Town moving ahead with short-term rental changes after appeal dropped

An appeal against a bylaw the Town of Fort Erie passed earlier this year regarding short-term rentals (STRs) has been quashed following royal assent of the Cutting Red Tape to Build More Homes Act.

Fort Erie Mayor Wayne Redekop told councillors and the public at the July 22 council meeting that with the appeal to the Ontario Land Tribunal (OLT) by a community group being dropped, the short-term rental bylaws passed in January are now in effect.

“On July 15 the Ontario Land Tribunal advised the Town that the appeal filed by a neighbourhood group regarding both the official plan and the zoning bylaw amendment for short-term rentals was dismissed due to the royal assent of Bill 185 (the Cutting Red Tape to Build More Homes Act),” Redekop said.

However, those planning to rush out and apply for a short-term rental licence should perhaps reconsider, since there are no licences available.

“The Town has currently reached its licence limit,” the mayor said, referring to rules that say a maximum of 250 licences can be issued each year.

That limit could change though in the coming months.

“Staff will be preparing a report for council to consider modifications to the short-term rental licensing bylaw to align with the zoning amendments,” Redekop said.

That report is expected to come before council this fall.

Fort Erie’s short-term rental program began in 2020 to regulate the industry following concerns about fire safety, property maintenance and a lack of local contact, among others.

Last December a report came to council recommending changes to the official plan and zoning bylaw “to incorporate land use policies and regulations pertaining to short-term rentals (STRs) and to provide next steps in terms of a future report outlining proposed changes to the Town’s licensing bylaw including the STR licence cap and current waitlist.”

The bylaw permits dedicated STRs in commercial zones where residential uses are permitted, the R2B zone within the Crystal Beach neighbourhood, and waterfront residential zone west of Kraft Road to the town’s western boundary along Lake Erie.

Additionally, owner-occupied STRs are permitted in all residential zones that permit both a principal dwelling unit and a secondary unit, Redekop said.

With the appeal dismissed, staff can now move ahead with a report considering changes to the licensing cap and current waitlist.

Bill 185 includes several changes aimed at getting housing built more quickly. That includes restricting, in some cases, the ability to appeal to the OLT.

“These changes will focus third-party appeals for official plans, official plan amendments, zoning bylaws and zoning bylaw amendments to key participants (i.e. applicants, public bodies, First Nations and utility providers) to reduce costs and delays and help build homes faster,” a spring backgrounder on the legislation reads.

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