something.
    25:21 So, I think the current way we're operating, and Councilman Bullock,
    25:28 I think that the, you know, you asked why no one has applied for bed and breakfast
    25:34 because most of these Airbnb's don't have a live-in person
    25:37 so they don't meet the regulatory definition of bed and breakfast in our code.
    25:43 And so they're simply rental units as we define them in our code, I think.
    25:48 Now, I'm certainly in favor of some regulatory regime.
    25:53 The argument in favor of outright disallowing them is
    25:59 that right now the city is forgoing hundreds of thousands of dollars
    26:04 of income taxes because our homes are now hotels.
    26:10 So that's certainly one argument in favor of regulation and that's certainly,
    26:15 I think, Shaker Heights' policy perspective when they instituted their regime.
    26:23 I think the other way is to heavily regulate and impose fees
    26:33 because the fees would be necessary to allow for the heavy regulation.
    26:38 And I'm reminded Commissioner Parnelly sent me kind of some bullet points
    26:42 that I forwarded along to some of you on departments that need
    26:48 to be coordinated with and tax is one of them.
    26:50 So, I think we talked about police, we talked about fire,
    26:52 we talked about planning, housing, law, tax needs to be implied too
    26:58 because, you know, we have a whole regulatory regime for income tax collections.
    27:02 We don't have a regulatory regime.
    27:04 Typically, most of our permit fees are paid to the department,
    27:07 building department, to public works or whatever.
    27:11 So there'd have to be some way to give the tax department the ability to collect that.
    27:19 So I certainly am interested in what others think.
    27:25 I'm having a really internal struggle about whether we allow it or not.
    27:32 I'm just being candid with you as my colleagues in the administration,
    27:35 whoever's listening at home, but I do think that we need to regulate it heavily
    27:43 if we're not going to ban it or at least make it, you know, send a message
    27:49 that Lakewood's paying attention and we're going to make sure that the fabric
    27:54 of our communities, you know, are retained and not torn apart.
    28:00 So, that's where I'm leaning now.
    28:03 I do think it's going to take time and it's interesting you look
    28:06 at, you know, City Cleveland, you know, there are not everything I agree
    28:13 with in their regulations, but, you know, talks about, you know,
    28:21 only two guests per bedroom, you know, they must apply with our parking plans.
    28:28 They must have interior access to a bathroom so that such transient guests has the ability
    28:34 to access the bathroom without exiting the dwelling.
    28:37 They have to have smoke alarms, carbon monoxide detectors, Class A, B, and C fire extinguishers.
    28:43 They're subject to nose ordinances.
    28:45 They have to have proper trash.
    28:47 They have to provide the name and contact information of that local representative.
    28:52 They have to have insurance.
    28:55 So there are really reasonable regulations that we can put in place
    28:59 to get our hands around this.
    29:01 I think we have to.
    29:03 We owe it to ourselves and the community to do so.
    29:06 Thank you, Councilman Baker.
    29:08 And I can't agree more.
    29:10 I'm also happy to say that I lean towards heavily regulating this out of respect
    29:17 for our residents and our neighborhoods.
    29:19 And this is not just a personal opinion.
    29:22 This is what I'm hearing every day from folks.
    29:25 I mean, that may also be my personal opinion, but like we're a city of neighborhoods
    29:29 and people choose here to move here for that spirit.
    29:32 And this is, there are lots of parts of the city that are, for lack of a better word,
    29:38 they're really suffering from situations that they can't control.
    29:42 And it's frustrating.
    29:43 And I totally get that.
    29:45 We'll take a, did you have a comment?
    29:47 I would like to take a pause to see if there was anybody, if either Lada Retrovargo
    29:53 or Ian from planning had anything to say, any comments?
    29:58 And you don't have to, just seeing.
    30:08 Thank you, Chair.
    30:12 No comment from law.
    30:14 Of course, we'll work on any version that council agrees on.
