JOIN  |  LOG IN
OREGON RESTAURANT & LODGING ASSOCIATION
  • ABOUT
    • Contact Us
    • ORLA Board
    • OHF Board
    • ORLAMS Board
    • Staff
    • Industry Facts
    • Industry Groups
  • MEMBERSHIP
    • Restaurant & Lodging Membership
    • Allied Membership
    • Buyers' Guide
    • Cost-Saving Member Programs >
      • Coupons & Discounts
      • SAIF
      • Dell Technologies
      • Clover
      • Hospitality Insurance Program
      • ASCAP
      • BMI
      • Hospitality Partners
    • Lodging Listings
  • ADVOCACY
    • Take Action
    • Compliance & ADA
    • Federal Advocacy
    • Legislative Session
    • Local Advocacy & Leadership
    • Lottery
    • ORLA Outcomes
    • Meet the Team
    • Support PAC >
      • Donate to PAC
  • FOUNDATION
    • Foundation Board
    • Contribute
    • Guest Service Gold®
    • ProStart >
      • ProStart Championships
      • Prostart / CTE Resources
    • SHARE YOUR STORY
    • Workforce Development >
      • Best Practices
      • Hospitality Job Videos
      • Restaurant Ready
  • TRAINING
    • Alcohol Server Training
    • Food Handler Training
    • ServSafe® Manager
    • Crises & Disasters
    • Guest Service Gold®
    • Industry Training
    • Oregon Tourism Leadership Academy >
      • Before You Apply
      • Experiential Learning Overview
    • Webinars
    • Workforce Resources >
      • Best Practices
      • Hospitality Job Videos
      • Restaurant Ready
  • RESOURCES / EVENTS
    • Ads & Sponsorships
    • Buyer's Guide
    • Blog
    • Calendar
    • Digital Publication
    • ORLA Events >
      • Awards & Recognition
      • ORLA Awards
    • Podcast
    • FAQs
    • Compliance & ADA >
      • Wage and Hour
      • Federal & State Agencies
    • Crises & Disasters
    • Resource Library
    • Sustainability >
      • Reducing Food Waste

Key Issue: Short-term Rentals

9/30/2019

 
ORLA Advocacy:
​Leveling the Field on Short-term Rentals


Short-term rental companies like Airbnb claim they simply help regular folks occasionally rent out a spare room in their home to make some extra money. A growing body of research reveals a significant – and rapidly growing – portion of Airbnb’s revenue in major U.S. cities, including Portland, is driven by commercial operators who rent out more than one residential property to short-term visitors, essentially operating just like a hotel. Closing this 'illegal hotel loophole" is the only way for state and local governments to protect communities and ensure a fair and competitive travel marketplace. 

ORLA is engaged in several discussions with cities and counties across the state addressing short-term rental issues. In February 2018, Portland settled a longstanding lawsuit with the vacation rental website HomeAway and its affiliates over unpaid lodging taxes. The settlement requires HomeAway to begin collecting city and county lodging taxes on behalf of its Portland customers, and will allow customers to register for a short-term rental permit online. Read more. Update: As of September 2019, the City of Portland and Airbnb have reached an agreement to share data on rentals to allow the City to enforce its permitting requirements. A ruling earlier in 2019 by the U.S. Court of Appeals for the Ninth Circuit upheld the City of Santa Monica’s short-term rental ordinance against a challenge by Airbnb, leaving the door open for other municipalities to adopt similar ordinances. This new agreement between Airbnb and the City of Portland is expected to reduce the number of unpermitted rentals. 

Key Findings
CBRE Hotels’ Americas Research released a new analysis, Hosts with Multiple Units – A Key Driver of Airbnb Growth, which adds to the overwhelming weight of evidence showing that short-term rental companies, specifically Airbnb, are providing a platform for commercial operators to run illegitimate, unregulated and often illegal hotels in communities across the country.

Some of the data revealed in the study showed:  
  • In the U.S., hosts renting out two or more entire-home units generated nearly $2 billion in revenue in 2016. In the 13 markets highlighted, revenue reached $700 million.
  • 81% of Airbnb’s U.S. revenue – $4.6 billion – comes from whole-unit rentals (those rentals where the owner is not present during the time of the rental), rising from 78% in the prior year. 
  • Each of the 13 cities studied saw an increase in the total number of listings by multi-unit hosts. 
  • In almost every market examined in the report, the percentage of revenue from multi-unit hosts increased from 2015 to 2016.
  • Revenue growth for entire-home properties increased by an average of 76% in the 13 markets studied. 

