SB197

Senate Bill 197 restricts the authority of local governments in Arkansas to regulate short-term rental (STR) properties. The bill defines an STR as a dwelling rented for 30 days or less and prohibits local governments from enacting ordinances that effectively ban or limit their use as residential property. It classifies all STRs as residential land use for zoning purposes. While local governments are restricted from general prohibitions, they retain the authority to require small, low-cost permits and can enforce general ordinances that apply to all residential properties. Additionally, local governments may suspend STR permits for repeat code violations or specific criminal activities, such as housing sex offenders or facilitating the sale of illegal drugs. The bill also prevents local governments from regulating STR marketplaces, such as online booking platforms. Finally, the bill includes an emergency clause, allowing the law to take effect immediately upon its approval.