Short-term rental owners in Northport could soon need a city business license just to list their property on Airbnb or Vrbo, under a proposed ordinance headed to the City Council for a first reading Monday. The measure would also require smoke detectors, fire extinguishers, proper emergency exits and other safety upgrades, along with a new ban on renting out homes for weddings, concerts or similar events.
The Northport City Council is scheduled to introduce the ordinance at its meeting Monday at 5:30 p.m., according to WBMA. If the council moves forward, a second reading set for November 16 would give members a chance to adopt the rules in final form. The proposal has not been approved, and council members could still make changes before any final vote, per the same report.
What the New Rules Would Require
Under the draft ordinance, property owners would be barred from advertising or offering a short-term rental without first obtaining a city business license, and they would have to list their license numbers directly in advertisements and online listings. Owners would also need to certify that their rentals meet applicable building codes and safety requirements before a license is issued or renewed, the station reported.
The specific safety standards spelled out in the proposal include working smoke detectors and carbon monoxide detectors, fire extinguishers, proper emergency exits with operable windows in sleeping areas, appropriate handrails and guardrails, electrical safety protections where required, and clearly displayed addresses so emergency responders can find a property quickly. Rental properties would also have to comply with existing occupancy restrictions already on the books.
A Ban on Party Rentals and Possible Misdemeanor Charges
One of the more notable additions is a prohibition on renting properties out for weddings, concerts or similar events — a restriction not currently emphasized in the city's existing paperwork. Northport already maintains a Home Occupation - Short Term Rental Application Packet, listed among the forms on the City of Northport's website, which states that any property used for short-term rentals must comply with listed standards and any other applicable requirements, according to the city's application materials hosted at northportal.gov.
Violations of the new ordinance could lead to misdemeanor charges, with each day a property remains out of compliance potentially treated as a separate offense. The city could also revoke a short-term rental business license or post notices identifying violations at a property, per the ordinance details reported by WBMA.
Taxes Would Stay the Same, Officials Say
The proposed changes would not raise taxes. Northport's existing 11% lodging tax on short-term rentals within city limits would remain in place, while rentals in the city's police jurisdiction but outside its limits would continue paying a tax equal to half that rate. City officials said the broader push for tighter rules is meant to address concerns about increased traffic, noise, frequent turnover of guests and the number of occupants showing up in residential neighborhoods, according to WBMA's reporting.
Northport's business-license application already requires a license before a business opens or operates in the city or its police jurisdiction, and it lists rental property and lodging among the business types applicants can select, according to materials posted by the city. For businesses with a physical Northport location, the application identifies a minimum seven-working-day waiting period and requires a code-compliance certificate signed off by the necessary departments. Separately, the city's business-license materials note that licenses run on a calendar year and expire December 31.
How Other Alabama Cities Have Handled It
Northport isn't the first Alabama city to wrestle with short-term rental oversight. Mobile's ordinance requires hosts to show proof of insurance, comply with building codes, pass inspections and maintain operational smoke and carbon monoxide detectors, according to a city ordinance document posted by the City of Mobile.
In Tuscaloosa, the City Council voted 4-2 in 2019 to extend short-term rental permissions citywide, years after first adopting regulations in July 2017, according to the Tuscaloosa News. Those amendments let single-family homes outside historic districts rent by right for up to 45 nights a year within the city's tourist overlay district and capped apartment or condo developments at 150 rental licenses unless the zoning board raised the limit. At the time, Tuscaloosa officials said they had 49 short-term rental license holders on file but had already issued 258 violations — numbers the city said the changes were meant to improve by simplifying rules and bringing more operators into compliance.
Whether Northport faces a similarly large gap between licensed and unlicensed rentals isn't clear. Questions remain about how many short-term rentals currently operate in the city, how many are properly licensed, and how officials would monitor compliance with the new safety requirements once they take effect, WBMA reported. Those details, along with the ordinance's final language, won't be settled until council members take up the measure again on November 16.
