OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Broken Arrow Special City Council Work Session on Short-Term Rental Ordinance Amendments - March 3, 2026

Meeting PortalTuesday, March 3, 2026
BodyBroken Arrow, Oklahoma
SessionMeeting Portal
DateTuesday, March 3, 2026
StatusFILED
Video Record

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Transcript — Verbatim
0:36

Is this a sign in meeting?

0:37

Or no?

0:38

It says five o'clock.

0:40

So I wasn't sure.

0:43

Call the broken air special city council meeting to order.

0:46

Roll call.

0:51

Green.

0:52

Here.

0:53

Ford.

0:53

Here.

0:54

Parks.

0:55

Wimpe.

0:56

Here.

0:58

Three preview ordinances.

1:00

Three A consideration discussion and possible preview of ordinance number 3905.

1:04

Amending chapter 7, Article 17.

1:09

Definitions, operating standards, platform duties, owner cap, enforcement, and appendix checklist.

1:14

Jeffard, maybe?

1:15

Yes.

1:16

I am prepared.

1:18

Thank you.

1:19

Just one quick just one point is that a lot of work went into this with Trevor and Chief Arnold.

1:25

And I wanted Trevor to lead this conversation since his order amendments, but the chief's going to be moving in and out to answer questions and discuss what's being proposed.

1:33

Okay.

1:34

And to begin, I thought we had a PowerPoint presentation.

1:37

There it is.

1:38

Ask and you shall receive.

1:41

Excellent.

1:42

So I think these are some items that we can move through basically at your leisure.

1:48

At any time if you have any questions or comments or directions, that's really what this is is a work session to get your input so that we know exactly what you want to do to regulate this this area.

1:59

We have some suggestions from our last preview ordinance, and kind of to bring you up to speed, uh what's happened since then is uh Chief Arnold has met with several uh short-term rental owners, and so we've gotten input from the business community to see how these regulations would impact their day-to-day operations.

2:16

They also had some recommendations on what they thought would make you know some better revisions or changes.

2:22

And we we were in agreement with several of those, and we'll have an opportunity to talk about what those are as we go forward with it.

2:29

Um, originally one of the thoughts I had was to uh just go line by line on all the different changes, but I decided a more efficient approach would be let's like highlight at a uh 30,000 foot level, and then we can kind of drill down on what the recommended changes would be, and then if you wanted to get into details on any of the others, we'll certainly have opportunity to do that.

2:51

So if with that, we'll go ahead and begin.

2:55

So we really wanted to talk a little bit about the current state of the um short-term rentals.

3:01

Uh like I said, we're gonna talk about what some of the changes are uh with the owners.

3:05

Specifically, we're gonna talk about the recommended insurance requirement.

3:09

Um like I said, we're not gonna go the ordinance line by line, but we are gonna talk about that steps.

3:15

Let's do the next slide.

3:17

So let's talk about the current state of affairs.

3:19

So the first thing we need to do is get our our bearings in terms of the definitions.

3:24

So we have three types of short-term rentals uh in our city.

3:28

Um the first type are called STR1s, and those are where the owner resides on the premises, and there's a single family dwelling where there's no more than two guest bedrooms or sleeping rooms are rented.

3:41

So those are the more the less intense uses.

3:44

Um and so as we go through there, we'll see that depending on the use of the residents, that might dictate how intensive the regulations would be.

3:53

So you'll see like some of the regulations that we'll be recommending for a short term short-term rental one, might be less than what we would say for short-term rental two or three.

4:02

Uh we currently have one short-term rental one, I'm sorry, ten short-term rental ones uh in the city.

4:09

The second type we have is a type two.

4:11

We have 61 of those in the city right now, and there's no owner occupancies required, but on on type twos, there's no more than four guest bedrooms that are allowed.

4:22

And then once you get to type three, you get the more intensive use.

4:25

They're more like a um Airbnb, like a like a bed and breakfast or an inn uh more like that, because those are those are no more than eight uh units.

4:36

So you're getting into more of a boarding house type uh unit at that point.

4:41

Um, but what we have found through our investigation is that we we've identified 65 short-term rentals operating without a license because we don't have information from them, we don't know how to categorize them.

4:52

We don't know exactly the number of rooms or if if they're you know owner occupied.

4:57

Um there's yeah, yes, ma'am.

5:00

Question on that.

5:01

So, like, but but you know that there are 65 out there, but we don't have a way of contacting them or well.

5:08

I would have to uh defer uh to Brocky if he has some more information on how we identified the 65 that are operating without a license.

5:15

So, yeah, we've identified them through the BRBO or uh the other short-term rental platforms, and we do send them letters, but currently we have no enforcement mechanism to have them come into compliance.

5:27

So this week's we have no mechanism to have them come into compliance.

5:30

Why would anyone else comply?

5:33

And that's why it's part of what we're talking about.

5:36

Yeah, and towards the end, that's one of the points that we have to talk about is like what can we do to increase uh penalties uh to put some teeth into our ordinance so that we can get compliance and we can talk about some of the challenges that we've been having uh on that area.

5:52

Um we've identified approximately two to three short-term rentals uh coming online every week, and like we mentioned, one of the difficulties that we're having is that a lot of these unlicensed sites are owned by out of out of state owners.

6:07

I've talked to our prosecutor about it, and what what ends up happening is we do the best we can to get good service on the citations, um oftentimes by leaving them on the at the residence, but if they're foreign um domiciled uh people, sometimes they're not even getting these, especially if we don't have their local agent you know on file, which is one of the changes that we've had requested is that you have to have a local known agent that can be responsive uh in a short amount of time.

6:38

And so that's one of the challenges that we'd had, and and then the other thing that we have is um some of the citations will be left at the address, um, and we could we need to uh be more efficient on the prosecution side and getting and requesting our judge uh to follow through with warrants.

6:56

But the again the difficulty is or in failure to appear, uh, but the difficulty is we're not a court of record.

7:03

If the person who owns it is out of state, it's very difficult to get them to comply to come to a non-court of record uh for a code violation, and so that's just one of the limits of our powers uh when we have folks that own these that are that are out of state.

7:22

Um so some of the those are some of the challenges that that we've been we've been facing.

7:26

Unfortunately, I don't have any like bulletproof you know, silver bullet you know, solutions that we can uh you know haul them in front of our judge uh or you you know have fines for them.

7:40

Um it's just difficult because we're trying to exercise power over somebody who's not physically here.

