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Council creates zoning classification for bed‑and‑breakfasts and short‑term rentals
Summary
The council adopted an ordinance creating land‑use classifications and zoning rules for bed‑and‑breakfast and short‑term rental facilities; the rules distinguish owner‑occupied short‑term rentals (permitted in some districts) from non‑owner occupied rentals (which require conditional‑use permits).
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The Bruceville‑Eddy City Council adopted an ordinance on Oct. 24 creating explicit zoning classifications and definitions for bed‑and‑breakfast operations and short‑term rentals.
Staff said business regulations for these uses were previously adopted and the ordinance fills a gap by inserting definitions and land‑use classifications into the zoning code. The ordinance creates a spectrum of categories: an owner‑occupied bed‑and‑breakfast homestay and a bed‑and‑breakfast inn with an onsite resident manager, and two short‑term‑rental categories (type 1: owner occupied, permitted by right in certain districts; type 2: not owner occupied, which requires a conditional‑use permit in single‑family and similar districts).
Under the change, short‑term rental type 1 that is owner‑occupied could be permitted in specified residential districts by right after licensing; non‑owner occupied short‑term rentals would require council review and a conditional‑use permit before a license could be issued. Staff reported no active listings on major platforms at the time of review.
Council members said the classifications aim to balance economic opportunity with neighborhood protections and signaled they will review license applications and conditional‑use requests on a case‑by‑case basis.
Next steps: Staff will publish the new zoning language and process for license applications; conditional‑use applications will come to council for review.

