California's Assembly Local Government Committee convened on July 2, 2025, to discuss Senate Bill 346, a proposed legislation aimed at enhancing transparency in the regulation of short-term rentals across the state. The bill, co-sponsored by the League of California Cities, seeks to provide local governments with access to the addresses of short-term rental properties, which are currently obscured by rental platforms.

Ben Trevo, representing the League of California Cities, emphasized the challenges local governments face in enforcing ordinances related to transient occupancy taxes (TOT) and ensuring compliance among short-term rental operators. He noted that many cities and counties struggle to verify whether rentals are operating legally and paying the appropriate taxes. The lack of address visibility on rental platforms complicates enforcement efforts, leading to potential revenue losses for local governments.

Patrick Sullivan, the treasurer tax collector for Lake County, echoed these concerns, highlighting the reliance of small counties on TOT revenue. He argued that the current practices of rental platforms protect bad actors while legitimate operators face penalties due to non-compliance. Sullivan pointed out that the addresses of business permits are already public records, suggesting that there is no valid privacy concern in disclosing rental addresses.

The bill has garnered significant support from various local government representatives and associations, including the California State Association of Counties and multiple city councils. Many supporters argue that the proposed legislation is a necessary step toward ensuring fair competition and compliance in the short-term rental market.

While the bill received overwhelming support, some stakeholders, including representatives from Airbnb, expressed concerns about the potential for overly broad requests for information. They suggested that amendments may be necessary to protect the legal processes involved.

As the committee continues to deliberate on SB 346, the outcome could have profound implications for local governance and the short-term rental industry in California, potentially paving the way for more effective regulation and increased tax revenue for communities.