The Town of Essex is a step closer to regulating short-term rental units.
Town Council will meet Monday to give final approval to a bylaw to establish a licencing system. The system would work along with a bylaw that permits existing short-term rental units to operate in residential neighbourhoods.
As of May 9, only existing short term rental units (STRU) are permitted in residential districts. Anyone interested in establishing a STRU in a residential district can apply for a zoning bylaw amendment to add an additional use to their property.
Town collected data shows there are 82 short-term rental units in Essex, but town officials hope to confirm an exact figure once licences are issued.
Ward 3 Councillor Chris Vander Doelen calls this a problem of success because the tourism industry in Essex is red hot. But he says some people are upset because there was noise next to them, so this needs to be regulated because there are some bad actors.
Vander Doelen, who's ward includes the Colchester area along Lake Erie, says we need these rental units so people can access a decent summer vacation.
"Out of the several hundred rental cottages out there, there's a couple of fly-by nighters from Toronto, Montreal or wherever they are, and they don't care what happens, they just turn their phones off," he says. "So we're hoping this bylaw puts the teeth in our regulations. If you're a bad landlord or bad rental boss, we're going to shut you down."
Vander Doelen says they had to do something, even though most people are doing the right thing.
"The bad guys really make life miserable for their neighbours. We can't have a couple of people ruining summer and ruining the house owning experience on the lake just because they can get away with it," he says. "It's too bad we have to bring in all this bureaucracy and bylaws but that's what it takes to deal with the handful of people who step outside."
The licensing period is scheduled to commence Sept.1, 2022. A licence will be valid for a period of three years but may be suspended or revoked in accordance with the provisions of the licensing system.
A licence fee of $700 is proposed for new or renewal applications to licence a STRU. Separate fees of $130.50 and $100 as will apply, as applicable, for the necessary fire inspection letter and for the filing of an appeal to the appeals committee.
Vander Doelen has some issues with the fees, which he considers too high, but says this has been two years in the making and they need to see how this works.
"Most of these operators are wonderful people doing a terrific public service and they're good citizens," he says. "If there are a couple of tweaks we need to make to this bylaw, then we're going do it. We'll do it next year, and the year after, the year after that. We're going to get this right."
As part of the new licencing system, an after-hours reporting line will also be established to address short term rental units, complaints and enforcement questions on evenings and weekends. The reporting line would include a direct line to OPP, bylaw enforcement and property owners. The reporting line will not be available until the licensing period is established after Sept. 1.
While the new regulations will focus on residential areas, Council will allow new and existing STRUs within a single detached dwelling in an Agricultural District, within a dwelling or dwelling unit in a combined use building in a Commercial District, and within a cabin in a campground in a Green District without the need for on-site supervision. Bed and Breakfast dwellings, lodging houses, hotel or motel units, and residential care facilities are not considered a short-term rental unit.
The town plans to conduct a communication and education event this summer to answer any questions around the new system.