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Cobourg eyes short-term rental licensing and regulations

By Cecilia Nasmith


Anne-Marie Jackson has brought to council's attention an issue that Councillor Brian Darling said has been on the horizon for a long time – short-term rental properties, also known by such trade names as Airbnb and Vrbo.

Council's review this week of a letter from Jackson gave them the perspective of someone who lives near such an operation.

Since a property near her on Blake Street was sold to someone who does not live there and uses it as a multi-unit Airbnb, Jackson said, “We have seen a notable increase in transient visitors, an increase in on-street parking – often 4-5 vehicles at a time – parties with loud and disruptive guests, documented drug and criminal activity, and as a result, increased police activity.

“Effectively, this property is operating as a 'boutique hotel' without any oversight by the owner.”

The owner has voiced plans to add a third suite and a paved parking lot, Jackson added. And in spite of the COVID-19 lockdown, the Airbnb continued to see regular operation and turnover with no regard to the health and safety of the neighbourhood.

Airbnb has a complaint mechanism but, unfortunately, all Jackson's complaints have gone unaddressed.

Her request was that council consider regulations for short-term rentals that would help establish safe neighbourhoods in the communities where they are located.

Councillor Nicole Beatty made a motion to refer the matter to planning staff to consider as part of its comprehensive zoning-bylaw review process.

Council also heard from Director of Planning and Development Glenn McGlashon that regulations are also an important piece of the puzzle, describing zoning parameters and the licensing/regulations approach as a one-two punch.

If a short-term rental tries to operate where it is not zoned for, McGlashon said, there is that enforcement mechanism. But regulations encoded by the town are policed by bylaw enforcement officers and are a powerful tool in that they can result in an operator losing the licence to operate – effectively, being put out of business.

“Under the Municipal Act, it does allow the municipality to actually shut it down, and conduct work required to shut down an offending property, whereas the zoning bylaw just deals with land use,” McGlashon explained.

At this time, neither Airbnb operators or the old-fashioned bed-and-breakfast operators in town are required to have a license.

“All the larger municipalities that have the same trends towards Airbnb say licensing is the way to go. Zoning sets the land use, licensing sets operational standards.”

Once the town considers licensing, McGlashon continued, there is a staffing component. In nearby Prince Edward County, this move added a few hundred thousand dollars to the municipal budget.

“It depends on the municipality and how far they want to go,” he said.

At the same time, Deputy Mayor Suzanne Seguin noted, licensing would bring in at least some revenue to offset costs.

“And some small amount might deter someone from buying a bunch of properties in this town and not living in them,” Seguin added.

Councillor Brian Darling made an addendum to Beatty's motion, asking for a staff report on licensing these businesses in time for the 2022 budget-deliberation process. McGlashon expressed confidence this could be done by the Nov. 15 council meeting.