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Update on Las Vegas Short-Term Rentals 2022

by | Dec 21, 2022 | Business Law

 

          In a previous blog, we discussed the new short-term rental (STR) laws that went into effect earlier this year. Since then, the local county and cities in the Las Vegas area have begun regulating legal short-term rentals. These departments have issued different ordinances for each jurisdiction. In this blog we will go over each of the jurisdictions your short-term rental property may fall under in the Las Vegas valley.

 

Clark County

 

There is currently a 6-month application period. Clark County anticipates the period to be approximately from 09/01/2022 to 03/01/2023. This is an application to enter the process for the random number generator, not an application to apply for a STR license. Applications can be submitted on the Clark County website; only complete applications will be eligible and accepted. If selected by the random number generator, and once all public safety has been completed and fees have been paid, a Business License will be issued as applicable.

 

Business owners looking to operate STRs in Clark County must follow a list of ordinances, including:

 

  • No STRs in apartments (AB363).
  • STR hosts must ensure their HOAs (if applicable) expressly authorize and permit the use of the property for transient lodging.
  • No more than 1 license allowed per natural person.
  • There must be 1,000 feet between licensed STRs.
  • STRs must be 2,500 feet from a resort casino, including where construction has commenced.
  • Groups exceeding 10 persons are prohibited in a STR.
  • Minimum 2-night stay for every reservation.
  • STR license transfer is prohibited, except for marriage, transfer between spouse or domestic partner or testamentary transfer.
  • STR license number must be included in any host listing site.
  • Monthly reporting: e.g. , booking data, including booking value of rental, average length of stay and year to-date revenue.
  • The appropriate transient occupancy tax must be collected and remitted to the County on a monthly basis.

 

Additional information on Clark County STRs can be found here: https://www.clarkcountynv.gov/government/departments/administrative_services/intergovernmental_relations/short_term_rentals.php

 

 

 

Las Vegas

 

The city has provided a link showing the current City of Las Vegas Short Term Rental Locations:

 

https://lasvegas.maps.arcgis.com/apps/OnePane/basicviewer/index.html?appid=1b15b2b28b78488994a7d3d761bd5e0c

 

Some STRs may have been grandfathered into the process and can continue to operate with a valid license. When viewing the map, keep in mind that:

 

a.) The STR must be at least 660 feet from any other short-term residential rental

b.) The STR must be 2500 feet from a Resort Hotel

c.) The STR must be in a location that allows short-term residential rentals

 

The property must also have no more than three bedrooms and must be owner occupied. This means the owner resides at the unit throughout the rental period, the dwelling unit is the owner’s primary residence, and the owner’s occupancy includes occupancy and use of a bedroom or other room intended for sleeping purposes. In determining occupancy by the owner during any rental period, the owner’s absence from the unit during the rental period must be attributable only to employment or to the running of typical personal or household errands. LVMC 6.75.020 (D)

 

You will need approval from city Planning to start the process. You may call Planning at (702) 229-6301 to begin. The next step will be to complete the Conditional Use Verification Permit approval process, an inspection of the property will be required. Lastly, all short-term residential rentals must obtain a business license prior to operating. The license application has several requirements and restrictions, which include:

 

  • The licensee must provide proof of liability insurance coverage with a $500,000 minimum amount.
  • The property owner must be the license holder.
  • The application must include an affidavit attesting that there are no delinquent room tax liabilities or liens on the property.
  • If applicable, corporation/LLC/Trust documentation will be required.

 

Henderson

 

The city has provided a link showing the current Registered Short-Term Vacation Rentals and Resort Hotels locations:

 

https://hendersonnv.maps.arcgis.com/apps/webappviewer/index.html?id=cfcb445a82a34c0786b14eb100d8a04e

 

The same rules apply to the Henderson map as previously stated on the Las Vegas map. The registration process for Henderson will require the following information.

  • Short-Term Vacation Rentals (STVR) Property Self-Inspection Checklist
  • STVR Rental Registrant Statement
  • STVR Certification Class Certificate (property owner and registered local contact person are required to take the class, registered local contact exempt if licensed under NRS 645)
  • NRS 645 Licensed Property Manager Certificate (required if using as registered local contact person)
  • Trust or LLC documents (if the property owner of record is an entity, proof of entity action authorizing the registration by a manager or officer of the entity; or if the property owner of record is a trust, a copy of the certification of trust authorizing the registration by a trustee designated by the trust).
  • Valid Certificate of Insurance with general liability coverage of not less than $1,000,000. An excess liability policy or umbrella liability policy may be used in addition to the general liability policy to meet the minimum liability requirements.

 

Keep in mind that all STVR registered with the City of Henderson will be required to submit the Report of Tax Collected on Room Rentals and pay transient lodging tax on a monthly basis in accordance with HMC Chapter 4.48. Forms and more information on Henderson STRs can be found here : https://www.cityofhenderson.com/government/departments/community-development-and-services/short-term-vacation-rentals

 

North Las Vegas

 

The City of North Las Vegas adopted Ordinance 3127. A copy of the ordinance can be found here: http://www.cityofnorthlasvegas.com/Ord%203127.pdf

 

The ordinance will allow for the operation of a short-term rental with the approval of a Conditional Use Permit (CUP). The applicant must receive an approved Conditional Use Permit (CUP) prior to applying for a business license.

 

The Conditional Use Permit requires the following documentation:

 

  • Application
  • Letter of intent for the Conditional Use Permit (CUP)
  • Proof of ownership of the dwelling unit
  • Site plan showing the location of the noise monitoring equipment
  • Assessor’s Parcel Map (found on the Clark County Gismo/Open Web website)
  • Floor plan if proposing individual room rental
  • 660 Foot Separation Requirement from other existing or proposed short-term rentals and 2,500 Foot Separation Requirement from resort hotels.
  • A notarized letter on letterhead from the homeowner’s association is required authorizing the short-term rental.
  • A security plan for the use of the short-term rental.

Additional information on North Las Vegas Short-term Rentals can be found here: http://www.cityofnorthlasvegas.com/departments/ldcs/short_term_rentals.php

 

A full list of requirements from Assembly Bill 363 can be found here. If you are unsure about whether or not your short-term rental meets the requirements to operate, we recommend contacting a Nevada business lawyer for assistance. With the everchanging legal landscape of Nevada short-term rentals, it’s important to make sure your business interests are protected.