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Real Briefings

City of Bellingham Hearing Examiner

BEL-HEX-2025-03-26 March 26, 2025 Public Hearing City of Bellingham
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The City of Bellingham Hearing Examiner conducted a contentious 3-hour public hearing on a variance request that has become a flashpoint in debates over short-term rentals, housing policy, and neighborhood character. Patrick and Catherine Sutton are seeking permission to operate their detached accessory dwelling unit (DADU) at 1017 Liberty Street as a short-term rental, which is currently prohibited by city ordinance in residential single-family zones. The case centers on Bellingham Municipal Code 2010.037.B.5.C, which explicitly prohibits short-term rentals in detached ADUs within residential single general use areas like the historic Seahome neighborhood. The Suttons built their 624-square-foot DADU in 2022-2023, after the prohibition was enacted in 2018 and strengthened in 2021. City staff recommended denial, arguing the applicants fail to meet any of the three required variance criteria. The hearing revealed deep neighborhood divisions and raised fundamental questions about property rights versus community planning goals. Seven residents testified against the variance, with concerns ranging from precedent-setting implications to parking and neighborhood character. Only one person testified in support. Public comments revealed suspicion about the applicant's motives, with neighbors noting that Patrick Sutton is a real estate attorney who specializes in short-term rental litigation and has a website advertising this expertise. The city's argument rested on three pillars: the special circumstances are of the applicant's own making (they chose to build a detached rather than attached ADU), granting the variance would undermine the city's housing preservation goals, and the property can be reasonably used under existing regulations for long-term rentals of 30+ days. The applicants countered that bedrock conditions made a basement infeasible, neighborhood character dictated their building choices, and that short-term rentals are "generally permitted" uses that shou

No formal votes were taken, as this was a quasi-judicial hearing where the Hearing Examiner will issue a written decision at a later date. The matter before the Examiner was: **Variance Application 2024-001** - Patrick and Catherine Sutton seeking variance from BMC 2010.037.B.5.C to allow short-term rental use of detached ADU at 1017 Liberty Street - **Staff Recommendation:** Denial (does not meet variance criteria) - **Applicant Position:** Approval (meets all three variance criteria) - **Public Comment:** 7 speakers against, 1 speaker in suppor…

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**Short-Term Rental Prohibition Background** The city's prohibition on DADU short-term rentals emerged from extensive public process in 2018, with updates in 2021. Development Services Manager Kurt Nabefeld explained that when the city first allowed detached ADUs in residential single-family zones, the community insisted they be preserved for long-term housing, not short-term rentals. The ordinance includes a provision that if citywide rental vacancy rates reach 4% or higher, the City Council shall review whether to allow DADU short-term rentals. Current vacancy rates are 2.25%. **Variance Criteria Analysis - First Prong: Special Circumstances** The most contentious debate centered on whether the applicants face special circumstances beyond their control. Patrick Sutton argued that bedrock 4 feet below ground made basement construction economically infeasible, while many neighboring properties have basement rental units that can legally operate as short-term rentals. He also claimed neighborhood character requirements forced them to build a smaller main house with separate rear structure, matching the historic pattern of modest homes with rear outbuildings. City staff rejected this argument, noting the lot was completely cleared with no critical area restrictions, giving the applicants a "blank slate" to build whatever they wanted. Staff argued the choice to build detached rather than attached was voluntary and defeats the variance criteria. **Housing Supply Arguments** A major philosophical divide emerged over housing supply imp…
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**Patrick Sutton (Applicant):** Argued variance criteria are satisfied due to bedrock conditions, neighborhood character constraints, and that short-term rentals are reasonable uses generally permitted in the city. Emphasized his housing development activities elsewhere and criticized the city for blocking new housing construction while claiming to address housing crisis. **City Staff (Emmy Scherer, Kurt Nabefeld, James Erb):** Maintained applicants chose detached construction voluntarily, property can be reasonably used for long-term rentals, and granting variance would undermine Council's express policy intent to preserve DADUs for long-term housing. **Neighborhood Opposition (7 speakers):** - Adrienne Wang: Described variance as "specialized" exception completely of applicant's making, with many alternatives to achieve attached ADU - Lakita Bach (Kitty): Long-time resident and realtor who questioned …
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**Hearing Examiner Rajiv Majumdar, on the role of intent:** "It's actually irrelevant to me, when any individual applicant comes forward to exert what property rights they may, under the code. As long as it meets the code. As long as that intent is permitted by the code." **Patrick Sutton, on housing supply:** "The housing supply is dictated by the housing supply. And as we know, there is a housing emergency because we don't have enough houses. And we built a house." **Patrick Sutton, on his…
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The Hearing Examiner will issue a written decision on Variance Application 2024-001 after reviewing all evidence and testimony from the proceeding. No timeline was specified for the decision. The case will likely be appealed to Whatcom County Superior Court regardless of the outcome, as indicated by the Hearing Examiner's comment that "I can almost guarantee no matter whatever decision I come to, this probab…

