ANNA MARIA ISLAND – Vacation rental company Airbnb is employing artificial intelligence to help reduce the number of properties rented for the exclusive purpose of throwing a party.
The purpose of the technology is to help owners of vacation rentals managed by Airbnb to avoid the hassle of dealing with renters whose primary purpose is to have a disruptive party.
On Anna Maria Island, noise ordinances are in place in Anna Maria, Holmes Beach and Bradenton Beach. Police in all three cities respond to multiple potential noise violations every week.
“I think it’s a great idea,” Bradenton Beach Police Lt. Lenard Diaz said.
Last week when The Sun spoke to Diaz, his department had three written reports regarding his officers responding to noise complaints. Those numbers climb significantly around holidays.
Damage to homes is also a concern for owners, many of whom live outside Florida and can’t respond immediately to problems with renters.
Airbnb’s AI and machine learning, which learns the patterns of renters who may be potential party risks, block some renters from procuring properties. One of the key components involves blocking one- and two-night rental reservations that are tagged as high-risk. In addition to the length of the trip, AI also looks at the distance from the destination and whether the booking is last minute. Airbnb has also instituted mandatory anti-party attestation that makes it clear that parties are banned and, if the rule is broken, suspension or removal from the platform could result.
“While disruptive parties are rare, we want to try to reduce the risk of them even more,” said Naba Banerjee, head of trust and safety at Airbnb. “Our AI anti-party system is an important tool in helping us to do that.”
The anti-party system was launched before Halloween last year in the U.S. and Canada and saw significant results. Airbnb says there was a decrease in reports of disruptive parties compared to previous years when the system was not in place. In Florida, 11,300 bookings were blocked during the initial launch in 2022. AI is unique and it learns more the longer it is in use, so the technology is expected to become exponentially more efficient. Numbers for Halloween 2023 are not yet available, but the company expects similar, if not better results than last year.
Airbnb says it has also implemented a dedicated portal for law enforcement, as well as a neighborhood portal where neighbors of rental properties can report concerns, at www.airbnb.com/neighbors.
Other steps the company is taking include a 24-hour safety line for hosts to contact Airbnb’s safety team, as well as a free noise sensor for hosts in the U.S. and Canada.
BRADENTON BEACH – City staff recently answered an inquiry regarding single-room rentals in vacation rental homes with a definite “No.”
On July 19, Prime Vacations Compliance Specialist Rina Hernandez sent an email to Deputy City Clerk Ruth Stief and City Treasurer Shayne Thompson that said, “Can each bedroom in a five-bedroom property be advertised and rented as individual units or does the property have to be advertised and rented as a whole?”
According to the Prime Vacations website, the company Hernandez represents manages seven boutique hotels in Florida, including The Bali Hai Beach Resort and The Anna Maria Beach Resort in Holmes Beach and The Anna Maria Island Inn in Bradenton Beach. The Prime Vacations website also lists affiliations with the AMI Locals and Anna Maria Vacations real estate and property management companies.
After consulting with City Attorney Ricinda Perry, Thompson sent Hernandez an email response: “It is the opinion of the city attorney and the building official that this is not a
permissible use for properties in areas that are zoned residential.”
In response, Hernandez wrote, “So, this wouldn’t fall under the jurisdiction of shared housing?”
Thompson suggested Hernandez contact Building Official Steve Gilbert for more information.
In an email, Gilbert provided Hernandez with the following information: “Renting by the room is a ‘boarding house,’ either transient or permanent, and with or without meals, by definition. The Florida Building Code treats such structures as commercial buildings. You would need two separate means of egress, non-combustible construction or at least fire-rated assemblies, perhaps a full sprinkler system, and full ADA compliance for all sleeping rooms, bathrooms, cooking facilities, and vertical access, including a commercial elevator.
“From a zoning perspective, boarding houses, bed and breakfasts, and multi-unit buildings, including those with multiple sleeping rooms as defined in the Florida Building Code, are permitted uses in the C2 zone district. They would not be a permitted use in either single-family (R1) or two-family (R2) zone districts,” Gilbert wrote.
“From a zoning perspective, the advertisement to rent is for a single-family or perhaps a two-family dwelling, not individual sleeping rooms. From a life safety and building code perspective, advertisement is for a single-family or perhaps a two-family dwelling, not individual sleeping rooms,” Gilbert wrote.
