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It is the purpose of this chapter to promote the health, safety, and welfare of residents and of occupants of short-term rental dwellings in the city. By requiring the registration of all short-term rental dwelling units, it is the city’s intent to ensure that short-term rental housing is safe, sanitary and properly operated and maintained in continued compliance with all applicable regulations to meet basic housing maintenance requirements, to protect the health and safety of visiting tenants and to not become a nuisance to the neighborhood and community. The regulation will protect the residential character of Covington’s residential neighborhoods and preserve the character of the city’s historic districts.
(Ord. O-11-23, passed 6-28-2023)
For this chapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning:
ADJACENT PROPERTY OWNERS. The owners of all properties that physically adjoin or are directly or diagonally across the street or alley from the property sought to be licensed.
BLOCK FACE. All lots on a block fronting on a public or private street of any classification in the Kenton County Comprehensive Plan, on the same side of the street, and between two consecutive street intersections, not including alleys.
HOSTING PLATFORM. An internet-based application that allows a short-term rental host to advertise a short-term rental and provides a means for potential short-term rental tenants to arrange rental and payment through the platform.
PERSON. Any individual, firm, partnership, joint venture, association, social club, fraternal organization, joint stock company, corporation, estate, trust, business trust, receiver, trustee, syndicate or any other group or combination acting as a unit.
RENTAL AGENT. A natural person designated by the host of a short-term rental on the short-term rental license application. The host may serve as the rental agent.
RENTAL INSPECTOR. The Neighborhood Services Director or a designee including, but not limited to, code enforcement officers and/or inspectors in the Code Enforcement Division.
SHORT-TERM RENTAL.
(1) Any residential dwelling unit or part thereof;
(2) Offered or held out to the public for rent on a hosting platform, web or mobile application or other online platform, newspaper, magazine, or brochure through which short-term rentals are listed, advertised, solicited or otherwise held out for rent;
(3) For a duration of occupancy of less than 30 consecutive days.
SHORT-TERM RENTAL DWELLING LICENSE. The short-term rental dwelling license established by this chapter.
SHORT TERM RENTAL HOST (HOST). Any person who is the owner of record of residential property who offers a residential dwelling or portion of such dwelling as a short-term rental or any person who is a lessee of residential property pursuant to a written agreement for the lease of such property and who is authorized by the owner to operate a short-term rental.
SHORT-TERM RENTAL, HOST-OCCUPIED. A short-term rental that is the primary residence of the short-term rental host who is also the record owner of the property. Host-occupied property refers to real property which contains one or more dwelling unit(s) where the principal dwelling unit must be occupied by the property owner and constitute his/her primary and usual place of residence. The dwelling units must share the PIDN assigned by the Kenton County PVA.
SHORT-TERM RENTAL, NON-HOST-OCCUPIED. A short-term rental that is not the primary residence of the short-term rental host. A short-term rental which serves as the primary residence for a host who is not the record owner of the property, including lessees, is included in this definition.
SHORT-TERM RENTAL TENANT (TENANT). Any person (excluding family members of the host of the short-term rental) who rents a short-term rental for a fee or any form of compensation, in exchange for occupancy of the short-term rental for a period of less than 30 consecutive days.
(Ord. O-11-23, passed 6-28-2023; Ord. O-08-24, passed 5-14-2024)
It shall be unlawful for any owner or person to list or advertise an unlicensed short-term rental on a hosting platform, web or mobile application or other online platform, newspaper, magazine, or brochure through which short-term rentals are listed, advertised, solicited or otherwise held out for rent.
(Ord. O-11-23, passed 6-28-2023)
A person who desires to use its premises as a short-term rental must have a valid, active short-term rental license for each short-term rental unit prior to using, allowing the use of, or advertising the use of said premises as a short-term rental.
(Ord. O-11-23, passed 6-28-2023)
(A) All hosts must register their short-term rental units with the city.
(B) A separate license is required for each short-term rental unit.
(C) The license is renewable annually and shall expire on the last day of the month one year after the date of issuance.
(D) The license is non-transferable, may not be assigned to another person or entity, and is void upon transfer of the property.
(E) Host-occupied short-term rentals are exempt from historic district and neighborhood density limits.
