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Commission moves forward on short‑term rental licensing and lodgers tax changes

Aztec City Commission · September 24, 2025
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Summary

The commission voted 5‑0 to advance an ordinance amending lodgers tax procedures and to create a short‑term rental licensing pathway intended to improve collection and operator compliance; staff will make editorial clarifications before final adoption.

The Aztec City Commission voted Sept. 23 to advance Ordinance 2025‑565 (intent to adopt) that would clarify lodgers tax procedures and establish a tailored licensing model for short‑term rentals (STRs).

A city staff presenter said the lodgers tax language needed clearer procedures and a different licensing type for STRs because operations that run for less than 30 days are a “rare animal” compared with hotels and RV parks. Staff said the proposed lodgers tax license would require operators to have a state license and a separate local lodgers tax license with application and collection procedures designed to improve compliance while reducing burden on operators.

Commissioners asked clarifying questions including whether the change would create liability for property owners in cases of unauthorized occupants; staff said the change applies only to short‑term rental operators and would not impose liability on property owners for unrelated squatting. A commissioner also suggested expanding the STR acronym to read out “short‑term rental” in the ordinance text; staff agreed to make that editorial change before final adoption.

The motion to proceed with the ordinance passed 5‑0. Staff will return with a final ordinance incorporating the editorial clarifications and any technical changes requested by the commission.