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BREAKING NEWS: Arizona House Bill Amendment 2711 Could Halt Short-Term Rentals In Sedona – Sedona.Biz

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By Will Hamburg/Associate Broker/Investor

Sedona AZ –A new amendment to Arizona House Bill 2711 could prevent investors from making short-term rentals in Sedona.

Does Hamburg

House Bill 2711 (HB2711), is a bill that was originally introduced by Rep. Becky Nutt, (R) and passed on Arizona House of Representatives in 2021. The bill proposes to impose restrictions on short-term rentals in towns and villages with fewer than 17,000 residents.

Today, a new amendment is trying to sneak in that you should be aware of.

Sponsored by Rep. Brenda Barton (R), a new amendment is slated for a hearing before the House Lands, Agriculture, and Rural Affairs (LARA) Committee Monday, February 14, 2022, at 2 p.m.. This bill will give more power to small rural communities to regulate short-term rentals.

What the invoice says:

HB 2711 allows a city or town with less than 17,000 inhabitants:

  • Require a short-term rental owner to maintain a permit or license issued by the city or town.
  • Limit the number of short-term rentals based on a percentage of the total number of zoned residential buildings or structures in the town/village (no specific percentage referenced).
  • Regulate short-term rentals in the same way as temporary accommodation activities for public health and safety, not through taxes.

Currently, the bill that has already been passed includes:

  • Requires owners to obtain a short-term accommodation license.
  • Require that all monies collected from permits, licenses and fees be paid exclusively to the town or city to offset the administrative costs associated with regulating short-term rentals.
  • Requires a local emergency contact to be registered.
  • Prevents short-term rentals from conducting any type of commercial activity, such as weddings and events.

What this means for cities supporting short-term rentals:

The amendment could greatly affect tourist communities where owners rent out their homes on a weekly basis during peak seasons, such as music festivals, film festivals, mountain biking events, ski and snowboard events, etc

In Arizona, communities like Sedona, Flagstaff, Prescott Valley and Payson would be the hardest hit.

No matter where you are with vacation rentals, sweeping legislative changes like this are NOT the solution to solving the problem.

A better solution may be to follow the highly successful In Deed Law that Vail, Colorado has been implementing for some time now.

The Vail InDEED was “created to encourage homeowners and real estate buyers/sellers to restrict their ownership in order to help the city meet the Housing Strategic Plan 2027 goal of acquiring an additional 1,000 deed-restricted units from by 2027 and helps achieve the goal of maintaining and sustaining residents’ homes within the community.

The property must be occupied as a principal residence by persons who work at least 30 hours per week in Eagle County.

Modeling the Vail InDeed program would be a much better solution to creating quantifiable solutions and incentives for landlords and investors to purchase property for local workers and families.

How you can help:

1.) Don’t react emotionally or complain about the size of the short-term rental problem. Take the time to learn more about the Vail in action program and how it works. Talk to a local realtor, investor or property manager to hear both sides of the story.

2.) Do something! Whether you are for or against, attend your local meetings to discuss how to resolve these issues. Speak with your local legislators and be intentional about who you vote for.

3.) Share this article and ask your network what they think. Start a conversation

4.) Contact your local legislators!

If you are ever considering buying an investment property or already own one, you can contact your local representative in Arizona and let them know how the bill would affect you and your business.

You can email Rep. Barton and also contact all members of the House LARA committee:

Tell them about Vail’s InDEED program and let them know that you oppose general legislation like today’s HB 2711 and its amendments. Let’s work together to ensure fair laws for small towns and big cities alike.

This is important to ALL Arizona residents, no matter where you live!

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