Bulletin: Clearlake, CA News Today
Ordinance No. 288-2026 reaches first reading August 6 with council direction to mirror South Lake Tahoe's short-term rental ordinance, tighten enforcement, and add a good neighbor policy
Clearlake Set to Scrap Its 51% Owner-Occupancy Rule in Tahoe-Style Vacation Rental Rewrite
Ordinance No. 288-2026 reaches first reading August 6 with council direction to mirror South Lake Tahoe's short-term rental ordinance, tighten enforcement, and add a good neighbor policy
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The City of Clearlake takes its first formal vote on a rewritten vacation rental ordinance on August 6, 2026 when the City Council holds the introduction and first reading of Ordinance No. 288-2026 in the council chambers.
The ordinance amends Section 18-19.280 of the Clearlake Municipal Code, the section governing short-term rental permits in this Northern California lake city. It follows a June 4 study session where council reviewed an initial draft and sent staff back with four instructions.
The Four Directed Changes
Council directed staff to align the ordinance closely with South Lake Tahoe's recently adopted vacation home rental rules, ensure strict enforcement, institute a good neighbor policy, and eliminate the 51% residency threshold.
That last item removes the current code's requirement that an owner occupy the rental dwelling at least 51% of the time during the year, a provision that has effectively limited whole-home vacation rentals to primary residences.
The Tahoe Template
Aligning with South Lake Tahoe points toward a specific model: that city's 2026 ordinance caps residential-district permits at 900, sets a minimum guest age of 25, ties occupancy to bedrooms and paved parking, bans weddings and large parties, and revokes permits permanently after three violations in 24 months.
Outside its tourist core, South Lake Tahoe also requires a local property manager who handles check-ins, runs real-time indoor sound monitoring and outdoor video monitoring, and answers complaints around the clock. Which of these elements Clearlake adopts will be confirmed when council takes up the revised draft.
What Stays in Force Today
Until a new ordinance takes effect, Clearlake's existing rules apply: a zoning permit that expires on sale or transfer, overnight occupancy of two persons per sleeping room plus two, capped at 12, quiet hours from 10p.m.-7a.m., a 24/7 property manager within 30 miles, and a penalty of ten times the application fee for unpermitted operation. Three violations within two years trigger revocation with reapplication barred for at least two years.
The staff report outlines proposed supplemental property transfer disclosure requirements intended to better inform homebuyers of local regulations and obligations. | Source: Clearlake City Regular Meeting Agenda Packet, August 06, 2026
Who Is Affected
Every permitted vacation rental operator in Clearlake plus non-resident investors currently locked out by the 51% rule. Complaints driving the rewrite centered on Highlands Harbor where the city logged large parties, noise complaints, and parking congestion. During the recent regular meeting, it has been recommended to introduce the ordinance by title only and set both second reading and adoption for the council's next regular meeting.
Clearlake City Council Regular Meeting Agenda, August 6, 2026
This agenda includes first readings of revised vacation-rental rules and new property-transfer disclosure requirements.
⦾ Status: First reading August 6, 2026. Second reading and adoption expected at the next regular council meeting.
⦾ Ordinance: No. 288-2026, amending Clearlake Municipal Code Section 18-19.280.
⦾ Effective date: Not yet set. California city ordinances generally take effect 30 days after adoption.
⦾ Registration required: Yes, under current code a zoning permit is required; permits expire on sale or transfer.
⦾ Occupancy cap (current): 2 per sleeping room plus 2, maximum 12 overnight; daytime maximum of overnight count plus 6, or 18, whichever is less.
⦾ Owner-occupancy (current): 51% of the year, slated for elimination in the revised draft.
⦾ Penalty for unpermitted operation (current): 10x the normal application fee.
⦾ Revocation (current): Three violations within two years; reapplication barred for at least two years.
⦾ Platform responsibility: None specified; compliance duties sit with owners and property managers.
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