The first reading of an ordinance for the city to establish an annual short-term rental permit turned into a lengthy discussion about housing needs during the Polson City Commission meeting on Wednesday, Sept. 9. 

The ordinance aims to create a short-term vacation rental permit within the city limits. Community Development Director Rob Public Edington presented the item to the commission and explained that the permit is a “simple annual verification” permit focused on public health, life safety, emergency contact information and tracking. 

This permit does not establish caps, spacing requirements, owner-occupancy rules or discretionary land-use approval. Under state law, “tourist homes” are defined as private homes or condominiums not occupied by an owner or manager and rented to short-term guests daily or weekly. 

These homes have an annual license from the Montana Public Health & Human Services Department, and Lake County Environmental Health performs local plan reviews and inspections. However, the city lacks an annual process for whole-home rentals, state license verification or emergency contacts. 

The city’s application for this permit would include the location, owner/responsible party, listing address and state license. The owner would also certify smoke alarms, safe egress, visible address, sanitation and guest emergency information when needed. 

The city would verify submitted documents and rely on the state and county for review and inspections under state law. 

Edington explained that they could add inspections in the future if they wanted, but they don’t currently have the staff to support that. The proposed fee for this application is $50. 

However, Commissioner Carolyn Pardini said this fee was “ridiculously low,” but Edington explained it's just a starting point. He noted that once they have a better idea of how many properties there are and how much work it will take, they can readjust the fee. 

Pardini noted these short-term rentals have a significant impact on neighbors, and that this is a reason they should consider this an opportunity to “almost be a revenue generating” thing because the police have to visit more often. 

“We really would like to look at that fee schedule critically and see and make sure that all of our costs are covered, not just yours,” she said. “I mean, it's going to take you more than an hour to do one of these, and that's 50 bucks.”

City Attorney Dave Michie explained that they aren’t trying to aggressively increase fees or permits, but that this fee is just a starting place. 

Commissioner Tracie McDonald said she believes this is a great starting point. She noted that tourists may not be aware of fire regulations or be familiar with Montana’s wildlife, and she believes connecting with these owners could allow the city to share information to keep the public safe. 

The commission asked whether Edington knew how many short-term rentals there were within city limits. Edington said he was unsure, but about five years ago, there were about 600 across the entire county. 

While commissioners had questions about occupants and how to communicate with them, Michie explained that the purpose of the permit is to ensure owners comply with state law. 

“We're not trying to control Airbnb's or how you use your property,” Michie said. 

McDonald noted that she would like to see the data the city can collect on the number of short-term rentals, and she would like to know how it impacts the city’s housing shortage. Commissioner Jake Holley agreed with McDonald and said he believes alternatives and policy considerations could address land use control and zoning. 

He noted that he would like to see more of that in this ordinance, but he understands this is just to establish a baseline. 

However, Commissioner Lori Schrader-Young disagreed and said she doesn’t always know who is next door in a short-term rental, but she appreciates people's right to control their own property.

Michie explained that land-use discussions would require workshops and county planning, and then, procedurally, they can present those ideas to the commission. But this permit only ensures the owner complies with state law. 

The first reading passed, with Pardini and Schrader-Young voting against it.

During the meeting, the commission also approved Wendy Kinsolving's appointment to the City-County Planning Board. 

City recognizes public works director’s 30 years of service

The commission also took a moment to recognize Public Works Director Ashley Walker for his 30 years of service to the city. Multiple previous city employees had the opportunity to speak about Walker during the meeting. 

John Campbell, who worked for the city for 26 years and hired Walker, said, “You guys should be proud to have an employee like this.” 

He noted that he and Walker have great stories from working together for years, but he brought some “conservative” numbers to share with the commission. 

“This man has been involved in treating over 500 billion gallons of wastewater,” he said. “That’s not to mention the drinking water, which is much higher. 

Along with the billions of gallons of water Walker has helped clean, Campbell also told a story about Walker going eight feet down into a manhole to find a diamond necklace and earrings. 

After the stories about Walker’s years of service, Mayor Laura Dever gave Walker a letter from Governor Gianforte to thank him for his 30 years.