House Bill 973 changed the laws relating to human trafficking in lodging establishments and vacation rentals. Starting July 1, 2025, property managers listing vacation rentals in North Carolina must implement a procedure for reporting suspected human trafficking. This new mandate is part of N.C. Gen. Stat. § 42A-39(b) and requires property managers, along with their employees and third-party contractors involved in listing, supervising, maintaining, housekeeping, and check-in/check-out services for vacation rentals, to undergo human trafficking awareness training.
Mandatory Training for All Staff Involved in Vacation Rentals
The North Carolina Department of Labor, in collaboration with the North Carolina Human Trafficking Commission, the North Carolina Restaurant and Lodging Association, and the Department of Health and Human Services, will develop or identify appropriate training courses. These courses will be accessible electronically, in person, or in a classroom setting at no cost to ensure all individuals required to complete the training are well-informed and educated about human trafficking.
Training Deadlines and Requirements
For vacation rentals listed on or after July 1, 2025, property managers must complete the training before the rental is listed. Employees and third-party contractors must complete the training within 60 days of starting their service and then every two years. For rentals already listed before July 1, 2025, all property managers, employees, and contracted individuals must complete their training by June 30, 2027, and renew every two years thereafter.
Role of Accommodation Facilitators
Accommodation facilitators, including real estate brokers, that market and accept payment for the rental, or list a rental on a forum, platform, or other application for a fee or other consideration shall notify property managers of their training requirements and require property managers to certify that the required training has been completed. N.C. Gen. Stat. § 42A-39(e).
Penalties for Non-Compliance
Non-compliance with these requirements carries significant penalties: $500 for the first violation, $1,000 for the second, and $2,000 for each subsequent violation. Additionally, it is considered an unfair trade practice for property managers to intentionally misstate their completion of the required human trafficking awareness training. These measures aim to increase vigilance and education around human trafficking, ensuring that vacation rental properties in North Carolina contribute to a safer and more aware community.