[PAGE 1] FEBRUARY 11th 2026 COMMITTEE OF THE WHOLE MEETING- SESSION A AGENDA Date: Wednesday February 11, 2026 Time: 6:00 PM Location: 108 E Green Street Council Chambers 3rd Floor Watch Online: https://www.youtube.com/@CityofIthacaPublicMeetings 1. Call To Order 1.1. Emergency Evacuation Notice 1.2. Agenda Review 2. Agenda Review 2.1. January 14th, 2026 COW-A Meeting Minutes 3. Special Presentation 3.1. Bonadio Presentation 4. Department Overview 4.1. Planning & Development Dept Overview 4.2. Ithaca Police Dept Overview 4.3. Ithaca Fire Department Overview 5. Housing 5.1. Housing Strategies 5.2. STR Updates 6. Economic & Community Development 6.1. Proposed Expansion of the Planned Unit Development Overlay District 7. Sustainability, Adaptability, and Resilience 7.1. Bond Authorization for "Green Hydrogen as a Non-Wires Alternative" Project 7.2. Climate Action Plan/Intro to IGND 8. Human Services & Quality of Life 9. Meeting Wrap-Up No Public Comments Not all meetings include a Public Comment segment. The City of Ithaca wants to hear from you and encourages community members to share comments with the Common Council using the option below. To Submit Written Comments please use the link below. Public Comment Form Written comments submitted will be compiled and entered into the record. 1 [PAGE 2] CITY OF ITHACA 108 East Green Street, Ithaca, New York 14850-6590 City Manager's Office Shaniqua Lewis, Deputy City Clerk MEMORANDUM TO: COMMITTEE OF THE WHOLE MEETING A FROM: Acting City Manager, Dominick Recckio DATE: February 11, 2026 RE: Bonadio Presentation ITEM #: 3.1 The Bonadio Group is continuing to work with the City to review and improve financial systems and reporting. Representatives will be present at the February 11 Common Council meeting to share a high-level update and to hear Council’s questions, concerns, and priorities. 2 [PAGE 3] CITY OF ITHACA 108 East Green Street, Ithaca, New York 14850-6590 Planning and Development Shaniqua Lewis, Deputy City Clerk MEMORANDUM TO: COMMITTEE OF THE WHOLE MEETING A FROM: Planning Department DATE: February 11, 2026 RE: STR Updates ITEM #: 5.2 ATTACHMENTS: STR Year 1 Review Memo.pdf STR Year 1 Review.pdf 3 [PAGE 4] M E M O R A N D U M Date: February 4, 2026 To: Common Council From: Maura Baldiga, Senior Planner and Megan Wilson, Deputy Director of Planning and Development RE: Short-Term Rentals in the City of Ithaca: Year One Review EXECUTIVE SUMMARY The City of Ithaca passed a short-term rental ordinance on May 1, 2024. Since that time, staff has worked to educate the public regarding the ordinance, as well as to implement and enforce the new regulations. The attached document “Short-Term Rentals in the City of Ithaca: Year One Review” serves to update Council on the City’s short-term rental program one year after permits were made available and six months after the start of full implementation. PROJECT HISTORY, BACKGROUND, & ANALYSIS See attached document, “Short-Term Rentals in the City of Ithaca: Year One Review.” POLICY ALIGNMENT STATEMENT The short-term rental policy aligns with the Council’s Housing goals. A primary objective of the short-term rental ordinance was to preserve housing affordability and availability in the long-term rental and homeownership markets. QUESTIONS FOR COUNCIL Staff will attend the February 11, 2026 meeting to address any questions from Common Council. BUDGET IMPLICATIONS & FUNDING No current budget implications or funding needs. Common Council should note that staff are still working to fully implement the initial short-term rental policy. Any significant changes to the policy will require additional staff time and resources. PUBLIC FEEDBACK See attached document, “Short-Term Rentals in the City of Ithaca: Year One Review.” 4 [PAGE 5] NEXT STEPS Staff recommend a full year of implementation (full enforcement of the policy started in June 2025) before changes to the Short-Term Rental Policy are considered. 5 [PAGE 6] Short-Term Rentals in the City of Ithaca: Year One Review February 4, 2026 The City of Ithaca passed a short-term rental ordinance on May 1, 2024. Since that time, staff have worked to educate the public regarding the ordinance, as well as to implement and enforce the ordinance. This document updates Council on the City’s short-term rental program one year after permits were made available and six months after the start of full implementation. Policy Objectives The intent of the City of Ithaca short-term rental ordinance is to regulate short-term rentals to: 1. Preserve housing affordability and availability in the long-term rental and homeownership markets. 2. Permit owners and long-term leaseholders to generate additional income from their properties. 