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Approval process has Shuswap short-term rental owners considering shutting down

'Our local businesses are going to feel the lack of tourism dollars'
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Short-term rental operators in the CSRD need to register with the B.C.’s Short-Term Rental Registry, and to ensure their operation complies with CSRD land-use bylaws.

Concern regulation around short-term rentals may be detrimental to tourism will be raised at the upcoming Columbia Shuswap Regional District (CSRD) Electoral Area Directors (EAD) meeting.

On the agenda for the May 27 EAD meeting is a recommendation from Area F director Jay Simpson, that  current zoning be amended to allow short-term rentals (STR) in all residential zones until a new official community plan and zoning bylaws are developed. Simpson reasons anyone wanting to run an STR will already be doing so, noting "there has never been enforcement of STR rules unless there were multiple complaints."

"By modifying existing zoning to allow STRs we will be providing a roughly two-year window for existing STRs to continue to operate and bring in visitors, while the community decides what level of STRs or STR rules to enact within new OCP/Zoning rules," reads Simpson's EAD meeting business item request.

The director suggests leaving things as they are would reduce STR availability, "thereby reducing tourism business in our highly tourism dependent communities."

The CSRD board heard this view at its May 15 meeting in a presentation from Blind Bay resident, Shuswap firefighter and short-term rental operator James LaFleur.

After speaking with about 50 other STR hosts/owners in the area, LaFleur was able to divide them into three categories: 

• Principal hosts, who live in, and operate an STR at their primary residence as a secondary source of income; 

• Recreation owners, who may or may not live in the community and use STRs as a secondary source of income; and

• Business owners, who may or not live in thee community and are using STRs as either a primary or secondary source of income. 

LaFleur shared challenges he and other STR owners have had with South Shuswap Zoning Bylaw 701 and a 2024 update that he said "negatively affects the short-term rental market in our region."

"Specifically, prior to the change, a secondary dwelling unit vacation rental and kitchen were not present in this bylaw an were then added," said LaFleur. "Due to these additions, most if not all current rentals in the South Shuswap do not meet the new definitions of the requirements or the secondary dwelling units." 

LaFleur pointed to the similarity between included definitions for "bed and breakfast" and "vacation rental" as a cause for further confusion. LaFleur said he and most of the hosts he spoke with are of the belief that a "short term rental in their primary house is classified as a bed and breakfast and not a short-term rental."

"It was only after reaching out to the planning department that I was able to understand the only difference between the two… that a short term rental includes a permanent cook top as per the new definition of the kitchen, and if you have a temporary cooktop, outdoor kitchen or a barbecue, etc., this means your space is considered a bed and breakfast and not a short term rental.

"To me and to other hosts this is a pretty arbitrary difference that is causing a ton of confusion and is forcing most properties out of compliance."

LaFleur pointed out how the process for principal hosts to bring a short-term rental into compliance in his area can cost more than what the rental brings in for the year, and said the majority of the hosts he spoke with had indicated they would rather shut down their STR than go through that process.

"Our local businesses are going to feel the lack of tourism dollars," said LaFleur.

Among recommendations shared, LaFleur asked the bylaw be updated to allow both bed and breakfasts and STRs "without differentiating based on the presence or absence of a stove," and that the board remove the requirement of a temporary use permit (TUP) to operate an STR. If TUPs are found to be necessary for STRs in non-principal residences, LaFleur asked the board re-evaluate the criteria, cost and requirements. 

Simpson said it was a "bit scary" to hear about the STR owners considering "just shutting down." 

"Talking to hosts, a lot of them don’t want to put their name on this, they don’t want to be targeted," said LaFleur. "A lot of citizens who have short-term rentals…are very timid and scared of these processes because they are afraid they’re going to get fined or they’re going ot get shut down automatically."

LaFleur was invited to listen in at the upcoming EAD meeting. 

The CSRD has been urging electoral area property owners with STRs to contact the regional district's planning staff to review zoning regulations and confirm if their rental accommodation is permitted on the property. If not, the CSRD can outline possible options for property owners. One option is to apply for a Temporary Use Permits (TUP), which may allow specific land uses not permitted by zoning regulations. In the CSRD, TUPs are generally valid for three years with the possibility of one renewal.

STR hosts and operators must also register with the B.C. government's new Short-Term Rental Registry. 



Lachlan Labere

About the Author: Lachlan Labere

Editor, Salmon Arm Observer
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