Executive overview: Short‑term rentals are allowed in Storm Lake, but not under a standalone “short‑term rental” use. Investors can operate an STR by qualifying as a Bed & Breakfast (owner‑occupied, up to 10 units, with breakfast service, and stays limited to no more than 7 consecutive days during any one month period), or by treating the property as traditional Lodging (hotels/motels). The zoning code requires a Certificate of Zoning Compliance before occupancy and a Certificate of Occupancy per the Uniform Building Code; food service triggers state licensing requirements. Iowa’s House File 2641 constrains city ability to regulate STRs through permits/fees, but Storm Lake can still enforce zoning, building/life safety, and health rules for Lodging/Bed & Breakfast and related activities. Contact the Zoning Administrator for zoning determinations and the Iowa Department of Inspections, Appeals, and Licensing (DIAL) for state lodging/food licensing.

1) Are short‑term rentals allowed? (Explicit answer)

• Allowed path(s)
  • Bed & Breakfast (B&B) is a permitted or conditionally permitted Commercial Use Type in Storm Lake’s zoning code. It provides overnight or short‑term accommodations, usually includes breakfast, is owner‑operated, has no more than ten units, and limits guest stays to no more than 7 consecutive days during any one month period.
  • Traditional Lodging (hotels, motels, apartment hotels) is a separate Commercial Use Type.
• Important distinctions
  • A B&B must be owned and operated by the resident owner and provide breakfast; otherwise, the use typically falls under Lodging.
  • Both B&B and Lodging require zoning and building occupancy approvals before use.
  • House File 2641 restricts cities like Storm Lake from imposing new permit or fee regimes specifically on “short‑term rentals,” but it does not prevent enforcement of zoning, building/health/safety, or general business licensing, and it does not block state‑level licensing (for lodging and for food service).
• Implication for investors
  • If you plan to operate a home‑sharing model with frequent guest turnover and no breakfast, Storm Lake’s code does not list “short‑term rental” as a separate use. You should seek a zoning determination from the Zoning Administrator to confirm if a proposed home‑sharing operation must be licensed/treated as B&B or Lodging (or, if a variance/conditional use is needed). Treat the B&B parameters (≤10 units, 7‑day stay limit, owner‑operated with breakfast) as the clear allowed pathway for an STR‑type business in this market.

2) How to start an STR business in Storm Lake

Step‑by‑step process

1. Due diligence and zoning
   • Confirm the property’s zoning district and whether B&B or Lodging is permitted/conditional in that location.
   • If a proposed use does not neatly fit the defined use types, request a formal use‑type determination from the Zoning Administrator. Decisions can be appealed to the Board of Adjustment.
   • B&B must be owned and operated by the resident owner; stays limited to ≤7 consecutive days during any one month; no more than 10 units.
2. Pre‑application planning
   • Prepare a site plan or floor plan sufficient to show building footprints, access/egress, parking, and layout for guest units.
   • Identify whether food service (for B&B) will be offered; if so, prepare for state food licensing and inspections.
3. Certificates (before occupancy)
   • Obtain a Certificate of Zoning Compliance from the Zoning Administrator (indicates the proposed use complies with the Zoning Ordinance).
   • Obtain a Certificate of Occupancy from the Building Official or designee (confirms conformance with the Uniform Building Code and receipt of a Certificate of Zoning Compliance).
4. State licensing (if applicable)
   • Lodging properties (hotels/motels) require an Iowa lodging license (Iowa DIAL).
   • If food will be prepared/ served to guests, state food establishment licensing and inspections are required (Iowa DIAL).
5. Insurance
   • Carry liability and property coverage appropriate for hospitality operations; in larger Iowa cities like Des Moines, liability coverage of at least $500,000 is commonly expected for STRs. Even where not mandated in Storm Lake, investors should consider comparable coverage as a risk‑management standard.
6. Ongoing compliance
   • Maintain continuous zoning and occupancy compliance, keep records of guest stays to verify the 7‑day limit for B&Bs, and manage exterior property/maintenance standards referenced below.
   • For food service, maintain state licensing and pass health inspections; for lodging, maintain state lodging licensing.

3) Required documents, permits, licenses, and guidelines

Document/permit/license — Trigger — Issuing authority — Notes

• Certificate of Zoning Compliance — Before occupancy; use of land/building — Zoning Administrator — Confirms use aligns with zoning (e.g., B&B or Lodging).
• Certificate of Occupancy — Before occupancy; after building inspections — Building Official (designee of City Council) — Issued per Uniform Building Code; requires zoning compliance certificate first.
• Iowa Lodging License — Operating a hotel/motel/lodging business — Iowa Department of Inspections, Appeals, and Licensing (DIAL) — State‑level licensing for Lodging properties.
• Iowa Food Establishment License — Providing food to guests (e.g., B&B breakfast) — Iowa DIAL — State food safety licensing and inspections.
• Zoning/Building Plan Submittals — As needed for certificates — City of Storm Lake — Site/floor plans; building code compliance documentation.

