Pennsylvania Is Writing the Nation’s First Statewide STR Framework. Here Is What H.B. 2303 Actually Does.

Pennsylvania H.B. 2303, introduced March 18, 2026, would create the first statewide short-term rental registration framework in a state with 67 counties and zero uniform STR rules. That means Pennsylvania’s thousands of Airbnb and Vrbo listings currently operate under a patchwork of municipal ordinances, county-level zoning, or (in many places) nothing at all. The bill had its first public hearing today, March 25, before the House Tourism, Recreation and Economic Development Committee. If you operate in Pennsylvania, this is the bill you need to understand.

I have read the full 15-page bill text. Here is what it actually says, who it regulates, what each tier of operator needs to do, and how Pennsylvania’s approach compares to the two other major STR legislative models moving through statehouses right now.

This article provides general information and should not be construed as legal advice. Consult a qualified attorney in your jurisdiction for advice specific to your situation.

Where This Bill Came From

H.B. 2303 did not appear out of thin air. In 2024, Reps. Lindsay Powell (D-Allegheny) and Jennifer O’Mara (D-Delaware) passed a House Resolution directing the Joint State Government Commission to study the short-term rental industry across Pennsylvania. That nonpartisan study, published in March 2025, documented the fragmented regulatory landscape and recommended a tiered statewide framework. H.B. 2303 translates those recommendations into statute.

Rep. Powell has cited two violent incidents at short-term rentals in her district as motivation for the bill, including a New Year’s Eve incident and a prior event that resulted in two teenage deaths. Rep. Mary Jo Daley (D-Montgomery), the third co-sponsor, framed it plainly: “These rules aren’t about hampering visits. They’re about balancing economic opportunity with accountability.”

The bill has 15 co-sponsors (all Democrats) and was referred to the Tourism, Recreation and Economic Development Committee the day after introduction.

The Three-Tier Operator Structure

The heart of H.B. 2303 is its three-tier classification system. Every STR operator in Pennsylvania would be sorted into one of three categories, each with escalating requirements. Think of it as a regulatory ladder: the more properties you operate, the more the state expects from you.

Tier 1: Homestay Operators

Picture this: you rent out your spare bedroom on Airbnb while you’re on vacation, or you list your house for a few weekends a year while visiting family. Under H.B. 2303, you are a homestay operator if all three of these conditions are true:

• The property is your primary residence (you live there at least six months per year).
• You rent it out for no more than 30 cumulative days per calendar year while you are present or temporarily absent.
• You operate no more than one additional STR property beyond your primary residence.

Homestay operators need an annual county permit and two forms of documentation proving primary residency, plus an annual safety inspection. They are exempt from the $500,000 liability insurance requirement that applies to the other two tiers. Their registry information is shielded from public display (though it remains available to enforcement officials). They get 12 months to comply after the law takes effect.

This is the lightest regulatory touch in the bill. If you are a part-time host renting your own home a few weekends a year, the compliance burden here is a permit, a residency check, and a safety inspection. Manageable.

Tier 2: Vacation Rental Operators

If you own investment properties dedicated to short-term rental use (where you are not present during guest stays) and you operate fewer than 10 STR properties in Pennsylvania, you are a vacation rental operator.

Requirements for vacation rentals:

• Annual county permit for each property.
• Liability insurance of at least $500,000 per occurrence.
• Compliance with local nuisance ordinances and occupancy limits.
• A designated person in charge who can be contacted at all times and arrive at the property within one hour.

The person-in-charge requirement is worth highlighting. This is not a phone number on a listing. The bill defines “person in charge” as someone with actual authority to represent the operator, who is able to respond on-site as necessary and act as a legal agent. If that person changes, the county must be notified in writing within 14 days. For investors managing remotely, this means you need reliable local boots on the ground.

Vacation rental operators get six months to comply after the law takes effect.

Tier 3: Corporate STR Operators

This is where the regulatory weight concentrates. You are a corporate STR operator if you own or operate 10 or more short-term rental properties in Pennsylvania, or if you operate multiple STR properties through separate legal entities under common control.

That second prong is critical. The bill includes an anti-evasion rule (Section 1503) that aggregates all properties owned through corporations, LLCs, partnerships, trusts, or “other legal arrangements” in which the operator holds a controlling interest. Setting up 10 separate LLCs to stay under the threshold will not work. The Department of Revenue is directed to adopt rules specifically to prevent this kind of structuring.

Corporate operator requirements include everything vacation rentals need, plus:

• Remote-capable or connected carbon monoxide detection devices (beyond basic detectors).
• Noise monitoring devices that measure decibel levels.
• Exterior-only video surveillance of building entrances (no interior recording).
• Written cleaning protocols and records of unit turnover between guests.
• Freshly laundered linens and towels for each occupancy with documented sanitary handling.
• Employee training consistent with occupational health and safety standards, with documentation maintained.
• Compliance with Department of Health public health requirements.

Corporate operators also cannot self-attest to safety compliance. While homestay and vacation rental operators can submit an attestation that their property meets applicable codes (subject to verification), corporate operators must have inspections conducted by the municipality or a licensed third party. No shortcuts.

Corporate operators get six months to comply after the law takes effect.

The County Registry System

Every county that permits STR operations must establish and maintain a registry of all permitted short-term rental units, plus all hotels and lodging establishments subject to the hotel occupancy tax. That registry must include, at minimum:

• Operator name, address, phone, and email.
• Property address and unit number.
• Total bedroom count.
• Maximum overnight guests permitted.
• Number of units in multiunit structures being used as STRs.
• 24-hour contact information for the person in charge.
• The STR category (homestay, vacation rental, or corporate).
• Municipal permit or license number.
• Insurance attestation.
• Date and result of most recent safety inspection.

