The bill amends Section 42-63.1-14 of the General Laws in Chapter 42-63.1 entitled "Tourism and Development" to regulate the offering of residential units for short-term rental through hosting platforms. It removes previous language that prohibited cities, towns, or municipalities from banning the offering of units for tourist or transient use on hosting platforms that collect and remit sales and hotel taxes. The bill requires short-term rental properties listed on hosting platforms to be registered with the Department of Business Regulation, providing specific information about the property and its management. Hosting platforms are instructed to notify their listed properties to register by December 31, 2021, or face fines.

The bill also outlines the registration process, including the information required and the creation of a state registration number for each property. It mandates the creation of an online database for registered short-term rental units and sets out fines for property owners who fail to register as required. The fines range from $250 for the first 30 days of non-compliance to $1,000 for more than 60 days of non-compliance. The Department of Business Regulation is tasked with promulgating rules and regulations to enforce this section and may charge a registration fee. The act would take effect upon passage, removing the municipal preemption on prohibiting the offering of residential units for tourist or transient use through a hosting platform.

Statutes affected:
310: 42-63.1-14