MILT THOMAS
The County’s Short Term Rental Committee met last Thursday, January 14 in another sometimes fractious meeting that was better managed and drew considerably more attention than the December session. Glenn Powell was officially voted chairman and Joe Paladin vice chairman. Powell then laid down rules, as he called them, “invocations,” for conduct at the meeting. His invocations included staying focused on their mandate (develop suggestions for ordinances governing short term rentals in Indian River County) and listening to what people have to say rather than criticizing and attacking who they are. Powell then proceeded to note each member’s qualifications in an apparent attempt to deflate accusations that the committee was stacked with pro-rental and small government advocates. The invocations lasted 20 minutes and probably did little to change anyone’s opinions.
His conduct as chairman was in sharp contrast to the out-of-control December meeting where he presided, though unofficially. Whether that had anything to do with the audience this time is debatable (Commissioner Peter O’Bryan, County Administrator Joe Baird, County Attorney Dylan Reingold, Vero Beach Mayor and County Commission candidate, Jay Kramer, Indian River Neighborhood Association president Honey Minuse and others), but gave much more significance to the proceedings.
Powell said he also, “took a cue from the IRNA (Indian River Neighborhood Association) eBlast about this meeting to stay focused and not get bogged down in the minutiae.”
First order of Old Business was the homestead and property assessment. Deputy County Attorney reported that he spoke with the property appraiser’s office and the tax collector’s office. Regarding property assessment, his review of the statutes indicated that residential valuations were based only on comparable home prices. That flew in the face of committee critics who complained that short term rentals in their residential communities had a negative impact on home values.
Vice chairman Paladin was the first to differ with DeBraal’s statement, saying he checked with other counties including Brevard, and they agreed “absolutely” that if you have rentals around you, it does lower the value of your home.
Powell, who has 19 rental properties, said both interpretations were correct based on his experience. Committee member and limited government advocate, Glenn Heran, owns several rental properties including one in Vero Beach. Heran said that “every single one” of his properties increased in value, adding, “except the one in Vero Beach.” He is also a leading advocate of selling Vero Electric to Florida Power & Light. Powell said he agreed “a thousand percent,” then adding that rentals have “an effect.”
Dr. Miles Conway, a member of the South Beach Property Owners Association and the IRNA, read a prepared statement presenting arguments against short-term rentals. “We disagree that putting public lodging establishments in bonafide residential neighborhoods,” Conway said, adding that they do negatively affect property.
“This subject needs to be taken to a higher venue, not compromised by its members having a conflict of interest and antipathy towards local government regulations,” Conway said.
Powell admonished Conway saying, “whatever you need to do is not a topic on this agenda.” He defended DeBraal, saying, “He did what he was asked to do, which is find out what the property appraiser’s office does regarding valuation.”
Carter Taylor, also a member of the South Beach Property Owners Association and IRNA, stated there are three approaches to an appraisal and comparing sales in just one of them.
DeBraal agreed. “There are three different chapters on valuations that deal with this process and I didn’t delve into all of them.”
“We’re talking about the property appraiser’s approach that is on the agenda and I’m going to stick to it,” Powell responded.
William Farrell, president of the North Beach Civic Association and a retired licensed appraiser, said he agrees with Taylor that it is important to consider more broadly the affect of short-term rental on property values. Powell again pointed to DeBraal’s research adding, “whether rentals positively or negatively affect values is not the purpose of this meeting.”
Dr. Conway interjected, “This committee cannot go on with the fallacious assumption that transient rentals in residential neighborhoods do not affect property values.”
The committee then discussed the economic impact of short-term rentals, a subject added to the agenda last month by Glenn Heran. Heran’s initial suggestion to study the economic “benefit” of short-term rentals led last month to a heated debate as to whether the subject had any bearing on the need for regulations.
Community Planning Director Stan Boling reported that last month staff was asked to come up with data regarding the economic impact. He explained all the considerations and ended up saying the sample size was only seven units, not enough to develop any meaningful analysis or assumptions.
DeBraal reported on his findings with Airbnb (see InsideVero article on January 13, 2016).
Committee member Angela Waldrop, a rental real estate agent, said that from the perspective of owners of rental properties, short-term rentals are necessary to supplement in-season long term rentals to “stay afloat.”
