In a recent city council meeting, San Antonio officials discussed proposed amendments to the city's short-term rental (STR) ordinance, which has been in place since 2018. The updates aim to enhance compliance, improve enforcement, and adjust permit fees for STR operators, reflecting the evolving landscape of short-term rentals in the city.

Mike Shannon, the director of development services, presented the proposed changes, which stemmed from a task force that met over four months to address concerns raised by both STR operators and neighborhood leaders. The task force's recommendations focus on increasing permit compliance, ensuring proper collection of hotel occupancy taxes (HOT), and providing more robust enforcement mechanisms against violators.

Currently, there are approximately 31,100 active STR permits in San Antonio, with a notable concentration in the urban core. The proposed amendments include a mandate for platforms like Airbnb and VRBO to remove listings that lack valid San Antonio permit numbers. Additionally, the ordinance will require these platforms to collect and remit local HOT, a move expected to significantly boost city revenue.

The proposed changes also introduce stricter enforcement measures, including a compliance meeting for operators with repeated violations and an increase in permit fees. The task force recommended raising the fee from $100 to $300 for a three-year permit for both Type 1 (owner-occupied) and Type 2 (non-owner-occupied) rentals. However, the planning and community development committee suggested a higher fee of $975 for Type 2 permits, reflecting the greater regulatory burden associated with these properties.

Supporters of the amendments, including representatives from the Short Term Rental Association of San Antonio and the San Antonio Hotel and Lodging Association, emphasized the importance of equitable tax collection and the need for effective enforcement to protect neighborhoods. They argued that the proposed changes would level the playing field for compliant operators and enhance the city's ability to manage STRs effectively.

However, some speakers expressed concerns about the proposed fee increases, arguing that they could disproportionately impact small business operators and discourage compliance. They suggested that any fee adjustments should be made during the city's annual budget process to ensure fairness and transparency.

The city council is expected to deliberate further on the proposed amendments, weighing the need for increased regulation against the potential impact on local businesses and the broader community. The outcome of this discussion will shape the future of short-term rentals in San Antonio, balancing the interests of operators, residents, and city officials.