Thursday 4 October 2018

[WardFive] CM McDuffie Statement on Short-Term Rentals and Tipped Minimum Wage

Please see the message below from Councilmember McDuffie:

 

Neighbors,

 

On Tuesday the Council took votes on two prominent issues and I wanted to provide you with an update of the legislation, as well as some background on how I arrived at my decisions. I invite you to read below my statements on short-term rental legislation and Initiative 77.

 

In Service,

Kenyan

 

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Short-term Rental Regulation Act of 2018:

 

"On October 2, the Council voted unanimously to support legislation that provides clarity for participants in homesharing, protects the District's housing stock, and preserves the integrity of neighborhoods for residents across the District.

 

My work on this legislation, the Short-term Rental Regulation Act of 2018, began over a year and a half ago. My goals were simple: to create a clear regulatory framework for District residents to participate in homesharing and address a glaring gap in the law that led to increased pressure on our housing market, abuse by commercial operators, and significant health and safety concerns raised by members of the community.

 

This legislation is not a ban on short-term rentals in the District of Columbia. Rather, it updates District law to create a new 'short-term rental' business license. It permits residents to host short-term rentals at their primary residence which includes English basements, carriage houses, or any other unit located on the property.

 

Currently, there is no coherent, enforceable regulation of short-term rentals in the District. Yesterday, we moved toward establishing a sensible regulatory framework that will provide clarity for short-term rental hosts. The legislation supports hosts by streamlining the process. If this bill becomes law, those who wish to participate in homesharing can do so without the burden of navigating the District's current obsolete and inadequate permitting rules. 

 

The legislation has evolved since I introduced it in January 2017 and I have worked to incorporate the ideas and concerns of homeowners and the legislation is now in line with comparable jurisdictions across the country. By limiting hosts to homesharing their primary residence, it limits the number of housing units that will become short-term rentals and thus preserves the District's housing stock. In doing this, the legislation reflects the vision of AirBnB's co-founder and CEO Brian Chesky, who said in jurisdictions where there are housing constraints "we want people to rent the homes they live in and not take units off the market."

 

Moreover, the legislation preserves the character of our neighborhoods and addresses the safety and health concerns raised by members of our communities. It allows homeowners to offer short-term rentals 365 days a year when they are present on the property, and for up to 90 days if the host is away from their home. It also adds an additional layer of safety and accountability by requiring each host to have information on file for a point of contact who is accessible 24 hours a day.

 

I am pleased that the legislation passed unanimously this week on its first vote before the Council and I look forward to final passage, currently scheduled for October 16."

 

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Tipped Wage Workers Fairness Amendment Act of 2018

 

"Over the course of my career, I have worked to protect the rights of some of our most vulnerable residents and I do not take the decision to repeal Initiative 77 lightly. Our work at the Council is often quite challenging, requiring members to consider all sides of an issue to make informed decisions.

 

In my role as Chair of the Committee on Business and Economic Development, I must weigh the concerns of residents and businesses and must carefully evaluate how policy affects our city's workforce and overall economic growth.

 

My decision to support repeal of Initiative 77 is informed by conversations with tipped workers in Ward 5 and across the city. Whether you are a server at a high-end restaurant or a valet at a local hotel—the fact remains that if Initiative 77 was enacted, there would have been detrimental effects on working people, business owners, and aspiring entrepreneurs.

 

At the same time, there are real problems with wage theft, sexual harassment, and discrimination. The legislation voted on yesterday was the result of a collaboration crafted with my colleagues and tipped workers and thoughtfully addresses these aforementioned concerns by: mandating the use of a third-party payroll system; creating an online wage theft portal for employees to file complaints; requiring annual sexual harassment training for owners and managers; and creation of a tipped workers coordinating council that will conduct anonymous case reviews to investigate claims of wage violations for tipped workers.

 

Equally important, given my leadership on addressing racial inequities in the District of Columbia, I must also address the gross mischaracterization that our decision on Initiative 77 was equivalent to black voter suppression. Given my previous experience as a civil rights attorney, I am always sensitive to ensuring that all of my actions and decisions are shaped with a goal to promote equitable outcomes. This is evidenced by my work on the Council. I have introduced, championed, or enacted measures such as the:

 

* Neighborhood Engagement Achieves Results Act of 2015

* Comprehensive Youth Justice Amendment Act of 2016

* Fair Credit in Employment Amendment Act of 2016

* Fair Criminal Record Screening for Housing Act of 2016

* Fair Criminal Record Screening Act of 2014

* Sense of the Council on Establishing Race, Equity, and Social Justice Resolution of 2017

* Charles Hamilton Houston & Other Diverse Washingtonians Commemorative Works Amendment Act of 2017

* Diversity in Fund Management Amendment Act of 2017

 

I appreciate all of the feedback from those who have contacted my office as well as everyone who testified at the September 17 hearing to voice their opinions about this important issue. I look forward to continuing to create an environment where our diverse residents, employees, and businesses can thrive in the District of Columbia."                           

 

 

 

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Nolan Treadway

Communications Director

Office of Ward 5 Councilmember Kenyan R. McDuffie

Chairman Pro Tempore

Chair, Committee on Business and Economic Development

1350 Pennsylvania Avenue, NW, Suite 506

Washington, DC 20004

Main: 202-724-8028

Desk: 202-724-8918

Cell: 202-445-0361

ntreadway@dccouncil.us

www.KenyanMcDuffie.com

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