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Senate passes AirBnB bill

As you know, I don’t care for this.

A Senate bill that would limit local government control of short-term home rentals in Texas passed out of the upper chamber Tuesday in a 21-9 vote.

Under Senate Bill 451 by state Sen. Kelly Hancock, R-North Richland Hills, Texas cities would be prevented from banning short-term rentals and their ability to write ordinances restricting the practice would be narrowed. Austin, San Antonio and Fort Worth are among the cities that have enacted such restrictions.

Critics of the bill said it would lower property values and allow Texans to rent houses to people who might host disruptive parties and increase traffic in their neighborhoods.

Proponents say SB 451 would protect homeowners from strict local laws that infringe on property rights while still allowing a limited amount of local regulation, such as prohibitions on short-term renters housing sex offenders or selling alcohol or illegal drugs to guests.

“The bottom line is you cannot ban short-term rentals,” Hancock said Tuesday.

Among local policies that would be limited in scope by Hancock’s bill: a Fort Worth regulation that requires property owners to obtain a bed-and-breakfast permit only available to homes built before 1993 and an ordinance in Austin that has capped the number of short-term rentals with no live-in owners.

During Tuesday’s debate, several legislators expressed concerns about the effects the measure would have on their communities. State Sen. José Menendez, D-San Antonio, even proposed a failed amendment to exempt his home district from the bill.

The lower chamber’s companion to Hancock’s legislation, House Bill 2551 by state Rep. Tan Parker, R-Flower Mound, was heard in the House Urban Affairs Committee on Tuesday afternoon. Testimony was divided over whether short-term rentals would be better regulated at the local or state level.

See here for the background. The reservations I expressed then remain with me now. At the very least, if the Legislature is going to insist on taking away cities’ autonomy on this matter, they could include a provision to require collection and remittance of state hotel taxes, so individual cities don’t have to negotiate their own deal with AirBnB as Houston just did. A little consistency would be nice, though apparently too much to ask. The House bill was left pending in committee, so this is may be as far as this effort goes this time. If so, you can be sure it will be back in 2019.

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2 Comments

  1. Joel says:

    nothing says state sovereignty like giving up control to international corporations.

    this is like a love letter to uber.

  2. C.L. says:

    Interesting that it took a Republican out of North Texas to propose a bill that allows homeowners to do whatever they want with their home – rent it to frat boys in town for an alumni game or to Saudi sheiks in Houston for the OTC event.

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