Planning Commission Regular Meeting Meeting

Detailed briefing

Harbor Springs Planning Commission Regular Meeting — February 16, 2023 • The commission focused on short-term rentals (STRs). City Attorney Jim Raymer said a 2021 Michigan Supreme Court ruling shows that STRs can be prohibited under clearly written zoning rules, but whether Harbor Springs’ current code would be interpreted the same way has not been decided by a court. • Staff and counsel outlined a proposed licensing system. STRs in R-1 and AR residential districts would remain capped at a combined 61 licenses, while STRs in other districts would not have that numerical limit. Current license holders who renew by the expiration date would keep their licenses. • Under the proposal, a license that is not renewed would return to an available pool, and new licenses would be offered through a public, first-come-first-served waiting list. Licenses would be issued to property owners, not LLCs or corporations, and would not transfer when a property is sold. • Commissioners flagged wording and scope issues for revision. They said the draft needs to clearly state that a lapsed license—not necessarily the former license holder—goes back into the pool. They also noted that the framework should accurately address B-1, B-2, R-2 and other districts, rather than referring only to the central business district. • Public commenters offered competing views. Some supported limits and further reductions over time to preserve residential neighborhoods; others supported the proposed compromise but urged better communication, online renewal options, and flexibility for prior license holders who said mailed renewals were not received. Staff said City Council, not staff or the Planning Commission, has authority to override the existing 61-license cap. One renewal issue was reported to be on the City Council agenda for Monday. • The commission voted to have the city attorney prepare a formal ordinance incorporating the proposal for review at the next regular meeting. No final STR ordinance or recommendation to City Council was adopted at this meeting. Worth watching: • Whether the formal draft resolves the district definitions, lapsed-license wording, waiting-list procedures, fees, and renewal notice process. • Whether the commission considers future changes such as reducing the cap over time, proximity limits, or other residential-neighborhood protections. • How City Council addresses requests involving missed or unreceived renewal applications under the existing cap. Upcoming: A formal STR ordinance draft is targeted for the Planning Commission’s next regular meeting; City Council was said to have a renewal issue on its Monday agenda. Why it matters: The eventual rules could determine where STRs may operate, how many may be licensed in residential districts, and how licenses are renewed or reassigned.

Agenda items

• 5A · Discussion - Short Term Rentalsdiscussed

No open public follow-ups are linked to this meeting yet.

Related issues

• Short-Term Rentalsdiscussed