ITEM TITLE:
Discussion of Allowance of AirBnB’s/VRBO’s in Harbor
SUBMITTED BY: Sarah Von Bargen - Harbormaster
FISCAL NOTES:
Expenditure Required: N/A
Unencumbered Balance: N/A
Funding Source: N/A
RECOMMENDATION:
Discuss whether or not the Ports and Harbor Commission is in agreement to allow or disallow AirBnB’s or VRBO’s in the Valdez Harbors.
SUMMARY STATEMENT:
This discussion item is based on whether or not the City should allow air b-n-b’s in the Harbor. This topic has been discussed in the past, but no firm action was ever taken. I am bringing this back as two parties have shown interest in providing this service and operating out of our harbor. I have attached copies of their email propositions to this agenda statement. Currently, the City Code, Section 11.04.250 Commercial Enterprises states:
“A. Commercial businesses, enterprises or activities will not be allowed within the small boat harbor facilities, or from vessels within the small boat harbor. This should not be construed as an absolute prohibition of any type of commercial transaction in the Valdez Small Boat Harbor conducted on an occasional basis, but rather a prohibition of business enterprises locating and operating in the boat harbor. A commercial fishing vessel, charter boat operators, fishing vessels when selling or distributing fish or other products of the sea and water craft rental would not be considered a commercial business enterprise.”
As the code states, it is somewhat vague as to what is allowed on “an occasional basis.” I have reached out to about 4 other harbors in Alaska (some in PWS & others in Southeast) and none of them allow commercial businesses, specifically AirBnB’s or VRBO’s as they feel it is a safety and liability issue.
Previous commissioners have been on the fence to allow this, as it is promoting additional business here in Valdez, where others have felt the same about it being a safety/liability issue.
Title 17 Zoning Ordinance, that recently passed through Community Development, specifically left all Harbor related facilities out for us to manage this type of business internally through our department. After reading the two proposals, I would like to discuss and hear your thoughts on this topic.
Whether the recommendations is to allow or disallow, we would need to make a special amendment to our section of the Code. The changes would need to be specifically lined out approved parameters if allowed. If not, that would also need to be specifically lined out that AirBnB’s/VRBO’s do not qualify under our Commercial Businesses, Enterprises or Activities.
If allowed, we would also need to discuss what kind of fee would be applicable above the regular moorage fees. Currently vendors operating a commercial business out of our uplands pay an annual fee of $500.00. They would also be responsible for Bed Tax reporting through the City.
One post found online stated that “the marina kept the AirBnB’s away from the liveaboards and charged 3x the price for monthly slip fees.”