7:46

Um so that those are some of the challenges that that we're facing.

7:50

Um the next area that you asked us to look at was the hotel motel tax on the short-term rentals, and any hotel motel tax has to be passed by a vote of the people.

8:04

Um any tax has to be voted on by the vote by a vote of the people, and that happened um, I think I want to say it was back in 2008, and so we have that codified for the hotel tax in section 22-11 uh for our hotel and motel.

8:22

But the key portion of this tax is how do we define a hotel under our current ordinance?

8:29

Because that's the only entity that we can collect taxes from.

8:33

So the question is is a short-term rental considered a hotel under the definition as it was approved by the citizens.

8:40

And the answer to that is I'm not sure.

8:44

It's vague.

8:45

Um we use some older language in this ordinance, so we have two different sentences.

8:50

The first one is a more restrictive sentence that basically says a hotel basically has has to have five or more rooms to be used for the accommodation, and so that's why we've only been collecting the hotel motel tax on the level three, because those are the only ones that would exceed the five for the definition.

9:08

But we do have a more expansive definition that that it continues on.

9:12

It basically includes any and all other facilities or rooms or sleeping facilities or space are furnished for consideration.

9:20

And so when you hear that, that's a much more broad expansive reading that arguably could cover all short-term rentals because all of them are are accomplishing that.

9:30

But when you look at statutory construction and interpretation, um, it's really would be up to a court, the risk would be a court challenge, and what they would look at is the first sentence uh operative on the second sentence, or are they both standalone?

9:44

Meaning, does the definition of hotel include both everything that has five rooms and all these other catch-alls, or is the second sentence informed by the first one?

10:00

So really our options would be the safest option would be if we're considering increasing the hotel motel tax, or if we want to have this clarified by the people, we would just include the definition of short-term rentals explicitly in the definition because when this was originally passed, that wasn't a thing.

10:12

And so that's why there's a little tension and vagueness there.

10:15

Um if we wanted to take the risk, you know, we certainly could go forward uh with attempting to collect those taxes.

10:22

I think that we'd probably catch a legal challenge, and again, I don't know how a court would interpret that.

10:27

Um so that's kind of where we are in the hotel motel tax, and I think it would require a little bit more investigation on our part uh to determine to make a recommendation to this body.

10:37

So you're saying if we go back to the people like to raise the hotel motel tax at the same time, we can change the definition of the Airbnb so we can get taxes from them.

10:47

Yes, ma'am.

10:48

And so that would change from them paying them to the Airbnb Airbnb system because I think they currently pay taxes too directly to like the Airbnb people or DRBO people, correct?

11:02

And we're supposed to remit those back, or they're supposed to remit them to us.

11:06

Right.

11:07

So my understanding is they're definitely paying the sales tax, but uh only category three is being collected for the hotel motel tax.

11:15

And so if there was a change, as uh counselor Ford uh had asked about, then that would clarify it so that both STR1s and twos would be explicitly defined as being a hotel, and the tax could be collected from them, and then we would we would obtain that.

11:33

And I I would like to see them have to pay the hotel motel tax being on the tourism committee.

11:41

That's very important that money.

11:46

Uh next slide, please.

11:50

So we've talked a little bit about uh the tools that we have with our code enforcement.

11:55

It's basically a code enforcement citations is how we're enforcing our licensing.

12:00

Um, the courtesy notices that Rocky mentioned that are being sent out regularly or not being uh responded to.

12:08

Um we have had a third party monitoring service of host compliance since 2022.

12:14

Um, you know, one of the options that that we could we could look at would be if we did update our short-term rental ordinance, it would be coordinating with some of these uh third-party hosting sites, you know, let them know that there's permitting requirements that you you're hosting folks on here that don't have permits, and we'd like to see you take it down.

12:32

So that would be an alternative means that wouldn't be enforcement against the owners, but it would limit the market that they would have.

12:40

Uh and that may help get compliance because if they're not able to market on the large sites, uh, that might be enough of an incentive for them to go ahead and get get licensed.

12:50

But would the large sites do that?

12:51

Because they would be losing money.

12:53

I don't know the answer to that.

12:54

Okay.

12:54

Yeah, that's a great question.

12:56

Yeah, um, you know, that's one of the things we've been trying to come up with uh alternative solutions, yeah.

13:01

And so that would be yet to be seen because we haven't had those conversations with them.

13:06

Um next slide, please.

13:09

So the whole reason that we're even looking at uh updating or changing our ordinance is because of the increase in the number of police calls for service over the last two years.

13:19

Specifically, uh we've had uh at permitted uh STRs 28 calls for services at unpermitted STRs, uh we've had 30 calls for service, and the top address is is on there 1200 1205 West Quincy Street.

13:34

Uh and then frequent the frequent types of issues that we're having, and and this is why we've addressed them in the updated ordinance uh are the parking issues and the noise disturbance issues.

13:45

And I wanted to invite um Chief Arnold to talk a little bit about what our experience has been in the field and what we've been seeing uh, you know, problem-wise from our officers and why we need to you know tighten up our ordinance to give our officers you know additional tools to address those problems.

14:05

Okay.

14:06

Good evening, Mayor, uh counselors, Mr.

14:09

Spurgeon.

14:09

Thanks, Arnold, Chief of Police.

14:11

Uh, as you know, the slide really does kind of say it all, but the challenges that we've had.

14:15

We mentioned at the last meeting when this first came up, and and Trevor did a fantastic job really of describing how this is really what got all of this started, where we were going to calls primarily where uh an adult was renting the through through one of the platforms, was renting an Airbnb or a short-term rental, uh, and what it was really intended for was a giant party for typically juveniles.

14:39

In several of those instances last summer, we actually did have shots fired, firearm shots fired.

14:45

We would get there find shell casings all over the place, people would have scattered everywhere, and these again are in regular neighborhoods or in the neighborhoods that we all live in.

14:53

And so that's really what originally caught our attention.

15:00

The more I've had the discussion with our officers, these are the best that we could find based on what we know are permanent addresses, which we got that information from community development, and then from our partnership with host compliance.

15:09

Joe got our the information on the ones that have been turned into us from host compliance that are being advertised that aren't.

15:16

So we cross-checked all of those addresses to figure out which ones, which call for service we've had for each one of those.

15:22

Those were just active.

15:23

So we don't know over again, that's a two-year period.

15:26

Could there have been more?

