[Amended 5-16-2023 by L.L. No. 7-2023]
A.
Vacation rentals generally prohibited. It shall be unlawful and a violation of this chapter for any person or entity that owns, rents or manages property on Shelter Island to rent, lease, or advertise for rent any such property or any portion thereof (including any accessory apartment or accessory sleeping quarters) in any residential (A, AA and C) zone for a period of 14 days or less unless specifically permitted under § 105-30B or C below.
B.
Permitted vacation rentals. The following shall be permitted notwithstanding § 105-30A above so long as the property is properly registered under § 105-20; proper notification is made under § 105-21; and at registration the owner selects one of the following:
(1)
Homesteader's hardship license. A residential property on Shelter
Island that is the owner's primary residence may be rented one
time in each seven-day period between and including Memorial Day weekend
and Labor Day weekend and one time in every fourteen-day period at
all other times pursuant to the homesteader's hardship license,
provided that:
(a)
At the time of registration the owner submits proof of the following:
[1]
That the property to be rented is receiving a basic or enhanced
star exemption; and
[2]
The owner has an annual gross income (less net rental income)
of less than 500% of the United States Department of Health and Human
Services Poverty Guidelines which must be verified each registration
period by submission of an appropriate redacted copy of federal income
tax returns for the most recent tax year. Tax returns shall be reviewed
to determine eligibility then returned or destroyed. No income tax
records will be maintained by the Town; and
(b)
Each qualifying owner and such person's nuclear family
(including owner, domestic partner and minor children) is collectively
limited to one homesteader's hardship license.
(c)
The homesteader's hardship license may not be combined
with other permitted vacation rentals to increase the number of rentals
allowed.
(d)
The term shall commence on the first day of occupancy.
(2)
Limited commercial vacation rental license. Vacation rentals are
permitted pursuant to a vacation rental license as follows:
(a)
License. An owner (to include his or her nuclear family) not exempted by § 105-30B(1) above and who has not had a previous license suspended or revoked on Shelter Island, upon application, may obtain to license one property on Shelter Island for use as a vacation rental; and
(b)
Frequency of rental. A vacation rental license permits the owner
to rent the licensed premises one time in any fourteen-day period;
and
(c)
Commencement of rental period. The fourteen-day period referenced
above shall commence on the first day of the term of the initial rental
and continue for the 13 following days; and
(d)
License term. A vacation rental license shall be valid for two
calendar years to run concurrent with property registration at which
time it must be renewed.
(e)
License fee. The fee for the vacation rental license shall be
set by the Town Board.
(f)
Multiple licenses prohibited. No owner may be issued a vacation
rental license if such person (or any member of his or her nuclear
family) owns any interest in another property on Shelter Island for
which they have already received or applied for a vacation rental
license.
(g)
Corporate ownership. Any legal entity other than a natural person
(including but not limited to a corporation, LLC, trust or partnership)
may not be issued a vacation rental license on Shelter Island, if
any owner, partner, member, settlor, trustee, beneficiary, shareholder,
officer, or director of that entity already holds or has applied for
a vacation rental license for another property.
(h)
Corporate disclosure. Any partnership, trust, LLC or corporate
applicant for a vacation rental license must provide documentation
naming all partners, members, settlors, trustees, beneficiaries, shareholders,
officers and directors, and submit a statement verifying that none
of those named are partners, members, settlors, trustees, beneficiaries,
shareholders, officers and directors, of any other corporation or
partnership, or an individual owner that already holds or has applied
for a vacation rental license on Shelter Island.
(i)
Nontransferable. The vacation rental license is specific to
the property described on the license and to the individual or entity
named on the permit. The vacation rental license may not be transferred,
assigned or passed through an estate and does not authorize any person,
other than the person named therein, to permit or arrange vacation
rentals on the licensed property.
(j)
Agent required. The owner(s) of the vacation rental property
must execute a written statement, which designates an agent for service
for criminal and civil process pursuant to § 318 of the
Civil Practice Law and Rules and must be either:
(k)
Obligation to update address. Every owner of vacation rental
property shall ensure that the address for service of process is current
and shall advise the Town Clerk whenever the address is changed.
(l)
Neighbor contact. The owner must provide the Town of Shelter
Island and to all neighbors within 200 feet of the property line of
the vacation rental with:
[1]
Owner's personal cell phone number to call in the event
of problems with the vacation rental; and/or
[2]
The name and telephone number of a local contact person including
name, address, phone number, and email address designated as the owner
or owner's agent or representative who resides on Shelter Island.
(3)
Fund-raising rentals. Vacation rentals are permitted without limitation
for the purpose of fundraising on the premises of Taylor's Island
Foundation; the Nature Conservancy (Mashomack); Sylvester Manor or
any other nonprofit charitable organization that seeks and obtains
a waiver from the Town Board.
