Short Term Rentals

What are Short Term Rentals?

Short-Term Rental Accommodations (STRs) allow for residents to offer a dwelling unit for temporary accommodations through online platforms such as Airbnb, VRBO, Kijiji, among others. Council passed the STR Licensing By-law on September 14, 2022 to regulate how STRs operate. The By-law addresses various matters including but not limited to maximum occupancy, maximum number of bedrooms, parking, and fines for contraventions to the by-law. The licensing program was initiated by the Town to address community concerns and to ensure all rentals operate safely in accordance with Town By-laws, the Fire Protection Standards, and the Ontario Building Code. Further background information on the project is available on connectpenetanguishene.ca.

The By-law will come into effect on January 1, 2023. If an STR does not apply for a license by February 1, 2023 the Town will contact the property owner directly to request they obtain a license. Refusal to obtain a license may result in fees and fines as per Schedule D to STR Licensing By-law 2022-58.

License Applications

The Towns Zoning By-law regulates where STRs are permitted in Town. The Town’s existing Zoning By-law 2000-02 does not provide a definition for STR’s nor are they referenced anywhere in the by-law.

The new Town Zoning By-law 2022-17 provides a definition for an STR and where STRs are permitted to operate. STR’s are permitted as-of-right in the Shoreline Area One (SA1), Shoreline Area Two (SA2), and the Downtown and Waterfront Zone (DW) in Zoning By-law 2022-17. You can locate your property and identify your zoning using the zoning map (Schedule A to Zoning By-law 2022-17). A new STR use cannot be established unless it is within the SA1, SA2, or DW Zones.

If you operate an existing STR that is NOT within the above noted zones, you may still operate a STR as a legal non-conforming use. A legal non-conforming use means that such land, building, or structure was lawfully used as a STR on the effective date of Zoning By-law 2022-17, and that it has continued to be used for that purpose. If the STR is a legal non-conforming use, the owner must provide copies of documentation supporting the application for legal non-conforming status for the operation of a STR to the satisfaction of the Town (e.g. documents verifying financial contributions of the rental and/or other documents as may be applicable).

Applications will open online through Cloudpermit beginning on November 21, 2022. Please note this date is tentative and subject to change. Licenses are renewed annually and must be completed each year, by May of each year.

Materials Required for a Complete Application

The following documentation must be submitted for a complete application. Applications are made online through Cloudpermit.

  • Copy of municipal tax bill proving ownership
  • Copy of government issued photo I.D. with applicant’s Date of Birth
  • Copy of the liability insurance policy of not less than $2 million per occurrence for property damage and bodily injury
  • Floor plans drawn to scale (dimensions, use of each room, number of bedrooms, occupant load for sleeping purposes for each room, location of smoke detection/early warning devices, fire extinguishers). See the sample floor plan.
  • Site Plan drawn to scale with dimensions (lot size, yard setbacks, parking dimensions and locations, landscaping, buildings, structures, amenities, and septic system/well if applicable). See the sample site plan.
  • Schedule A: Renter’s Code of Conduct form
  • Schedule B: Responsible Person’s Consent form
  • Applicable application fees ($500 for a license with 2 or less bedrooms; $900 for a license with 3 or more bedrooms)
  • The following may be required if applicable:
    • Schedule C: Legal Non-conforming STR
      • Where the STR is a legal non-conforming use under the Town Zoning By-law 2022-17, provide copies of documentation supporting the application for legal non-conforming status for the operation of a STR.
    • Septic Installer Letter
      • Where the dwelling unit containing the STR is serviced by private well and/or septic, proof must be provided that the private water and septic system are of an adequate capacity to accommodate the maximum occupancy of the unit, that such private services comply with all Provincial standards for potable water and septic systems.

FAQ

The By-law was passed by Council on September 14, 2022 and will come into effect on January 1, 2023.

If an STR does not apply for a license by February 1, 2023 the Town will contact the property owner directly to request they obtain a license. Town staff are committed to help facilitate STR owners to obtain a license and to ensure compliance with the by-law. However, refusal to obtain a license will result in fines as per Schedule D to STR Licensing By-law.

The Town will be evaluating the by-law one year after its effective date to determine if changes are necessary.

  • A Bed and Breakfast means an owner-occupied, single detached dwelling unit in which guest rooms, which may include private sanitary facilities but may not include in-room cooking facilities, provide temporary sleeping accommodation to the travelling or vacationing public for compensation to the owner of the dwelling unit and which may or may not include the provision of meals.
  • Short Term Rental means a single detached dwelling unit, that in whole or in part, is rented or available for rent for an occupancy period of not more than 28 consecutive days but shall not include a bed and breakfast establishment, hotel, motel or any other use otherwise defined by this By-law.
  • A Bed and Breakfast does not require an STR License. Bed and Breakfasts are subject to a separate license, please contact the By-law Department for more information.

Licenses are valid for one (1) year and are renewed in the month of May of each year. For the first year of operation, licenses issued on or before May 1, 2023 are valid until May 1, 2024. For example, if you obtain a STR license in January 2023, your license will be valid until May 1, 2024.

A license application fee is $500 for an STR with two (2) rooms or less and $900 for an STR with three (3) rooms or more. A license is renewed annually and the same application fees apply for each renewal.

  • STRs can operate within the SA1, SA2, and DW zones in the Town. Consult the Zoning Map to view these areas. STRs may operate in other zones, subject to compliance with the provisions for legal non-conforming uses in the Town Zoning By-law 2022-17.

The licensing program was initiated by the Town through a referral item by Council to address community concerns and to ensure all rentals operate safely in accordance with Town By-laws, the Fire Protection Standards, and the Ontario Building Code. Further background information and reports on the project are available on connectpenetanguishene.ca.

  • The Town is utilizing Granicus Host Compliance to respond to complaints 24 hours per day, 7 days per week. Residents can call or text the 24/7 Hotline. The phone number for the 24/7 Hotline will be launched in 2023. Upon receipt of a complaints, Granicus will contact the responsible person for the STR who must respond to the complaint within one (1) hour. If the non-compliance is not resolved, the owner may be subject to fines. All information collected by Granicus is provided to Town staff to take appropriate actions.
  • Complaints can also be submitted directly to the Town’s By-law enforcement department by completing a complaint form and sending it to bleo@penetanguishene.ca or in person to the Town office.
  • If there is an emergency situation, please contact 911.

When a contravention to the by-law occurs, a fine may be issued in accordance with Schedule D of the Licensing By-law. A license may be revoked or suspended where three (3) or more contraventions or complaints have been received by the Town within a six (6) month period or where four (4) or more contraventions or complaints have been received by the Town within a twelve (12) month period. The validity of a complaint is at the discretion of the Officer based on an investigation of the complaint.

The By-law will be administered through the Town’s By-law department and through the external services of Granicus Host Compliance. The Town anticipates hiring a new STR License Coordinator in 2023 help administer the by-law and respond to complaints.

The Town will conduct a review of the By-law after one (1) year of its implementation. If you have questions or if you have a suggestion on how the by-law can be improved, please submit by email to planning@penetanguishene.ca

Let us know here, planning@penetanguishene.ca

Scroll to top