15:27

The other concern that I brought up last time is that we move forward with the opening of the amphitheater.

15:32

We continue to drive more tourism type activities towards Broken Arrow, that these are only going to increase.

15:38

So what typically we had done in the past is once we determined it was a short-term rental, we would turn that information in a code uh our community development.

15:45

But as you've heard, community development lacks really any kind of teeth in their enforcement, not only for the unpermitted, but even on the permitted, there wasn't really a mechanism in place to be able to review their license or their permit to revoke those permits or anything like that.

16:02

And so that's really kind of what what got this started.

16:05

So unlike the like the eight calls on the um on that one address, which is wild that to continue gate calls, or like our parents calling, or like does anything, does the parents get in trouble for renting out a home?

16:20

They can.

16:21

There's certainly laws uh associated with host uh ordinances or laws in place for that those kinds of things.

16:28

However, the parents aren't normally there, right?

16:31

And without access to the hosting platform or to the owner, we have no idea who actually rented the place.

16:37

Um so that's a challenge for us as well.

16:40

Okay.

16:40

When you have an outside um owner, I mean that you you can eventually maybe get that information from the large platforms, but at that time of night, yeah, um, not so much.

16:49

So and and uh we did mention either one of the other services that host compliance uh which is done through Granicus does for the city is they actually do operate a 24-7 hotline.

17:00

Um, and so if you have neighbors, and they're maybe not a rise to the level of a police related call, but if you have neighbors, and we were unaware even at the police department until we started having this conversation with Rocky's team and Joe that that that 24-7 line was even available to us.

17:15

But again, those are really the for the permitted ones who have turned in their application and have all of that information available to be able to provide to us.

17:23

So on the unpermitted ones, we have no idea at that moment at two o'clock in the morning who the owner really would be.

17:28

Yeah.

17:29

So the address that had the eight, were they permitted or not permitted?

17:33

Not permitted.

17:34

So, like we have nothing to hold over them.

17:36

We can't say we're gonna take a permit away because they're like we don't have a permit.

17:40

Right.

17:44

Okay.

17:46

Thank you, Chief.

17:47

Uh, next slide, please.

17:50

So um, what were what was some of the feedback that received from the folks that operate in this space and and who work in this on the day-to-day basis?

17:58

So, several of the the requests for changes, as I had mentioned, were relief or adjustments or type one ownerships, and we're in agreement with a lot of these changes because, like we talked about, the intensity of the use can designate what type of regulation that we need to have.

18:13

So, for example, one of the questions that we had was about the license uh visibility and the numbers on the listing, um, especially for type ones where the owner is living on site, there is a concern over listing the actual address before it's it's being booked, and if they had to uh publish their their permit and licensing, then that information would be out there.

18:35

So, one of the things that we looked at was exempting type one short-term rentals on the mandate for the specific license number to be displayed on the listing itself, and then this would avoid disclosing the specific address of the short-term rental.

18:49

But what we would recommend is to retain the requirement that the license is needed to list on the platform, and that goes back to one of the enforcement mechanisms that that we think that would help if we have that requirement that they have to submit it to the platform, but it's not visible.

19:03

That removes the concern over people knowing where the owner you know lives, but it still makes sure that the hosting company knows that you have to have a license uh to have it on there, and if they don't, they shouldn't list it.

19:17

Um so I think that would address some of the short-term type one owners' uh concerns.

19:24

Uh the second issue we had was the clarification on the platform tax remittance.

19:29

So basically, what we would do for this is we would just add clarifying language that the hosting platform itself may remit applicable taxes and fees on the licensees' behalf, and that's exactly what you're talking about, Mayor.

19:41

And so it would just be a matter of does it designating and making it acceptable for the hosting platform to remit those fees and taxes, and that would remove a burden from the STR owner.

19:53

Um the third was preference for transition at renewal rather than a fixed deadline.

20:00

So the idea is when the permit would come up for renewal, um, you would have an effective date of transition so that the existing permitted STR of the licensees have until their next renewal period to come into full compliance instead of a fixed 90-day period.

20:12

So it would just give them a long, oh pardon me, a longer on-ramp, uh a longer on ramp on ramp to come in compliance with all the additional changes.

20:23

And like I said, I think that those are acceptable, reasonable, you know, asks uh that we would recommend.

20:29

Um if there's not any questions, we could go to the next slide, please.

20:35

Um the decision points are basically we can adopt, modify, or reject any of the changes that we have per section.

20:42

Uh we talked about the license visibility and privacy.

20:45

Uh let's talk about the insurance approach.

20:47

So one of the things that we had in there was uh to require short-term rentals to have a one million dollar commercial general liability insurance uh requirement.

20:56

So one of the options that we could have for the short-term rentals types one would be we could exempt the short-term rentals type one from that requirement, or alternatively, if this body would like to, we could remove the insurance mandate citywide if the can if the council were you know preferred that.

21:12

Um go to the next slide, please.

21:15

We can look at some of the intr the information we found about insurance.

21:18

So one of the questions the Spotty had at the last meeting was let's look at it like practically how much is it would it cost the business owner to obtain this type of insurance coverage?

21:28

Um and the the information that we we found was a standalone policy for one million dollars would be approximately uh 200 2,000 to 3,000 annually.

21:38

My understanding was that the host coverage uh the I mean I'm sorry, the hosting sites like Airbnb and VRBO already provide one million dollars one million dollars of secondary coverage at no cost.

21:50

So if they're listing and getting booked through those sites, that would already be in place and that would satisfy the requirement.

21:56

I think the difficulty is there's a lot of other sites that and I I don't know if Rocky has information on those if if any of the other sites have that uh as a as a benefit.

22:08

No, I'm not aware.

22:10

Okay.

22:11

Uh and then the other option would be, you know, um if we did have the requirement for an umbrella policy offering one million dollar of coverage is approximately 200 to 400 uh annually.

22:24

And so again, this would be a decision point for council uh on this you know, recommended requirement for the one million dollars of policy, is you could require it for all short-term rentals, you could require it for none of them, uh, or you could exempt short-term rentals one and have it required for two and three.

22:42

Um it's really up to you on what you're what what you're what you want to do.

22:48

Well, when this was brought to us um at the last meeting, I didn't even know there were three different um categories.

22:55

I just thought it was just a blanket did you all know there was three different categories.

23:00

I think I had it, yeah, any gleam, but maybe didn't understand.

