Overview: Are Short-Term Rentals Allowed in Union City, CA?

YES - Short-term rentals are permitted in Union City, CA. The city explicitly allows short-term rental operations but requires operators to complete a mandatory application process and obtain proper business licensing. Union City permits room, room and board, or boarding houses for not more than two paying guests in R and RS residential districts, as outlined in Chapter 18.32, "Residential Districts," of the Union City Municipal Code. The city has also established a voluntary collection agreement with Airbnb to manage transient occupancy tax collection on behalf of hosts.

How to Start a Short-Term Rental Business in Union City

Step 1: Application Submission

Submit the official Short-Term Rental Application to the Union City Finance Department, Revenue Division. Applications must be complete and signed to be processed - unsigned applications will not be accepted.

Step 2: Required Business Information

Provide comprehensive business details including:

• Federal Employer ID Number (FEIN) if operating as a corporation or LLC
• Driver's License, Government Issued ID, or Individual Taxpayer ID if operating as sole proprietor, partnership, trust, or estate
• Property ownership documentation and rental addresses within Union City city limits only

Step 3: Contact Information Setup

Establish mandatory contact protocols:

• Primary contact information with name, title, address, telephone, and email
• Secondary contact information as backup
• Local emergency contact available 24/7 for guest-related emergencies

Step 4: Platform Compliance

If using Airbnb, understand that the platform will automatically collect and remit transient occupancy taxes on your behalf through their Voluntary Collection Agreement (VCA) with Union City, effective since August 1, 2017. For other booking platforms, you must collect and remit taxes directly to the city.

Required Documents, Permits, Licenses, and Guidelines

Mandatory Business License Application

• Application Form: Official Short-Term Rental Application (revised 12/04/2024)
• Ownership Documentation: Property owner names, ownership type (Sole Proprietorship, Partnership, Corporation, Trust or Estate, LLC or LLP)
• Identification Numbers: Federal EIN or Individual Taxpayer ID as applicable
• Mailing Address: Complete property owner mailing address with contact information
• Property Details: Total number of rental units owned in Union City
• Rental Property Information: Complete addresses and unit counts for all Union City rental properties
• Property Manager Information: If using a management company or property manager

Additional Required Disclosures

• SB 1186 Compliance: State fee of $4 added to business license applications for disability access compliance
• AB 2184 Protection: Option to protect residential address by providing different Service of Process address
• Emergency Contact Protocol: Mandatory 24/7 emergency contact information for guest-related issues

Zoning Compliance Requirements

Properties must comply with residential district regulations under Chapter 18.32 of the Union City Municipal Code. Short-term rentals are permitted in R and RS districts with maximum occupancy of two paying guests for room, room and board, or boarding house operations.

Specific Regulations for Short-Term Rentals

Municipal-Level Regulations (Union City)

• Transient Occupancy Tax: 12.87% tax rate applied to all short-term rental bookings
• Zoning Restrictions: Permitted in R and RS residential districts only
• Occupancy Limits: Maximum two paying guests for room, room and board, or boarding house arrangements
• Business License Required: All short-term rental operators must obtain business licensing
• Platform Collection: Airbnb automatically collects and remits TOT through VCA (effective August 1, 2017)

County-Level Regulations (Contra Costa County)

As of 2017, Contra Costa County was considering regulations for unincorporated areas, with the Board of Supervisors recognizing that different communities require varying approaches. The county sought input from municipal advisory councils by February 2018 to craft flexible regulations accommodating specific community needs while ensuring short-term rentals don't compromise affordable housing availability.

State-Level Regulations (California)

• AB 2184: Business owners can protect residential addresses by providing different Service of Process address
• SB 1186: State fee of $4 applied to business license applications for disability access compliance
• ADA Compliance: Federal and state disability access laws apply to buildings open to the public

Contact Information for Local Authority

Primary Contact: Finance Department, Revenue Division

• Address: 34009 Alvarado-Niles Road, Union City, CA 94587
• Phone: (510) 675-5312
• Fax: (510) 489-5074
• Email: Biz-License@UnionCity.org
• Website: www.UnionCity.org

For Transient Occupancy Tax Inquiries

• Phone: (510) 471-3232
• Department: Union City Finance Department

Key Contacts for Compliance

• Business License Questions: Biz-License@UnionCity.org
• Airbnb Platform Questions: Contact through Airbnb Help Center
• Audit and Tax Verification: Refer to Airbnb Transaction History in host account

Important Notes for Investors

Platform-Specific Requirements

• Airbnb Integration: Automatic TOT collection and remittance through VCA
• Other Platforms: Direct collection and remittance required for non-Airbnb bookings
• Record Keeping: Maintain detailed transaction records through platform Transaction History (Airbnb) or manual systems for other platforms

Compliance Monitoring

• Application Updates: File for changes of name or general updates as needed
• Business License Renewal: Required annually with applicable fees
• Platform Audits: Airbnb provides detailed transaction history for audit purposes

Neighbor and Community Relations

• Emergency Response: Maintain 24/7 emergency contact availability
• Community Standards: Ensure operations comply with residential neighborhood expectations
• Zoning Compliance: Verify property eligibility within R or RS districts

This comprehensive framework positions Union City as a moderately regulated market with established procedures for short-term rental operations while maintaining municipal oversight through licensing and tax collection requirements.