Short-Term Rental Permits

 

What is a short-term rental?

A short-term rental business provides visitor lodging within a residential dwelling for fewer than 30 consecutive days. This includes people who rent out a spare bedroom to travelers on Airbnb, or property owners that rent out their whole house while they are out-of-town on a website like VRBO. Anyone who operates a short-term rental business in Benicia must register and obtain approval from the City and pay all associated fees and taxes.

 

Overview of requirements (the full ordinance may be viewed here):

  • Short-term Rental operators are required submit a complete application and fee to obtain a license. License renewals occur biannually at the end of each even-numbered year. 
  •  Rentals must be operated out of a host’s primary residence.        
  •  Rentals need to comply with municipal code sections regulating noise and other public nuisances.        
  •  The hosts are required to provide neighbors with a contact person who will respond to complaints.        
  •  Licenses can be revoked if the rental operator does not comply with the ordinance requirements. 
 
Hosted Short-term Rentals, where a host is on site:
  •  Are permitted in all residential zones.
  •  One off-street parking space is required.
  •  Can be approved without a public hearing.

 

Un-hosted Short-term Rentals, where a whole home is rented out:

  • Are only permitted in the immediate downtown known as the area covered by the Downtown Mixed Use Master Plan.(you may view a map of the area here)
  • Have a two-night minimum stay requirement.
  • Have an annual rental limit of 120 nights.
  • Neighbors within 500 feet are notified and they may request a public hearing on the application.

 

Apply for a short-term rental license here.


Transient Occupancy Tax Requirement:

Short Term Rentals are subject to the payment of a 9% per night Transient Occupancy Tax, just as any hotel, motel or inn is required to do in the City of Benicia. Transient Occupancy Tax is collected by lodging operators from their guests. It helps fund important city services such as law enforcement, fire protection, road maintenance. Additionally, enforcement of this tax requirement helps ensure a “level playing field” for all hotels, motels, and short-term rental operators. The payment and enforcement of this tax on residential short-term rentals (rental stays of less than 30 days) is specified in the City of Benicia Municipal Code Chapter 3.24. Registration for TOT collection is completed during the license application process.

 

Are there any restrictions?

  • Accessory dwelling units (also called in-law units, granny flats, or backyard cottages) cannot be used for short-term rentals.
  • Short-term rentals are not permitted in the Industrial Park and certain zoning districts.
  • Homeowners associations may disallow short-term rentals.
  • Renters need written permission from their landlord or property manager before starting a short-term rental business.
  • All short-term rentals must comply with the standard conditions of approval. Additional conditions may be required for short term rental businesses that need a use permit.

 

Where can I get the forms or more information?