23:04

So I mean that kind of makes more sense on like the um you know, like the smaller one to maybe not have to carry the bigger one, but then that umbrella policy for two to four hundred dollars is really I mean, in the big scheme of things, that's not that much when you're doing business.

23:19

I mean, really that'll protect them as well.

23:21

The two to three thousand dollars would be kind of a lot for someone with a smaller um Airbnb to have to take in.

23:30

Mr.

23:30

Pickle.

23:31

I was gonna say the the so I know um I had reached out to quite a few different uh colleagues that I have in the industry, and um I know we had the one owner that was saying that her personal insurance policy covered her Airbnbs, and um I'm not saying that it doesn't, but nobody had ever heard of that where a personal policy would provide commercial, something that's being done commercially.

23:59

Um and so when you look at the umbrella policy and offering a million, that would kind of two to four hundred dollars, that would kind of be the same.

24:05

Is that a personal umbrella or is that a commercial umbrella?

24:08

Because those are two different types of things as well.

24:11

Um but then again, is that something we want to get into the weeds with is requiring you know forcing liability coverage.

24:22

I mean, because what what is the impact on the city if that's not in place?

24:28

You know, there really isn't because it goes back to the you know, homeowner, business owner or whatever it would be.

24:36

Um, but like I said, uh I'm I don't like I said, I've never heard of a personal homeowner's policy providing coverage for commercial use on other structures on their property.

24:51

Um so I was I was a bit surprised by that when I couldn't have anybody really validate that either.

25:00

Uh but like I said, going back you getting in the weeds, you're really getting in the weeds of uh policy language and all of that kind of stuff, you know, if it's if we're if it's providing the right coverage uh that we men we we we've meant it to, you know, if that makes sense.

25:19

Well, maybe if there's a way we can strengthen like our um requirements on the front end, like this this part wouldn't really be that important at the end of the day, you know.

25:34

Okay, we do have one person signed up to speak.

25:37

They didn't mark I'm assuming they want to speak.

25:39

Yes, okay.

25:40

Um Carla Coates.

25:50

Thank you.

25:52

I'm Carla Coates, and I am a short-term rental owner of two properties in Broken Arrow.

25:58

I am permitted legal, and I am in I am absolutely in full support of a permit being required because I I want you all to see how beautiful it can be for our economy and our neighborhoods.

26:17

I mean, I I keep my properties looking good.

26:21

Um as far as the police calls, um I think it's important that we all be permitted, and that you all do what what you need to do to enforce it if it's not permitted.

26:39

But for us out here who are law abiding and and rule abiding um residents of broken arrow, um we're just trying to do the right thing collectively.

26:53

And so to hear more cost coming our way.

26:57

Um I know that Airbnb and Verbo, they do provide the insurance, they do vet the uh the guests before we ever even know that they booked with us, and and there are some bad apples, and we don't want them any more than the city of Broken Arrow wants them.

27:18

I I don't want them in my property.

27:21

So um I came in here loaded for bear, but I think that you all are doing a good job in and deciding what needs to be done and and however we can support that.

27:35

Do you mind me asking?

27:36

Um, the two that you have, are they would they be considered a one or a two or uh type two, type two, type two?

27:45

And then um what would you say is the percentage of the time that your people that are renting those are going through the Airbnb or BRBO sites versus a different way.

27:57

I only have two.

27:59

Uh huh.

27:59

Airbnb is about 70 percent, and verbo is about 30.

28:03

Well, there you go.

28:04

And they provide that secondary coverage for yes, sir.

28:08

Yes, well, in this like this situation is typical of most things, right?

28:15

The bad eggs.

28:17

Yeah, maybe so much more and it's like we just want them to not do bad things, but it's like and we have to make things more stringent, you know, and which obviously the ultimate goal is to be safe and you guys be able to run your business, and um the thought of incurring more costs for the people who are doing it correctly just to try to get the ones that are we can't even get to sign up for a permit.

28:42

I don't really like that.

28:44

So um, but there's gotta be a way to figure out you know how to get the ones that are unpermanent not doing what they're supposed to do.

28:53

And the hotel tax, we are already taxed up to our noses.

28:58

I I mean, really, um and that tax comes right back to you, the state of Oklahoma and the city of Broken Arrow.

29:08

And so I don't know how you can think that we are a hotel, or we we I think the point was instead of staying in a hotel where we would get the tourism tax dollars or sales or the tax tax dollars, um, they're staying in a VRBO or Airbnb instead of staying in our hotel.

29:28

So I think that's where is that what you're meaning?

29:30

Yeah, and so what other what taxes are you paying now besides the state and local taxes?

29:36

You know about what the percentage that is.

29:39

I I'm sorry I didn't bring it, but I I know that it's substantial.

29:45

Yeah, um I just know and since I'm probably pretty confident there's quite a few people on the council and things like that that rented Airbnbs before the RPOs, and there is such a strong benefit to having those when you're wanting to well, like I'll just use you know my daughter's wedding, you know.

30:00

Well, I'll just use you know my daughter's wedding, you know.

30:03

We rented an Airbnb, and we had additional family that came, and it was much nicer to have everyone at the same place versus uh we're getting four or five hotel rooms and having to go to a common area.

30:17

So there's a lot of benefits to it for sure.

30:20

Yeah, I think there's a lot of opportunity, but then I do go back and just want to echo kind of what the mayor said is there's got to be a way that for people like yourself that are doing it, uh, and we'll just say correctly, uh, you know, not impacting what you're doing, but trying to figure out a way how can we get those those bad apples.

30:40

You know, yeah, and uh the hotels they don't vet anyone if you've got a credit card, whether it's a legal credit card or a stolen credit card, an ID, here's your room.

30:53

And we as short-term rental owners don't get any sort of hotel incentive incentives like the hotels do here.

31:03

So I I know I take great pride in hosting.

31:08

Um I like things to be a spirit of excellence, and that's how I'll keep it regardless of what you all decide.

31:17

But I I hope that you'll take what we have to say into consideration.

31:24

Our hotel tax that we get from the hotels goes directly into marketing our city, which brings people into our city who's staying at your um bed vests and RB and the hotel.

31:36

So you are benefiting indirectly without paying for the taxes, is why is what that's a good point.

31:42

Yeah, yeah, yeah.

31:43

Interesting.

31:44

Okay, yeah.