3. Balance the potential positive and negative impacts of short-term rentals: a. Protect the health and safety of guests staying in short-term rentals. b. Increase lodging supply during peak demand periods. c. Ensure compliance with the City's hotel occupancy tax. d. Reduce the negative impacts of short-term rentals on neighbors. Timeline of Policy Development and Enforcement Table 1. Timeline of Policy Development and Enforcement May 1, 2024 Short-Term Rental Ordinance enacted December 2024 First education letter sent to all STR properties January 2025 STR operating permit applications available online February 2025 First STR operating permits issued March 2025 Second education letter sent to non-compliant properties June 1, 2025 Full enforcement began January 2026 First STR operating permit renewals issued Year 1 Data Snapshot Short-Term Rentals* - Operating in the City: 115 - Operating with a permit: 78 - Operating with no permit: 37 (some properties in process of getting a permit) Permits* - Permits issued: 87 - Permits pending approval: 14 (Most of these permits are working through the Certificate of Compliance inspection process.) Mean nightly rate for all permitted STRs: $247** *As of February 4, 2026 **As of January 7, 2026 1 6 [PAGE 7] Short-Term Rental Application Process The table below outlines the required documentation that hosts must provide to get a Short-Term Rental Operating Permit. Table 2. STR Application Process Documentation Approximate cost Duration Preexisting or new requirement Valid Certificate Single-family home: $100 Five years for a Preexisting: Both NY State and the of Compliance Two-family home: $175 single-family City of Ithaca have long required a (CoC) Multiple dwellings: varies home or duplex CoC to operate a rental property. Total amount varies depending on the number of violations. The cost of necessary repairs is not part of the fee and is the sole responsibility of the property owner. Proof of No cost Submitted New Residency annually with STR permit application City Hotel Tax No cost to register – but Valid until sale of Preexisting: Short term rental Registration operators must remit City property operators have been required to (Certificate of room tax register and remit City room tax Authority) since Council adopted Local law 2021-05 in 2021. STR Annual $400 (adjusted annually, One year New: Fee intended to offset Operating Permit if needed) administration of the program Proof of Five percent of the nightly Must submit Preexisting: Short term rental Occupancy Tax rate charged for stays quarterly operators have been required to payment register and remit City room tax since Council adopted Local law 2021-05 in 2021. 2 7 [PAGE 8] How Well Is the Ordinance Meeting the Intended Policy Aims Policy Aim #1: Preserve housing affordability and availability in the long-term rental and homeownership markets. Since May 2024, the number of short-term rental units in the city has decreased dramatically. There were roughly 380 short-term rental units in the City in May of 2024. As of today, there are roughly 115 short-term rental units. Anecdotal evidence suggests that many of these short-term rentals are now long-term housing. Short-term rentals remain more profitable than long-term rentals. While long-term rentals may not be the most profitable use of a unit, shifting units from short-term to long-term rentals meets the goal of preserving housing affordability and availability in the long-term housing market. Policy Aim #2: Permit hosts to generate additional income from their properties. Short-term rental permits are only issued for units on the same property as a host’s primary residence. Therefore, each short-term rental permit allows a host to generate income that they could use to defray the cost of their primary residence. Staff have heard many times that short-term rental operations are important to residents’ ability to cover the cost of housing, including taxes. The City has issued 87 permits and currently has 78 short-term rentals operating with a permit. An additional 14 permits are pending and are expected to be issued. Therefore, roughly 100 hosts will soon be able to defray the cost of their primary residence through operating a legal short-term rental. Policy Aim #3: Balance the potential positive and negative impacts of short-term rentals. Regarding Policy Aim #3, two areas of success stand out. Health and Safety of Guests: The City’s housing and electrical inspectors report that inspections of short-term rentals have found critical health and safety violations in rental units. It is important that these violations are addressed to ensure the wellbeing of short- term rental guests. Many of the units operating as short-term rentals in the City had never been inspected prior to the short-term rental operating permit process. City Hotel Occupancy Tax Compliance: Prior to the