Executive Overview: Are STRs Allowed in Sturgeon Bay, WI?

Yes. Short-term rentals—regulated as “Tourist Rooming Houses” (TRH)—are allowed in the City of Sturgeon Bay, subject to obtaining the required state, county, and city permits and licenses, and then complying with ongoing filings and inspections. All transient rentals (rentals for fewer than 30 days) in Sturgeon Bay must be permitted and must collect and remit applicable room and sales taxes. In short: renting is permitted, but compliance is mandatory and multi‑layered. [Source: City TRH pages and Door County Tourism Zone Commission (DCTZC) materials] [1][3][5]

How to Start a Short-Term Rental Business in Sturgeon Bay: Step-by-Step

The process is straightforward but must be completed in the right order. You may not advertise or commence business until all required permits are active.

1. Obtain a DCTZC Lodging Permit (Door County)

• Submit the Door County Tourism Zone Commission lodging permit application and follow the instructions. The DCTZC permit is free and has no renewal expiration, but you must report room tax monthly during your operating months and keep your contact information up to date. [Source: DCTZC Getting Started Checklist] [4]

2. Obtain the State DATCP License (Tourist Rooming House)

• Contact the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) to schedule an inspection and secure your Tourist Rooming House license. The license is renewed annually and is a prerequisite for legal STR operation. [Source: DATCP TRH program] [7]

3. Set Up Wisconsin Sales Tax and PRAT (if applicable)

• Register a sales tax account with the Wisconsin Department of Revenue (DOR). If your property is in Sister Bay (only), you must also register to collect and remit the 0.5% Premier Resort Area Tax (PRAT). [Source: DOR website; PRAT note] [6][3]

4. Apply for the City of Sturgeon Bay TRH License (Tourist Rooming House)

• Complete the City’s TRH application, pay the fee, and receive your TRH license before advertising or renting. [Source: City TRH Application and FAQs] [2][1]

5. Comply with POWTS (Sanitation) Limits and Zoning

• Confirm that your onsite wastewater treatment system (POWTS) capacity supports the number of guests you plan to host. Occupancy may be limited by septic/holding tank ratings. Verify zoning allows TRH at your property. [Source: POWTS guidance and TRH requirements] [3][5]

6. Room Tax Reporting

• After obtaining your DCTZC permit number, file monthly room tax reports for the operating months on your permit, even if you have no rentals. Report and payment are due by the last day of the following month. You can file online. [Source: DCTZC Getting Started Checklist and Permit Holder FAQ] [4][5]

7. Advertising and Listing Compliance

• List your STR only after all permits are active. Display your DCTZC permit number in your online listings and clearly disclose taxes (room tax and state sales tax) to guests—either inclusive or as an add‑on. [Source: DCTZC Getting Started Checklist and Permit Holder FAQ] [4][5]

Permit Holder Sequence Summary (Critical Path)

• DCTZC permit → DATCP inspection/license → City TRH license → activate listings and collect taxes → file monthly room tax returns. [Sources: DCTZC and DATCP] [4][7]

Required Documents, Permits, Licenses, and Guidelines

The following permits and steps are required or typical for Sturgeon Bay STRs.

Required/Commonly Required Documents

• DCTZC Lodging Permit Application and Instructions (Door County). [Source: DCTZC] [4]
• DATCP Tourist Rooming House License (state-issued after inspection). [Source: DATCP] [7]
• City of Sturgeon Bay Tourist Rooming House Application and fee. [Source: City] [2]
• Wisconsin Department of Revenue sales tax account (online registration). [Source: DOR] [6]
• TRH FAQ and City TRH guidance (process/expectations). [Source: City and DCTZC] [1]
• POWTS (septic) confirmation/verification for occupancy limits (as applicable). [Source: Door County Sanitarian guidance] [3]

Key Fees and Cadence

• DCTZC permit: No fee; active until deactivated. [4]
• DATCP license: Annual renewal; inspect and obtain license before renting. [7]
• City of Sturgeon Bay TRH license: $100 per year; license expires June 30 annually; annual renewal required. [1][2]
• Room tax reporting: Monthly for operating months; payment due last day of following month. [4][5]

Insurance and Business Registration

• Consider general liability coverage appropriate for a lodging business. Wisconsin law generally requires a federal EIN or an LLC for tax administration; consult your tax advisor and the DOR for specifics. [3][6]

Specific Regulations: City, County, and State

Sturgeon Bay’s STR regime blends city, county, and state requirements.