31:46

Um, my and our and I which I feel like it's everyone's concern when a neighbors come and say we don't want this Airbnb in our neighborhood, and we say we're gonna make sure they follow the rules, and we're gonna make sure you know that um that they're not gonna be a nuisance.

32:01

That's I think that's the end, that's where we're trying to get.

32:05

We want you to be able to make money, of course.

32:07

We want people to come to our city and stay in your Airbnbs, but we also want you to be a good neighbor, and I'm not saying you specifically, I'm just like in general.

32:15

Um, and that's where we're trying to get.

32:17

We don't want to put so many rules on you where it it is a strain for you to do business, but then at the end of the day, you're in a neighborhood, you know, where people that's their whole life investment, and that's where seniors thought they would go to a quiet place to live, and then a fight breaks out and fires, you know, shots are fired or whatever, and not that that's a typical night at an Airbnb and broken arrow, but clearly it has happened.

32:42

So I mean, we're we want to try to get to a happy medium.

32:46

Is there anything that you can add to our discussion that we haven't brought up that you could think of or yes?

32:52

Um both of my properties I've owned uh one for 20 years, so I was the resident living there, and the other one right here in the Rose District, I've owned for six years, and I live there for four.

33:10

Um on our short-term rental, we're we put quiet hours.

33:17

Mine are through the week, 10 p.m.

33:19

to 7 a.m.

33:20

and on the weekends 11 p.m.

33:23

to 7 a.m.

33:25

or quiet hours.

33:26

So my neighbors all have my phone number, and I have been called a few times.

33:34

And I I have uh the ability to ask them to exit the premises if they don't adhere to the rules.

33:43

Yeah, so uh I think to have rules in place, and then you know, of course, the the police involvement should we need it.

33:54

Um I mean, as citizens, the police are here for us.

34:00

So uh I I thank you for coming.

34:03

If somebody is raising a ruckus at my property, I want you there as fast as you can get there, and I appreciate it.

34:12

So one of the things we're recommending is a uh noise monitor, and I know you said the neighbors will call you if it gets you know rotty or whatever, but do you have any type of thing like that now?

34:22

Noise monitor on the property.

34:24

I have ring cameras on both of my properties on the front porch, and it notifies me if somebody is at the door, um, but not noise per se.

34:38

But I'm not opposed to getting that.

34:40

Yeah, it seemed it was really reasonable.

34:42

I think like a hundred dollars or something you could purchase it.

34:45

So yeah.

34:51

Thank you so much.

34:53

Comment would be that uh uh you know, I know it's been used a lot, and uh here some of our counselors uh uh use them that way.

35:02

I uh my wife and I had uh four apartments that we had for oh 25 years, and uh and a commercial building.

35:10

Of course, we kept insurance on it, and we never have any trouble with renting it.

35:15

So it worked out so well that uh we never thought about changing it.

35:20

My main thing with the RBMB, no matter what we do, is to make sure that police have as much information as they can, you know what I mean, as they can be that can be given to them to uh accommodate them in case there was a problem.

35:35

Uh we had one across the street from where I live, and they rented it and it was all kids, and they were up to oh two or three o'clock in the morning and ended up costing them their parents eight hundred dollars.

35:49

I talked to the owner because that's how much damage that they had done.

35:53

So I never had damage like that in my rental property.

35:55

Not to say it couldn't have, it's just that I always had rather have that than a temporary rental and not really know the people.

36:02

If you work through companies that can pretty well guarantee that they're you know what I mean, solid people, I think that's great because there's a need to go in just for a week or three or four days or something like that.

36:14

So I'm certainly in favor of it.

36:16

I just want to make sure the police have anything that they can to uh help accommodate it as far as getting information.

36:23

Well, I can't speak for anyone who doesn't follow the rules.

36:27

So uh I mean my my Rose District properties right on the um the south east corner of first and freeport.

36:38

And every third house now in in this area right here, they're they're just tearing stuff down and rebuilding.

36:47

And I'm thinking Airbnb, Airbnb, short-term rental, and it it's all over.

36:53

So I'm all for you enforcing codes.

36:57

Right.

36:58

Right.

36:59

So whatever they need, I need the police.

37:02

Thank you all for your time.

37:04

Thank you, ma'am.

37:08

So that that is encouraging to hear the businesses that are responsible.

37:11

So, for example, the quiet hours that she has from 10 to 7, one of the requirements that we would have would apply that to less responsible folks who aren't doing that, and we just codified that in our ordinance that would say quiet hours apply to the city from 10 p.m.

37:24

to 7 a.m.

37:25

Um the same with the interior non-recording noise monitoring devices.

37:29

Chief Arnold mentioned that was one of the main reasons for the calls.

37:32

So if you have a local responsible agent that has to respond within an hour, and they have the technology in there that is very affordable.

37:38

I think like you said, it's a hundred dollars or so.

37:40

That's what Chief Arnold checked the prices at our last meeting.

37:43

So yeah, that's yeah, it was very nice.

37:45

That can notify them that hey, the people that are there are causing a ruckus, um, and it's after the quiet hours, and so they can address it.

37:52

And if it if they don't, then you know our police officers would have that information to go and do that.

37:58

So I think it's a way to just make sure that the bad actors, you know, are are we can bring them up to the standard that that we need them in our community?

38:06

Okay.

38:07

I was gonna ask her to.

38:08

I'm sorry, I should have asked you when you were down here.

38:10

So there was a certain percentage that you said you got from the Airbnbs and stuff.

38:14

Like, how else do they find out about your place if it's not from one of those sites?

38:19

Or I was just referral.

38:20

Oh, okay.

38:21

One line, only through Airbnb for both I don't I don't rent anything outside about platform.

38:29

Okay.

38:33

Okay.

38:33

Uh next slide, please.

38:35

We've already gone through several of these recommended changes.

38:38

You know, we talked about adding the definitions uh for the type one, twos, and threes.

38:43

Um one of the things we had in the original ordinance was a potential discount um for permitting fees if there's additional training that we needed.

38:52

Uh after talking to Rocky, we decided to remove that.

38:55

Uh, we would need a decision from the body on what they want to do with insurance, whether they want to eliminate that as a requirement, or if they just want to have it for certain types of short-term rentals.

39:05

Um on the noise monitor that we're we're talking about, that would be one of the other exceptions that we would recommend.

39:11

Uh the type ones, those are owner-occupied, so somebody would actually be living there on premise.

