By James Windell
What the public talks about in the public comments portion of the South Haven City Council meetings is always a foreshadowing of later events in that meeting. So it happened on Monday, July 21, 2025.
The second person to come up to the podium in the City Hall Council Chambers, Keith Kalinowski, raised objections to the proposed STR fee schedule. “Certain sections of the schedule are unclear and arbitrary,” he said. After detailing the new fees, he ended with a question: “Shouldn’t there be a direct correlation between the fees charged and the expenses incurred?”
Kathleen Benn, the fifth person to come to the podium, identified herself as the President of North Shore Condominiums. Although she said that more clarification was needed regarding the fee schedule, she concluded by saying that the new fees were “excessive taxation.”
Later, when the fee schedule came up for consideration by the council, City Manager Kate Hosier explained that the new fee schedule was related to staff time, including city attorney time, in processing STR applications and renewals.
Hosier noted that a new category of fees was added to the fee list required of STRs. That is a Zoning Compliance fee of $900.00. Hosier added that the city does not make money from STR fees. “We need to cover what programs costs there are to oversee and manage it,” she said.
Councilman Joe Reeser said that the city needs more money for enforcement of the STR ordinance and he said, “I am in favor of more money for enforcement.” Hosier responded to that by reiterating that, “It is not to make money, but to cover costs.”
Councilwoman Mary Hosley said she did not support raising fees for STRs. She indicated her concern that “law-abiding STRs” were being asked to shoulder the burden caused by “non-compliant STRs.” She said that the city needed to find a way to fund enforcement of STR regulations.
The city attorney pointed out that the city council had the right to change the proposed fees, but that the new fee schedule was “Our estimate of appropriate fees.” City Attorney Eberle said that “We are not saying that fees are there to cover enforcement. It’s simply the cost to administer the program.”
Items and fees in the proposed schedule are:
Initial Zoning Compliance Determination — $900.00
Subsequent Zoning Compliance Determination (same property) — $250.00
Application and Inspection Fee (Class I) — $450.00
Application and Inspection Fee (Class II) — $250.00
Inspection No Show / Late Cancellation –$150.00
Reinspection Fee (Class I and Class II) — $150.00
Licensing Fee (Class I) – 2 years — $750.00
Licensing Fee (Class II) – 2 years — $250.00
Appellate Fee (appeals under Section 14-507) — $500 + $1,500 escrow
All fees are non-refundable and unused escrow funds will be returned within 60 days of the hearing officer’s final decision.
Further discussion ensued, including councilwoman Hosley’s concerns about STR parking violations and enforcement of parking violations by those renting STRs.
Finally, though, a motion was made to approve Resolution 2025-26, which was formally defined as a “resolution to approve a fee schedule for the administration of the short-term-rental program established under Article V of Chapter 14 of the City Code.” The motion was passed with only a single no vote – cast by Hosley.
