Locals threaten to oust state GOP lawmakers who stopped short-term rental reform

Furious Arizona voters are threatening to vote out Republicans after the Legislature declined to consider short-term rental regulations this session, dashing any hope they had for change in the immediate future.

Residents have repeatedly asked state lawmakers to clamp down on short-term rental companies, such as AirBnb and VRBO, which they say have transformed peaceful neighborhoods into disruptive party zones and priced out locals from living where they work.

This year, a group of bipartisan residents was hoping the Legislature would return cities' power to limit the number of short-term rentals in an area and regulate the rentals in the same manner as hotels. Former Gov. Doug Ducey took that authority away in 2016, when he signed a law that prevented cities from banning short-term rentals and required them to treat short-term rentals the same as long-term rentals.

But Republican lawmakers declined to consider Republican Rep. Selina Bliss's proposal to limit short-term rentals in the Regulatory Affairs subcommittee this week, meaning it has no chance of advancing to Gov. Katie Hobbs' desk to be signed into law.

Bipartisan residents and business owners who came together to lobby the Republican-controlled state House of Representatives say they feel shortchanged.

They had come together as the "Protect Our Communities" coalition and discussed the legislation with Senate President Warren Petersen, said leaders Jennifer Tanner and Ann Kelley. House Speaker Ben Toma canceled a requested meeting at the last minute, Tanner said.

More: Nearly 100 Arizona communities have begun a new push for short-term rental control

Kelley, who leads Sedona's Republicans of the Red Rocks group, said Petersen was upfront about his refusal to support such regulations. But, she said, she was also told that Republican leadership would at least consider the bills in subcommittee, which didn't happen.

Now, Kelley feels like it was "just a ruse." And while she's not ready to switch parties and vote for a Democrat, she's hearing from other Republicans who are.

Arizona voters not feeling heard

It's unclear what tangible consequences residents' frustration could pose for Republican lawmakers' re-election chances. Even Kelley acknowledges short-term rentals are just one of many important issues for Arizona voters. But the backlash reflects a sentiment among voters who feel unheard by their government representatives.

More: Will $10,000 convince Sedona homeowners to rent to locals instead of tourists? City wants to find out

Ashwin Patel, from Mesa, owns Southwest Hospitality Management, a hotel and restaurant company with locations in greater Phoenix, Sedona and Flagstaff.

Patel said he has employees in Flagstaff who live 50 miles away because they can no longer afford to live in the area. He believes it's due to short term rental companies buying up all the affordable housing stock.

Now he's contemplating voting for Democrats because he thinks they are showing more leadership and willingness to solve the problem.

"I've been a Republican, and I am conservative, and I am about the free economy. But in this particular case, my own GOP party legislators are doing something that negatively affects me, my business, my employees and my community," Patel said. "For that reason alone, I might not give them my vote this year."

Republicans supportive of more short-term rental regulation offer myriad arguments. The way Patel views it, it's unfair that hotels and Airbnbs play by a different set of rules.

Kelley said residents' property rights are taking a back to seat to corporations.

"I chose to live in a neighborhood, and I'm losing that," she said.

Republicans searching for where the blame lies

Warren Woodward, another Sedona Republican, said it's a matter of local control.

"Republicans have abandoned their long term principle, which is local control," Woodward said. Short-term rentals are "an invasion of residential neighborhoods. ... Either you have residential zoning or you don't, and there's reasons for zoning. They've managed to carve out an exception."

More: Sedona now offering deed restrictions to prevent more short-term rentals

Kelly and Tanner, of Protect our Communities, have placed most of the blame on Toma and Petersen, as the most powerful Republicans in the Legislature.

In email chains, the Protect our Communities group has encouraged some 500 residents across the state to reach out to Toma and Petersen and threaten to switch parties "unless leadership steps up to pass these bills."

Toma and Petersen did not respond to a request for comment from The Arizona Republic. Chairman of the Regulatory Affairs subcommittee Laurin Hendrix also did not respond to request for comment from The Republic.

Asked what happens next, Tanner said Protect our Communities would work to identify political candidates supportive of regulating short-rent rentals and get them elected. The group is currently keeping tabs on the Senate's District 2 seat, the area near the Interstate 17 and Loop 101 intersection, plus the House seats in District 4, around Paradise Valley and Scottsdale, and District 23 in southwestern Arizona.

More: Phoenix passes new short-term rental regulations, but with little hope it will help

Tanner said the group is interested in backing Democratic Rep. Judy Schweibert for the Senate and working to oust Matt Gress in District 4 and oust Michele Pena in District 23.

"Republican Leaders have underestimated the anger building up in towns across Arizona," Tanner said. "We believe that residents will choose saving their community over party loyalty."

Taylor Seely covers Phoenix for The Arizona Republic / azcentral.com. Reach her at [email protected] or by phone at 480-476-6116.

This article originally appeared on Arizona Republic: Locals threaten to oust Republicans who killed short-term rental regs