Daily Regulatory Notes 02/04/2025
Cities address STRs. Weatherford, TX & Fairport Harbor, OH approve regulations; Ocean City, MD votes on regulations; Windsor, CA extends moratorium; Maryland discusses bill; South Plainfield, NJ bans STRs; Lake Havasu, AZ approves resolution; Bastrop, TX proposes an ordinance. READ MORE.
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. đź“°
Weatherford, TX
Weatherford City Council has approved new regulations for short-term rentals requiring owners to obtain a permit renewed every two years, submit compliance documentation, and adhere to occupancy limits. The ordinance, effective June 1, also mandates fire and safety inspections, imposes a 25% per-block cap, and enforces rules against noise and unapproved parking.
While some residents opposed STRs, citing neighborhood disruptions and commercialization concerns, council members emphasized that the regulations provide a mechanism for enforcement without banning rentals outright.
Read the full ordinance.
Ocean City, MD
Genelaine Urbano
Continuation from Daily Notes 01/29/2025
Ocean City officials voted on stricter short-term rental regulations with a council meeting scheduled last Monday. One proposal in its second and final reading, would impose a new occupancy limit of two people per bedroom plus two additional occupants, excluding children under 10.
It would also prohibit the conversion of spaces like attics and garages into bedrooms unless they meet town requirements and adjust the overnight accommodation period to align with the noise ordinance.
Read the ordinances here. (1st Ordinance: pgs. 88-97 & 2nd Ordinance: pgs. 116-117)
Another proposal in its first reading, would establish a five-night minimum stay for rentals in R-1 and MH districts, drawing criticism from rental operators who argue it could hurt their business.
Windsor, CA
Windsor officials voted unanimously to extend a moratorium on new short-term rental licenses for nearly a year after acknowledging that a draft ordinance regulating STRs wasn’t ready.
The moratorium originally set to expire next week, will now remain in place for ten months and fifteen days. The town plans to finalize permanent regulations before the new moratorium expires.
Maryland
Maryland lawmakers are considering HB 87, a bill that would tighten short-term rental regulations through clearer safety standards and improved tax collection.
Legislative Director Kevin Kinnally testified in support of the measure, highlighting concerns about the impact of STRs on housing supply and neighborhood stability. The bill proposes centralized tax collection through the Comptroller’s Office to ensure consistent enforcement and fair revenue allocation.
Santa Barbara, CA
Santa Barbara’s short-term rental market contributed $2.4 million to the city’s Transient Occupancy Tax (TOT) revenue so far this fiscal year with total collections reaching $19.5 million—$17.1 million from hotels.
December brought in $2.1 million in TOT revenue placing overall collections 2.4% ahead of budget. The city’s TOT rate remains 12%, with 10% directed to the General Fund and 2% supporting the Creeks/Clean Water Fund. The city’s adopted TOT budget is $34.5 million with $28.7 million allocated to the General Fund.
Fairport Harbor, OH
Fairport Harbor Village has adopted new regulations for short-term rentals, requiring property owners to register with the village and comply with safety measures.
The ordinance establishes annual permits with a $100 fee, mandates whole-unit rentals, and prohibits attic or basement sleeping areas without proper exits. Short-term rentals must also meet property maintenance codes, provide off-street parking, and pass annual fire safety inspections. Additionally, hosts must keep guest records for three years.
South Plainfield, NJ
South Plainfield has officially banned short-term rentals through Ordinance 2321, prohibiting the rental of any dwelling for fewer than 30 days unless it falls under an approved hotel, motel, boarding house, or bed and breakfast.
The ordinance, passed in September 2024, aims to preserve the borough’s housing stock and community character, citing concerns that transient visitors disrupt neighborhoods.
Lake Havasu, AZ
Lake Havasu City Council has approved a resolution calling on state leaders to restore local control over short-term rental regulations, citing housing challenges in the region.
The measure follows a similar effort by Sedona which recently passed an emergency action to address affordable housing concerns. Lake Havasu’s mayor joined Sedona’s coordinated push, emphasizing the need for cities to regulate STRs in ways that align with their communities' needs.
Bastrop, TX
A proposed ordinance in Bastrop would require short-term rental operators to register with the city and comply with new guest information requirements.
The plan includes an annual $25 per-unit fee and mandates that guests receive emergency contacts, parking details, and local regulations. Noncompliant properties could incur $25 per day fines.
Read the proposed ordinance here.