Union County Bulletin: County Leaders Move to Tighten Rules on Short-Term Rentals Amid Housing Concerns

The Union County Board of Commissioners held a workshop this week to examine new regulations for short-term rentals, as rising property values and inventory shortages strain the local housing market. County staff presented data showing a spike in non-owner-occupied rentals in several neighborhoods, prompting calls for stricter oversight. The discussion reflects a broader national debate about balancing tourism revenue with the need for stable, affordable housing for residents.

The workshop, held in the county administration building, drew a mix of year-round residents, short-term rental operators, and housing advocates. Commissioners heard from staff about preliminary findings from a recently completed survey of rental properties. Many attendees cited concerns about noise, parking, and the long-term availability of modest housing in popular areas. At the same time, some property owners argued that short-term rentals provide critical income, especially in areas with seasonal tourism.

Union County has seen steady population growth over the past decade, with many newcomers attracted by its proximity to urban centers and outdoor recreation. This growth has increased demand for both long-term and short-term housing. In response, the county has updated its comprehensive plan and zoning maps several times since 2020. The current review of short-term rental rules is one part of that ongoing effort to align development with community needs.

Staff outlined several options during the workshop, ranging from maintaining the existing rules to implementing new permit requirements and occupancy limits. One proposal would limit short-term rentals to certain zones, effectively restricting them in many single-family neighborhoods. Another option would cap the number of consecutive days a property can be rented without a primary owner present. A third approach would focus on enforcement of existing rules, which some critics say have been unevenly applied.

According to county data presented at the workshop, the number of active short-term rental listings in the county has grown by nearly 50 percent since 2021. Much of this growth has occurred in multifamily buildings and in areas close to major highways and attractions. In some census tracts, more than one in four housing units are listed on short-term rental platforms at some point during the year. This trend has raised concerns among housing advocates who argue that long-term rental units are being converted to short-term use.

"From our perspective, the issue is not short-term rentals themselves, but the impact they have on the availability and affordability of housing," said Maria Lopez, a housing policy analyst with the Union County Housing Coalition. "When a property can generate three times the income from short-term stays compared to a long-term lease, it becomes hard for landlords to justify renewing a lease at an affordable rate." Lopez added that her organization supports a licensing system that collects data on where and how often rentals are used.

The county staff noted in its presentation that enforcement has been a challenge under the current system. Permits are required for short-term rentals, but compliance rates vary widely across the county. Some areas have active permit programs, while others have seen little outreach. Inspectors have limited tools to verify whether a listing is actually being used in accordance with its permit status. The staff recommended increasing staffing for the county’s short-term rental program and expanding the use of online reporting tools for neighbors.

Commissioner James Rivera, who represents a district with several popular short-term rental clusters, said residents have been vocal about their concerns. "We hear from people who are being disrupted by constant turnover, noise, and traffic," Rivera said. "At the same time, we don’t want to shut down a legitimate source of income for property owners, especially in rural areas where options can be limited." Rivera added that any new rules would need to be carefully crafted to avoid unintended consequences for small businesses.

The workshop included a brief overview of how other counties in the region handle short-term rentals. Some municipalities have adopted strict caps on licenses, while others have created tiered systems based on property size and location. In one neighboring county, hosts must undergo a safety inspection and carry liability insurance above a set minimum. That county also allows local governments to opt out of short-term rentals in certain zones through a process known as "opt-out zoning."

Among the options under consideration by Union County is a proposal to create separate rules for entire-home rentals and room-only rentals. Entire-home rentals, where the host removes the property from the platform for an extended period, are seen as having a greater impact on the long-term housing supply. Room-only rentals, where the host remains on the property, are generally considered to have less impact on housing availability. Staff suggested that entire-home rentals could face stricter limits, including shorter maximum rental periods and more rigorous permitting.

Another key point of discussion was the potential effect on tourism-dependent businesses. Hotel associations and restaurant owners noted that short-term rentals can provide additional lodging options during peak seasons. However, they also pointed out that short-term rentals do not pay hotel taxes, which fund marketing and infrastructure projects that benefit visitors. Several speakers suggested that any new rules should explore ways to capture a portion of short-term rental revenue for tourism promotion and infrastructure.

Community members offered a range of perspectives during the public comment portion of the workshop. Long-term renters described difficulty finding stable housing in neighborhoods where units are frequently pulled off the market for short-term use. Short-term rental hosts emphasized the flexibility that this business model provides, particularly for retirees and small-business owners. Housing advocates focused on the need for more enforcement resources and data collection.

Staff will now compile the feedback from the workshop and present a more formal set of recommendations to the full board in the coming months. The county will also conduct additional public outreach, including town hall meetings in different parts of Union County. According to the county’s planning director, Jennifer Kim, the goal is to update the short-term rental ordinance by the end of the year. "We want to make sure that the rules we put in place reflect the priorities of the whole community and are enforceable with the resources we have," Kim said.

The next steps will include staff analysis of the options discussed, potential revisions to the draft ordinance, and another public hearing before a final vote. County staff will also review whether existing rules are being applied consistently across different jurisdictions within the county. For residents and property owners alike, the coming months will likely bring changes that could shape the character of neighborhoods and the local economy for years to come.