Short-Term Rentals

Short-term rental licensing

Short-term rental licensing is a comprehensive program set out by municipal by-law. Council for the Municipality of Bluewater is moving to licensing to balance the economic benefits of short-term rentals with the needs of the neighborhoods where they exist. Licensing ensures the safety of operators, renters and neighbours so that everyone may have an enjoyable experience in Bluewater.

Status of application process

Council adopted By-law 68-2023 to license, regulate and govern the operation of short-term rentals on June 19th, 2023. The application period for existing short-term rentals has changed.

The short-term rental by-law prohibits new licences under two conditions. The first condition is when the percentage of properties on a street exceeds 15 percent. The second condition is when the property adjacent currently has a valid licence. Licences for new short-term rentals were delayed until all existing short-term rental applications were issued or reviewed.

Many existing short-term rentals within Bluewater have not obtained licenses. Council addressed this at its September 18th, 2023, meeting by changing the short-term rental by-law. By-Law 88-2023 amends the current by-law to require that all existing short-term rentals apply for licences prior to September 30th, 2023.

All applications received after September 30th, 2023, will be reviewed as new applications and are subject to the location restrictions. More information about location limits for proposed new rentals can be found on this page under Location limits for proposed new rentals.

Convenience copies of By-law 68-2023 and By-law 88-2023 are available for review. To request a copy of the signed version of the by-law, please contact the municipal office. 

What is a short-term rental?

Short-term rentals are habitable living spaces that are rented out for less than 30 consecutive days. They may be operated by someone out of their own home. It should be noted that bed and breakfasts are considered short-term rentals for the purposes of the licensing by-law. However, this use must also be permitted in the Bluewater Zoning By-law. Short-term rentals might operate out of a property that was purchased specifically for the purpose of renting to others.

What type of rentals must apply for a licence?

All existing and new residential short-term rentals must apply for a licence. Short-term rentals qualify as existing if operators can provide proof that the operation existed in the period between April 30th, 2022, and May 1st, 2023. Existing rentals will be exempted from location limits set out in the by-law. Property owners starting or continuing to operate a new short-term rental are required to obtain a municipal licence prior to the applicable, required implementation date.

All existing short-term rentals shall apply for licences prior to September 30th, 2023. All applications made after September 30th, 2023, will be reviewed as new applications and subject to the location restrictions.

Licence implementation will occur in three stages

Complete applications will be considered—and licences will be issued—on a ward-by-ward basis. This is to assist staff with the workload.

It is not necessary for you to know the ward where your property is located because all applications are submitted at the same time and your property roll number identifies the ward.

Bluewater is divided into seven wards. The wards are Bayfield, Hensall, Zurich, Stanley East and West, and Hay East and West. You may be familiar with the wards because they are used to identify electors during a municipal election. You may find the ward boundaries on the ward map.

Staff will issue licences by the three implementation dates.

Ward Implementation Stage Implementation Date
Bayfield First stage July 4th, 2023
Hay West Second stage July 25th, 2023
All remaining wards: Stanley East and West, Hay East, Hensall and Zurich Third Stage August 15th, 2023

 

Before you begin, here's what you need to know

The short-term rental licensing by-law is comprehensive. Major requirements are listed here. Please note that this is not an exhaustive list. You are responsible for being aware of the details set out in the short-term rental licensing by-law.

For your convenience, the Municipality has made an online short-term licensing application form available. You can access the form using the apply now button at the top of this page. Applications shall include all information required by the licensing by-law. Various options will be made available for the fee payment. 

No location limits for existing, bona fide rentals

Existing short-term rentals that apply for licensing and have submitted proof that the operation was in existence between April 30th, 2022, and May 1st, 2023, are exempt from the two location limits listed under location limits for proposed new rentals.

All existing short-term rentals shall apply for licences prior to September 30th, 2023. All applications made after September 30th, 2023, will be reviewed as new applications and subject to the location restrictions.

Location limits for proposed new rentals

The two location limits set out in the short-term rental licensing by-law will apply to proposed new rentals. The limits are:

  1. There is a licensed short-term rental abutting the property for which a short-term rental licence is being sought.
  2. The number of licensed short-term rental premises exceeds 15 percent of all premises fronting on the street for which a short-term rental licence is being sought.

