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Villa Park staff recommends keeping most short-term rentals restricted; board asks for more data
Summary
Village staff described zoning, tax and enforcement limits on short-term rentals and recommended against a licensing program or expanding STRs into residential districts; trustees and residents gave mixed views and asked staff for more data on tax receipts and hotel capacity.
On Feb. 10, 2025, the Village of Villa Park Committee of the Whole heard a staff presentation and public comment on short-term rentals, including listings on Airbnb and VRBO, and discussed enforcement, taxation and potential regulatory responses.
Community Economic Development Director Mark McLaughlin told trustees that short-term rentals (STRs) are accommodations provided in buildings normally used as residences and “are not hotels,” and that Villa Park’s zoning already allows lodging for stays of less than 30 days in specific commercial and mixed-use districts while prohibiting lodging in most residential and lower-intensity commercial districts. McLaughlin said staff had surveyed 13 similar municipalities in the region and found 11 prohibit STRs, one allows them with a license, and one allows them only in a historic district.
The presentation emphasized taxable treatment and enforcement limits. McLaughlin said Illinois law requires STRs to pay the hotel operators’ occupation tax…
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