SHORT-TERM RENTALS – Amends existing law to revise provisions regarding limitations on the regulation of and limiting the tax duties of short-term rentals.

LEGISLATURE
OF
THE
STATE
OF
IDAHO
Sixty-eighth
Legislature
Second
Regular
Session
-
2026
IN
THE
HOUSE
OF
REPRESENTATIVES
HOUSE
BILL
NO.
583
BY
BUSINESS
COMMITTEE
AN
ACT
1
RELATING
TO
SHORT
-
TERM
RENTALS;
AMENDING
SECTION
67
-
6539,
IDAHO
CODE,
TO
2
REVISE
PROVISIONS
REGARDING
LIMITATIONS
ON
REGULATION
OF
SHORT
-
TERM
3
RENTALS;
AMENDING
SECTION
63
-
1804,
IDAHO
CODE,
TO
REVISE
PROVISIONS
4
REGARDING
LIMITING
TAX
DUTIES
OF
SHORT
-
TERM
RENTAL
MARKETPLACES;
AND
5
DECLARING
AN
EMERGENCY
AND
PROVIDING
AN
EFFECTIVE
DATE.
6
Be
It
Enacted
by
the
Legislature
of
the
State
of
Idaho:
7
SECTION
1.
That
Section
67
-
6539,
Idaho
Code,
be,
and
the
same
is
hereby
8
amended
to
read
as
follows:
9
67
-
6539.
LIMITATIONS
ON
REGULATION
OF
SHORT
-
TERM
RENTALS
AND
VACATION
10
RENTALS
.
(1)
Neither
a
county
nor
a
city
may
shall
enact
or
enforce
any
or
-
1
1
dinance
that
has
the
express
or
practical
effect
of
prohibiting
any
type
of
12
short
-
term
rentals
or
vacation
rentals
in
the
county
or
city.
A
county
or
13
city
may
implement
enact
or
enforce
such
reasonable
regulations
as
it
deems
14
are
necessary
to
safeguard
the
public
health
,
safety
and
general
welfare
in
15
order
to
protect
the
integrity
of
residential
neighborhoods
in
which
short
-
16
term
rentals
or
vacation
rentals
operate
and
safety
as
long
as
the
reasonable
17
regulations
do
not
impose
different
restrictions
or
obligations
on
short
-
18
term
rentals
than
are
imposed
on
single
-
family
dwellings
or
similar
struc
-
19
tures
not
used
as
short
-
term
rentals,
or
unless
the
regulations
are
permit
-
20
ted
by
this
section
.
A
short
-
term
rental
or
vacation
rental
shall
be
clas
-
21
sified
as
a
non
-
transient
residential
land
use
for
zoning
and
building
code
22
purposes
and
be
subject
to
all
zoning
requirements
applicable
thereto
and
23
only
to
building
codes
adopted
by
the
Idaho
building
code
board
.
24
(2)(a)
For
purposes
of
this
section,
"different
restrictions
or
obli
-
25
gations"
means
any
requirement
or
regulation
that
would
not
be
imposed
26
but
for
a
property's
use
as
a
short
-
term
rental
and
specifically
in
-
27
cludes
but
is
not
limited
to
the
following:
28
(i)
Requiring
owner
occupation
for
any
amount
of
time;
29
(ii)
Requiring
professional
property
management;
30
(iii)
Requiring
additional
insurance;
31
(iv)
Requiring
reporting
of
use
or
other
statistics;
32
(v)
Requiring
additional
fire
protection
or
fire
sprinklers;
33
(vi)
Requiring
additional
or
improved
means
of
ingress
and
34
egress;
35
(vii)
Requiring
additional
parking;
36
(viii)
Requiring
modification
to
the
physical
structure
of
the
37
property;
38
(ix)
Requiring
inspections;
39
(x)
Requiring
internal
or
external
signage,
notices,
or
dia
-
40
grams;
41
(xi)
Imposing
a
limit
on
the
days
a
property
can
be
rented;
42

