Property owners sue over Tybee Island short-term rental rules

TYBEE ISLAND, Ga. (WTOC) - A Chatham County judge heard arguments Wednesday on whether the City of Tybee Island’s short-term vacation rental ordinance is legal.

Tybee Alliance, a collective of property owners on the island, filed the lawsuit in January 2023 in relation to the city’s Short Term Vacation Rental, or STVR, ordinance.

Part of the ordinance requires STVR permit-holders to renew each property’s permit every year, as well as submitting an occupational tax certificate. The ordinance also allows for the City to inspect STVRs if a complaint is made.

Legal arguments focus on property classification

Lawyers for the City and for Tybee Alliance argued to Judge Christopher Middleton about how they believe Georgia law should be interpreted when it comes to STVRs.

Tybee Alliance argued the ordinance violates Georgia code, which bars local governments from requiring the registration or inspections of residential rental properties, unless there’s probable cause that city code has been violated.

Tybee Alliance argues that STVRs qualify as residential rental properties, while the City of Tybee Island made arguments that STVRs are not residential rental properties but are commercial properties. The City also contends Georgia law allows licensing and regulation of STVRs.

“To get to the City’s side of this case, you’ve got to use an inference about, somehow, residential rental properties doesn’t apply to residences that are rented on Tybee Island, if they’re rented for less than 30 day,” said an attorney for Tybee Alliance.

Phillip Thompson, attorney for City of Tybee Island, said “Plaintiffs ultimately want the court to determine that ‘residential rental properties’ mean different things in different parts of the code, despite the fact there isn’t any justification for doing so.”

Tybee Alliance is asking for a decision to be made about whether the ordinance is legal and enforceable.