short-term rental operating permit process, the City estimated that roughly 5% of short-term rental operators paid the required City Room Occupancy Tax. The new STR permit process will ensure that all short-term rental operators pay the City quarterly room occupancy taxes. This compliance will increase the City’s revenue and ensure that hosts are equitably paying the required taxes. The City has less-clear data related to the final two goals of the policy: increase lodging supply during peak demand periods and reduce the negative impacts of short-term rentals on neighbors. Short- term rentals certainly provide additional lodging options for guests. However, the short-term rental policy overall decreased the number of short-term rentals available in the City. The City does not have a long history of complaints related to short-term rentals and this has continued under the new policy. The City currently offers a 24/7 short-term rental hotline. The City has not received any complaints through this hotline. 3 8 [PAGE 9] Major Areas of Feedback City staff and Common Council have received extensive feedback from the community on the short- term rental ordinance and its first year of implementation. Below, staff describe major themes that emerged from the feedback. Common Council should note that staff are still working to fully implement the initial short-term rental policy. Any significant changes to the policy will require additional staff time and resources. Inspections and Related Costs All rental housing, whether long- or short-term, must maintain a Certificate of Compliance ensuring that it meets the minimum standards for health and safety as detailed in the City’s Housing Standards Code. This is not a new requirement; however, the majority of short-term rental operators in the city were either unaware of this requirement or chose to ignore it prior to the new regulations. The law does not target specific types of owners; it applies the same housing standards to all rental housing. Most of the short-term rental housing in the City did not have a valid Certificate of Compliance prior to the implementation of the new regulations. Short-term rental monitoring has enabled City staff to identify units that hosts were renting illegally and to work with property owners to bring dwellings into compliance with state and local housing standards. Housing inspections can be challenging for property owners who did not formerly comply with the Housing Code. While many inspections result in the discovery of minor violations that are inexpensive to correct, serious violations that pose safety concerns for both tenants and property owners are also found including: lack of fire or carbon monoxide detectors; severe electrical deficiencies that would likely lead to fire; improper venting of furnaces and carbon monoxide leaks; and sealed or blocked egress doors and windows. Taxes and Costs to Operate Short-Term Rentals Short-term rental hosts are subject to various taxes and fees. Table 3. Short-Term Rental Fees and Taxes Taxes City of Ithaca Room Occupancy Tax 5% (on nightly rate) Tompkins County Room Occupancy Tax 5% (on nightly rate) State and Local Sales Tax 8% (on total cost of stay, including cleaning fees etc.) Fees City Operating Permit Fee $400 (annually) Tompkins County Certificate of Authority $125 (every two years) Fee Inspection Fees Single-family home: $100 Two-family home: $175 Multiple dwellings: varies Total cost of inspection varies depending on number of violations and cost to fix violations. 4 9 [PAGE 10] The City chose to include short-term rentals when it passed the City’s Room Occupancy Local Law in 2021, Local Law 2021-05. Many hosts were not remitting the City’s Room Occupancy Tax prior to the STR permit process. The new permitting process identifies hosts that should be paying room occupancy taxes on short-term rentals and holds them accountable. Therefore, many hosts have felt both the taxes and permit fees as recently imposed additional burdens. Additionally, many hosts were frustrated that the room tax funds the City’s Conference Center. Short-term rental hosts report that their guests are rarely associated with the Conference Center. Therefore, they don’t find that the room tax they pay is benefiting their business in return. Host articulated that they would prefer that the room taxes be used to support programs that could benefit short-term rental hosts. The fact that the room tax funds the Conference Center is specified in the City’s local law. Expanding the Types of Properties that are Eligible for Short-Term Rentals The chart below details the types of buildings that hosts can short-term rent. Table 4. STR by Type of Building Types of Building Short-Term Rental Eligibility Single-family home Owner or renter can rent out