Bayonne is weighing implementing a 3 percent tax on short-term rentals in preparation for a surge in bookings expected in the coming months amid the FIFA World Cup this summer.
By Dan Israel/Hudson County View
The Bayonne City Council is set to introduce that ordinance and another further regulating short-term rentals at tonight’s meeting. The World Cup final is set to take place at MetLife Stadium, temporarily renamed New York New Jersey Stadium, on July 19th.
Goya-sponsored “Flag City” events are set to be held in Jersey City, Newark, and Secaucus, along with some Bergen County locations during the World Cup.
“The upcoming soccer tournament is going to bring a lot of people in,” Councilman at-Large a Loyad Booker, a mayoral candidate, said at last week’s caucus.
Planning, Zoning, and Development Director Joe Skillender explained that the city can implement a three percent municipal occupancy tax on short-term rentals under a new state law signed by former Gov. Phil Murphy (D) last year.
“With the World Cup coming up, there’s a statute that permits municipalities to charge 3 percent tax on an Airbnb. That’s what we’re looking to do here” he explained.
According to Skillender, the purpose of the second ordinance would be to notify residents when a landlord applies to make their property a short-term rental through an online application like Airbnb or Vrbo.
He also said that, much like a planning or zoning board application, when a landlord applies to become a short-term rental, they will have to notify all residents within 200 feet.
Council President Gary La Pelusa questioned if residents have any opportunities to voice their opinions, to which Skillender said there would not be.
He said this is adding a neighborhood notification into the application process before any short-term rental is approved.
“This helps us out by directing notice to the property owners,” Skillender added.
1st Ward Councilman Neil Carroll contended that residents will come to the City Council to voice their concerns regardless.
He supported the idea, but was hesitant until it was clear what information would be provided on the notification letter, such as the contact information of the landlord, among other things.
“This is now giving an additional notification to the neighborhood as to the property that the landlord intends to use it as a short-term rental,” Skillender said.
“This is going to put the neighborhood all on notice that here are the numbers to call, this is the property owner, call them directly.”
Responding to La Pelusa, Skillender confirmed that fines for violations of municipal ordinances regulating short-term rentals was $1,250 per violation.
La Pelusa suggested they add a list of what constitutes a violation and the associated penalties, and Carroll wanted the requirements landlords have to meet to for their properties to become short-term rentals on the letter.
“You’re the head of zoning, so you’re aware of some of the issues that we’re having. I understand why this is being put in place, I just want to make sure it addresses everything,” La Pelusa noted.
“I’m asking that on the letter, to head off the enormous numbers of calls we’re going to get, be included the requirements they had to meet in order to become an Airbnb,” Carroll added.
Skillender confirmed to Carroll that the city maintains a list of addresses of applicants and approvals for these rentals, provided to both the Bayonne Police Department and throughout City Hall.
“We are seeing some complaints and we’re trying to invest in the best way we can,” said Chief Financial Officer Donna Mauer.
Councilman at-Large Juan Perez praised the efforts, denoting the calls he has already gotten from residents complaining.
La Pelusa and Booker noted that the entire council and the BPD have also received phone calls complaining, to which Skillender said that everyone else at City Hall is as well.
“I’m glad that we’re taking this very seriously, because I’m the one that gets the phone calls from the constituents and complaining about guys renting and gawking at their daughters and making all sorts of comments,” Perez expressed.
“And I receive these phone calls constantly.”
According to Skillender, this is the city modernizing to meet modern demands.
While nearby municipalities such as North Bergen have sought to regulate short-term rentals ahead of the World Cup Finals, other Hudson County municipalities have banned them such as Kearny, or already have prohibited them – like Weehawken.
“The law does not keep up with technology. Airbnb was here before we enacted it, and we regulated it. There were no rules on there, now there are. Now there’s going to be more rules on the books making sure that the neighbors are notified,” Skillender explained.
The Bayonne City Council will convene tonight at City Hall, located at 630 Avenue A, for a regular session tonight at 6 p.m.
