Scottsdale’s Proposed Short-Term Rental Laws
These days, short-term property rentals, such as those offered by VRBO and AirBnB, have gained much popularity as an alternative to hotels. While cities are able to set their own laws when it comes to what is allowable or required for the owners of these properties in order to be able to rent them out, the City of Scottsdale has proposed tougher ordinances in 2024.
These newly proposed ordinances crack down the ability to rent to minors and make both the property owners as well the party promoters as accountable for “nuisance” parties or similar unlawful gatherings.
What is Currently Required of Short-Term Rental Property Owners?
According to Scottsdale’s current city code, short-term rental property owners must abide by many laws, including:
- Having a current vacation rental license, with associated fees paid, for each vacation rental property.
- Prohibiting vacation and short-term rentals from being used for non-residential purposes, including for retail, operating a sober living home, and operating an adult-oriented business.
- Maintaining liability insurance of at least $500,000.
- Performing background checks on the renters to ensure no sex offenders will be staying.
- Informing all single-family residences adjacent to the property that their property will be used as a short-term rental.
Violating short-term/vacation rental ordinances can result in civil offenses for the offender. These violations come with significant fines.
Scottsdale’s 2024 Short-Term Rental Proposed Amendments
The City of Scottsdale is accepting input from local residents regarding three primary issues. Scottsdale residents are encouraged to complete a survey to provide their input before Scottsdale City Council votes on the matter on May 6th.
The City of Scottsdale has provided a survey link regarding their proposed amendments. The survey is available until March 31st, 2024.
Issue 1 – “Promoters should be added as a responsible party for nuisance party and unlawful gathering violations.”
This amendment would make promoters – those who arrange activities and events and is responsible for them – accountable along with the property owner, tenant, and/or other responsible individuals for organizing nuisance parties or unlawful gatherings.
Issue 2 – “It should be unlawful for non-residents to remain on a property after police declare a nuisance party.”
This amendment would give law enforcement officers the authority to ask non-residents to leave the property after a nuisance party has been declared.
Issue 3 – “Minors should be prohibited from renting short term rentals.”
Various rental hosting platforms allows property owners to prohibit minors from renting, but Scottsdale’s current city ordinance does not. This amendment would prohibit minors from renting pursuant to city law.
How Would These Amendments Help Scottsdale?
Short-term rentals in Scottsdale can create disturbances among established residents as a result of noisy and disruptive parties, particularly when minors are involved. As a result of such parties, there can be an increase in issues such as heavy residential traffic, underage drinking, excessive noise, public intoxication, disorderly conduct, and littering.
According to Assistant City Manager, Brent Stockwell, as reported by KJZZ, should these changes pass, “These aren’t things that are really going to impact any of the people renting short-term rentals lawfully and staying there. It’s going to only impact those that are using those properties, or really any property in the city, for holding a nuisance party or an unlawful gathering.”
What Would the Criminal Liabilities Be for Rental Property Owners?
Violations of these amendments would be civil offenses, with fines ranging from $1000 to $2500.
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