More than half of Chattanooga's short term vacation rentals are being operated without valid certificates, the City Council was told on Tuesday.
UTC's Dr. Chris Acuff told the STVR committee of the council that as of June there were 440 permitted STVRs in Chattanooga and more than that (around 500) of the operators who do not bother to go through the city's system and fees.
Chris Anderson, senior advisor to the mayor, said a "five-figure" software system will allow the city to pinpoint the non-complying operations as soon as it finally gets into operation. He noted that most STVRs do not give the address on the Internet, but the new system will be able to figure it out.
He said those operating outside of the system will be sent letters telling them to comply or face regulatory action by the city.
Mr. Anderson said the city receives only about 10 complaints per year concerning legal STVRs.
Dr. Acuff said approximately one-third of residential properties in the city limits are within 1,000 feet of an Airbnb, 18.8 percent are within 500 feet, and 7.9 percent are within 200 feet.
He said of the 31 municipalities in Tennessee with over 20,000 residents, excluding Chattanooga, five have banned STVRs, 12 only allow them in commercial and/or high-density zones, four allow operation in most zone, and 10 do not regulate them at all.
Chattanooga is currently under a moratorium on new STVRs through January to study the issue - especially as it relates to non-owner occupied units.
Dr. Acuff said some 150 people took part in focus groups about STVRs in May.
He said a leading request was that the city crack down on the non-permitted operators.
One suggestion was that a sign be posted at each STVR that lists how to contact the owner.
The council committee plans to meet again on the issue on Sept. 13 to begin drafting a new ordinance.