Executive Overview: Are Short-Term Rentals Allowed in Potosi?

Short-term rentals (typically rentals for fewer than 30 days) are not explicitly prohibited in the available Potosi municipal code documents provided. The City’s ordinances regulate residential occupancy, minimum housing standards, building safety, occupancy permits, and certain property conditions, but do not contain a dedicated short-term rental licensing or ban ordinance in the materials provided.

• Allowability: The documents provided do not establish a ban on short-term rentals. That said, the City requires a Residential Occupancy Permit (ROP) any time a vacant dwelling or unit is initially occupied (owner or tenant), with an inspection and $15 fee prior to occupancy (see Section 5-44). If a STR unit is newly let or changes occupants, a permit would typically be required.
• Zoning: You must confirm that STR use is a permitted use in your property’s zoning classification under Chapter 26 (Planning and Zoning). The provided document does not include that chapter; obtain and review it before operation.
• Compliance: STRs must comply with City minimum housing standards (sanitation, structural safety, egress, heat/light, plumbing, lead ban, etc.), dangerous building rules, occupancy rules, and any applicable state-level requirements (e.g., transient guest taxes).
• Action: Before listing, secure ROP, ensure building/zoning compliance, and consult with City planning and the building department on zoning approval.

How to Start a Short-Term Rental Business in Potosi

1. Confirm Zoning and Property Eligibility

• Obtain Chapter 26 (Planning and Zoning) and confirm that transient lodging or short-term rental is a permitted use in your zoning district.
• Verify compliance with any dimensional standards (lot coverage, setbacks, height, parking).

2. Pre-Inspection and Minimum Standards

• Contact the Building Inspector to schedule a pre-inspection under Chapter 5 (Articles I and II).
• Address any deficiencies related to sanitation, structural safety, egress, plumbing, heat/light, windows, water/sewer connections, and facilities. The City has adopted the International Building Code (IBC) with local modifications.

3. Apply for Residential Occupancy Permit

• Submit a completed application to the City Clerk with the Building Inspector’s inspection report confirming compliance with Chapter 5 minimum standards.
• Pay the $15 occupancy permit fee.
• ROP is required before occupancy; for existing owner-occupied property converting to rental, ROP is required at the first tenant change (Section 5-44).

4. Lead Ban Compliance

• Ensure water service plumbing meets “lead-free” standards (solder/flux ≤ 0.2% lead; pipes/pipe fittings ≤ 8.0% lead). Lead-base materials in new construction or modifications after January 1, 1989 are prohibited. Water service may be discontinued if lead-base materials are present (Article IV, Sections 5-77 to 5-79).

5. Building Permits and Construction (if needed)

• If you plan renovations, additions, or structural work, secure building permits. The City has adopted the IBC with local plan review fee schedules and penalties (Section 5-28).
• Fees vary by project type and cost; commercial plan review is the greater of $500 or 8.5 cents per square foot.

6. Licensing and Taxes

• Sales/Transient Guest Tax: Missouri requires sales tax and transient guest tax on short-term accommodations. Confirm registration with the Missouri Department of Revenue. The provided documents do not list a City lodging tax; if applicable, confirm with City Clerk/Treasurer.
• Business License: The provided documents do not detail a citywide business license. If the City requires one for STRs, obtain it prior to operation.

7. Insurance and Legal

• Obtain appropriate liability and property insurance for STR operation.
• Comply with all non-discriminatory housing practices (Fair Housing) in guest selection and operations (Article I).

Required Documents, Permits, Licenses, and Guidelines

Residential Occupancy Permit (ROP)

• Issued by the City Clerk after inspection confirming compliance with Chapter 5 (minimum housing standards).
• Required before new occupancy of any vacant dwelling, unit, rooming unit, or temporary housing; fee $15.
• If the property is owner-occupied, ROP is required at the first change in occupant (Section 5-44).
• Inspection and certificate must come from the Building Inspector; other governmental inspections do not substitute (Section 5-44(g)).

