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Short-term rentals in Kawartha Lakes may soon require licensing, site inspection

Short-term rentals have long been a sore topic for many Kawartha Lakes residents. After years of being impacted by frequent parties, the municipality has stepped in to find a solution for homeowners. Sam Houpt has the story – Jun 6, 2023

The City of Kawartha Lakes wants property owners to undergo property inspection and pay a licensing fee before allowing their homes to be used as short-term rentals.

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Over the past five years, a number of homeowners, especially those on waterfront properties, have raised concerns about noise levels, vandalism and partying at properties being used as short-term rentals in the Kawarthas.

The municipality says more than 1,000 properties are listed for short-term rentals. However, as Mayor Doug Elmslie noted earlier this spring, “a small percentage become party houses and they cause a great deal of grief.”

A survey last winter found 68 per cent of respondents supported short-term rentals but 74 per cent felt the sites should be regulated and licensed.

In April a municipal task force was created to focus on the issue and on Tuesday ,recommendations were brought forward to city council.

Coun. Charlie McDonald, a task force member, says unhosted rentals are primarily having the biggest impact on nearby homeowners.

“People are buying houses and making a lot of money putting people in houses which is causing the problems we are faced with today,” he said. “So I think by putting this licensing in we’re going to be able to address the issues that we see that aren’t being taken care of, and aren’t looked after, and aren’t hosted.”

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The task force recommends the municipality establish a licensing bylaw for short-term rentals, which would include a property inspection and a licensing fee to host guests.

The licence would determine how many guests are permitted at the property. Renters would also need to be at least 25 years old to book a site.

A demerit point system is also recommended. A licence would be suspended for six months after seven demerit points for infractions. Following 15 demerit points, an owner would lose their licence to operate a short-term rental.

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There’s also a recommendation for a complaint intake line to handle complaints to relay to either rental owners or police, or both.

“We’re going to hire a vendor that will be open 24 hours a day, seven days a week, and will be able to address all the issues in real-time,” McDonald said.

During Tuesday’s council meeting, some residents addressed concerns about the proposed occupancy limit which is based on the number of bedrooms at a rental.

“Our concern is that five or 10 families could overuse a septic system designed for a single-family, three-bedroom dwelling,” said Barry Howe.

Some residents argue the number of occupants at a short-term rental should be based on a home’s septic system capacity.

“The owners should be required to obtain a licence for re-inspection of their septic or holding tank,” said Nadine Heaslip. “That it should determine it is in good working order, the size of the tank, and the occupant capacity.”

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Although council endorsed the recommendations, there is also a further examination of potentially limiting the number of short-term rentals per neighbourhood.

The recommendations go for final approval at council’s next meeting on June 20.

If approved, city staff propose a “soft start” to the short-term rental bylaws in July to allow the municipality time to create its licensing program before launching it fully next year.

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— with files from Sam Houpt/Global News Peterborough

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