    30:19 I mean, you're talking very discreet policy issues and seems like there's a lot
    30:25 of work to be done on just understanding the policy flow before law rolls
    30:30 up its sleeves and drafts.
    30:33 Thank you.
    30:33 Thank you.
    30:35 Mr. Andrews.
    30:36 Thank you.
    30:37 I appreciate the opportunity to be here representing both the building,
    30:41 the housing and building department and the planning department.
    30:43 As you know, leadership is out of town and they really are the experts.
    30:46 So I'm here just to hear what you have to say and to be able to take that back
    30:49 and discuss with them.
    30:51 But I certainly, as you know, would encourage you to spend significant time
    30:54 with Director Parmelee who has a lot of thoughts on this and I think a lot
    30:59 of really good constructive thoughts about ways to perhaps try to make this work.
    31:02 So I know he looks forward to those future conversations.
    31:05 Thank you.
    31:07 Thank you, Mr. Andrews.
    31:08 I'll turn it over to Councilman Bullock for some kind
    31:13 of last thoughts before I wrap things up.
    31:15 Thank you.
    31:16 So before I forget, Mr. Anderson, which sounds a little 1990s,
    31:23 could we get the number of owner-occupied, well not one,
    31:30 two families in Lakewood?
    31:32 Do we know that number?
    31:33 And I don't know it off the top of my head.
    31:38 Yeah, we can get that for you.
    31:38 Okay, thanks.
    31:40 So and then to my colleagues, if you look at the communication on the Granicus agenda
    31:49 on page two of my letter and then page three is the attachment
    31:53 from a Lakewood resident who I thought did a really nice job of laying
    32:00 out different parameters and variables.
    32:02 So starting with the arguments pro and con.
    32:09 So pro would be amenity to residents.
    32:12 Pro is tourism, perhaps facilitates tourism.
    32:18 Con or, you know, regulation would be zoning concerns.
    32:22 Con would be alter the character of the neighborhood.
    32:24 Con would be enforcement challenges.
    32:26 Con would be impact on housing affordability.
    32:30 If we've got 300 housing units give or take in any given moment
    32:36 in the short-term rental market, that's a non-trivial amount of homes
    32:43 or potential housing units on the marketplace.
    32:46 Now we've got more coming online from the Westline, et cetera.
    32:49 So that's fluid, but that matters in my mind too.
    32:54 So fundamental question, zoning, which district should be allowed?
    32:59 Are they appropriate zoning districts?
    33:01 How does this mesh with the city's forthcoming new zoning refresh
    33:06 and our master plan and allowing accessory dwelling units?
    33:10 Right? I mean, so these are fundamental and strategic questions.
    33:15 Should they be taxed?
    33:16 I think we're hearing a consensus
    33:18 that there should be some economic contribution.
    33:20 I agree with that by the way.
    33:22 Enforcement is absolutely key.
    33:24 Registration, local agent, criminal nuisance ordinance,
    33:28 which is a long, that's a separate but parallel
    33:31 and critically important track.
    33:32 And I continue to say we need our criminal nuisance ordinance
    33:36 to function robustly.
    33:40 And I think that's true for e-bikes and e-motorbikes and it's true
    33:48 for a bunch of things and it's also true for this.
    33:52 So that criminal nuisance ordinance may not need
    33:57 to be directly amended by the Airbnb discussion
    34:00 but we sure shouldn't need it to be functioning
    34:04 if Airbnb's are ever going to be successfully
    34:08 and appropriately operated.
    34:10 Okay? There's a whole bunch of inspections, considerations
    34:15 and that gets you into, quite frankly, if we're going to properly
    34:19 and robustly inspect all the Airbnb units,
    34:22 maybe more than one FTE, because we've got probably 20%
    34:33 of the actual Airbnbs that you can find
    34:35 in commercial listings registered
    34:39 with the city, it's not even 20%.
    34:46 Right now there's 78 units or 78 homes registered
    34:49 into the short-term rentals.
