Last updated:
May 20, 2026
2
minute read

This Week's Short-Term Rental Regulation Updates

May 13-19, 2026: Airbnb Regulations

Executive Summary

Arapahoe County, Colorado adopted a new STR licensing law on May 12, effective June 12, with a $200 application fee, $350 annual license, 500-foot spacing between rentals, and a local agent who must answer the phone within 15 minutes and reach the property within an hour. New York City is moving the other direction — Council member Mercedes Narcisse introduced a bill to loosen Local Law 18 in time for the 2026 World Cup, nearly three years after the law shut most under-30-day listings down. Illinois HB 5776 would put a 4% excise tax on stays under 30 days and route the money to a new Community Land Trust Fund for affordable housing, with collections starting January 1, 2027 if it passes. St. Charles County, Missouri is weighing rules with 600-foot spacing, mandatory inspections, and a required local emergency contact, aimed at the 40 to 50 STRs in unincorporated wine country, many owned by out-of-state corporations. Ellsworth, Maine put roughly $40,000 in its draft budget for OpenGov software to run a new STR registry, with a companion ordinance expected at council in May or June. Newark, Delaware is preparing an ordinance that would legalize owner-occupied STRs for the first time but keep whole-home rentals banned.

New Regulations

Arapahoe County, Colorado

Licensing · Published May 14, 2026

The Board of Commissioners adopted Ordinance 2026-01, effective June 12, requiring a $200 application fee, $350 annual license, 500-foot spacing between rentals, primary-residence ownership (with legacy exemptions), a 100-unit cap for multifamily properties, and a local agent who must respond within 15 minutes by phone and arrive on-site within an hour. Public feedback flagged opposition to the fees, spacing rule, and fairness of the legacy exemptions.

→ Source: Arapahoe County adopts short-term rental licensing for unincorporated areas

Developing Regulations

New York City, New York

General (Local Law 18 reform) · Published May 15, 2026

Council member Mercedes Narcisse introduced a bill to loosen Local Law 18, nearly three years after NYC's cap on under-30-day rentals shut most listings down, with the timing aimed at accommodating World Cup visitor demand. Specific provisions weren't detailed in the interview, but the bill is the most prominent attempt yet to roll back the city's enforcement-heavy STR rules.

→ Source: Council plans to loosen restrictions on short term-rentals

Illinois (statewide)

Tax · Published date not confirmed in source

Illinois HB 5776 would impose a 4% excise tax on stays under 30 days, with revenue routed to a new Community Land Trust Fund for affordable housing and collections starting January 1, 2027 if passed. Platforms handling $100,000 or more in annual Illinois bookings would collect the tax from renters and remit it directly to the Illinois Department of Revenue, similar to existing hotel-tax mechanics.

→ Source: Illinois Bill Would Add New Tax to Airbnb-Style Rentals, Fund Affordable Housing

St. Charles County, Missouri

General (occupancy, zoning, licensing) · Published May 11, 2026

The County Council is weighing new STR rules covering overnight guest caps, parking limits, mandatory inspections, 600-foot spacing between rentals, and a local-contact mandate for emergencies, targeting the 40 to 50 STRs in unincorporated areas — many corporate-owned and concentrated in wine country. Council member Tim Baker cited difficulty reaching out-of-state owners during disturbances as the trigger; St. Louis City's 2023 STR rules remain blocked by a lawsuit challenging the application process as an illegal tax.

→ Source: St. Charles County Council proposes short term rental regulations

Flagstaff, Arizona

Licensing · Published May 15, 2026

City Council approved the first reading of updates to its short-term rental licensing rules, the procedural step before public hearings and final adoption. Specific changes weren't detailed in the initial coverage; further readings will follow before the new licensing framework takes effect.

→ Source: City of Flagstaff approves first reading of updates to short-term rental licensing

Ellsworth, Maine

Licensing (registry) · Published May 18, 2026

City Council backed funding for a short-term rental registry in its draft budget, with code enforcement requesting roughly $40,000 to procure OpenGov software that would automate registration, inspection scheduling, and admin work. A companion ordinance — covering registration, inspections, and penalties for non-registered owners — is expected to come before council in May or June.

→ Source: Council supports short-term rental registry in budget, deliberates other department requests

Adams, Massachusetts

Bylaw formation · Published May 17, 2026

The Planning Board opened public discussions on a draft short-term rental bylaw, asking current STR operators for input as it weighs taxation, registration, off-hours enforcement, and safety inspections on par with long-term landlord rules. Open questions include occupancy and parking limits, noise rules, and whether accessory dwelling units should be required to be owner-occupied.

→ Source: Adams Starts Talks on Short-Term Rental Bylaw

Newark, Delaware

General (owner-occupied legalization) · Published date not confirmed in source

Newark City Council is preparing an ordinance that would legalize owner-occupied STRs for the first time, letting hosts rent spare rooms via Airbnb or Vrbo only while physically on-site, with whole-home rentals remaining prohibited. A short-term rental license is likely to be required, with the council expected to vote in the coming months once the draft is finalized.

→ Source: Newark Considers Relaxing Ban on Airbnb and Similar Short-Term Rentals

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