§ 117.02  LICENSE, REGISTRATION, AND TAX REQUIREMENTS.
   Any owner wishing to operate a short term rental must maintain a current business license, comply with rental registration requirements, and make proper payment of local, county, and state taxes.
   (A)   Business license.  Business licenses must be renewed annually by the submittal of a form and fee as established by the city. The business license account number and the maximum occupancy for each short term rental must be prominently displayed in the rental unit, as well as in any advertisement for the rental of the unit, excluding signs posted on the rental property.
   (B)   Rental registration. Each new short term rental license application must be accompanied by a rental registration application form provided by the city, and must be renewed on an annual basis.
      (1)   Annual registration. The registration shall be completed prior to June 1 of each year.
      (2)   Change in registered information. The owner of a rental dwelling already registered with the city shall re-register within 60 days after any change occurs in the registration information. A new owner of a registered dwelling shall re-register the dwelling within 60 days of assuming ownership.
      (3)   Information required. Application for rental registration shall contain the following information:
         (a)   The address of the rental dwelling;
         (b)   The number of rental dwelling units;
         (c)   The number of bedrooms in each rental dwelling;
         (d)   The number of parking spaces provided on site for each rental dwelling;
         (e)   The maximum overnight occupancy of each rental dwelling, which shall not exceed two persons per bedroom, plus two additional people per rental dwelling, except as allowed under an exception under § 164.03-01(C);
         (f)   The type of wastewater system (septic or sewer);
         (g)   The names, mailing addresses, business phone numbers, personal phone numbers, and business addresses of the owner and local agent;
         (h)   The address where the owner and/or local agent will accept notices and orders from the city;
         (i)   Certification that the owner has read applicable city ordinances, including, but not limited to, regulations regarding noise, trash, parking, alcohol, animals, litter, surfing, dune protection, sea turtles and golf carts;
         (j)   Certification that the owner has prominently posted within the property a summary of applicable city ordinances, including, but not limited
to, regulations regarding noise, trash, parking, alcohol, animals, litter, surfing, dune protection, sea turtles and golf carts;
         (k)   Certifications that tenants listed on any rental agreement shall receive a summary of city ordinances, including, but not limited to, regulations regarding noise, trash, parking, alcohol, animals, litter, surfing, dune protection, sea turtles and golf carts. The summary of applicable ordinances shall be in a form determined by the city, and made available to all owners of rental property.
         (l)   Certification that the owner is aware that, upon receiving four or more notifications that occupants or guests have received a written warning or citation for noise, trash, turtle lighting, requirements for special events, or exceeding maximum occupancy during any rolling six-month period, penalties may be assessed, including business license revocation or non-renewal.
      (4)   Inaccurate or incomplete registration information. It shall be a violation of this chapter for an owner to provide inaccurate information for the registration of rental dwellings, or to fail to provide information required by the application form.
      (5)   Designation of local agent. The owner of a rental dwelling shall designate a responsible agent who shall be responsible for operating the rental dwelling in compliance with the law. Official notices may be served on the responsible local agent and/or the owner, and any notice served on the agent shall be deemed to have been served upon the owner of record.
         (a)   Nothing shall prevent the owner of rental property from designating himself or herself as the agent.
         (b)   The agent shall be required to be able to physically respond to the site within 30 minutes in case of emergency or need by the city for entry into the property.
      (6)   More than one owner or ownership by entity. Where more than one person has an ownership interest in a short term rental, the required information shall be provided for each owner. In those cases in which the owner is not a person, the information required for the register shall be provided for the organization owning the rental dwelling, and for the president, general manager, or other chief executive officer of the organization.
   (C)   Taxes.  Owners of short term rentals are subject to local, county, and state taxes, including, but not limited to, sales, use, and accommodations taxes, and are liable for the payment thereof as established by state law and the city code of ordinances.
   (D)   Violations and penalties.
      (1)   Violations. It shall be a violation of this chapter to:
         (a)   Operate a short term rental without complying with the requirements of this chapter and the city code of ordinances;
         (b)   Expand the allowable occupancy of a short term rental without obtaining a new permit;
         (c)   Advertise a property as being available as a short term rental without first complying with the requirements of this chapter;
         (d)   Advertise a short term rental as being available for more overnight occupants than have been permitted pursuant to this chapter;
         (e)   Advertise more short term rental units on a property than have been permitted pursuant to this chapter;
         (f)   Advertise a property as a short term rental or “event house” for events or parties with more than 49 people in attendance; or
         (g)   Operate a short term rental that has received four or more notifications of occupant or guest violations of noise, trash, turtle lighting, requirements for special events, or exceeding maximum occupancy during any rolling six-month period.
            1.   The number of allowable notices and violations shall be reset upon a change of ownership that results in no overlap with prior common ownership.
            2.   For the purpose of determining the total number of notifications to the owner, all written warnings and violations occurring within a single rental contract period shall be considered one instance. In no case shall notifications to the owner exceed one per rental contract period.
      (2)   Penalties. 
         (a)   No permit may be issued or approved unless the requirements of this chapter, or any ordinance adopted pursuant to it, are complied with. A violation of this chapter can result in a civil penalty pursuant to § 110.99, revocation or suspension of a business license pursuant to § 110.17, or the non-renewal of the license.
         (b)   Short term rental licensees shall be subject to graduated penalties as the licensee receives notifications that an occupant or guest has received a written warning or citation for noise, trash, turtle lighting, requirements for special events, or exceeding maximum occupancy during any rolling six-month period. For the purpose of determining the total number of notifications to the owner, all written warnings and violations occurring within a single rental contract period shall be considered one instance. In no case shall notifications to the owner exceed one per rental contract period. The licensee may respond within ten days of receiving the certified notice with evidence that demonstrates that the notice was issued in error. The graduated penalties are:
            1.   First violation:  a description of the violation committed by the tenant, and a warning that progressive action shall be taken by the city in the case of further violations.
            2.   Second violation: a description of the violation committed by the tenant, and a second warning that progressive action shall be taken by the city in the case of further violations.
            3.   Third violation: a description of the violation committed by the tenant, a civil penalty of $500, and a third warning that progressive action shall be taken by the city in the case of further violations.
            4.   Fourth violation: a description of the violation committed by the tenant and initiation by the city of business license revocation procedures pursuant to § 110.17, or notice that the license will not be renewed.
(Ord. 19-10, passed 9-28-10; Am Ord. 26-17, passed 1-9-18; Am. Ord. 32-19, passed 11-12-19; Am. Ord. 033-21, passed 11-9-21)