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PUBLIC HEARING
City of San Bernardino
Request for Council Action
Date: March 18, 2026
To: Honorable Mayor and City Council Members
From: Gabriel Elliott, Director of Community Development & Housing Department: Community Development & Housing
Subject: Countinuation of Public Hearing from February 18, 2026 - Introduce for First Reading Ordinance No. MC-1660
Adopting a Regulatory Program for Short Term Rentals, or Introduce for First Reading Ordinance No. MC-1661
Banning Short Term Rentals in the City of San Bernardino, (All Wards)
Recommendation:
It is recommended that the Mayor and City Council of the City of San Bernardino, California:
1. Hold a Public Hearing; and
2. Introduce and read by title only, and waive further reading of Ordinance No.
MC-1660 of the Mayor and City Council of the City of San Bernardino, California, adopting a regulatory program which would amend Section
19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) for short-term and vacation rentals in the City of San Bernardino; or
3. Introduce and read by title only, and waive further reading of Ordinance No.
MC-1661 of the Mayor and City Council of the City of San Bernardino, California Amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter
19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) banning short term and vacation rentals in the City of San Bernardino; or
4. Take no action on the matter.
City Manager's Comments
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This is a continuation of the Public Hearing. The Community Development Director has followed up on the City Council comments to bring further information on approving regulating the Short-Term Rental Program. The City Council could either approve first reading or request it be continued to April 15, 2026, to allow for more time to bring back more complete information.
Community Development & Housing Department staff have provided two possible ordinances based on previous City Council action and direction.
In addition, the City will initiate charging TOT to short-term rentals consistent with the current TOT regulations.
Executive Summary
The consideration of a Short-Term Rental program was continued from the City Council meeting of February 18, 2026, to allow staff to present a Regulatory Program to initiate a 2-Year Pilot Program at the direction of the City Council. This report includes how other cities in the Southern California and the Inland Empire have addressed short-term rentals in their communities along with a collection method for TOT consistent with the San Bernardino Municipal Code.
Also, in response to City Council concerns. Deckard Technologies will honor the amount on the contract agree upon last year.
Background
Statewide, STRs are a part of California’s tourism market; however when left unregulated, they can lead to negative effects, such as excessive noise and parking problems within existing residential neighborhoods. As such, many communities have recently adopted or proposed restrictions on STRs. Restrictions can include establishing designated areas for STRs, limiting the number of days a year a property can be rented, or banning STRs entirely.
San Bernardino has received numerous complaints about residents leasing their residential properties to travelers and for weekend retreats as short-term rentals.
Common complaints assert that the rentals cause conditions that degrade the quality of residential neighborhoods. These conditions include noise, disturbances, parking problems, property damage, and litter (amongst other things).
The City has received five (5) complaints (CRMs) over the last four years, mostly to the Police Department, regarding Short-Term Rental operations in the city. The nature of the complaints include the following:
Parking violations and blocked driveways in surrounding neighborhoods Public drinking and lewd acts in vehicles
Fights in the streets and disturbances with neighbors
Loud music from residences and attendee vehicles
Arguments and confrontations with nearby residents
Reports of attendees being charged admission
Leaving alcohol bottles/cans and/or trash in the neighborhood, streets, gutters, on 3 2
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neighbor’s properties
The general locations of the properties identified are as follows:
400 Block of S D St – 2 CRMs
500 Block of Edgerton Dr – 1 CRM
400 Block of Edgerton Dr – 1 CRM
6000 Block of Ashton St – numerous complaints received (all of the bullet point issues noted above by PD were noted by neighbors of this property) Edgerton Dr., and Ashton Str., properties have especially been identified as “problem” locations by the Police Department.
The City’s Municipal Code (SBMC) does not specifically address short-term rentals.
However, a commercial use is generally prohibited in residential zones, unless specifically permitted. Because the SBMC does not expressly prohibit short-term rentals, the issue of the SBMC’s intent is disputed by residential property owners who wish to lease to tourists and/or retreatants for short stays.
The City of San Bernardino does not currently have an ordinance that expressly regulates STRs and has experienced the negative effects of excessive noise, parking problems and discarded trash on surrounding properties, resulting in numerous complaints, creating a threat to the public interest, health, safety, convenience, and welfare of the community.
The convenience and marketability of online Short-Term Rental websites such as Airbnb.com, Homeaway.com, and VRBO.com have encouraged City property owners (and leaseholders) to rent residential properties to tourists and other visitors on a short- term basis.
Prior Actions
On December 12, 2023, the Planning Commission, by a unanimous vote, adopted Resolution No. 2023-043PC forwarding a recommendation (Attachment 4) that the Mayor and City Council approve Development Code Amendment 23-01, amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino. The Planning Commission also found that Development Code Amendment 23-01 was exempt from review under the California Environmental Quality Act.
