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Cottage Life

Common bylaws that every short-term rental owner should know

By givaga/Shutterstock

In recent years, countless communities across Canada have implemented their own sets of short-term rental bylaws in an effort to reign in what some consider a loosely regulated industry. These regulations are typically handled at the municipal level, meaning they come in a wide range of different shapes and sizes. With so many different sets of regulations in place, it can be difficult to know exactly what rules are relevant for those looking to operate their own rental unit.

To help you navigate the maze of short-term rental regulations, we’ve compiled a list of some common and not-so-common bylaws and rules that should be on your radar if you’re at all interested in renting. Check with your local municipality to see exactly what rules are in place before renting out your property, but keep these in mind as you do:

Licencing Programs

Licensing programs have seemingly become the standard method of regulating short-term rentals. In many areas, you simply can’t operate a short-term rental property without a licence. These programs are typically used as the basis for other forms of regulation—they’re a way for local governments to account for the amount of renters in the area, ensure safety standards, and track other bylaw violations.

Here are a few common elements of licencing programs, that vary widely by community:

  • Cost: Applying for a licence can cost as much as $1,500, but most licences will likely be in the ballpark of several hundred dollars.
  • Length: How frequently you have to renew your short-term rental licence also varies by area, but it’s typical for them to be valid for one year at a time.
  • Limit: Some areas have placed a limit on the amount of licences their municipality will give out, meaning you may not be able to immediately obtain a licence if that limit has already been reached.

Property Standards

Property standards are incredibly common and are typically in place to ensure a degree of safety for renters and owners. Property inspections are frequently a mandatory step in obtaining a licence, but the minimum standards vary by municipality. Here are some common requirements you should be on the lookout for:

  • Parking: Depending on the bylaw, the availability of parking may determine the amount of guests you can host. Mainly, you should ensure that guests have enough space to park on your lot, so that they aren’t blocking off roads or leaving their vehicles on other properties.
  • Septic: You may need to have your septic system inspected to ensure that it has the capacity to handle the amount of guests you intend to host.
  • Room Density: Like parking, the amount of rooms you have may determine the amount of guests you can host. It’s common for municipalities to limit occupancy to two guests per bedroom, but some bylaws put a hard cap on the number of occupants regardless of property size.

Zoning Requirements

Some communities have placed restrictions on the types of buildings and areas of the community that can be rented. For instance, the township of Seguin placed a ban on waterfront rentals, Sarnia banned residentially zoned rental units, and Collingwood prohibited the operation of none bed-and-breakfast style short-term rentals (units where the owners live in the building alongside their guests are considered bed-and-breakfast style rentals). Be sure to check how your property is zoned in case there are any local bylaws that restrict your ability to rent.

Emergency contacts

Many bylaws state that short-term rental owners must have an emergency contact who can be reached in emergency situations. In some places, these contacts only need to be reachable by phone, but in others, emergency contacts must be able to attend the rental property within a certain time frame (commonly, in under an hour), which often poses a logistical challenge for out-of-town rental operators who live far from their units.

Rental Periods

Most short-term rental bylaws place a cap on the amount of consecutive days a unit can be rented in order to be considered a short-term rental—this is typically around 28 days. Units rented beyond that period are often no longer considered a short-term rental. Recently, the Township of Tiny drafted a bylaw which would place a limit on the amount of days units can be rented.

Penalty System

The enforcement of short-term rental regulations will also vary depending on your community’s bylaws. Some municipalities enforce regulations through standard fines. Others have systems in place that escalate penalties for repeat offenders, often meaning the more offences a short-term rental owner commits, the higher their fines will be. It’s important to understand your municipality’s enforcement system as the level of punishment ranges anywhere from the issuing of minor fines, to the revoking of a licence.

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Cottage Life

New bylaws in BC town bring strict rules against feeding wildlife—even unintentionally

Photo Contest entry by Andrea Lam

Three updated bylaws in the town of Vernon, B.C. aim to further deter residents from feeding wildlife, even unintentionally. Made official this Wednesday, the rules mandate that residents protect animal attractants on their property, such as fruit and nut trees, bird feeders, and compost piles. 

In a release, the City of Vernon stated that regulations “are expected to reduce unintended negative consequences to wildlife, reduce damage to private property by animals, and reduce the potential for human-wildlife conflict.” The province’s Wildlife Act already considers feeding wildlife an offence, but the Vernon bylaws go a step further to include unintentional or neglectful behaviour, like leaving attractants exposed. Violations can come with a fine, but the statement noted that education is “the preferred method to gain compliance.”