Notes for the application

Review the information in these panels to learn more about the application process and what is needed to apply.

Be prepared to answer the questions in the application. Review the document checklist found under the application checklist tab. Prepare and collect the documents listed. You may need to collect signatures from the property owner. Plan how you will pay the fee.

Generally, you will need to know contact information and details about the property and dwelling.

This is a checklist of information required for an application:

  • Application form
  • Proof of property ownership
  • Names and addresses of parties in a legal partnership
  • Owner's authorization where applicable
  • Owner's attestation
  • Government-issued identification
  • Proof of liability insurance which includes a liability limit of no less than $2 million dollars ($2,000,000.00) per occurrence for property damage and bodily injury, and identifies that a short-term rental is being operated on the premises
  • Proof that rental existed between April 30th, 2022, and May 1st, 2023
  • Responsible person's information
  • Site plan
  • Parking management plan
  • Fire safety plan
  • Proof of septic maintenance, inspection and pump-out services within the last five years
  • Current photo of the exterior front of the short-term rental building (must not be hidden by large trees, shrubs, etc.)
  • Fee

Templates are available in the helpful resources section to assist with drawing the plans. Please contact development services if you need a template.

Fill out the online form and submit all the required information and fee. Submit one application form per short-term rental property.

These shall be received by the Municipality no later than the applicable implementation date for existing short-term rentals and immediately following an application for a new short-term rental.

Printed forms are available upon request from the Development Services department.

Yes. As the property owner, you must give written and signed authorization to another person to apply for a licence on your behalf.

A non-refundable fee of $750.00 shall be paid with each registration. Payment options are cash, cheque, debit or online banking using customer ID. At this time, online banking is not available to customers of CIBC, TD or RBC. We are working to resolve this issue. Customer IDs are assigned when filling out the application form and requesting an invoice. Once you receive the invoice, you will find it includes your customer ID.

Send mail to: Municipality of Bluewater, 14 Mill Ave., Zurich ON  N0M 2T0

Fees shall be received by the Municipality no later than the applicable implementation date for existing short-term rentals and immediately following an application for a new short-term rental.

Yes. The Manager of Development Services shall receive applications and fees no later than the applicable implementation date for existing short-term rentals and immediately following an application for a new short-term rental. Late or incomplete submissions will not be accepted. Failure to submit the application and fee by the due date means the short-term rental will not receive a licence.

All existing short-term rentals shall apply for licences prior to September 30th, 2023. All applications made after September 30th, 2023, will be reviewed as new applications and subject to the location restrictions.

Complete applications will be reviewed on a ward-by-ward basis. A licence is issued by the Municipality.

A licence is valid for one year from the date of issuance. Licences cannot be assigned or transferred.

Helpful Resources

These templates can be downloaded and used to create your own site plan, parking management plan and fire safety plan. Note that the site plan and parking plan can be shown on the same drawing.

Can I continue to operate?

You may continue to operate a short-term rental that has submitted a licence application. However, a municipal licence must be issued by the implementation stage date that applies to your ward, as noted above, for the rental to continue operating after that date.

Licences cannot be assigned or transferred. Individuals who have just purchased a short-term rental property must apply for a licence before beginning to rent.

Property Inspection

The Manager of Development Services shall receive and process all applications for short-term rental licences and for renewal of a short-term rental licence. The Manager may request comments from other departments or agencies in respect of the short-term rental. The Manager may require an inspection of the short-term rental prior to deciding on the application. Terms and conditions may be imposed on short-term rental licences in accordance with this by-law and as necessary to give effect to the by-law.

Licences are good for one year

A short-term rental licence expires exactly one year after the date of issue unless it is renewed or revoked. The expiry date is shown on the licence.

Appeals

Operators may appeal a refusal, revocation, or suspension of a licence to Council. The licensing by-law sets out the terms of the appeal. A request for an appeal shall be made in writing to the Manager, setting out the reasons for the appeal. The appeal must be made within fourteen (14) days after service of the written notice of the Manager’s decision. Council shall meet within 30 days after receiving the application for appeal.

