East Ridge has passed an ordinance dealing with short-term vacation rentals on first reading.
It allows the rentals in certain zones, but not those for single-family, Kenny Custer, director of community services, said.
He said they can be in duplex, triplex or commercial zones.
Mr. Custer said the process will involve getting a permit and that will allow the city to keep tabs on the rentals.
He said the most important issue for the city is making sure the rentals are safe and have been properly checked out.
The permit fee is $75 when the owner lives at the site and $125 for a rental where the owner is off premises.
There can be no more than five sleeping rooms and no more than two person per bedroom.
The stay must be for at least 24 hours.
The person handling the rentals is responsible for collecting all applicable taxes, including the hotel/motel tax.
When an owner will not be on-site, the permit process involves notifying neighbors within 300 feet and placing of a sign on the property. There are 30 days for neighbors to object. The City Council will hear appeals.
Mr. Custer said the new state law on short-term vacation rentals could supersede certain portions of the East Ridge ordinance.