[HISTORY: Adopted by the Mayor and Council of the Borough of Dunellen 12-2-2024 by Ord. No. 2024-30. Amendments noted where applicable.]
A. 
This section is intended to address the increasingly wide-spread practice of renting or leasing various types of dwellings, or segments thereof, located primarily in residential neighborhoods, on a short-term basis to transient guests. This practice has been popularized and facilitated by various websites that advertise and broker such rentals. Left unregulated, this practice will transform many residential dwellings to the detriment of the health, safety and quiet enjoyment of the affected neighborhoods.
B. 
This section shall not apply to lawfully established and operating hotels, motels, rooming houses, boarding houses and bed-and-breakfast establishments.
As used in this chapter, the following terms shall have the meanings indicated.
HOSTING PLATFORM
A marketplace in whatever form or format which facilitates a short-term rental, through advertising, matchmaking or any other means, using any medium or facilitation, and from which the operator of the hosting platform derives revenues, including booking fees or advertising revenues, from providing or maintaining the marketplace.
PERMANENT RESIDENT
A person who occupies a dwelling unit or accessory building or structure for at least 60 consecutive days with the intent to establish that unit as their primary residence as an owner or a lessee.
SHORT-TERM RENTAL
A rental of (a) any dwelling unit, accessory building or structure, garage, attic or basement, in whole or in part; or (b) any furniture within a dwelling unit, accessory building or structure, garage, attic or basement, within the Borough, to any person(s) for exclusive transient use of 30 consecutive days or less, regardless of whether one of the dwelling unit's permanent residents is on-site in the dwelling unit throughout the visitors' stay, and whereby the unit is only approved for permanent residential occupancy and not approved for transient occupancy. Rental of units within Borough-approved hotels, motels, rooming houses, boarding houses and bed-and-breakfast establishments shall not been considered short-term rentals.
No person, including any hosting platform operator, shall undertake, maintain, authorize, aid, facilitate or advertise any short-term rental activity which does not comply with the Code of the Borough.
A. 
A violation of any provision of this chapter shall be cause for a Municipal Court summons to be issued by the Police Department, Code Enforcement Official or Health Officer.
B. 
Violations of the provisions of this chapter shall be punishable for the first offense by a fine of $500 to $2,000. Every subsequent offense shall be punishable by a fine of $1,000 to $5,000.
C. 
In addition to any fines imposed, any person convicted of violating any provision of this chapter may be ordered to reimburse the Borough and other participating law enforcement agencies their full investigative costs and remit all illegally obtained rental revenue to the Borough to be returned to the victims of illegal short-term rental activities.
D. 
Any interested person may seek an injunction or other relief to prevent or remedy violations of this chapter.
E. 
The remedies provided in this section are not exclusive, and nothing in this section shall preclude the use or application of any other remedies, penalties or procedures established by law.