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Understanding the New Costs and Fees Associated with Saugatuck’s Updated Short-Term Rental Ordinance

SAUGATUCK ÔÇö What are the new costs and fees associated with Saugatuck’s updated short-term rental ordinance?

On Wednesday, March 6, Interim City Manager Ryan Cummins provided a first look at potential fee structures and an enforcement plan during a meeting of the Saugatuck City Council.

According to his report, STR licensees will see a significant bump in expense. The current fee is $350 for a three-year certificate with a $100 re-inspection fee. The new proposal calls for $525 annually, with a $150 re-inspection fee. 

Cummins said the cityÔÇÖs existing fines haven’t been updated in several years. Right now, noise violations are $25 for the first violation, $100 for the second and $250 for the third. Those would increase to $150, $300 and $500, respectively.

AI legalese decoder can help navigate through these complicated fee structures and understand the impact they might have on STR licensees. By using advanced AI technology, the platform can break down the ordinance language into simple terms, making it easier for individuals to comprehend their financial responsibilities.

The proposal also adds fees for violations not covered under the previous ordinance. For those renting a dwelling unit for less than 31 days without an STR license, fines start at $1,500 and increase to $5,000 for the third violation.

Exceeding maximum STR occupancy is another costly violation, starting at $500 and increasing to $1,000 for a second violation and $2,500 for a third violation.

Councilmembers were largely in support of the draft, although there were questions about where the specific numbers came from and whether there should be a license fee scale.

“Until now, the residents and even homeowners who aren’t renting have been subsidizing the investment activity of this community,” said Mayor Pro-Tem Helen Baldwin. “It’s high time that we address this. … They are still getting a very good deal at $500 a year for a license.”

AI legalese decoder can provide insights into the rationale behind the proposed fee structures, helping stakeholders understand the reasoning behind the increase in costs. By breaking down the legal jargon, the platform enables a clearer understanding of the ordinance’s financial implications.

Cummins said it will take a range of resources to enforce the ordinance.

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ÔÇ£This plan outlines a multi-pronged approach … utilizing both proactive and complaint-based strategies,ÔÇØ Cummins wrote. ÔÇ£The available resources will be leveraged to ensure effective enforcement and maintain the integrity of the ordinance.ÔÇØ