    34:50 Okay. So out of 300 it might be, you know,
    34:53 but the point is that now going back to my letter, what I intended to do
    35:00 on page two was list a series of factors and I read this
    35:05 at the council meeting, to allow for operation in a manner
    35:09 that achieves quality, safety and operator accountability.
    35:12 If we could do that, that might be what some colleagues are saying here,
    35:17 easier said than done, right?
    35:19 So that's the whole game right there is can we allow
    35:22 for operation in a manner that achieves quality, safety
    35:25 and operator accountability.
    35:26 And then the next bullet,
    35:27 to protect against chronic nuisance behavior, just address that.
    35:30 Number three, to protect against crime and the risk of crime,
    35:34 because safety is outright crime but it's also the perception
    35:39 of safety which is impacted.
    35:41 That's something we talk about in our parks as well which is why the city
    35:44 for years now has invested heavily in the Parks Ambassador Program
    35:48 and I think that's a valid and appropriate program that I continue to support.
    35:55 The perception of safety is also something that matters.
    35:59 And when you're a parent with little kids that you've been allowing to go
    36:03 to their next door neighbors in the front yard
    36:05 but now you've got short-term rental, that's a robust business
    36:09 and you have a rotating cast of characters there
    36:11 and they have occasional parties whether that's parties
    36:14 with prom night teenagers or 20-somethings or 30-somethings.
    36:19 All of that is now changing my ability for my family to function
    36:27 like we have been in a home I'm paying a lot of money for
    36:30 and a lot of property taxes for.
    36:33 So I guess what I'm saying is to me the benefit of the doubt needs to go
    36:37 with the neighbors who are impacted, not with the proposed business use,
    36:42 especially if we're talking about a business use in the middle
    36:45 of a residential property, all right?
    36:47 And then the critical one is to design a set of oversight enforcement rules
    36:52 that are time-efficient and practicable for city personnel to implement
    36:56 without significant strain costs for time.
    36:59 I think Councilman Baker is referring to that like, okay,
    37:02 here's City of Cleveland's thoughtful architecture of rules and requirements.
    37:07 How's it working, right?
    37:09 And so with a mind towards accomplishing that critical thing,
    37:15 to me owner occupancy would be one heck of a way to achieve that
    37:21 because an owner occupant is going to have more self-interest
    37:27 than anybody else in making sure that their neighbor upstairs
    37:31 or downstairs is safe, appropriate and a good neighbor
    37:35 to themselves and their neighbors.
    37:37 And so why I ask the Planning Department how many owner occupant,
    37:41 two family structures we have in Lakewood is we've probably got a lot
    37:44 in all four corners of the city.
    37:47 And even if we were to take a pretty strong step of restricting it
    37:51 to owner occupancy, there'd still be plenty of units available
    37:56 to the community if our priority is to provide an amenity
    38:01 to residents and tourism and so forth.
    38:04 Now that might inconvene as people currently
    38:08 with an Airbnb business upstairs and downstairs,
    38:14 but that's a different question, you know.
    38:18 So what we're doing right now is we're creating work
    38:22 for the city government to chase all of it.
    38:27 Registration, inspection, postings, taxes, local agent,
    38:33 actual behavior by the tenants, actual parking practices,
    38:38 that's a lot of work.
    38:40 We've got a lot of work to do to track e-bikes, you know,
    38:44 and that's not easy.
    38:45 So I guess what I'm saying is I recommend that the city
    38:51 at City Hall start with a high threshold,
    38:55 a very high threshold of accountability
    38:58 and if it goes well, back down from there,
    39:02 not the reverse.
    39:03 Thank you, Councilman Bullock and Councilman Baker.
    39:06 I saw you had some additional comments.
    39:08 Yes, and I, that's certainly one way to do it.
    39:11 In fact, Chicago, I think recently did their requirements
    39:16 that at least as it relates to non,
    39:20 like big apartment buildings can have up to 25%,
    39:24 I think, can be Airbnbs and I think the,
    39:28 I had to demise the legislative policy intent
    39:31 behind that is that if you're a,
    39:34 most apartments are investor owned
    39:37 so you'd want to make sure that people stay in there,
    39:40 you have an incentive to make sure
    39:41 that they act appropriately.