39:16

So if we didn't want to burden the smaller short-term rentals, we could exempt them with the idea of being the owner to be on site and could address those issues.

39:24

I hear and understand their owner occupied, but you know what owners go out to eat, they go on vacation, they're not there 24-7, I imagine.

39:33

So I mean there are opportunities for the owner to be gone and the renter to make noise or cause disturbance while the owner's gone.

39:42

I understand the argument that she made.

39:43

Well, I live here, but I live in my house too, but I'm not there all the time.

39:48

I mean, I travel, I'm getting ready to go to Oklahoma City for several days, I'll be in DC, I think vacations.

39:53

So I mean as far as I could see doing an exemption if it was something that really onerous, but like we said a hundred dollars doesn't seem like that that big a deal on that particular one.

40:05

And that's certainly something we can leave in place.

40:08

Again, it was just it just would be the direction of this body on that.

40:11

Um and like I said, we'd we discussed the the rest of those on there.

40:15

So next slide, please.

40:18

Um next slide.

40:24

Uh that's just you know, the annual licenses and fees would be set by the manual fees, so the the council would set those fees.

40:32

Um we could do it by resolution or on the manual fees.

40:35

Uh next slide, please.

40:38

Um we've already talked about the local uh responsible agent.

40:42

Uh they would have to you know respond within an hour.

40:45

Um that way we know that we're gonna have somebody local that we can deal with if there's a problem.

40:49

Uh there also is in terms of the operation standards, um, a parking plan.

40:55

Um the idea is if you have um you know 20 vehicles showing up to one house that's only designed to hold you know four folks, they are by definition going to be blocking driveways, parking in front of fire hydrants, uh, maybe parking, you know, on the curbs.

41:14

Um they're just we just need to have them to have some plan that addresses you know, how are you gonna comply with our parking requirements?

41:21

Uh and the same goes true, same holds true for the safety map uh and the emergency information.

41:26

That's all listed out in a very long appendix.

41:31

Um it's the things that you would think of, like you know, smoke detectors, fire extinguishers, exit plans, things of that nature, contact information for the local responsible agent.

41:41

Uh next slide, please.

41:43

I wonder if the Airbnbs like the um and airbows or like if they require any of that kind of stuff.

41:50

Because I know the ones I stay at, it seems like they have like a safety plan and different things like that.

41:55

Oh no, it's just curious.

41:57

She said yes.

41:58

Shaking her head, yes.

41:59

Oh, yes, yeah.

42:02

Uh again, talking about the different operating standards, having the local responsible agent, uh, the sound limits.

42:09

We talked about the quiet hours, the exterior cameras, that would be just as simple as having a ring camera, uh, just so that they know who's coming and who's going.

42:17

Um we talked about the parking restriction.

42:20

There are occupancy limits.

42:22

Um, so for example, uh, we have a requirement under the operations that at any time the number of persons on site who are not overnight occupants may not exceed 10, um, and that would prohibit a gathering of of more than that.

42:36

So the idea is you don't want a huge block party where you have you know eight people staying at a short-term rental, and then you have you know another you know, 15 people show up uh and it spills out into the street and the the um you know cartilage uh and then on the parkings uh the requirement is that there be at least one off-street parking space per sleeping area plus one additional space for the owner host, uh, unless it's otherwise provided for the mixed use in commercial districts, and then it explicitly states that vehicles should not obstruct sidewalks, driveways, or park on unpaved yards, contrary to code.

43:15

Those are currently codified requirements, but it just puts it in a simple way, you know, so the short-term rental people know, like hey, these are requirements for parking, and you need to abide by them.

43:27

Uh next slide, please.

43:34

Um we talked about the hosting platform responsibilities about changing it so that they could collect and remit the taxes.

43:43

Um then the ownership cap before short-term rentals.

43:50

We would need direction on this.

43:52

The policy thought on this was whether or not we wanted to have I don't want to use a uh like a it'd be like a short-term rental magnet, you know, somebody like a Blackstone or you know, uh LLC that that wants to you know own you know 50 houses and turn them all into short-term rentals, you know.

44:11

The idea being, you know, and it we can come up with whatever number you wanted, I think for was arbitrary number in terms of it being smaller.

44:19

So the idea would be we would have some limit on the total number of short-term rentals any in it individual and its entity uh could own to prohibit and prevent something like a large corporation, like I said, like a private equity for firm.

44:34

Why would we want to limit someone's ability to have their own business grow?

44:39

Like if they if they have the ability to have five, ten VRBOs in our city and it meets our ordinance.

44:46

Why would we want to limit them?

44:48

You might not want to.

44:50

Uh that what we've seen in in other communities is uh they can if you if you get these large groups that start getting a hard a large number of them, they can start pricing out you know, single family homes.

45:02

Sure.

45:03

They can you know take over in whole areas.

45:06

Um they can start competing with you know first-time home buyers.

45:11

Um but again that's not something that we have to do.

45:14

And they can parse out to smaller mom and pops only on one.

45:18

Yeah, because they have yeah, and then you're gonna draw more of your foreign-owned entities and those kinds of things.

45:24

Yeah, um, so those are some of the additional uh you know, suggestions for your consideration.

45:33

Uh next slide, please.

45:35

Um, suspension and revocation standard.

45:38

So um we do have a escalating um suspension and revocation ladder.

45:45

Uh basically the way it works is the city would suspend a license for 30 days if you have two verified complaints within a 12-month period, and 90 days if there's been three verified complaints within the 12-month period, and it's not just any type of uh complaint.

45:59

Um the type of nuisance behavior that we're talking about is defined in the ordinance, and so uh I can give you an example of what those types of things are.

46:08

It'd be like public intoxications, uh, unlawful possession or consumption of alcohol by miners, uh consuming marijuana or products in a public space, uh contributing to delinquency of minor, fighting in public, parking violations, it's not just littering.

46:22

So these are fairly significant um public safety concerns.

46:27

Uh and so there's a ladder uh that would allow for suspension, then there would be automatic suspensions.

46:33

Um if you have um, like I said, two verified complaints with a 12-month period.

46:40

Um in addition, we can also have immediate suspensions if there's a serious incident uh or failure for a local responsible agent to respond as required by the ordinance.

46:50

Um, that way we just have some enforcement mechanism for those that we've gotten into the system.

46:57

Um and what if we suspend their license for 30 days but they continue to rent.

47:03

Then what do we do?

47:04

We would cite them every day for operating without a permit, and we would have a fine for each of those days.

