San Francisco Short Term Rental Ordinance goes into effect

Effective February 1, 2014, property owners and tenants who plan to rent their unit (or portion of their unit) on sites like Airbnb will need to have their property added to SF’s Short-Term Rental Registry.

For more information on the ordinance, including access to the application and how to schedule an appointment, click here. 

From the city’s website:

What is the SF Short-Term Residential Rental Ordinance?
On October 27th, 2014 Mayor Lee signed San Francisco Ordinance No. 218-14, amending the Administrative and Planning Codes to allow some residential properties to conduct short-term residential rentals without violating the requirements of the City’s Residential Unit Conversion and Demolition Ordinance (Administrative Code Chapter 41A) or the Planning Code. A short-term residential rental is a rental of all or a portion of your residential unit for periods of less than 30 nights. This law will become effective on February 1st, 2015. At that time, eligible Permanent Residents (owners and tenants) will be able to apply to place their residential unit on the Planning Department’s Short-Term Residential Rental Registry.

What can I do with a Short-Term Residential Rental Registration?
With a valid Short-Term Residential Rental Registration you may rent your primary residential unit for periods of less than 30 nights without violating the requirements of the City’s Residential Unit Conversion and Demolition Ordinance (Administrative Code Chapter 41A) or the Planning Code. This includes renting a portion or your entire unit while you are also present for an unlimited number of nights per year and renting a portion or your entire unit while you are not present for a maximum of 90 nights per year.

How can I apply to be on the Registry?
Short-Term Residential Rental Applications will be made available online and at the Planning Information Center (PIC) located at the ground floor of 1660 Mission Street. To register your unit, you will need to make an appointment with the San Francisco Planning Department to meet with staff and submit your application. Applications must be filed in person by the permanent resident whose name will appear on the registry. Applications may not be filed by representatives or agents. Drop-ins or dropped off applications will not be accepted. The Planning Department will begin conducting intake appointments on Monday, February 2nd. To schedule an intake appointment, please call 415-575-9179 after Monday, January 26th.

You may not rent your unit (in all or a portion) as a short-term residential rental until you have received a Short-Term Residential Rental Registration number from the Planning Department.

Who is eligible to register?
In order to conduct a short-term residential rental you must meet all of the following conditions:

• You must be the Permanent Resident (owner or tenant) of the residential unit that you wish to rent short-term. This means you must live in that specific residential unit for at least 275 nights of any given calendar year. If you are a new resident you must have occupied this specific unit for at least 60 consecutive days prior to your application. If you own a multi-unit building, you may only register the specific residential unit in which you reside.

• You must obtain a San Francisco Business Registration Certificate from the San Francisco Treasurer and Tax Collector’s Office.

• You must obtain liability insurance in the amount of no less than $500,000 or provide proof that liability coverage in an equal or higher amount is being provided by any and all hosting platforms through which you will rent your unit.

• Your residential unit must not have any outstanding Planning, Building, Housing, Fire, Health, Police, or other applicable City code violations.

• You may only register one residential unit.

• Please note that residential units that are subject to the Inclusionary Affordable Housing Program and residential units designated as below market rate (BMR) or income-restricted under City, state, or federal law are not eligible to register.

• Important note for tenants:  The Planning Department strongly recommends that you review your lease before submitting an application. The registration of your residential  unit on the Short-Term Residential Rental Registry does not override any lease agreements, homeowner’s association bylaws, Covenants, Conditions & Restrictions (CC&Rs), or any other agreement, law, or regulations that prohibit subletting or use of your unit as a short-term residential rental.

Is there an application fee?
Yes. The fee for the initial application is $50.00. Your registration will remain valid for two years (pending the registered unit remains in good standing)

At your appointment you will need to provide all of the following items:

• A completed Short-Term Residential Rental Application (download application packet here)
• A Business Registration Certificate issued by the San Francisco Treasurer and Tax Collector’s Office
• Driver’s License or State Issued ID Card issued at least 60 days prior to the short-term residential rental application date and valid for at least the next 6 months, with address of the registered unit
• Proof of  liability insurance in the amount of no less than $500,000
• A signed affidavit agreeing to abide by all conditions of the short-term residential rental ordinance included within the application (download application packet here).
• A check made out to the San Francisco Planning Department for $50.00
• At least two of the following listed documents to confirm your primary residency at your residential unit:
• Proof of a Homeowner’s Tax Exemption. Accepted as a form of residency confirmation only if the proof of a Homeowner’s Tax Exemption is for a property that is either a single-family dwelling or condominium; 
• Voter Registration Card or Certificate with the address on the application, issued at least 60 days prior to the short-term residential rental application date. You may obtain a copy through the San Francisco Department of Elections;
• Proof of Vehicle Registration with the address on the application, issued at least 60 days prior to the short-term residential rental application date;
• Proof of car insurance, showing address of registration, issued at least 60 days prior;
• Original utility bill, issued by a public utility or PG&E, at least 60 days prior to the short-term residential application date. Copies and printouts will not be accepted. You may only use utility bills as one form of residency confirmation. Cable, cell phone, and internet bills do not qualify.

If you are a tenant of your residential unit you will also need to provide a copy of your lease or rental agreement. Please note that upon receipt of your completed application, the Planning Department will send a notice to the owner(s) of your unit, informing the owner(s) that your application has been received.

What will happen at my intake appointment?
Staff will review your application and related materials for completeness and intake. Only applications deemed complete at the time of submittal will be accepted for intake and further review. Additionally, staff will go over conditions and limitations of renting your unit as a short-term rental.

What happens after I’ve submitted my application?
It is expected that the Planning Department will review a completed application within fifteen (15) business days. If the Planning Department determines that your application meets the criteria then your unit will be added to the Short-Term Residential Rental Registry. You will you receive a “Short-Term Residential Rental” certificate by mail, which contains your assigned Registration Number. This registration number must be included at the top of all short-term rental listings’ descriptions (online or otherwise). We recommend that you place this certificate in plain view within your unit.

What can I do and not do once I have obtained a Short-Term Residential Rental Registration Number?
Once you have obtained a Short-Term Residential Rental Registration Number, you may use your residential unit as a short-term residential rental without violating Administrative Code Chapter 41A or the Planning Code  under the following conditions:

• You may rent the residential unit (in all or a portion) while you are not present for a maximum of 90 nights per calendar year.
• You may rent a portion of the residential unit while you are present for an unlimited number of nights per year.
• You may advertise your residential unit on any and all hosting platforms under the condition that you list your registration number at the top of all listings’ descriptions.

What you may not do with your Primary Residence registered as a Short-Term Residential Rental:

• You may not rent your residential unit or a portion thereof for more than 90 nights per calendar year while you are not also present during the time of the guests’ stay.
• You may not rent illegal residential units or unpermitted spaces associated with your property.
• If you are a tenant, you may not make more than your monthly rent from your short-term rental fees charged to guests.