(a) Operating a business that is required to be licensed with a short-term rental unit business license without obtaining the necessary Town of Telluride business license for the same or failing to obtain any of the required tax licenses for the same (for example, Town sales tax under Telluride Municipal Code Chapter 4 Article 2; Town excise tax under Telluride Municipal Code Chapter 4, Article 4; Town affordable housing short-term rental tax under Telluride Municipal Code Chapter 4, Article 9 or Town lodgers’ tax under Telluride Municipal Code Chapter 4, Article 10 is punishable by a fine of one thousand dollars ($1,000.00) per day for each day of the failure to obtain a license. Failure to obtain each required tax license is considered a separate violation. In addition, conviction of such violation under this subsection may result in permanent ineligibility to ever be issued a short-term rental unit business license upon a finding as to the imposition of this penalty following a public hearing held by the Telluride Town Council.

(b) For any Telluride Municipal Code convictions of violations as to any short-term rental unit business license, the Town is specifically imposing these minimum fines and penalties for violations:

(c) If a short-term rental unit business licenseholder has three (3) Telluride Municipal Code convictions of violations as to any short-term rental unit business license in any twelve (12) month period these cumulative convictions may result in a mandatory suspension of the short-term rental unit business license for two (2) years in addition to the separate penalty provisions detailed in Subsections (a) and (b) of this Section, following a public hearing held by the Telluride Town Council.

(d) If a short-term rental unit business licenseholder, or a duly authorized agent of the licenseholder acting on behalf of the same, makes a false, misleading or fraudulent statement in any short-term rental unit business license applications, or has misrepresented a material fact in any short-term rental unit business license applications, or used any scheme or subterfuge for the purpose of evading any requirement of this Article the Town will impose a mandatory suspension of the short-term rental unit business license for a period of between six (6) months to two (2) years following a public hearing held by the Telluride Town Council.

(e) In addition to all of the above specific enforcement provisions as to short-term rental unit business licenses, the Town is also imposing a mandatory forfeiture to the Town of any revenues earned illegally from a violation as to any short-term rental unit business license, including for violations as to short-term rental units in Residential Zone districts in excess of the rental limitations imposed by LUC Article 3 Division 6 (rental restrictions and requirements within the Residential Zone districts). For instance, if a short-term rental unit was rented in excess of the Residential Zone district limits for ten (10) nights at five hundred dollars ($500.00) per night the forfeiture of the revenue to the Town would be five thousand dollars ($5,000.00) as an additional penalty to the fines and penalties specifically referenced in this section. (Ord. 1544 §1, 2021; Ord. 1578 §1 (Exh. A), 2023)