Galveston homeowner says new rental proposal could threaten her livelihood

A Galveston homeowner says a new proposal from city leaders could cost her the business she built in retirement. City officials argue it’s about accountability, not punishment, as the debate over short-term rentals divides the island community.

A homeowner’s livelihood on the line

For years, Donna Hansen has rented out two short-term homes on Galveston Island. She says she’s always followed city rules and has never received a single complaint.

“It is my retirement income,” Hansen said. “I’ve invested a lot of time and money, and I’m heavily invested in being here.”

Now, she worries a proposed ordinance could change everything.

The plan would give the city authority to suspend a rental license after three documented violations within a year and revoke it permanently after another round.

“Where I think most of the STR owners are concerned is that in the past, there’s been no enforcement of rules and regulations we already have,” Hansen said. “Changing them and adding more isn’t going to help unless there’s enforcement.”

“We’re not the problem”

Hansen says she supports holding bad operators accountable but believes responsible hosts are being unfairly targeted.

“I do believe the STRs are being treated unfairly and targeted,” she said. “Long-term rentals aren’t held to any accountability.”

She says her business has helped improve neighborhoods by restoring older homes that once sat vacant or damaged.

“If it weren’t for STRs, Galveston has really had a glow up because of the STRs,” Hansen said. “We’ve invested this in Galveston, and I don’t feel like it’s appreciated by the city or a lot of the residents here.”

City says it’s about balance

Mayor Craig Brown says the goal is to find common ground between homeowners and residents who have raised concerns about noise, parking, and trash violations.

“We have about 4,400 short-term rentals here in Galveston,” Brown said. “Probably per capita we have more short-terms for citizens than many of the cities in the state, and it’s quite an industry here. We’re very thankful that it’s here. But having an industry like that in the neighborhoods, there are concerns that arise from that.”

Brown says the draft ordinance includes an appeals process to make sure responsible owners aren’t unfairly penalized.

“When we put together the sample ordinance that will be presented to council this coming a week from Thursday, our legal department really researched that thoroughly,” Brown said. “They made sure that the way that was approached would be supported by the court systems.”

“It would be devastating”

For Hansen, the proposal feels like a threat to the stability she’s worked years to build.

“It would be devastating,” she said. “It’s an investment, a huge investment.”She worries that changes to licensing could discourage future property owners from investing in the island’s older neighborhoods.“

I think we just want to be treated fairly and be recognized for what we’ve brought to the city,” Hansen said.

What’s next?

The proposal will go before the Galveston City Council next week. If approved, enforcement could begin early next year.