DECATUR, Ala. — The Decatur City Council will consider comprehensive new regulations for short-term rentals at its Monday meeting at 6 p.m., establishing rules aimed at balancing property owner rights with neighborhood quality of life concerns.
Ordinance No. 26-4633 would create a detailed framework for operating short-term rentals within city limits, including new categories for “homestays” and “tourist homes,” each with specific requirements. If approved, the ordinance would take effect March 1, 2026.
Key Provisions
Under the proposed regulations, all short-term rental operators would need to obtain an annual certificate from the Planning Department, costing $500 total ($250 application deposit plus $250 upon approval). Properties would require inspections by both a city building inspector and fire marshal before receiving certification.
The ordinance establishes density limits to prevent over-concentration of short-term rentals in residential areas. No more than three such properties would be allowed within a 1,000-foot radius in residential zones, and no more than two could operate on contiguous properties. The city would cap total short-term rentals at 135 annually…