    39:43 And then if you, you have to live in,
    39:46 so if you, you know, you have to live in a,
    39:47 if it's a quadplex or whatever,
    39:48 you have to live there in order for it to be an Airbnb
    39:50 or if it's a multi-family, you have to live in it.
    39:54 That's certainly one regulatory regime.
    39:57 The thing is, is I think making those decisions
    40:01 without really good data inputs, I think is difficult
    40:05 because you don't have what it would do to the market
    40:08 if I don't know enough of, you know,
    40:10 how many quadplexes do we have in town,
    40:12 how many duplexes.
    40:14 What I do and I think about this
    40:16 and I'd be remiss if I didn't say this
    40:18 because I think it does belong
    40:21 as part of the affordable housing discussion
    40:23 in the sense that, you know,
    40:26 we now have 200 housing units
    40:27 that aren't being productively used
    40:31 as they were intended to be used as either rental,
    40:34 long-term rental for families
    40:36 or homes for families that they buy.
    40:42 So that's something.
    40:43 And as we've learned in our discussions
    40:46 about affordable housing, there's no one thing we can do,
    40:50 I don't think as much as I think
    40:52 some people may think we can,
    40:54 but there are a lot of little things
    40:55 that we can do to make steps.
    40:58 And I think one of them is not having hotels
    41:04 in our communities essentially.
    41:05 Now, but, and I don't wanna be glib
    41:07 because I think there are benefits to Airbnbs
    41:09 and short-term rentals that can provide a vibrancy,
    41:13 provide a convenience.
    41:14 And so it's all about finding that.
    41:16 So that's just where the data input
    41:18 and collaboration with housing
    41:20 and planning and development department
    41:22 is gonna be really important
    41:23 because you can't just make these rules
    41:26 without having that information
    41:28 about how it's gonna affect the fabric of the community.
    41:30 But there's, in my eyes,
    41:32 there's a lot of very compelling reasons
    41:34 to regulate this heavily.
    41:39 And so I'm committed to working with administration
    41:42 and all of you to do that.
    41:43 Thanks, Councilman.
    41:44 Councilman Dixon's time.
    41:47 Thank you, Councilperson Evans.
    41:48 And I agree there certainly is a compelling case here
    41:51 to regulate heavily.
    41:53 And I think one thing that I'm trying to,
    41:56 as you try to strike the right balance,
    41:59 as far as the regulation,
    42:05 clearly we need to restrict nuisance behavior.
    42:10 I guess I'm also trying to figure out,
    42:11 are we also trying to restrict corporate investors?
    42:15 Is it a two-prong approach here?
    42:18 I know a lot of the feedback we've gotten
    42:19 has been more so on the former,
    42:21 but are both in our wheelhouse here
    42:24 as we try to look at heavy regulation.
    42:29 Thanks, Councilman Dixon's time.
    42:32 It's a good segue to start to wrap this up.
    42:36 Councilman Baker, I think the point
    42:38 about affordable housing I think is a critical input
    42:40 to this conversation,
    42:41 because you're absolutely right.
    42:43 This is taking living units away from folks
    42:47 who want to make this their home and their community.
    42:51 And that's, it's something we're struggling with,
    42:55 finding enough place to put people
    42:57 who want to live here in Lakewood.
    42:59 So that's absolutely something we need to keep in mind
    43:02 while we're going over these issues.
    43:05 Obviously, we're gonna take no action on this evening.
    43:08 We're not there yet, but I am committed.
    43:11 And Councilman Bullock,
    43:13 you've kind of been carrying a lot of the weight,
    43:15 but I'm happy to join you in hopefully
    43:20 very near-term conversations
    43:22 with the appropriate departments,
    43:23 starting with I think building and Commissioner Parmoley,
    43:28 to make some thoughtful edits
    43:32 to the ordinance you've put before us,
    43:35 so that as the law director Vargo said,
    43:38 so we can get it to the law department
    43:39 so they can roll up their sleeves
    43:41 and start to craft something that we know
    43:45 we're gonna be able to put in place
    43:47 and enforce properly.
