LEXINGTON, Ky. (WKYT) - An Airbnb lobbyist sat before the Interim Joint Committee on Local Government Tuesday, pushing for new legislation in the upcoming General Assembly.
The short-term rental company introduced two bills: one that would hinder local governments' ability to regulate the rentals and another to give the tenants the right to rent out spaces with their landlord's permission.
Jason Underwood began by detailing how short-term renters affected Kentucky in just the past year.
"They paid about $14 million in local taxes, so the overall impact is about $606 million - that is just for this platform," said Underwood.
He also noted how the rentals support other industries in the state.
"Short-term rentals are critical to the Kentucky Bourbon Trail," Underwood said. "Those who want to stay closer to the trail don't have a lot of options."
So, Underwood intends to work with lawmakers on a bill to ban conditional use permits, something that Lexington, Louisville and Frankfort use to regulate un-hosted short-term rentals.
"Conditional use permits are a zoning tool used by localities generally for gentlemen's clubs, bars, gas stations, cigar shops," said Underwood, alluding to things which wouldn't be desirable in a residential neighborhood. "But they are being increasingly used on people's private residences."
Underwood says the zoning regulations create obstacles for people who want to rent out properties, stifling growth. But opponents we spoke with say it's not right for these un-hosted rentals to be run like businesses in residential areas.
"For years, it's been a very mixed-use community, but those businesses tended to benefit the neighborhood," said Kaye Myers, who lives in Lexington's Kenwick neighborhood. "STRs benefit someone out of town or out of state who has no vested interest."
Myers and other members of the neighborhood say the rentals have become far too prevalent, noting there are 41 properties between Kenwick and the nearby Mentelle neighborhood. They say it's driving up prices and leaving their streets feeling more empty.
"The houses that were $100 or $200,000 are now five to $700,000,'' said Tomi Ross, another Kenwick resident.
While the legislation is some distance from being realized, locals worry what losing those local guardrails could do.
"We are rapidly removing a wide spectrum of housing, including affordable units," Myers said.
"We need to think about the people living in our cities before we think about the tourists visiting our cities," Ross said.
The city of Richmond looked at its own ordinances around short-term rentals at a commission meeting Tuesday night. They are considering amendments to zoning regulations, along with adding registration and renewal fees for the rentals.