Chapter 3-9
SHORT-TERM RENTALS

Sections:

Article 1. Short-Term Rentals

3-9-100    Purpose.

3-9-200    Definitions.

3-9-300    Short-term rental requirements and conditions.

3-9-400    Permit application procedures.

3-9-500    Hosting platform requirements.

Article 1. Short-Term Rentals

3-9-100 Purpose.

The purpose of this Chapter is to establish a permitting process and appropriate standards for short-term rentals (“STR”) of a whole dwelling unit, or portion of the same, for a period of twenty-nine (29) consecutive days or less.

3-9-200 Definitions.

For the purposes of this Chapter, the following definitions shall apply:

(A) “Hosting platform” means a marketplace in whatever form or format which facilitates the home-sharing or vacation rental, through advertising or other means, using any medium of facilitation, and from which the operator of the housing platform derives revenues, including booking fees or advertising revenues, from providing or maintaining the marketplace.

(B) “Registry” or “City registry” is the list of STR permits issued in a calendar year. The City shall bear responsibility for keeping the registry up to date with current permits.

(C) “STR guest(s)” or “guest(s)” means any person or group of persons staying at a STR for no more than twenty-nine (29) consecutive days.

(D) “STR administrator” or “administrator” means the person who is the designated agent or representative of the STR owner and who is responsible, together with the STR owner, for compliance with the conditions of this Chapter.

(E) “STR owner” or “owner” means the person, firm, corporation or partnership, individually, jointly, in common, or in any manner whereby such property is under single or unified control holding fee title which rents a dwelling operated and used as a STR.

(F) “Short-term rental” or “STR” means a dwelling unit or dwelling, multifamily, or any portion thereof, rented for occupancy for lodging or sleeping purposes for a period of twenty-nine (29) consecutive days or less.

(G) “Transient occupancy tax” or “TOT” means local transient tax as set forth in Chapter 3-4 SJBMC. The tax is paid by the guest when paying for their rental. The collected TOT is then remitted to the City.

3-9-300 Short-term rental requirements and conditions.

(A) Compliance with Applicable Laws. The owner and administrator must comply with all applicable laws, rules, and regulations pertaining to the use and occupancy of the STR.

(B) Short-Term Rental Permit Required. A permit from the City (hereinafter referred to as a “STR permit”) is required for all STRs. No person shall rent, offer to rent, or advertise for rent any STR for a term shorter than twenty-nine (29) consecutive days without a valid STR permit, which may be issued by the City in the manner provided for by this Chapter.

(C) Validity Period. A STR permit shall expire on June 30th of each calendar year and may be renewed upon reissuance of a business license and proof of timely payment of transient occupancy tax (TOT) during the time period of operation of the STR. The issuance of the STR permit for a one (1) year period does not grant the owner with fundamentally vested rights to continue operation beyond the one (1) year period. The City reserves the right to deny renewal of a STR permit without a hearing.

(D) Change in Ownership. The STR permit shall be invalidated by a change in owner or administrator of a STR, except when a spouse or domestic partner is added to the title of the property or the property is converted to a trust which is principally under the same ownership. If the STR permit is invalidated by a change in ownership, the owner or administrator must complete the reapplication process within forty (40) days or the right to the STR permit will be lost.

(E) Noise and Disturbances. Guests are subject to the requirements of this Code.

(F) Revocation of STR Permit. A STR permit may be revoked by the City due to the failure to meet the requirements set forth in this Chapter, subject to the discretion of the City.

(G) Appeal Process. Revocation of a STR permit may be appealed pursuant to Chapter 11-25 SJBMC. The appeal shall be accompanied by a filing fee, if any, as established by City Council resolution.

(H) Transient Occupancy Tax. Transient occupancy tax (TOT) shall be collected on all short-term rentals. STR owners are solely responsible for the collection of all applicable TOT and remittance of the collected tax to the City on a monthly basis. If a hosting platform collects payment for short-term rentals, then it and the STR owner shall both have legal responsibility for the collection and remittance of TOT.

3-9-400 Permit application procedures.

An application for a STR permit shall be filed with the City Manager upon forms, the content of which shall be set by the City Manager and shall, at a minimum, request:

(A) The name, address, and telephone number of the owner of the STR for which the STR permit is to be issued.

(B) The name, address, and telephone number of the STR administrator, if applicable, and a notarized declaration from the STR owner that the STR administrator has permission to run a STR on the owner’s property.

(C) A statement of the anticipated daily rental charge for the STR and written acknowledgment of the responsibility to pay TOT associated with the rental of the STR.

(D) A valid business license issued by the City for the STR.

(E) A STR permit application fee.

3-9-500 Hosting platform requirements.

(A) Hosting platforms together with STR owners shall be responsible for collecting all applicable TOTs and remitting the same to the City. The hosting platform shall be considered an agent of the owner or operator for purposes of TOT collections and remittance responsibilities as set forth in Chapter 3-4 SJBMC.

(B) Subject to applicable laws, hosting platforms shall disclose to the City on a regular basis each home-sharing and vacation rental listing located in the City, the names of the persons responsible for each such listing, the address of each such listing, the length of stay for each such listing, and the price paid for each stay.

(C) Hosting platforms shall not complete any booking transaction for any residential property or unit unless it is listed on the City’s registry at the time the hosting platform receives a fee for the booking transaction.

(D) A hosting platform operating exclusively on the internet, which operates in compliance with subsections (A), (B), and (C) of this Section, shall be presumed to be in compliance with this Chapter, except that the hosting platform remains responsible for compliance with the administrative subpoena provisions of this Chapter.

(E) The provisions of this Section shall be interpreted in accordance with otherwise applicable State and Federal laws and will not apply if determined by the City to be in violation of, or preempted by, any such laws.

Legislative History: Ord. 2019-10 (11/19/19).