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After six months of enforcement, short‑term rental listings down from ~380 to about 115; staff urge a full year before major changes

Ithaca Common Council and Committee of the Whole · February 12, 2026
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Summary

Staff reported 115 short‑term rental listings in the city (78 permitted, 37 not), and 101 permit applications pending or issued. Planning warns costs for hosts (certificate of compliance inspections, taxes, a $400 annual permit) have surprised many and recommends waiting a full cycle before major policy changes, though council members sought early tweaks for seasonal or multi‑unit rules.

Planning staff reported a first‑year review of the city’s short‑term rental (STR) ordinance on Feb. 11, saying the program is still in early implementation but that some measurable changes have already occurred.

"As far as short term rentals in the city, we currently have 115," a planner said, noting that the number fluctuates daily. Staff said 78 of those listings had permits while 37 did not; 101 permits were either issued or pending (87 issued, 14 pending). The team stressed these figures are a snapshot and that enforcement has been in full swing only since June 2025.

Staff attributed the decline from an estimated 380 listings before the ordinance to permit requirements including a certificate of compliance (CFC), proof of primary residency, room‑tax registration, and an annual operating permit set at $400. They said CFC inspections have uncovered a range of health and safety violations that hosts are now addressing.

Council members raised concerns about inspection and remediation costs, the annual fee structure and the restriction that in multi‑unit buildings only an owner‑occupied unit can be used as an STR. Staff said nonprimary or seasonal permits are difficult to enforce and recommended waiting through a full annual cycle before making major policy changes, but they agreed to provide additional data and explore options such as better public guidance on typical CFC costs and potential platform tax remittance agreements.

Next steps: staff will continue voluntary compliance outreach, pursue technical improvements to permit tracking and remittance with platforms where feasible, and return with fuller data after a full policy cycle for council consideration.