“From a local licensing perspective, the advertisement is for a single-family or perhaps a two-family dwelling, not individual sleeping rooms. From a state DBPR (Department of Business and Professional Regulation) licensing perspective, the advertisement is for a vacation rental, not a hotel/motel, not a transient boarding house, and not a bed and breakfast. The state licenses and inspection requirements are very different for these more intensive uses. In sum, you may not advertise rentals by the room,” Gilbert wrote.
In response to Gilbert, Hernandez then wrote: “Thank you for clarifying. We had a guest that had a reservation booked with us and canceled because they were able to book an individual room with another management company.”
Hernandez included in her email a link to an Airbnb vacation rental home in Bradenton Beach that advertised single-room rentals.
The Playa Esmeralda Boutique Inn is advertised on the Airbnb website. – Airbnb | Submitted
“Is this something that is going to be addressed? Please let us know if there’s something we can do about it to avoid losing future guests,” Hernandez wrote.
The Airbnb link Hernandez provided referenced the Playa Esmeralda Boutique Inn located at 206 Church Ave. in Bradenton Beach. According to the Manatee County Property Appraiser’s office, D&C Properties of Tampa LLC owns the home and property, and the Florida Division of Corporations lists Maria Trim as the Tampa-based LLC’s registered agent and Mark Dexter as an authorized person.
The Airbnb link Hernandez provided offered for rent a single-bed bedroom with a private bath for $229 per night.
The Playa Esmeralda Boutique Inn is advertised on the GuestReservations.com website. – GuestReservations.com | Submitted
The Playa Esmeralda Boutique Inn is also advertised on the independent Guest Reservations website. That website offers the boutique inn’s “superior king room,” “king room with balcony,” “king room with garden view,” “standard king room” and more.
The Playa Esmeralda Boutique Inn’s bedroom types are advertised at GuestReservations.com. – GuestReservations.com | Submitted
When contacted by The Sun, a Prime Vacations representative confirmed Prime Vacations does not manage the Playa Esmeralda Boutique Inn.
Commission discussion
Hernandez’s inquiry became the subject of a brief discussion during the July 20 city commission meeting.
While providing her attorney update, Perry said, “We are now being asked if you had a home with seven bedrooms could seven different renters rent out those bedrooms separately?”
“That would almost be like a boarding house,” Mayor John Chappie said.
This aerial photo of the vacation rental home at 206 Church Ave. is included in the Airbnb advertising. – Airbnb | Submitted
Commissioner Ralph Cole asked if the city can enforce its prohibition on single-room vacation rentals.
In response, Perry said, “The fire department has a lot more power than code enforcement does. They have the actual authority to go into the property and investigate it. We do not.”
Perry reiterated some of the information Gilbert provided Hernandez and she noted the city has existing zoning prohibitions in the R-1 and R-2 residential zone districts that relate to this particular type of bedroom use. She said the city is further protected by the state’s fire and building codes.
In response to a question from Cole, Perry said the single-room rental prohibition does not apply to several people sharing a rented home as their full-time residence.
“Staff’s working on this and will report back,” Chappie said.
“It was a formal request,” Perry said. “We had to respond to it and Steve did an outstanding job outlining why it’s prohibited.”
TALLAHASSEE – The Florida Legislature’s latest attempt to give the state sole authority over vacation rental regulations has failed.
When the Legislature concluded its 2021 session last Friday, two vacation rentals bills, Senate Bill 522 and House Bill 219, both died without being adopted as new state law.
In past years, stated legislators attempted – and failed – to preempt virtually all vacation rental regulation to the state. Those failed efforts would have stripped local governments of their ability to regulate, register and inspect vacation rentals at the local level.
In the Florida House of Representatives, those all-encompassing regulatory efforts continued and failed again this year. The Florida Senate’s legislative efforts produced an amended bill that eventually focused directly on the state regulation of the remittance of applicable rental and tourist taxes collected by online vacation rental advertising platforms such as Airbnb, VRBO and others.
Sen. Manny Diaz Jr.’s (R-Miami-Dade) amended legislation sought state regulation regarding the remittance of taxes collected by online advertising platforms. – www.FlSenate.gov | Submitted
Filed by Sen. Manny Diaz Jr. (R-Miami-Dade), SB 522 originally sought to require advertising platforms to collect and remit taxes for certain transactions; revise an exemption to the prohibition against certain local regulation of vacation rentals; preempt the regulation of advertising platforms to the state; and require advertising platforms to adopt an anti-discrimination policy and to inform their users of the policy provisions. The proposed legislation included a proposed $882,716 state appropriation for implementation and enforcement.