Another report, Airbnb Agreements with State and Local Tax Agencies, reveals how Airbnb agreements create risks of reduced compliance with lodging tax laws, with state and local tax laws more generally, and with local land use, housing and building safety laws.

Both reports, along with additional research, are available to ORLA members in the Resource Library of the Member Portal (log in required):
  • Hosts with Multiple Units – A Key Driver of Airbnb Growth
  • Airbnb Agreements with State and Local Tax Agencies

Establishing Oregon’s Compliance Framework
Oregon should pass legislation that requires short-term home rental properties to register with their local taxing authority before they are marketed through online exchange sites. Additionally, for jurisdictions that have a business licensing program in place, operators should secure the proper licenses. While state law needs to acknowledge that some smaller municipalities do not have the resources to carry out inspections for consumer protection, the law can define when and where such inspections are appropriate.

During the business registration process, operators should also show that they have notified their insurance carrier and lending institution that a commercial transaction is occurring on the premises. In areas where there aren’t enough local resources to monitor safeguards, insurance carriers will most likely require coverage for protection and liability – beyond a customary homeowner policy. And finally, operators should report and remit their room tax collections.

Short-term Rental Tools and Information
As part of the ongoing effort to fight back against Airbnb’s litigation threats against cities and states that pursue short-term rental regulations, Santa-Monica based law-firm Zacks Freedman & Patterson has released fact sheets on their website summarizing the legal rebuttal arguments made in the recent op-ed in Law360 (attached) by managing shareholder Andrew Zacks entitled, “The Law Will Not Help Airbnb Evade Rental Ordinances.”

Related Short-term Rental News
Albany moves to include Airbnb in transient lodging tax
Josephine County Ballot measure asks lodging tax advisory question  
Most Airbnbs in Salem are unlicensed nearly two years after the city approved licensing rules
Portland, vacation rental site HomeAway settle dispute over lodging taxes
Reining-in Illegal Hotels 
Airbnb has secret tax deals around the nation
Airbnb brings change to vacation-rental marketplace

Portland
> ORLA's Position Statement on Short-Term Rentals

Reining in “Illegal Hotels” 
Across Oregon there is growing concern that some home sharing platforms are enabling the proliferation of “illegal hotels,” where commercial operators list multiple units in the same region of the state or list units for extended periods of time without consideration for both local and state law. This unregulated commercial activity often compromises consumer safety, impacts affordable housing supply across Oregon and endangers the character and security of residential neighborhoods. 
K L S
6/18/2018 01:49:52 pm

This is kind of helpful. I'd like to rent my air bnb properly, tried to register, only to find out that Portland isn't the jurisdiction over my unincoporated neighborhood. Trying to figure out the rules for where I live... but there's no clear answer online. Online information would be much appreciated. Until then, I've left a message with my county requesting help.

Advice or answers are welcome. Do I need any special licesing or permits to lease a 1/1 from my home as an ASTR A type rental?

twyrl
3/4/2019 04:47:00 pm

interesting that the site has such erroneous info. the assumption is made with "whole unit rentals" that the owner is not present, when in fact, many times, the owner lives upstairs or downstairs from a "whole unit rental". also with so many ADUs, the owner lives on site as well.

ici
4/15/2019 11:35:11 am

Not true. Most if not all whole house rentals DO NOT REQUIRE THE OWNER TO LIVE ON SITE. More and more cities are seeing short term rentals used by the criminal element of our society. What family with children needs 24 hour transits in the house next door? Use your critical thinking skills and imagine the dangers. These transits are not vetted, only their credit card is vetted. 2015 US Supreme Court ruling, police are not allowed to see hotel/motel registry. How are they to determine who is in the house next door to you?

twyrl
4/21/2019 12:19:25 pm

Actually lci, you mention using critical thinking skills, but then, you leap into fantasy and fear mongering...the age old, fear of the outsider, or stranger, does nothing but keep our world small, exchanging only with those we already know... one thing you bring up is, "What family with children needs 24 hour transits in the house next door?" this is fear mongering. the actual stats on child molestation, show 60% of cases involve friends and someone the child already knows, and another 30% of the abuse happens at the hands of family members....Also, the vast majority of short term rental hosts, vet the guests....the review process is a big advantage of most of the STR platforms, as the hosts can read the prior reviews of a guest, and see exactly who will be staying on their property. hope that helps your peace of mind, unless of course you are part of the hotel industry, which is getting hit hard. those corporations are being threatened by the offering of wonderful places to stay at much lower prices than most hotels and motels....a big plus for me, is that we can now afford to travel again....and staying with local people, in a neighborhood, helps create a new perspective of the world. getting to share our experiences with people from other cultures is so very important!

twyrl
4/15/2019 05:50:58 pm

City of Portland website states: "Short Term Rentals

On July 30, 2014, the Portland City Council passed Ordinance No. 186736. This ordinance permits short term rentals in residential zones when the rental is also the proprietor's primary residence.

