New standards for vacation rentals were approved Tuesday by the Durango City Council.
The new regulations for vacation rentals have been the subject of much controversy and public input. The City Council has to vote again to make it final. The new rules, which are part of the new Land Use and Development Code, would take effect July 1.
The ordinance caps vacation rentals at 5 percent in the two established neighborhoods – one in the downtown area, and the other along West Second and West Third avenues – with up to two rentals per street segment. It would allow up to 35 in the downtown neighborhood and 28 on the avenues.
The second rental would have to obtain a conditional-use permit. Residents who apply for a second vacation rental on their street segment must be the primary resident of the property and use the vacation rental part-time. The street segment must have more than five residential parcel fronts in the segment.
Vacation rentals could be located next to each other in mixed-use residential buildings if the applicant shows he or she has distributed local contact information for the vacation rental to all unit owners and tenants in the building.
The vote was 4-0, with Councilor Dean Brookie absent.
“I’m going to vote for this because the second vacation rental that’s going to go under the conditional-use permit has to be a primary resident,” Mayor Sweetie Marbury said. “That gives me a lot more faith that someone might be a snowbird that lives here and (who) wants an opportunity. That’s the only reason I’d be voting for this.”
Some Durangoans have talked about pursuing a referendum or initiative that could allow residents to vote on the city’s decision if it is approved later this month. These residents want the code to retain its current requirement of a 500-foot distance between vacation rentals and a separation in mixed-use buildings.
A referendum is a proposal to the council to repeal the law. If the council rejects it, the proposal can go to a public vote.
An initiative allows residents to write their own ordinance and give it to City Council for consideration, and it can be voted on by residents if it’s denied. Residents can pursue both the initiative and the referendum options simultaneously.
Joe Gambone said he and other Durangoans are talking with attorneys and pondering whether to take any action and what kind of action to take.
City officials have told residents that if they mount a referendum and it repeals the code, there will be no code in place, Gambone said.
“We think that is legally incorrect,” he said. “To me, it sounds like a scare tactic.”
The next City Council meeting is expected June 16.
smueller@durangoherald.com