Rio Rancho, NM Home Business: Home Occupation Permits (2026)

To operate a business from a residence in Rio Rancho, a resident must obtain a home occupation permit governed by Chapter 121 of the municipal code. The process is administered by the City Development Director or representative under Section 121.06. The applicant completes a Home Occupation Permit Application (application fee $67.00) and is scheduled for an interview at (505) 891-5005 covering the Chapter 121 rules. The City Clerk must see the applicant's State Tax ID (and can issue one), and the business must be registered in Rio Rancho with a $35.00 business registration fee that renews annually; failure to register within thirty days of issuance results in the permit being revoked. The City Fire Inspector may inspect the home, and once a satisfactory fire inspection report is received the permit is issued. Under the city's published fire-division requirements, the home must have a 2.5-pound (minimum) ABC rechargeable fire extinguisher and a smoke detector on each level. Section 121.07 provides that an approved home occupation renews automatically each year, provided no section of Chapter 121 has been violated and all fees are paid; denied applicants may appeal under the city's Section 150.01 appeal process.