Overview: Are Short-Term Rentals Allowed in Monroe, UT?

YES — Short-term rentals are explicitly allowed in Monroe, Utah, subject to municipal licensing and regulatory requirements.

Monroe City has established a clear regulatory framework for short-term rentals. The city charges an annual license fee of $100.00, with payment due by January 31st each year. The city has also amended its land use ordinances to specifically define and regulate short-term rentals as conditional uses within various zoning districts. Monroe defines short-term rentals as accommodations for 29 days or fewer.

How to Start a Short-Term Rental Business in Monroe, UT

Step 1: Initial Planning and Zoning Verification

• Verify Zoning Eligibility: Contact Monroe City Planning & Zoning to confirm your property is in a zone that permits short-term rentals as a conditional use
• Review Site Requirements: Properties must meet access, parking, and setback requirements typical of residential zoning
• Understand Separation Requirements: If your rental will be on a flag lot configuration, ensure you have the required 30-foot access easement and 90-foot turnaround radius

Step 2: Licensing and Permits

• Obtain Short-Term Rental License: Required annual license ($100 fee, due January 31st)
• Apply for Business License: Standard business license ($25, due March 1st)
• Conditional Use Permit: May be required depending on your zoning district and specific property configuration

Step 3: Infrastructure and Safety Considerations

• Septic System Compliance: If creating a separate rental unit from your primary residence, ensure compliance with health department septic requirements
• Separate Utilities: Properties with divided lots will require separate utility connections
• Fire and Emergency Access: Ensure emergency responders can access your property
• Parking Adequacy: Provide sufficient parking as required by zoning regulations

Step 4: Registration and Ongoing Compliance

• Annual License Renewal: Renew your STR license by January 31st each year
• Business License Renewal: Renew your general business license by March 1st each year
• Code Compliance: Maintain ongoing compliance with all city ordinances and health department regulations

Required Documents, Permits, Licenses, and Guidelines

Licenses Required:

1. Short-Term Rental License ($100.00 annually, due January 31st)
2. Business License ($25.00 annually, due March 1st)
3. Conditional Use Permit (if required by zoning)
4. Transfer of License ($3.00 if applicable)

Guidelines and Standards:

• Maximum Rental Period: 29 days (any rental longer than 29 days is considered a long-term rental and is not subject to STR regulations)
• Access Requirements: 30-foot access easement minimum
• Turnaround Requirements: 90-foot turnaround radius for flag lots
• Zoning Compliance: Short-term rentals must be conditionally permitted in your specific zoning district
• Health Department Compliance: All septic and sanitation systems must meet Sevier County Health Department standards

Documents to Prepare:

• Property deed or lease agreement
• Site plan showing access, parking, and property boundaries
• Septic system compliance documentation (if applicable)
• Proof of liability insurance
• Emergency contact information
• Local contact person information for guests

Specific Regulations for Short-Term Rentals

City-Level Regulations (Monroe City):

• Definition: Short-term rentals are defined as accommodations for 29 days or fewer
• Licensing: Annual STR license required ($100)
• Zoning: STRs are conditional uses in multiple zoning districts (Chapters 10-15 as amended)
• Land Use Compliance: Must comply with Monroe City Land Use and Development Code Regulations
• Flag Lot Restrictions: Special access and turnaround requirements apply to properties with limited street frontage
• Separate Lot Requirements: If splitting property for STR operation, separate utility connections are required

County-Level Regulations (Sevier County):

• Health Department Oversight: All septic systems must meet Sevier County Health Department standards
• Environmental Compliance: Properties must comply with county environmental regulations
• Building Permits: All construction or significant modifications require proper building permits

State-Level Regulations (Utah):

• Transient Room Tax: State tax may apply to short-term rental income
• Business Registration: May require state business registration depending on structure
• Health and Safety: Must comply with state health and safety regulations
• Fire Codes: Must meet state fire safety requirements

Key Regulatory Framework and Recent Changes

Monroe City has actively developed its STR regulatory framework:

• August 2020: City Council conducted public hearings to add STR definitions to city code and establish them as conditional uses
• February 2023: Planning Commission reviewed and continues to refine STR policies
• Ongoing Evolution: City continues to monitor and adjust STR regulations as needed

Notable Case Studies from Monroe:

1. Airbnb Rental Proposal (2021): Property owner at 345 E 400 S was required to split lot, provide 1,400 square feet with 30-foot road access, and ensure 90-foot turnaround
2. RV Park Cabins: Monroe Canyon RV Park received approval for cabin rentals with condition that they be used exclusively for short-term rentals (29 days or less)

Contact Information

Primary Contacts:

Monroe City Hall

• Address: 10 North Main Street, Monroe, UT 84754
• Phone: (435) 527-4621
• Hours: Monday-Thursday 9:00 AM - 5:00 PM, Friday 9:00 AM - 1:00 PM

Monroe City Planning & Zoning

• Phone: (435) 527-4621
• Email: monroecity@msn.com
• Contact: City Planning Commission

Monroe City Recorder

• Phone: (435) 527-4621
• Email: monroecity@msn.com
• Contact: Allison Leavitt, City Recorder

Sevier County Health Department

• Contact for septic and health compliance matters
• Phone: Contact through county offices for current information

Monroe City Mayor

• Contact: Johnny C. Parsons

Important Notes:

• All official city communications are posted on the city website: monroeut.gov
• City meetings are conducted at City Hall, 10 North Main Street
• ADA accommodations available with 24-hour advance notice
• Electronic meeting participation may be available per Utah Code 52-4-207

Links to Source Pages

• Monroe City Official Website
• Monroe City Planning Commission Agenda (February 21, 2023)
• Monroe City STR Policy Discussion
• Monroe City Fee Schedule Resolution 11-04-2024
• Monroe City Planning Commission Minutes (October 19, 2021)
• Monroe City STR Regulatory Discussion
• Utah Public Notice - Monroe City Council Agenda (August 25, 2020)

Investment Recommendation: Monroe, Utah presents a favorable environment for short-term rental investment, with clear regulatory pathways and established licensing procedures. The city has proactively developed STR regulations and continues to refine them, indicating municipal support for the industry within appropriate safeguards. Investors should engage early with Planning & Zoning staff to ensure property-specific compliance and successful licensing.