Daily Regulatory Notes 12/26/2024
Cities address STR: Fort Worth, TX continues legal battles; Sag Harbor, NY critiques platform accountability; Colorado tackles vacancy tax; Oklahoma City, OK introduces new rules; Point Pleasant Beach, NJ revises regulations; Lincoln County, OR extends moratorium. READ MORE.
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“°
Fort Worth, TX
The legal dispute between the City of Fort Worth and short-term rental operators remains unresolved after a Dec. 19 court hearing. The case, initiated by 114 property owners opposing the city’s February 2023 short-term rental regulations, challenges a ban on short-term rentals in residential areas. Both sides have requested summary judgments, aiming for a resolution without trial.
READ: Forth Worth's STR Ordinance. Check out the full ordinance here.
Chagrin Falls, OH
Genelaine Urbano
Continuation from Daily Notes 12/9/2024...
Chagrin Falls’ newly launched short-term rental registration program has achieved impressive compliance just weeks after its introduction. With over 20 properties identified, all owners have registered or are completing the process, avoiding the need for enforcement actions.
Check out the full STR Regulations here.
Fire Marshal Jim Finley conducted safety inspections, requiring essentials like smoke detectors and fire extinguishers, and reported high levels of cooperation.
Sag Harbor, NY
The tragedy of the Wiener family, who lost two daughters in a Sag Harbor short-term rental fire, highlights significant gaps in short-term rental platform accountability.
The lawsuit filed by the family revealed that the rental lacked functioning smoke detectors and valid permits, yet Vrbo was shielded from liability under Section 230 of the Communications Decency Act. This legal protection intended to foster internet innovation, has drawn criticism for enabling operators to avoid ensuring rental safety.
Colorado
Genelaine Urbano
Continuation from Daily Notes 12/19/2024...
A proposed vacancy tax in Colorado, aimed at addressing housing shortages by taxing vacant homes, will not include short-term rentals in the upcoming legislative session.
Preview of SB 24-033. Read the full bill here.
The Colorado Association of Ski Towns initially considered applying the tax to short-term rentals but has since decided to exempt them, recognizing that municipalities already have tools to regulate these properties. Lodging industry leaders welcomed the exemption, as many feared the tax would burden short-term rental owners.
Memphis, TN
A police raid at a Memphis short-term rental has reignited calls for stricter regulations on vacation rentals. The Shelby County Sheriff's Office discovered guns, drugs, and a homicide suspect at an East Memphis rental, sparking frustration among neighbors and local leaders.
Read the full ordinance here.
While Memphis currently mandates permits and owner proximity requirements, Downtown Neighborhood Association President Jerred Price stressed the need for better renter screening to prevent misuse. Councilman Dr. Jeff Warren supports stronger laws, including giving police greater authority to evict and arrest disruptive renters.
Oklahoma City, OK
Oklahoma City has tightened its short-term rental regulations, introducing new rules aimed at balancing neighborhood concerns with property owners' interests. New measures include occupancy caps, limits on special exceptions in residential areas, and off-street parking requirements.
The city also granted the Board of Adjustment the ability to factor in HOA restrictions for certain rental approvals. Hosts renting more than 10 nights a month face additional hurdles, sparking concerns among operators who view the process as burdensome. Enforcement remains a priority, with plans for improved oversight tools, licensing compliance, and tax monitoring through the Office of Innovation.
Point Pleasant Beach, NJ
Point Pleasant Beach has revised its short-term rental rules to establish stricter oversight and address ongoing litigation from out-of-state rental owners.
Read the full ordinance here.
The newly adopted ordinance, approved 5-0 by the mayor and council, limits exemptions for minimum rental durations, requiring short-term rentals to be owner-occupied to qualify for flexible stay terms. This change eliminates previous allowances for local property owners with multiple homes in the borough during the off-season.
Wilmington, DE
Wilmington’s proposed short-term rental rules have been tabled, leaving the issue unresolved for the city’s new administration in 2025.
Check out the full ordinance here.
Outgoing Councilwoman Bregetta Fields’ ordinance, which sought to introduce permit fees, taxes, and safety requirements, faced opposition from both residents wanting stricter regulations and hosts defending their livelihoods. Incoming officials, including Mayor-elect John Carney, have signaled plans to prioritize resident safety and housing stability, suggesting the debate will resume with a fresh perspective.
Narragansett, RI
The Narragansett Town Council remains divided on how to address its controversial short-term rental ordinance after a 2-2 vote on whether to rescind the current law.
Check out the full ordinance here.
Councilman Jason Colonies, backed by Councilwoman Donna McNally, pushed to rescind the current ordinance, which bans rentals of less than seven days and limits occupancy to three unrelated people, calling it overly restrictive and legally unenforceable. However, Council President Alex Menzies resisted, citing concerns about leaving the town unregulated during the transition to new policies.
Check out Narragansett's 2024 Short Term Rental & Regular Rental Ordinance Questions & Answers.
Lincoln County, OR
Lincoln County commissioners voted 3-0 to extend their moratorium on new vacation rental licenses until March 31, 2024, while signaling the need to evaluate the effectiveness of existing licensing, inspection, and enforcement programs.
STR License Moratorium Resolution. You can also read it here.
The county's vacation rental ordinance, which limits licenses to seven geographic areas, is currently under legal review with multiple appeals pending. The moratorium, first implemented in 2023, aims to resolve legal challenges before issuing new licenses. Currently, there are 469 licensed vacation rentals in the county, with 15 available in areas east of U.S. Highway 101.