Arizona short-term rental reform lobbying ban divides leaders

A lobbying moratorium agreement between short-term rental companies and a statewide group representing municipalities has divided Arizona city and town leaders.

In June, the League of Arizona Cities and Towns signed an agreement with Airbnb and Expedia Group, owner of vacation rental company Vrbo, that temporarily limits the League’s ability to advocate for changes to rental laws in short-term state. The League is a membership organization from Arizona’s incorporated municipalities and has been fighting for years for greater municipal power to control short-term vacation rentals.

The agreement, which The Arizona Republic obtained, states that:

  • For three years, the parties will refrain from trying to change state law that limits how cities and towns can regulate short-term rentals. This includes SB 1168, the bill signed by Governor Doug Ducey in early July. which allows more local monitoring of rentals.
  • For five years, the League won’t try to completely repeal SB 1350, the 2016 law prohibiting municipalities from banning short-term rentals, and won’t push for “legislation regarding changes to add regulatory obligations and burdens in an online hosting market”.
  • The agreement precludes advocating for statutory changes “related to limiting the proliferation of short-term rentals” in communities, such as density limits or numerical caps.

The agreement was signed on June 24, the same day the legislature sent SB 1168 to Ducey. The law project empower local governments. It allows cities and towns to require municipal licenses for vacation rentals and allows local governments to crack down on intrusive properties.

Many cities and towns say vacation rentals have caused many problems, from nuisance complaints and safety issues to the depletion of the local housing supply. In 2016, SB 1350 stripped municipalities of power to regulate tenancies, spurring years of legislative struggle to reclaim local control.

League management and several League members said the signing of the agreement was necessary to pass SB 1168 and that it gives the new law time to work before one of the three parties fails. introduces other changes.

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