This is a brief follow-on to a story first reported by The Observer, Opelika’s community newspaper. Read their full story for complete coverage.
Opelika’s proposed rental licensing and tax ordinance had its first reading at Tuesday’s City Council meeting, Oct. 20, introduced by Ward 4 Council Member Chuck Beams, and drew comments from four residents — three against and one in favor, The Observer reports. The council is expected to vote at its next meeting, Tuesday, Nov. 3.
Under the city’s fact sheet, owners of residential and short-term rentals would pay an annual business-license tax of 1% of gross rental receipts, with a $100 minimum per owner or business; commercial rentals would pay one-fortieth of 1% of gross receipts, also with a $100 minimum; and self-storage facilities a flat $1,000 per facility. The city says it does not yet have a confirmed count of affected properties or a reliable revenue estimate. The rate was cut from the 1.5% first proposed.
📄 Download the City of Opelika’s Rental Tax Ordinance Proposal Fact Sheet (PDF, Oct. 15, 2026) — the explainer the city released with the council materials.
Richard Oden, who said he owns 32 rental properties in Opelika, said the tax adds to rising insurance, property-tax and maintenance costs and worried the city could deny or revoke licenses. Duplex owner Patsy White questioned taxing gross receipts rather than profit, saying repairs on one unit had topped $11,000 this year. Rental owner Emily Key welcomed the lower rate but said state landlord-tenant law already governs rentals and that license revocations could displace tenants.
Nelson Marsh, who first opposed the plan, said revisions had addressed his concerns and that rental taxes could give the city steadier revenue than sales and development taxes. ODN previewed the ordinance last week (read it here).
Source: The Observer
Opelika Daily News — Thursday Report, Oct. 22, 2026 | Compiled by Viktor AI for Opelika Daily News
