HISPANIC FEDERATION, THE GRADUATE SCHOOL OF PLANNING OF THE UNIVERSITY OF PUERTO RICO, & EL ENJAMBRE COLECTIVO HOST SUMMIT RECOMMENDING MORE REGULATIONS OF SHORT-TERM RENTALS IN PUERTO RICO

The summit, Nos Quedamos: Alternativas Justas Para Regular Los Arrendamientos a Corto Plazo en Puerto Rico, continues discussion started by an independent report on the impact of short-term rentals. 

The Hispanic Federation/El Enjambre report has re-energized public discourse about the immediate future of short-term rentals and a new call for public hearings from the Puerto Rican legislature.  

Photos and a video recap can be accessed here. 
  

PUERTO RICO - Hispanic Federation (HF), the Graduate School of Planning, and El Enjambre Colectivo co-hosted a one-day event attended by more than 300 diverse community stakeholders in Puerto Rico representing multiple sectors to discuss the impact of short-term rentals (STRs) on the archipelago and the community-driven solutions that can protect and preserve communities. 

In less than a decade the number of STRs in Puerto Rico has risen from approximately 1,000 in 2014 to more than 25,000 in 2023. The event - Nos Quedamos: Alternativas Justas Para Regular Los Arrendamientos a Corto Plazo en Puerto Rico brought together local, United States, and international voices with experience on this issue to discuss the impacts of the industry on housing and communities and evaluate fair and sustainable policy solutions that benefit all communities and people who stay in Puerto Rico. It built off a comprehensive report that highlighted how this dramatic increase in STRs since 2014 combined with the lack of robust regulation has led to significant community challenges across Puerto Rico such as limited housing access, displacement, and quality of life concerns.  

“We have seen an incredibly positive reception from this report in the media, the community and ultimately members of the legislature who are currently considering various legislation regarding short term rentals, said Frankie Miranda, president and CEO of Hispanic Federation. He added, “We call on the Puerto Rican legislature to move forward with public hearings to get more community input on this important issue. We hope this conference will serve as the first of many other community conversations that will move needed policy change in Puerto Rico.” 

The summit included remarks by Keynote Speaker Leilani Farha, current Global Director of international human rights organization, The Shift, and former United Nations Special Rapporteur on the right to adequate housing. She discussed how the growth in short-term rentals is part of a concerning global shift towards the commodification of housing and away from a basic human right.  According to Farha, “The growth of short-term rentals in Puerto Rico is a real concern. While lucrative for investors, STR’s decrease the amount of long-term housing options while increasing the cost. I urge policy makers in Puerto Rico to do what the government is obliged to do: defend the right to adequate, affordable housing of the local population. Cities like Barcelona and New York are paving the way; Puerto Rico would be wise to follow!” 

In addition, the audience heard from Celeste Sparks, Short Term Rental Administrator for the City of New Orleans, and Christian Klossner, Executive Director of the Office of Special Enforcement for New York City, who both oversee short-term rental regulation enforcement in their respective areas. They explained how STR are regulated and the resulting benefits of these policies.  

“I am looking forward to sharing the licensing and enforcement process of short-term rentals in the City of New Orleans. I hope the information provided can serve as a guide towards positive change for the residents of Puerto Rico,” expressed Celeste Sparks, Short Term Rental Administrator for the City of New Orleans.  

Y. Frank Southall, Organizing and Community Engagement Manager at Jane Place Neighborhood Sustainability Initiative in New Orleans spoke to similarities between concerns in Puerto Rico and his city and how community advocates have responded. “At Jane Place we have been doing work around the social, economic, and political aspects of short-term rentals for ten years. We know the devastating impacts of unregulated str on working-class families and the erosion of quality of life it can bring. We are excited to share our information and experiences, holding the short-term rental economy accountable. We hope that the government of Puerto Rico is able to come up with community-driven and people-centered solutions to this key housing justice issue.” 

During other plenary discussions, diverse speakers from Puerto Rico’s community, academic, business and political sectors examined the myths and realities associated with short-term rentals, the real impact of STRs on neighborhoods and businesses, and how Puerto Rico could apply the days learnings to strengthen local policies.    

A complete schedule, speaker list, and panel descriptions that took place can be found here.  

