A new licensing program for vacation rentals in Astoria, including a cap on the number allowed in the city, is moving forward.
At a meeting Monday, a majority of the Astoria City Council approved the first reading of an amended version of the ordinance. They said it is an attempt to get ahead of a problem other Oregon cities that are popular tourist destinations face: where vacation rentals have multiplied and long-term rental options are scant.
City Councilors Andy Davis, Elisabeth Adams and Vance Lump voted in favor of the ordinance.
They said a goal of the ordinance and the licensing program is to preserve housing stock for residents. They also noted that people who run homestay lodgings in Astoria — AirBnB-type offerings where rooms in someone’s house are available for short-term rental and the owner is required to live onsite — have been operating under a similar program for several years now.
Under the new program, operators of vacation rentals will need to apply for a license, a $500 fee. They will be subject to biennial renewal fees of $150. Licenses are not transferable. A fire, life and safety inspection will also be required.
Among other things, the ordinance outlines criteria for enforcement of the program and caps the number of vacation rentals allowed at 50. Astoria currently has 43 vacation rentals. Overall, vacation rentals and homestay lodging options account for about 8% of all transient lodging on offer in Astoria.
The ordinance also establishes enforcement regulations. Operators who don’t follow the city’s rules could have their license suspended or revoked. The city council amended the ordinance to clarify that this penalty would follow the operator rather than a property.
City Councilor Andrea Mazzarella was excused from Monday’s meeting and did not participate in the vote on the ordinance. She had expressed support for the vacation rental licensing program at previous meetings.
Mayor Sean Fitzpatrick was the sole “no” vote. He said short term rental options bring money to Astoria and help create jobs. He added that he had concerns about the ordinance and felt that, no matter what, a cap was unnecessary and the market would correct itself.
Several people also testified in opposition to the ordinance, including people who operate vacation rentals in Astoria. They argued that the ordinance was trying to address a problem that doesn’t exist.
“Housing has nothing to do with this ordinance,” said Floyd Holcom, a business owner and former Port of Astoria commissioner who operates a vacation rental from his Pier 39 property. “This is impacting small businesses and tonight we haven’t even talked about those impacts.”
He said the ordinance threatens Astoria’s tourist economy and risks driving visitors away from Astoria and to nearby Seaside. He and others argued that more information is needed and the ordinance should be further refined.
Adams pushed back, saying the ordinance has been under discussion for some time. The city’s homestay lodging provisions were adopted in 2019 and the city council has been discussing a program for vacation rentals since early 2024.
All business owners in Astoria have to deal with licenses and fees related to their operations, Adams said, adding that they shouldn’t exclude one group from similar requirements.