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San Francisco committee advances ordinance to require platforms to verify short‑term rental registrations

San Francisco Board of Supervisors Government Audit and Oversight Committee · June 2, 2016
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Summary

After hours of public testimony, the City supervisors' Government Audit & Oversight Committee adopted amendments and voted to send to the full Board an ordinance that would require hosting platforms to verify San Francisco registration numbers before listing units, while also directing staff to simplify host registration processes.

The Government Audit and Oversight Committee on June 2 voted to forward to the full San Francisco Board of Supervisors an amended ordinance requiring online short‑term rental platforms to verify that listings have valid city registration numbers before posting.

Sponsor Supervisor David Campos framed the measure as a narrow enforcement change aimed at ‘‘bringing hosting platforms into the regulatory scheme’’ without altering existing host rules. Campos said platforms that list unregistered units undermine local housing law and that the amendment would hold platforms accountable with civil fines (up to $1,000 per day as drafted). "This is not about changing the existing law. It's simply about making sure that this law … is actually enforced," Campos said.

Deputy City Attorney John Givner told the committee the ordinance was drafted to minimize federal preemption risks under the Communications Decency Act by focusing on platforms’ business activities (collecting and confirming registration data for booking services) rather than the platforms’ editorial control of user content. "This ordinance does not regulate the content of any posted information on the website of a hosting platform. Rather, it regulates the business activities of the hosting platforms," Givner said.

The hearing drew extensive public comment from neighborhood groups, hoteliers, tenant and senior advocates, registered hosts and platform‑industry representatives. Supporters — including the Hotel Council, tenants groups and housing advocates — argued platforms enable commercial operators to list full units, displacing residents and eroding affordable housing stock. "All Airbnb rentals should have a valid San Francisco registration number before posting them online," said George Wooding, president of the Coalition for San Francisco Neighborhoods.

Registered hosts and several speakers urged caution, saying the city’s registration process is burdensome and that adding platform obligations without streamlining permitting could chill casual, low‑use hosts. Doug Nielsen, a registered host, told the committee the registration process can take months and criticized a new inventory form that required listing and valuing household items. "The city must find a way to simplify this process," Nielsen said.

Industry groups expressed legal and policy concerns. Lauren Kimsey of the Internet Association warned that imposing platform liability risks conflict with Section 230 federal protections and urged local officials to negotiate alternative compliance mechanisms.

The committee adopted amendments circulated by Campos that clarify the definition of a hosting platform, outline privacy protections for registered hosts and streamline initial‑day compliance rules. The committee sent the amended ordinance as a committee report for a full‑board hearing scheduled June 7. President London Breed was excused from the committee vote.

Committee members and staff repeatedly pledged to pursue process improvements for host registration. Supervisor Norman Yee and others said they supported platform accountability while calling for multilingual, accessible registration options for seniors and low‑tech hosts. The committee record shows the item will go to the full Board on June 7 for further consideration.