The City Council voted unanimously on Nov. 5 to enact Local Law No. 10 of 2025, repealing section 2‑12‑40(e) of the City Code and removing the four‑unit exemption that had prevented the city from collecting occupancy (bed) tax on small tourist homes. The local law repeals the exemption language and marks the section "reserved," with the law to take effect upon filing with the New York state secretary of state in accordance with municipal home‑rule procedures.

Council discussion noted the provision dated to about 1978 and that the repeal will enable the city to collect occupancy tax revenue previously blocked by the exemption. A council member presenting the law read the ordinance language onto the record and staff confirmed the county must also take compatible action; county public hearings were noted on the record (county hearing scheduled Nov. 12, potential county vote Nov. 18). The council voted 5–0 to adopt the repeal.

Why it matters: removing the exemption allows the city to levy occupancy tax on very small short‑term rental operations that had not been required to pay the bed tax. Council members framed the change as opening a longstanding revenue source to help address tight municipal finances.

Next step: city will file the local law with the state; the county is simultaneously advancing related action at the county level.