Internet Association The unified voice of the mternet economy I WW\V.111lemelassocl_i1!!Q_n.om I.~n. rn e.@ss!l April 9, 2018 The Honorable David Millard, Chair House Tourism and Recreational Development Committee Pennsylvania House of Representatives 501 N 3rd Street Harrisburg, PA 17120-0302 Dear Chairman Millard: Internet Association (IA) represents more than 40 of the world 1 s leading internet companies, and advances public policy solutions that foster innovation, promote economic growth, and empower people through the free and open internet. IA has significant concerns with HB 1810 sponsored by Rep. Heffley. This legislation would require the disclosure of personally identifiable information (PU) of Pennsylvania residents for the purposes of verifying tax collection with respect to short term rentals (STRs) within the state. This raises serious privacy concerns for residents of the Commonwealth. IA would also like to address the impact this legislation would have on online travel agencies (OTAs) and the users who book amenities through them. As with STRs, OT As would he required to disclose the PII of those users and the establishments they utilize to the state to collect and remit taxes to the Commonwealth. As with hosts on STRs, the potential exposure of individuals' private information is of serious concern to the association and its members. It is important to note that the occupancy taxes collected and remitted by STR platforms and OT As are transaction taxes and hosts' PII is not required to collect such taxes. Requiring disclosure of such sensitive information is unnecessary and could violate federal laws with respect to platform liability and privacy. The Stored Communications Act prohibits platfo1ms that provide users the ability to "send or receive wire or electronic communications" from disclosing user information without proper legal process. This bill would require disclosure of PII without an appropriate and legally-mandated court order. for these reasons and more, IA respectfully urges you to oppose HB 1810. Veryl lyyou:~ ---- Cc: Pennsylvania House Towism and Recreational Development Committee members 111 Washington Ave. Suite 602, Albany, NY 12210 ~.[nte1rnetassoc l <j1.li9n_.or:y I 1
Cumberland Area Economic Development Corp 53 W. South St., Suite 1 Carlisle, PA 17013 PRSRTSTD U.S. POSTAGE PAID HARRISBURG, PA PERMIT NO 533 PABBI ECRWSS EDOM Local Postal Customer
ONLINE HOME SHARING Are You In Compliance with Local and State Requirements? The travel industry has seen significant growth of online hosting platforms, most notably Airbnb, HomeAway and others. In just a few short years these sites have emerged as an influential and ingrained part of the short-term lodging industry, generating remarkable levels of website traffic and lodging transactions. If you currently list your property on an online hosting platform or are thinking about it, please read on. Is my home now a business? Yes. When you collect dollars from a third-party for a short-term stay, you are now operating a business within your home. You are required to comply to the same local and state regulations as a hotel, motel or bed and breakfast. Zoning Be sure that your property is zoned to operate a short-term (less than 30 days) lodging business. You may need to present a request to your zoning hearing board if your locality is not zoned for short-term rentals. Refer to your local government's website to find contact information for your local township or municipal zoning officer to confirm proper zoning. If you live in a community with an Home Owners Association (HOA), check with regulations of the HOA to be sure home sharing is permitted. Occupancy Permit Pennsylvania has a statewide building code, the Uniform Construction Code (UCC) that is administered and enforced locally (90%) and at the state level. Short-term rentals must adhere to the UCC that may require the installation of sprinklers, emergency exits, fire escapes or alarm systems. Your code official will review your application to determine if complaint with the UCC. An occupancy permit will be issued and must be posted where it is visible by guests. Hotel Occupancy Tax The state hotel occupancy tax (6%) applies to room rental charges for periods of less than 30 days by the same person. The tax applies to rentals of rooms, apartments and houses arranged through online or third-party brokers such as HomeAway, VRBO and Airbnb. You must register with the PA Department of Revenue for a Sales, Use, and Hotel Occupancy Tax License (except Airbnb - which performs this service.) Payment is remitted either monthly or quarterly depending upon total sales. This license must be posted where it is visible by guests.
ONLINE HOME SHARING Are You In Compliance with Local and State Requirements? (continued) County/City Room Tax Almost all counties in PA collect room tax to help fund tourism promotion. The tax applies to rentals of rooms, apartments and houses arranged through online or third-party brokers such as HomeAway, VRBO and Airbnb. You must register your property with your county and city treasurer's office. Payment is remitted on a monthly basis. This license must be posted where it is visible by guests. Insurance Will your current homeowners carrier continue to cover you if your property is listed on online home sharing sites? Not all insurance companies will write policies to cover shortterm rentals. You must contact your insurance agent to ensure that you have the proper coverage. Protect your personal liability and personal property. Parking Check your zoning for parking regulations. At minimum, you should have one space per room in addition to your personal parking needs. All walkways should be lighted for safety especially if guests will use street parking. To protect the safety of guests, the security and peace of residential areas, and ensure fair competition, the following entities are working together to ensure that all short-term rental hosts are in compliance with local and state requirements. PA Treasurers Association PA Restaurant & Lodging Association PA Association of Bed & Breakfast Inns TBD Published and distributed by the [insert name of entity paying for printing] and the PA Association of Bed & Breakfast Inns (PABBI). [insert logo of entity paying for printing] BED & BREAKFAST I NNS