COUPEVILLE: Town Council ceases short term rental code discussion

Allyson Ballard reports from the Coupeville Town Council meeting of Tue., Aug. 26, 2025 for the Whidbey News-Times. Read the whole story.

For now, street-level spaces in buildings on the Coupeville waterfront will continue to be reserved for commercial, rather than residential, uses.

Last week, the Coupeville Town Council decided not to further pursue code amendments allowing short-term rentals exclusively in over-water buildings in the area. A business owner proposed the changes in order to allow AirBnB or similar uses in the rear of Front Street businesses, which would continue to have retail or restaurants in the front.

During the council’s July 22 meeting — last time the issue was discussed — two possible paths forward were presented to and discussed by the members.

Narrow revisions to the code could be implemented, which would allow short-term rentals in the “rear portion of over-water buildings due to their unique position within Penn Cove,” or wider revisions, permitting them in the “rear portion of any lot” within the zone of focus, according to materials provided to council.

They Said It

Councilmember Pat Powell opposed narrow code revisions, arguing their benefit would be limited to very few people. Councilmember Rick Walti, far more supportive, pointed out that allowing short-term rentals in the back of buildings would be acceptable if the code’s purpose is to encourage commercial businesses in front-facing ground-floor spaces.

Mayor Molly Hughes sought clarity after a lengthy discussion. Asked by Hughes if they wanted to continue researching this topic, councilmembers Jackie Henderson, Michael C. Moore, Jenny Bright and Powell said “no;” Walti was the only “yes.”

“We’ve done a lot of work on this and it’s all been good work, but at some point, we have to just do it or not do it,” Hughes concluded.

On the Ballot in November 2025