Paul Schultz
1/19/2020 10:36:37 am

In Eugene OR, there seems to be a direct connection between the lack of long-term available/affordable rental properties and the growth of STRs. Perhaps there is also a connection between prices of properties available for purchase at affordable prices. In Eugene half of the 68K properties (34K) are rentals and there is significant shortage of homes to purchase escalating home prices (and out-of-state money comes in to make cash-offers that close local residents out of the process. Eugene is rated in the top 10 of cities attracting transplants adding to the shortage of housing.

LISA link
5/1/2020 08:15:43 am



Your blog provided us with valuable information to work with. Each & every tips of your post are awesome. Thanks a lot for sharing. Keep blogging.

Leigh Anderson
11/29/2020 04:54:28 pm

Your restaurant members are VERY much in favor of well-regulated short term rentals... they bring vital tourist meal purchase dollars into our communities. ORLA should be careful not to kowtow too much to their hotel members who would love to regulate STRs out of business. Ask your restaurant members if they want to restrict/decrease tourism stays!? not!


Comments are closed.

    Categories

    All
    Advocacy
    Advocacy CEO Blog
    Alerts
    COVID 19
    Foundation
    Guest Blog Post
    Industry Infographics
    Industry News
    Key Issues
    Legislation
    Lodging Tax
    Lottery
    Membership
    OLCC
    ORLAEF
    ORLA Update
    Portland
    Press Release
    Programs
    ProStart
    Resources
    Taxes
    Tourism
    Workforce

    Archives

    January 2023
    December 2022
    November 2022
    October 2022
    September 2022
    August 2022
    July 2022
    June 2022
    May 2022
    April 2022
    March 2022
    February 2022
    January 2022
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    April 2018

    RSS Feed

Membership

  • ​Contact Us​​
  • Join ORLA​
  • Member Login
  • Cost-Saving Programs​​

Resources

  • Buyer's Guide
  • ​Advertising & Sponsorship​
  • Key Industry Issues
  • Press Releases

Affiliate Partners

  • AAHOA
  • AHLA | AHLA Foundation​​​
  • NRA | ​​NRAEF | AHLEI​
Copyright 2023 Oregon Restaurant & Lodging Association.  All Rights Reserved.
8565 SW Salish Lane Suite 120  | Wilsonville, OR 97070-9633 | 503.682.4422 | 800.462.0619 | Info@OregonRLA.org

Site Map | Accessibility | Privacy Policy
  • ABOUT
    • Contact Us
    • ORLA Board
    • OHF Board
    • ORLAMS Board
    • Staff
    • Industry Facts
    • Industry Groups
  • MEMBERSHIP
    • Restaurant & Lodging Membership
    • Allied Membership
    • Buyers' Guide
    • Cost-Saving Member Programs >
      • Coupons & Discounts
      • SAIF
      • Dell Technologies
      • Clover
      • Hospitality Insurance Program
      • ASCAP
      • BMI
      • Hospitality Partners
    • Lodging Listings
  • ADVOCACY
    • Take Action
    • Compliance & ADA
    • Federal Advocacy
    • Legislative Session
    • Local Advocacy & Leadership
    • Lottery
    • ORLA Outcomes
    • Meet the Team
    • Support PAC >
      • Donate to PAC
  • FOUNDATION
    • Foundation Board
    • Contribute
    • Guest Service Gold®
    • ProStart >
      • ProStart Championships
      • Prostart / CTE Resources
    • SHARE YOUR STORY
    • Workforce Development >
      • Best Practices
      • Hospitality Job Videos
      • Restaurant Ready
  • TRAINING
    • Alcohol Server Training
    • Food Handler Training
    • ServSafe® Manager
    • Crises & Disasters
    • Guest Service Gold®
    • Industry Training
    • Oregon Tourism Leadership Academy >
      • Before You Apply
      • Experiential Learning Overview
    • Webinars
    • Workforce Resources >
      • Best Practices
      • Hospitality Job Videos
      • Restaurant Ready
  • RESOURCES / EVENTS
    • Ads & Sponsorships
    • Buyer's Guide
    • Blog
    • Calendar
    • Digital Publication
    • ORLA Events >
      • Awards & Recognition
      • ORLA Awards
    • Podcast
    • FAQs
    • Compliance & ADA >
      • Wage and Hour
      • Federal & State Agencies
    • Crises & Disasters
    • Resource Library
    • Sustainability >
      • Reducing Food Waste