In addition to the plenaries, the event included a presentation by local community leaders of their community manifiesto, which centered on five principal policy asks that include recognizing the right to housing and permanence of communities, distinguishing between owners of multiple STR units versus small scale operators earning subsistence earnings, adapting policies to protect certain lands and environments, mechanism for monitoring and enforcement, and ensuring community participation in decision-making.  

The comprehensive report that initiated this conversation, entitled - Proposals for Reducing the Impact of Short-Term Rentals (STRs) on Community Displacement - was commissioned by Hispanic Federation to El Enjambre and was produced through interviews with diverse, affected communities, STRs sector representatives and experts, and other key stakeholders. Its release has led to renewed calls for stricter regulations and for the Puerto Rico legislature to open public hearings and amendments on the STRs policy, proposed law 1557, currently under their consideration in the Senate. 

The community-driven policies that were discussed at the summit, and included in the report, include classifying certain short-term rentals as businesses and applying the licenses, permits, and other applicable commercial activity requirements; distinguishing between owners of multiple short-term rental units from those with primary residences they occasionally rent out to supplement their income; increasing the room tax from its current 7% to a range of 9-11% to support oversight and public services; and community participation in decision-making; among other specific regulatory changes. None of the report's participants recommended a ban on STRs, noting that there are some benefits of this commercial activity. However, they pointed out the urgency of regulating them to achieve a fair balance between these benefits and the negative impacts they may have on the community in which they are located. 

 
ABOUT HISPANIC FEDERATION’S WORK IN PUERTO RICO 
Hispanic Federation's long-term commitment to Puerto Rico began more than five years ago, when Hurricane Maria made landfall. HF was a first responder to the crisis and has been a major funder and driver of Puerto Rico’s recovery efforts, investing more than $53 million in philanthropic investments to advance Puerto Rico’s just and sustainable recovery from natural disasters and the COVID-19 Pandemic. HF has collaborated with over 150 community organizations and dozens of major initiatives across Puerto Rico, contributed to over 250 rooftop solar energy projects, and bolstered over 2,500 small businesses, micro-entrepreneurs, and farmers. In September of 2022, Hispanic Federation released a comprehensive report - Building a Stronger and More Resilient Puerto Rico - detailing the success and impact of these recovery efforts and the road ahead to build Puerto Rico’s resilience. An update on this work was provided in October 2023. 
 

ABOUT HISPANIC FEDERATION: 

Hispanic Federation (HF) is a nonprofit membership and advocacy organization, founded in 1990, committed to empowering and advancing the Hispanic community, with a focus on low-income, marginalized and immigrant Latinos. With programs in 40 states, Puerto Rico, the U.S. Virgin Islands and the District of Columbia, HF’s focus areas include immigration, economic empowerment, civic engagement, disaster relief, philanthropy, education, health, and the environment. HF also maintains ongoing public education campaigns and meets the organizational development needs of its member agencies through grant-making and capacity-building assistance. 

ABOUT EL ENJAMBRE: 

El Enjambre accompanies and advises organizations that work towards justice and equity, and that seek to strengthen their work. Its cofounders, Lyvia N. Rodríguez Del Valle and Alejandro Cotté Morales each have more than 28 years of experience in participatory planning, action, and reflection and in the management of public policy, innovative instruments, and institutions with an agenda defined by the grassroots community. Lyvia is a regional and urban planner with ample executive experience and in topics of self-managed settlements, tenancy, city and environment. Alejandro is an organizer and community social worker with a doctorate in political science. Both are adjunct professors at the University of Puerto Rico. For this report, the team was joined by Mikael Rosa Rosa, political science doctoral candidate at the University of Chicago, and by Raúl Santiago Bartolomei, housing expert and associate professor in the Graduate School of Planning at the University of Puerto Rico, Rio Piedras.  

ABOUT ESCUELA GRADUADA DE PLANIFICACION DE LA UNIVERSIDAD DE PUERTO RICO: 

The Graduate School of Planning, located in the University of Puerto Rico, Río Piedras Campus, was established by Certification # 70 of the Puerto Rico Higher Education Council of April 30, 1965. It is the only program in Puerto Rico that offers a program of study leading to a Master in Planning, with a specialization in four areas: Urban and Territorial, Society and Environment and in Economic Development and Community. Currently it is the only Puerto Rican graduate program in planning with a professional accreditation and affiliations with national organizations in the US and Latin America. 

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