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Northern Arizona county to consider short-term rental crackdown on Aug. 8

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(The Center Square)— Coconino County is considering a move to regulate short-term rental properties at a public hearing on August 8.

The county is planning to crack down on rentals in unincorporated areas, including a permit fee and limits on gatherings at rentals that would have an “adverse effect” on the surrounding community.

“This is the result of our communicating with the legislature to express our concerns about not having regulatory authority over short-term rentals,” county Supervisor Matt Ryan said in January, according to a July 14 news release. “Albeit limited, we now have a very important tool that will promote voluntary compliance and encourage people to be good neighbors.”

If passed, the ordinance would give the county the power to charge up to $250 in permit fees, as well as require the property owners to “notify neighbors” and the county of a “24-hour emergency point of contact.” It would also require a minimum of $500,000 in liability insurance for the property and a “transaction privilege tax license number,” which allows sales tax to be collected.

“As we were drafting this proposed ordinance, in addition to the input of County staff and the County Attorney’s office, the County collaborated with other municipalities, including the City of Flagstaff,” Supervisor Patrice Horstman said in the release. “I want to express my appreciation for the diligent efforts and creativity of the County staff in redrafting the proposed ordinance. I know it will help encourage voluntary compliance for short-term rental owners to be good neighbors.”

Coconino County is famous for its natural tourism destinations, including the Grand Canyon and parts of Sedona, both of which are popular for short-term rentals for travelers.

Sedona, which sits in both Yavapai and Coconino counties, is a notable example of a local government seeking to crack down on short-term rentals. The city green-lighted a program last August that would pay up property owners up to $10,000 to switch from short-term rentals to allow workers in the resort area to lease instead, 12 News reported.

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