HB 23-1287

House Bill 23-1287 in Colorado updates the rules for short-term rentals like those found on vacation rental websites. It clarifies that counties can regulate homes rented out for less than 30 days but exempts hotels from these regulations. The bill also requires vacation rental services to include license numbers and remove listings if a rental is not properly licensed or violates local laws. This means that starting August 7, 2023, counties will have more control over short-term rentals within their jurisdictions, ensuring compliance with licensing requirements.

Official Summary

A board of county commissioners is currently authorized to license and regulate an owner or owner's agent of a lodging unit that is rented or advertised for short-term stays, and "owner's agent" expressly excludes an internet hospitality service. The act modifies this regulatory authority by clarifying that it applies to lodging units that are available for short-term rentals, which are rentals for less than 30 days, and by excluding a hotel unit from the scope of the authority. The act also changes "internet hospitality service" to "vacation rental service" (service), defines the term, and provides separate authority for a board of county commissioners to regulate a service. This authority, however, is limited to requiring: An owner or owner's agent to include a rental license or permit number, if applicable, in any listing for a lodging unit on the service's website or other digital platform; and The service to remove a listing from the service's website or other digital platform, if properly notified by a county that the owner of the listed lodging unit has had a local short-term rental license or permit suspended or revoked or has been issued a notice of violation or similar legal process for not possessing a valid local short-term rental license or permit or that the county has a prohibition on short-term rentals that applies to the lodging unit. Upon the request of an owner of a hotel unit that is located in a building with one or more lodging units or a vacation rental service on which the hotel unit is listed, a county is required to provide written verification that the hotel unit is exempt from the ordinance because it is not a lodging unit. APPROVED by Governor June 5, 2023 EFFECTIVE August 7, 2023 NOTE: This act was passed without a safety clause and takes effect 90 days after sine die. (Note: This summary applies to this bill as enacted.)

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