    43:49 So I appreciate the conversation this evening.
    43:52 And to folks at home,
    43:55 I understand the frustration on this,
    43:59 and we're hearing from folks who are very upset,
    44:02 and we're all hearing you.
    44:07 We really are.
    44:08 But to make this work, we have to make sure we've,
    44:13 this needs to be just a very solid piece
    44:16 of legislation that we know we can enforce,
    44:18 and we have the resources to do so.
    44:20 So one last comment from Councilman Boyk.
    44:23 Two points.
    44:24 One is I did receive a letter,
    44:27 I think other councilmembers may have too,
    44:28 from a resident of a Lakewood multifamily,
    44:32 larger multifamily property
    44:34 where there's an Airbnb operating inside.
    44:37 That person was concerned about the safety
    44:39 because now the Airbnb is providing security access
    44:44 to common areas.
    44:46 And so basically, we don't know who
    44:49 all of a sudden can be in the common areas
    44:51 in residential hallways.
    44:53 So that was an argument actually in favor
    44:56 of stronger prohibitions for multifamilies
    45:01 because of that security and safety issue.
    45:03 I tend to agree with that.
    45:04 The current proposal would,
    45:07 as we were saying, restricted to one and two family.
    45:10 You could also amend it to allow three sweeters
    45:15 or four sweeters to,
    45:17 I didn't try to get that detailed
    45:19 in what we have before us today.
    45:22 The other thing is, I just wanna let you know,
    45:24 I did spend significant time on the phone
    45:26 with Commissioner Parmarly and also the police chief.
    45:29 I have extensive notes.
    45:31 I didn't try to summarize those
    45:33 or share those with others,
    45:34 but there's a lot of thoughtfulness there.
    45:40 One point that Commissioner Parmarly was making
    45:43 is that the building code really isn't your tool
    45:46 for penalties and accountabilities.
    45:48 It's a behavior.
    45:52 It's to find property owners into compliance
    45:54 with building code.
    45:56 So the building code is a tool,
    45:58 I'm paraphrasing him,
    46:00 for getting the buildings right,
    46:05 but not addressing the people inside the building.
    46:08 So as we think of how we address a mix of issues here,
    46:13 certainly the building department's a key component,
    46:16 but not the only component.
    46:17 Fire department would be one.
    46:19 Chief would be one.
    46:23 The chief acknowledges that parking
    46:25 will be difficult to track and enforce.
    46:29 We do have the chronic nuisance behavior.
    46:34 So I've already gotten a running start
    46:37 on all of these matters,
    46:39 but those are not fully reported out, okay,
    46:43 but done the due diligence
    46:45 and we've also begun to hear
    46:47 from other communities as well.
    46:50 Whose view is that the acute nature
    46:53 of how badly things go when they go wrong
    46:57 is sufficiently high of a problem threshold
    47:02 that they've taken a strong stand
    47:05 right out of the gate on regulation.
    47:08 It may be true that eight out of 10 are just fine,
    47:11 but those two that aren't make huge problems
    47:15 and then you're chasing problems
    47:16 rather than getting ahead of them.
    47:18 So to me, that's what I've got in mind, thanks.
    47:23 Thanks, Councilman, appreciate that.
    47:25 And yeah, and thanks for your work on that.
    47:28 And again, let's make sure we,
    47:32 with all due haste, further those conversations
    47:35 so we can button this up and make something happen.
    47:40 We did have one person from the public.
    47:45 Do you have any?
    47:46 Okay, just wanted to make sure.
    47:49 All right, thanks.
    47:50 So with no other comments,
    47:53 no further business before this board,
    47:56 I will, we're through for the evening
    48:00 and thank you all for being here
    48:01 and appreciate the input
    48:02 and looking forward to working with you guys on this.