Nearly three months after passage by the state Assembly and Senate, supporters are eagerly awaiting Hochul’s next move.
“It’s no secret that this bill – no matter what version – failed in the budget negotiations and that this bill was one of the very last bills to pass at the end of the session,” Rep. Patricia Fahy (D-Albany) said during a press conference on Monday. “So that’s a mountain we’re trying to climb.”
Bill sponsors Fahy and Democratic Senator Michelle Hinchey (Saugerties), along with two county organizations and the New York State Hospitality and Tourism Association, called on the governor to take action.
Hochul has not yet said whether she will sign or oppose the bill. The bill would introduce new safety standards and tax and monitor property owners’ data on short-term rentals.
When asked about the executive branch’s plans, Hochul’s spokeswoman Kristin DeVoe said in an email that the governor would “review” the law.
This is the furthest the bipartisan bill has traveled since it was first introduced seven years ago, and along the way it has faced some resistance from industry lobbyists representing short-term rental giants like Airbnb and Vrbo.
Efforts to pass a statewide short-term rental law gained momentum as the popularity of short-term rentals skyrocketed during the COVID-19 pandemic, subsequently sparking concerns about the industry’s impact on long-term housing options and prices.
The pending bill’s state registration system would provide local authorities with data to determine the impact of short-term rentals on surrounding communities, and would require property owners to re-register with the state Secretary of State every two years.
Hinchey pointed out during the press conference on Monday that the European Union had already introduced a registration system earlier this year.
“I wonder why a registration system is OK for the European Union, but not for the municipalities and small communities in New York State here in the United States,” Hinchey said. “It’s a no-brainer.”
In 2023, Airbnb hosts and guests in New York State generated an economic impact of approximately $4.5 billion, supported 43,500 jobs, and generated over $1.2 billion in tax revenue.
The law is also expected to generate approximately $100 million in government revenue.
Some counties, such as Fulton County, have already implemented an occupancy tax system. This was first introduced in 2018.
Cities such as Chatham, Caroga, Jefferson and Catskill have already implemented a registration system. In total, more than 200 counties across the state have enacted regulations for short-term rentals.
Anything beyond that would be excessive and trivial, said Nathan Rotman, Airbnb’s director of Northeast policy, in a statement. The group has long advocated for self-regulation.
“Regulations are best handled at the local level to meet the needs of individual communities,” Rotman said. “This bill is duplicative, unnecessary and cumbersome.”
In Saratoga Springs, a few additional steps would be needed to generate revenue from short-term rentals. In July, city and county officials began discussions about amending a 1978 county law that prohibits the collection of bed taxes on apartments with four or fewer units. That would require Assemblywoman Carrie Woerner and State Senator James Tedisco, who represent the region, to introduce the bill in each chamber of the state legislature.
At a panel discussion in Ulster County on Monday, short-term rental owners expressed concern that the law could force them to raise their prices to make ends meet.
Mark Door of the New York State Hospitality and Tourism Association said hotels and motels must comply with these financial guidelines.
“Yes, they will increase the tax by 5 to 8 percent, but the homeowner and the person renting their room will not pay that increased price,” he said. “That would be the guest and a pass-through is what all hotels are doing right now.”