In the Florida League of Cities (FLC) latest “On Tap @ the Cap” legislative update, it was noted SB 522 died in the Senate Rules Committee.
“The original bill would have preempted all regulations of vacation rentals to the state, including the inspection and licensing of vacation rentals. The League worked with various stakeholders to amend the bill throughout session to narrow the preemption. The (amended) bill would have protected existing vacation rental regulations but preempt cities from specifically regulating advertising platforms,” the FLC update noted.
Rep. Jason Fischer (R-Jacksonville) filed the House bill that again sought full preemption of vacation rental regulation to the state. – www.MyFloridaHouse.gov | Submitted
Co-sponsored by Rep. Jason Fischer (R-Jacksonville), Rep. Lauren Melo (R-Naples) and Rep. Anthony Sabatini (R-Howey-in-the-Hills), HB 219 sought to require advertising platforms to collect and remit specified taxes imposed for certain transactions; preempt regulation of vacation rentals to the state; prohibit local laws, ordinances or regulations from allowing or requiring inspections or licensing of public lodging establishments, including vacation rentals; and require licenses issued by the Division of Hotels and the Department of Business and Professional Regulation to be displayed conspicuously to the public inside the licensed establishment.
The House bill was never fully amended to match the Senate bill that ultimately focused squarely on the remittance and collection of taxes by online advertising platforms.
The House companion bill, HB 219, died in the House Ways and Means Committee.
“HB 219 would have undone any local registration, inspection or licensing requirements specific to short-term rentals adopted since 2011,” the FLC update noted.
Anna Maria response
As has been the case for several years now, the city of Anna Maria and the city’s contracted lobbyist, Chip Case, were again very active in combating the proposed vacation rental legislation.
This year’s efforts included the city taking over the management of the Home Rule Florida website, www.homerulefl.com, which provides information about proposed vacation rental legislation. The website encourages citizens to contact the governor and the state legislators and provides templates and contact information to make those communication efforts easier.
Anna Maria Mayor Dan Murphy expects to fight similar legislative battles again next year. – Joe Hendricks | Sun
When asked about this year’s outcome, Mayor Dan Murphy said, “While we are relieved that this bill failed to get to the floor, we are fully cognizant that the lobbyists for big business will be back again next session, if not sooner. They have deep pockets and have gained ground during each session over the past five years.
“This year it was the ‘wolf in sheep’s clothing’ approach, stating they ‘only’ wanted the advertising platforms preempted to state control. By doing so, they would have taken away our ability to regulate occupancy requirements, which is at the very core of addressing noise and congestion issues and complaints,” Murphy said.
City Commission Chair Carol Carter again helped lead the city’s efforts to preserve its home rule rights.
“I want to thank all the people on Home Rule Florida for responding to all the alerts that we sent out about opposing the bills. Once again, the people who care about this situation have made a difference and we were able to keep our home rule rights for vacation rentals for another year,” Carter said.
“Our lobbyist, Chip Case, has been instrumental in these efforts for quite a number of years now. He and the Florida League of Cities have helped voice our concerns to key state legislators in Tallahassee. Chip works very closely with the lobbyist from the Florida League of Cities and we appreciate all of their hard work and effectiveness,” Carter said.
BRADENTON BEACH – Airbnb has announced a crackdown on “party houses” throughout Florida that includes suspending Airbnb listings for an unknown number of vacation rentals in Bradenton Beach.
“As a part of this effort, over 40 listings across the state that have received complaints or otherwise violated our policies on parties and events have been suspended from the Airbnb platform. This follows Airbnb’s policy change to ban parties at Airbnb listings globally until further notice,” according to a press release received from Airbnb spokesperson Laura Rillos on Friday.
“The vast majority of hosts in Florida contribute positively to their neighborhoods and economy, and they also take important steps to prevent unauthorized parties – like establishing clear house rules, quiet hours, and communicating in advance with their guests. Our actions today address the small minority of hosts who have previously received warnings about hosting responsibly or have otherwise violated our policies,” the press release states.
