Short-term rentals in Welland through online platforms such as Airbnb, Vrbo and Flipkey will be regulated and licensed in early 2022.
That comes after city council approved zoning changes to allow short-term rental accommodations as a secondary use in residential, agricultural, and institutional zones and the principal use of dwellings in commercial zones that allow residential uses.
Tuesday, councillors also approved the definition of short-term rentals, which were not permitted in the city but already existed.
They are defined as a dwelling unit rented for 28 consecutive days or less but do not include a bed-and-breakfast, hotel/motel, or boarding/lodging houses.
Under the changes, the short-term rentals cannot have more than three guest bedrooms, are not allowed to display external advertising on the site, and require 0.5 additional parking spaces per guest room.
A licensing bylaw, also approved, requires owners to show proof of an insurance certificate, site plan, floor plan, parking management plan, fire safety protocols and electrical safety inspections.
The fee is set at $1,029.50, with a yearly renewal fee of $75.
“I do believe we need to licence them. If we don’t, we can’t enforce anything,” said Ward 2 Coun. David McLeod .
Asked about legal nonconforming rentals, now covered under the new bylaw amendment, Aiello said they would be required to undergo licensing, pay the associated fees and be subject to enforcement and penalties.
They would still be allowed to operate as long as they existed before the introduction date of the zoning bylaw — Jan. 31, 2022.
If those properties cease use as a short-term rental for more than a year, though, they are no longer considered legal nonconforming and a licence would no longer be issued for it.
To police those rentals, Grant Munday, director of planning and development services, said the hours of bylaw enforcement officers were recently changed and a shift running until midnight or 1 a.m. has been added.
He said if there was a noise complaint, bylaw officers could sit outside the house, ticket the operator of the rental property and take further steps.
“Police could be involved in enforcement and shutting down the property,” said Munday.
He said with the zoning changes, owners have more responsibility to manage their properties and could face losing their licence through both administrative penalty and demerit point systems.
With properties that require owners to use it as their main residence, Munday said, they don’t have to be home when renting.
They must be available, however, to answer any complaint within one hour of being called.
“If not, they could be fined $400 and lose four demerit points,” said Munday.
Asked what would happen if council turned down the report, Munday said the city would not be able to manage the small number of short-term rentals in Welland. He also said they could continue to operate.
He also said without a bylaw, the properties could continue to operate while arguing the city has no definition for what short-term means.
Ward 3 Coun. John Chiocchio was not in favour of the report, saying his concern was that approving the changes would open the floodgates for people wanting to start up short-term rentals.
“There’s a lot of development in the city … a lot of people investing in properties and not living in them.”
Chiocchio wanted to see the changes made as a year-long pilot project.
Munday said he could report back in a year, while Mayor Frank Campion said council could always replace or amend the bylaws.
“Staff could report back within a year or before that, to review with council on how the bylaws are working,” said Campion.
Ward 5 Coun. Claudette Richard and Ward 4 Coun. Tony DiMarco were not in favour of the report and changes, with Richard suggesting the bylaws would encourage more short-term rentals.
“I’m just not sure endorsing this is worth the peace and quality of life for taxpayers,” she said, noting she lives next to a short-term rental.
DiMarco said he’s received emails from people not in favour of the changes.
“I don’t agree that this is a good thing for the city,” he said.
Ward 4 Coun. Bryan Green said the short-term rental issue was a tricky one but he would support the report with hesitation.
“It’s better to licence them,” he said.
McLeod said supporting the report to regulate and licence the rentals doesn’t mean the city is in support of or favouring the rentals.
“This gives us a framework to deal with them that we don’t have right now. Without the framework, more and more could come into our community and be legal nonconforming. Not having these bylaws in place is a disservice to the community,” he said.
McLeod said there are great hosts in the city who will have to jump through some hoops now, but the rules being put in place give the city teeth when it comes to enforcement.
Campion agreed with Green and McLeod.
“I get a lot of calls on this. I’m tired of telling people we have nothing to deal with them. We need to have something in place,” the mayor said.
Chief administrative officer Steve Zorbas said the city knows short-term rentals already exist locally.
“What we’re able to do now is regulate them and ensure that anyone who operates a short-term rental understands that they have a responsibility to ensure there are no negative impacts on those living next door,” he said.
Opposed to the report and changes were DiMarco, Richard and Ward 5 Coun. Graham Speck. Ward 1 Coun. Adam Moote was not at the council meeting.
