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Home My WebLink About11305-26 Amending Chapter 21 of the South Bend Municipal Code to Implement a Special Exception for Short-Term Rentals ORDINANCE No . 11305_26 Passed by the Common Council of the City of South Bend, Indiana September 14, 20 26 Attest: City Clerk Bianca L. Tirado Attest: --� President of Common Council Presented by me to the Mayor of the City of South Bend, Indiana September 15, 20 26 City Clerk Bianca L. Tirado Approved and signed by me SCr�t.Mt r 20 26 Mayor AO UTIi E1 \\ ‘ cj; : ,, '\ \ ;. 'ti 1865 SECOND SUBSTITUTE BILL NO. 53-26 ORDINANCE NO. 11305-26 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING CHAPTER 21 OF THE SOUTH BEND MUNICIPAL CODE TO IMPLEMENT A SPECIAL EXCEPTION FOR SHORT TERM RENTALS STATEMENT OF PURPOSE AND INTENT The City of South Bend ("City") has adopted a comprehensive Zoning Ordinance to regulate the location and use of land and buildings, as authorized by Indiana Code 36-7-4 et seq.; and The rental of residential property for short term rental to overnight guests is not addressed in the Zoning Ordinance or elsewhere in the Municipal Code; and The City recognizes that allowing short term rentals in some residential areas provides alternatives to hotel accommodations for visitors; and Short term rentals help the City accommodate the many visitors who attend infrequent special events where local hotel capacity is exceeded; and Many property owners who provide short term rental accommodations are able to invest in home repairs, upgrades, and preservation projects that would otherwise be unaffordable; and Taxes collected from short term rentals contribute to a reliable source of revenue to the City; and Certain areas of the City are less compatible for short term rental uses and the City wishes to more effectively regulate where short-term rental uses are to be permitted, as allowed by state law; and Providing for a special exception for short term rentals, as authorized by Indiana Code 36- 1-24 et seq. allows for reasonable regulation of short term rentals; and These regulations will encourage and promote the continued residential character of neighborhoods, long-term housing supply, and public safety within neighborhoods by reducing nuisances commonly associated with short term rentals; and Adoption of these regulations is consistent with the City's comprehensive plan; and The City finds that these regulations are needed to adequately protect the public health, safety, and welfare of its residents and guests; and Indiana Code 36-1-24 et seq. allows a political subdivision to establish and enforce a special exception for short term rentals, subject to certain conditions and limitations. NOW THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA as follows: SECTION I. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-02.02 Definitions is hereby amended as follows: Dwelling. Any building, or portion of a building, which is designed or used primarily for residential purposes, including a 1 unit dwelling, 2 unit dwelling, and multi-unit dwelling but not including hotels or bed p. breal-f sts lodging. SECTION II. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-03.01 S1 Suburban Neighborhood 1, subsection (c) Principal Uses is hereby amended as follows: Lodging BeE1-&-Bfeakfast Hotel Special Exception * 21-06.01(h)(1) Short Term Rental Special Exception * 21-06.01(h)(2) SECTION III. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-03.02 S2 Suburban Neighborhood 2, subsection (c) Principal Uses is hereby amended as follows: Lodging Hotel Special Exception * 21-06.01(h)(l) Short Term Rental Special Exception * 21-06.01(h)(2) SECTION IV. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts,Section 21-03.03 U1 Urban Neighborhood 1,subsection (c) Principal Uses is hereby amended as follows: Lodging Hotel Special Exception * 21-06.01(h)(1) Short Term Rental Special Exception * 21-06.01(h)(2) SECTION V. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts,Section 21-03.04 U2 Urban Neighborhood 2,subsection (c)Principal Uses is hereby amended as follows: Lodging Bed & Breakf st Hotel Special Exception * 21-06.01(h)(1) Short Term Rental Special Exception * 21-06.01(h)(2) SECTION VI. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts,Section 21-03.05 U3 Urban Neighborhood 3, subsection(c) Principal Uses is hereby amended as follows: Lodging Hotel Special Exception * 21-06.01(h)(1) Short Term Rental Special Exception * 2 1-06.01(h)(2) SECTION VII. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-03.06 OF Urban Flex, subsection (c) Principal Uses is hereby amended as follows: Lodging Bed & Breakfast Allowed * 21 06.01(h)(1) Hotel Special Exception Allowed subject to Conditions * 21-06.01(h)(2)(11 Short Term Rental Special Exception * 21-06.01(h)(2) SECTION VIII. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-03.07 NC Neighborhood Center, subsection (c) Principal Uses is hereby amended as follows: Lodging Allowed * 21 06.01(h)(1) Hotel Allowed * 21-06.01(h)(3W Short Term Rental Special Exception * 21-06.01(h)(2) SECTION IX. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-03.08 DT Downtown, subsection (c) Principal Uses is hereby amended as follows: Lodging Bed Q, Breal f st Allowed * 21 06.01(h)(1) Hotel Allowed * 21-06.01(h)(- 3W Short Term Rental Special Exception * 2 1-06.01(h)(2) SECTION X. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-04.02 U University, subsection (c) Principal Uses is hereby amended as follows: Lodging Bed p, Breakf st Allowed* 21 06.01(h)(1) Hotel Allowed * 21-06.01(h)(2)(1) Short Term Rental Special Exception * 21-06.01(h)(2) SECTION XI. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-04.03 C Commercial, subsection (c) Principal Uses is hereby amended as follows: Lodging Bed p• Bre"kf st Allowed * 21 06.01(h)(1) Hotel Allowed * 21-06.01(h)(23W Short Term Rental Special Exception * 21-06.01(h)(2) SECTION XII. Chapter 21, Zoning, of the South Bend Municipal Code, Article 3 Standard Districts, Section 21-04.04 I Industrial, subsection (c) Principal Uses is hereby amended as follows: Lodging Bed p, Bre kf st Allowed* 21 06.01(h)(1) Hotel Allowed * 21-06.01(h)(- (1) Short Term Rental Special Exception * 21-06.01(h)(2) SECTION XIII. Chapter 21, Zoning, of the South Bend Municipal Code, Article 6 Standard Uses, Section 21-06.01 Principal Uses, Table 21-06A Principal Uses by Zoning District is hereby amended as follows: Lodging SI, S2, U1, U2, U3, NC, DT, U, C, I Bed & Breakfast Hotel Hotel Lodging UF Hotel Allowed Allowed subject to Conditions* Lodging Si, S2, U1, U2, U3, UF,NC, DT, U, C, I Short Term Rental Special Exception* SECTION XIV. Chapter 21, Zoning, of the South Bend Municipal Code, Article 6 Standard Uses, Section 21-06.01 Principal Uses, subsection (h) Lodging is hereby amended as follows: (1) Hotel room cooking facilities. Includes related ancillary facilities, such as dining and meeting rooms.A facility that provides temporary lodging for compensation. Includes such uses as bed & breakfasts and resorts. Includes related ancillary facilities, such as dining facilities, meeting rooms, and other incidental services. (A) Standards: (i) The dwelling shall be the primary residence of the owner. residence. (iii) No more than five guest rooms,and no more than ten guests at any one time, are-peed (iv) Occupancy by any one guest shall not exceed 30 cumulative nights within nth n oa (i) Guest rooms shall be accessed from the interior of the building, including from interior courtyards, lobbies, or halls. (ii) A hotel with more than 5 guest rooms shall provide a bathroom for each room. (iii) In a Si, S2, U1, U2, U3, or UF district, hotels shall have no more than 5 guest rooms and shall appear residential in character. (2) Hotel A f cility that p ides to p...-ary 1. ,grogngs f ation t i cuv—raacp , � , � 7 9 , ineitlental-sepoiees,, (A) Standards. (i) Rooms shall be accessed from the interior of the building, including from interior courtyards, lobbies, or halls. (ii) A bathroom shall be provided for each room. (iii) In a UF district, hotels shall have no more than 5 guest rooms. (2) Short Term Rental A property that provides temporary lodging in a dwelling for terms of less than thirty(30) days at a time typically through a short term rental platform and holds a short term rental permit with the City. Excludes owner-occupied short term rentals as defined by IC 36-1- 24-3, as amended, which are permitted in all districts. (A) Standards: (i) A short term rental shall maintain a residential appearance consistent with its physical context. SECTION XV. This Ordinance shall be effective January 1, 2027, following its passage by the Common Council and approval by the Mayor. 2------- Canneth J. Lee, Council President South Bend Common Council Attest: Bianca L. Tira o, 1 Clerk Office of the City Clerk Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the City of South Bend, Indiana on the 15th day of September_, 2026, at 12_o'clock p.m. Bianca L. Tiradi Clerk Office of the City lerk w4 t � Approved and signed by me on the ZL day of S+i-w, , 2026, at y o'clock f.m. Jam Mueller, Mayor Ci of South Bend, Indiana