Anti-Home Sharing Bill Would Hurt Thousands in the District

WASHINGTON, September 25, 2018 – A newly proposed ordinance would decimate DC’s robust short-term rental market, depriving home-owners of their property rights and hurting neighborhood restaurants and small businesses that benefit from short-term rentals in the District.

The proposed restrictions on short-term rentals, to be released later today, are accompanied by a half-million-dollar ad campaign funded by the big hotel chains – who want to eliminate competition from short-term rentals.   LaSalle Hotel Properties’s CEO told investors that a law curtailing short-term rental services would allow hotels to boost their room rates.

“Washington DC already gives millions in tax breaks to big hotels, and Council should not give hotels another handout by curtailing the property rights of District home owners,” said Carl Szabo, General Counsel of NetChoice.

Short-term rentals provide much-needed income to hundreds of DC residents.  Over 52 percent of short-term rental hosts nationwide live in low-to-moderate income households. And almost half of the income hosts earn through short-term rentals helps them cover household expenses.  Moreover, there are hundreds of local restaurants, shops, and cleaning services that benefit from the activity of short-term rentals.

“This legislation has been marred by misinformation and process problems and should not be rammed through in the closing days of this year’s final Council session.   This issue deserves a robust public discussion and economic impact analysis,” continued Szabo.

“This bill will harm thousands of DC residents who rely on short-term rentals, not just home owners, but small businesses that benefit from the economic boost created by short term renting.”

 

About NetChoice

NetChoice is a trade association of eCommerce businesses who share the goal of promoting convenience, choice, and commerce on the net.

NetChoice Concerns with Baltimore City Mandates on Short Term Rental Platforms

NetChoice Concerns with Baltimore City Mandates on Short Term Rental Platforms

City Council Making Too Many Wrong Mistakes

City Council Making Too Many Wrong Mistakes

As Yogi Berra would say, “It is Deja’ Vu all over again.”

At every turn, the New York City Council sides with the taxi cartels to the detriment of citizens outside of the heart of midtown Manhattan. This week was no different as the City Council voted to place a moratorium on new vehicle licenses for ridesharing services like Uber and Lyft.

Read more on our medium page.

Don’t Let NY City Stay in Bed with Hotel Conglomerates

Don’t Let NY City Stay in Bed with Hotel Conglomerates

Imagine having city inspectors knocking on your door with a warrant to enter your home and fine you $8,000. The crime? Renting out a room as a short-term rental without hotel-level fire alarm and sprinkler systems, elevator access, and a host of other absurdities.

[Read more]

NetChoice Releases Policy Note on Car Rental Handouts

Last week, alongside the publishing of this article on The Drive, NetChoice released a new policy note, examining the large handouts big rental car companies receive.

The note shows that car rental companies receive a national yearly total of over $3 billion in tax breaks.

The note also provides data showing how much rental car companies received in sales tax exemptions in 2016.

Unlike car rental companies, people who use apps like Turo to lease out their cars do not enjoy these tax breaks

Ignoring this multi-billion dollar tax break, car rental companies claim that peer-to-peer car sharing platforms like Turo are the same as car rental companies.  Big car rental companies are using “level playing field” rhetoric to justify calls for stiff regulations onto peer-to-peer car platforms designed to skew in favor of big rental.

Read the full policy note here, and take a look at press coverage on its findings by Reason Magazine and The Drive.

The Drive - Major Rental Car Companies Want Car Sharing Services to Be Equally Regulated

“Turo hosts have an economic disadvantage compared to giant rental car companies. NetChoice estimates that rental companies avoid paying $3.2 billion annually in state sales taxes, while Turo estimates that [its] hosts have paid over $450 million in state sales taxes when they purchased their personal vehicles,” Michelle Peacock, VP and Head of Government Relations at Turo told The Drive.

Chicago Business - Your neighbor isn't a business

There are benefits to being a traditional car-rental company that platforms like Turo don’t have. Traditional car-rental companies get all of what they charge for renting a vehicle. On Turo, the bulk of the money goes to the car owner and the platform only gets a small portion of the fee. Traditional car-rental companies get millions in tax subsidies, grants and federal bailouts. Individual car owners don’t. In fact, NetChoice estimates that rental companies avoid paying $3.2 billion annually in state sales taxes, while Turo estimates that its hosts have paid over $455 million in state sales taxes when they purchased their personal vehicles.

NetChoice Opposition to Baltimore City Council Ordinance 18-0189

NetChoice Opposition to Baltimore City Council Ordinance 18-0189

New York City Passes Short-Term Rental Bill, Outsourcing Legal Enforcement Burden to Internet Platforms Like Airbnb, Homeaway & VRBO

Rules Will Imperil Short-Term Renters from Springfield Gardens to Hell’s Kitchen

NEW YORK, July 18, 2018 – The future of short-term rentals (STRs) throughout New York City was put at risk today by New York City Council’s passing of Int. 9081 placing legal enforcement responsibilities on Internet home sharing platforms like Airbnb, HomeAway and VRBO.

 

The proposal would:

  • place a minimum fine of $1,500 on STR platforms every time a property owner makes inaccurate claims on a short-term rental post regardless of intention;
  • require platforms to obtain, manage and certify that every property owner is abiding by local jurisdiction or homeowners association rules;
  • require short-term rental platforms to share all private transaction data, such as bank account numbers, with government agencies.

 

“New York City risks the sensitive financial data of its residents and tourists by forcing them to hand over bank account numbers to government agencies,” said Carl Szabo, vice president and general counsel at NetChoice.

“The city’s latest anti-tech action threatens New Yorkers’ privacy and financial security, forcing many to choose between protecting their financial information and paying their mortgage.”

“New York is once again going after short-term rentals by mandating hefty requirements on platforms, many of which could be illegal,” continued Szabo. “The City Council’s proposed rules would burden New Yorkers who use STR platforms to help make ends meet.”

 

About NetChoice

NetChoice is a trade association of eCommerce and online businesses that share the goal of promoting convenience, choice, and commerce on the net.