Vacation Home Rental Update

Douglas County Vacation Home Rental Update
Posted on 10/25/2023
Douglas County Vacation Home Rental Update

Stateline, NV – During the October 19, 2023 Douglas County Board of County Commissioners meeting—held at the Tahoe Regional Planning Agency offices in Stateline—the Board heard and discussed items related to Vacation Home Rentals (VHRs). Agenda items included the anticipated financial effect of a local initiative petition related to Douglas County's VHR regulations.

ABOUT THE PETITION

In August 2023, five voters in Douglas County commenced an initiative petition to alter the areas where VHRs may be located.

Currently, no VHRs are permitted in the East Fork Township (Carson Valley). If passed, VHRs would be permitted in both the Tahoe and East Fork Townships, but they would be restricted to mixed-use and commercially zoned areas only. VHRs in mixed-use and commercial zones would still be subject to the restrictions that currently exist for VHRs in the Tahoe Township.

Additional information regarding the initiative petition can be found at douglascountynv.gov/vhrpetition

THE CURRENT CODE

Chapter 20.622 of the Douglas County Code (the VHR Regulations) governs VHRs in Douglas County. The VHR Regulations currently authorize a limited number of VHRs in the Tahoe Township, subject to numerous restrictions, and prohibit VHRs in the East Fork Township (Carson Valley).

For a list of Douglas County VHR quick facts, click here. For more information on Douglas County VHRs, click here.

RESULTS OF THE BOARD MEETING

In order to comply with Nevada Revised Statute 295.095(4), the Board of County Commissioners was required to determine whether the initiative may have an anticipated financial effect on Douglas County if the initiative is approved by the voters. If a determination of financial impact was made, the Board was then required to prepare a description of the anticipated financial effect.

During the October 19, 2023 meeting, the Board voted 3-2 that the initiative petition, if passed, may have an anticipated financial effect related to Douglas County's Vacation Home Rental regulations. In addition, the Board voted to move to adopt the description of the anticipated financial effect prepared by County staff as follows: Net lost revenue from VHR permitting fees: $811,865. Net lost revenue from Transient Occupancy Tax (TOT) collections: $1,294,678. Total lost revenue: $2,106,543.

Public agencies are expected to be impacted as follows: Tahoe Douglas and Lake Tahoe Visitors Authority - Lost revenue from TOT collections: $2,737,593. Carson Valley Visitors Authority - Increased revenue from TOT collections: $112,256.

The meeting agenda can be found here. A recording of the meeting can be found here.