This is what to do when you see a bear

Located about an hour’s drive from Kelowna, Vernon is surrounded by extensive wildland areas, and is home to wildlife common to the Okanagan region, such as deer, cougars, and black bears. Given the location of some residential areas, “it’s common to see wildlife travelling through neighbourhoods,” Christy Poirier, a communications manager for the city said via email. 

Poirier said over the years, residents have been raising concerns about people intentionally feeding animals such as deer, drawing them closer into the city. Feeding wildlife can cause a number of problems, such as having animals become dependent on human food, and making them habituated—which can increase the risk of a dangerous encounter.

Black bears are of particular concern in Vernon; last year, the city was among the five ‘deadliest’ BC communities for the animal, based on provincial data showing how many bears were put down by conservation officers. 

Any area where humans and wildlife coexist can be vulnerable to these issues—be sure to stay informed on how to protect attractants from bears and other animals on your property, and what to do if you do encounter larger animals like bears or cougars close by. 

Read more: Lessons from a bear attack

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Cottage Life

Tiny Township approves new short-term rental regulations

Photo by Township of Tiny/Facebook

The township of Tiny’s council unanimously approved a new bylaw to licence and regulate short-term rentals.

The regulations passed in a special meeting of council on August 11, 2022, and are expected to take effect on October 4, 2022. The bylaw will establish a licencing system, health and safety standards, a demerit system, and occupancy limits. It will also limit the number of licences available to 300 and place restrictions on rental periods.

Aidan Black-Allen has been renting out her cottage in Tiny since 2015, but she worries the new regulations go too far. “It’s going to make it really difficult, if not impossible, for families like mine to continue to be able to supplement their income by using the cottage as a short-term rental,” she says. 

Black-Allen says she supports the licencing of short-term rentals but worries about the costs associated with the new bylaw. She points to the $1500 licencing fee, mandatory inspections, and—for those who don’t live in Tiny—the hiring of staff who can attend to the rental property within an hour’s notice (as required by the bylaw). “I only rent my cottage for about six weeks a year. So for me, this completely wipes out any income that I’m going to make,” she says. 

Photo of Aidan Black-Allen
Photo by Aidan Black-Allen

Black-Allen started renting out her property to earn supplemental income while she stepped back from full-time work to raise her three children, and she says Tiny’s approach will price part-time renters like herself out of the market. “The people who bought these places primarily for the purpose of renting them out are the ones who are going to have the money to do this. So, you actually push out families, like mine, who rely on this income,” she says.

Short-term rentals provide work for local businesses and contribute to the town’s tourism industry, and Black-Allen argues placing restrictions that reduce the number of rental properties could also be detrimental to Tiny’s economy.

Rental owners can increase their rates to cover the new costs associated with the bylaw, says deputy mayor Steffen Walma. The $1500 licencing fee amounts to an extra $16 per day for property owners who rent out their units for the maximum allowable time of 92 days, a cost which can be added on to existing rental fees, he says. “Tiny is a beautiful place, and I actually feel like people would pay an extra $16 or even $25 to make up that difference,” he says. “I definitely think they’d have to adjust their prices to make up the $1500 difference, but I don’t think it changes anything as far as rentability.”

Many of the inspections (building code, fire protection, and zoning) are covered by the $1500 licencing fee, says Walma. While some inspections (electrical and, when applicable, H-VAC and wood burning appliances) and necessary repairs may cost rental-owners money, they are there to ensure that people aren’t renting out substandard and unsafe properties, he says. He also notes the bylaw bans businesses and corporations from obtaining a short-term rental licence.

Walma hopes this bylaw will serve as a first step to regulating short-term rentals in a way that appeases both short-term rental owners and those who take issue with them. “To me, this is kind of the middle ground. So we’ll be able to hopefully find a place where both can exist and not negatively impact the other.”

As for Black-Allen, she is still considering what these rules might mean for the future as a short-term rental operator. “It’s really hard to say,” she says. “I know that there are a lot of people out there who are going to be facing similar difficult decisions.”