the unit Two-family home Owner can rent out both units Tenant can only rent out the unit they live in Multiple dwelling Owner can rent out the unit they live in (three units in one building Tenants cannot rent out any unit or larger) Currently, a primary-resident owner who lives in a two-family home can rent out both units in the two-family as short-term rentals. However, if a primary-resident owner lives in a three-unit building, they could only rent out the unit that they live in. The policy was developed to balance the competing goals of enabling residents to short-term rent to defray their cost of housing and maintaining housing affordability and availability. We have heard from owners of apartment buildings, for example 3- or 4-unit buildings, that they would like to be able to live in one unit on their property and rent out all the other units as short-term rentals. This would increase that owner’s earnings but would remove additional units from the long- term housing market. Seasonal Permits As the City was developing the short-term rental policy in 2024, staff explored options for allowing short-term rentals on properties that are not the hosts’ primary residences. Staff explored seasonal permits, as well as permits for a maximum number of days per year. Staff did not recommend allowing non-primary residences to be used as short-term rentals. Staff continue to recommend that short-term rentals are only allowed on the same property as a host’s primary residence. This recommendation is based on the fact that (1) limiting short-term rentals by season or by a specific number of days per year is unenforceable and (2) this type of short-term rental does not meet the City’s two primary short-term rental objectives. 5 10 [PAGE 11] Next Steps Staff recommend a full year of implementation (full enforcement of the policy started in June 2026) before Common Council proposes any changes to the Short-Term Rental Policy. 6 11 [PAGE 12] CITY OF ITHACA 108 East Green Street, Ithaca, New York 14850-6590 Planning and Development Shaniqua Lewis, Deputy City Clerk MEMORANDUM TO: COMMITTEE OF THE WHOLE MEETING A FROM: Lisa Nicholas, Director of Planning and Development DATE: February 11, 2026 RE: Proposed Expansion of the Planned Unit Development Overlay District ITEM #: 6.1 This is a proposal to expand the boundary of the PUDOD City-wide ATTACHMENTS: REVISEDCouncil PUD Expansion Memo- Mayor Response.pdf 12 [PAGE 13] M E M O R A N D U M Date: February 4, 2026 To: Common Council From: Lisa Nicholas, Director of Planning & Development & Maura Baliga, Senior Planner RE: Proposal to Expand the Boundary of the Planned Unit Development Overlay District (PUDOD) Citywide EXECUTIVE SUMMARY Planned Unit Development (PUD) is a floating/overlay zone that allows for more creative use of land than is permitted under current zoning, provided that a project has long-term community benefits and is compatible with the City’s comprehensive plan. Currently, PUDs are restricted to the City’s Planned Unit Development Overlay District (PUDOD). City-wide expansion of the PUD overlay creates the opportunity for more progressive zoning while a lengthier comprehensive rewrite is underway. The City’s website has additional information on PUDs and the application process. PROJECT HISTORY, BACKGROUND, & ANALYSIS Common Council adopted PUD legislation in 2014 and has since expanded the boundary of the PUDOD to include the waterfront districts and properties at the base of West Hill (map of current PUDOD boundaries). The creation of a PUD is a legislative process at the sole discretion of Council and results in a unique zoning district with defined area and use requirements. Staff presented an overview of the process and existing PUDs in February 2025 to Common Council: Planned Unit Development Common Council Presentation. The presentation’s slides provide additional detail. PUDs are brought forward by a developer for a specific project, and Council can approve, deny or amend the proposal. Like all zoning changes, Council decision regarding a PUD is guided by community input, conformance with the comprehensive plan, compatibility with adjacent development, environmental concerns, and many other factors to ensure that the benefit of the new zoning proposal is balanced with other community needs and potential impacts. Expansion of the PUDOD can allow for more progressive zoning (such as the removal of parking requirements, smaller lot sizes, additional density for middle housing, etc.), on a project-by project basis while the lengthier comprehensive zoning rewrite process is underway. 