Understanding Jefferson County’s Short-Term Rental Ordinance and Permit Rules (2025)

Understanding the STR laws in Port Townsend, Chimacum, and the Hood Canal area

Navigating Short-Term Rental Rules in Jefferson County, WA

Thinking about operating a short-term rental (STR) in Jefferson County, Washington? Like most areas in the state, the rules depend on where your property is located — whether in unincorporated Jefferson County or within Port Townsend city limits.

This guide breaks down both county-wide and city-specific STR regulations so you can stay compliant and avoid costly mistakes.

STATE-LEVEL REQUIREMENTS

Before diving into local ordinances, remember that these state-wide standards apply to every short-term rental in Washington:

All hosts must carry active liability insurance, register their business through the Washington Department of Revenue, and collect applicable lodging taxes from guests.

COUNTY VS CITY: DIFFERENT RULES

Jefferson County oversees unincorporated communities such as Chimacum, Quilcene, and Hood Canal, while Port Townsend maintains its own STR permitting program.

JEFFERSON COUNTY SHORT-TERM RENTALS (Unincorporated Areas)

Definition & General Rules

A Short-Term Rental (STR) in Jefferson County is any single-family home or ADU rented for less than 30 nights.
Only one dwelling unit (either the main home or the ADU) can operate as an STR, and each operator may hold only one active STR permit in the county.
Source: Jefferson County DCD FAQ

Zoning and Location

STRs are generally allowed in these zones:

• Rural Residential (RR 1:5, RR 1:10, RR 1:20)

• Rural Village Center (RVC)

• Resource Lands (Agriculture, Forest)

• Port Ludlow Master Planned Resort (only in the Resort Complex Zone)

Source: Jefferson County Short-Term Rental Brochure, updated April 2025

Occupancy & Septic Limits

Guest occupancy is tied directly to septic system capacity:

• Each bedroom = 120 gallons/day (GPD) → 2 guests per bedroom

• Example: 2-bedroom septic system = 240 GPD → up to 4 guests

Jefferson County uses this rule to prevent system overload and ensure environmental compliance.
If your system isn’t approved for the intended occupancy, you must upgrade or adjust your listing.

Parking & Noise Standards

Hosts must provide adequate on-site parking for guests beyond resident spaces, and manage the property to avoid disturbances to nearby residents.
Violations can lead to permit suspension or revocation.

Permit Application Process

1. Submit a Main Permit Application + Supplemental STR Application

2. Include a site plan, floor plan, and O&M (Operation & Maintenance) report for septic

3. Schedule a fire, health, and safety inspection

4. Renew annually with updated inspection reports

If your STR accommodates 6+ guest rooms or over 10 occupants, a Conditional Use Permit (CUP) may be required.

Source: Jefferson County STR Program

Permit Cap & Updates

Jefferson County limits the number of STRs to 4% of total dwelling units per ZIP code (excluding Master Planned Resorts).
Once that threshold is reached, new applicants are placed on a waitlist.

The county’s temporary STR moratorium (Ordinance 01-0408-24) expired on April 7, 2025, but updated code amendments are under review.
Stay tuned to Jefferson County Planning Updates for new adoption dates.

PORT TOWNSEND SHORT-TERM RENTALS

City Licensing Program

The City of Port Townsend manages STRs through a Conditional Use Permit (CUP) system.
This program aims to preserve long-term housing while allowing tourism-based income for homeowners.

Key requirements:

• City-issued STR/Tourist Home Permit

• City Business License (annual fee ≈ $50)

• Washington State Business License with Port Townsend endorsement

• Life-safety inspection prior to occupancy

• Posting of license number on all listings

Source: City of Port Townsend Planning Department

Zoning & Parking

• STRs generally allowed in R-II and Commercial zones

• At least one extra parking space beyond the two required for the main residence

• Maximum = one space per sleeping room, in addition to residence spaces

Source: Port Townsend STR Info Sheet (2018, rev. 2022)

Taxes

• 4% Lodging Tax (on nightly stays)

• City B&O Tax applies if your annual STR revenue in city limits exceeds $100,000

Source: Port Townsend Finance Department

Port Townsend Compliance Checklist

✅ Apply for Conditional Use / STR Permit
✅ Obtain City Business License
✅ Confirm Zoning & Parking Compliance
✅ Pass Life-Safety Inspection
✅ Post License Number in All Ads
✅ Collect & Remit Lodging + B&O Taxes

QUICK COMPARISON: COUNTY VS CITY

KEY TAKEAWAYS

• Determine first whether your property is in Port Townsend or unincorporated Jefferson County — rules differ significantly.

• County STRs are tied to septic capacity and capped by percentage per ZIP.

• Port Townsend has its own permit cap and stricter parking/fire-safety rules.

• Both jurisdictions require state business licensing and annual inspections.

• Always check official sources before launching your rental to avoid violations or fines.

Sources

• Jefferson County Short-Term Rental Brochure (April 2025)

• Jefferson County DCD – STR Program Page

• City of Port Townsend – STR & Tourist Home Permit Info (Rev. Dec 2022)

• City of Port Townsend – Finance / B&O Tax

• Port Townsend Municipal Code – Lodging Tax (3.20.020)

Disclaimer: This post is for informational purposes only and is based on publicly available documents as of October 2025. Always verify with Jefferson County Department of Community Development and the City of Port Townsend Planning Department before operating an STR.