The FTC needs to hear the LEGAL B&B STORY!

[Copperhead]

EDITED TO ADD: So you understand this is about the Airbnb type of businesses - the Uber car sharing.... We, the licensed businesses, need to let the FTC know how these fly by night 'businesses' affect those that followed the law when opening and running our businesses.
The Federal Trade Commission has formed a Committee to discuss the current rave 'sharing economy'. The committee is meeting on June 9th.
Air has just sent their hosts an email asking for everyone to submit their story 'to help better understand how the sharing economy affects everyday Americans throughout the country. ' The FTC has set up this form in order to submit comments to be considered for the workshop. These comments must be submitted by May 26, 2015. Additional comments can be submitted until August.
I believe it is very important for our industry as well as independent hotels to state our side of the issue. Please take the time to submit your comments and please share this information with your state or local B&B associations as well as your neighboring innkeepers.

Please sound off here things that should be captured in each of our comments to make sure we all provide information that should be considered.

 

[gillumhouse]

I plan to speak to the fact I am licensed, insured, pay all fees required by State, County, and Municipality, undergo all inspections required by State and County in addition to the inspection required by my State Association. I have installed CO/Smoke detectors and all other devices and requirements imposed by the laws and Codes of my State, County, and Municipality. I collect and remit taxes in accordance with the law. Since I am legally listed as a business, I also pay higher real estate taxes. The "Sharing Economy" is not sharing the burden of taxes, fees, and safety features I am required to have and paid for - their version of sharing does not include sharing the burden of regulations and expenses thereof. And since homeowners insurance does not cover commercial, the safety of the Public that I am told the regulations are in place to protect are not being protected.

 

[JimBoone]

When I was young, that's been a few years, my grandmother had a large home, the family included an uncle, a couple of unmarried daughters, a married daughter and family and at times other assorted guests, that was sharing. At mom & dad's home my Papa Durham lived with us for a time, other family, friends and some of dad's seafaring friends stayed at our home when they were in town, that was sharing, I don't see a problem with that sort of sharing, however when international companies are promoting room rentals world wide, I'm sorry, that's no longer sharing, that's a business a lot larger than most on this forum and that business should be responsible for the paying of taxes and all of the rules and regulations that are expected of the rest of us here on the forum.

 

[undersea]

I plan to speak to the fact I am licensed, insured, pay all fees required by State, County, and Municipality, undergo all inspections required by State and County in addition to the inspection required by my State Association. I have installed CO/Smoke detectors and all other devices and requirements imposed by the laws and Codes of my State, County, and Municipality. I collect and remit taxes in accordance with the law. Since I am legally listed as a business, I also pay higher real estate taxes. The "Sharing Economy" is not sharing the burden of taxes, fees, and safety features I am required to have and paid for - their version of sharing does not include sharing the burden of regulations and expenses thereof. And since homeowners insurance does not cover commercial, the safety of the Public that I am told the regulations are in place to protect are not being protected..

The impact of Uber/Lyft says it all; this news heading on Boing Boing: Taxi Medallions sales collapse across America
After all, if anyone can ignore applicable regulations, why bother? Why follow any law I consider inconvenient?
How about this - they outlaw each and every website that exists on the premise of creating a market that ignores prevailing law. Anyone reporting for work at any of these companies risks immediate arrest for conspiracy to evade local/state/federal laws. That should take care of the problem.
This sort of argument is already going on against Uber and others for pretending the workers are independent contractors instead of employees.
Or why bother with the pain of waiting 10 years for am immigrated citizen to bring a family member over, when they can just have them walk over the border and ignore immigration law?

 

[Iris]

When I was young, that's been a few years, my grandmother had a large home, the family included an uncle, a couple of unmarried daughters, a married daughter and family and at times other assorted guests, that was sharing. At mom & dad's home my Papa Durham lived with us for a time, other family, friends and some of dad's seafaring friends stayed at our home when they were in town, that was sharing, I don't see a problem with that sort of sharing, however when international companies are promoting room rentals world wide, I'm sorry, that's no longer sharing, that's a business a lot larger than most on this forum and that business should be responsible for the paying of taxes and all of the rules and regulations that are expected of the rest of us here on the forum..

well said!

 

[user 26]

Can we not get into political arguments about immigration? Let's stick to the issue of legal b&b's.