On February 21, 2024, staff had presented Development Code Amendment 23-01 (Short- Term Rental Program) to the Mayor and City Council, with a recommendation to adopt a Short-Term rental program and approve Development Code Amendment 23-01 amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino. Staff was directed to bring back further analysis on short-term rentals and program enforcement. 3 2
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On June 5, 2024, when the item was brought back to the City Council as directed, the Council, by a narrow majority, voted to ban short-term rentals in the city and requested that staff bring back an enforcement plan.
On December 9, 2025, staff presented a Resolution to the Planning Commission banning short-term rentals and Development Code Amendment 25-09 providing the mechanism to adopt the ban. However, the Planning Commission rejected the ban and instead re- forwarded Planning Commission Resolution 2023-043 (Attachment 3) memorializing their decision to push forward a recommendation to approve a regulatory program.
On February 18, 2026, staff presented two Ordinances for consideration, Ord. MC-1660 adopting a regulatory program, and Ord. MC-1661 banning short-term rentals, along with Development Code amendment 23-01 (Short-Term Rental Program) to the Mayor and City Council, with a recommendation to adopt a Short-Term Rental program and approve Development Code Amendment 23-01 amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino. Staff was directed to bring back a revised regulatory program that would serve as a 2-year pilot program for short-term rentals.
Discussion
To formally address the issue of short-term rentals in the City and provide the City Council with options, two separate ordinances have been drafted for consideration.
Definition - A Short-Term Rental (STR) refers to a residential dwelling unit that is offered or provided to a paying guest by a Short-Term Rental operator for less than thirty (30) consecutive nights. The term " Short-Term Rental" only applies to residentially zoned properties and does not include a hotel, motel, inn, or bed and breakfast inn.
Ordinance MC-1660: Short-Term Rental Regulatory Program Establishes a regulatory program for short-term rentals that includes property identification, application and permit process, guideline enforcement, and TOT collection.
Advantages of a Regulatory Program
Implementing a regulatory program for short-term rentals allows the City to bring structure, accountability, and transparency to the community. Clear regulations, such as permitting requirements, occupancy limits, safety standards, and tax collection, help ensure that short-term rentals operate responsibly and on a level playing field with traditional lodging providers. A formal program also enables the city to collect fees that can be use for cost recovery services and reinvested into community services.
In addition, a regulatory framework helps protect neighborhood quality of life while still allowing property owners to participate in the short-term rental economy. By establishing rules related to noise, parking, and property management, the City can address common community concerns and reduce nuisance issues before they escalate. When managed effectively, a short-term rental program can support local tourism, generate additional revenue, and balance economic opportunity with neighborhood stability. 3 2
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Ordinance MC-1661: Short-Term Rental Ban
Establishes a ban on short-term rentals that includes property identification, enforcement with fines and TOT collection.
With a ban in place, it is generally believed that the City would no longer need to rely on various interrelated code provisions that together proscribe vacation rentals. The City will adopt and implement specific revisions to the SBMC that would ban short-term or vacation rentals outright in residential zones.
It is also believed that a clear prohibition would be more effective in deterring violations because it would create less confusion among homeowners. However, a ban would not alter the SBMC’s current implicit characterization of short-term rentals as inconsistent with the City’s residential land use regulations.
Disadvantages of a Ban
A short-term rental ban has some disadvantages. First, it would restrict homeowners’ use of their own properties. Banning short-term rentals could eliminate uses that do not otherwise serve as a nuisance to neighboring properties and would restrict the rights of homeowners who have rented responsibly.
Second, it is unclear whether an outright ban would be effective because of the challenges with consistent enforcement.
Associated Costs
A ban on short-term rentals will not eliminate the City’s enforcement costs. To effectively manage short-term rentals, whether a ban is place or there is a regulatory program, the City has engaged the services of Deckard Technologies, a company that utilizes data science expertise to assist local governments with managing compliance activity and enforcement, such as short-term rentals properties.
Deckard Technologies would use Rentalscape, a platform that accurately tracks activity within the City of San Bernardino to identify the exact addresses of the STR listings within the City limits. This enables accurate display of STR activity within the City and its community districts and ensures that everyone is held accountable.
This will also ensure that permit holders, if approved, follow all guidelines and ordinances, pay their permit fees, and contribute to the TOT collection. Rentalscape groups listings and calculates statistics on a per-property basis. By mapping the exact location of properties, Rentalscape avoids double-counting activity. Knowing the exact location of STR properties enables compliance, enforcement, tax collection, and complaint management activities.
