Planning Commission says no to a bill limiting short-term rentals in RSA-5 neighborhoods

The City Planning Commission has recommended against a bill that would make it harder for homeowners in Philadelphia's RSA-5 residential zoning to rent out their homes short-term. It was the only one of 15 recent zoning bills the commission marked "not for approval," according to a letter the mayor's office sent Council on Oct. 20.

If you rent out your home, or a room in it, for short stays, the rule in this bill would change what you need before you can do it. The bill remains in committee and hasn't had a hearing.

What the bill does

Bill 260700, from 5th District Councilmember Jeffery Young Jr., is one paragraph long. It would require special exception approval from the Zoning Board of Adjustment for "limited lodging" in the RSA-5 district (bill text). It would take effect 60 days after becoming law.

Limited lodging is the zoning term for renting out your primary residence, or a room in it, for 30 consecutive days or less, according to the city's license page. Hosts already need a Limited Lodging Operator License and a zoning permit. In the 10th District, hosts must also own the property, the page says.

A special exception requires approval from the zoning board after a hearing. Under the bill, a host in an RSA-5 area would need one before using a home for limited lodging. The bill applies citywide wherever land is zoned RSA-5, not only in the 5th District.

What the commission said

The commission's recommendations reached Council as Communication 260887, a letter from Mayor Cherelle L. Parker under Sections 4-604 and 2-307 of the Home Rule Charter. It was read at the Oct. 22 session. The letter:

• lists 15 bills the commission reviewed, and marks only Bill 260700 "not for approval";
• says the commission voted to extend its review of Bill 260689, Majority Leader Katherine Gilmore Richardson's heritage tree bill, by 45 days;
• acknowledges that the letter was sent "more than 30 days past introduction."

The letter doesn't give the commission's reasons. The other bills it lists include the 8th and 10th District overlay changes, which cleared the Rules Committee Tuesday. Our story on those bills.

What our records add

• Introduced: Sept. 17, referred to the Committee on Rules. That's 41 days ago.
• No hearing yet. Bill 260700 wasn't on the committee's Oct. 27 agenda, and it isn't on the Nov. 17 agenda, which includes two other Young bills.
• Sole sponsor: Young. No co-sponsors are listed.

The background on short-term rentals

Short-term rentals were a budget fight this spring. Mayor Parker proposed raising the tax on short-term rentals like Airbnb and Vrbo from 15.5% to 21.5% while raising the hotel rate much less, Axios reported. Council rejected the short-term rental tax, along with a proposed tax on ride-hailing trips, as it passed the $7.1 billion budget, the Inquirer reported.

What's next

For the bill to move, the Rules Committee would have to schedule a hearing, where the public can testify and the bill can be amended. Future Rules Committee hearings will appear on our meetings calendar.