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Council advances first reading to apply lodging tax to short-term rentals
Summary
Hutchinson advanced a first reading to amend city code chapter 116 so short-term rentals (Airbnb/VRBO) are included in the lodging tax; staff said at least six local properties would qualify and existing rental licensing and inspection requirements apply; this was a first reading only.
The Hutchinson City Council held the first reading on a proposed amendment to Chapter 116 of the Hutchinson City Code to expand the city's lodging tax to include short-term rental properties such as Airbnb and VRBO units.
City staff explained the current ordinance dates to 1989 and does not explicitly address short-term rentals. Staff said a quick review identified at least six local properties that would qualify if the ordinance is revised. The draft ordinance would add a definition to include short-term rental platforms and incorporate state-law language clarifying that stays longer than 30 days remain exempt.
Staff noted that the city already requires rental licenses for many short-term property operators; those licenses trigger existing inspections (fire and safety) and fee structures. The staff presentation said the lodging-tax expansion is not expected to generate large revenues but would "level the playing field" between hotels and short-term rentals.
Council voted to approve the first reading by voice vote. Because this was a first reading, the ordinance has not yet been adopted; a second reading and final vote will be required before the amendment becomes law.