Here are some noteworthy points from the new regulations:

  • Short-term rentals must be licenced. Rental owners will have to apply for a licence with a $1,500 application fee and receive the necessary inspections. Licenced rentals will have to have their licence numbers on display. 
  • Demerit system. Tiny will establish a demerit system to deal with bylaw, licencing, and health and safety infractions. A licence may be revoked if a rental owner reaches 15 demerit points.
  • Occupancy limit. Occupancy limits will be set at two people per bedroom.
  • Excessive noise restrictions.
  • Parking, fire and safety requirements. Standards must be met and maintained by the property owners.
  • A limit of 300 short-term rental licences in the community.
  • Emergency contact. Short-term rental owners must have someone available to attend to the property within an hour’s notice.
  • A ban on business and corporation-owned short-term rentals. The new bylaw will prohibit businesses and corporations from obtaining a short-term rental licence. 
  • Rental period restrictions. Rental owners can’t operate for more than 92 days a year, and between April 15 and October 15, properties can only be rented for a minimum of six days at a time. From October 16 to April 14, rental owners may only host one rental every six-day period. 

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Cottage Life

Tay Township, Ont. considering zoning bylaw for docks

Photo by Shutterstock/David Wayne Buck

On August 10, during a Protective and Development Services meeting in Tay Township, Ont., Todd Weatherell, the township’s manager of planning and development services, broached the idea of introducing a zoning bylaw for docks.

Currently, Tay Township has no zoning bylaws pertaining to docks, meaning there’s no limit on the length, width, and height of a dock, or how many docks can be on the property. You also don’t need a permit to build or rebuild a dock.

Weatherell, who started working for Tay Township last September, says he’s never seen a building permit for a dock pass through his office. “We only regulate the setback,” he says, which is how close to the water you can build a structure from your property line.

Weatherell used to work for the Township of Georgian Bay, which does have bylaws around dock size. For properties in the township with frontage on Georgian Bay, docks with a ramp can’t be longer than 26 metres or wider than four metres. These measurements do differ depending on location.

Seeing the Township of Georgian Bay’s bylaws did, in part, motivate Weatherell to bring forward the suggestion, but it was also in response to a July 27 town council presentation made by a resident unhappy with the size of his neighbour’s newly rebuilt dock. The resident claimed that the dock blocked his view of Georgian Bay, and suggested that the township introduce permits for docks.

The dock in question measures 90 metres in length and includes a railing. But according to the dock’s owner, there are reasons for its size. The dock was rebuilt on a new crib, raising the front eight inches and the end six inches. This is to prevent the dock from being swept away by high water levels, which is what happened to the last dock, the owner says. Otherwise, the dock’s length and width are the exact same as they’ve been for the last 20 years.

The reason for the extensive length is that the dock is built on shallow water. The only way to keep a boat on the property was to extend the dock out into deeper waters. As for the railing, the owner, who’s 87, says he’s unable to walk without a support. The railing allows him to continue enjoying his dock.

With an increasing number of baby boomers retiring to cottage country, and water levels, especially in the Great Lakes, impacted by climate change, Tay Township will have to consider a variety of factors if it does decide to implement dock zoning bylaws.

“We’re looking into potentially creating bylaws that will enforce length and setbacks, but again, that will be up to council and planning, and subject to a public meeting process,” Weatherell says.

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Cottage Life

Cottage Q&A: Portable saunas vs bylaws

By Dmitry Modestov/Shutterstock

We want to set up one of those portable tent saunas that are heated by a woodstove. Do we need a permit for this? Are there any other bylaws governing them at the cottage?—Sidney Indy, via email

There could be. “As always, an owner should communicate with the local authority having jurisdiction,” says Marty Herbert, the team leader with building and bylaw services for B.C.’s Columbia Shuswap Regional District. Bylaws can vary between municipalities, and just because a tent sauna doesn’t meet the definition of “building” under your provincial building code (which means you likely wouldn’t need a permit), your local building authority or fire department might still have restrictions.

Buy the Way: This family saved money by buying land and building a yurt

Under zoning bylaws, some jurisdictions could consider the tent a “structure,” and as such, “it needs to comply with all applicable zoning provisions,” says Noella Floyd-Foulds, a permit clerk with the building department and bylaw enforcement for Dysart et al., Ont. “We wouldn’t regulate how long you can keep it up, but it would need to meet all water, lot line, and septic setbacks,” she says. “On our typical waterfront lots, these setbacks would be 20 or 30 metres from the water, 4.5 metres from side lot lines, and five metres from a septic distribution field.”

