A bill sponsored by Rep. Brit McKenzie (R-Rogers) that would limit the ability of Arkansas cities and counties to regulate short-term rentals narrowly passed out of a House committee and will be heard by the full House of Representatives. HB1445 would prohibit local governments from regulating the number of short-term rentals and would zone all short-term rental properties for residential land use. The bill would still allow for registration of properties with a cap on fees at $50. Local governments could only temporarily suspend a short-term rental owner’s ability to rent out their property for a maximum of 30 days under certain conditions.
McKenzie argues that local government regulations on short-term rentals are arbitrary and onerous, hindering tourism and property rights. He believes that if health and safety concerns are the priority, regulations should apply to all residences, not just short-term rentals. Cities like Little Rock, Fayetteville, Hot Springs, and Eureka Springs currently have varying regulations on short-term rentals. McKenzie had previously sponsored a similar bill in 2023 that did not pass.
The bill has received mixed reactions in the House committee, with 10 members voting in favor and 8 against. Proponents of the bill argue that it will create parity for all residents in a community, while opponents express concerns over potential impacts on local regulations and safety. The fate of HB1445 will now be decided as it moves to the full House of Representatives for further discussion and voting.
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