This bill allows a municipality to impose, if approved by referendum of the voters in that municipality, a local option fee on short-term rentals of living quarters in any hotel, rooming house or tourist or trailer camp currently subject to the 9% sales tax on lodging, including a short-term accommodation rental rented through a transient rental platform. Long-term rentals currently exempt from sales tax are not subject to the short-term rental fee. The revenue from the local option fee is distributed to the municipality imposing the local option fee. Revenue received by a municipality from a local option fee imposed on short-term rentals may not be used to reduce or eliminate funding otherwise due to the municipality under other provisions of law. The local option fee may not take effect before July 1, 2024.