“The actions were communicated to the hosts over the past week, and the suspensions were spread throughout the following counties across the state: Alachua, Broward, Duval, Lake, Lee, Manatee, Miami-Dade, Okaloosa, Orange, Palm Beach, St. Johns and Walton,” according to the press release. “We cannot provide addresses for the suspended listings out of respect for the privacy of the hosts and homeowners,” the press release notes.
When contacted Friday, Rillos confirmed that all the Manatee County suspensions occurred in Bradenton Beach.
Airbnb actions
The listing suspensions are part of Airbnb’s ongoing efforts to lessen the negative impacts Airbnb rentals have on their neighbors, according to the company.
“Today we’re announcing a global ban on all parties and events at Airbnb listings, including a cap on occupancy at 16. This party ban applies to all future bookings on Airbnb and it will remain in effect indefinitely until further notice,” says an Aug. 20 press release posted at the Airbnb website.
“We’ve historically allowed hosts to use their best judgment and authorize small parties such as baby showers or birthday parties if they’re appropriate for their home and their neighborhood. Last year, we began imposing much stricter limits, starting with a global ban on ‘party houses’ – listings that create persistent neighborhood nuisance,” the press release says.
“We also launched a 24/7 neighborhood support hotline to communicate directly with neighbors and help us effectively enforce the party house ban. The hotline is staffed with trained agents so that neighbors can reach us directly with their concerns. Issues raised by Floridians through this hotline led directly to many of the listing suspensions announced today,” the Aug. 20 press release says.
Airbnb complaints and concerns can be reported to Airbnb’s neighborhood support team by calling 855-635-7754. Complaints can also be initiated online at www.airbnb.com/neighbors.
Regarding these recent actions, the Aug. 20 press release says, “This complemented new initiatives to stop unauthorized parties, as well as restrictions on allowing guests under the age of 25 without a history of positive reviews to book entire home listings locally. When the pandemic was declared, and social distancing became an important element in promoting public health and responsible travel, we updated our policies. We started by removing both the ‘event-friendly’ search filter from our platform as well as ‘parties and events allowed’ house rules from any event-friendly listings. Most importantly, we introduced a new policy requiring all users to adhere to local COVID-19 public health mandates.”
In the press release, Viviana Jordan, Airbnb manager of public policy in Florida, said, “It’s critical that we take steps to reduce the number of large parties and events and we support the efforts of local officials to put a stop to irresponsible behavior. We hope to raise greater awareness of our 24/7 neighbor hotline so that we can continue to strengthen the enforcement of our party ban across the state of Florida.”
ANNA MARIA – The city of Anna Maria has concluded that the Airbnb at 302 North Shore Drive does not have to be registered as a vacation rental because it is owner-occupied and has onsite management.
Airbnb operators responsible for tourist tax collection
MANATEE COUNTY – Are you operating or considering operating an Airbnb on Anna Maria Island or elsewhere in Manatee County?
If so, you may want to research the tourist tax requirements imposed on those who rent their property or a portion of their dwelling through Airbnb, VRBO, HomeAway and other online advertising platforms.
Using red letters highlighted in yellow, the following notice is posted at the Manatee County Tax Collector’s website: “Attention all Airbnb, HomeAway and VRBO customers. Please note that Manatee County is not contracted with Airbnb, HomeAway, VRBO or any other third-party vendor. Therefore, it is your responsibility to collect and remit the 5 percent tourist tax to the Manatee County Tax Collector.”
The county’s tourist tax is applicable even if the rental is owner-occupied or has on-site management.
“It doesn’t matter if the person lives on the property. For a short-term rental six months or less, even if it’s a bed, the 5 percent is still due,” said Jan Hilker, assistant to the Manatee County Tax Collector, when contacted last week.
According to the tax collector’s website, “At this time Airbnb only collects and remits the 6 percent sales tax and the 1 percent Manatee County surtax to the Florida Department of Revenue.”
The website also says, “Florida Statute 125.0104 states that every person who rents, leases or lets for consideration any living quarters or accommodations for a term of six months or less should collect and remit the 5 percent tourist development tax and the 7 percent state sales tax.
“While some property owners may simply be unaware of the law, others know the law but choose to evade it. The revenue from this tax helps your local economy. The tax is used to promote and advertise tourism, operate the Bradenton Area Convention Center and finance beach renourishment,” according to the tax collector’s website.
