Unfair Competition with Hotels, Motels, B&B’s and other Licensed Lodging

Below is a text of the letter sent by the Monterey County Hospitality Association as Comments to the Planning Commission Draft ORdinance.  Following that is an excerpt from “To be or AirBnb.”

Monterey County Hospitality Association (MCHA) Short Term Rental Policy

Tuesday, October 17, 2017 8:50:57 AM STR OCT 10.docx


The Monterey County Hospitality Association opposes Short Term Rentals (STRs) in Monterey County’s Cities and unincorporated areas due to the negative impact it will have on the following:

  • ·  Protection of community character, particularly single family residential neighborhoods
  • ·  Impacts on the limited housing stock, especially for medium to low income and

workforce housing

  • ·  Areas of limited resources and constrained infrastructure
  • ·  Other visitor serving accommodations and commercial STRs rentals

MCHA believes:

    1. There should be accommodation for limited use in unincorporated areas of Monterey County where the owner manages the STR unit(s). We recommend that these STRs can be rented for up to 4 weeks per year. Regulations for such use should address neighborhood compatibility and impacts, security, minimum length of stay, number of occupants and other lodging regulations.
    2. Recognize that residences, which are used as STRs for more than 4 weeks per year or are professionally marketed and managed as STRs, need to be regulated as a commercial use. As such, these units should be subject to the same governmental regulations regarding physical improvement (ADA access, fire safety, parking, commercial food preparation/service, waste management, etc.) which is required for lodging, event venues, restaurants and other like visitor servicing businesses.
    3. That some areas of Monterey County and Cities have significant resource constraints, particularly water, parking and traffic/circulation, and the impact the conversion of residences to STRs will have on those resources needs to be recognized and addressed.
    4. That some areas of the County are remote, have very limited access, are constrained by water supply and road limitations, have minimal public services, emergency services and safety issues, particularly fire hazards. Those areas are not suitable for commercial STRs.
    5. Enforcement of all state and local regulations, including collection of Transient Occupancy Taxes and similar fees (business licenses, operating permits, etc.) has to be an integral part of the program. Designated staffing and long-term funding are expected to be allocated for STR enforcement.

The shortage of affordable housing throughout Monterey County is a well-known fact. A significant number of the County’s and City’s residents work multiple jobs and travel great distances from their homes to their workplaces. The loss of housing to STRs presents a further threat to the County’s workforce, the hospitality industry and the County’s economy as a whole.

Approved by MCHA BOD on October 10, 2017


From To be or AirBnB; Voices of Monterey Bay, by Joe Livernois, 12/7/17

Second, unregulated vacation rentals deprive cities and the county of revenue they receive in bed taxes, creating unfair competition on folks who play by the rules.

What’s more, representatives from the local hospitality industry say operators of unregulated short-term rentals have an unfair advantage over hotels, motels and legitimate bed-and-breakfast operations that have to obtain appropriate licenses and pay bed taxes

. . .

But Gary Cursio, who represents the Monterey County Hospitality Industry, said the Airbnb-type operators are taking workforce housing out of the market. And he complained the hotels, motels and restaurants he represents are unfairly disadvantaged because STR operators aren’t required to comply with the Americans with Disabilities Act or commercial food preparation guidelines.

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