Overview: Are Short‑Term Rentals Allowed in Lake Nebagamon?

Yes—short‑term rentals (STRs) are allowed in Lake Nebagamon, Wisconsin, but they are regulated under a mix of local zoning permissions and statewide licensing/tax rules. There is no separate “STR ordinance” specific to the Village. Instead, STR use is framed by the Village’s zoning ordinance and state law.

• Zoning: STR‑type lodging uses are addressed in the Village’s zoning ordinance:
  • Bed & breakfast establishments are defined and must meet Wisconsin statutory criteria (see State regulations below).
  • “Rental cabins or resorts” are authorized by conditional use in several districts (RR‑1, R‑3; and “motels and tourist homes” are permitted in C‑1). This is the primary pathway for cabin/vacation home rentals marketed to short‑term guests.
• Licensing and taxation: Any lodging offered for rent to tourists/short‑term guests for more than 10 nights per year requires a Tourist Rooming House license from the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP). Hosts must collect and remit Wisconsin sales tax and Douglas County room tax on all bookings.

In short: STRs are permitted where your zoning allows “rental cabins or resorts,” or if your operation qualifies as a Bed & Breakfast under Wisconsin law. You must be licensed and tax‑compliant if you exceed the 10‑night threshold. Sources: GoSummer market page and Douglas County STR page; Village zoning ordinance (definitions and conditional uses).

How to Start a Short‑Term Rental Business in This Market

1. Confirm zoning and land‑use eligibility

• Review the zoning of your parcel:
  • RR‑1 Residential‑Recreation District: “Rental cabins or resorts” are a conditional use; approval required.
  • R‑3 Multi‑Family Residential: “Rental cabins and resorts” are a conditional use.
  • C‑1 Commercial District: “Motels and tourist homes” are permitted uses (without need for a conditional use).
  • Shoreland Protection (SP overlay): Any use must also comply with shoreland provisions.
• If operating a Bed & Breakfast, ensure you meet the state definition and local dimensional standards.
• Check HOA/condo rules or private covenants if applicable. Even if legal, HOAs may restrict STRs.

2. Secure required approvals (if needed)

• Conditional Use Permit (CUP):
  • For “rental cabins or resorts” in RR‑1 or R‑3, file a CUP application with the Village (see Administration section below). Allow time for public notice and Village Board action.
• Building and land‑use permits:
  • Land Use Permits are required for new structures, additions, and exterior changes that alter footprint, and for signs. Confirm if interior conversions require permits (not explicitly covered in the ordinance excerpts provided).
• Shoreland compliance (SP overlay):
  • If within shoreland setback/height rules, obtain approvals per Section 18 of the Village Zoning Ordinance.

3. Obtain a Tourist Rooming House license (DATCP)

• Required if you rent lodging for more than 10 nights in a year.
• Apply to Wisconsin DATCP (online portal available). Keep your license on file at the property and renew as required by state rules.

4. Register for taxes and collect/remit

• Wisconsin sales tax: Register with Wisconsin DOR; collect state sales tax on all taxable rentals.
• Douglas County room tax: Register and file with the County; collect and remit the county room tax per Douglas County schedule and filing cadence.

5. Align operations with safety/occupancy standards

• Bed & Breakfasts must meet Wisconsin statutory standards (occupancy limits, owner on‑site presence, and breakfast service rules as defined in statute).
• For non‑B&B rentals (cabins/resorts), follow any applicable occupancy, safety, and sanitation requirements that apply under state statutes for lodging operations.

6. Finalize listing and guest management

• Ensure listing descriptions reflect zoning use (cabin/resort rather than “hotel”).
• Maintain compliance records (license, tax filings, CUP, and any inspections) on‑site and accessible for review.

Required Documents, Permits, Licenses, and Guidelines

Local requirements (Village of Lake Nebagamon)

• Conditional Use Permit (for “rental cabins or resorts” in RR‑1 or R‑3).
• Land Use Permit (for structures, additions, signs; Village Administrator).
• Access driveway permit (from the agency with jurisdiction of the highway/road).
• Shoreland Protection (SP) compliance (if within shoreland setbacks, overlays, or height rules).
• Zoning compliance letters (if requested by lenders or insurers).

State requirements (Wisconsin)

• Tourist Rooming House license (DATCP) if renting >10 nights/year.
• Sales tax registration and monthly/quarterly filing (Wisconsin DOR).
• Compliance with Bed & Breakfast definitions and standards (Wis. Stats. § 254.61), if operating as a B&B.

County requirements (Douglas County)

• Room tax registration and periodic filings (Douglas County Treasurer/Finance).

