HostReadyBakersfield has roughly 500 short-term rentals operating right now, and every single one of them is technically illegal. That changes with the city's first-ever STR ordinance, which cleared its first reading before the City Council this week and is on track to become law after a second vote. For hosts, the message is simple: get permitted or get out.
What the Council Actually Voted On
The ordinance passed its first reading with one dissenting vote, from Ward 3 Councilman Ken Weir. Before approving it, the Council amended two key provisions. First, it cut the required liability insurance minimum in half, dropping it from the originally proposed $1 million down to $500,000. Second, it shifted the responsibility for collecting the city's transient lodging tax directly onto platforms like Airbnb and Vrbo, rather than leaving it entirely to individual hosts to remit on their own.
A second reading and final adoption are scheduled for a future meeting. Until that vote happens, the ordinance is not yet in force, but the framework is essentially set.
The Permit: What It Costs and What It Demands
Once the ordinance takes effect, operating without a permit will no longer be a gray area. The new Short-Term Rental Permit costs $250 and must be renewed annually. Hosts who stay current and follow the renewal steps can keep their permit active year over year.
Getting the permit is not just a paperwork exercise. The ordinance comes with a real list of operating requirements:
- Proof of liability insurance covering rental use, with a minimum of $500,000 in coverage.
- A designated local contact person available around the clock, reachable and able to respond to issues or emergencies within 60 minutes.
- A guest registry with names and contact information for all adult guests staying at the property.
- Maximum occupancy capped at two guests per bedroom, plus two additional guests.
- A ban on outdoor pool and spa use during nighttime hours.
- Adequate off-street parking for guests.
- Compliance with local building and safety codes, including a building code inspection, fire suppression systems, egress windows, smoke detectors, carbon monoxide detectors in all sleeping areas, and a fire extinguisher on site.
Hosts will also need to submit a floor plan as part of the application process.
The Tax Situation: Platforms Collect, But Not All of Them
Every STR in Bakersfield will owe the city's transient lodging tax, set at 12% of the total rental fee. The Council's amendment puts the collection burden on the platforms themselves, which sounds like a relief until you look at the details.
Airbnb collects and remits the lodging tax directly on behalf of hosts. Vrbo does not. That means Vrbo hosts are still on the hook to collect and submit the tax manually, on a quarterly basis, through the city's licensing and permits portal. If you list on both platforms, you need to track which bookings are covered and which are not.
The city projects it will collect $1 million or more per year from STR tax revenue once the ordinance is in effect.
Neighbors Pushed Back, and the Rules Reflect It
The meeting drew residents from the Westchester neighborhood, who showed up to argue that short-term rentals erode neighborhood identity and make it harder for neighbors to build real relationships. Their concerns are baked into the ordinance's Good Neighbor Policy, which sets explicit rules for guest behavior around noise. The rules are not just about paperwork. They are designed to make STRs coexist with the people living next door.
What Hosts Should Do Right Now
The ordinance has not yet received its final vote, but the shape of the law is clear. Hosts who wait until after final adoption to start preparing will be behind. Here is what to do before the second reading:
- Confirm you have or can obtain a liability insurance policy with at least $500,000 in coverage for rental use.
- Identify a local contact person who can genuinely respond within one hour, any time of day.
- Check whether your property meets building code requirements, including fire suppression, egress windows, and detector placement. An inspection will be required.
- Prepare a floor plan of the property.
- If you list on Vrbo, set up a system for quarterly tax remittance to the city.
- Budget $250 for the annual permit fee.
Enforcement is already trending upward in Bakersfield, with increased inspections and fines for unpermitted rentals. Fines for operating without proper licensing can run from $1,500 to $5,000. With 500 properties currently operating outside the law, the city has a long list of potential targets once the ordinance is final.
For the complete Bakersfield compliance guide including tax calculator, checklist, and daily monitoring, see Bakersfield, CA STR Regulations.