Legislation Details

File #: 26-0552    Version: 1
Type: discussion Status: In Committee
File created: 7/13/2026 In control: Land Use & Environment Committee
Agenda date: 7/23/2026 Final action:
Title: Briefing on Short-Term Rental Permitting and Enforcement
Attachments: 1. Short-Term Rental City Webpage

Title

Briefing on Short-Term Rental Permitting and Enforcement

 

Recommended Action

Committee Recommendation:

Not referred to a committee.

 

City Manager Recommendation:

Receive a briefing on short-term rental permitting and enforcement.

 

Report

Issue:

Whether to receive a briefing on short-term rental permitting and enforcement.

Staff Contact:

Casey Mauck, AICP, Associate Planner, Community Planning and Economic Development, 360.753.8048

 

Presenter(s):

Casey Mauck, AICP, Associate Planner, Community Planning and Economic Development

 

Background and Analysis:

Short-term rental (STR) permits follow a similar process to other development permits, with applicants required to submit an application through the City's online permit portal prior to operation.

 

The City recognizes two types of STRs: vacation rentals and homestays. Vacation rentals require a land use permit and involve rental of a property where the owner does not reside onsite. Homestays do not require a land use permit and involve a property owner residing onsite while renting a portion of the home

 

In August 2021, the City Council adopted the STR ordinance following concerns from community members regarding the lack of regulation of these rentals. Currently, there are 30 active STR permits. Permits are required only for vacation rentals and are valid for two years. The table below summarizes the number of approved STR permits by year.

 

2021  (Sept-Dec)

2022

2023

2024

2025

2026

5

10

10

12

17

7

 

Enforcement of STR regulations is conducted on a complaint-based basis. Code Enforcement staff have indicated that STRs are not a significant source of community complaints at this time.

 

Climate Analysis:

No program changes are recommended at this time. Climate impacts would be assessed at the time of any recommended changes. 

 

Equity Analysis:

STRs can affect the availability of housing by influencing the supply of units available for short-term rental, as well as the supply of homes available for purchase or long-term rental. Communities with significant STR inventories have experienced concerns about housing affordability when residential units are converted to STRs or purchased by absentee owners for short-term rental use.

 

STRs can also play important roles in a community by providing units for tourism, temporary workers who are not in place to sign a long-term lease, or community members needing a temporary place to stay without meeting all requirements of a long-term lease.

 

Neighborhood/Community Interests (if known):

Community members have a significant interest in housing policy. Community surveys and engagement efforts consistently identify affordable housing and homelessness as top priorities for Olympia residents. In a recent community survey, 74% of respondents indicated that housing and homelessness are a priority and expressed concerns that residents are not able to access or afford stable housing.

 

STRs also generate community interest, with some neighbors raising concerns about potential impacts such as increased traffic, noise, parking, and other neighborhood disruptions associated with short-term rental activity.

 

Financial Impact:

No program changes are recommended at this time. Financial impacts would be assessed at the time of any recommended changes. 

 

Options:

1.                     Receive a briefing on short-term rental permitting and enforcement.

2.                     Do not receive a briefing on short-term rental permitting and enforcement.

3.                     Take other action.

 

Attachments:

Short-Term Rental City Webpage