(Ord. O-11-23, passed 6-28-2023; Ord. O-08-24, passed 5-14-2024)
In order to assure maximum opportunity for a wide range of investors and persons, no person shall hold more than a maximum of four non-host-occupied licenses, as determined by ownership interests. Where a short-term rental dwelling license is held by a limited liability corporation, the license shall be considered held by its members.
(Ord. O-11-23, passed 6-28-2023)
(A) There shall be no more than two short-term rental licenses per structure.
(B) In order to protect the residential character of Covington’s national historic districts and neighborhoods, protect the affordability of its housing stock for long-term residents, and encourage investment in underserved neighborhoods, the following density limits are established:
(1) Historic districts, with boundaries as set forth on the National Register of Historic Places.
(a) Downtown Commercial, including 1991, 1996 and 2001 expansions: unlimited number of
non-host-occupied short-term rental units with no distance separation requirements.
(b) Licking Riverside: maximum of five non-host-occupied short-term rental units, with no more than one per block face.
(c) Mutter Gottes: maximum of 12 non-host-occupied short-term rental units, with no more than one per blockface, except that on Fourth Street and Fifth Street there may be no more than three non-host-occupied short-term rental units per block face.
(d) Ohio Riverside, including 1987 expansion: one short-term rental unit per block face, host-occupied only.
(2) Neighborhoods, with boundaries as set forth on the City of Covington website and as may be amended in the future.
(a) Austinburg Neighborhood: maximum of ten non-host-occupied short-term rental units, with no more than one per block face;
(b) Botany Hills Neighborhood: maximum of 12 non-host-occupied short-term rental units, with no more than one per block face;
(c) City Heights Neighborhood: no host- or non-host-occupied short-term rentals allowed;
(d) Eastside and Helentown Neighborhoods combined, except that portion of the Neighborhoods included in the Downtown Commercial Historic District, including expansions: maximum of 15 non-host-occupied short-term rental units, with no more than one per block face;
(e) Kuhr’s Lane Neighborhood: maximum of three non-host-occupied short-term rental units, with no more than one per block face;
(f) Kenton Hills Neighborhood: maximum of three non-host-occupied short-term rental units, with no more than one per block face;
(g) Latonia, including the West Latonia, Latonia Milldale, Latonia Ritte’s East and Latonia Rosedale Neighborhoods combined: maximum of 20 non-host-occupied short-term rental units, with no more than one per block face;
(h) Levassor Park Neighborhood: maximum of three non-host-occupied short-term rental units, with no more than one per block face;
(i) Lewisburg Neighborhood: maximum of eight non-host-occupied short-term rental units, with no more than one per block face;
(j) Main Strasse Neighborhood: maximum of 25 non-host-occupied short-term rental units, with no more than one per block face, except that in the TUMU zone within the Main Strasse Historic District break out commercial zone there may be no more than three non-host-occupied short-term rental units per block face;
(k) Monte Casino Neighborhood: maximum of five non-host-occupied short-term rental units, with no more than one per block face;
(l) Peaselburg Neighborhood: maximum of ten non-host-occupied short-term rental units, with no more than one per block face;
(m) Seminary Square Neighborhood: maximum of seven non-host-occupied short-term rental units, with no more than one per block face;
(n) South Covington Neighborhood: maximum of five non-host-occupied short-term rental units, with no more than one per block face;
(o) Wallace Woods Neighborhood: maximum of seven non-host-occupied short-term rental units, with no more than one per block face;
(p) West Fifteenth Street Neighborhood: maximum of one non-host-occupied short-term rental unit; and
(q) Westside Neighborhood, except that portion of the Neighborhood included in the Downtown Commercial Historic District, including expansions: maximum of seven non-host-occupied short-term rental units, with no more than one per block face.
(3) Remainder of the city. No short-term rental structures permitted.