Addressing Waldrop’s point, David Hunter, a member of the IRNA, said, “When you say try to stay afloat, you are referring to the fact they have a business they are trying to maintain and cover their expenses. That would imply they are running a purely commercial business activity and not living there themselves.”
“Mr. Hunter, we are here to discuss the economic impact, not to take a stand on vacation rentals,” Powell said. Hunter replied, “I’m as neutral on the subject as you are, Glenn,” evoking laughter.
” It’s not on the agenda, so we’re not talking about it,” Powell said.
Heran then reiterated his point that the committee should just try to come up with a range of economic impact data. He then proceeded to present his own analysis of admittedly speculative data regarding the number of rental homes in the county, average number of months per year they are rented and an average weekly rental charge. Other committee members came up with averages based on each of their experiences. Heran computed a highly speculative yearly economic impact of $55 million, generating $6 million in taxes.
Dr. Conway objected to Hearn’s assumptions, saying. “The last thing you want coming out of this meeting is a fallacious representation that transient boarding houses generate $55 million in revenue and $6 million in taxes with media here in the room, because it is misleading and nothing more than propaganda that is irrelevant to this committee’s objectives.”
Committee member Molinari said, “I just see this as information, not propaganda.”
Taylor added to Powell, “You promised us in your invocation that this is not the objective of your committee and you are out on a statistical limb with a highly inaccurate assessment.”
Powell said he could not think of one regulation the County Commission would pass based on the economic impact of short-term rentals. “I don’t think I would vote any differently if it was a million or 100 million,” he said.
Heran defended his analysis saying it was good for the public to know, to which Hunter said, “Chairman Powell says the purpose of this meeting is not to discuss the advantages or disadvantages of vacation rentals and your proposal to do this so-called economic analysis is in theory to show the enormous economic benefits of short term rentals to the county’s budget and to the investors who engage in this activity.”
The next subject was Paladin’s follow-up with Commissioner Tim Zorc’s suggestion that existing regulations limit someone who owns a house from renting more than one room for boarding purposes. He also pointed out that as short-term rentals are considered a business, they should at least have the same requirements as qualifying for a residential occupancy permit.
Paladin said he met with Zorc to discuss the subject, adding that they both agree controlling occupancy was a good idea.
Committee member Curtis pointed to Monroe County’s short-term rental ordinance, one of the most restrictive in the state. His said he has a friend in Monroe County who told him the occupancy restrictions in Monroe County’s regulations make it much easier for code enforcement to address possible violations.
After much discussion, Paladin introduced a resolution to have staff come back at the next meeting with a formula for occupancy, which appeared acceptable to all parties. It passed unanimously. Another resolution directed staff to draft an amendment to the county ordinance adopting a fine of $50 per violation of the county’s new parking ordinance, $100 for repeat offenders. Also a fine of $1000 for violation of the event ordinance, $5000 for repeat offenders.
The committee’s next meeting is scheduled for February 11 at 10 a.m., when licensing, fire regulations, occupancy and site inspection will be on the agenda. Powell expects the committee to wrap up with a final report in April.
Indian River Guardian 
A 20 minute “invocation” sounds more like a sermon than an invocation.What conclusions were reached about short term rentals?
Dear Mr. Thomas:
I attended the meeting the meeting in your report and wish to provide information to Indian River County voters who did not attend and was missed in your report.
(1) Mr. Joe Earman who is also running for Commission attended the meeting so that makes two candidates running for office who are upset by the bad effects of rentals who took the time to watch the rental advisary circus.
(2) All the important people you mentioned other than Mr. Peter left the circus after 30 minutes and did not say one word.
(3) In your other reports I wrote that the most biased person who stands to make the most money by stopping any regulations is Mr. Glen Powel. At the last meeting he proved me right.
(4) His 25 minute not 20 minute speech he called an invocation was nothing more than a grandstanding commercial for himself and his rental business. He abused a religious topic to try and save his ass and justify the biased conduct of the advisory circus. THIS SHOWS THE CHARACTER OF THIS PERSON.
You can fool some of us but not all of us and why the County officials present did not stop him makes me suspicious of their fairness.
