Overview: STR Status in Klamath Falls

YES, short-term rentals ARE ALLOWED in Klamath Falls, OR. The city explicitly permits short-term rentals within city limits, defined as dwelling units or portions thereof rented for less than 30 consecutive days. However, operation requires obtaining both a Short-Term Rental Permit and maintaining an active City Business License. The city has established comprehensive regulations to balance diverse visitor accommodation needs while protecting residential neighborhood character and addressing community housing availability concerns.

How to Start a Short-Term Rental Business in Klamath Falls

Step-by-Step Process

1. Verify Zoning Compliance

   • Confirm your property is in an appropriate zoning district
   • Review density limitations (max 10% STRs within 250 feet of each other)
   • Ensure no more than 2 dwelling units per property contain STRs (except DB, GC, MU zones)

2. Secure Required Documentation

   • Complete STR Permit Application Packet (Revised September 2023)
   • Obtain City Business License
   • Submit all required plans and documentation

3. Pay Initial Fees

   • STR Permit Fee: $100
   • Business License Fee: $100
   • Total first-year cost: $200

4. Pass Inspections

   • City inspection required before commencement
   • Site visit coordinated during normal business hours
   • Inspection confirms bedroom count and parking availability

5. Maintain Annual Compliance

   • Renew Business License annually ($50 renewal fee)
   • Maintain active STR Permit
   • Post Good Neighbor Guidelines

Required Documents, Permits, Licenses, and Guidelines

Essential Documentation

STR Permit Application Packet must include:

• Completed application forms with all requested information
• Property owner and local operator contact information
• Property details (address, zone, legal description)
• Building type identification (SF home, ADU, duplex, etc.)
• Number of STR units and bedrooms

Required Plans:

• Floor Plan: Simple, legible plan identifying bedrooms for STR use (not required for whole-home single-family rentals)
• Site/Landscape Plan: Showing parking spaces, landscaping, and property layout
• Parking Documentation: Photos of garage interior if used for parking requirements

Required Forms:

• Signed STR Acknowledgement and Consent Form
• Completed Business License Application
• Good Neighbor Guidelines acknowledgment

Permit Requirements

STR Permit:

• Ministerial review process
• Valid for specific owner/operator (does not run with land)
• Must initiate use within 12 months or permit becomes void
• Becomes void if STR ceases for 12+ consecutive months

Business License:

• Annual renewal required (expires December 31)
• Cannot be issued for periods greater than one year
• Immediate revocation for violations with potential for reinstatement

Specific Regulations for Short-Term Rentals

City of Klamath Falls Requirements (CDO Chapter 12, Article 18.5, Sections 12.700-12.745)

Density Limitations:

• Maximum 10% of properties within 250 feet may contain STRs
• No more than two dwelling units per property may contain STRs
• Properties with more than 4 dwelling units prohibited (except DB, GC, MU zones)

Occupancy Standards:

• Maximum occupancy dictated by Oregon Building Code, Oregon Fire Code, or federal regulations
• Only approved, habitable bedrooms may be used for STRs
• No STRs in units sharing walls unless both units are STRs or owner occupies adjacent unit
• Cannot rent if any room is occupied by long-term tenant

Parking Requirements:

• Minimum 2 parking spaces required (1 can be on immediately abutting street)
• Additional space required per STR bedroom above 3 bedrooms
• Spaces must be minimum 19 feet deep × 9 feet wide
• Must be paved with asphalt, concrete, or approved alternative
• Garage may be used with interior photo proof of availability
• On-street parking counts toward requirements if immediately fronting property

Landscaping Standards:

• Minimum 50% vegetative cover required in front setbacks and street-visible areas
• Xeriscaping or decorative zeroscaping acceptable alternatives
• Gravel prohibited as landscaping material (except footpaths)
• All landscaping must meet CDO Section 14.425 standards
• Dead/destroyed landscape elements must be promptly replaced

Behavioral Requirements:

• Good Neighbor Guidelines must be posted conspicuously in each STR
• Guidelines address noise, lights, fire safety, vehicle traffic (max 10 trips per day), property maintenance, garbage disposal, parking, and pet management

Prohibited Uses:

• Recreational vehicles, travel trailers, tents, or temporary shelters cannot be used in conjunction with or as STRs

Operational Requirements

Transfer Restrictions:

• Permits and licenses are specific to owner/operator
• Use terminates with property sale/transfer
• New owner/operator must reapply

Inspection Protocol:

• Pre-commencement inspection for compliance verification
• Prescribed schedule inspections during operation
• Conducted during normal business hours with reasonable notice

Abandonment Rules:

• Use becomes void if STR ceases for 12+ months
• Failure to maintain active business license constitutes abandonment

Compliance Timeline

• Extended compliance deadline: September 30, 2024
• All existing STRs must comply by this date
• New applications processed year-round

Contact Information

Primary Authority

City of Klamath Falls Development Services Department

• Address: 226 S. 5th Street, Klamath Falls, Oregon 97601
• Phone: (541) 883-4950
• Email: devservices@klamathfalls.city
• Website: www.KlamathFalls.city

Additional Contacts

Media Inquiries:

• Phone: (541) 883-5316
• Email: ckfpublicinforequest@klamathfalls.city

Planning Division Assistance:

• Available for application guidance
• In-person consultations at Development Services office
• Phone and email support during business hours

Source Pages

1. City STR Application Packet: klamathfalls.city/DocumentCenter/View/2648/Short-Term-Rental-Application-Packet
2. STR Permit Reminder Press Release: www.klamathfalls.city/DocumentCenter/View/2978/6-27-2024---Press-Release---Short-Term-Rental-Permit-Reminder

Important Notes for Investors:

• The STR permit and business license are non-transferable and expire upon property sale
• Annual renewal of business license ($50) required in addition to initial $200 investment
• Strict enforcement with immediate license revocation for violations
• Good Neighbor Guidelines compliance is mandatory and enforceable
• Property must demonstrate continuous operation to maintain permit validity

This regulatory framework represents a balanced approach allowing STR investment while preserving neighborhood character and housing availability in Klamath Falls.