Based on the provided documents for Del Norte, Colorado, and its governing county, here is a comprehensive guide for short-term rental (STR) investors.

Overview: Are Short-Term Rentals Allowed in Del Norte, CO?

Yes, short-term rentals are explicitly allowed in the Town of Del Norte, Colorado, but only as a conditional use and with strict regulations.

The Town of Del Norte allows STRs (defined as rentals of 30 days or less) as a conditional use in all zoned districts, subject to approval from the Town Administrator and compliance with specific zoning, safety, and licensing requirements. Additionally, properties in the unincorporated areas of Rio Grande County (outside the town limits) require a Temporary Use Permit.

How to Start a Short-Term Rental Business in Del Norte, CO

The process varies depending on whether your property is within the Town of Del Norte limits or in the unincorporated Rio Grande County.

For Properties Within Town of Del Norte Limits:

1. Conditional Use Review: Since STRs are a conditional use, you must first go through the conditional use review process. The Town requires a pre-application meeting with staff before submitting your formal application. This can be done by calling Town Hall.
2. Public Notification: The Town will notify all property owners within 300 feet of your proposed STR. A notice will be posted on the property and at Town Hall, and comments will be accepted for at least 15 days.
3. Planning Commission Hearing: Depending on the specifics of your application, a public hearing before the Planning and Zoning Commission may be required. Their decision can be appealed to the Board of Trustees.
4. Permit & License Application: Upon conditional use approval, apply for your STR Use Permit and Business License from the Town Administrator. This application includes critical documentation (see next section).

For Properties in Unincorporated Rio Grande County:

1. Temporary Use Permit: You must apply for a Temporary Use Permit specifically for a "Vacation Rental" with the Rio Grande County Land Use Department.

Required Documents, Permits, Licenses, and Guidelines

The following are the core requirements derived from the official documents:

A. Town of Del Norte Requirements:

• Short-Term Rental Use Application: This is the primary application for your permit.
• Business License Application: Must be obtained and renewed annually.
• Pre-Application Meeting Documentation: Proof of meeting with staff.
• Conditional Use Application (Fee $150.00): This is the application for the use itself, separate from the STR permit.
• Property & Liability Insurance: Proof of insurance is required.
• Parking Plan: A plan compliant with the property's zoning district.
• Floor Plan and Site Sketch: Showing property dimensions, buildings, number of bedrooms/beds (max 8 guests), parking, trash, fire egress, and locations of smoke/CO alarms and fire extinguishers.
• Life Safety Inspection Report: Conducted by a certified inspector approved by the Town, at the owner's expense. This is required before the initial license is issued and 60 days before each annual renewal. The report verifies the installation and maintenance of fire extinguishers, smoke alarms, CO alarms, and posting of maximum occupancy.
• Tax Licenses:
  • Colorado Sales Tax License: Evidence of issuance is required for application completeness.
  • State Sales Tax (2.9%), Town Sales Tax (2.0%), and Rio Grande County Lodging Tax (1.9%): You must collect and remit these taxes.
• Application Fees: A $50.00 STR Application Fee and a $25.00 Business License Fee are required.

B. Rio Grande County Requirements (for properties in unincorporated areas):

• Temporary Use Permit Application for Vacation Rental.
• Liability Insurance Certificate: Active policy required.
• HOA/POA Documentation: A copy of covenants/bylaws and, if required, a letter of approval from the HOA/POA.
• Tax Compliance: Proof of paid sales and lodging taxes, or certification that a rental company (e.g., Airbnb, VRBO) will handle the tax collection.
• Life Safety Equipment: Certified fire extinguishers, smoke alarms (in each sleeping room and on each story), and Carbon Monoxide Detectors (within 15 feet of each sleeping room). An egress ladder is required for levels above the first floor.

Specific Regulations for Short-Term Rentals

Town of Del Norte:

• Owner Eligibility: The owner must have primary residency within Rio Grande County.
• Number of STRs: An owner can operate a maximum of two (2) STR properties.
• Residential Zoning Limits (RU, R1, R2): Only one STR is allowed per block. STRs in these zones are limited to renting furnished rooms or furnished portions of an owner-occupied dwelling.
• Commercial Zoning Limits (Commercial Highway and Business Districts): The number of STRs cannot exceed ten (10) each for these districts.
• Business Entity Restriction: STR permits in residential zones must be held by a natural person, not a corporation or LLC.
• Non-Transferable: STR permits are non-transferable upon the sale of the property.
• Occupancy: Maximum of eight (8) persons per dwelling unit, with a maximum of two persons per bed.
• Quiet Times: Strictly enforced starting at 10:00 PM.
• Local Representative: An owner or designated representative who lives within Rio Grande County must be available 24/7 to manage the property during any occupation.
• Postings Required: The property must prominently display the owner/representative contact information, emergency contacts, property rules (trash, parking, noise, pets), and fire evacuation directions.

Rio Grande County:

• Property Manager: The property manager (owner or designated person) must reside in Rio Grande County or a neighboring county.
• Structure Legality: STRs must be in a legally constructed dwelling. Utility rooms, garages, etc., cannot be used as sleeping areas.
• Address & Parking: A permitted driveway and a clearly posted, legal physical address are required. Guests must park on-site.
• Trash: Owners must provide regular trash removal to prevent nuisance.

Contact Information

Town of Del Norte (for properties within town limits):

• Address: Town Hall, Del Norte, CO 81132
• Phone: (719) 657-2708 (for conditional use application and general inquiries)
• Website: www.delnortecolorado.com

Rio Grande County Land Use Department (for properties outside town limits):

• Address: 925 6th Street, Room 208, Del Norte, CO 81132
• Phone: (719) 657-4003
• Website: riograndecounty.colorado.gov

Links to Source Pages

• Town of Del Norte STR Policy Document: Town of Del Norte - Short-Term Rental Use Requirements (PDF)
• Rio Grande County Vacation Rental Permit Document: Rio Grande County - Short-Term Rental Permit (PDF)

The documents clearly indicate that while short-term rentals are a permitted activity in Del Norte, they are a heavily regulated form of land use, designed to balance the economic benefits of tourism with the need to protect residential character and ensure public safety. Careful adherence to every requirement is essential for successful and legal operation.