Owner Occupied Bills Move Forward

The 2 proposed bills about owner occupied STRs that have been in the pipeline since last fall are both on the agenda for tomorrow night’s Metro Council meeting. 


First introduced in November, 2019, BL2019-79 would impose restrictions on new owner occupied STRsAn amended substitute version of the bill was released today (see page 13) and states:

  • Other than for a legally permitted detached accessory dwelling unit; for a legally permitted accessory apartment; or for a two-family residential unit under common ownership with a two-family unit on the same lot (ie HPR, duplex, DADUS with a 2-family unit on the same lot), advertisements for an owner-occupied STRP shall not advertise availability of entire/whole home for STRP use.
    • In short, this means the majority of new owner occupied permits issued would not be allowed to list as whole home rentals.
    • Based on the Tennessee Short Term Rental Unit Act, existing permit holders should be grandfathered in under the laws that existed at the time their original permit was issued. However, due to the past experience of many permit holders, we fear that legally-operating grandfathered owners may have this new law enforced against them and be required to defend their grandfathered status in court.
  • The original version of the bill stated that the owner shall reside onsite at all times the property is being used as an STRP and shall not be permitted to be temporarily absent from the dwelling unit for longer than 15 consecutive hours within any 24 hour period while the property is being used as an owner-occupied STRP rental. This has been removed from the substitute bill. 

Read the full details of this bill »

UPDATED 11/22/20: Substitute bill passed into law on November 17, 2020.

UPDATED 11/11/20: Substitute bill passed second reading (public hearing) on November 5, 2020. Third reading is scheduled for November 17, 2020.

UPDATED 9/2/20: Second reading (public hearing) was deferred until November 5, 2020 (a Thursday rather than Tuesday due to Election Day).



First introduced in October, 2019, BL2019-7 would change the regulations regarding owner occupied STRs in two-family dwellings with multiple owners. This bill would allow:

  • If the two-family dwelling units are owned by different persons, and each unit is the primary residence of the corresponding owner, then each owner may be issued a separate owner-occupied permit. No more than two (2) permits may be issued per lot for these two-family dwelling units, and only one (1) permit may be issued per dwelling unit.
  • You would still be able to apply for an owner-occupied permit if you owned both units of the two-family dwelling and you occupy one as your primary residence and pull the owner-occupied permit on the second dwelling.

Read the full details of this bill »

UPDATED 11/22/20: Third reading was deferred until July 7, 2021.

UPDATED 11/11/20: Bill passed second reading (public hearing) on November 5, 2020. Third reading is scheduled for November 17, 2020.

UPDATED 9/2/20: Second reading (public hearing) was deferred until November 5, 2020 (a Thursday rather than Tuesday due to Election Day).


As always, we encourage you to reach out to Metro Council to voice your thoughts, concerns, and questions. 

EMAIL METRO COUNCIL

The public hearing for these bills will be virtual, making it easier than ever to make public comment. Council meeting starts at 6:30 PM tomorrow, September 1, 2020. You can watch via your computer, smartphone/tablet, or TV. Then you’d phone in when the Bill is up for discussion, and, just as you would in-person, you’ll have 2 minutes to speak.

Access all the details about how to participate remotely in Metro Council public hearings here »

Share this article