Snowmass revisits short-term rental policy

Snowmass is considering adding fees and increase restrictions on short-term rentals of single-family homes.

The town currently requires landlords leasing short-term rentals, defined as rental periods under 30 days long, to purchase a $300 short-term permit and an $85 business license once per year, but imposes few other restrictions on landlords wishing to engage in a short-term lease. Snowmass Town Council discussed in a Monday meeting whether imposing a fee would encourage landlords leasing single-family homes to short-term renters to switch to long-term tenants. 

“I’m most interested in trying to figure out how we could bring back some of the long-term leases where local people lived and were able to pay the rent,” Town Council Member Susan Marolt said of her priorities. 

There are currently 126 active short-term rental permits for single-family homes or duplexes in Snowmass, constituting about 12% of the town’s roughly 1,000 single-family homes, according to town staff. Including hotels, condos, duplexes, and single-family units, there are 1,698 short-term rental permits in Snowmass, constituting 42.25% of Snowmass’ total residential units.

Town staff estimated that the 126 short-term rental permits for single-family homes and duplexes rent about 4,000 nights per year — which equates to about 33 nights per permit.

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To impose a fee, town staff would first conduct a study analyzing the number of employees — like caretakers — that short-term rentals in Snowmass generate, explained Town Attorney Jeff Conklin. The study would then compare the median price of a home in Snowmass to the price of a home affordable to a short-term rental employee, which the town would use to determine a fee.

Communities around the state have imposed fees on short-term rentals ranging from $100 to $750 annually, with some including a fee per bedroom in the rental, according to the Colorado Association of Ski Towns’ data collected from 40 Colorado communities.

Town Manager Clint Kinney said funds from a fee could be reinvested into the town’s housing stock, either by subsidizing free market housing to incentivize short-term rental owners to convert their buildings to long-term rentals or by investing in new construction of affordable housing.

But Kinney added the decision will depend on the size of the fee the town selects, if they choose to impose a fee at all. 

“There’s lots of decisions to be made before you figure out how to spend it,” he said.

Sara Nester, Snowmass’ Community Development Code compliance manager who enforces the town’s short-term rental regulations, asked council to revise its short-term rental code so permits have a common expiration date. 

“I think having a common expiration date would just be a lot cleaner and easier for everyone,” she said. 

She also requested that the town update its code to help prevent landlords without a short-term rental permit from listing their property on online platforms. If landlords do so right now, Nester said it is difficult for the town to get the listing taken down.

“There would be no way for us to remove the listing,” she said. “I would just have to get in touch with the owner of the property and try my hardest to get them into compliance and take the steps necessary to get there.”

With the change, town staff could notify the platform and get the listing removed. 

Council directed staff to pursue the changes requested by Nester and to investigate how the town could reinvest funds from a fee, should they decide to implement one based on the proposed study.

Skyler Stark-Ragsdale can be reached at 970-429-9152 or email him at sstark-ragsdale@aspentimes.com.