Additional guidance

• Zoning determinations: The Zoning Administrator has authority to determine the appropriate use type; this can be appealed to the Board of Adjustment.
• Definitions and use standards: B&B requires owner operation, breakfast service, ≤10 units, and ≤7 consecutive days per month; Lodging is a separate use type (hotels, motels, apartment hotels).

4) Specific regulations for STRs in Storm Lake, Buena Vista County, and Iowa

City of Storm Lake (zoning and property standards)

• Allowed use categories: Bed & Breakfast is a Commercial Use Type with clear owner‑occupancy, breakfast, unit cap (≤10), and short‑stay parameters (≤7 consecutive days per month). Lodging is separately regulated as a Commercial Use Type.
• Certificates required: Certificate of Zoning Compliance and Certificate of Occupancy must be obtained prior to occupancy.
• Property and exterior standards (relevant for any STR/B&B/Lodging):
  • Maintain all sidewalks, walkways, stairs, driveways, and parking areas in good repair, free of hazardous conditions.
  • Keep handrails and guards securely maintained to support normal loads.
  • Keep premises and exterior property, including fence lines, free from excessive weeds or plant growth; specifically note weed growth over 12 inches is not allowed.
  • Ensure all structures, including accessory buildings (detached garages, sheds), remain structurally sound and are used solely for tenant/occupant use.
  • No inoperative or unlicensed motor vehicles may be parked or stored on the property.
  • Structures must be free from rodent harborage and infestation.
• Jurisdictional reach: Zoning applies within the corporate limits and up to two miles beyond per Chapter 414, Code of Iowa.
• Zoning consistency: Must be consistent with the City’s Comprehensive Plan; the more restrictive provision applies in case of conflicts.
• Zoning determination: Zoning Administrator decides appropriate use type; appeals go to the Board of Adjustment.

Buena Vista County (zoning context)

• The city’s zoning jurisdiction extends two miles beyond corporate limits, potentially overlapping county controls; however, Iowa Code Chapter 414 grants cities authority within that two‑mile zone, and the Storm Lake Zoning Ordinance states that in case of conflicts, the more restrictive provision applies.
• For any property within two miles of the city but outside corporate limits, investors should confirm whether the property is under city zoning, county zoning, or both; the Zoning Administrator can provide a determination.

State of Iowa

• House File 2641 (2020): Significantly restricts municipal ability to regulate STRs via permits/fees, but allows cities to regulate for public health, safety, and welfare, and to enforce zoning/building codes. It does not preempt state lodging licensing or food service licensing and inspections.
• Life safety and building: The Certificate of Occupancy process is tied to the Uniform Building Code as implemented by the city/building department.
• Lodging and food licensing: Iowa DIAL licenses lodging facilities and food establishments; B&Bs serving breakfast require food licensing.

5) Contact information (local and state)

Entity — Phone — Email — Website — Notes

• City of Storm Lake — Zoning Administrator — — stormlake.org — For zoning determinations, Certificate of Zoning Compliance; building code and Certificate of Occupancy via the Building Official.
• Board of Adjustment (City of Storm Lake) — — — stormlake.org — Appeals of zoning determinations; meets per city schedule.
• Iowa Department of Inspections, Appeals, and Licensing (DIAL) — — — dial.iowa.gov — State lodging and food establishment licensing; inspection and enforcement.

Note: Phone/email for specific Storm Lake officials are not provided in the referenced materials. Investors should contact the city through the main channels listed on stormlake.org to reach the Zoning Administrator and Building Official, and use dial.iowa.gov for state licensing forms and instructions.

6) Links to source pages

• Storm Lake Municipal Code – Zoning Ordinance (definitions, use types, certificates, property standards, jurisdiction): www.stormlake.org/DocumentView.aspx?DID=489
• Steadily – Airbnb & Short‑Term Rental Laws in Iowa (insurance norms, House File 2641 context, general municipal/state overview): www.steadily.com/blog/airbnb-short-term-rental-laws-and-regulations-in-iowa

Actionable next steps for investors

• Confirm zoning with the Zoning Administrator: Is the intended STR model recognized as B&B (owner‑operated with breakfast, ≤10 units, ≤7 consecutive days), or must it be treated as Lodging?
• Pre‑design to certificate: Submit zoning compliance and building code documentation; obtain the Certificate of Zoning Compliance and Certificate of Occupancy before hosting.
• State licensing: If operating as Lodging, obtain an Iowa lodging license; if serving breakfast, obtain food establishment licensing.
• Insurance: Secure adequate liability and property coverage; consider $500,000+ liability as a prudent baseline given larger Iowa cities’ norms.
• Operations: Enforce the 7‑day limit for B&Bs, maintain exterior standards (weeds ≤12 inches; no inoperative vehicles; structural integrity; rodent control), and document all compliance for audits or inspections.