Overview

Short-term Rental Permits

As of April 4, 2022, there are a total of 478 permitted short-term rentals in the City.

Beginning January 7, 2022, the updated permit regulations and permit operating requirements (Ordinance No. 2021-22 adopted on December 8, 2021), and fee increase to $425 for new applications and renewals (Resolution No. 2021-108 adopted on November 17, 2021) goes into effect.

Application Information and Frequently Asked Questions

Short-term Rental Permit application information, fees, and frequently asked questions can be found on the Applications and Information webpage under the Regulatory Permits heading. These documents are subject to change once the new regulations go into effect. 

Applications are processed online only through the Customer Self Service portal (registration required)

Transient Occupancy Tax (TOT)

Information on TOT can be found on the Finance Department webpage. This includes the Short-term Rental TOT report, the instructions for filing and paying TOT, and frequently asked questions. The short-term rental regulations (EMC Ch. 9.38) require that applicant's are up to date on their TOT reporting and payments, otherwise the permit may be suspended. 

Short-term Rental Viewer

The Short-term Rental Viewer is updated on a bi-weekly basis.

History

The Short-term Rental regulations were originally adopted by the City Council on July 19, 2006. 

March 17, 2021 City Council Hearing

The City Council discussed concerns relating to short-term rentals and directed staff to initiate an ordinance amendment to Chapter 9.38 of the Encinitas Municipal Code regulating short-term rentals. The City Council recognized the complaints that the City had been receiving and the lack of enforcement options available to City staff to address the complaints. A "Short-term Rental Ad-hoc Subcommittee" was also created consisting of Deputy Mayor Kranz, Councilmember Lyndes, and City staff.

May 11, 2021 Short-term Rental Community Meeting

A publicly-noticed community meeting was held to obtain public feedback through an open forum discussion regarding the regulations of short-term rentals in the City, to review a pilot enforcement program, anticipated changes to Chapter 9.38, and a "Good Neighbor Policy." The video recording and presentation from the meeting are available below.



Click here to see the PowerPoint Presentation Slides from the May 11, 2021 community meeting. 

October 27, 2021 City Council Hearing

After analyzing the feedback received at the community meeting, and researching 17 other jurisdictions (including 16 coastal communities) regulations, staff presented draft municipal code changes to the City Council, in addition to four policy recommendations received from the subcommittee at a noticed public hearing. After oral communications concluded, the City Council provided direction to staff to return with an ordinance introduction. The City Council also requested that staff return with a future analysis and identifying the process involved for establishing a maximum number of short-term rental permits (based on a percentage, population and/or location), restrict the location of the unit (overconcentration within a particular location, zone, or neighborhood), and differentiate between a condominium versus duplex unit and consider whether the adjoining owner or tenant approve of the unit. The agenda report and video recording from this hearing can be viewed on the City's Agenda's and Webcast's page.

November 17, 2021 City Council Hearing

At the October 27, 2021 hearing, the City Council directed staff to make further refinements for the ordinance update to:

  • Define a "Hosted" and "Non-hosted" unit;
  • Clarify when inspections of the units can be conducted;
  • Allow for recreational vehicle parking subject to the City's current Municipal Code regulations;
  • A "Non-hosted" unit be required to check-in guests, whereas a "Hosted" unit may allow for guests to self check-in; and 
  • Require a three-night minimum stay for a "Non-hosted" unit, whereas a "Hosted" unit is not subject to a minimum stay. 

At the November 17, 2021 noticed public hearing, staff incorporated the City Council changes, and recommended additional changes to include adding the definition of a "duplex" that is applicable to the specific municipal code chapter, eliminate the previously-proposed prohibition regarding the use of lock boxes, electronic access devices, smart keys, or similar access components, and add a provision to grant existing permit holders a 90 day grace period to supply the City with updated application materials. The City Council also considered increasing the application and renewal fees from $150.00 to $425.00 for an 80% cost recovery. At the public hearing, the City Council requested a non-substantive change to the ordinance to remove the self check-in prohibition and unanimously introduced the ordinance update. The agenda report, draft ordinance, fee resolution, and video recording from this hearing can be viewed on the City's Agenda's and Webcast's page.

December 8, 2021 City Council Hearing

The City Council adopted the updates to the City's short-term rental regulations, which go into effect on January 7, 2022. 

April 20, 2022 City Council Hearing

The City Council will receive a presentation from City staff regarding the data driven analysis and recommendations for next steps. The City Council requested staff return with this information at their October 27, 2021 hearing.