Understanding the STR laws in Port Angeles, Sequim & Clallam Bay
NAVIGATING THE WORLD OF STRs IN CLALLAM COUNTY
Thinking about running a short-term rental (STR) in Clallam County, Washington? From the coastal charm of Clallam Bay to the lavender fields of Sequim, this area draws plenty of visitors year-round — and with that comes a mix of county and city-specific rules. This guide breaks down what you need to know for Clallam County, Port Angeles, and Sequim, showing how each area handles STRs differently.
FIRST THINGS FIRST: STATE-WIDE REQUIREMENTS
Before diving into local specifics, remember that every short-term rental in Washington must meet state requirements. These are consistent across all counties:
| Requirement | Details |
|---|---|
| Minimum Liability Insurance | $1M coverage required |
| Maximum Stay Defined As | Less than 30 consecutive days |
| State Business License (UBI) | Required through Washington Department of Revenue |
These ensure your rental meets state safety and business standards before layering on local regulations.
QUICK LOOK: THREE AREAS, DIFFERENT RULES
Clallam County, Port Angeles, and Sequim each have their own take on STRs. Here’s a snapshot of how their local ordinances and tax setups compare:
| Location | Lodging Tax | B&O / Sales Tax | STR Ordinance | Notes |
|---|---|---|---|---|
| Clallam County (Unincorporated) | 2% | Collected by the State | Pending updates | Rules under review; county staff proposed updates to align with rural zoning |
| City of Port Angeles | 4% Lodging | 0.1% B&O on >$20K gross | Yes (since 2019) | STRs must register with the city and follow zoning limits |
| City of Sequim | 4% Lodging | 0.1% B&O | Yes (since 2021) | Limited zones and occupancy caps apply |
Keep an eye on the County’s Planning Department—Clallam is reviewing its STR rules as of 2025.
DEEP DIVE: CLALLAM COUNTY (INCLUDING CLALLAM BAY, FORKS AREA, ETC.)
Rules in Progress
Unincorporated Clallam County — including areas like Clallam Bay, Joyce, and parts near Forks — currently doesn’t have a dedicated STR ordinance. Rentals are generally allowed under existing zoning and environmental health rules, but changes are being discussed to create clearer standards for septic systems, occupancy, and neighbor notifications.
Proposed elements (based on County discussions and Planning drafts):
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Occupancy: 2 guests per bedroom + 2 extra, based on septic system capacity
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Septic requirement: Proof of current inspection within the last 3 years
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Neighbor notice: Within 300 feet prior to first rental
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Parking: Minimum of 1 off-street space per bedroom
Tip: Check directly with the Clallam County Department of Community Development (DCD) before hosting. Future rules may tighten after community feedback on noise and density concerns.
DEEP DIVE: CITY OF PORT ANGELES
Established System, Simple Steps
Port Angeles treats STRs as a regulated lodging activity, with permits and zoning checks required.
Here’s what to do:
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City Business License – $50 annual fee through the city portal.
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Zoning Check – Confirm your address allows STR use (most residential zones do, with conditions).
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Fire & Safety Inspection – Mandatory for initial approval.
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Taxes – 4% Lodging + standard state sales tax; B&O applies over $20K gross.
Key Rules:
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Owner-occupied and non-owner-occupied STRs are both allowed.
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Noise, parking, and occupancy must comply with the city’s general nuisance code.
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Reinspections occur every two years.
DEEP DIVE: CITY OF SEQUIM
Tight but Transparent Rules
Sequim allows STRs in limited zoning districts (RII, RIII, Downtown Commercial) with an approved Conditional Use Permit (CUP).
Here’s what hosts must do:
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Apply for CUP with Planning Department
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Obtain a City Business License ($50/year)
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Follow capacity limit: 2 guests per bedroom
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Provide 1 parking space per bedroom
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Post local contact info visible to guests and neighbors
The city enforces quiet hours and health & safety compliance strictly. Fines apply for unpermitted rentals.
FINAL THOUGHTS
Clallam County is an amazing place to host, with tourism driven by Olympic National Park, Sequim’s festivals, and Port Angeles’ ferry access to Canada. But with that popularity comes increasing scrutiny. Whether you’re renting out a cozy cabin near Lake Crescent or a coastal getaway in Clallam Bay, stay current with your city or county’s updates — new STR ordinances could roll out soon.
