With short-term rentals one of the most controversial topics on the North Fork and Riverhead right now, the room was packed this morning at a breakfast hosted by the Long Island Board of Realtors at the Townsend Manor Inn in Greenport.
According to Mary Ellen Ellwood, president of the North Fork chapter of LIBOR, panelists including Suffolk County Legislator Al Krupski, Southold Town Supervisor Scott Russell and Riverhead Town Attorney Bob Kozakiewicz were also onhand to discuss new rental legislation enacted by Suffolk County at the end of December.
Focusing on the controversy emerging on the North Fork over short term rentals proliferating on sites such as airbnb.com. Russell said there has been significant “pushback.” The supervisor said he receive scores of calls from residents “uneasy” about not knowing their neighbors and a constant stream of new cars on the weekends, as well as complaints those who say they are not happy with homes converted into “commercial use” in residential zones.
On the flipside, Russell said many, including second homeowners, feel the short-term rentals provide a boon to the local economy.
“The town is wrestling with this. We’re trying to figure out the right approach, and we’re trying to be fair and deliberate. What is clear is that we have to do something.” Russell said some action will likely be taken before the coming summer season.
The focus on short-term rentals, Russell added, has “made the buyers’ market a bit broader” for realtors, with many buying homes to utilize as short-term rentals until they are ready to move out to the North Fork full-time. “It’s putting more buyers into the market,” he said.
At the same time, long-term rentals pose their own challenges, Russell said. A recent fire on Main Road in Peconic sparked concerns after it was learned that many unrelated individuals were living in the home, he said.
Code enforcement in town operates on a complaint basis, Russell said, and increased, more comprehensive, code enforcement efforts will mean hiring new town personnel to enhance efforts.
Riverhead, Kozakiewicz said,has banned all transient rentals; code dictates that rentals cannot be anything under 29 days or less; a minimum of 30 days is required for a rental.
The change came after several search warrants were issued in the 1990s, and code enforcement found over 20 people living in some Riverhead homes, he said.
Despite the legislation, Kozakiewicz said code enforcement remains an issue, with short-term rentals sprouting up. “We know they exist. They are out there.” But short of going out every weekend, which means overtime for code enforcement, Kozakiewicz said not much can be done.
Looking ahead, Kozakiewicz said the town board is poised to take another look at short-term rentals and perhaps create new code specifically designed to tackle the emerging hot-button issue.
Kozakiewicz warned that realtors could face hefty fines if they have not verified the existence of a valid rental occupancy permit, up to $5,000 for repeat violators charged three times or more.
“We’re not as heavy-handed as Southampton but think this is something you should familiarize yourself with,” he told the crowd.
Russell added that in Southold Town, currently, no rental permitting process exists. As the town moves forward with structuring code to address short-term rentals, Russell said a definition of “short term” rental will need to be created.
Community input is critical, Russell said; realtors are asked to lend their voices to the dialogue.
Any proposed legislation on the issue of short-term rentals will be subject to a public hearing.
Greenport Trustee Julia Robins, who attended the breakfast, said the village board is also working to address the issue, having rolled out its new rental code last year, in which rentals of less than 90 days were exempt. The village board has also asked the public to weigh in on the short-term rental issue.
Both Southold Town and the village are watching the state and county closely, to see what decisions are made on that level, Russell said; he added that issues of state tax and hotel occupancy tax are being considered. In recent weeks, many B & B operators have cried foul that homeowners can rent their properties without being subject to the same costs of operation.
“We’re all grappling with this,” Russell said.
Meanwhile, also discussed was the new Suffolk County bill, which has been said by supporters to be a win for human rights in Suffolk County. The legislation provides residents with protection from discrimination in the housing arena, and benefits veterans, immigrants, minorities, single mothers with children, and seniors.
But the law has left many realtors with questions, especially concerning how to handle rentals when realtors are no longer allowed to ask about employment or income.
The question to ask, said LIBOR’s Mary Alice Ruppert, is “Do you have adequate resources?” to pay for a rental.
Krupski said the law was passed unanimously, and no one spoke out against it at the time. “If you have a problem, come to me and I can file for an amendment,” he said, adding that the county legislation mirrors state law. No outreach was done to those in the real estate industry, he said, leading to “unintended consequences.”
