Daily Regulatory Notes 12/2/2024
Short-term rental regulations are evolving nationwide. Cities like Tybee Island and Medina are clarifying zoning and permit criteria, while Cottonwood Heights and Llano County tackle enforcement gaps. Safety and compliance remain top concerns, as seen in Daytona Beach and Scottsdale debates.
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“°
Cottonwood Heights, UT
Cottonwood Heights is revisiting its short-term rental (STR) policies after discovering a substantial disparity between permitted rentals and active listings. While only 110 STRs are licensed, nearly 500 are estimated to be operating—around 5% of the city’s housing stock.
“Our biggest frustration is with being able to enforce non-compliance for short-term rentals, and that starts with the legislature. We want to be able to come up with a policy that makes sense for our citizens. To disallow it where it doesn’t make sense, we’ll continue to do that.” Mayor Mike Weichers said. KJZZ 14
Weichers highlighted that state laws limit the city’s ability to identify illegal rentals, pushing officials to explore solutions like higher fines and introducing owner-occupied STRs.
Medina, OH
Medina has finalized regulations for short-term rentals, introducing zoning updates that clarify where these properties are permitted and set operational limits.
Check out the proposed amendments here.
Rentals are now allowed in C2 commercial and MU districts and conditionally permitted in R2 and R3 zones close to downtown. The rules also establish parking and occupancy requirements while prohibiting events. The council’s unanimous Nov. 25 vote followed months of public discussion, with no opposition voiced during hearings.
```Llano County, TX
Llano County Commissioners Court faced a challenging decision as it distributed $500,000 in hotel occupancy tax (HOT) grants among 27 applicants requesting a combined $964,000. The grants, funded by a 4% tax on short-term rental transactions, aim to promote tourism and local economic growth.
County Treasurer Cheryl Regmund noted that better enforcement of hotel occupancy tax compliance could add significant funds, as only 223 out of an estimated 700 short-term rental properties are currently paying taxes.
```Daytona Beach, FL
A violent standoff at Kingston Shores Condominiums in Ormond-by-the-Sea brought renewed attention to short-term rental safety after a man renting an unlicensed Airbnb opened fire, firing 200 rounds before being killed by police.
Florida law mandates licensing for such rentals, but gaps in compliance and platform policies persist. While Airbnb conducts limited background checks for U.S. users, Vrbo’s identity verification process doesn’t guarantee criminal history reviews.
Oklahoma City, OK
Proposed updates to Oklahoma City’s short-term rental rules seek to curb the impacts of home-sharing on neighborhoods while enhancing enforcement. The ordinances would limit the number of short-term rentals per block, cap occupancy during late-night hours, and introduce stricter criteria for renewing licenses or exceptions, including a focus on past violations.
City planners have also recommended a two-night minimum stay and a reduced term for special exceptions in historic districts. These measures, debated over months of public input and planning, will be reviewed at a Dec. 3 hearing and voted on Dec. 17.
```Scottsdale, AZ
Scottsdale's Ordinance No. 4651 has sparked controversy with state Republican leaders, who allege it violates Arizona's new housing laws designed to increase housing availability.
Ordinance 4651 starts on page 23 of this report.
Critics say the ordinance unnecessarily restricts eligible buildings for conversion to multifamily use by adding height limits and extending exemptions far beyond the Scottsdale Airport area. Legislators Leo Biasucci and Michael Carbone expressed disappointment, claiming Scottsdale ignored opportunities to collaborate on legislative fixes and is now noncompliant with House Bills 2297 and 2720.
With the City’s passing of the ordinance, Scottsdale is now in violation of the laws passed in HB2297 and in HB2720. We are hopeful the City of Scottsdale will use the next 30 days to cure the violation. We also encourage the City of Scottsdale to reach out to the Legislature to address their concerns with the existing law,” the statement continued. The Center Square.
Simi Valley, CA
The Simi Valley City Council is taking steps toward regulating short-term rentals (STRs) instead of banning them, following resident complaints about neighborhood disruptions and the potential transformation of the “Poltergeist” house into a rental and event space.
Read the full Staff Report here.
In a 3-1 vote, council members backed creating an ordinance to address permits, taxes, and enforcement, rejecting a ban due to practicality concerns.
Tybee Island, GA
Tybee Island is preparing for significant changes to its short-term vacation rental (STVR) permitting process for 2025, with city officials meetings to explain the new requirements.
Starting January 1, all current STVR permit holders must reapply, meeting stricter criteria, including proof of 60 rental days in the previous year. The reapplication period runs until March 31, 2025.
Check out Tybee Island's Short-Term Rental FAQ.