California Bill Takes Aim at Vacation Rentals

A California state bill seeks to limit vacation rentals in San Diego beach communities. "AB 1731, written by Assemblywoman Tasha Boerner Horvath, who represents North County cities, bars vacation rental platforms like Airbnb and VRBO from listing San Diego County vacation rentals that fall into both residential and state coastal zones on their sites for more than 30 days a year unless a full-time resident is on site," reports Lisa Halverstadt.

The bill initially covered communities throughout California, but the focus shifted to San Diego County. Hotel industry and workers groups support the legislation while Airbnb, Expedia, and business organizations oppose it. "They have argued the bill could restrict money-making opportunities for families who own vacation rentals and that hotel-tax collections also applied to vacation rentals in many cities could fall if Boerner Horvath’s bill passes," says Halverstadt.

The city of Oceanside has opposed the bill, arguing that it would make it difficult for cities to pass local regulations. But Horvath says she has made adjustments to the bill that would allow cities to develop their own ordinances.

"Her bill also aims to get around the state Coastal Commission’s repeated demands that cities accommodate vacation rentals, which can serve as lower-cost alternatives to hotels in beach communities, with a note that properties listed in accordance with the state’s 'Lower Cost Accommodations Program' can be offered up year-round," notes Halverstadt.