ARIZONA HOUSE OF REPRESENTATIVES

Fifty-fifth Legislature

Second Regular Session

HB 2625: vacation rentals; short-term rentals; regulations

Sponsor: Representative Biasiucci, LD 5

Committee on Appropriations

Overview

Authorizes a local government to issue specific regulations on vacation rentals and short-term rentals.

History

A vacation rental or short-term rental is defined as any single-family or one-to-four family house or dwelling unit that is also a transient public lodging establishment or owner-occupied home that is offered for transient use if the accommodations are not Class 1 property.

Laws 2016, Ch. 208 preempted cities, towns and counties from prohibiting vacation rentals and short-term rentals. These local governments retained the authority to regulate vacation rentals and short-term rentals for specified purposes, including:

1) Protection of public health and safety;

2) Adopting residential use and zoning ordinances if the ordinance is applied equally to other residential property; and

3) Limiting or prohibiting adult-oriented businesses within the rental property (A.R.S. §§ 9-500.39; 11-269.17).

This list of permissible regulations was amended by Laws 2019, Ch. 240 to allow a city, town or county to require the owner to provide the local government with contact information for the owner or owner's designee.

The online lodging marketplace classification of Transaction Privilege Tax (TPT) requires online lodging operators to have a current TPT license (A.R.S. § 42-5042).

Provisions

1. Allows a city or town and a county to regulate a vacation rental or short-term rental by requiring its owner to:

a) Provide the name and phone number of the owner or owner's designee to all property owners within 300 feet of the rental property;

b) Display a sign that is smaller than two square feet and that contains a local 24-hour emergency contact number; and

c) Obtain and maintain a local regulatory permit or license before renting the property and provide proof of a valid TPT license. (Sec. 1, 2)

2. Makes technical changes. (Sec. 1, 2)

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6. HB 2625

7. Initials AF Page 0 Appropriations

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