There are costs associated for monitoring and tracking short-term rentals through Deckard Technologies (Attachment 5). The contract for Rentalscape only, which includes identification, monitoring, and compliance letters; is $7,500 annually. The contract for Rentalscape, Online Registration, and TOT registration and collection is $16,500 3 2
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annually. Should the City opt into additional services through Deckard for short-term rentals, the annual cost could be up to $25,000. These costs will come out of the General Fund and can only be replenished by the permit fees associated with a regulatory program and/or the fines assessed to those operating in violation of the Ordinance.
Take No Action
The option to take no action would mean that neither a ban nor regulatory program would be in place. However, staff believes that payment of TOT should still be an option. There would be costs associated with identifying who is currently running a short-term rental operation in the residential zone. There would be no revenue stream from registration of short-term rental locations.
Transient Occupancy Tax
Title 3 of the City of San Bernardino Municipal Code (Revenue and Finance) addresses transient occupancy taxes. Section 3.55.010, definitions, provides the following definitions unless the context clearly indicates or requires a different meaning:
HOTEL. A commercial establishment furnishing lodging space in exchange for monetary compensation. Every such establishment shall constitute a HOTEL for purposes of this chapter notwithstanding any advertising describing the facility as a hostelry, inn, motel, rooming house, tourist home or similar enterprise.
LODGING SPACE. One or more rooms used or intended to be used for dwelling or sleeping purposes.
OCCUPANCY. The use or possession, or the right to the use or possession, of a lodging space.
OPERATOR. The person who is the proprietor of a hotel. If an OPERATOR utilizes a managing agent who is not an employee, then such agent shall also constitute an OPERATOR for purposes of this chapter. Compliance with this chapter by either the principal or the managing agent shall constitute compliance by both.
PERSON. Any individual, firm, partnership, joint venture, association, social club, fraternal organization, joint stock company, corporation, estate, trust, business trust, receiver, trustee, syndicate or any other group or combination acting as a unit.
ROOM RENTAL. The total charge for lodging space.
TRANSIENT. A person who, for a period of 30 consecutive calendar days or less, exercises occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or contract. Every such person shall constitute a TRANSIENT for purposes of this chapter until expiration of the 30-day period, unless such person has executed a written contract with the operator to provide for occupancy in excess of 30 consecutive calendar days and the contract cannot be terminated without providing at least 30 days’ advance notice. In determining 3 2
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whether a person is a TRANSIENT, portions of calendar days shall be counted as full days and uninterrupted periods of time extending both prior and subsequent to the effective date of this chapter may be considered. Transient Lodging Tax. Per Section 3.55.020(A), each transient is subject to and shall pay a transient lodging tax in the amount of 10% of the room rental charged by the operator.
Based on the above definitions, staff believes that the existing TOT language applies to short term and vacation rentals and will begin charging TOT.
Development Code Amendment
To complete the changes needed within the Development Code, an Amendment will need to be processed: The proposed DCA will amend Chapter 19.02 (Basic Provisions), Section 19.02.050 (Definitions) of the Development Code to add definitions for those terms uses specifically within the Short-Term Rental Program (Exhibit A).
The Development Code Amendment will also amend Chapter 19.04 (Residential Zones), Table 04.01 (Permitted and Conditionally Permitted Uses) to add short-term rentals as an unpermitted use within all single-family and multi-family zones (Exhibit B).
Implementation
Regulatory Program - Based on a survey staff conducted of cities in Southern California and the Inland Empire that have strong Short-Term Rental programs, staff crafted a regulatory program enforcing participation requirements, permit processing, fees/fines, and TOT collection. (Attachment 6).
Specifically, the city samples Big Bear City, County of San Bernardino, City of Los Angeles, City of Palm Springs, and the City of Santa Monica, a host of topics ranging from registration permits/business license requirements, fees, home sharing vs vacation rentals, density, stay length, enforcement, and TOT, and hosting platform. Most cities and the county required annual licenses. The table below provides a summary of findings.
Table 1
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Table 2, below, provides information on parking, fines, additional information.
Table 2
The remainder of the information gathered is included in attachment 6, SoCal City Program Survey.
The regulations governing short-term rentals will become effective 30 days following second reading and adoption of Ordinance MC-1660 by the Mayor and City Council. All
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properties currently operating as a Short-Term Rental location will be required to apply with the City through an application process, be issued a permit and register for the payment of TOT. Any short-term rentals operating outside the regulatory program will need to cease their operations and will be subject to any applicable violations and will be responsible for paying associated TOT to the City.
Ban - If the Mayor and City Council adopts an Ordinance to ban short-term rentals, the City will send all properties potentially operating as a Short-Term Rental a letter notifying them of the ban and will provide operators with 60 days to comply or face enforcement measures.
Property owners of short-term rentals, whether within a regulatory program or a ban, will be responsible for reporting and paying into the City’s Transient Lodging Tax/Transit Oriented Tax (TOT).
