🎯 STRisker: Bulletin - California
Legislation Introduced to Regulate Unlicensed Short-Term Rentals in California
California Bill Seeks Crackdown on Unlicensed STRs
California is on the verge of a major shakeup in the short-term rental (STR) world. Senator MarĂa Elena Durazo’s Senate Bill 346, the Short-Term Rental Facilitator Act of 2025, is now waiting for Governor Gavin Newsom’s signature after breezing through both the Assembly and the Senate. For cities and counties struggling to track, tax, and regulate STRs, this bill could be a game-changer.
The heart of SB 346 is simple but powerful: it gives local governments access to the information they need to enforce their STR laws and collect unpaid taxes. Right now, an estimated 25% to 75% of short-term rentals across the state aren’t properly licensed, leaving cities empty-handed on revenue and undermining efforts to keep housing affordable. Local leaders say the lost taxes mean fewer resources for public services, and the rise of unregulated rentals is fueling housing shortages and rent hikes.
Durazo summed it up best: platforms have been “profiting while local governments struggle” to do their job. By requiring platforms to share critical data, cities and counties would finally be able to go after illegal listings, close loopholes, and level the playing field between compliant and noncompliant hosts.
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.
The League of California Cities and the Association of County Treasurers and Tax Collectors have been among the bill’s biggest champions, joined by dozens of local governments who want a fairer STR system. Carolyn Coleman, CEO of the League, said SB 346 will ensure every California city can “enforce its local laws, crack down on illegal units, and collect the taxes owed to them.”
Governor Newsom has until October 12 to sign or veto the measure. If signed, cities will be able to opt in to receive key STR data, giving them the edge they need to manage their local markets more effectively. For hosts and platforms, this means a new era of transparency—and for neighborhoods, it could mean better protections and more money staying local.
Stay Updated with STRisker
STRisker offers tools and features to keep you updated with the Short-Term Rental movement across the U.S.
👍 We’d love your feedback.
We're always looking for ways to improve Bulletins.
Was this one useful to you? Other topics you'd like to see get covered?
✉️ Just reply directly to this email. We read and respond to every message!
-Will McClure
🙋 P.S.
Know someone else who should be reading this Bulletin? Feel free to forward this along. We want to make sure operators and stakeholders are aware of regulatory changes in their area.