According to the Airbnb website, “In areas that Airbnb has made agreements with governments to collect and remit local taxes on behalf of hosts, Airbnb calculates these taxes and collects them from guests at the time of booking. Airbnb then remits collected taxes to the applicable tax authority on the hosts’ behalf.”
Sarasota County is among the Florida counties that have agreements with Airbnb. Rather than enter into such an agreement, Manatee County Tax Collector Ken Burton Jr. chose to file a yet-to-be-resolved lawsuit against the Delaware-based, San Francisco-headquartered company in April 2018.
The lawsuit seeks from the 12th Judicial Circuit Court a declaratory judgment declaring the tourist tax imposed by Manatee County is due on the amounts received by Airbnb for the rental of private homes, dwelling units or rooms in private homes in Manatee County.
The lawsuit seeks a court order requiring Airbnb to maintain and preserve its records pertinent to the transient accommodations of its clients in Manatee County. The lawsuit also seeks a court order requiring Airbnb to submit an audit of its books and records relating to the short-term rental of transient accommodations in Manatee County.
For more information visit www.taxcollector.com and www.Airbnb.com.
At an April 30 code enforcement hearing, Special Magistrate Karla Owens levied a $250-per-day fine on the rental’s corporate property owner, DLVAMI 302 North Shore LLC. The fine was to accrue until the rental property was registered in accordance with the city’s vacation rental ordinance.
The Manatee County Property Appraiser’s website lists the LLC as the duplex owner with an Anna Maria Post Office box as the LLC’s mailing address. State records list Denise Valley as the LLC manager and 302 North Shore Drive as the address for the LLC, dissolved in September.
The Airbnb website lists Valley’s son, Floyd Calhoun, as the property’s Airbnb host. On Friday, Calhoun met with Mayor Dan Murphy.
“The matter has been resolved and the fines have been eliminated. The city found out this address is Mr. Calhoun’s permanent residence, so, therefore, according to the language in our ordinance, it’s not a vacation rental because he has on-site management,” Murphy said Friday afternoon.
Adopted in 2015, Anna Maria’s vacation rental ordinance says: “It is the intent of this chapter to regulate vacation rentals as defined by Florida Statutes, as well as other transient public lodging establishments that do not have on-site management.”
Calhoun’s thoughts
On Saturday morning, Calhoun met with The Sun to discuss these recent developments.
“The mayor was very gracious. He acknowledged the mistake, apologized and said we’re going to fix this and make it right and retract the entire thing,” Calhoun said.
Calhoun said he, his mom and his three children live in half of the elevated duplex. The other half is used as an Airbnb rental. Calhoun showed his Florida driver license that lists 302 North Shore Drive as his address.
Calhoun said he’s continually maintained an office at that address for the past 10 years and has lived there most of that time. He also uses the ground-level office for his Here Realty business operations. According to the Florida Department of Business and Professional Regulation, Calhoun is licensed as a real estate broker.
Calhoun said the family property was previously used as a VRBO rental and was first advertised as an Airbnb rental last fall. Calhoun said he was surprised this became an issue because similar concerns were raised and resolved in 2016 when Pam Gibbs served as the city’s code enforcement manager.
On July 19, 2016, Calhoun received an email from Gibbs that said, “Per our conversation this morning, I have closed the case and rescinded the citations for noncompliance with the vacation rental ordinance. Since you are occupying one part of the property you are not required to be registered.”
Debbie Haynes now serves as code enforcement manager. Calhoun’s Airbnb operations were brought to the city’s attention in October by the firm the city contracts to conduct online searches for unregistered vacation rentals and those advertising excessive occupancy.
During the April hearing, City Clerk LeAnne Addy said three warnings and notice of the hearing were sent to the LLC’s post office box and no one responded.
The North Shore Drive property and the LLC are currently the subjects of foreclosure proceedings. Calhoun said those proceedings date back to the previous owner and also stem from his own divorce.
When asked why no one responded to the city’s communications, Calhoun said, “Anything coming in for DLV went straight to the attorneys because of the foreclosure.”
Calhoun said if he had known about the hearing, he would have attended, shared the email he received from Gibbs and shown the special magistrate his driver license.
Calhoun suggested the city do a little more due diligence before assuming any wrongdoing, but he acknowledged there aren’t many owner-occupied duplexes left in Anna Maria.
He then praised Murphy and commissioners Brian Seymour and Dale Woodland for helping bring the city to a point where vacation rentals and vacation rental owners are no longer “villainized.”
