Montgomery County Bill Targets Unlicensed STRs

9/22/2026

Montgomery County, Maryland, Council member Shebra Evans introduced legislation targeting unlicensed short-term rentals and potential lost tax and licensing revenue. Bill 42-26 would require online rental platforms to verify that properties have valid county licenses before allowing them to be listed and would prohibit platforms from processing payments for unlicensed rentals. The bill would also establish penalties for noncompliance and require the county to provide an electronic license-verification system. Evans cited a Montgomery County Office of the Inspector General report finding that more than 85% of reviewed STRs were operating without licenses. The Inspector General's office estimated that unlicensed rentals could cost the county nearly $1 million in lost revenue annually. A public hearing on the legislation is scheduled for Oct. 6.

The MoCo Show (Maryland) (09/15/26) Patrick Herron

Why It Matters: The bill would shift more compliance responsibility to platforms and could become a model for other jurisdictions.