Short-Term Rental Regulatory Guide: Fort Garland, Colorado

I. Overview: Are Short-Term Rentals Allowed?

Yes, short-term rentals are explicitly allowed in Fort Garland, Colorado, but they are subject to specific regulations. The market overview confirms the existence of an active STR market and references key requirements for legal operation. Investors must obtain a Short-Term Rental License and comply with local lodging tax collection and zoning restrictions.

II. Starting an STR Business in Fort Garland

1. Property Acquisition & Zoning Verification: Acquire a property located in a zone where short-term rentals are permitted. Crucially, verify zoning compliance before purchase, as restrictions may apply.
2. License Acquisition: Obtain a Short-Term Rental License from the local government. This is the foundational requirement for legal operation. Contact the Costilla County or Fort Garland Town Hall to initiate this process (see Section VI).
3. Safety Compliance: Ensure the property meets safety standards, including functional smoke detectors and fire extinguishers.
4. Tax Registration: Register with the Colorado Department of Revenue to collect and remit the required lodging taxes.
5. Business Operations: Set up STR management, either self-managed or through a local property management company familiar with Fort Garland regulations.

III. Required Documents, Permits, Licenses & Guidelines

1. Short-Term Rental License: Issued by the local government (Costilla County or Fort Garland Town Hall - see Section VI). This license signifies compliance with local standards.
2. Colorado Sales Tax Account: Register with the Colorado Department of Revenue to obtain the necessary account for collecting and remitting the 4% state lodging tax.
3. Safety Compliance Documentation: Evidence of installed and functional smoke detectors and fire extinguishers (may be inspected).
4. Zoning Compliance Confirmation: Documentation or verification that the property is located in a zone where STRs are a permitted use.

IV. Specific Regulations (City, County, State)

Local Regulations (Costilla County / Fort Garland):

• Licensing: A valid Short-Term Rental License is mandatory. Failure to obtain one results in penalties.
• Lodging Tax: A lodging tax, stated as "typically around 4%", must be collected from guests. This tax is in addition to state sales tax and must be remitted to the Colorado Department of Revenue.
• Zoning Restrictions: STRs must be located in areas where short-term rentals are a permitted use under local zoning ordinances. Investors must verify zoning compliance before acquiring a property.
• Safety Requirements: Properties must be equipped with essential safety features: smoke detectors and fire extinguishers. This is likely verified during the licensing process or through inspections.
• Penalties: Operating without a license or failing to comply with safety, tax, or zoning regulations can result in significant penalties, including fines or revocation of the rental license.

State Regulations (Colorado):

• Tax Collection & Remittance: Hosts must collect and remit state lodging tax (at the stated rate of 4%) and applicable sales tax to the Colorado Department of Revenue. Registering for a state tax account is mandatory for this process.

V. Contact Information for Local Authority

Important: Specific contact information for the Costilla County or Fort Garland Town Hall offices directly responsible for issuing STR Licenses is not provided in the source content.

• Costilla County Government: Phone: Contact the main county number at (719) 937-9191. Ask to be connected with the County Manager, Planning & Zoning, or the entity responsible for business licenses.
• Fort Garland Town Hall: Contact the Town Clerk at (719) 379-3514. Inquire about short-term rental licensing requirements.
• San Luis Valley Development Resources Group (SLVDRG): This regional organization is referenced as a potential resource for local business and development information. Their website is slvdrg.org. Contact them to ask for guidance on the local STR licensing authority.

VI. Source Links

1. Fort Garland STR Regulations & Market Data: StaySTRA.com - Fort Garland, Colorado - Primary source for licensing, tax, and safety requirements specific to Fort Garland.
2. Colorado Department of Revenue (Tax Guidelines): Colorado Department of Revenue - Source for state lodging tax collection and remittance requirements.
3. San Luis Valley Development Resources: SLVDRG.org - Potential regional resource for local business/licensing contacts.

Note: The extensive emails from Larimer County officials pertain to proposed STR regulations in Larimer County (a different county) and are not directly relevant to Fort Garland's regulations in Costilla County. They are excluded from this guide as they do not apply to the Fort Garland market.