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City cracks down on unregistered short term rentals

October 29, 2024 | Two Rivers, Manitowoc County, Wisconsin


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City cracks down on unregistered short term rentals
In a recent government meeting, officials discussed the growing issue of unregistered short-term rentals in Twin Rivers, highlighting the potential loss of tax revenue and safety concerns. As of October 1st, there were 47 registered short-term rentals in the city, but two are set to expire in 2025. Alarmingly, officials identified 25 additional properties listed on platforms like Airbnb that are operating without proper registration.

The discussion revealed that while these unregistered rentals are generating income, they are not contributing to local tax collections, which could amount to a significant loss—estimated at around $50,000 annually. Officials noted that approximately 38% of the tax revenue from registered short-term rentals contributes to the city’s budget, underscoring the financial implications of the unregistered properties.

Efforts to track these rentals involved cross-referencing listings on various booking platforms, but challenges remain in identifying exact addresses and ensuring compliance with local regulations. The city is considering collaborating with county officials to tighten ordinances and improve tracking procedures for short-term rentals.

The meeting also touched on the broader issue of revenue collection from different types of accommodations, including hotels and motels, and the difficulty in distinguishing between them in financial reports. Officials expressed a need for better data collection methods to ensure all rental properties are accounted for and meet safety standards.

As the city grapples with these challenges, the call for action is clear: officials must find a way to address the unregistered rentals to protect public safety and secure vital tax revenue for the community.

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Scribe from Workplace AI
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