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City Council Approves Vacation Rentals
Posted Date: 7/24/2012 4:45 PM


On July 26, 2012, the City Council approved Ordinance No. 1206, which allows short-term vacation rentals in residential zoning districts subject to a Vacation Rental Permit and Transient Occupancy Tax Certificate from July 26, 2012 through October 15, 2012 and May 15, 2013 through October 15, 2013. 

What is a Vacation Rental Permit?

A Vacation Rental Permit allows the short-term rental of residential properties located in all Residential Zoning Districts for 30-days or less.

How much does a Vacation Rental Permit Cost?

The Vacation Rental Permit application fee is $284 and payable to the City of Sausalito at time of application submittal.

How do I apply for a Vacation Rental Permit?

1. Fill out the following Vacation Rental Permit application forms:

A. Vacation Rental Permit Application Form;
B. Transient Occupancy Tax Certificate application form;
C. Vacation Rental Performance Standards Agreement.

Forms can be picked up at the Community Development Department or on the City’s website.

2. Submit your application forms to the Community Development Department.

3. A Planner will review your application forms for completeness.  If your application forms are complete then you will receive a Vacation Rental Permit and Transient Occupancy Certificate.

What is a Vacation Rental Permit Performance Standards Agreement?

In order to receive a Vacation Rental Permit, a property owner must agree to follow the     following rules:

1. Only one residence may be rented per parcel.

2. The residence may only be rented once in any period of 7 consecutive days.

3. On-site parking spaces must be available for   parking.  Properties which do not have on-site parking must obtain temporary on-street parking permits in those areas where on-street permit parking is required.  Where parking permits are not required, vehicles are   required to be moved every 72 hours.

4. The property owner must designate a Local Contact Person to answer all inquiries (including complaints from neighbors) regarding the vacation rental. The Local Contact Person must respond to all calls within one-hour.

5. No signs are permitted to be posted on/off site indicating the presence of the vacation rental.

6. The residence must be serviced by the City’s refuse hauler (i.e., Bay Cities Refuse).

7. The property owner must display a notice on the interior of the main entry door which lists all applicable regulations.

8. The property owner must pay Transient Occupancy tax as required by Chapter 3.12 of the Municipal Code.

9. The property must not have any current code enforcement compliance orders or building permit correction notices related to health and safety issues.

Why do I need to pay a Transient Occupancy Tax?

The short-term rental of a residential property is subject to Chapter 3.12 of the Municipal Code.  The City’s regulations require issuance of a Transient Occupancy Certificate and monthly tax payments.  The Transient Occupancy Tax is 12%.

What if I rent my home or a room without a Vacation Rental Permit?

The short-term rental of a property without a Vacation Rental Permit is prohibited. If you rent your home without a Vacation Rental Permit you may be subject to an Administrative Citation and fine. Fines start with $100 for the first violation, $200 for the second violation, and $500 for each additional violation (per Municipal Code Chapter 1.10).  Each day the vacation rental is rented without a Vacation Rental Permit is considered a separate violation.


For more information on Vacation Rental Permits and Transient Occupancy Tax Certificates contact Heidi Burns, Associate Planner, at (415) 289-4135 or via email at