Daily Regulatory Notes 07/01/2025

New York

New York City is stepping up enforcement on registered short-term rental hosts, issuing warning letters to 500 out of 3,000 operators for violating Local Law 18, the city’s strict 2023 ordinance governing home-sharing.

Offenses included renting entire apartments for under 30 days or allowing more than two guests—both explicitly prohibited under the law. Five hosts now face possible license revocation and fines of up to $5,000.

Milton, DE

Milton’s Town Council has passed a new licensing ordinance for short-term rentals that lays the groundwork for broader zoning regulations still to come.

At the June 2 meeting, council members unanimously approved basic rules for Airbnbs and similar properties including a 30-day rental cap, occupancy limits, contact person requirements, and a ban on public events. A resolution in July will formally task the Planning and Zoning Commission with assessing where STRs should be allowed and how many should exist.

Escondido, CA

Escondido’s short-term rental program is set to launch July 1 with a clearer framework after the City Council approved amendments that sharpen enforcement tools and limit eligibility to property owners only. Under the revised ordinance, tenants can no longer operate STRs, and the city will now issue fines directly without needing court convictions

Short Term Rentals | Escondido, CA

Currently, the City has no regulations on short-term rentals to control how they are operated within the community to ensure they are compatible with the surrounding neighborhood. Because the City does not have a permitting process for short-term rentals, the City is also not currently collecting transient occupancy tax (TOT) from the short-term rental of a residence in the same way that it collects TOT on hotel stays of less than 30 days. The development and adoption of short-term rental regulations would both create operating requirements for short-term rental properties within the City and a process to collect TOT from operators. Many other communities in San Diego County have adopted short-term rental regulations, including Carlsbad, Del Mar, Encinitas, Oceanside, Solana Beach, Chula Vista, and San Diego. Through Engage Escondido, you’ll have the opportunity to learn more about short-term rentals.

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The pilot program caps STR use to about 2% of the city’s housing stock, restricts proximity to schools, and enforces safety and inspection rules. Annual registration and inspection fees apply, alongside a 10% transient occupancy tax, while escalating fines and permit revocation target repeat violations. Council gave the final green light to these changes on June 25, with full implementation by July 25.

Cassadaga, NY

Cassadaga is overhauling its 2002 zoning laws, and for the first time, short-term rentals are officially on the books. A newly added section targeting STRs is part of a broader push to make the zoning code more enforceable and up-to-date, after years of resident complaints and enforcement gaps.

Zoning Rewrite Committee member Ryan Burlingame said the update aims to prevent STR issues from growing unchecked, offering a clearer path for officials to take action before problems escalate. The village board will review the proposed code, which also includes new language on property maintenance, wetlands, and rental oversight, ahead of a formal adoption. Once finalized, Cassadaga plans to revisit its zoning laws every five years to prevent future policy stagnation.

Stowe, VT

Stowe’s short-term rental registry is beginning to deliver on its promise of transparency, and the early numbers are telling.

Only about one in five of the nearly 900 STR owners lives in Stowe, with significant ownership concentration seen among a few individuals—like the Perkinses, who own ten STR condos in one building. The registry, narrowly approved after a divisive town vote, has already reignited local debate over whether out-of-town ownership is fueling housing scarcity.

Cape Coral, FL

Cape Coral has kicked off a new chapter in its short-term rental debate with the first meeting of a Vacation Rental Advisory Group, formed after public backlash derailed two controversial ordinances last month.

Councilmember Jennifer Nelson-Lastra convened the 18-member panel—which includes STR owners, property managers, code enforcement, and residents—to reset the conversation around vacation rental policy. Friday’s meeting surfaced a wide range of concerns, including the steep proposed jump from a $35 one-time registration fee to a $600 annual charge, as well as the contentious proposal to authorize police evictions for unregistered rentals.

In case you missed it:

Daily Regulatory Notes 06/30/2025

Cities address STRs. Aspen, CO approves adjustments; Bedford, TX approves zoning ordinance change; Logan County, OH updates lodging tax; Avon Lake, OH drafts moratorium; Sodus Point, NY revises ordinance; Cheboygan, MI tightens regulations. READ MORE.

STRisker - Short-term regulatory changes and newsGenelaine Urbano

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