This bill proposes several updates to the current statutes regarding vacation rentals and short-term rentals. Under the new provisions, local governments would be allowed to limit the maximum occupancy for overnight stays in these rentals to two adults per sleeping area, plus up to two additional persons, excluding minors. Additionally, the bill clarifies that these occupancy limits apply only to guests staying overnight. It also extends the period for local governments to suspend a regulatory license or permit from twelve months to twenty-four months for three verified violations, while allowing immediate suspension for serious building code violations that threaten public health or safety.

Furthermore, the bill mandates that local governments requiring a regulatory permit or license must adopt ordinances for sex offender background checks on booking guests, with a waiver if an online marketplace conducts such checks. It also allows local governments to deny permits if the applicant has unpaid fines related to violations of local ordinances. The effective date for these changes is set for January 1, 2027.

Statutes affected:
Introduced Version: 9-500.39, 11-269.17, 42-12003, 42-12004, 42-5005, 42-5042, 9-835, 33-1901, 9-461.18, 42-5076, 42-5070, 42-12001
House Engrossed Version: 9-500.39, 11-269.17, 42-12003, 42-12004, 42-5005, 42-5042, 9-835, 33-1901, 9-461.18, 42-5076, 42-5070, 42-12001