“With the exception of this weird little anomaly, I think they’ve done a really good job of getting everything in order and becoming more business-friendly and even more vacation rental-friendly,” Calhoun said.
ANNA MARIA – Special Magistrate Karla Owens has levied a $250 per day fine for the unregistered operation of an Airbnb vacation rental at 302 North Shore Drive.
Owens issued this order during the Tuesday, April 30 code enforcement and appeals hearing at Anna Maria City Hall.
The rental at 302 North Shore Drive is being advertised on Airbnb but is not registered with the city in accordance with the city’s vacation rental ordinance.
When issuing her ruling, Owens also gave the property owner, DLVAMI 302 North Shore LLC, until the end of the day to pay $587 in registration fees, pay an additional $150 administrative fee to help cover the hearing costs and provide the city with all documents required to register as a vacation rental.
Owens said if those conditions were not met by day’s end a $250 per day fine would begin accruing the following day and continue accruing until the matter is resolved. According to Mayor Dan Murphy, the Airbnb remained unregistered at week’s end. According to the Florida Division of Corporations website, Denise Valley has incorporated and dissolved four LLCs at that address, including two that list 302 North Shore Drive Suite C as the address.
According to the Airbnb listing, the Airbnb host is named Floyd and four of the five Airbnb reviews posted in April mention Floyd by first name only. The Airbnb listing addressed at Tuesday’s hearing lists a $97 per night rental rate and touts the property as the “best deal on the Island.”
State records list Floyd Calhoun as the registered agent for three dissolved LLCs using the 302 North Shore Drive address – including the dissolved Here Realty LLC that listed both Valley and Calhoun as registered agents.
Neither Valley nor Calhoun attended Tuesday’s hearing.
When presenting the city’s case, City Clerk LeAnne Addy said the unregistered Airbnb was discovered on Oct. 23 by the city’s contracted screen scraping firm that conducts online searches for non-registered vacation rentals.
A warning notice was sent to the LLC’s Anna Maria Post Office box on Oct. 24. A second warning was sent on Nov. 26 and a third on March 7. The last notice stated the alleged infractions would be addressed at the special magistrate hearing if not addressed within five days.
“As of today, they’re still advertising on Airbnb and they’re not registered,” Addy said during the hearing.
Addy said the property owner owes the city a $297 registration fee for 2018 and a $290 registration fee for 2019. The fees are based on the city’s eight-person maximum occupancy allowance for a three-bedroom vacation rental.
City Attorney Becky Vose said the accruing fines would become a lien on the property if unpaid. Vose said if the lien is not addressed and continues to grow the city could eventually pursue foreclosure on the property.
During Tuesday’s hearing, it was not known or noted that the property is already the subject of foreclosure proceedings initiated last July by HMC Assets. Manatee County court records list Valley, DLVAMI 302 North Shore LLC, Calhoun and additional unknown tenants as defendants in the ongoing foreclosure proceedings.
A visit to the property on Tuesday revealed a second address, 302 B, painted near one of the elevated duplex’s four garage doors. The Airbnb website includes a second listing for the property that mentions a pending full-scale remodeling effort and an anticipated total occupancy of 20-plus people.
“There is room for the entire family plus the in-laws plus the cousins,” the second listing says, noting the Airbnb rental has perhaps the largest swimming pool on the Island, spas and enough room to play volleyball.
ANNA MARIA ISLAND – The Manatee County Tax Collector told concerned county commissioners last week that vacation rental owners using Airbnb to rent their local properties online are paying their fair share of tourist tax.
“Tourist tax dollars across all vacation rental platforms, including Airbnb, are being collected and remitted,” Manatee County Tax Collector Ken Burton Jr. told commissioners in a detailed presentation by Burton and his staff.
The report was prompted by a January county commission vote to investigate taking the responsibility for collecting Airbnb tourist taxes away from the tax collector and transferring it to the Florida Department of Revenue (DOR). Commissioners had expressed concern that a 2018 lawsuit that Burton’s office filed against Airbnb to enforce collections was moving too slowly.
The county’s 5 percent tourist tax is collected from owners of accommodations rented for six months or less who charge the tax to their renters, in most cases, tourists. About 50 percent of the tax proceeds are allocated to Bradenton Area Convention and Visitors Bureau tourism marketing efforts, with about 20 percent allocated to beach renourishment and the rest to statutorily-defined uses that benefit tourism.