47:10

Um, and we would we would try to collect as much of that as we can if we can get them to court.

47:16

Would that be something like we would put a lien on their house if they didn't pay those fines?

47:20

Um, I don't know if that's something that we actually do on the code enforcement side.

47:25

Uh Joe and Rocky are both shaking their heads.

47:28

I don't I don't believe that's something that's so we can find them, but they don't have to pay for it.

47:32

Is that what you're I mean, like hope none of them are watching this?

47:38

Well, I mean, I'm just saying, I mean, we need some teeth, and it doesn't then sound like it's got any teeth to it to me.

47:42

Well, my question would be can we I don't know I'll pay my HOA dues, they put a lien on my house.

47:48

Yeah.

47:49

Can we do that?

47:50

I don't know the answer to that.

47:52

I can find out recently.

47:53

I'm just saying the whole this whole meeting, I feel like is to put some teeth in that.

47:57

That doesn't feel like any teeth is my opinion.

48:04

Like I said, one of the difficulty is with the foreign uh owners, they get a summons to come to Municipal Court and Broken Air, Oklahoma, they just ignore it.

48:13

Um, and so we were looking for alternative means of enforcement, such as working with the hosting companies, have them delisted if they're not getting licensed and not compliant.

48:23

Um there's um, and I can't remember if it was an OML conference or if it was an LC conference.

48:30

There is a vendor that actually has a software that can identify the unpermitted, like it they know they can identify that the the homes that are on those platforms that are within your city and they have a mechanism to contact those people and get them to be permitted in your city.

48:49

Um I'll find out if it was OML or NLC, but I'll find out who the vendor was.

48:54

Um I feel like I got their card.

48:56

Um but it was pretty cool the system.

48:59

I don't know how much the software was, but if it can get us all you know, permanent, it might help with that situation.

49:06

But that would be very helpful.

49:08

Yeah.

49:09

Uh next slide, please.

49:12

How many slides do we have, Trevor?

49:13

This is the last one.

49:14

Okay.

49:16

I wanted to thank Chief Arnold, he did create the slide.

49:18

Um thank you, Chief Arnold.

49:21

Um, so really where we are, uh, this was just for a discussion.

49:26

Um if there's any specific directions that you'd like to give us at this time, we could take those and then we could rewrite the ordinance and either bring it back for another preview or for a final adoption.

49:38

Uh it's really at at this body's um you know discretion.

49:42

And so I think at this point, staff is just looking for uh directions on some of those uh key, you know, uh decision points, such as uh insurance, are you good with the safety plan?

49:53

Are you good with the local responsible agent?

49:56

Um those type of issues.

50:00

this time we could take those and then we could rewrite the ordinance and either bring it back for another preview or for a final adoption uh it's really at at this body's um you know discretion and so I think at this point staff is just looking for uh directions on some of those uh key you know uh decision points such as uh insurance are you good with the safety plan are you good with the local responsible agent um those those type of uh issues I think since the the permanent ones permanent permitted ones um are more than likely probably almost a hundred percent of them are on Airbnb and VRBO and they already provide the insurance I see that as not necessary for us almost like what counselor pickle said like that's kind of getting really drawn down in the weeds and really you know and I don't know how that provides any more safety per se or I mean that's more on them if something goes on than it is for us but so I'm okay with removing that but I don't everything else yeah okay we certainly will make that we can make that change but I'm just one vote so I'm in agreement with that you know also yeah I definitely think we need to we need to explore our further options of you know how we can enforcement options whether that is a lien or if there's some way we can I don't know if it you know legally if we can you know if there's a lockout tag out kind of thing um that we could do I mean there has to be something that that makes these folks want to get into compliance and there has to be a way that we can say okay enough's enough you know um I'm not sure what that is but that's why we have brilliant minds like you folks uh that we um employ to dig into these things brilliant one thing that we can do is we can look at what some of the other uh jurisdictions are doing in terms of their you know if they've got any better ideas and we'll definitely steal those um I mean it's gonna be hard to rent if you can't have electric and water at your place well I mean just just throwing it out there you told us you have well there's got to be some accountability is what I hear the council members saying and we need to look at all options and we're not try we're not gonna reinventing the wheel there's there's opportunities I mean we do place liens when whenever there's uh people don't we have to go in and cut their property or tear down a building we place liens on those properties I don't know if that's legal but but then there needs to be some way to say this that you know if you're not in compliance then there there's got to be some negative inducement to get them in compliance.

52:19

Right.

52:20

We do appreciate those that are in compliance and follow the rules testing for sure yes so if it's council's pleasure we'll take the comments that we'd received uh tonight we we'll go back and we'll rewrite the ordinance it sounds like there's still enough discussion points that it would be beneficial to have it on for preview again yeah I feel like it's on the front end that we need to do like with um with the actual like Rockies area if we can get that maybe nailed down a little tighter and stricter then maybe then the police department won't have to respond as much if we can get it uh hammered down a little tighter on the front end I mean we and you know we have quiet hours for our parks and for our businesses yeah um so it it wouldn't make sense that we do for these as well all right thank you everybody who worked on it and our citizens no no action setting on the committees no okay I'll entertain a motion to adjourn second so moved your motion and second aren't showing up I forgot we logged in I'm getting there oh do we log yeah well some of it motion by counselor green second by counselor pickle all right we're adjourned we're adjourned

Discussion Breakdown — Share of Meeting
Short Term Rental Regulation█████████████████████████████████████████████67%
Public Safety█████████████20%
Budget Equity Analysis████6%
Economic Development███4%
Procedural██3%
Summary of Proceedings

Broken Arrow Special City Council Work Session on Short-Term Rental Ordinance Amendments - March 3, 2026

On March 3, 2026, at 5:00 p.m., the Broken Arrow City Council held a special work session to discuss proposed amendments to Ordinance 3905, which would revise regulations for short-term rentals (STRs). The meeting focused on definitions, enforcement tools, insurance requirements, and operational standards. Staff from the City Attorney's office and Police Department presented current challenges and recommended changes, while one STR owner provided public comment. No formal votes were taken; council directed staff to revise the ordinance and bring it back for a future preview.

Public Comments & Testimony

  • Carla Coates, a permitted short-term rental owner of two type-two properties in Broken Arrow, expressed full support for requiring permits and enforcement against unlicensed operators. She noted that her properties are listed exclusively on Airbnb (70%) and VRBO (30%), which already provide secondary liability coverage. She opposed additional costs for compliant owners and suggested that quiet hours and a local responsible agent are effective. She also highlighted that short-term rental owners do not receive hotel incentive packages enjoyed by traditional hotels.

