Tempe, AZ Short-Term Rentals: Repeat Violator Strikes (2026)

City Code Section 16A-220 lets the Licensing Officer start an administrative process to suspend a short-term rental license for up to twelve months on two separate grounds. The first is three verified violations of Article X within any twelve-month period, though the ordinance excludes a violation based solely on an aesthetic issue, solid waste disposal, or vehicle parking that is not also a serious threat to public health and safety, so minor infractions do not stack toward the three-strike count. The second ground is a single verified violation that is serious enough to stand alone: a felony committed at or near the rental by the owner or the owner's designee; a serious physical injury or wrongful death caused by the owner's or designee's knowing, intentional, or reckless conduct; knowingly housing a sex offender, allowing adult-oriented or prostitution-related offenses, or running a sober living home; or knowingly allowing the property to be used for an unpermitted special event, retail, restaurant, or banquet use.

On top of any suspension, Section 16A-221 imposes tiered civil penalties against the owner for each verified violation within the same twelve-month period at the same property: up to $500 or one night's advertised rent, whichever is greater, for the first violation; up to $1,000 or two nights' rent for the second; and up to $3,500 or three nights' rent for the third and every violation after that. Multiple violations arising from the same emergency response count as a single violation for penalty purposes. A suspension decision can be appealed under Section 16A-222.