 

[gillumhouse]

I plan to speak to the fact I am licensed, insured, pay all fees required by State, County, and Municipality, undergo all inspections required by State and County in addition to the inspection required by my State Association. I have installed CO/Smoke detectors and all other devices and requirements imposed by the laws and Codes of my State, County, and Municipality. I collect and remit taxes in accordance with the law. Since I am legally listed as a business, I also pay higher real estate taxes. The "Sharing Economy" is not sharing the burden of taxes, fees, and safety features I am required to have and paid for - their version of sharing does not include sharing the burden of regulations and expenses thereof. And since homeowners insurance does not cover commercial, the safety of the Public that I am told the regulations are in place to protect are not being protected..

At first I misread and was trying to tighten up my comment - thought it was 400 characters. THEN saw it was 4000. This is what I ended up submitting:
I am licensed, insured, pay all fees required by State, County, and Municipality, undergo all inspections required by State and County in addition to the inspection required by my State Association. I have installed CO/Smoke detectors and all other devices and requirements imposed by the laws and Codes of my State, County, and Municipality. I collect and remit taxes in accordance with the law. Since I am legally listed as a business, I also pay higher real estate taxes. The idea of business is to make a profit. I DO list on Airbnb looking at it as another place to be found a la “if you cannot beat them, join them”. I DO OBJECT to the listings that are not legally registered as businesses
The "Sharing Economy" is not sharing the burden of taxes, fees, and safety features I am required to have and pay for - their version of sharing does not include sharing the burden of regulations and expenses thereof. And since homeowners insurance does not cover commercial, the safety of the Public that I am told the regulations are in place to protect are not being protected. When attempting to get bed & breakfasts into the Fire Codes of the State of West Virginia, I was told by the State Fire Marshal the metal folding ladders we were asking to be required as fire escape measures were not up to any Code and therefore could not be used – “we have to protect the safety of the Public”. With the “Sharing Economy” not being registered, licensed, inspected, nor proof of insurance, how are we protecting the Safety of the Public?
I do not fear competition when all are paying the same fees, taxes, and following the same Codes and laws and dictates of the Government, paying the onerous insurance rates to protect and indemnify the Public.
Continue the “Sharing Economy” as it is being called and legal tax-paying and tax-collecting businesses WILL go out of business because we cannot survive with non-tax-paying, non-tax-collecting entities siphoning off our business. They can charge lower rates because they are not paying fees and taxes and insurance. They are not being inspected and paying the inspection fees. Close down the legal businesses and watch the revenues needed to support government dry up. The “Sharing Economy” is not sharing with the government.

 

[EmptyNest]

Can we not get into political arguments about immigration? Let's stick to the issue of legal b&b's..

Agree...our rule has always been NO RELIGION AND NO POLITICS on this forum!

 

[Tom]

Can we not get into political arguments about immigration? Let's stick to the issue of legal b&b's..

Agree...our rule has always been NO RELIGION AND NO POLITICS on this forum!
.

True in general, but occasionally admissible as it may be directly relevant to our business, such as news items about legal issues with a B&B denying service to the public based on religious objections.

 

[undersea]

Can we not get into political arguments about immigration? Let's stick to the issue of legal b&b's..

Agree...our rule has always been NO RELIGION AND NO POLITICS on this forum!
.

True in general, but occasionally admissible as it may be directly relevant to our business, such as news items about legal issues with a B&B denying service to the public based on religious objections.
.

The entire AirBnb/Uber problem is 100% political. It is a matter of picking the ones that some like.

 

[Breakfast Diva]

I plan to speak to the fact I am licensed, insured, pay all fees required by State, County, and Municipality, undergo all inspections required by State and County in addition to the inspection required by my State Association. I have installed CO/Smoke detectors and all other devices and requirements imposed by the laws and Codes of my State, County, and Municipality. I collect and remit taxes in accordance with the law. Since I am legally listed as a business, I also pay higher real estate taxes. The "Sharing Economy" is not sharing the burden of taxes, fees, and safety features I am required to have and paid for - their version of sharing does not include sharing the burden of regulations and expenses thereof. And since homeowners insurance does not cover commercial, the safety of the Public that I am told the regulations are in place to protect are not being protected..