General Plan Goals and Policies
The City of San Bernardino General Plan includes goals and policies to guide future housing development, as follows:
Land Use Goal 2.1: Preserve and enhance San Bernardino’s unique Neighborhoods.
Land Use Goal 2.2: Promote development that integrates with and minimizes impacts on surrounding land uses.
San Bernardino contains a wide range of neighborhoods accommodating an assortment of lifestyles. Each neighborhood has, or can have, its own unique character that is a source of pride for the residents. Neighborhood character is defined by many factors:
what the neighborhood looks like, safety and security, maintenance of streets and green spaces, and more. But more importantly, neighborhood character is an image in the minds of those who live and work there and in the perceptions of those who visit.
The rise of short-term rentals within the City has created the need to either regulate or ban them to preserve the integrity of these neighborhoods and mitigate any potential conflicts that may arise from their operation.
A Development Code Amendment regulating or banning Short Term or vacation rentals is consistent with the City’s General Plan.
Strategic Targets and Goals
A Development Code Amendment banning or regulating short-term rentals aligns with Key Target Goal No. 3: Improved Quality of Life and, more specifically, 3a: Improve the City’s appearance, cleanliness, and attractiveness. Specifically, a ban will update the Development Code to prohibit short term and vacation rentals in all residential zones, while regulating the land use will provide the City with the tools that will ensure consistency with the City’s land use designations as required by the City’s General Plan.
Fiscal Impact
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Anticipated Transit Occupancy Taxes associated with this program has the potential to contribute up to $324,000, annually to the General Fund. At same time, there is a potential cost of up to $16,500 for a program to monitor the locations of short term and vacation rentals in the city. The initial amount will be borne by the General Fund. In the future, the cost will be assigned to the Community Development Department’s Professional Contractual account.
Transit Occupancy Taxes associated with a regulatory program has the potential to contribute up to $324,000, annually to the General Fund. TOT based on a Ban of short- term rentals is unknown at this time. With a Ban, there is a potential cost of up to $16,500 for a platform to monitor the locations of short-term rentals in the city. With a regulatory program, there is a potential cost of up to $25,000 for a platform to monitor the locations of short-term rentals in the city. The initial amount will be borne by the General Fund. In the future, the cost will be assigned to the Community Development & Housing Department’s Professional Contractual account.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California:
1. Hold a Public Hearing; and
2. Introduce and read by title only, and waive further reading of Ordinance No. MC- 1660 of the Mayor and City Council of the City of San Bernardino, California, adopting a regulatory program which would amend Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) for short-term and vacation rentals in the City of San Bernardino; or
3. Introduce and read by title only, and waive further reading of Ordinance No. MC- 1661 of the Mayor and City Council of the City of San Bernardino, California Amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) banning short term and vacation rentals in the City of San Bernardino; or
4. Take no action on the matter.
Attachments
Attachment 1 Ordinance MC-1660, Establishing A Regulatory Program For Short-Term Rentals
Attachment 2 Ordinance MC-1661, Establishing a Ban on Short-Term Rentals Attachment 3 PC Resolution 2025-059
Attachment 4 PC Resolution 2023-043 – Prior PC Approval for Regulatory Program Attachment 5 Deckard Proposal & SB MSA (Combine) Attachment 6 SoCal City Program Survey
Attachment 7 PPT Short-term Rental Presentation Attachment 8 Proof of Publication
Attachment 9 Notice of Public Hearing Continuation on Short-Term Rentals 3 2
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Ward:
All Wards
Synopsis of Previous Council Actions:
February 21, 2024, staff took forward a recommendation to the Mayor and City Council for the adoption of a regulatory scheme for Short-term rentals, the City Council, at meeting, directed staff to conduct additional analysis on enforcement measures and the effects of a Short-Term Rental Program on the City’s housing market.
On June 5, 2024, the Mayor and City Council banned short term rentals in city’s residential areas and directed staff to return with regulatory standards.
On December 9, 2025, staff presented Resolution No. 2025-059 to the Planning Commission banning Short-term rentals and Development Code Amendment 25-09 providing the mechanism to adopt the ban. However, the Planning Commission rejected the ban and adopted a modified Planning Commission Resolution 2025-059 memorializing their decision.
On February 18, 2026, staff presented Development Code amendment 23-01 (Short- Term Rental Program) to the Mayor and City Council, with a recommendation to adopt a Short-Term Rental program and approve Development Code Amendment 23-01 amending Section 19.02.050 (Basic Provisions – Definitions) and Chapter 19.04 (Residential Zones) of the City of San Bernardino Development Code (SBMC Title 19) in order to establish a Short-Term Rental Program in the City of San Bernardino.
CC: Eric Levitt, City Manager