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The hearing established a complete evidentiary record for the Hearing Examiner's decision, including 17 admitted exhibits and extensive public testimony. Key factual disputes were clarified, including basement feasibility claims and neighborhood character arguments. The city's legal position was clarified through Deputy City Attorney James Erb's argument that the Hearing Examiner lacks authority to grant use variances for specifically prohibited uses - a jurisdictional challenge that could dispose of the case without reac…
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# Short-Term Rental Variance Sparks Neighborhood Debate The Bellingham Hearing Examiner convened at 6:00 PM on March 26, 2025, to hear one of the more contentious land use cases in recent memory: a variance request by Patrick and Catherine Sutton to operate a short-term rental in their detached accessory dwelling unit (DADU) at 1017 Liberty Street in the historic Seahome neighborhood. What unfolded over the course of the evening was a clash between individual property rights and community concerns about housing policy, neighborhood character, and the precedent such a decision might set. Hearing Examiner Rajiv Majimdar, sitting pro tem, opened by explaining his role in this quasi-judicial process. Unlike a trial court, he emphasized, he cannot change laws or judge their constitutionality — his job is to apply the facts to existing regulations and determine whether the applicant meets the legal criteria for a variance. ## The Legal Framework and City's Position The dispute centers on Bellingham Municipal Code 2010.037, which regulates short-term rentals. The law, initially passed in 2018 and amended in 2021, specifically prohibits short-term rentals in detached ADUs within residential single-use zones like Seahome. The ordinance was crafted to "balance the economic opportunity created by short-term rentals with the need to maintain the city's housing supply and protect the rights and safety of owners, guests, and neighbors." City planner Emmy Scherer presented the staff's recommendation to deny the variance, arguing that the Suttons failed to meet any of the three required criteria. First, she contended there were no special circumstances beyond the applicant's control — they chose to build a detached rather than attached ADU. Second, granting the variance would be detrimental to public welfare by removing potential long-term rental housing from the market. Third, the property can be reasonably used under existing regulations through 30-day or longer rentals. Development Services Manager Kurt Nabefeld provided crucial context about how the …
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### Meeting Overview Hearing Examiner Rajiv Majumdar presided over a variance hearing for Patrick and Catherine Sutton, who sought permission to use their detached accessory dwelling unit (DADU) at 1017 Liberty Street as a short-term rental. The city's Planning and Community Development Department recommended denial of the variance. ### Key Terms and Concepts **Variance:** A legal deviation from standard zoning rules that can be granted when specific criteria are met, including special circumstances not caused by the owner's actions, no undue detriment to public welfare, and inability to reasonably use the property under existing regulations. **Detached Accessory Dwelling Unit (DADU):** A separate housing structure on the same property as a primary residence, limited to specific uses under Bellingham's zoning code. **Short-term Rental:** Under Bellingham Municipal Code 2010.037, any rental for fewer than 30 consecutive days. These are generally permitted in residential zones but prohibited in detached ADUs in residential single zones. **Primary Residence:** A dwelling where the owner or long-term tenant lives for at least 270 days per year. Short-term rentals are limited to 95 days annually in primary residences. **Residential Single Zone:** A zoning designation that allows single-family homes and attached ADUs for short-term rental, but prohibits detached ADUs from short-term rental use. **BMC 2018.010:** The Bellingham Municipal Code section governing variance procedures and criteria. **Seahome Neighborhood:** A historic residential area in Bellingham with many century-old homes, where the subject property is located. **Hearing Examiner:** An independent official who reviews land use decisions and applications, serving as a quasi-judicial body for the city. ### Key People at This Meeting | Name | Role / Affiliation | |---|---| | Rajiv Majumdar | Hearing Examiner Pro Tem | | Patrick Sutton | Applicant and attorney representing himself and wife Catherine | | Emmy Scherer | Planner II, Planning and Community Development Department | | Kurt Nabfeld | Development Services Manager, Planning and Community Development | | James Erb | Deputy City Attorney | | Adrienne Wang | Neighbor and public commenter | | Lakita Bach | Longtime neighborhood resident and realtor | | Anne Christine Furman | Mason Street resident | | Kevin Garrity | Bellingham resident and realtor, supporting applicant | | Carrie Ann Spike | Key and Maple Street resident | | Karen Burroughs | 24-year neighborhood resident | | Sherry Russell | Liberty Street resident | | Christy Bowker | Hearing Examiner Clerk | ### Backg…
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Housing Land Use & Planning Government Operations BMC 2010 037 BMC 2018 010 BMC 2030 030 Bellingham Planning Development City Council Hearing Examiner Office Seahome Neighborhood State Legislature Whatcom County Superior Court Adrienne Wang Anne Furman Catherine Sutton Christy Bowker Emmy Scherer James Erb Karen Burroughs Kerry Spike Kevin Garrity Kurt Nabefeld Lakita Bach Patrick Sutton Rajiv Majumdar Sherry Russell Basement Feasibility Bedrock Conditions Detached Adu Historic District Housing Crisis Housing Emergency Housing Supply Infill Development Legal Jurisdiction Legal Precedent Neighborhood Character Parking Concerns Precedent Setting Property Rights Public Testimony Rental Housing Rental Vacancy Rate Seahome Neighborhood Short Term Rental Variance Criteria