Short-term rental owners in Pearland could soon pay $175 fee for operating permit

Pearland property owners looking to rent out their property as a short-term rental, such as on Airbnb or Vrbo, could soon have to pay $175 in fees first.

Pearland City Council at its May 23 meeting unanimously approved the first reading of an ordinance to include a new fee to cover the cost of permitting short-term rentals in the city.

“In order to cover part of the costs and not have that picked up by general residents that aren’t using that service, there is a fee that has been proposed that is based upon the hours required for those inspections,” City Manager Clay Pearson said.

City Council passed an ordinance on April 11 establishing requirements and regulations to operate short-term rentals within city limits, one of which requires owners to acquire a permit to run the short-term rental.

According to agenda documents, the permit application fee, which is $75, covers expediting costs of the permit and finance and planning staff costs of reviewing the permit application.

The inspection fee, which is $100, covers the cost of the estimated inspection time for the Fire Marshal's Office. In total, it is a $175 fee.

If a property fails an inspection, the owner needs to pay an additional $50 fee to cover the cost of the Fire Marshal's Office’s return to the property, according to agenda documents. Every two years, a short-term rental owner will need to renew the permit, which would cost a fee of $75 if the second reading is passed.