(5) It was also very obvious he manipulates the agenda to allow things which support the rentals and his business to be valid agenda things while speeches that do not support the rentals and his business are suddenly ruled not on the agenda. The example of this was the report of county lawyer on appraisals. The county lawyer did not do his homework and to get the result he wanted Mr. Powel ruled the objections not on the agenda – this is dishonest.
(6) This biased conduct occurred over and over during the meeting. The three Indian River association guys Mr. Hunter, Mr. Carter and especially the Doctor who are against the rentals have the goods on Mr. Powell and the other profit makers over and over and because they cannot beat them on the accuracy of the argument use the agenda, the County lawyer and control of the meeting to attempt to stop them. This is UNDEMOCRATIC AND DISHONEST.
(7) To end my letter to you it is very plain to see that the Indian River Association guys are Mr. Powel’s worst nightmare. In previous meetings he has shown he is does not know how to run a meeting because he is inexperienced biased and compromised.
At this meeting he has shown he also undemocratic and dishonest.
In my books this adds up to a CORRUPT process and I and the thousands of others that use our residential homes to raise our kids in safe and quiet neighborhoods will be voting the commisioners responsible for Mr. Powel and this CORRUPT committee and process out of office.
Chairman Powell commandeered 23 minutes of the Committee’s time to deliver what was, in essence, an unapproved re-election monologue, lecturing his committee and the public to tone down dissent and maintain an orderly hearing. It was, to say the least, an awkward moment. Had it gone on much longer, it would have verged on comic.
No other potential contender for the chairmanship was invited by the Chair to speak.
It was only after suffering through all this that the Committee got down to actual business, the first item of which was election the 2016 chairman, which of course went to Powell.
The organizations I represent have come to the conclusion that nothing of value, in terms of public policy recommendations, will come from this group. This is, essentially a group of industry insiders talking group-think amongst themselves.
One can only hope that Powell will, mercifully, bring this painful process to a conclusion in March as promised.
Believe me, Carter, re-election was definitely not my goal. But you are absolutely correct…we need to tone down dissent and maintain an orderly hearing.
Huh? . Always a neighborhood preservationist during my 30 years in Atlanta, I fell in love with Roseland in the northern part of the county. I purchased a unique home on the St. Sebastian River and moved here full-time. I now have nineteen rental homes (and 19 mortgages), only four of which are quaint “Old Florida” cottages that I rent out as vacation homes. In the winter months, they attract snowbirds and retirees who stay for a month or all season. Off season, the homes appeal to Floridians escaping the larger cities for a long weekend or week to bask in the tranquility we offer in our county. I manage my homes myself. I screen my prospective tenants carefully as they will be in my homes. I have collected 11% lodging tax since Day 1 and I follow all state regulations. My neighbors seem to appreciate my efforts and have thanked me for not only saving two decaying historic homes homes, but also for being an asset to our community. My rentals have INCREASED the value of my neighbors’ homes.
Over the years, each county commissioner has acknowledged that I am an example of a good vacation rental landlord, as I truly understand how to manage them well. Even in the multiple animated public meetings, Miles Conway, David Hunter and Carter Taylor, a very vocal trio representing those who oppose short-term rentals, have declared my actions as “exemplary,” “very respectful and professional,”“a model landlord.”
I completely agree that some vacation rental landlords are a danger to our community. I believe that’s why I was named to the Short-Term Vacation Rental Advisory Committee. I have always been in favor of smart regulations. I have always been in favor of bringing the unlicensed landlords into compliance with state regulations and lodging tax compliance. And as a citizen and neighborhood preservationist, I want vacation rental landlords to preserve (or improve, as I did) our neighborhoods’ qualities, rather than create chaos as has happened with big parties and special events in Ampersand and South Beach.
