Daily Regulatory Notes 07/08/2025
Cities address STRs. North Carolina and Minnesota enforce law; Nashville, TN reviews enforcement; Normal, IL discusses ordinance; Beverly Hills, CA proposes ban; Las Vegas, NV files lawsuit; Steamboat Springs, CO revisits policy; Pinellas County, FL; Sister Bay, WI. READ MORE.
North Carolina
North Carolina has enacted a new law requiring short-term rental managers, employees, and contractors to complete human trafficking awareness training. For rentals listed after July 1, 2025, the training must be completed before listing. For existing listings, the deadline is June 30, 2027 with renewals every two years.
Preview: HOUSE BILL 971
The law also requires platforms and brokers to notify hosts of the rule and verify compliance. Violators face escalating civil penalties. State officials have launched support resources, including a compliance guide and training tools, to help the vacation rental industry meet the new standards.
Minnesota
Minnesota has officially declassified hot tubs at short-term rentals as “public pools,” simplifying the rules for hosts statewide. The new law, effective July 1 and passed as part of a health bill during the June special session, ensures that vacation rentals can now offer hot tubs without needing to meet stringent pool safety requirements.
Previously, STR hosts had to follow daily chemical testing and licensing rules enforced unevenly across counties. The revised law sets uniform expectations, requiring pre-check-in water testing and a posted disclaimer for guests.
Nashville’s short-term rental enforcement efforts are under pressure this summer, with only half of the city’s 14,000 listings appearing to hold required permits. District 17, among the busiest zones, has over 1,000 legal STRs but also leads the city in complaints.
Metro’s Codes Department continues working with residents to investigate violations and encourage compliance, reminding would-be hosts that a permit is required before listing any property on platforms like Airbnb or HomeAway.
Normal, Illinois recently passed an ordinance restricting short-term rentals in residential areas, but it's not a total ban.
Rentals are now prohibited in R1 and R2 zones unless the property is owner-occupied. A five-year moratorium allows current operators time to adjust or exit. Officials say the move was prompted by tax equity concerns and neighborhood complaints, though many local hosts argue the town acted too quickly without proper research.
Beverly Hills is preparing to ban short-term rentals citywide with the City Council supporting a proposal to require one-year minimum leases for most properties. A formal vote is scheduled for July 15.
Citing concerns about housing affordability, neighborhood disturbances, and enforcement gaps, officials hope the new rules will curb unregulated STR activity. The city is also considering increased penalties for violations and may allow limited rentals in landmark homes under owner supervision.
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A group of Clark County property owners has filed a federal lawsuit challenging the constitutionality of the county’s strict short-term rental regulations.
The plaintiffs, including the Greater Las Vegas Short-Term Rental Association and several individual hosts, argue that the rules violate multiple constitutional rights and unfairly favor resorts.
Among their concerns: only 1% of homes can be permitted, costly compliance requirements, warrantless searches, and a ban on rentals within 2,500 feet of hotels. The group is seeking to block enforcement of the rules, which have left hundreds of applications pending since the program began in 2022.
Steamboat Springs officials are under growing pressure to rethink their enforcement of short-term rental rules after a wave of public testimony described the city’s approach as harsh, confusing, and financially devastating.
Dozens of residents shared stories of court summons and five- or six-figure fines for licensing lapses—often without prior notice. In response, the council agreed to hold a dedicated discussion on August 5 to review enforcement practices, fines, and the municipal court process.
Pinellas County’s revamped short-term rental ordinance introduced in March to increase oversight and reduce neighborhood disruption is already under scrutiny from frustrated locals.
The ordinance limited occupancy, introduced 10 p.m. quiet hours, and launched a 24/7 complaint hotline. But residents like Hillary Simpson say enforcement still feels ineffective citing delayed responses, limited equipment for deputies, and ongoing party noise at nearby rentals. With 171 hotline complaints logged and no clear change in neighborhood peace, some are questioning whether the new system is working as intended.
In a key legal win for STR owners in Wisconsin, a Door County judge sided with a couple in Sister Bay who challenged the denial of their short-term rental license.
The village had refused to issue the license until the couple replaced their driveway to meet newer ordinances. But Judge David Weber ruled that the property was grandfathered under local and state law, and that the village could not use that standard to block their STR operation. The case underscores legal limits to retroactive enforcement of updated STR rules as more municipalities tighten zoning around vacation rentals.
In case you missed it:
Genelaine Urbano
READ: Daily Regulatory Notes 07/07/2025
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