Short Term Rentals
Program Update
TOWN OF FAIRFAX, CALIFORNIA
TOWN COUNCIL, JUNE 3, 2026
Range of Options for STR
Regulations
Outright Ban
STRs not permitted anywhere
No HUT revenue
STRs persist due to inadequate
code enforcement
No Regulation
Allowed everywhere
No registration required
No code enforcement
No HUT revenue
Fairfax Target
Allow some STRs
Regulations to protect neighbors
Registration required
Some revenue (Hotel User Tax)
Active code enforcement
Short Term Rental Program
Works in conjunction with zoning,
focused on licensing
Occupancy requirements
Permitted: STR host = permanent
resident of unit (“hosted”)
Not-permitted: Investor owned or if
owner lives elsewhere (“non-hosted”)
Short Term Rental Program
Registration
Annual registration required
Status
15 current registrations
22 lapsed registrations
31 not registered
New listings appear frequently
Enforcement Process
Enforcement Activities to date
Letter sent encouraging registrations (up to three letters) 17 denials (could not qualify under zoning and/or residency requirement)
Three warning letters to all hosts (when address
determined)
Have not initiated code enforcement beyond warning
letters
Collection Agreement with AirBnB
Benefits
AirBnB will collect Hotel User’s Tax from hosts using platform
AirBnB represents 90% of all host in Fairfax
Could generate more than $100,000 per year in HUT
Downsides
Not possible to identify location of properties through AirBnB
No interface with Town list of known short-term rentals Hotel User’s Tax (HUT) Collections
2023 2024 2025 2026
Town Staff
2026 2027
with AirBnB assist.
Fairfax Inn (est.) $16,000 $16,000 $16,000 $16,000 $16,000 $16,000 STR (Town portal) -- $2,000 $11,000 $16,000 $8,000* $2,000* STR (AirBnB) -- -- -- -- $40,000 $82,000
Total HUT $16,000 $18,000 $27,000 $32,000 $64,000 $100,000* * Assumes AirBnB starts collecting HUT on July 1 and collection through portal is non-AirBnB hosts only ** Highly variable – could approach $200,000
Top 2 Hosts
Fairfax has two prolific short-term rentals hosts that have not registered
#1 (Maggie) – up to $165,160 is potential revenue (up to $16k in HUT) #2 (Paul) – up to $119,548 in potential revenue (up to $12k in HUT) (note that 3 of the top 5 hosts are registered)
Code Enforcement so far – 3 letters
Anticipated code enforcement
Determination of full HUT past due (Deckard est.)
Citations issued with requests for full HUT payment
Continuous follow-up until resolved
Not registered
Registered
Current listing on AirBnB –
Not Registered with Town
Next Steps
1. Initiate Collection Agreement with AirBnB
2. Initiate code enforcement actions for
unregistered units
Questions
??