New to a public role, I am SHOCKED how my motives have been skewered by the blogs. I have been described as an anti-regulation, money-hungry landlord who has no regard for neighborhoods. Here are the facts: I have met in person probably 10 times with Mr. Conway, who prefers that short-term rentals simply didn’t exist and derogatorily calls them “transient boarding houses.” Yet, we acknowledge we have a lot in common. We have the same objective- no neighbor should negatively affect another neighbor. We just go about it using different approaches and recommending different steps, as these regulations control South Beach million-dollar oceanfront homes as well as Roseland cottages, Wabasso houses, and Fellsmere (outside city limits) homes. I was instrumental in the County’s banning special event facilities in vacation homes. I spoke out in favor of the County’s new vacation rental parking ordinance, designed to limit cars as well as to control occupancy. (In fact , the ordinance that was passed is more restrictive, with my support, than the County Staff’s recommendation). I am 100% in favor of local licensing by the county, mandating tax compliance, registration, fire safety regulations, which also provides the County some “teeth” for enforcement. With the exception of a proposed very weak, unenforceable and unnecessary septic regulation, the votes of the committee have been unanimous in agreeing with the County staff’s recommendations for these smart regulations. What on Earth are these regulations I am opposed to????
I received criticism about how the December’s meeting was run. I apologize for that as I have never had a public role before. Never again. We will stick to the agenda from now on. Determined to improve, I knew I had to start January’s meeting in a way to set a fresh, new tone, no matter who attended. (It’s on video, so it doesn’t matter to me who is in the room.)
And yes, it was an invocation. I didn’t mention God or prayers, but we may need some divine intervention to : 1. Stay true to our mandate to recommend local licensing and regulations, assuring tax compliance, encouraging the “hidden”landlords out of the shadows, and giving Code Enforcement enforcement powers. Our purpose is not to “take a stand” on short-term rentals, but to regulate them fairly .2. Listen to what the committee members have to say, rather than criticize who they are. We passed ALL of the County Staff’s smart recommendations unanimously, no matter how any individual felt about Vero Electric or if someone, an expert in neighborhood planning and development, had trouble with the law over three decades ago. Who in Indian River County wants unnecessary, unenforceable regulations? Who wants big government? Smart regulations only, please. We recommended all of them. And 3. May we cause no harm. Citizens of the City of Vero Beach, in their vacation rental discussions, have called tourists “thugs,” “disorderly,” “criminals,” “party animals,” “drunks.” “trashy,”… Is that the anti-tourism, condescending, degrading, elitist message you want to broadcast to the world, because of a very unfortunate event instigated by people who just happened to be occupants of a vacation home?
If the new restrictions are too burdensome or if compliance is too expensive, the Mom & Pop landlords will either go undercover and not collect taxes…or will just stop offering vacation homes since they can’t afford it. The only remaining vacation homes will be upscale properties on the barrier island, which I bet is the last thing your readers want.
Were any conclusions reached at this meeting about short term rentals?
Mr, Powell, welcome to pubic life. Now you know why corporate tycoons prefer to own politicians, rather that enter the arena themselves.
Lol, Mark!
Mr. Church: The January agenda had three “old business” items to hear…Homestead and Property Assessment Report by Bill DeBraal, Economic Impact Information by Stan Boling and Occupancy Limits directed by Tim Zorc and presented to Joe Paladin. That took up the bulk of the meeting as some people thought the property assessor’s should use a different formula and there was a lengthy discussion on how to appraise a property. However, the Committee has absolutely no say in HOW the county assesses properties and cannot direct them to alter their formula, which is different from how a private appraiser like Mr. Farrell would have appraised a property for a mortgage loan, for example. Nor was it on the agenda to rehash how neighbors affect neighbors’ property values, which is a given, but we recognized that values can be affected positively as well as negatively.
The “New Business” item was Fines and Citations for breach of the new ordinances, presented by Roland DeBlois from Code Enforcement. The Committee approved County Staff’s recommendation unanimously.
The next meeting’s agenda will include proposed Occupancy regulations, as well as site inspections and the duration of the newly approved licenses.
should read “presented BY Je Paladin” not TO
I think Mr. Powell is a bit confused about the property value debate.
There was no call by neighborhood associations for the property appraiser to use a different “formula.”
There was a call, however, for officials to understand how tax appraisal actually works before taking the incorrect position that transient rentals have no impact on property tax valuation.
Transient rentals impact the nature and character of a neighborhood, and have a deleterious impact on neighboring property values. While advocates may cite exceptions — and there are some — this remains generally true.
Thankfully, several members of the Committee agreed with our dissenting view, and the incomplete analysis and agenda recommendation withdrawn.
Now that the topic of “Economic Impact” has been taken up, how can the Committee dismiss the impact on property values of the other 99% of properties that are not transient rentals? Who on the Committee is representing their interests?