In 2015, the DOR and Airbnb agreed that Airbnb would collect sales tax from its users in all 67 counties, but would collect tourist tax in only 26 counties, said Michele Shulz, Burton’s director of Field Services and Collections. In the remaining counties, including Manatee, Airbnb rental property owners are on the honor system to remit the 5 percent tourist tax directly to the tax collector.
Burton chose to sue Airbnb rather than sign an agreement that would have required him to waive his ability to audit Airbnb records to identify owners and forced him to discharge past due taxes and penalties owed by Airbnb and all its clients, said the tax collector’s attorney, Janelle Esposito, of the Esposito Law Group.
Entering into such an agreement with Airbnb would violate state law and result in less collection of the tourist tax, she said, adding that the lack of an agreement “does not mean we are not collecting the tax.”
Enforcement
The tax collector has 7,063 vacation rental accounts registered, Shulz said.
Hotels and motels are easy for the tax collector to identify and collect tourist taxes from, but it’s not as easy to determine whether condos (53 percent of the county’s vacation rentals), single family homes (27 percent), multi-family homes, apartments, duplexes, mobile homes, rooms and travel trailers are being rented to vacationers.
Burton’s office uses several methods to uncover vacation rental owners who are dodging the tourist tax, including Harmari, online software that assists in identifying short-term rental properties.
Harmari found that in January in Manatee County, 99.83 percent of vacation rentals using all vacation rental platforms already were registered with the tax collector.
“They only found six new accounts,” Shulz told commissioners.
When Harmari specifically looked at Airbnb rentals on March 1, the program found that 78 percent of Airbnb properties in the county were registered. Out of 210 properties identified, Harmari found 46 unregistered accounts, whose owners have received letters from the tax collector requesting compliance.
If rental property owners do not comply, the tax collector can place a lien on a rental property and garnish income.
“We have a high collection rate,” Shulz said.
Airbnb is growing locally as well as internationally. In 2015, Airbnb accounted for .6 percent of the $11 million in tourist taxes collected in the county, she said. By 2018, Airbnb accounted for 4.2 percent, or about $620,000 of the $14.6 in tourist tax collections.
Airbnb is the second-largest online rental platform used in Manatee County, with about 2,300 properties. The most popular is VRBO, with about 4,750. Flipkey is in third place, with about 2,200, according to the tax collector’s office.
Updated Feb. 14, 2019 – BRADENTON – Local officials are accelerating tourism promotion efforts to overcome the stigma left by red tide since it appeared in area waters in August 2018.
Red tide was one reason that tourism decreased by .8 percent last year, Walter Klages, of Tampa-based Research Data Services, told the Manatee County Tourist Development Council (TDC) on Monday.
But compared to other Florida destinations, Manatee County is doing well, said Klages, Manatee County’s tourism consultant.
Tourism’s economic impact on the county approached $1 billion in 2018 – $973,798,800 to be exact, he said.
While red tide has decreased locally in the past month, “The stigma continues to haunt us,” he said, adding that letting people know about the improvement is “an important part of the message we are promoting.”
The last time the Florida Fish and Wildlife Conservation Commission reported red tide in area waters was Jan. 11. Respiratory irritation has been reported each week since then; winds can blow red tide to areas where the water is clear.
County accepting TDC applications
Manatee County is now accepting applications for a vacancy on the Tourist Development Council (TDC), a citizens advisory committee that makes recommendations to county commissioners on the expenditures of tourist tax revenues.
The nine-member board is seeking one member who is an owner/operator/general manager of a motel, hotel, recreational vehicle park or other tourist accommodation in the county subject to the 5 percent tourist tax in Manatee County. Eligible applicants also must be registered voters of Manatee County.
Applications are due by July 10 and may be found online.
The TDC meets on the third Monday of every other month at 9 a.m. at various locations throughout Manatee County. The term for the vacant seat expires June 30, 2021.
For more information, call Monica Luff at the Bradenton Area Convention and Visitors Bureau, 941-729-9177 ext. 3944 or email her at Monica.Luff@mymanatee.org.
Another reason for the “contraction” in tourism is that the number of vacation rentals, including hotel and motel rooms, condominiums and homes, has increased, causing a 5.8 percent decline in occupancy, he said.
A slowdown in the growth of the county’s tourism-related social media audience also can be traced to red tide, consultant Kevin McNulty said.