As for potential fire bylaws, it’s possible that burning or campfire restrictions could apply, says Herbert. (Your municipality might treat the woodstove as an outdoor fire.)

Is incinerating paper waste environmentally acceptable?

Mike Peake, a fire prevention officer for the town of Bracebridge, Ont., says that his department certainly wouldn’t do any kind of inspection on a tent sauna. That’s not because there aren’t any possible fire risks, but because a tent sauna wouldn’t require it under the Ontario Fire Code. Still, you are putting a woodstove inside of a tent. Yes, the stove is designed for the tent, and yes, the tent—unlike a regular camping tent—is designed to withstand the stove’s heat. But, “I feel this in itself may become risky over time as people become complacent,” says Peake. “I would highly recommend to anyone owning these saunas to strictly abide by the manufacturer’s installation, care, and maintenance instructions,” he says. “And make sure that you never let your guard down.”

Got a question for Cottage Q&A? Send it to answers@cottagelife.com.

This article was originally published in the August 2022 issue of Cottage Life.

 

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Cottage Life

What you need to know about Sarnia’s short-term rental regulations

Photo by David McIntosh/Shutterstock

An appeal against a short-term rental bylaw in Sarnia, Ont., has been dropped due to an inability to find expert witnesses without a conflict of interest, which means new rules are now in place for renters in the largest city on Lake Huron. The short-term rental bylaws were passed by Sarnia’s council back in 2020 but were prevented from coming into effect until last week due to the ongoing appeal. 

Sean Ryan, the man behind the appeal, says he thinks the city should take action to regulate short-term rentals, but he disagrees with the limitations on residentially-zoned rentals. “It’s not the regulations we’re against,” he says “It’s just the one component of it.”

Ryan’s particular issue is with the ban on short-term rentals in residential areas. He argues Sarnia should at least allow rentals in urban residential 2 zones—areas that are already densely populated and used for residential and commercial purposes. “Why not just allow them in those areas? It’s good for tourism and it’s a high-density housing area already, so it’s not going to affect neighbourhoods,” he says.

According to the Steve Henschel, Sarnia’s manger of communications, the residential zoning regulations are in place to protect housing in the city. “Allowing STAs in residential areas with a primary residence requirement protects long-term housing in the city, ensuring residential properties are utilized as homes first.”

Now, Ryan is looking for other ways to make a second appeal against the city’s short-term rental regulations. 

Sarnia implemented a system to grandfather short-term renters operating in residential areas before January 1, 2020. Property owners were supposed to submit an application prior to the July 1, 2020 deadline, but the city received no applications. To date, only 15 of an estimated 70 renters are licenced with the city. “As we move forward with the new bylaw the city will utilize an education-based approach to encourage voluntary compliance, before using other bylaw enforcement mechanisms,” said the Henschel.

What are Sarnia’s short-term rental regulations?

Like many other municipalities, Sarnia implemented a short-term accommodation licencing system as a way to regulate STAs. The city also implemented occupancy limits, building and safety standards, and most notably, restrictions on the operation of short-term rentals in residential areas.

Here are some highlights from the new regulations:

  • Renters must obtain a valid licence granted by the city. The fee for a licence and a licence renewal is $273.65 and applications must be submitted to the city along with building and parking plans. To be approved, licensees must also possess a minimum of $2 million in liability insurance and must complete a fire inspection.
  • Occupancy limits. Rental units can have a maximum of three bedrooms available for rent and each bedroom can sleep up to a maximum of four people.
  • Minimum rental room size of 14 square metres. 
  • Adherence to a submitted parking plan. Property owners must submit a parking plan to the city along with their licence application and ensure that it is followed by patrons.
  • If operating in a residential area, the rental unit must be the owner’s primary residence. Essentially, this limits short-term rentals in residential areas to bed and breakfast style accommodations where the owner lives in the property at the same time as their patrons.
  • Offenders of the bylaw can face fines of $25,000 dollars on a first offence, and fines of $50,000 of subsequent offences.
  • Short-term renters are also subject to the city’s four per cent municipal accommodation tax. The city says this tax will be used to “fund programs and services that visitors take advantage of when visiting (e.g. roads, transit, culture, parks, natural areas and recreation).”

Short-term accommodation applications can be submitted through the city’s website.