The Village of Montgomery Board of Trustees introduced a local law that requires short-term rental owners to register with the village and undergo yearly inspections.

All landlords must register and obtain a short-term rental permit from the village within thirty days of the law’s passing, according to the draft law. Rental permits are granted after an inspection by the village building inspector. Inspections must be completed and permits renewed yearly.

The building inspector will inspect the premises to ensure the dwelling complies with village building code, it contains basic fire safety measures and is in proper living condition.

The annual inspection fee is $50 per property. The application and renewal fee will be established after the law is passed by the village board.

Short-term rental units are usually booked through popular apps like Airbnb and VBRO. As of Dec. 10, a search on the Airbnb app showed two units in the village. One of those rooms are in the Borland House, a registered Bed and Breakfast.

Village of Montgomery Mayor Stephen Brescia and several members of the board said a short-term rental law will protect consumers from unsafe dwellings and village residents from problems that may arise from short-term rental users.

The Building Inspector may deny or revoke permits if the applicant fails to comply with the law and/or village building code, the property is not equipped with a smoke detector and carbon monoxide detector in accordance with New York State standards, the conduct on the premises creates a public nuisance, or the property doesn’t possess adequate exits in accordance with New York State standards.

All landlords who live outside Orange county must designate a resident agent for all properties.

“We want someone here that can respond quickly to problems with the unit,” village attorney Kevin Dowd said.

The law also requires liability insurance of the property with policy limits of at least $1 million.

The village considered taxing short-term rental units, but ultimately decided against it. Many taxing jurisdictions have reached agreements with Airbnb in recent years, including 28 counties in New York.

Airbnb recently announced a new tax agreement, effective Dec. 1, with Orange County, which will allow the company to collect and remit local hotel and motel room taxes on behalf of hosts who have listings within the county.

The village law will undergo a public hearing on Dec. 18 at 7:30 p.m. Brescia said the law may be passed that night if there are no major objections from the public.

The proposed law is available at villageofmontgomery.org.