By Lyonel Doherty

If you operate a vacation rental in Oliver, you are not in compliance with municipal law. But that will soon change as the Town looks at a new policy to permit their use.

On Monday, council passed a recommendation to bring forth amendments to the zoning bylaw, OCP and business licence bylaw to permit vacation rentals in the community.

Randy Houle, director of development services, said the reason the Town wants to regulate these accommodations is to ensure that health and safety regulations are met.

He said short-term rentals are being operated in Oliver with or without municipal approval, noting there are currently 28 rentals being advertised.

About 15 (54 per cent) have a business licence, he pointed out. Sixteen are listed as secondary suites, but it is unknown how many are legal.

Houle said because of the impact on local motels and hotels, the only commercial zone that vacation rentals would be permitted in would be the Town Centre.

Another recommendation is to increase the parking requirements for bed and breakfast (BNB) establishments (to one space for every two guest suites).

Houle said proper parking would have to be provided before any business licence is issued.

Mayor Martin Johansen said some vacation rentals operating today would not meet current requirements and would have to make changes. He also said there is no such thing as a vacation rental in a recreational vehicle.

Chief Administrative Officer Cathy Cowan agreed with that assessment.

Houle said they would have to change the definition to exclude RVs.

Councillor Petra Veintimilla said she was surprised that vacation rentals would be permitted in the Town Centre zone considering how close it is to area motels and the hotel. Her concern is that these rentals would be cutting into that market and setting up competition with the motel district.

Johansen raised a concern that the owners of these downtown buildings would not be required to live on the premises where they are offering vacation rentals.

“That’s a bit of a red flag for me.”

Houle said it is unlikely that the owners would be living there.

But Councillor Dave Mattes said principal owners in any zone have to be present to deal with potential problems, such as noise complaints and parking issues.

“If (these) people are not going to be there, they have to apply for a rezoning as a hotel.”

Councillor Larry Schwartzenberger said he would like to see a cap on the number of businesses that people are allowed to operate in their homes.

He noted there should not be two or three businesses in one home.

“It’s not a strip mall, it’s a single-family neighbourhood.”

Oliver resident Doug Strand, who lives on Panorama Crescent, said he is subjected to a number of risks because his neighbour operates, what he believes, is an illegal short-term rental.

“I don’t know if my neighbour has adequate insurance, I don’t know if he has a legal suite. I know he does not have a business licence.”

Strand said if the basement rental suite next to his home blows up (for some reason) and his house is damaged, the rental owners may say they don’t have to pay if the suite is not legal.

“Not knowing whether or not these places have a legal suite, I think, can put the Town at risk because I believe they put myself at risk.”

Mattes interrupted Strand and asked if he had a specific question.

“Yes, are you going to deal with all of the risks that residents have because of these rental places? Are you going to be looking at enforcement as a way to ensure the neighbours aren’t hurt by this?”

Schwartzenberger responded by saying Town staff take the municipality’s protection very seriously and will look into the points that Strand brought up.

The resident continued by adding that staff even admit that vacation rentals in Oliver will likely operate regardless if policies are amended to permit their use.

“I have a concern about that because there appears to be a reputation that bylaws are not enforced in this town.”

Local resident Alec Munro, who operates a vacation suite, raised a concern about the increase in licence fees, with the rationale being to keep on par with hotel and motel fees. (Town staff have recommended that the business licence fee for vacation rentals be higher than the home occupation fee of $75. The proposed fee of $200 is on par with a hotel or motel licence fee and creates a level playing field, according to staff.)

“I have a one-bedroom suite so it’s difficult for me to be on par with a 50-room motel,” Munro said.

He stated this doesn’t make sense other than it being a “money grab” for the Town.

He stressed that vacation rentals are not on par with motels and are not in direct competition with them.

Houle recommended limiting the total occupancy of vacation rentals to two per bedroom to a maximum of six.

He also recommended amendments to the business licence bylaw, including the removal of the $750 deposit for enforcement costs . . . only if vacation rentals are operated by an owner with a principal residence on site. He noted that owners should be able to manage nuisance activities without bylaw enforcement.