It seems like a one-sided analysis to say the least.
I wonder if those sitting on the committee have ever been subjected to bad behavior from inconsiderate short term renters? Why can’t the county commission put a referendum question on the November ballot and see what the people really want? Settle the issue the democratic way.
The County’s short term rental advisory committee is an example of an industry being allowed to regulate itself.
Further, given comments made by members of the committee, it would appear the Commission, in leu of increasing property taxes, is interested in raising revenue by collecting fees on short-term rentals. Because short-term rentals negatively impact the values of surrounding properties, the Commission will essentially be imposing a hidden tax/cost on every property owner. Further, declining property values will lead to lower property tax receipts for the County. At best, encouraging short-term rentals is penny wise and pound foolish.
More importantly, these “economic” consideration are a diversion from what should be then central, paramount concern – preserving the character of the community’s neighborhoods. Quality of life seems to be of little or no concern to at least some members of the advisory committee. I have yet to hear anyone, other than representatives of the vacation rental industry, suggest short-term rentals will in any way improve quality of life.
I ask again: “What on Earth are these regulations I am opposed to????”
I state again: “No neighbor should negatively affect another neighbor. We just go about it using different approaches and recommending different steps, as these regulations control South Beach million-dollar oceanfront homes as well as Roseland cottages, Wabasso houses, and Fellsmere (outside city limits) homes. I was instrumental in the County’s banning special event facilities in vacation homes. I spoke out in favor of the County’s new vacation rental parking ordinance, designed to limit cars as well as to control occupancy. (In fact, the ordinance that was passed is more restrictive, with my support, than the County Staff’s recommendation). I am 100% in favor of local licensing by the county, mandating tax compliance, registration, fire safety regulations, which also provides the County some “teeth” for enforcement. With the exception of a proposed very weak, unenforceable and unnecessary septic regulation, the votes of the committee have been unanimous in agreeing with the County staff’s recommendations for these smart regulations.”
I would think that by 2016, in Florida of all places, one would see the positive impact of tourism. And yes, tourism absolutely does not trump quality of life in our neighborhoods. The task at hand is to strike a BALANCE: how to regulate well-run vacation homes, while we eliminate poorly run rentals. These new regulations have to be enforceable,effective, and appropriate in South Beach as well as in Wabasso, and not chase the vacationers seeking a personable vacation home out of our county, not an easy task.
Our national political climate illustrates how easy it is to be a hater and to make broad statements about who we don’t like. Let’s be better than that.
Mr. Powell, your protestations notwithstanding, you represent just on vote on the advisory committee, and you do not have a vote on the County Commission. This discussion/debate is not about you and what you believe, or about how you operate your rentals in rural Roseland. The much larger, far greater concern is the inclination of the County Commission to follow Bob Solari and Glenn Heran down one Libertarian rabbit hole after another. Perhaps with the exception of Tim Zorc, the Commission seems prepared to compromise quality of life for everyone in Indian River County – all in the name of private property rights.
Mr. Schumann: Gee, I have read much on this blog about me personally, my motives and how I can’t be fair just because I have vacation rentals. Aside from Ms Waldrop, no one else on the committee is involved with vacation rentals in any capacity, yet the whole committee has been criticized for their “biased” connection to vacation rentals. I agree that unregulated vacation homes can be a menace. That’s why I voted IN FAVOR OF all the regulations, joined by each and every other committee member.
I don’t recall, nor believe in, any commissioner’s desire to have private property rights compromise our quality of life. “Libertarian” or not. They seem to want a balance achieving the benefits of well-run rentals AND eliminating the negative impact. So far, we’re on that path – no special events, no piled-up parking (also helps control number of people), no unlicensed activity, safety factors in place, taxes collected, ways to enforce these ordinances, along with an occupancy ordinance coming in future meetings. The wild, disruptive parties and their congestion of the past are now completely, clearly illegal in vacation homes in the future, and with a way for County Staff to enforce this. Isn’t that in line with preserving quality of life?
Hard for you to believe, but I think you will support our final report. Let our committee continue to do its job. You agree with the regulations we supported so far, right?
I will not be distracted by commenting on this or other blogs from now on. I asked twice: “What on Earth are these regulations I am opposed to????” Crickets. I hear only crickets.
