The first legal challenge against the West Manatee Fire Rescue district’s new vacation rental inspection program has launched.
Holmes Beach-based C&D Properties of AMI LLC sued WMFR Feb. 27, maintaining the district’s new fire assessments violate state law.
The district covers Anna Maria Island and west Bradenton and includes about 2,700 registered rental properties.
WMFR implemented a vacation rental inspection program in fiscal 2023-24 that involves annually inspecting every transient public lodging establishment for compliance with the Florida Fire Prevention Code.
The program — led by four staff members — is intended to improve fire safety in the district’s vacation rentals, where 73% of last year’s residential fires occurred.
However, the program comes with increased fire assessments for rental properties — fees that help cover the cost of administering the program.
Owners of TPLEs who previously paid residential assessment rates are now assessed as commercial properties.
Due to that change, the district is projected to raise $1,699,633.65 more in tax assessment revenue this year than it raised in fiscal 2022-23.
C&D’s lawsuit argues that vacation rentals are residential properties and cannot be taxed at a commercial rate.
The lawsuit asks the court for declaratory and injunctive relief regarding such assessments, including:
- A declaration that WMFR “cannot tax vacation rentals at the commercial rate because doing so violates the state preemption of the regulation of vacation rentals … and therefore, is invalid;”
- Permanent injunctive relief to bar WMFR from taxing C&D at its commercial rate;
- An order requiring WMFR refund “wrongfully collected taxes from assessments to vacation rental owners;”
- Supplemental relief such as attorney’s fees and court costs.
WMFR has until April 1 to respond.
The district’s legal counsel, Maggie Mooney of the Lakewood Ranch-based Persson, Cohen, Mooney, Fernandez & Jackson law firm, told WMFR commissioners March 19 that they should hire specialized counsel.
Mooney presented a proposed agreement with the Tallahassee-based law firm of Bryant, Miller, Olive, to enlist the help of attorneys Christopher Roe and Alan Zimmet.
She said the firm charged a $300 hourly litigation rate and a $295 hourly associate rate.
Mooney said the district’s insurer indicated it would deny coverage for the defense of the lawsuit but would reimburse up to $100,000 in legal costs if WMFR proved successful.
There was no public comment or discussion from the commission.
Commissioner David Bishop moved to approve Mooney’s recommendation.
Commissioner Billy Burke seconded the motion, which passed.
Now that the district has secured a legal team, Mooney said Roe and Zimmet could begin working on a responsive pleading.
She added that she would organize shade meetings so commissioners and staff could discuss strategy.
New fire engines
Commissioners also unanimously voted to approve the purchase of two fire engines for about $1,800,000 from Ocala-based E-ONE.
WMFR Chief Ben Rigney said the cost would be paid upon delivery, which was projected to take 28-36 months.
The commission will meet next at 5 p.m. Tuesday, April 16, at WMFR’s administrative building, 701 63rd St. W., Bradenton.
Directions to attend via Zoom can be found on the district’s website, wmfr.org.