For example, recently he told us that our house wouldnt receive a CO unless we installed handrails on our front porch.

So unless the short term rental license is held in their name and you are maybe a co-host, there's no way of making that happen. 

You have to pay bills but can’t access the cash   Even though you’re a co-signer.  

I had the developers license In my personal LLC name and I have many companies that I am a co owner of.. so I thought I am good..

Yes, Cheryl Evans (now a co-worker) at MN Lands and Homes in Marshall, Stan Holmberg at First Independent Bank in Marshall and Van Binsbergen Property Management company.

I only require a co-signer if a prospective tenant meets all of my screening requirements less maybe one thing - usually a credit score, or if the tenant is younger with only one or no past references from landlords. 

Would they just not give you a CO for the other house even though both houses have rental history?

Make sure he is not on the lease even as a co-signer or contact.  

I don’t recall a Uniform Code of Military Justice violation or military regulation a CO could use to force a member to clean their off base residence…other than scare tactics.

Could be costly and I would want to ensure it wouldn’t trigger due on sale clause but I’m quite sure it wouldn’t. 2- be a co borrower and use my funds on an FHA loan and I would be on title.