(Ord. O-11-23, passed 6-28-2023; Ord. O-08-24, passed 5-14-2024)
(A) The application for a short-term rental dwelling license shall require the following information:
(1) The current street address of the unit to be licensed;
(2) The name, address, email address, and phone numbers of the owner of the premises or corporation’s owner’s representative, as applicable;
(3) If the owner is not a natural person, the applicant shall identify all partners, officers and directors of any such entity and provide their personal contact information;
(4) The name, address, email address, and phone number of the designated rental agent;
(5) The number of bedrooms in the unit and maximum occupancy;
(6) The number and location of parking spaces allotted to the unit;
(7) Documentary evidence of actual notice to all adjacent property owners of intent to apply for a license within 30 days prior to submission of the application; failure to notify all adjacent property owners will disqualify the application;
(8) If the applicant is a lessee of the property, evidence of approval by the property owner for authority to operate the unit as a short-term rental;
(9) The rental agent’s written statement of acceptance of the responsibilities;
(10) A list of all hosting platforms through which the short-term rental is listed or is reasonably anticipated to be listed; and
(11) (a) If the license application is for a short-term rental, host occupied, the host must submit a sworn affidavit stating that the primary dwelling unit is the legal residence and domicile of the applicant and provide proof of residency in the form of two of the following:
1. A valid Kentucky driver’s license, other state issued I.D., or other identification recognized by the Covington Police Department;
2. Registration for vehicles owned by and registered in the name of the applicant;
3. Voter registration card;
4. Previous year’s W-2 form or IRS tax return;
5. Deed; or
6. Utility bill.
(b) This requirement may also be satisfied if the owner’s address in the Kenton County PVA is the same as the address of the short-term rental.
(B) The applicant shall certify that to the best of his, her or its knowledge, the short-term rental is in conformity with:
(1) The Kentucky Building Code (residential only);
(2) The International Residential Code (one- and two-family dwellings);
(3) International Property Maintenance Code;
(4) The Fire Code NFPA; and
(5) The Life Safety Code NFPA 101.
(C) The applicant shall further acknowledge that the short-term rental must at all times maintain compliance with applicable federal, state and local laws, regulations, ordinances or other rules or codes governing the operation of the short-term rental, including the Covington Nuisance Code;
(D) The applicant shall acknowledge an obligation to use his or her best effort to assure that use of the premises by a short-term rental tenant will not disrupt the neighborhood and will not interfere with the rights of neighboring property owners to the quiet enjoyment of their properties.
(E) The City Manager or a designee shall have the authority to obtain additional information from the applicant as necessary to achieve the objectives of this chapter.
(Ord. O-11-23, passed 6-28-2023; Ord. O-08-24, passed 5-14-2024)
(A) Applications shall not be considered complete unless all documentation required is submitted and the full license fees have been paid. Incomplete applications will be rejected.
(B) The applicant will be notified of a final determination on an application no later than 30 days following submission of a complete application.
(C) A city code inspector shall inspect the property prior to the issuance of the license and the short-term rental unit must pass inspection to obtain the license.
(D) If the inspection finds violation of any of the codes, the code inspector shall provide written notice to the rental agent and the license application shall not be further considered until the code violations are corrected and the unit successfully reinspected. If the violations are not corrected within 20 days after notice of violation, the application shall be denied, unless the deadline is further extended by the code inspector.
(E) All application denials shall be in writing and shall set forth specific reasons for the denial.
(F) An application may be denied if:
(1) The applicant is not in good standing with the City of Covington;
(2) The applicant has made a material misrepresentation of fact on the application;
(3) The short-term rental premises are subject to outstanding orders from a city department that have not been corrected;
(4) The short-term rental premises have been determined to be a location of a criminal activity nuisance in accordance with § 92.10 of this code of ordinances;
(5) The applicant, owner, or rental agent of the short-term rental has failed to comply with or enforce the reguirements of this chapter;
(6) The maximum number of allowed licenses in the historic district, neighborhood or zone has been reached;
(7) The unit failed code inspection;
(8) Ownership limits set forth in § 127.06 have been reached; and/or
(9) Other identified violations of the requirements of this subchapter.
(G) Any short-term rental dwelling license applicant or licensee aggrieved by any license application denial, may, within seven days of receipt of notice of such action, file a written appeal with the Rental License Appeals Board setting forth his or her reasons for contesting the action.
(Ord. O-11-23, passed 6-28-2023; Ord. O-08-24, passed 5-14-2024)
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