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Long hearing on SB 336: sponsor seeks to classify short-term rentals as residential; industry and local governments oppose
Summary
Senate Bill 336 would classify short-term rentals as a residential use of property rather than commercial. Supporters said the change protects property owners who rely on rental income; municipal officials, hoteliers and housing advocates warned it would undercut local zoning and exacerbate housing shortages.
Senate Bill 336, sponsored by Sen. Greg Hertz, drew one of the longest hearings before the Senate Local Government Committee. The bill would declare that a short-term rental (STR) is a residential use of property and would limit how local governments and covenanted communities can regulate such rentals in certain circumstances.
Supporters — a mix of Montana homeowners, tourism-industry workers, property managers and advocacy groups — said classifying STRs as residential preserves a property right that many Montanans rely on to afford housing and pay property taxes. Witnesses described individual stories: homeowners who rent portions of their residences to cover…
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