Notice: Ordinance 2025-10C was voted down by Borough Council in a 5–1 vote at the December 30, 2025 meetingand was not adopted. As a result, the ordinance did not take effect. This page is preserved for historical reference and summarizes the contents of the proposed ordinance as originally introduced.
Context: Ordinance 2025-10C was introduced following the Borough Council’s decision to vote down Ordinance 2025-9C at a Special Meeting held on December 19, 2025. Ordinance 2025-10C is a standalone proposal addressing a municipal transient accommodation occupancy tax and does not include the broader short-term rental operational provisions that were part of the earlier proposal.
Background information, a timeline of events, and applicable New Jersey state law context are available on the STR Ordinances page.
Summary notes prepared by the Ship Bottom Taxpayers Association reflecting public discussion at the December 19, 2025 Special Council Meeting, as well as notes related to the December 30, 2025 Council meeting, are available in the Documents Repository.
Status: Not Adopted
Council Action: Voted down 5–1 on December 30, 2025
Adopted: No
Effective: Not applicable (ordinance was not adopted)
Category: Taxes, Fees & Licensing
This page is preserved for historical reference.
Summary
Ordinance 2025-10C proposes the adoption of a 3% local transient accommodation occupancy tax in the Borough of Ship Bottom. The tax would apply to charges for rent for occupancy of hotel and motel rooms and transient accommodations, including short-term rentals.
The ordinance is limited in scope to taxation and does not include operational, licensing, zoning, or behavioral regulations related to short-term rentals. The tax would be paid by the guest and collected and remitted by the party receiving payment, including certain online booking platforms, where applicable.
Background and Legislative Context
Ordinance 2025-10C was introduced at a Special Meeting on December 19, 2025, immediately following the Borough Council’s vote to reject Ordinance 2025-9C, a broader proposed short-term rental ordinance.
Following the rejection of Ordinance 2025-9C, the Council introduced Ordinance 2025-10C as a standalone measure addressing only the transient accommodation tax component previously included in the earlier proposal.
What the Ordinance Does
If adopted, Ordinance 2025-10C would:
- Impose a 3% municipal occupancy tax on transient accommodations in Ship Bottom
- Apply to:
- Hotels and motels
- Short-term rentals and other transient accommodations
- Require the tax to be:
- Paid by the purchaser (guest)
- Collected by the entity receiving payment for the accommodation
- Prohibit vendors from:
- Absorbing the tax
- Advertising that the tax will not be separately charged
- Advertising that the tax will be refunded
Collection and Remittance
The ordinance assigns tax collection responsibility to:
- Property owners or operators who directly collect rent, or
- Transient space marketplaces, when the rental is obtained through such a marketplace
The ordinance relies on existing state law definitions regarding when a rental is considered to be obtained through a transient space marketplace.
Relationship to New Jersey State Law
New Jersey law already imposes Sales Tax and State Occupancy Fees on certain transient accommodations. State law also authorizes municipalities to adopt a local occupancy tax of up to 3%, subject to statutory definitions and limitations.
Ordinance 2025-10C is intended to operate within that statutory framework and does not alter or expand state-law definitions related to transient accommodations or transient space marketplaces.
Enforcement and Penalties
Violations of the ordinance may be subject to penalties of up to $1,250 per offense, with each day a violation continues constituting a separate offense.
Important Notes and Clarifications
- Ordinance 2025-10C is separate and distinct from Ordinance 2025-9C
- Adoption of this ordinance would establish a local tax but would not, by itself, create new short-term rental operational requirements
- Any future regulatory proposals related to short-term rentals would require separate legislative action
Additional Context
Concerns Raised During Public Review
A summary of issues raised by residents during the review of this proposal.
→ View summary
Meeting Recording
The Borough Council meeting at which Ordinance 2025-10C was discussed and voted on was recorded and is available below.
Link:
- December 30, 2025 – Borough Council Meeting
→ Watch official meeting recording (Not available yet)
Official Document
👉 View the original ordinance (PDF)