Tactic B5.1

Short Term Rentals - Legislation

Pursue new state legislative authority to manage Short Term Rentals (STR).

The implementation of Senate Bill 1350, which prohibits municipalities from banning short-term rentals, has resulted in a significant expansion in the number of residential units being offered as STRs.

The City should take a leadership role and join with other municipalities to advocate for authority to regulate short-term rentals and homes being used as visitor accommodations.

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IMPACTED PILLARS 

TIMEFRAME Short-term (12-18 months)

LEAD PARTNER City of Sedona

SUPPORTING PARTNERS SCC&TB, Sedona Lodging Council

ALIGNING RESEARCH Resident Survey, Business Survey, Industry Best Practices

TARGET / STATUS TO DATE

1. Ability to regulate- TARGET= TBD / STATUS = TBD

PROGRESS TO DATE

Short Term Rentals – Legislation

Pursue new state legislative authority to manage Short Term Rentals (STR)

FY22: In November, the City Council hired a lobbying from for the sole purpose of working with the state legislature in calendar2022 and revising state law in order to permit municipal regulation of STRs. SCC&TB President/CEO Candace Carr Strauss announced she will be participating as a Board member of AzLTA in legislative meetings with lawmakers re: reinstituting STR regulation.

FY21 & FY20:  Since the adoption of the Sustainable Tourism Plan, the City of Sedona and county representatives are pursuing state legislative changes to allow cities to regulate STRs. By joining with affiliations and organizations around the state, particularly those who regularly lobby at the state legislature, such as the Arizona League of Cities and Towns, the City of Sedona’s voice is being heard on this issue. 

In April 2021, hopes for legislation permitting more latitude in regulating short-term rentals died when the Legislature killed the last remaining measure on its agenda, SB 1379, which would have allowed communities to impose fines on owners who fail to provide contact information for police if there are problems with the tenants and permitted cities to mandate owners maintain minimum liability insurance.

The City of Sedona and county representatives will continue to work with state lawmakers and the Governor’s Office on this issue.