Daily Regulatory Notes 01/28/2025

Every day, we bring you a detailed overview of recent news and updates about primary decisions, community feedback, or legislative changes relevant to the short-term rental industry. 📰

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Pittsburgh, PA

Pittsburgh residents continue to voice concerns about the unchecked spread of short-term rentals, citing rowdy behavior, parking problems, and a shift in neighborhood character.

Incidents like the recent New Year’s Eve party in the South Side Slopes and the 2022 North Side mass shooting underscore these issues. Despite efforts, implementation is stalled due to a broader court challenge against rental registration requirements.

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Las Vegas, NV

A Las Vegas homeowner is suing a tenant and Airbnb after being hit with $180,000 in fines for illegal short-term rentals. The tenant, Ryan Murphy, allegedly rented the property on Airbnb without the owner's consent violating Las Vegas regulations requiring on-site owner occupancy or a business license.

Murphy reportedly earned profits from 360 rental days but denied wrongdoing, claiming the owner, Xin Tao, approved the arrangement. Tao’s lawsuit seeks compensation for fines, damages, and legal fees, while accusing Airbnb of negligence for allowing the unauthorized listing.

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Rio Rancho, NM

The Rio Rancho City Council is revising its recently approved short-term rental (STR) ordinance with amendments discussed during a Jan. 23 meeting. Proposed changes include increasing rental frequency from one rental per seven days to seven rentals per 30 days, limiting STR permits within 100 feet of each other, and reducing the permit renewal grace period from 30 to 15 days.

The ordinance is set to take effect on July 1. The amendments passed their first reading 5-1 and will be reviewed again on Feb. 13.

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Traverse City, MI

Traverse City planning commissioners are exploring stricter limits on short-term rentals, focusing on expanding existing rules that cap them at 25% in new multi-unit buildings.

Commissioners debated extending these limits to additional zoning districts like C-3 and C-4, where rentals dominate new developments, and considered broader measures such as banning absentee landlords or tying rentals to community benefits.

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Rapid City, SD

Rapid City is seeking public input to shape a proposed ordinance for short-term vacation rentals. The Community Development Department will host an open house on Tuesday, 4:30-6 p.m., at the Dahl Arts Center to share information, gather feedback, and discuss regulatory options.

Planning Manager Jessica Olson noted complaints about nuisance issues, including noise, parking, and garbage, particularly from larger rental properties. A draft ordinance is expected by February or March.

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Exeter, RI

A Superior Court judge has upheld Exeter's requirement for a special use permit to operate short-term rentals, rejecting Mark and Tonya Hughes' claim that state law (§42-63.1-14) preempts municipal regulations.

Judge Jeffrey Lanphear ruled that the state law does not prevent towns from regulating land use through zoning, provided it does not restrict rentals advertised via hosting platforms.

The Hugheses had appealed a Zoning Board decision enforcing the permit requirement, arguing it violated state law and improperly categorized their property as a "bed and breakfast." The court affirmed the town's authority, finding no conflict between the zoning ordinance and state law.

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Green Bay, WI

Green Bay and Ashwaubenon are seeing a surge in short-term rental activity as the NFL draft approaches, with permit applications doubling in recent months. Listings on Airbnb and VRBO have increased 27% since September, with 348 Airbnb and 159 VRBO properties now available.

Prices have begun to moderate, with fewer homes exceeding $10,000 per night and a significant rise in listings priced between $2,000 and $5,000.