By Rick Harvey
RHarvey@CarrollCoNews.com
If the Eureka Springs Planning Commission/Board of Zoning Adjustment gets its way, there will be at least a temporary halt on new bed and breakfast locations opening up in any residential area.
The commission voted unanimously at its Jan. 10 meeting to ask the Eureka. Springs City Council to put a six-month moratorium on new B&B’s in any of the city’s designated R1, R2 and R3 areas.
The city put a halt to new tourist lodging in residential areas in late 2021, but that didn’t include B&B’s.
“Recently, we had someone that was interested in applying for a bed and breakfast in what is now currently a multi-family residence,” said Ann Tandy-Sallee, commission chair. “Unfortunately for them, they were right next to a bed and breakfast that already exists, which falls within the 200-foot rule, so it’s not allowed.
“My concern is for our permanent residents and not seeing any more tourist lodging come into R1, R2 and R3 areas. Tourist lodging is no more other than what exists, but that doesn’t include bed and breakfast. I’d like to go to city council and request a moratorium six months to a year to allow us time to research this. There’d be no more bed and breakfast, no more additions, and let’s do some workshops with the public to see what they have to say.”
Commissioner Susan Harman, who owns a bed and breakfast, agreed with the idea, saying the focus needs to be on residential housing.
“I really think the focus should be on creating spaces within Eureka Springs for residential properties,” Harman said. “And if we’re going to continue to allow those residential properties to turn into something else, then our numbers become smaller and smaller.
“I know we have Berryville really close by and we have Holiday Island really close by, but we still have areas within Residential 1, 2, and 3 that are prime for residential properties as opposed to tourism.
“I know that people have kind of taken advantage of our residential neighborhoods for sure over the last five years. So, I would be on the side of doing away with any type of B&B’s in residential neighborhoods and figuring out what we can do to promote whatever extra land that is available out there for residential properties.”
The focus should be on affordable housing for residents, not short-term rentals, Tandy-Sallee said.
“I just feel like it’s such a big topic right now of not having enough affordable housing or housing in general for people here within the city limits,” she said. “It’s not just Eureka, it’s all over the country that these homes have been taken advantage of … and they were allowed to, it wasn’t illegal or anything like that. But they can make more money on a tourism-type of establishment in one of those home than they can if they were to rent it out monthly. But it’s taking away from that residential aspect of that particular building.”

Harman responded: “The thing is, it’s not like we’re short on tourist lodging; they’re everywhere. We have plenty in Eureka, so it’s not like this is an invasion of tourist lodging here in Eureka, be it Airbnb or whatever. … There are plenty of buildings that are being used for that purpose, not only in residential buildings but commercial areas as well.
“I’ve always felt we need to preserve our residential neighborhoods.”
The proposal the commission will suggest to the city council includes that any current B&B property will be grandfathered in during the moratorium if the ownership transfers.
“So, wherever they are right now, that’s where they will remain,” Tandy-Sallee said. “If they sell, they can transfer.”
Commissioner Ferguson Stewart said if something isn’t done Eureka Springs will turn into a “transient community.”
“I think we have to work on this situation,” he said. “We’ll lose the residential residents we have now … and that is not what we want for Eureka.”
While the proposal is for a six-month pause, the commission did say that the moratorium could be extended in the future if it goes into effect.
“I’d like to put a little fire under us and city council to figure out what the plan is within the first six months,” Harman said.