Amended fees ease short-term rentals in Camp Verde

Camp Verde Town Councilman Joe Butner speaks about the new B&B rules at a Town Council meeting on Nov. 28. Butner is one of two newly-elected council members.

In the past year, the Camp Verde Town Council has taken numerous actions to fulfill the requirements of Senate Bill 1350, passed by the Arizona State Legislature in 2016, prohibiting municipalities from banning short-term vacation rentals by homeowners, through services like Vacation Rental By Owner and Airbnb.

In June, the council changed the town’s building codes in order to allow and regulate short-term rentals.

At a meeting on Nov. 28, council voted unanimously to change the definitions in the town’s Planning and Zoning ordinance with regards to “Bed and Breakfast” and “Accessory Dwelling Unit” in order to ease the development of short-term rentals.

Under previous rules, ADUs — additional structures on a homeowner’s property that he or she would be able to rent out — could be used for rentals after a simple inspection and a $144 permit fee, whereas rooms within a property owner’s main house were deemed B&Bs, requiring a fee of $1,800. Under the adopted rules proposed by the Community Development office, B&B fees would start only if a homeowner had two or more rooms within their house to rent out. A single room could be rented for a simple $144 fee.

“The B&B definition was amended because as it was written it conflicted and was inequitable for a person in a single-family residential zone to rent out one bedroom in their house as opposed to renting out a guest house,” Community Development Director Carmen Howard wrote in an email. “It didn’t make sense. We are trying to create a sensible, fair development environment in Camp Verde and support people’s property rights in an equitable manner.”

“Wouldn’t it be easier to change the fee on the bed and breakfast rather than monkey around with the definitions?” Councilman Bill LeBeau asked Howard at the meeting.

Howard responded that the town had an interest in ensuring that single-family homes remain in the right zoning district, and that it was therefore still useful to require a more involved permitting process for rentals of two to five bedrooms. She pointed to the value in having town meetings and notices to set up multi-room rentals in a neighborhood, as opposed to a small B&B rental.

Councilman Joe Butner expressed concern that an increase in short-term rentals might lead to problems for the town, making a comparison with Sedona. Howard responded that Camp Verde still has a very different rental market from Sedona.

“So far, we’re not seeing an exorbitant amount of vacation rentals,” Howard said. “Whereas in Sedona you have a different kind of vacation market than you have in Camp Verde. Camp Verde seems to be the kind of place where people come to visit their family instead of a vacation destination.”

The definition change is the latest in an effort by the town to encourage these businesses, in addition to a June information session for local residents, advising them on how to set up short-term rentals.

“Short-term rentals are good for Camp Verde because they increase buy- in from residents for Camp Verde tourism and expand our offerings to visitors in a grassroots way,” Camp Verde Economic Development Specialist Sebra Choe wrote in an email. “They boost tourism revenue while preserving the character and livability of our town.

“B&B can become too much of a good thing, but our residents are adept at ensuring the preservation of our neighborhoods.”

Jon Hecht can be reached at 634-8551, or email jhecht@larsonnewspapers.com

Jon Hecht

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