Building Permits

• Required for construction, enlargement, alteration, or any work regulated by the IBC (adopted by City).
• Plan review fees are set by local schedule; penalties up to $500 and/or 30 days confinement for code violations (Section 5-28).

Swimming Pool Permits and Safety (if applicable)

• Pools deeper than 24 inches or 250+ sq ft require permits and compliance with safety and construction standards (Article III).
• Public and private pools have specific enclosure, barrier, drainage, water supply, and equipment requirements; obtain permit before installation (Section 5-63).

Lead-Free Plumbing Certification

• Required for drinking water plumbing; ensure lead-free materials (<0.2% lead in solder/flux; ≤8% lead in pipes/fittings).
• Service may be discontinued if lead-base materials are used in new construction/modifications post-1/1/1989 (Article IV).

Fair Housing Compliance Documentation

• Maintain policies and training for non-discrimination on protected bases (race, color, religion, sex, handicap, familial status, national origin).
• Administration and enforcement mechanisms are provided; violations subject to fines up to $100 and/or 3 days confinement, or injunction (Article I, Section 5-6).

Zoning and Use Approval

• Verify permitted use under Chapter 26 (Planning and Zoning). Obtain any required use permits, parking standards, or special exceptions.

State-Level Filings

• Sales/Transient Guest Tax registration and filings with the Missouri Department of Revenue.

Business License (if applicable)

• Confirm with the City Clerk whether a city business license or STR-specific license is required.

Specific Regulations: City/County/State

City of Potosi

• Fair Housing: Non-discrimination in rental terms, advertising, and financing; administration via Fair Housing Committee; enforcement by City Attorney; penalties up to $100 and/or 3 days (Article I).
• Minimum Housing Standards: Sanitation (rubbish/garbage, rodent control, plumbing), structural conditions (stairs, doors, egress), heat/light (70°F capability; lighting in public halls), owner/occupant responsibilities (multiple dwellings garbage cans, extermination), general improvements safety (Article II, Division 1).
• Additional Standards: Minimum floor area (single/two-family 700 sq ft; multiple 600 sq ft), bedroom area (≥70 sq ft per single occupant; ≥50 sq ft per occupant in multi-occupant rooms), prohibition of access-only-through sleeping rooms, ban on cellar/basement/basement building use as dwelling units, light/ventilation standards (windows and operable openings), structural weather-tightness, sanitary facilities (bathroom/shower, kitchen sink, flush toilet, lavatory with hot/cold water), water-heating facilities, and approved water/sewer system (Article II, Division 1).
• Dangerous Buildings: Declared public nuisances; Building Commissioner duties (inspect, order vacate/repair/demolish), notice requirements, hearing and city council order process, special tax bills and liens for non-compliance, enforcement (Sections 5-32 to 5-44).
• Occupancy Permits: ROP required prior to new occupancy; inspection certificate from Building Inspector; fee $15; owner/occupant obligations; penalties up to $500 per violation; each day a violation continues may be a separate offense (Sections 5-44 and 5-46).
• Building Code Adoption: IBC adopted; local modifications include penalties and fee schedules; plan review fees and punishments for offenses; exemptions for one- and two-family residential except where IBC specifically applies (Section 5-28).
• Swimming Pools: Permits required; detailed safety, enclosure/barrier, structural, water supply, drainage, and equipment standards (Article III).
• Lead Ban: “Lead-free” plumbing required; service discontinuation possible for lead-base materials post-1/1/1989 (Article IV).
• Zoning: Chapter 26 referenced for land use and dimensional standards; obtain and review for STR compliance (cross-referenced, not provided).

County (Washington County)

• The provided materials do not include Washington County regulations applicable to STRs. Confirm with Washington County government for any additional requirements (e.g., county health orders, zoning outside city limits).

State of Missouri

• Building Codes: City has adopted the IBC; ensure compliance with state-adopted versions (e.g., ICC codes) if applicable to your project type.
• Transient Guest Tax/Sales Tax: Lodging providers must collect and remit state sales tax and any applicable transient guest taxes to the Missouri Department of Revenue.
• Lead Ban: Aligns with state restrictions; ensure lead-free materials in drinking water plumbing as specified.

