Chapter 17.60
SHORT-TERM RENTALS
Sections:
17.60.030 Additional regulations on short-term rentals.
17.60.050 Licensing review criteria.
17.60.060 Noise and occupancy control.
17.60.070 Suspension or revocation.
17.60.080 Violation and enforcement.
17.60.010 Applicability.
(A) All non-owner-occupied STRs will be subject to the requirements for inspection, licensure, and performance outlined in this chapter.
(B) Non-owner-occupied STRs are permitted to operate within the city limits of the town of Index with a capacity limit for concurrent operation not to exceed a total cap of seven (7).
(C) No person, firm, corporation, or other entity shall advertise or operate a non-owner-occupied short-term rental within the town without having first obtained a short-term rental license from the town.
(D) Currently operating non-owner-occupied STRs will automatically receive an STR license. When the license needs to be renewed, the existing non-owner-occupied STRs will be subject to the renewal requirements outlined in Section 17.60.020.
(E) Owner-occupied STRs following under Class A will remain subject to performance standards currently required of cottage industries, and will continue to be regulated using the current business license process in Chapters 5.04 and 5.08, respectively.
(F) Owner-occupied STRs falling under Class B will be subject to the performance standards listed in Sections 17.60.040, 17.60.050, 17.60.060, and 17.60.070. Property owners applying for a business license for a Class B owner-occupied STR will be required to submit a “responsible party and performance standards” form with their normal business license application to ensure that performance standards of Sections 17.60.040, 17.60.050, 17.60.060, and 17.60.070 are met.
(G) No capacity limit will be placed on owner-occupied short-term rentals. They need not apply for the STR license, and those currently operating will not automatically convert to STR licensure. (Ord. 508 § 2 (Exh. A), 2023).
17.60.020 Licenses and fees.
(A) All non-owner-occupied STR applicants must apply for an STR license, which will be made available at Town Hall. The licensee for an STR under this section shall be the property owner. Unless renewed, the STR license shall expire annually on January 1st.
(B) All non-owner-occupied STRs who have current business licenses documented with the town that were in operation during 2023 will automatically receive an STR license. These previously licensed non-owner-occupied STRs will not need to submit an STR license renewal application until the 2024 renewal period listed in subsection (C) of this section.
(C) Beginning January 1, 2024, after all required STR licenses have been issued under subsection (B) of this section, STR licenses will be processed on a first-come, first-served basis to new STR license applicants. For each year thereafter, renewal applications shall be submitted between November 1st and November 15th each year in order to be considered for the next licensure term. Renewal applications for existing STR licensed properties shall be processed prior to the issuance of any new STR license applicants to ensure that municipal license cap of seven (7) is not exceeded.
(D) The council of the town of Index shall review the STR license application and if it complies with all zoning requirements and licensing review criteria and capacity has not been met, will grant approval for town administration to issue or renew an STR license. The approval may include reasonable conditions to ensure that the provisions of this chapter are achieved. If denied, the reasons for denial shall be stated in writing.
(E) An STR license may be renewed if the responsible party meets renewal requirements including:
(1) Paying the renewal fee.
(2) Having been deemed by the town to be in substantial compliance with the provisions of this chapter for the past year.
(3) Providing written confirmation as to how many complaints related to the operation of the short-term rental occurred and how resolved.
(4) Documenting and describing any changes that have occurred to the information on the current short-term rental application.
(5) Additional renewal inspection requirements as may be necessary.
(F) The town will hold and maintain a “wait list” of additional applicants and will consider new STR licenses on a first-come, first-served basis when allowed by availability. In the event a license becomes available, wait-listed applicants will be contacted on a first-come, first-served basis. Wait-listed persons will have fourteen (14) days to respond, informing the town that they intend to submit an application for an STR license. The license seeker will then have sixty (60) days from the time they inform the town of their intentions to submit to actually submit a completed STR application for review. In the event the town does not receive a response within the initial fourteen (14) day notification period, or the completed application is not received within the sixty (60) day period after notification of intention to submit, the wait-listed person’s position on the wait list will be forfeited and the next party on the wait list will be contacted.
(G) The applicant may make a request for reconsideration to the town clerk in writing of the approval, denial, or conditions of an STR license within fourteen (14) days of the determination. In the event that an applicant submits an incomplete application, the applicant may request such an appeal to the town clerk and be granted a ninety (90) day extension to keep their application active and remedy the incomplete submission for reconsideration. Appeal fees will apply.
(H) Prior to receiving a license for a new STR, the applicant shall be required to have the prospective STR inspected by a licensed home inspection and septic inspection professional and submit documentation of inspection to the town to ensure compliance with building, fire, municipal and health codes including but not limited to:
(1) Short-term rental property inspection (required every ten (10) years).
(2) Certified septic inspection (required every five (5) years).
(3) Outdoor burn permit for any outdoor fire facilities.
(I) For properties on septic systems, the maximum occupancy of each STR license shall be based on septic capacity as determined by a certified septic inspection.
(J) Fees will be defined by the short-term rental licensing guidance document, which can be updated up to once annually by the town. The town is authorized to collect the following:
(1) License administration fee;
(2) Annual renewal fee;
(3) Appeals fees; and
(4) Sales tax. (Ord. 512 §§ 1, 2, 2024; Ord. 508 § 2 (Exh. A), 2023).
17.60.030 Additional regulations on short-term rentals.
In addition to the regulations in the town of Index Municipal Code, short-term rentals are also subject to the regulations and taxations required by the state of Washington as described in WAC 458-20-166, 458-20-211, and Chapter 64.37 RCW. (Ord. 508 § 2 (Exh. A), 2023).
