They can also opt to pay above their BAH if they'd like.https://veteran.com/bah-calculator/Per Diem Lodging Rates:Per diem lodging rates are provided to military service members and civilian employees of the DOD when they travel on official business.

They also have contracted out the RV park and other lodging to major STR operators, and there won't be a shortage of places with how many they have planned. 

In my opinion, and echoing the sentiments expressed here, this is an area with solid, predictable, consistent tourist traffic and limited "traditional" lodging opportunities, which is a good environment for STRs - but the market is quite competitive, and a top-notch experience and some sort of hook or "niche" will be necessary to keep your property at higher occupancy. 

I am taxed at the lodging level.- Scenario 3: I buy or rent a bunch of run down homes in Alma or Fairplay long term and install bunk beds in each room.

In my opinion, one of the great things about STR is that there is a wide range of accommodations, in a wide geographical area, with differences in property condition, size, location, cleanliness, amenities, etc.  85% of motels/hotels are basically the same, the major differences in many of the lodgings newly built seem to be the number of bars of soap offered in the bathrooms, and whether the property is served by two elevators or three.  

In regards to listing 30-day min stays on Airbnb; Do you know if Airbnb still automatically takes out local lodging taxes?

The travel nurses I have worked with are looking for cheaper rents so they can keep a bigger part of their lodging stipend.

Access to utilities are sometimes issues as well for a "lodge" type situation.

We would do house hacking but we have a phenomenal deal on lodging right now through a friend who had a vacant house in the area and is letting us stay there super-discounted.  

A "luxury" bathroom might translate to higher STR rental amounts - but that has never been a high criteria for me when seeking lodging.