City Council overturns Planning Commission ruling on VHR permit

SOUTH LAKE TAHOE, Calif. - During Tuesday's City Council meeting, one vacation home rental (VHR) owner lost their permit to operate in South Lake Tahoe after the Tahoe Neighborhoods Group appealed a decision by the Planning Commission.

On March 14, the commission decided to overturn City staff's revocation of VHR permit ##005258 located at 797 San Jose Avenue, Unit B. Staff had revoked the permit in January when the owner of the home, Susan Porter of San Ramon, didn't meet the deadline for renewing her permit or paying the required transient occupancy tax (TOT).

The Planning Commission considered the testimony of Porter, who indicated that the renewal application and payment was mailed prior to the deadline but was apparently not received by City staff, and overturned City staff's revocation of the VHR permit.

The Tahoe Neighborhoods Group filed an appeal of that decision, bringing the matter before the City Council on May 7, 2019.

Porter has been a permit holder since 2011 after her family built the home in 2010. There have never been any issues with noise or other complaints, and Porter said she is very careful about who she rents to, and a responsible VHR owner.

"We have been good neighbors, spend locally, eat locally, and have great affection for this area," said Porter during the hearing. "This rental is not used often, we do not advertise, always clear with those renting, very selective, have had no issues, all in consideration of neighbors."

The group acknowledged this but said their appeal was about the rules of the VHR ordinance which requires all payments be on time. They said the commission should have never given her the permit back at their March meeting.

"This in no way reflects on her character, just her inability to follow City VHR ordinance," said Diane Reese, spokesperson for the group. "She is required by law to comply with all components of the permit renewal."

Porter said she tried the new online system the City has to take care of the payments, but couldn't get it to work so mailed in the check. There have been others who have complained about the new system as well.

Councilman Devin Middlebrook asked Porter if she would be renting out the home if she didn't get the permit. She said no, that she uses the home for overflow accommodations when they have family and friends up to South Lake Tahoe. Porter owns the other half of the multi-level duplex.

"This is tough," said Councilman Jason Collins. "This is the type of VHR property we want. I also champion the efforts of being very strict in following the rules, putting the burden on the homeowners and property managers and not on city staff."

Mayor Brooke Lane echoed those sentiments and said the City had wanted "bright lines and no gray areas" when creating the ordinance.

The Tahoe Neighborhoods Group said there were three other decisions made by the Planning Commission that same day that they find controversial. All gave permits back to VHR owners who missed deadlines.

The group paid $325 to raise the formal objection and get a hearing before the Council. They wanted to appeal the other three but didn't have time to raise the money needed to challenge all of them.

After a unanimous vote, the Council overturned the Planning Commission's decision and revoked Porter's permit.

Porter said there was another VHR on er street isn’t following the rules, and is a problem for neighbors.

"I would think that is more important than my check not getting here in time," she said. "Enforce all rules, not just some."