city of decatur

DECATUR, Ill. (WAND) - Monday night the Decatur City Council approved the addition of a licensing process for short-term rentals (STRs) such as Airbnb & Vrbo.

The amendment to City Code Chapter 51.5 requires STR owners to apply for an annual license for each property and to pay the same hotel/motel taxes that traditional hotels are required to collect.

Council learned that there has been an increase in the number of complaints to the City regarding STRs. The complaints are often about loud behaviors, parking concerns, and problems related to garbage. A vast majority of STRs are not problematic, but there have been complaints about a small number of properties, leading to the need for the license.

The $25 annual license fee will not cover the City’s costs for administration and inspection, but it will help ensure STRs do not create a nuisance and disturbance to the neighborhood. The City will have the discretion to administer fines/penalties or revoke the license.

And, as a matter of tax equity, Council agreed STRs should pay hotel/motel taxes. This helps level the playing field between single-family houses used for overnight stays and traditional hotel/motels.