_____________ joint resolution NO. _____________

INTRODUCED BY _________________________________________________

By Request of the ****

A joint resolution of the Senate and the House of Representatives of the state of montana requesting an interim study of short-term rentals; and requiring that the final results of the study be reported to the 69th legislature.

WHEREAS, home prices in the state have grown significantly in recent years, pricing many Montana individuals and families out of the market, and Montana communities need affordable workforce housing for citizens to live in the community where they work; and

WHEREAS, available housing stock is in short supply and many moderately priced homes and rentals have been converted to investment short-term rental vacation properties, effectively reducing availability for community members; and

WHEREAS, short-term rentals increase demand on existing infrastructure, and expanding infrastructure facilities are an obstacle to increased affordable housing; and

WHEREAS, a statewide registration is not currently required for short-term rental units in the state, and consequently the location, ownership structure, or number and density of short-term rentals and their potential impact on housing stock and infrastructure in Montana communities is unknown; and

WHEREAS, lodging tax revenues paid by the consumer and collected by third-party vendors are aggregated by counties and remitted to the Department of Revenue, resulting in a lack of information regarding individual location, ownership, or tax revenue of short-term rentals; and

WHEREAS, the 2022 Governor's Housing Task Force was charged with providing short-term and long-term recommendations and strategies to the Governor for the State of Montana "to increase the supply of attainable, affordable workforce housing"; and

WHEREAS, the Governor's Housing Task Force final report includes recommendation 3D: Require Short-term Rental Reporting, to encourage the creation of a reporting program to publish aggregated short-term rental revenues and locations.

Now, therefore, be it resolved by the Senate and the House of Representatives OF THE STATE OF MONTANA:

That the Legislative Council be requested to designate an appropriate interim committee or statutory committee, pursuant to section 5-5-217, MCA, or direct sufficient staff resources to:

(1)        quantify the number, location, ownership, and revenue generated by short-term rentals in the state;

(2)        review the impact on local infrastructure, including housing needs and housing availability for Montana residents;

(3)        identify a mechanism for short-term rental registration with the Department of Revenue to track short-term rental usage and tax revenue; and

(4)        provide recommendations on best practices to mitigate the impacts on housing stock and infrastructure needs.

BE IT FURTHER RESOLVED, that the study include input from appropriate stakeholders.

BE IT FURTHER RESOLVED, that if the study is assigned to staff, any findings or conclusions be presented to and reviewed by an appropriate committee designated by the Legislative Council.

BE IT FURTHER RESOLVED, that all aspects of the study, including presentation and review requirements, be concluded prior to September 15, 2024.

BE IT FURTHER RESOLVED, that the final results of the study, including any findings, conclusions, comments, or recommendations of the appropriate committee, be reported to the 69th Legislature.