2019-02-12 Attachment 1 to Item 7 - Short Term Accom Online Platform Issues Paper

 Cancellation
 Registration may be cancelled when:
 (a) Any material change occurs to the application details on the basis of which the certificate of
     registration was issued.
 (b) Council receives no less than three substantiated complaints concerning the activities taking place at
     the dwelling from residents located within the proximity of the dwelling over a rolling period of 12
     months.
 (c) A substantiated complaint is of such severity that immediate cancellation is warranted.
 Standard of Management
 The use of the dwelling must comply with the Code of Conduct applicable to the Local Law.
 The use of the dwelling is not to impact on the peace expected to be enjoyed by surrounding residents.
 The owner is to provide adjoining neighbours on all boundaries and neighbours immediately across the
 road from the dwelling with the current contact details of the designated contact person.
 Offences
 The Local Law employs a penalty system for offences, using the same meaning of Penalty Unit as the
 Sentencing Act 1991.
 Offences include:
 -    Not doing something required to be done, or doing something forbidden to be done by or under the
      Local Law and associated Code of Conduct.
 -    Failing to comply with a notice to comply.
 -    Accepting a rental booking for a short stay rental accommodation not registered within the
      requirements of the Local Law.
 -    Causing or permitting any act or omission which is a contravention of the Local Law or associated
      Code of Conduct.


6.8      Auckland Council, New Zealand
In 2017, Auckland Council introduced an Accommodation Provider Targeted Rate (APTR), as a
response to increasing tourism and need for accommodation. The rates were applied to commercial
providers such as hotels, motels and other serviced apartments. This ensured that commercial
accommodation providers were contributing to the Auckland Tourism, Events and Economic
Development (ATEED) organisation, on the premise that the commercial accommodation industry
benefits from work undertaken by ATEED.

In early 2018, Auckland Council proposed changes to the APTR to include short-term rentals,
recognising that online platforms are now one of the most popular mediums of finding
accommodation in Auckland. The changes to the APTR came into effect from 1 July 2018.

The changes include a targeted accommodation rate, or bed tax, that will be applied to short-term
rental accommodation providers, applying to those using Airbnb and other similar platforms to
generate income. The aim of the bed tax is to apply a similar fee to that placed on hotels and other
commercial providers, with the location, occupancy and value of the residence taken into account
when Auckland Council calculates the charges.

The rate charged is partially determined by declared occupancy, with all short-term rental properties
charged business rates in a graduated scale if let for more than 28 nights per annum. The location
approach means that different areas within the Auckland region are charged different rates, with a
division of the region in Zones A, B and C. As expected, central suburbs are impacted the most,
whilst some outer districts are exempt from the rate.



Short Term Accommodation - Online Platform Response Issues Paper                                     Page 26