2
(xii)
Requiring
notices
to
neighboring
properties;
1
(xiii)
Requiring
increased
sewer
or
other
utility
capacity;
2
(xiv)
Requiring
a
conditional
use
permit
in
a
residential
zone;
3
(xv)
Limiting
proximity
to
other
short
-
term
rentals;
4
(xvi)
Restricting
the
number
of
short
-
term
rentals
in
a
county
or
5
city;
or
6
(xvii)
Requiring
the
property
to
be
improved
to
meet
current
7
building
codes
unless
the
same
would
be
required
without
regard
to
8
the
short
-
term
rental
use.
9
(b)
The
terms
defined
in
section
63
-
1803,
Idaho
Code,
shall
apply
to
10
this
section.
1
1
(3)
A
county
or
city
may,
by
ordinance,
require
an
owner
of
a
short
-
term
12
rental
to
implement
the
following
requirements
only:
13
(a)
That
all
sleeping
areas
in
a
short
-
term
rental,
including
when
ap
-
14
plicable,
basements,
living
rooms,
and
family
rooms,
be
equipped
with
15
functioning
smoke
alarms;
16
(b)
That
the
short
-
term
rental
be
equipped
with
a
functioning
fire
ex
-
17
tinguisher
and
a
functioning
carbon
monoxide
detector
on
each
floor;
18
(c)
That
removable
escape
ladders
be
available
in
all
sleeping
areas
19
with
a
window
that
are
located
above
the
ground
floor;
20
(d)
That
maximum
occupancy
limits
for
short
-
term
rentals
do
not
exceed
21
those
non
-
transient
residential
limits
as
contained
in
the
interna
-
22
tional
building
codes
as
adopted
by
the
Idaho
building
code
board;
and
23
(e)
That
an
easily
accessible
informational
handout
be
available
to
24
tenants
describing
the
location
of
exits,
the
location
of
fire
ex
-
25
tinguishers,
the
location
of
any
supplied
first
aid
kits,
and
a
phone
26
number
to
contact
the
owner
or
manager
of
the
short
-
term
rental
in
the
27
case
of
an
emergency.
28
(4)
No
county
or
city
shall
enact
or
enforce
any
covenant,
condition,
29
restriction,
or
contract
that
regulates
a
short
-
term
rental
except
as
al
-
30
lowed
in
this
section.
31
(5)
No
county
or
city
shall
require
a
license,
fee,
permit,
certifica
-
32
tion,
or
registration
to
operate
a
short
-
term
rental.
33
(6)
All
short
-
term
rental
properties
along
with
their
owners
and
ten
-
34
ants
shall
be
subject
to
all
other
county
and
city
ordinances
and
penalties
35
that
apply
to
other
non
-
short
-
term
rental
residential
uses,
including
but
36
not
limited
to
noise,
parking,
nuisance,
curfew,
and
traffic
regulations.
37
(2)
(7)
Neither
a
county
nor
a
city
can
shall
regulate
the
operation
of
38
a
short
-
term
rental
marketplace
in
accordance
with
the
provisions
of
chapter
39
18,
title
63,
Idaho
Code
.
40
SECTION
2.
That
Section
63
-
1804,
Idaho
Code,
be,
and
the
same
is
hereby
41
amended
to
read
as
follows:
42
63
-
1804.
LIMITING
TAX
DUTIES
OF
SHORT
-
TERM
RENTAL
MARKETPLACES
AND
43
OWNERS
-
-
COLLECTION
OF
TAX.
(1)
A
local
government
may
not
levy
a
sales,
44
use,
franchise,
receipts,
or
other
similar
tax
or
fee
on
the
business
of
45
operating
a
short
-
term
rental
marketplace.
46
(2)
A
short
-
term
rental
marketplace
shall
register
with
the
state
47
tax
commission
for
collection,
reporting,
and
payment
of
sales
and
use
and
48
travel
and
convention
taxes
levied
by
this
state
and
any
applicable
local
49

3
government
taxes
administered
by
the
state
tax
commission
on
short
-
term
1
rentals
and
vacation
rentals
due
from
a
lodging
operator
on
any
lodging
2
transaction
facilitated
by
the
short
-
term
rental
marketplace.
3
(3)
A
short
-
term
rental
marketplace
shall
collect,
report,
and
pay
4
taxes
imposed
on
the
lodging
operator
or
occupant
of
a
short
-
term
rental
or
5
vacation
rental
by
any
local
government.
6
(4)
Any
local
government
that
has
levied
a
tax
pursuant
to
statutory
au
-
7
thorization,
may
contract
with
the
state
tax
commission
for
the
collection
8
and
administration
of
such
taxes
in
like
manner
and
under
definitions
and
9
rules
of
the
state
tax
commission
for
the
collection
and
administration
of
10
the
state
sales
or
use
tax
under
chapter
36,
title
63,
Idaho
Code.
Alterna
-
1
1
tively,
such
local
government
shall
have
authority
to
administer
and
collect
12
such
tax.
All
revenues
collected
on
behalf
of
the
local
governments
by
the
13
state
tax
commission
pursuant
to
this
chapter
shall
be
distributed
as
fol
-
14
lows:
An
amount
of
money
shall
be
distributed
to
the
state
refund
fund
suffi
-
15
cient
to
pay
current
refund
claims.
All
refunds
authorized
by
the
commission
16
to
be
paid
shall
be
paid
through
the
state
refund
fund
and
those
moneys
are
17
continuously
appropriated.
The
state
tax
commission
may
retain
an
amount
18
of
money
equal
to
such
fee
as
may
be
agreed
upon
between
the
state
tax
com
-
19
mission
and
such
local
government
for
the
actual
cost
of
the
collection
and
20
administration
of
the
tax.
The
amount
retained
by
the
commission
shall
not
21
exceed
the
amount
authorized
to
be
expended
by
appropriation
by
the
legis
-
22
lature.
Any
unencumbered
balance
in
excess
of
the
actual
cost
at
the
end
of
23
each
fiscal
year
shall
be
distributed
as
provided
in
this
section.
All
re
-
24
maining
moneys
received
pursuant
to
this
chapter
shall
be
placed
in
a
fund
25
designated
by
the
state
controller
and
remitted
monthly
to
the
local
govern
-
26
ment
levying
such
tax.
27
(5)
If
an
owner
of
a
short
-
term
rental
offers
a
short
-
term
rental
or
va
-
28
cation
rental
directly
to
an
occupant
without
the
use
of
a
short
-
term
rental
29
marketplace,
such
owner
shall
comply
with
all
the
requirements
provided
in
30
this
section
applicable
to
a
short
-
term
rental
marketplace.
31
(5)
(6)
A
short
-
term
rental
marketplace
that
has
not
facilitated
a
32
lodging
transaction
in
Idaho
shall
have
forty
-
five
(45)
days
to
comply
with
33
this
section
upon
completion
of
their
first
lodging
transaction
in
Idaho.
34
SECTION
3.
An
emergency
existing
therefor,
which
emergency
is
hereby
35
declared
to
exist,
this
act
shall
be
in
full
force
and
effect
on
and
after
36
July
1,
2026.
37