Counties must transmit annual reports of all registered STRs to the Department of Community and Economic Development (DCED). DCED then shares registry and booking-service data with the Department of Revenue to ensure proper collection of state and local hotel occupancy taxes.

The registry data can also be shared with state, county, and municipal agencies for emergency response, disaster recovery, public health investigations, and code enforcement. For the first time, a fire department responding to an alarm in a short-term rental would have a centralized place to check who owns the property and who is responsible for it.

Platform Accountability: Airbnb and Vrbo Are in This Bill

Section 1521(e) is the provision that booking platforms will be watching closely. Under H.B. 2303, any booking service (the bill’s term for platforms like Airbnb, Vrbo, and Booking.com) that facilitates STR listings in Pennsylvania must:

• Provide monthly electronic reports to DCED and each county with listing addresses, permit numbers, whether the listing is a full unit or partial, and total nights booked.
• Verify permit status before listing a property. DCED must make an electronic verification system available, and platforms “shall not collect or receive a fee, list, advertise, process a reservation for or otherwise facilitate the rental of a property that lacks a current, valid municipal permit.”
• Collect and remit all state and local hotel occupancy taxes on STR transactions unless the owner demonstrates direct remittance.

This is significant. The bill does not just regulate operators. It makes platforms responsible for gatekeeping compliance. If a property does not have a valid permit, the platform cannot list it. Period. This mirrors the enforcement model we have seen gain traction in cities using platforms to police STR compliance, but at the state level.

What the Bill Does NOT Do

Understanding what H.B. 2303 leaves alone is just as important as understanding what it creates.

It does not preempt local authority. Section 1502(b) is explicit: “Nothing in this chapter shall be construed to limit the authority of municipalities to regulate the location and operation of short-term rentals or to prohibit short-term rentals in specified zoning districts.” If your municipality bans STRs, this bill does not override that ban. If your municipality has stricter rules, those rules still apply. The bill creates a floor, not a ceiling.

It does not cap the number of STR permits. There are no density limits, spacing requirements, or caps on the total number of STRs a county can permit. Those remain local decisions.

It does not set rental rates, platform commission structures, or guest pricing. The bill is about registration, safety, and accountability. Pricing stays between you, the platform, and the market.

It does not create a state-level permit. All permitting is at the county level. DCED receives data and coordinates, but counties issue the permits.

Three States, Three Models: How Pennsylvania Compares

Pennsylvania’s bill is arriving in a legislative moment where states across the country are choosing between fundamentally different approaches to STR regulation. We have been tracking three distinct models this year, and understanding where Pennsylvania fits matters if you operate in multiple states or want to know which way the regulatory wind is blowing.

If you have been following our coverage, you know that Idaho’s H.B. 583 represents the pure preemption model, where the state tells cities they cannot ban or cap short-term rentals. Arizona’s H.B. 2429 is the correction, a state that tried preemption in 2016 and is now walking it back after communities like Sedona saw a quarter of their housing stock become STRs.

Pennsylvania is doing something different. It is building a framework that creates statewide consistency (registration, safety, platform accountability) without taking authority away from local governments. In legislative terms, this is neither preemption nor pure localism. It is structured coexistence.

For the growing number of states considering STR legislation, Pennsylvania’s model offers a middle path. Whether it proves workable depends on how 67 counties implement it, and whether the legislature provides funding for DCED to build the electronic verification system the bill requires.

What Operators Need to Do Now

H.B. 2303 is not law yet. It just had its first public hearing. But if you operate in Pennsylvania, here is what I would put on your radar:

Count your properties. The anti-evasion provisions aggregate everything under common ownership or control. If you have STR properties held in different LLCs but you are the controlling interest, those count together. Know which tier you fall into.

Assess your person-in-charge situation. The one-hour response requirement is real and specific. If you manage remotely without local representation, start thinking about who fills that role.

Check your insurance. The $500,000 per occurrence liability minimum applies to all vacation rental and corporate operators. Platform host protection policies (like AirCover) may not satisfy this requirement. Talk to a broker who specializes in STR coverage.

Watch the committee calendar. The Tourism, Recreation and Economic Development Committee will determine whether this bill moves forward. Given that all 15 co-sponsors are Democrats in a narrowly divided House, the bill’s path depends on whether it can attract bipartisan support or at least survive committee.

Talk to your municipal officials. The bill preserves local authority. That means your city council or township supervisors still control zoning. Whether H.B. 2303 passes or not, local regulation is where the rubber meets the road in Pennsylvania.

The Bottom Line

Pennsylvania is not trying to pick a side in the STR debate. H.B. 2303 is a framework bill, designed to bring order to a state where 67 counties currently make their own rules (or make no rules at all). It gives part-time hosts a light compliance path. It gives municipalities data and preserved authority. It gives investors clarity about what is expected at scale. And it makes platforms share responsibility for ensuring the operators on their sites are actually permitted.

Whether this bill becomes law is an open question. But its structure, tiered regulation that preserves local authority while creating statewide consistency, is the model other states are most likely to study. I have covered a lot of STR legislation this year. This is the first bill I have seen that tries to make everyone’s job a little easier without pretending the problem is simple.

We do our best to keep our regulatory guides accurate and up to date, but ordinances change and we are only human. Always verify current requirements directly with your local municipality before making business decisions.

Pennsylvania’s STR landscape is about to get a lot more structured. Whether you operate one listing or fifty, understanding where you fit in this framework is the first step. Use the StaySTRA analyzer to evaluate your Pennsylvania market and see how your properties stack up against local competition.

Stay ahead of regulatory changes in every market that matters to your portfolio.