Daily Regulatory Notes 08/27/2025
Cities address STRs. Maryland steps up enforcement; Santa Cruz County, CA tightens rules; Irondequoit, NY continues debate; Sparta Township, NJ secures legal win; Lake Township, MI; Shakopee, MN prepares for challenges; Ludlow, VT; Cayuga County, NY; Lee's Summit, MO; Sedgwick County, KS. READ MORE.
Maryland
Maryland Comptroller Brooke Lierman is stepping up enforcement on short-term rental operators by launching a new data-scraping initiative that pulls publicly available information from Airbnb and Vrbo to identify hosts who may be underreporting income.
Speaking at the Maryland Association of Counties summer conference, Lierman explained that the move follows new legislation passed earlier this year that centralizes the collection of STR taxes statewide, though final regulations are still pending.
Santa Cruz County supervisors vote unanimously to tighten short-term rental rules, capping non-hosted rentals at 270 across the county and requiring platforms like Airbnb and Vrbo to quickly remove unpermitted listings.
The ordinance also restricts property owners to just one permit each, a move aimed at stopping corporate operators from buying up multiple homes, while coastal zones like Live Oak and Aptos keep their own limits.
Irondequoit leaders continue debating short-term rental regulations after holding a public hearing this week on proposals that would cap permits and require 500 feet of distance between rentals.
Some residents say the spacing rule is necessary to prevent clusters from overwhelming neighborhoods, while owners argue it unfairly penalizes lakefront hosts and threatens their livelihoods. With strong views on both sides, the town board extended the hearing period until Sept. 16 before making any decisions.
Sparta has secured a major legal win in its effort to restrict short-term rentals, as a New Jersey judge upheld the township’s ordinance banning rentals under 28 days.
The decision follows a challenge by Edelweiss Realty, which argued the rule amounted to an unlawful taking of property. Judge Stuart Minkowitz sided with the township, emphasizing that municipalities have broad police powers to protect public health, safety, and welfare, and noting there is no constitutional right to the most profitable use of property.
STRisker Calendar Tracker
Staying ahead of STR regulations isn’t just about deadlines—it’s about knowing what’s coming. Our Calendar Tracker keeps you informed on upcoming meetings, key votes, and policy changes, so you never miss a critical update.
Laketown Township in Allegan County, Michigan, is keeping a six-month moratorium on new short-term rentals in place while officials study possible rules.
The ban, which began in May, does not affect existing operators but stops new applications. Local residents express mixed views, with some citing concerns about constant turnover and noise, while others say guests are generally respectful. A township committee is reviewing how to regulate rentals moving forward, and the planning commission may propose rule changes at upcoming meetings on September 3 and October 1.
Shakopee leaders are preparing for more short-term rental challenges as a Live Nation amphitheater brings up to 50 events a season starting next year.
The city currently limits STRs to owner-occupied homes for up to 60 rental days annually, but officials report growing problems with weekend rentals being used for large parties. At a recent council meeting, planning staff recommended rules allowing licenses to be revoked when complaints arise, citing similar policies in other Twin Cities cities.
The Ludlow Selectboard and Village Trustees spent most of their Aug. 12 joint hearing on a proposed short-term rental registry, where many operators pushed back against annual fees of $300 for hosted and $600 for unhosted units.
Owners argued the costs unfairly penalize occasional hosts and risk consolidating the market under corporate control, while housing advocates countered that STRs are squeezing the long-term supply and suggested incentives to keep units available for residents. With no decision yet, the board scheduled another round of hearings for the week of Sept. 22.
Cayuga County’s proposed overhaul of its hotel tax law has sparked a showdown with the tourism office, which warns a 20% budget cut would derail cultural grants, publications, and long-term planning while costing the county millions in lost tourism revenue each year.
The plan would raise the county’s share of hotel tax revenue to 25%, leaving the tourism office with 75% instead of the long-standing 95% it now receives.
Lee’s Summit officials are weighing whether to temporarily ease short-term rental restrictions as the city braces for an influx of visitors tied to upcoming events.
At the Community Economic Development Committee meeting. councilmembers discussed allowing more flexible rentals of single-family and duplex units while keeping licensing and safety rules intact. Supporters highlighted the potential for extra revenue, but concerns surfaced about noise, neighborhood impacts, and whether city services could handle increased complaints.
The Sedgwick County Board of Commissioners is exploring how to formally regulate short-term rentals, which remain illegal under current zoning despite a handful operating.
A proposal from the planning commission would allow them under a new permit system, with occupancy capped at 20 adults and stricter conditions for larger events. Property owners would need a local representative within 30 miles and regular renewals to maintain compliance. Officials emphasized that complaints have been limited so far but flagged equity concerns around hotel competition and tax classifications.
In case you missed it:
Genelaine Urbano
READ: Daily Regulatory Notes 08/26/2025
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