Discussion Items

  • Current State of Short-Term Rentals: Staff defined three STR types: Type 1 (owner-occupied, ≤2 guest bedrooms) – 10 licensed; Type 2 (no owner occupancy, ≤4 guest bedrooms) – 61 licensed; Type 3 (up to 8 units, like a bed and breakfast) – fewer. Staff identified 65 unlicensed STRs via hosting platforms, but lack enforcement mechanisms. About 2–3 new STRs come online weekly, many owned by out-of-state entities, making citation service and prosecution difficult.
  • Hotel/Motel Tax: The existing hotel tax approved by voters in 2008 defines a hotel as having five or more rooms, so only Type 3 STRs are taxed. Expanding the tax to other STRs would require a new vote of the people to clarify the definition. Councilmember Ford noted the importance of this tax for tourism funding.
  • Police Calls for Service (2024–2025): Permitted STRs generated 28 calls; unpermitted STRs generated 30 calls. The top address (1205 West Quincy Street) had 8 calls, many involving parties, noise, and shots fired. Chief Arnold emphasized that unpermitted owners cannot be held accountable via permit revocation.
  • Feedback from STR Owners: Staff met with licensed owners, who requested: exempting Type 1 STRs from publishing license numbers on listings (for privacy), allowing hosting platforms to remit taxes on owners' behalf, and a transition period to compliance at renewal rather than a fixed deadline. Staff recommended accepting these changes.
  • Insurance Requirement: A proposed $1 million commercial general liability insurance was discussed. A standalone policy costs $2,000–$3,000/year, while an umbrella policy costs $200–$400/year. Both Airbnb and VRBO provide $1 million secondary coverage. Councilmembers expressed reluctance to burden compliant owners; Councilmember Pickle noted no evidence that personal homeowners policies cover commercial use. Council appeared inclined to remove the insurance mandate, especially for Type 1 and Type 2 STRs already covered by platforms.
  • Operational Standards: Proposed requirements include: quiet hours (10 p.m. to 7 a.m.), interior non-recording noise monitoring devices (~$100), a local responsible agent who responds within one hour, a parking plan (at least one off-street space per sleeping area plus one for the owner), occupancy limits (no more than 10 non-overnight guests), and safety measures (smoke detectors, fire extinguishers, exit plans). Exemptions for Type 1 were discussed but not decided.
  • Ownership Cap: Staff raised the option of limiting the number of STRs any individual or entity can own (e.g., to prevent large corporate ownership). Council did not reach consensus; some expressed reluctance to limit business growth.
  • Enforcement & Penalties: The proposed suspension ladder includes 30-day suspension for two verified complaints, 90-day for three, and immediate suspension for serious incidents. However, Councilmember Ford and Mayor questioned the effectiveness against out-of-state owners who ignore citations. Staff suggested working with hosting platforms to delist unlicensed properties and will explore other options such as liens or utility disconnection.

Key Outcomes

  • Council provided informal direction to staff to: remove the insurance requirement for all STRs (based on consensus); retain the local responsible agent, noise monitor, quiet hours, parking, and safety plan requirements; and further investigate stronger enforcement mechanisms (e.g., liens, partnerships with platforms).
  • Staff will revise the ordinance based on tonight's discussion and bring it back for a second preview before a final vote.
  • No formal motion was made; the meeting adjourned after a motion by Councilmember Green, seconded by Councilmember Pickle.

Meeting Transcript

Is this a sign in meeting? Or no? It says five o'clock. So I wasn't sure. Call the broken air special city council meeting to order. Roll call. Green. Here. Ford. Here. Parks. Wimpe. Here. Three preview ordinances. Three A consideration discussion and possible preview of ordinance number 3905. Amending chapter 7, Article 17. Definitions, operating standards, platform duties, owner cap, enforcement, and appendix checklist. Jeffard, maybe? Yes. I am prepared. Thank you. Just one quick just one point is that a lot of work went into this with Trevor and Chief Arnold. And I wanted Trevor to lead this conversation since his order amendments, but the chief's going to be moving in and out to answer questions and discuss what's being proposed. Okay. And to begin, I thought we had a PowerPoint presentation. There it is. Ask and you shall receive. Excellent. So I think these are some items that we can move through basically at your leisure. At any time if you have any questions or comments or directions, that's really what this is is a work session to get your input so that we know exactly what you want to do to regulate this this area. We have some suggestions from our last preview ordinance, and kind of to bring you up to speed, uh what's happened since then is uh Chief Arnold has met with several uh short-term rental owners, and so we've gotten input from the business community to see how these regulations would impact their day-to-day operations. They also had some recommendations on what they thought would make you know some better revisions or changes. And we we were in agreement with several of those, and we'll have an opportunity to talk about what those are as we go forward with it. Um, originally one of the thoughts I had was to uh just go line by line on all the different changes, but I decided a more efficient approach would be let's like highlight at a uh 30,000 foot level, and then we can kind of drill down on what the recommended changes would be, and then if you wanted to get into details on any of the others, we'll certainly have opportunity to do that. So if with that, we'll go ahead and begin. So we really wanted to talk a little bit about the current state of the um short-term rentals. Uh like I said, we're gonna talk about what some of the changes are uh with the owners. Specifically, we're gonna talk about the recommended insurance requirement. Um like I said, we're not gonna go the ordinance line by line, but we are gonna talk about that steps. Let's do the next slide. So let's talk about the current state of affairs. So the first thing we need to do is get our our bearings in terms of the definitions. So we have three types of short-term rentals uh in our city. Um the first type are called STR1s, and those are where the owner resides on the premises, and there's a single family dwelling where there's no more than two guest bedrooms or sleeping rooms are rented. So those are the more the less intense uses. Um and so as we go through there, we'll see that depending on the use of the residents, that might dictate how intensive the regulations would be. So you'll see like some of the regulations that we'll be recommending for a short term short-term rental one, might be less than what we would say for short-term rental two or three. Uh we currently have one short-term rental one, I'm sorry, ten short-term rental ones uh in the city. The second type we have is a type two. We have 61 of those in the city right now, and there's no owner occupancies required, but on on type twos, there's no more than four guest bedrooms that are allowed.

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