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Mayor Vetos STR Moratorium

Today, Mayor Rector vetoed a Short-Term Rental Moratorium. This moratorium would have stopped all NEW short-term rentals from registering with the City for the next nine months while other legislation is considered.

As a member of the Legal Committee, I can confirm that yes, there have been lengthy discussions, but the minutes for the Legal Committee, for most of the past two years, are not that lengthy and go into no detail. This moratorium was never put in front of the Legal Committee, and was first introduced to the entire Common Council. Why have people sit on these committees if you’re going to bypass them?

Regardless of how you feel about Short Term Rentals – the lodging tax, sales tax, and parking income revenues decrease the City’s reliance on tax payer/property tax dollars.

In the latest budget for 2020, the City is EXPECTING an ADDITIONAL $200K in sales tax, an ADDITIONAL $60K in lodging tax and additional $20K in parking revenue to help balance the 2020 budget. We are hoping for these projected increases over last year (see page two).

If you impose a nine month moratorium on Short Term Rentals, how are you going to meet those projected budget numbers next year?

The answer is…no one has really thought it through. There has been no analysis on the financial impact of a moratorium.

The moratorium is a knee-jerk reaction to the housing issue. The City formed a Housing Task Force in 2017 which produced a Strategic Housing Plan – passed by the Common Council last year. Please read it. This document outlines strategies and goals – a game plan – for affordable housing in Hudson. At the very end, the last appendix, it mentions Short Term Rentals; it does not suggest a moratorium.

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