As Goodyear continues to grow, the number of short-term rentals (STRs) listed on online platforms like Air Bed & Breakfast (AirBnB) and Vacation Rental by Owner (VRBO) will also increase. This work session is intended to provide Council an overview about STRs in the city of Goodyear, legislative history and impacts, and discuss potential solutions that are allowed under the law. (Julie Karins, City Manager)

Pending Council direction there is no impact at this time.

In 2016, the Arizona Legislature passed SB 1350, which preempts municipalities from regulating or restricting STRs based solely on their classification, use or occupancy; with the exception of protecting public health and safety. While we cannot prohibit or restrict STRs in the city of Goodyear, we respond to any illegal activity occurring at these residences, including disorderly parties, gatherings or events that involve loud music, disturbances or unruly behavior. Homeowner Associations are able to restrict STRs so long as the CC&Rs clearly and specifically state the restriction.

In 2019, a bill was passed (A.R.S. 9-500.39) requiring STR hosts to include a lodging tax license number in all advertisements as well as prohibiting special events that would normally require a license (i.e. large parties). This bill also allowed cities to require STR owners to provide contact information for someone who can respond to complaints about the STR in a timely matter. Under this legislation, there are four options for consideration:

1. Do nothing;
2. Allow owner registration;
3. Impose mandatory registration with no local fines;
4. Require owner registration with local fines.

Staff recommends Council adopt option number 4, with a resolution and ordinance adopted during a regular Council session. This action will allow staff to require and maintain a STR database such that the city will be able to contact the STR property owner or the owner’s designated responsible contact person for those STR properties that generate complaints or in case of an emergency occurring at the STR property.