August 29, 2022

New Orleans City Council Passes Legislation to Pause Short-Term Rental Expansion Amidst Council Reconsideration 

NEW ORLEANS - The New Orleans City Council has passed legislation filed by Council Vice President JP Morrell for an Interim Zoning District (IZD) to be established city-wide to control the influx of new short-term rental (STR) applications.

The passage of the IZD follows the Federal Appellate Court ruling, which ruled that the New Orleans ordinance barring out-of-state owners from possessing “whole home rentals” is considered unconstitutional. The ruling opens the floodgates for investors to convert residential homes into neighborhood-based enterprises, further exacerbating an already debilitating affordable housing crisis. 

“Today’s passage of the IZD allows for the City Council to address the deluge of new applications flooding the system,” stated Council Vice President JP Morrell. “We are not going to rush through a legislative process that will affect our residents' quality of life and livelihood for generations to come. Reevaluating the Comprehensive Zoning Ordinance (CZO) is going to take time, and this IZD will ensure that the City Council has the ability to get the job done right. This legislation will lead to STR applications expiring at the end of the IZD period so that all STRs will be required to adhere to the new, more restrictive STR ordinance that will be in place at the end of the IZD period. The goal is to bring all STRs into the more restrictive regime at the same time.” 

“The proliferation of short-term rentals in our neighborhoods due to lax regulation and enforcement is drastically affecting our housing affordability," said Council President Helena Moreno. "Regardless of the court’s ruling, this Council must act to protect our neighborhoods and our people from further displacement. I applaud Council Vice-President Morrell for his tenacity and leadership in addressing the issue.”

Further, the City Council will be considering requirements for every residential STR in the city of New Orleans to have significant signage indicating that the property is designated for short-term rentals, as well as additional information such as who the owner is, the permit number, the sites the property is listed on and with a 24/7 accessible phone number tied to a responsible person who is required to address complaints.

“This additional stop-gap measure is necessary to increase accountability during the STR revision process and is a preview of how definitive and restrictive the new STR regime will be after the IZD expires,” said Morrell. “Failure to comply and address complaints lodged against a property will lead to termination of the permit.” 

Review the IZD filed by Councilmember Morrell here


Media Contacts:
Monet Brignac-Sullivan
Director of Communications
Councilmember-at-Large JP Morrell

Andrew Tuozzolo
Chief of Staff
Councilmember-at-Large Helena Moreno
New Orleans City Council
The New Orleans City Council is the legislative branch of the New Orleans city government. The Council considers and enacts all local laws that govern the City of New Orleans. The Council also approves the operating and capital budgets for the City, as recommended by the mayor, and continually monitors revenues and expenditures for local government operations. The City Council is also the regulatory body for public utilities. It also reviews and has the final say on many land use and zoning matters, as well as considers major economic development projects for the City. As a Board of Review for Orleans Parish, the Council examines appeals of property tax assessments for real estate taxes and certifies tax rolls to the Louisiana Tax Commission. Other responsibilities of the Council include overseeing the operation of the public access television in Orleans Parish. Streaming video and video archives of the City Council's Regular and Committee meetings can be found on the City Council website.

The City Council is comprised of five districts and Councilmembers-at-large: Council President and Councilmember-at-Large Helena Moreno; Council Vice President and Councilmember-At-Large JP Morrell; District "A" Councilmember Joseph I. Giarrusso, III; District "B" Councilmember Lesli D. Harris; District "C" Councilmember Freddie King III; District "D" Councilmember Eugene J. Green, Jr.; and District "E" Councilmember Oliver M. Thomas, Jr.
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