Voters Approve 3 Percent Impact Fee for Owner-Occupied Short-Term Rentals
Key Points
- A 3% impact fee now applies to owner-occupied two or three-family short-term rentals.
- The fee mirrors the requirements for professionally managed units to ensure town-wide equity.
- Effective date for the new fee is July 1, 2026.
Following the approval of taxes on professional rental operators, Town Meeting also passed Article 35, which imposes a 3 percent community impact fee on short-term rentals located within two or three-family dwellings that include the operator's primary residence. Select Board member Andrew Goodrich explained that the legislature split the impact fees into two separate articles based on ownership differences, but the goal remained the same: ensuring equity across different types of rental properties.
Advisory Board member Missy Sidelo noted that surrounding towns have already adopted similar measures. Like the previous article, this fee is intended to mitigate the local impact of short-term rentals on neighborhood character and town infrastructure. The fee is scheduled to take effect on July 1, 2026.