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Truckee council directs staff to draft hosted-rental rule allowing certain long-term tenants to keep B&B-style registrations
Summary
Council gave staff direction to prepare ordinance amendments allowing long-term tenants who held a hosted-rental certificate before May 24, 2022, to continue operating a hosted rental with homeowner consent and joint liability provisions; staff will return with an ordinance for consideration.
The Truckee Town Council on May 27 directed staff to draft amendments to hosted-rental regulations to allow a narrow exception for long-term tenants who previously held bed-and-breakfast (B&B) certificates before a 2022 definitional change.
Rosie Johnson, program analyst for the short-term rental division, briefed council on the issue: the town’s 2022 change to the hosted-rental definition requires the host to be the homeowner who lives onsite for the entirety of a guest’s stay. The change revealed a discrepancy when a long-term tenant who had been operating under a prior B&B certificate applied for a new hosted-rental registration and could not qualify because they were not the homeowner.
Staff recommended limiting any change to tenants who (a) held an existing B&B certificate before the May 24, 2022 definition change, and (b) have continuously operated and remitted transient-occupancy tax since that date. For tenants who do not meet that condition, staff said the tenant could instead apply for a short-term-rental registration with homeowner permission. Staff also recommended requiring homeowner approval in the form of a lease addendum or notarized letter and making the homeowner and long-term tenant jointly and severally liable for code violations and transient-occupancy tax remittance so the town could enforce collection, including liens on property if necessary.
Council members asked clarifying questions about pros and cons of broadening eligibility to all long-term tenants and staff said there had been little interest to date beyond the single case that triggered the review; staff proposed bringing a draft ordinance back in June if council confirmed the direction. Council members said they were comfortable proceeding with staff’s recommended, narrow approach. No formal ordinance was adopted; staff will return with draft language for council consideration.
Why it matters: the change would clarify how the town treats a small subset of hosted rentals and preserve a pathway for one category of long-term tenant operators who pre-dated the 2022 rule change, while maintaining homeowner accountability and enforcement tools for the town.
