In the last few weeks MSRPO has gotten a flood of calls from
people who received letters from the Deparment of Health. If you
received a letter from the Minnesota Department of Health that
states, in part,
"MN Law (MN Statutes 157) requires that rental
properties providing sleeping accommodations
to the public for periods of less than one week be licensed and
inspected to ensure the safety and health of renters.
This state license is required regardless of any license or
approval received frorn the local city ortownship," or if you have
ever rented, or thought of renting your cabin to help make ends
meet, then read on.
MN Statutes 157 is actually the definition of a hotel or motel
under current law. The Department of Health brought forward
legislation last session that contained sweeping definition
changes, and attempted to put any cabin rented for even one night,
under the same regulations and licensing requirements as a hotel.
It was tabled in committee and never received a vote. This is the
second year such draconian legislation has been put forward.
Treating and regulating a single family dwelling or cabin as a
Hilton hotel defies logic and reasonableness.
In response to Health and Safety claims, we must ask, if our
cabins our safe for our families, why would they not be safe for
someone else's family. Cabins are vastly different than hotels in
use - it is not like a car pulls up to a cabin and asks to rent a
room for the night. And cabins and hotels do occupy the same
market; some people prefer the experience a private residence or
rustic remote cabin offers them.
Where was the Department of Health when people were renting out
their homes for the political party convention in St. Paul 2 years
ago. There was mention of health and safety then. People were just
genuinely happy with the influx of tourists spending money in
Minnesota.
Will the health department be hiring "cabin cops" to go after
people who rent out their cabins, and will the counties and local
governments be on the hook to pay for this added layer of
bureaucracy ? People have been renting out their cabins and hunting
shacks in Minnesota for 200 years without incident - why is it an
issue now?
Why Is It an Issue Now?
A lot of people are frustrated with this economy. Cabin owners
are certainly frustrated with escalating property taxes. And some
people are renting out their cabins now because of those bills.
Resorts are struggling as well and we sympathize with them. But
regulating something out of existence isn't going to solve the
wider problems of a poor economy.
The state is also short on money and we just hope that the state
isn't trying to balance its budget through fees and regulations.
All income, property and sales taxes apply to occasional rentals -
the definition does nothing to change that. and sales taxes are
still due
What About My Neighbor Renting to Rowdies?
The Department of Health definition would in no way impact who
an owner could rent to. In fact, in order to pay all of the fees,
owners may be more liberal in who the choose to let rent their
properties. Noise complaints should be taken to the local police -
people are paying for this with property taxes. And owners who are
repeat offenders can be taken to court and forced to be more
responsible - the Department of Health legislation would have no
impact on bad neighbors.
Unfortunately we can't legislate civility or decency.
What has driven this Issue?
The economy and the internet mostly. Craigslist, VRBO.com and
others. This has really be happening since people started putting
cabins on lakes. To classify it as a new phenomenon isnt really
accurate.
What is the solution?
MSRPO is working with the Minnesota Vacation
Rental Association (MNVRA). Early investigation indicates that the
Department of Health is over-reaching. We can see the need for some
definition that accurately reflects the cabin or hunting shack
rental in Minnesota, and differentiates it from a hotel or motel,
and stand willing to work towards creating such a definition. The
regulations and fees should be reasonable and appropriate for the
diverse and often rustic and charming nature of the many cabins or
recreational properties in Minnesota.
If you are not an MSRPO member, but have ever rented, or
considered renting your cabin for even one night, join us. This
issue will be front and center next session, and the monied
interests who would like to shut all cabin rentals out of the
market are working overtime to accomplish their goals. We need
money for legal counsel, for lobbying representation, for
communication. But mostly we need your voice, and your energy in
writing letters or emails regarding this important issue.