State of Wisconsin

• All transient rentals under 30 days require appropriate licensing and compliance with taxation. DATCP oversees TRH licensing and inspection; the Department of Revenue administers state sales tax and, where applicable, PRAT (Sister Bay only). [Sources: DATCP, DOR, PRAT] [7][6][3]

County (Door County) and Tourism Zone

• The Door County Tourism Zone Commission administers room tax and lodging permits. You must report room tax monthly for your operating months. Advertising or operation before permitting can trigger penalties and tax liability for prior rentals. [Sources: DCTZC Checklist and FAQ] [4][5]

City of Sturgeon Bay

• STRs are regulated under the Tourist Rooming House (TRH) provisions in Chapter 9.05 of the Municipal Code (Ordinance No. 1315-0316). You must obtain a TRH license from the City before renting. The license fee is $100, and licenses expire June 30 each year (annual renewal). The City requires owner/operator or management company presence within a 90‑minute drive of the rental. Licenses are one‑year terms. More than 100 active STRs exist in the city. [Sources: TRH Ordinance and Code; TRH FAQs; City TRH Application; Pulse article on ordinance updates] [1][2][8][9]

Recent Regulatory Update (2024)

• In January 2024, Sturgeon Bay amended the TRH code to clarify permissible owner/manager proximity (within 90 minutes’ drive) following a legal challenge. The city also standardized TRH license terms to annual renewals with the $100 fee maintained. Licenses expire June 30 each year. [Source: Door County Pulse report] [9]

Ongoing Compliance Expectations

• Monthly room tax reporting (even with zero revenue) for operating months listed on your permit. [5]
• DATCP license renewal and any required inspections. [7]
• Display your DCTZC permit number in online listings; comply with taxation disclosures. [4][5]
• Maintain guest counts consistent with POWTS capacity. [3]

Contact Information for Local STR Authorities

Use the following contacts for permitting, licensing, tax, and sanitation issues.

City of Sturgeon Bay – TRH Licensing and Zoning

• City Planner/Zoning Administrator: (920) 746‑2907; email available via City TRH page. [1][2]
• City Department phone: (920) 746‑2900. [2]
• Mailing Address: City of Sturgeon Bay, 421 Michigan Street, Sturgeon Bay, WI 54235‑2217. [2]

Door County Tourism Zone Commission (Room Tax and Lodging Permits)

• Phone: (920) 854‑6200
• Email: info@doorcountytourismzone.com
• Office hours: Monday–Friday, 8:00 AM–4:00 PM (by appointment). [5][4]
• Office location: 185 E Walnut St, Sturgeon Bay, WI 54235.
• Mailing address: PO Box 55, Sister Bay, WI 54234. [5][4]

Wisconsin Department of Revenue (DOR)

• Phone: (608) 266‑2776
• Email: DORBusinessTax@wisconsin.gov
• Register for sales tax and, if applicable, PRAT (Sister Bay only). [6][4]

Wisconsin DATCP – Tourist Rooming House Licensing

• Phone: (608) 224‑4923
• Email: datcpdfslicensing@wi.gov
• Schedule inspections and maintain annual license. [7][4]

Door County Sanitarian (POWTS/Septic)

• Email: sanitarian@co.door.wi.us
• Confirm septic/holding tank occupancy limits and any related compliance. [3]

Links to Source Pages (Important)

• City of Sturgeon Bay – Tourist Rooming House (TRH) FAQ and application: doorcountytourismzone.com/wp-content/uploads/2025/07/FAQ-on-TRH-2025.pdf; doorcountytourismzone.com/wp-content/uploads/2025/07/Tourist-Rooming-House-Application.pdf. [1][2]
• City of Sturgeon Bay – Municipal Code Chapter 9.05 (TRH Ordinance): library.municode.com/wi/sturgeon_bay/codes/code_of_ordinances?nodeId=CO_CH9LIPE_9.05TOROHOPE. [8]
• City of Sturgeon Bay – Applications & Fees (TRH application access): www.sturgeonbaywi.org/community/applications___fees.php. [2]
• Door County Tourism Zone Commission – Municipal Requirements (Sturgeon Bay TRH): doorcountytourismzone.com/municipal-requirements/. [3]
• DCTZC – Getting Started Checklist: www.dctzc.org/uploads/ckfiles/files/getting%20started%20checklist%203-14-2018(6.pdf. [4]
• DCTZC – Permit Holder FAQ: doorcountytourismzone.com/permit-holder-faq/. [5]
• Wisconsin Department of Revenue (DOR): www.revenue.wi.gov/Pages/home.aspx. [6]
• DATCP – Tourist Rooming Houses: datcp.wi.gov/Pages/Programs_Services/TouristRoomingHouses.aspx. [7]
• Door County Pulse – City changes STR rules (Jan 2024): doorcountypulse.com/city-changes-short-term-rental-rules/. [9]
• HomeHosts.org – Door County STR overview (regulatory summary): homehosts.org/regulations/. [3]

Notes and Disclaimers

• Always verify the latest ordinance text and fee schedules directly with the city and the Door County Tourism Zone Commission. This guide reflects materials available via the listed sources and may be updated by municipal or state authorities. [1][3][8]