Salida Is Tightening STR Rules: Prove You Live Here or Lose Your License

If you hold a short-term rental license in Salida and you don't live in Chaffee County, or if your property sat empty all year, the city is coming for your license. Ordinance 2026-22, which received its second reading and public hearing on September 1, 2026, would impose two hard new requirements on STR operators: prove local residency with documents, and actually rent the place out, at least 12 nights per year.

What the Ordinance Actually Does

The proposal has two distinct amendments to Chapter 6, Article VI of the Salida Municipal Code. They target different problems, but both raise the bar for keeping a license active.

Amendment 1 hits the residency question directly. New and renewing applicants in most zones would be required to verify Chaffee County residency by submitting three documents attesting to where they live. The only carve-out is for properties in the Mixed-Use Downtown, Mixed-Use Highway, and Mixed-Use Central districts, which are exempt from the residency requirement. That exemption traces back to a November 2025 council decision to lift the residency requirement specifically for the historic downtown portion of Salida.

Amendment 2 is about use it or lose it. Every STR license holder, regardless of zone, would need to show the property was actually rented for a minimum of 12 rental nights in the year. A license that sits dormant would not survive renewal.

Why the City Is Doing This Now

The push for an active-use floor came after Councilmember Fontana asked staff to pull data on how many STR properties had zero rental nights. The answer was striking: staff reviewed every short-term rental in the city and found 12 properties with no rental activity at all.

The city's concern goes beyond lost tax revenue. In residential zone districts, only one STR license is permitted per block face. That means a dormant license is not just a dead asset, it is actively blocking a neighbor from applying for and operating their own rental. As the council packet put it: "an inactive license prevents another property owners on the same block face from applying for and actively operating an STR."

The council has been refining its STR rules steadily. It amended STR requirements on February 17, 2026, and Ordinance 2026-22 is the latest step in that ongoing process.

What This Means If You're a Host

If your property is in the Mixed-Use Downtown, Mixed-Use Highway, or Mixed-Use Central district, the residency rule does not apply to you. Every other zone in Salida is subject to the three-document residency verification requirement.

The 12-night minimum applies to everyone, everywhere. If your property is licensed but you haven't been renting it out, that is now a license-threatening problem, not just a missed opportunity.

Salida already requires a Short-Term Rental Business License, which costs $1,000 per year, plus a $200 one-time administrative fee for new applicants. Losing a license after paying those fees, and potentially being blocked from reapplying if another operator on your block face moves first, is a real financial risk. The city also carries a maximum fine of $2,650 for violations, so non-compliance is not a low-stakes gamble.

On the tax side, neither Airbnb nor VRBO collects lodging tax on your behalf in Salida, meaning hosts are responsible for filing and paying manually on a quarterly basis, with a deadline on the 25th of the month following each quarter. The state tax rate is 2.9% and the county rate is 2.75%. Getting your license pulled does not make those obligations disappear.

What to Do Right Now

• Check your zone. If you are outside the Mixed-Use Downtown, Mixed-Use Highway, and Mixed-Use Central districts, start gathering the three residency documents you will need at renewal.
• Pull your rental history. If you are anywhere near zero nights for the year, start marketing the property now. Twelve nights is a low bar, but only if you clear it.
• Watch for the ordinance's final status. The September 1 meeting was the second reading and public hearing. Once passed, the new requirements will apply to new and renewing applicants.
• Keep your tax filings current. Quarterly lodging tax is due by the 25th of the following month, and you are responsible for submitting it manually.

For the complete Salida compliance guide including tax calculator, checklist, and daily monitoring, see Salida, CO STR Regulations.