Mr. Powell, only you can know whether your participation in this dialogue has been a “distraction” for you. What does seem clear is that you have become defensive preoccupied answering your critics.
Regarding “reasonable” regulations of an ill-advised business activity being carried out in residential areas, we will have to wait and see what regulations the Commission finally does or does not adopt. Let’s remember that the advisory committee on which you server is simply charged with offering advice to the Commission. Yours is not the final word.
Finally, Mr. Powell, of course County Commissioners are not going to say they will compromise quality of life in the name of private property rights. They will simply do it return for generous campaign support. If you doubt that generous campaign support influences political decisions, just look at the support Bob Solari has received from the Windsor crowd. Do you seriously doubt there is no connection between that support and his recent proposal to refund Windsor some $1 million dollars to spend on a riding trail?
Has anyone on the committee or county commission considered zoning violations in their deliberations? Or put another way, is running a business in a residential zone a violation of any laws? People with an objective view would say “Yes>”
You are right Mr. Church…..can I then open any business in a residential neighborhood? What makes a rental business different than say a restaurant or shoe store?
Mark, I am an English Lit and Psych major and think I can help explain the problems Mr. Powell is having difficulty understanding or accepting.
In the Shakespeare’s Hamlet, Act 3 Scene 2, Hamlet asks ” Madam, how do you like this play ?”
The Queen replies ” The lady doth protest to much, methinks.”
Clearly, Mr. Powell is uniquely qualified to play the Queen in the current rental play, although he can also as easily play the part of Hamlet as he is conflicted and clueless – To be or not to be !
I do not know Mr. Powell, only from his posts and voice on the County meetings websites (why does he hide from view of the cameras ?) and safely conclude anything coming out of his mouth is fallacious.
How can he or the Commissioners who appointed him possibly defend his position owning 5, 10, 15, 19 (?) rentals and not expect people to believe he will not be affected by regulations eating into the profits of his rental business ? An honest civically minded person would immediately recuse themselves. Not Mr. Powell, he just marches on trying to defend the indefensible, 8 postings in this case and 25 minute “Invocations”.
Sadly he does not realize he got sucked into this predicament in which he continues to dig a bigger hole for himself and those of us impacted by rentals will pay the price for his folly.
In my case I am a single mother living next to an unlicensed rental operated by an owner living in Texas and rented out to strangers who wake me and my one year old at all hours of the day with the two loud motorcycles left in the rental garage to allow them to tear around the neighborhood and party to all hours. Without regulations my only recourse is to summon my ex (a US Marine with anger management issues) who will solve these rentals disturbances but with great side costs.
The fallacious Hamlet/Queen and his committee in this rental tragedy is clearly not the answer.
Susan, I was interest to read your comment this morning. The same quote from Shakespeare’s ‘Hamlet’ occurred to me earlier this week as I read one comment after another from Mr. Powell defending the County Commission’s strategy of allowing the local short-term vacation rental industry to regulate itself. To listen to Mr. Powell, you can’t help but wonder if he lives in “Pleasantville.”
Susan is correct in her assessment of Mr Powell, he doth protest to much. If we are to keep the Shakespeare analogy alive we should look to another play (Othello) and see the county commissioners as the character Iago, a sly, name dropping cad who is up to no good.
No John and Mark, the conduct of Mr. Powell and his rental lobby is better explained by another Shakespearean Queen namely Lady Macbeth. In Act 1, Scene 7 she states:
Who dares receive it other,
As we shall make our griefs and clamor roar
Upon his death ?
Macbeth replies:
I am settled, and bend up
Each corporal agent to this terrible feat
Away, and MOCK THE TIME WITH THE FAIREST SHOW
FALSE FACE MUST HIDE WHAT THE FALSE HEART DOTH KNOW.
With life imitating art, Mr. Powell’s only decision is which part to audition for, ambitious Queen or bungling fallacious incompetent ?
The rental tragedy continues……
Well said Susan, but remember Iago was a sly, calculating villain who was not open ,but rather a behind the scenes miscreant. Our commissioners are hiding behind the scenes letting the Committee run interference in order to circumvent existing laws. Iago times five, alive and well in Indian River County.