17.60.040 Responsible party.
The applicant or designee may be deemed the responsible party. The responsible party must be a property management company, realtor, lawyer, owner, or other individual who resides within a thirty (30) minute drive of the property. Both the applicant and the responsible party are jointly and severally liable for the failure to properly manage the rental during occupancy. The name, address and telephone number(s) of the responsible party must be submitted with the short-term rental application. (Ord. 508 § 2 (Exh. A), 2023).
17.60.050 Licensing review criteria.
The authorized STR must be properly sited, managed, and maintained. As a condition to holding a valid license, the licensee agrees to provide or
arrange for adequate property management services. In determining whether or not an STR license for rental authorized under this section shall be issued, the application shall be reviewed to see if, in addition to standards and conditions applicable to issuance of all business licenses, the following conditions and standards are met:
(A) Management and Maintenance Criteria.
(1) The responsible party must be available by telephone, or otherwise, twenty-four (24) hours per day, and must be able to respond to telephone inquiries about issues related to the use of the rental within thirty (30) minutes of receipt of such inquiries. The responsible party is also designated as the agent for receiving all official communications under this title from the town of Index. If the licensee is a property management company or individual other than the owner, such company or individual must comply with applicable Washington State law, which requires those who receive valuable consideration to manage property to have a state license;
(2) A Washington State Department of Revenue number and town of Index STR license are required for the rental operation. This number may be the sales tax accounting number used by the property management company responsible for the property, or may be specific to the property, but no license will be effective until the sales tax number is provided;
(3) The STR shall not exceed maximum permitted occupancy at any time;
(4) A sign must be posted conspicuously inside the rental to provide information on the following:
(a) The street address of the property.
(b) Maximum occupancy of the property.
(c) Twenty-four (24) hour contact information for the responsible party.
(d) Contact number and address of Town Hall.
(e) Instructions for guests to please also review the property guidebook/binder for additional information about the area and rules of the property.
(5) If operating during winter months, the applicant must ensure snow removal during winter months to a level that allows safe access to the building over the normal pedestrian access to the property.
(6) If operating during the winter months, the applicant must ensure snow removal service to an off-street parking area associated with the STR so that off-street parking is at all times available for occupant use.
(7) The applicant must ensure that trash cans are not left at the curb for any period in excess of twenty-four (24) hours.
(8) The property must be kept free from accumulated garbage and refuse.
(9) No outdoor display of goods and merchandise shall be permitted as part of any STR.
(10) The responsible party shall maintain a current burn permit from the fire department for the STR property for any outdoor burning facilities.
(11) Per RCW 64.37.050, Liability Insurance: A short-term rental operator must maintain primary liability insurance to the extent required by RCW 64.37.050.
(B) Land Use Criteria.
(1) No more than one (1) STR will be allowed on any parcel of land;
(2) Parking for STRs shall not result in an obstruction to traffic and pedestrian circulation or public safety;
(3) If the proposed STR is a single-family home and shares an access or driveway with another dwelling, written consent of the owner of the other dwelling is required;
(4) STRs may not be used for commercial uses not otherwise permitted in the zone;
(5) The STR must be in conformance with the comprehensive plan and all development regulations. (Ord. 508 § 2 (Exh. A), 2023).
17.60.060 Noise and occupancy control.
The responsible party and occupants under this chapter are responsible for regulating the occupancy of the property and noise created by the occupants of the property. (Ord. 508 § 2 (Exh. A), 2023).
17.60.070 Suspension or revocation.
(A) Violation pertaining to noise, occupancy loads, failure to use designated off-street parking, illegal conduct, or any other abuse which violates any law regarding use or occupancy of the premises or which violates any condition of approval of an issued short-term rental license is grounds for revocation. Failure to collect and pay any past due fees or taxes is also a violation of the license and grounds for revocation.
(B) When town administration determines that there is a reasonable basis for suspending or revoking a short-term rental license, the administrator shall notify the responsible party of the town’s intention by regular and certified mail. The notice shall state the reason for the suspension or revocation, the date it will become effective, and describe the appeal process and fee. Suspension or revocation shall become effective fourteen (14) days after the date the notice is mailed unless the responsible party, within such fourteen (14) day period, files an appeal with the town mayor, together with the appeal fee. The responsible party shall state their reason for the appeal and/or what errors are alleged to have been made by the town in making its determination. Appeals shall be heard by the town mayor, whose decision shall be final.
(C) If a license is suspended or revoked, all operation of the short-term rental use shall cease upon the effective date unless the appeal process has been initiated, in which case the suspension or revocation shall be stayed pending the outcome of the appeal. A suspended short-term rental license shall not be reinstated until the town mayor determines, in writing, that the basis for the suspension, together with any new conditions applied to the license, have been adequately addressed. If revoked, no new short-term rental license shall be issued for the property for the remaining term of the revoked license. Revocation of a license is grounds for denying any subsequent application. (Ord. 508 § 2 (Exh. A), 2023).
17.60.080 Violation and enforcement.
(A) The responsible party will be responsible for all costs associated with enforcement of the STR regulations including but not limited to any towing, reimbursement of the town for 911 calls, violation fines, legal costs and fees, and appeals fees.
(B) Any person who advertises or operates a short-term rental without a valid short-term rental license or who fails to comply with any other provision of this chapter or a condition of license approval shall be deemed to be in violation of this chapter for each day during which the business is so engaged in or carried on. Any person who fails or refuses to pay a fee required under this chapter, or any part thereof, on or before the due date shall be deemed to be operating a short-term rental without having obtained a license.
(C) Any person found to have violated any provision of this chapter shall be subject to a civil penalty not to exceed two hundred fifty dollars ($250.00) per violation and/or suspension or revocation of an issued short-term rental license. Each day of violation shall be considered a separate offense. (Ord. 508 § 2 (Exh. A), 2023).