At first I misread and was trying to tighten up my comment - thought it was 400 characters. THEN saw it was 4000. This is what I ended up submitting:
I am licensed, insured, pay all fees required by State, County, and Municipality, undergo all inspections required by State and County in addition to the inspection required by my State Association. I have installed CO/Smoke detectors and all other devices and requirements imposed by the laws and Codes of my State, County, and Municipality. I collect and remit taxes in accordance with the law. Since I am legally listed as a business, I also pay higher real estate taxes. The idea of business is to make a profit. I DO list on Airbnb looking at it as another place to be found a la “if you cannot beat them, join them”. I DO OBJECT to the listings that are not legally registered as businesses
The "Sharing Economy" is not sharing the burden of taxes, fees, and safety features I am required to have and pay for - their version of sharing does not include sharing the burden of regulations and expenses thereof. And since homeowners insurance does not cover commercial, the safety of the Public that I am told the regulations are in place to protect are not being protected. When attempting to get bed & breakfasts into the Fire Codes of the State of West Virginia, I was told by the State Fire Marshal the metal folding ladders we were asking to be required as fire escape measures were not up to any Code and therefore could not be used – “we have to protect the safety of the Public”. With the “Sharing Economy” not being registered, licensed, inspected, nor proof of insurance, how are we protecting the Safety of the Public?
I do not fear competition when all are paying the same fees, taxes, and following the same Codes and laws and dictates of the Government, paying the onerous insurance rates to protect and indemnify the Public.
Continue the “Sharing Economy” as it is being called and legal tax-paying and tax-collecting businesses WILL go out of business because we cannot survive with non-tax-paying, non-tax-collecting entities siphoning off our business. They can charge lower rates because they are not paying fees and taxes and insurance. They are not being inspected and paying the inspection fees. Close down the legal businesses and watch the revenues needed to support government dry up. The “Sharing Economy” is not sharing with the government.
.

Excellent! Well done.

 

[happykeeper]

Can we not get into political arguments about immigration? Let's stick to the issue of legal b&b's..

Agree...our rule has always been NO RELIGION AND NO POLITICS on this forum!
.

True in general, but occasionally admissible as it may be directly relevant to our business, such as news items about legal issues with a B&B denying service to the public based on religious objections.
.

The entire AirBnb/Uber problem is 100% political. It is a matter of picking the ones that some like.
.

One could certainly agree that the solution to the "fair playing field" dilemma is going to be a political one.

 

[user 26]

Immigration and how undersea views that situation should be removed from undersea's post.

 

[Copperhead]

People, lets stay focused here. This is a big opportunity for us to have our voices heard regarding this topic.
Believe me that Air will be doing its part to enlighten the FTC on the 'value' of home sharing. They are actively drumming up support each and every day.

 

[gillumhouse]

People, lets stay focused here. This is a big opportunity for us to have our voices heard regarding this topic.
Believe me that Air will be doing its part to enlighten the FTC on the 'value' of home sharing. They are actively drumming up support each and every day..

Each of us needs to submit a comment - MAY 26 - THAT IS TUESDAY - is the deadline for this form

 

[Skamokawa]

People, lets stay focused here. This is a big opportunity for us to have our voices heard regarding this topic.
Believe me that Air will be doing its part to enlighten the FTC on the 'value' of home sharing. They are actively drumming up support each and every day..

Each of us needs to submit a comment - MAY 26 - THAT IS TUESDAY - is the deadline for this form
.

Done. Thanks for the reminder.

 

[happykeeper]

I submitted the following on the form:
Small businesses that are obligated to operate under a set of rules are being driven out of business by informal operators that have none of the overhead associated with operating legitimately.
The majority of listing on sites like AirBNB are not operated by a single individual but but large operations that have dozens or even hundreds of listings, many of which are disguised and difficult to track.
Enormous amounts of tax dollars that are supposed to be collected from these operations go uncollected, further reducing the ability of agencies that regulate our industry to enforce existing laws.
Thank You

 

[Aussie Innkeeper]

An innkeeper friend of mine, who is more involved with state issues than I am (she may also testify at the hearing) just sent me this e-mail regarding the FTC and Air:
"I recently did a little research on the rentals in my county NOT listed with our county treasurer and NOT collecting the county room tax (and I assume not collecting state tax and not approved by their zoning officers and…etc).
I found 28 properties in **** County. I then looked at their nightly rates and calculated the amount NOT going to help our CVB promote our county. Based on just a 40% occupancy, I figured out that my county is missing approximately $20,156.76 this year."
That's ONE county in our state! Just one! And her county is not a big one for tourism either.