13 [PAGE 14] POLICY ALIGNMENT STATEMENT The proposal aligns with Council’s housing goals. Expanding the PUDOD boundary creates the opportunity for increased housing production by removing potential zoning barriers and could be an effective tool for advancing zoning concepts while the comprehensive rewrite is underway. MAYORAL RESPONSE TO POLICY ALIGNMENT STATEMENT Pursuant to section C-11 of the Ithaca City Charter and Common Council Resolution 5.1 dated September 17, 2025, the Mayor shall review Policy Alignment Statements for completeness and provide commentary on alignment for Council consideration. This proposal is squarely aligned with the City’s housing vision and the priorities I laid out in my 2026 State of the City Address. Ithaca cannot meet its housing obligations through incremental change alone. We must use every available tool to unlock housing production now, while the comprehensive zoning rewrite is underway, and ensure that growth advances affordability, sustainability, and neighborhood vitality. Expanding the PUDOD boundary is a pragmatic, near-term intervention that reduces structural zoning barriers, accelerates housing delivery, and allows the City to pilot zoning concepts consistent with our long- term reform goals. It directly supports our commitment to ensure every Ithacan has access to safe, affordable, and dignified housing, while enabling smart, sustainable growth that strengthens our neighborhoods and local economy. This action advances the City’s strategic housing goals by creating capacity for additional units needed to reach our target of 4,300 new homes by 2030, including deeply affordable and ownership opportunities; by expanding supply to relieve upward pressure on rents and reduce housing cost burden, particularly for low- and moderate-income households; and by supporting the broader Housing First strategy through increased feasibility for permanent and supportive housing development. QUESTIONS FOR COUNCIL Should the PUDOD be expanded citywide? BUDGET IMPLICATIONS & FUNDING Changing the PUDOD boundary has no budget or funding implications. PUBLIC FEEDBACK Planning staff will circulate the proposal for comments during the month of March. 14 [PAGE 15] NEXT STEPS The next steps are to circulate the proposal for comments and conduct any other public outreach that Council deems necessary. Staff will schedule a public hearing for the April 1, 2026 meeting and return with compiled comments and adoption documents. 15 [PAGE 16] CITY OF ITHACA 108 East Green Street, Ithaca, New York 14850-6590 Planning & Economic Development Christine Ibert, MEMORANDUM TO: COMMITTEE OF THE WHOLE MEETING A FROM: Rebecca Evans DATE: February 11, 2026 RE: Bond Authorization for "Green Hydrogen as a Non-Wires Alternative" Project ITEM #: 7.1 This resolution increases capital project #938 to $1,000,000. Additional funds will be derived from the issuance of $474,000 in municipal bonds to be reimbursed by the Department of Energy, as described and planned for in the 2024 capital project resolution and authorization. ATTACHMENTS: H2_2026_Capital_Project_Rebecca_Evans.pdf 16 [PAGE 17] Authorization for the Issuance of $474,000 Bonds of the City of Ithaca to Support “Green Hydrogen as a Non-Wires Alternative Pilot” Project Funded by Congressionally Directed Spending Whereas, the City of Ithaca has demonstrated its desire and commitment to be a leader in sustainability and social equity, as exemplified by the adoption of the Ithaca Green New Deal; and Whereas, the Ithaca Green New Deal resolution was adopted unanimously in June 2019 included a goal of community-wide carbon neutrality by 2030; and Whereas, in 2021, sustainability staff applied for Congressionally Directed Spending from Senate Majority Leader Chuck Schumer’s office to support a “Green hydrogen as a non-wires alternative pilot project”, which the Senator awarded $1,000,000; and Whereas, in March 2024 the City of Ithaca Common Council approved borrowing for $526,000 for the first two budget periods of this project, which are expected to close in mid-2026; and Whereas, the remaining balance of $474,000 will be applied to Budget Periods 3 and 4; and RESOLVED, that capital project 938 is hereby increased to a total amount of $1,000,000; and RESOLVED, that capital project funds shall be derived from the issuance of additional bonds in the amount of $474,000 to the City; and RESOLVED, that the city manager is hereby authorized, on the advice of the City Attorney, to negotiate and enter into agreements with appropriate contractors or other counterparties in connection with the “Green hydrogen as a non-wires alternative” pilot project, with funding to be derived from the issuance of bonds to the City and submitted for reimbursement to the U.S. Department of Energy; and RESOLVED, that the city will continue to support the development and implementation of strategies to accelerate the development of programs to meet the goals established in the Ithaca Green New Deal. 17