“The entire state had impacts from the red tide,” he said. “Because of red tide we had to pause a lot of advertising.”
“We stepped down for almost two months but we are ramping up hard,” including publicity campaigns in New York and the UK, said Elliott Falcione, director of the Bradenton Area Convention and Visitors Bureau (CVB).
Increased traffic on area roads is a good indication that seasonal tourism is thriving again, Klages said.
TDC Chair Carol Whitmore agreed, saying that one day last week, it took her an hour and a half to get from the Longboat Key bridge in Bradenton Beach to Publix in Holmes Beach.
Airbnb tourist tax collections
Whitmore, also a county commissioner, told TDC members that the commission is considering following the lead of other Florida counties that collect tourist taxes from Airbnb vacation rental owners through the state Department of Revenue (DOR), rather than the county tax collector.
She recounted an online search by a relative that found four such vacation rentals on Anna Maria Island, all sleeping 16 people and charging at least $15,000 a week.
“We are not getting that revenue,” she said, noting that one rental is not even fully constructed yet.
The same problem exists in the 11 tourist destinations that Klages works with, he said.
A Manatee County ordinance requires the tax collector to collect the 5 percent tourist tax from owners of accommodations rented for six months or less who charge the tax to their renters, in most cases, tourists.
With no practical way to identify rental owners using Airbnb to offer rental lodging on websites and mobile apps, Manatee County Tax Collector Ken Burton Jr. sued Airbnb in April 2017 to enforce collections.
Airbnb owners are on the honor system to report and pay their tourist taxes.
Manatee County commissioners unanimously voted on Jan. 29 to investigate working with the DOR to collect tourist taxes from vacation rental owners using Airbnb, rather than wait for the lawsuit to conclude.
In other business:
The TDC learned that a concert series at The Center of Anna Maria Island will conclude on April 1 with the Marshall Tucker Band.
The council was updated on the eight-story Sheraton hotel that is planned at the Bradenton Area Convention Center in Palmetto, which will include retail stores and may include a second hotel and an outdoor event area. “This is the most important project we have on the table,” Falcione said, adding that the project is unique from St. Petersburg to Fort Myers.
BRADENTON – Manatee County commissioners have unanimously voted to find another way to collect tourist taxes from vacation rental owners using Airbnb to rent their properties, rather than wait for a lawsuit to conclude.
A county ordinance requires the Manatee County Tax Collector to collect the 5 percent tourist tax from owners of accommodations rented for six months or less who charge the tax to their renters, in most cases, tourists.
Tourist tax scenarios
If you rent out any accommodations for six months or less, the total rental amount is subject to the tourist tax.
If you rent out an accommodation for longer than six months and can provide evidence of a written, long-term lease, you may be exempt from collecting and remitting tourist tax.
If you rent out an accommodation for longer than six months and do not have a written, long-term lease, the total rental amount is subject to tourist tax for the first six months of continuous occupancy.
– Manatee County Tax Collector
With no practical way to identify rental owners using Airbnb to offer lodging on websites and mobile apps, Manatee County Tax Collector Ken Burton Jr. sued Airbnb in April 2017 to enforce collections.
“Our lawsuit is moving at a snail’s pace,” Manatee County Attorney Mitchell Palmer told commissioners on Jan. 29. Airbnb successfully moved the case from circuit court to federal court, but a federal judge sent it back to circuit court, he said, adding that very little has happened in the case since then.
Commissioners voted to have the county attorney’s office investigate options to make sure the county gets its tourist tax proceeds from the anonymous Airbnb users, who are on the honor system to report and pay their tourist taxes.
“Other communities have successfully entered into agreements with Airbnb to collect taxes, so why can’t we?” Manatee County Commissioner Betsy Benac asked. “It seems to me we’re missing out by not working with them.”
At least 20 other Florida counties have made agreements with Airbnb to collect tourist taxes through the Florida Department of Revenue (DOR), Palmer said, noting that Manatee and Collier counties chose lawsuits instead.
The county attorney’s office prepared an ordinance last year that would have taken the collections responsibility away from the Manatee County Tax Collector and transferred it to the Florida Department of Revenue, but commissioners did not act on it, he said, telling commissioners his office will investigate and report on the commission’s options.
“If the board transferred the responsibility to DOR, that would probably moot the tax collector’s lawsuit,” Palmer said.
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