Arizona

Tempe to require short-term rental owners have license to operate

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PHOENIX – An East Valley metropolis adopted new rules for short-term leases that requires homeowners get an annual enterprise license and sex-offender background checks on the particular person reserving the property.

The Tempe ordinance will go into impact March 6, shortly after Cactus League spring coaching begins.

The Metropolis Council stated on the Jan. 5 assembly that homeowners can be notified by mail in February.

Householders who function short-term leases with no license face civil penalties that embrace a $1,000-per-month effective for ignoring violation notices.

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Employees stated the really useful actions have been the utmost allowed beneath state legislation, which went into impact final September.

Chandler, Glendale, Mesa, Paradise Valley and Scottsdale are among the many Valley cities with comparable rules.

Suggestions at public conferences in November confirmed a majority of these surveyed supported the license requirement and charge, operator legal responsibility insurance coverage and civil penalties for leases being being unlicensed.

Town considers properties rented for lower than 30 days to be brief time period.

Single-family properties, visitor homes, trip leases, residences, condos, rooms for lease and company housing fall beneath the brand new directives.

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• Get hold of a enterprise license and pay an annual $250 license charge.
• Present proof of a legitimate gross sales tax license and proof the rental is registered with the Maricopa County Assessor’s Workplace.
• Notify all residential properties adjoining to, instantly, and diagonally throughout the property of their emergency contact data. Responses to complaints can be required from the emergency level of contact inside half-hour for complaints for which public security personnel are dispatched or 24 hours for non-emergency complaints. 
• Preserve legal responsibility insurance coverage of not less than $500,000 or present proof that every trip rental or short-term rental transaction can be supplied by means of a web based lodging market that gives equal or larger major legal responsibility insurance coverage protection for the short-term rental.
• Conduct a intercourse offender background examine on the particular person reserving the short-term rental for free of charge through the use of the net nationwide intercourse offender public web site operated by america Division of Justice and retain a document both in arduous copy or digital kind of the background examine for 12 months after the reserving date.
• Require the show of the native license quantity on ads.

Council member Doreen Garlid was in favor of the background examine.

“That is completely different from a resort. A brief-term rental could possibly be subsequent door to my home with 4 children. You’re inviting strangers into my neighborhood,” Garlid stated, including initially the council initially thought-about requiring background checks on everybody within the rental occasion.

The Tempe Tourism Workplace stated on the council assembly almost 4 million guests come to the town yearly. Information commissioned by means of a personal third-party firm confirmed 1,206 lively short-term rental listings as of December 2022.

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