Real Estate

Bruce Peninsula

As you may be aware the Municipality of Northern Bruce Peninsula (MNBP) is reviewing a Short-Term Accommodation Policy and Regulation Implementation Study to find a satisfactory way of handling the Short-Term Accommodations (STA) that are becoming increasingly more present in the community. STAs were defined as being “private residential dwellings […] that are rented to provide accommodations to a person or persons on a temporary basis for a period of less than 30 days.”

A report was completed and presented to Council on December 16, 2019. The survey included the input of property owners, operators, neighbours, businesses, and general members of the public. The survey results showed that people felt there needs to be regulations around STAs, such as maximum number of occupants or requirements for septic inspections. The information from the survey lead to recommendations, such as STA licensing fees. Recommendations made in the report are meant to be considered by Council, discussed, and used as a guide when addressing concerns. The report also looked at the regulations within other communities in Ontario which can be used in guidance when creating regulations around STAs. Both the background study of other communities and the recommendations report can be found at https://www.nbpstareview.org/reports.

The report presented to Council recommended that the rentals should be distinguished between three classes. Class A would consist of a maximum of 6 occupants per unit, with a maximum of 1 unit per property, a maximum length of stay being 7 days, and a maximum number of 28 rented days a year. Class B would consist of a maximum of 6 occupants per unit, with a maximum of 1 unit per property, no minimum length of stay, and a maximum of 180 days rented per year. Class C would consist of a maximum of 8 occupants per unit, with a maximum of 3 units per property, no minimal length of stay and no maximum number of rental days per year. Typical week-long cottage rentals (i.e. Class A) are not seen as much concern, but rather the units being rented out full-time in short durations (Class B or C), in which there are higher turnover rates, are the ones truly being examined. It is those full-time rental units that would be potentially taxed a 4% Municipal Accommodation Tax. The recommended administrative fee to set up the STA license would be reflective of the license classification, with class C being the most expensive.

The MNBP website was receiving public input on their website or through mail until February 29, 2020. Once the public input has been reviewed, public meetings will take place. To keep up to date on further meetings, you can visit their website at https://www.nbpstareview.org/events, and stay tuned to our newsletters or social media sites for future updates!

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