Other compliance

• HOA/condo board rules (if applicable).
• Property insurance appropriate for STRs (commercial vs. homeowner policy).
• Recordkeeping: keep your DATCP license, tax correspondence, CUP, permits, and inspection records at the property and readily available.

Specific Regulations for Short‑Term Rentals (City/County/State)

Village of Lake Nebagamon (zoning)

• Permitted/conditional lodging uses:
  • Bed & Breakfast establishment (defined; must meet statutory criteria).
  • Rental cabins or resorts: conditional use in RR‑1 and R‑3; “motels and tourist homes” permitted in C‑1 (Downtown Commercial). “Resorts” are defined as a group of residential units maintained for visitor rental.
• Administration:
  • Land Use Permits required for structures and signs; applications filed with Village Administrator.
  • Variances/appeals: Board of Appeals.
  • Amendments: Village Board (per Sections 12 and 13).
• Shoreland Protection (SP overlay):
  • Applies to lands within 1,000 feet of lakes/flowages and 300 feet of rivers/streams (or floodplain, whichever is greater).
  • All shoreland development must meet setback, height, vegetation, and grading rules in Section 18.
• Dimensional and district standards:
  • R‑1/R‑2/RR‑1/R‑3 and C‑1 include specific lot sizes, setbacks, and height limits; see Section 3 zoning schedule.
  • Building and site plan requirements for townhouses (Section 3.16) and general dimensional standards (Section 4).

Douglas County

• Douglas County regulates Tourist Rooming Houses/short‑term rentals at the county level; consult the county’s STR/Tourist Rooming House resource page for permits, local room tax details, and enforcement practices.

State of Wisconsin

• Tourist Rooming House license (Wis. Stats. ch. 97; DATCP):
  • Required if lodging is rented to tourists/transients for more than 10 nights per year.
  • Definition includes lodging with or without meals; standards differ by type (e.g., B&B has specific owner presence, room limits, and breakfast requirements).
• Sales tax:
  • STR rentals are generally subject to Wisconsin sales tax.
• Bed & Breakfast statute (Wis. Stats. § 254.61):
  • 8 or fewer rooms; no more than 20 total tourists/transients; breakfast provided only to renters; owner’s personal residence; owner must occupy during rentals; originally built/occupied as single‑family; structural additions limitations apply.
• Other statewide rules:
  • Safety, sanitation, and occupancy rules may apply depending on lodging type and capacity.

Contact Information (Phone, Email, Website)

Local authority in charge of STRs (Lake Nebagamon)

• Zoning Administration (Village Administrator):
  • Phone: (715) 374‑2357
  • Email: admin@villagelakenebagamon.wi.gov
  • Website: villagelakenebagamon.wi.gov
• Village Board (for ordinances/CUPs):
  • Phone: (715) 374‑2357
  • Email: admin@villagelakenebagamon.wi.gov
  • Website: villagelakenebagamon.wi.gov

State of Wisconsin (licensing and tax)

• Wisconsin DATCP — Tourist Rooming House licensing:
  • Phone: (608) 224‑5012
  • Website: datcp.wi.gov
• Wisconsin Department of Revenue — sales tax:
  • Phone: (608) 266‑2776
  • Website: revenue.wi.gov

Douglas County (room tax and local regulations)

• Douglas County (STR/Tourist Rooming House resource):
  • Phone: (715) 395‑1385 (main)
  • Website: douglascountywi.org/1064/Short-Term-Rental-Tourist-Rooming-House
• County Room Tax (Treasurer/Finance):
  • Check the county STR page or contact the Treasurer’s office for registration and filing instructions.

Links to Source Pages

• Vacation Rental Management in Lake Nebagamon (market overview and licensing note): www.gosummer.com/vacation-rental-management/lake-nebagamon-wisconsin
• Douglas County Short‑Term Rental (Tourist Rooming House) resource page: www.douglascountywi.org/1064/Short-Term-Rental-Tourist-Rooming-House
• Village of Lake Nebagamon Zoning Ordinance (definitions, conditional uses, shoreland provisions): villagelakenebagamon.wi.gov/wp-content/uploads/2018/09/CURRENT-ZONING-ORDINANCE-1.pdf

Notes and cautions

• This guide synthesizes publicly available zoning and statewide licensing/tax rules. It is not legal advice. Zoning and permitting can be fact‑specific; consult the Village Administrator or a local land‑use attorney before investing.
• For “rental cabins or resorts” in RR‑1 or R‑3, CUP timing and conditions vary; early coordination with the Village is recommended.
• STRs in shoreland areas must meet additional dimensional and environmental rules; confirm setbacks and structure standards with the Village before development.