A new bill aimed at enhancing transparency in short-term rental regulations is gaining momentum in California. During a recent Assembly Local Government Committee meeting, supporters rallied behind SB 346, which seeks to provide local governments with crucial information about short-term rental properties, including their addresses.

Ben Bridal from the League of California Cities emphasized that the bill would help cities and counties enforce local ordinances regarding transient occupancy taxes (TOT) and ensure compliance among rental operators. Currently, many short-term rental platforms do not disclose property addresses, making it challenging for local authorities to verify whether rentals are operating legally and paying the required taxes. Bridal pointed out that while these platforms have the necessary information, they often resist sharing it, leading to costly legal battles for local governments.

Patrick Sullivan, the treasurer tax collector for Lake County, echoed these sentiments, stating that the lack of transparency protects bad actors who evade tax obligations. He highlighted the burden on small counties like Lake, which struggle with limited resources to investigate compliance on their own. Sullivan argued that the addresses of short-term rentals should be public information, similar to other business permits, and that legitimate operators have nothing to fear from such transparency.

The bill has garnered widespread support from various cities and counties across California, with representatives from multiple local governments voicing their backing during the meeting. They believe that SB 346 is a necessary step toward ensuring fair competition and proper tax collection in the short-term rental market.

As the discussion continues, the implications of this legislation could reshape how short-term rentals are managed in California, potentially leading to more robust enforcement of local regulations and increased revenue from transient occupancy taxes.