— Rental bylaw proving difficult to enforce —
(OSOYOOS TIMES — September 27, 2006) —
By Julie TurnerrnOsoyoos Times
Emotional pleas from a frustrated condo owner have pushed Osoyoos Town Council to agree to work on a solution for the thorny issue of short-term, illegal rentals.
Lloyd Searcy, a resident owner at Desert Mirage complex on Main Street in East Osoyoos, said at the September 18 Council meeting that action was promised by Mayor John Slater earlier this summer but nothing has changed. Searcy feels the condo owners are not being protected and the Town's lack of bylaw enforcement makes it look weak.
He says illegal rentals are having a serious impact on the well-being of a number of the owners, provoking ailments like bleeding ulcers and high blood pressure.
We have just had the summer from hell because of the strife in the building. This is our home, and every Saturday we go through a changeover and we watch these people come in with their bags, groceries, kids and boats and they take over the pool and basically take over the building.rnHe adds the illegal rentals are causing a loss of revenue to hotel, motel and bed-and-breakfast owners, and says he recently counted 38 illegal renters by the complex's pool. One unit had 14 people staying in it.
Osoyoos Now President Michael Ryan says the issue deserves Council's urgent and determined attention.rnHe told Council that Osoyoos Now supports the Desert Mirage resident owners, and owners in other local developments facing the same problem, and presented an internet list of other condos and townhouses being offered for weekly rental.
Persistent violations of bylaws that go unchecked cause bylaws and their enforcement to be held in contempt. He cautions failure to enforce the bylaw will lead to more violations, but enforcement will send a message that the Town is serious about having its bylaws followed.
The short-term rental situation has pitted neighbour against neighbour “ those who choose to ignore the CD-1 zoning bylaw (which only allows rentals of one month or longer) and continue renting their units on a short-term basis, against those who want to enjoy the comfort and security of their condos without putting up with a revolving door of renters.
The strata council is willing to enact its own bylaw banning short-term rentals but it needs 75 per cent of owners to agree, which it doesn't have.
Part of the problem stems from early sales of the condos at Desert Mirage, when the developer told buyers they would be able to rent out on a short-term basis. Searcy says when the Town informed the developer rentals of less than one month would not be allowed, the developer offered to buy back units from people who had bought prior to September 2005, when the bylaw was adopted. Once that happened, Searcy says owners no longer had an excuse to say they bought believing they could rent on a weekly basis.
Some condo owners are operating what Searcy calls a tourism business, advertising their units for weekly rentals over the internet and using private booking agents to handle the transactions.
At the same time, other owners at Desert Mirage say they have a legal opinion stating the bylaw is not enforceable. Searcy points to the Osoyoos Times story of August 16 in which owner Ed Schweitzer says he rents his unit short term and will continue to do so.
My question is: what did you do about that? That's an admission of guilt; surely to goodness you must have followed up on that. Searcy also said he had previously informed the mayor that Desert Aire Realty was renting condos illegally at Desert Mirage, and was led to believe the mayor would revoke its business license for a week.
Did that happen? We need you to respond to our concerns with a plan. What is your plan for the next year? If you've got a legal opinion, what does it say? What are you going to do for bylaw enforcement? He adds Penticton and Kelowna have similar bylaws which could have more teeth and could be examined as models.
Chief Administrative Officer Helen Koning says the Town has heard, anecdotally, of people paying for a full month's rental of units, staying for one week and then receiving a refund for the unused weeks. She also points out there have been cases where registered letters have been sent to suspected condo renters, but the letters are refused. She adds, We're looking for evidence of infractions.rnDesert Aire Realty owner and property manager Carol Youngberg says her company did not contravene the bylaw or the Real Estate Act. In fact, letters were mailed out to all condo owners September 12 to make them aware we would not be putting in place any monthly rental agreements where tenants were not going to stay the entire month.rnYoungberg adds she did receive a letter and a phone call from the mayor indicating what the repercussions are for contravening the bylaw, and says further, People in the property management business should be invited to create a task force committee to work with the Official Community Plan Committee and the Town on the rental issue.
Everyone “ Council, Searcy, Ryan and Koning “ agrees the bylaw is difficult to enforce.
Slater says Council recognizes and has faced the issue many times over the past year. He agrees that those renting short-term are breaking the law.
People that bought [condos at Desert Mirage] under those perceived rules are incorrect. You're absolutely right; it is a residential facility, not a commercial facility. However, he says the Town's problem is proving illegal activity. Slater said when the bylaw officer knocks on a door, he is told, 'Oh, we're not renting; we're just friends of the owner.'
He points out the Town doesn't have the authority to enter units and challenge that. And court costs, even if an illegal rental is proven, may amount to far more than any fines collected per offence.
Don't get me wrong. I really sympathize with you. Your facility isn't the only facility. There are single family dwellings right on the lake that are being rented out for $3,500 a week. Fines here and there are just the cost of doing business to these property owners.
The rest of Council also says it empathizes with the condo owners and admits it has been struggling with the issue of bylaw enforcement.
Councillor Ted Cronmiller, a reserve RCMP constable, says he understands the difficulty of prosecuting a court case even if a good case were to be found.
Slater says the Town will gather as much information as possible and will work this fall on resolving the issue.
Councillor Allan Carswell says he has lived next door to a weekly rental home and understands the frustration of Desert Mirage resident owners.
We don't want to let this slide, and maybe what we need to do is set a date, get all the interested parties around the table, and work out a solution.rnCouncillor Stu Wells invited Searcy and Ryan to hold our feet to the fire. Let's get this thing resolved.rnSearcy said the next morning he believes the Town is trying to be responsive.They just need to find a way to enforce the bylaw. We will certainly work with the Town towards a solution. There are lawful people at Desert Mirage who are determined to find a lawful solution to the problem.rnHe emphasizes Desert Mirage owners want to make sure all owners in town follow the bylaw, not just those at his complex, and adds a number of hotel/motel owners support his position.
The hotels in town lost a significant amount of revenue each night that could have been used to create employment in Osoyoos. And local restaurants likely lost business that would have come if these renters had stayed in hotel rooms. We need to resolve this issue once and for all.