Key Code Sections to Quote in a Compliance Checklist

• ROP: “No owner shall occupy or let to any other occupant occupy any vacant dwelling, dwelling unit, rooming unit, or temporary housing unless … the owner has obtained a residential occupancy permit… The City Clerk shall not issue … unless such premises have been inspected by the building inspector and he/she has certified… A fee of fifteen dollars ($15.00) shall be collected… Each day a violation exists shall constitute a separate offense” (Sections 5-44, 5-46).
• Minimum Standards (Selected): Sanitation (rodent screens, rubbish/garbage storage, plumbing maintenance), structural safety (stairs, doors, egress), heat capability (70°F), and responsibilities of owners/occupants (garbage cans for multiple dwellings, extermination, plumbing care) (Article II, Division 1).
• Additional Minimum Standards (Selected): Floor area minimums (700/600 sq ft), bedroom area minimums (≥70 sq ft single; ≥50 sq ft per occupant multi), prohibition on cellar/basement/basement building use as dwelling units, light/ventilation standards (windows with minimum area and operable openings), and sanitary facilities with approved water/sewer connections (Article II, Division 1).
• Dangerous Buildings: Building declared public nuisance if it meets defined criteria; notice, order, hearing, and demolition/abatement process; special tax bill and lien for non-compliance; penalties (Sections 5-35 to 5-43).
• Building Code Adoption and Penalties: IBC adopted; offense punishable by fine up to $500 and/or confinement up to 30 days (Section 5-28).
• Swimming Pools: Permit requirement; detailed safety/enclosure/barrier and water supply requirements (Article III).
• Lead Ban: Lead-free plumbing definition and enforcement; service discontinuation until lead-free (Article IV).
• Fair Housing: Non-discrimination; penalties; injunction remedy (Article I).

Contact Information

Local Authority (City of Potosi)

• City Hall/Building Department: Use the City’s official website at potosicity.com to obtain current phone, email, and office hours. Request the following:
  • Building Inspector/Building Commissioner for inspection and ROP guidance.
  • City Clerk for Residential Occupancy Permit application and fee payment.
  • Planning/Zoning (Chapter 26) for permitted use determinations and any STR-specific requirements.
• Address (for official correspondence, verify current address via the website):
  • City of Potosi
    • City Hall
    • Potosi, Missouri (zip and street to be confirmed via the City’s website)

State Authority (Missouri)

• Missouri Department of Revenue (Sales/Transient Guest Tax registration): dor.mo.gov

Source Pages

• Potosi Municipal Code, Chapter 5: Buildings (includes Fair Housing, Minimum Housing Standards, Dangerous Buildings as Nuisances, Occupancy Permits, Swimming Pools, Lead Ban, Building Code Adoption): potosicity.com/wp-content/uploads/05-Chapter-five.pdf
• Tiny Home Regulations in Missouri (contextual state-level; not Potosi-specific): www.zookcabins.com/regulations/tiny-home-regulations-in-missouri

Practical Notes for STR Investors

• Verify zoning first: Chapter 26 (Planning and Zoning) is not included here; obtain it directly from the City to confirm STR use is allowed in your district and to meet any parking or density standards.
• ROP is pivotal: The City requires an inspection and permit before new occupancy. Budget time for repairs to achieve full compliance with minimum housing standards.
• Dangerous Buildings: The City has a strong enforcement framework. Ensure your property does not meet any “dangerous building” criteria and promptly address any structural or safety deficiencies.
• Pools add complexity: If you plan to operate with a pool, be prepared for permit and safety compliance under Article III.
• Lead ban: Even if you are not doing plumbing work, verify that prior work did not use prohibited lead-base materials; non-compliance can result in water service discontinuation.
• Insurance and fair housing: Align guest policies and marketing with Fair Housing requirements to avoid enforcement actions or litigation.

This guide relies exclusively on the provided Potosi documents and contextual Missouri-wide references. Where items (e.g., zoning specifics, business licensing, or City contact details) are not included in the provided materials, investors should contact the City directly using the Potosi City website listed above to obtain current information and forms.