HomeMy WebLinkAboutLEG 03-23 Report to
Council
Report Number: LEG 03-23
Date: February 27, 2023
From: Paul Bigioni
Director, Corporate Services & City Solicitor
Subject: Regulation of Short Term Rentals
-File: L-2100-001-22
Recommendation:
1.That Report LEG 03-23 regarding the regulation of short term rentals be received for
information.
Executive Summary: By Resolution #929/22 dated June 30, 2022, Council directed staff
to report on the advisability of implementing a by-law similar the Town of Ajax’s By-law 115-
2013 (By-law for the Licensing and Regulating of Lodging Houses). Having reviewed Ajax’s
By-law 115-2013, and having consulted with Ajax staff, City staff advise against the
implementation of a similar by-law in Pickering. Such a by-law would not be effective in
regulating short term rentals.
Short term rentals (“STR”) of residential properties have become commonplace since the
advent of platforms such as Airbnb and VRBO. In Pickering, STR properties have created
some nuisance, noise and parking issues. Though problems caused by STRs to date have not
been numerous, it is wise to proactively regulate them, to help ensure the safety of residential
communities and to minimize the extent to which short term vacation rentals reduce the
availability of housing for families in need of long term accommodation.
In March, 2023, staff will submit a Report to Council regarding the need for a new Noise
Control By-law. As part of that Report, staff will recommend that the new Noise Control By-law
provide for significantly higher fines for noise violations caused by income-generating
properties and activities. Such increased fines will be a strong deterrent to STRs causing
nuisance problems for surrounding neighbourhoods.
To more comprehensively regulate STRs, staff will be proposing a combination of zoning by-
law provisions and a new licensing by-law. Zoning provisions will be considered by City
Development staff in the context of the consolidated zoning by-law exercise. Planning policy
objectives for regulating STRs will be identified. STR regulation will aid in the enforcement of
the City’s existing noise, nuisance, property standards and parking by-laws, for the purpose of
ensuring safe and welcoming neighbourhoods. STR regulation can also help ensure the
availability of rental housing stock for long term rental, for the purpose of addressing the
Provincially recognized housing shortage.
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LEG 03-23 February 27, 2023
Subject: Short Term Rentals Page 2
Financial Implications: None
Discussion: By Resolution #929/22 dated June 30, 2022, Council directed staff to report on
the advisability of implementing a by-law similar the Town of Ajax’s By-law 115-2013 (By-law
for the Licensing and Regulating of Lodging Houses). This direction resulted from concerns
expressed by then Councillor Bill McLean about nuisances caused by specific STR properties.
Having reviewed Ajax’s By-law 115-2013, and having consulted with Ajax staff, City staff
advise against the implementation of a similar by-law in Pickering. Such a by-law would not be
effective in regulating STRs. That being said, City staff recognize the importance of regulating
STRs to minimize impacts on nearby properties and communities, and to address parking,
nuisance and noise problems.
After reviewing best practices in other Ontario municipalities, staff advise that a combined
zoning-licensing approach is the best way to regulate STRs, and to minimize their impact on
surrounding neighbourhoods. This approach will require new zoning by-law provisions which
could be employed to define the areas in which STRs are permitted, limit STRs to the
operator’s principal residence, and even to limit the total number of STRs in a given
neighbourhood. The new zoning provisions will be considered by City Development staff in the
context of the consolidated zoning by-law exercise. Planning policy objectives for regulating
STRs will be identified. STR regulation will complement the enforcement of the City’s existing
noise, nuisance, property standards and parking by-laws, for the purpose of ensuring safe and
welcoming neighbourhoods. STR regulation can also help ensure the availability of rental
housing stock for long term rental, for the purpose of addressing the Provincially recognized
housing shortage. STR provisions will be included in the next draft of the City’s Consolidated
Zoning By-law, which will then go to public consultation. City Development staff intend to
present the final draft Consolidated Zoning By-law for Council’s consideration in Fall, 2023.
Together with new zoning provisions, a companion licensing by-law could impose licence
conditions on STR operators, such as: (a) payment of a licence fee, (b) compliance with set
operating standards and applicable by-laws, (c) requiring renters to acknowledge and agree to
set standards of behaviour, (d) maintaining and disclosing rental records; and (e) maintaining
adequate insurance coverage. Licensing standards would enable the City to revoke the licence
of STR operators who fail to comply with these licence conditions. Municipal Law Enforcement
staff will draft the licensing by-law at the same time that work is underway on the zoning
provisions. Public and industry consultation will help inform the content of the new licensing by-
law.
While work is underway on the zoning and licensing by-laws required to comprehensively
regulate STRs, staff will recommend an enhancement to the City’s Noise Control By-law that
will help minimize unwanted noise from STRs. In March, 2023, staff will submit a Report to
Council regarding the need for a new Noise Control By-law. As part of that Report, staff will
recommend that the new Noise Control By-law provide for significantly higher fines for noise
violations caused by income-generating properties and activities. Such increased fines will be
a strong deterrent to STRs causing nuisance problems for surrounding neighbourhoods.
LEG 03-23 February 27, 2023
Subject: Short Term Rentals Page 3
Attachments:
None.
Prepared/Endorsed By:
Paul Bigioni
Director, Corporate Services & City Solicitor
PB:ks
Recommended for the consideration
of Pickering City Council
Marisa Carpino, M.A.
Chief Administrative Officer
Original Signed By:
Original Signed By: