Daily Regulatory Notes 02/11/2025
Cities address STRs. Colorado and Hudson, WI review regulations; Dallas, TX upholds court ruling; Edgartown, MA tackles ADU; Falmouth, ME advances updates.
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. 📰
Coloradol
Short-term rental regulations in Colorado remain a contentious issue as local governments like Aspen and Snowmass Village enforce distinct permitting rules, while state legislators explore broader restrictions.
SB24-033. Read the full bill here.
A proposed bill (SB24-033) in 2024 aimed to tax STR condos with more than 90 rental nights per year at a higher commercial rate, sparking backlash from real estate and tourism groups. Though the bill was defeated, new legislative proposals targeting STRs such as additional taxes, may surface in 2025.
Dallas, TX
A Texas appeals court has upheld a lower court ruling that blocks Dallas from enforcing its short-term rental ordinance which would have banned 90% of STRs in single-family residential zones.
The lawsuit filed by the Dallas Short-Term Rental Alliance in October 2023 argues that the ordinance is unconstitutional and unfairly discriminates against STR operators. A trial to determine the ordinance’s constitutionality was originally scheduled for June 2024 but has been delayed leaving the future of short-term rentals in Dallas uncertain.
Edgartown, MA
A new Massachusetts law allowing homeowners to build accessory dwelling units (ADUs) without special permits has sparked debate in Edgartown over whether these units should be used as short-term rentals.
While the law allows municipalities to prohibit ADUs from being used for vacation rentals, Edgartown’s proposed bylaw does not include such a restriction, unlike neighboring Vineyard towns.
Hudson, WI
The Hudson City Council has opted to use in-house staff for its review of short-term rental regulations, aiming to finalize potential ordinance amendments before the moratorium expires in June.
The council is considering changes such as limiting the number of STRs, restricting their locations, and increasing enforcement. Council member Sarah Bruch aims to complete the review by May 1.
Falmouth, ME
Falmouth officials are advancing updates to the town’s short-term rental ordinance requiring annual registration with a $300 fee, an emergency contact, and proof of insurance.
Read the full ordinance here.
A recent town forum reviewed the ordinance’s impact, gathering resident feedback on issues like neighborhood character and septic capacity. The ordinance imposes fines for non-compliance, with registration fees funding monitoring software. Resident comments will be reviewed by the Ordinance Committee before potential amendments are considered.