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Monterey County Regulation

The County of Monterey Housing and Community Development has announced a webpage intended to provide information on the implementation of the County’s Vacation Rental Ordinances. This webpage will be continuously updated with additional application materials and will be the primary landing page for all information related to the County’s implementation of the adopted Vacation Rental Ordinances.
 
The webpage can be accessed at this link: https://comry.us/VacationRentals

SUMMARY OF VACATION RENTAL ORDINANCES

By the Monterey County Vacation Rental Alliance

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On August 27, 2024, the Monterey County Board of Supervisors passed a new set of Vacation Rental Ordinances in a 3-to-2 vote.  The following summary has been prepared by MCVRA to help you understand how these new ordinances affect your STR.

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What was passed?

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When do these become effective?

  • Regulations for Inland STRs go into effect on October 14, 2024.

  • Regulations for Coastal STRs must now go to the Coastal Commission for approval.

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What can/must you do?

  • First, determine which category fits your STR. Use the table below.

  • Inland STR owners should do this immediately to determine if you qualify for a permit/license.

  • Coastal STR owners may choose to wait until the Coastal Commission has weighed in. We don’t know when this will happen. In the meantime, coastal STRs can operate without a permit under our legal settlement that will expire when the Coastal Commission approves the coastal ordinance or a modified coastal ordinance.

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Here is a summary of the ordinances describing the three STR categories, restrictions, and permit/license requirements. Which category matches your STR?​​​​​​

​​​This table describes how many CVRs will be allowed in each planning area based upon the 4% cap or outright ban:

Planning Area
# Residential Dwelling Units Identified by Assessor’s Office
# Residential Dwelling Units Allowed for CVRs (per Planning Area) 4% Cap
# Current Advertised Vacation Rental Dwelling Units
# Additional Allowable Residential Units Available for CVRs as a Result of the Proposed Regulations
Cachagua
512
20
43
-23
Carmel Area
2,948
118
218
-100
Carmel Valley
5,033
201
163
38
Central Salinas Valley
1,642
66
6
60
Big Sur Coast
925
0
37
-37
Del Monte Forest
1,432
57
83
-26
Fort Ord
1,007
40
4
36
Greater Monterey Peninsula
3,879
155
114
41
Greater Salinas
2,001
80
11
69
Moss Landing
61
0
11
-11
North County – Inland
5,653
226
21
205
North County – Coastal
3,916
157
52
105
South County
1,296
52
14
38
Toro
4,321
173
48
125
TOTAL
34,626
1,345
825
520

Notes:

  • Commercial Vacation Rentals (CVRs) are capped at 4% of housing in each planning area.

  • CVRs are banned in Big Sur.

  • CVRs are banned in the low density residential (LDR) zoned portions of the Carmel Area.

  • CVRs are banned in all residential (RDR, LDR, MDR, HDR) zoned portions of the Carmel Valley Area.

  • CVRs are banned in the low & medium density residential (LDR, MDR) zoned portions of Moss Landing.

  • Homestays and Limited Vacation Rentals (LVRs) are not capped in any planning area.

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How to find your planning area?

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How to find your zoning?

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Vacation Rental Operation License (VROL)

  • A ministerial license.

  • Issued for 1 year.

  • One permit per parcel, unless:

    • Applicants want to rent the same dwelling as both a Homestay and an LVR.

    • Applicants want to rent out two dwellings on their property, one as a CVR and one as a Homestay.

    • Relevant section of Monterey County Code Sub-Section 7.120.040.A.

  • The initial fee is approximately $1,100, and the annual renewal fee is TBD but expected to be lower than the initial fee.

  • A separate Business License is required from the County for an additional fee of $203 for the first year, and $115 annually after that.

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Use Permit/Coastal Development Permit (CDP)

  • A discretionary permit.

  • Issued for up to 7 years.

  • One permit per parcel.

  • The fee for a Use Permit is approximately $8,000.

  • The fee for a CDP is approximately $14,000.

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ADUs

  • Have cooking facilities.

  • Cannot get license or permit.

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Guesthouses

  • Can NOT have cooking facilities.

  • Must share utilities with main house.

  • Guest houses are treated as if they are merely additional bedrooms in the main house.

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Duplexes

  • Cannot get license or permit.

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License/Permit Application Requirements

  • Site and Floor Plans to scale (see examples).

  • Home inspection report:

    • Printable checklist provided by the County.

    • Requires proof of annual fire extinguisher servicing.

  • Operations Plan:

    • Printable form provided by the County.​

    • Requires selection of desired type of license/permit (CVR, LVR, Homestay).

    • Requires designation of nearest fire station, police station, emergency room, and 24-hour clinic.

    • Evacuation Maps (if not included as a part of the Site Plan or Floor Plan).

    • On-site Parking Plan (if not included as a part of the Site Plan or Floor Plan).

  • Most recent bill for water service or recent water test proving you meet water quality standards.

  • Most recent bill for waste services.

  • Most recent bill for public sewer services unless you're on a septic system.

  • Homestays must also submit at least two of the following:

    • ​Motor Vehicle Registration, Voter Registration, Property Tax Bill with the Homeowner’s Exemption, or a utility bill.

  • ​CVRs must also submit the following:

    • ​If you are on a Private Road, you must comply with Monterey County Code Chapter 16.80.

    • If you have a septic system, you must provide proof your septic system is in good working order.

  • Property manager available 24/7 to arrive at the site within 30 minutes.

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Del Monte Forest, homeowner’s associations, and CC&Rs

  • The ordinances do NOT refer to HOAs or CC&Rs. 

  • A permit/license can be granted by the County even if the HOA objects. 

  • The HOA may choose to enforce their rules.

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Existing STR permit holders

  • New regulations apply upon the termination of the existing permit.

  • If the permit has no termination (was granted in perpetuity), the new regulations will apply in 7 years.

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Time to seek license or permit

  • The ordinances allow existing STR owners to continue operating but must apply for a permit within 6 months after the ordinance goes into effect.

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Fines & Enforcement

  • $5,000 per day!

  • Permit revocation.

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To read the actual ordinances:

  • County Code Title 7 (Item 12): View PDF

  • County Code Title 20 (Item 8): View PDF

  • County Code Title 21 (Item 13): View PDF

Source: https://monterey.legistar.com/LegislationDetail.aspx?ID=6836676&GUID=96AA4932-85C4-49E5-BF12-7E9180E29FDB

HISTORY

For more information on Monterey County's long, inconsistent history of policy changes, click here.

We Need Your Financial Help to Succeed

 

We must challenge these draconian measures, and we need your HELP to support our legal efforts!​

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