Frequently asked questions

Many questions can be answered by reviewing these frequently asked questions.

Several people may be involved with rentals on your property; however, the property owner is ultimately responsible.

The owner shall assign and identify a responsible person for managing and addressing issues in the absence of the owner. The responsible person must be located within 30 minutes of the rental property and be available for emergency calls.

The owner may also authorize another person to apply for a licence on their behalf. Permission must be written using the form provided by the Municipality.

Renters shall adhere to a written code of conduct. A form is provided by the Municipality.

The number of renters is based on the number of bedrooms plus two. A bedroom means a room or area used, designed, equipped, or intended for sleeping and as defined by the Ontario Building Code. The maximum permitted occupancy shall not exceed two (2) persons per bedroom per short-term rental at any given time. A maximum of two additional occupants or renters are permitted above the bedroom occupant load set in accordance with the by-law, unless the septic design or parking management plan limits the number of occupants/bedrooms then maximum occupancy will be based on respective design.

For example, a three-bedroom dwelling has a permitted occupant load of eight (8) persons.

Visitors are permitted provided the maximum occupant load is not exceeded on the property.

Owners are required to do a visual inspection of their septic system to ensure the system is in good working order and submit a record of the pump out. This includes a receipt or letter.

The Ontario Building Code includes the size requirements for onsite sewage (septic) systems. The Code states that for residential dwellings, the size of a sewage system is based on the number of bedrooms, finished area of the dwelling and the number of plumbing fixtures. Anyone concerned that a sewage system is not working properly can contact the municipal office and the complaint will be investigated. Every sewage system requires regular maintenance to ensure it is operating safely and efficiently.

No, they do not. A hand-drawn map or diagram is acceptable. Note that the site plan and parking plan can be shown on the same drawing. Templates are available. Drawings must be legible, detailed and show all structures, parking area, septic system, street, etc.

The property owner must hold liability insurance of not less than $2 million dollars per occurrence for property damage and bodily injury and identifies that a short-term rental is being operated on the premises.

The Municipality issues a licence. The licence is valid for one year from the date of issuance. The property owner is responsible for adhering to the rules set out by the by-law. Demerits are handed out for failure to comply. Total demerits may mean that the licence will be suspended or revoked.

Without prejudice, demerit points may be assessed against a short-term rental under specific conditions. Demerit points shall remain in place for two years from the date they were assessed. A short-term rental licence may be suspended for not longer than six months if the total demerit points is at least seven (7). A licence may be revoked if the total demerit points is at least fifteen (15). The Municipality will notify the owner of a suspension or revocation of a short-term rental licence. A full explanation of the demerit point system can be viewed in the by-law.

Licences cannot be transferred with the sale of a property. The licensee shall notify the Manager of Development Services within ten (10) days of any changes. Changes to provide to the Manager of Development Services include:

  • Ownership changes (property or business)
  • Address changes
  • Liability insurance policy changes
  • Changes to a plan (site, parking, fire)

The purchaser cannot assume that notification will be provided by another department within the Municipality of Bluewater.

Information can be updated using the Update My Information button found near the top of this page.

The Municipality encourages continued participation and feedback from all stakeholders. Complaints can be submitted about a perceived infraction of a local municipal by-law using the Report A Concern feature found at the top of our webpages. The Development Services department in charge of short-term rental licensing works closely with by-law enforcement officers.

You may also submit a written request for information.

Municipal law enforcement officers enforce municipal by-laws. When a complaint is received, it is investigated to determine if there has been a by-law violation. The appropriate action will then be taken to resolve the matter. At any time, an officer may enter onto land for the purpose of carrying out an inspection to determine whether by-laws are being obeyed.

Council discussed additional regulations and weighed the benefits and drawbacks of licensing short-term rentals. Council determined that a strict enforcement policy is the best solution at this time for enforceable by-laws (e.g. noise, fire, parking).

The zoning by-law does not prohibit the use of a dwelling unit to be rented (e.g. entire cottage or home) for any length of time (e.g. short term or long term). However, if a room rental is provided, providing or selling meals and/or drink is strictly prohibited as this would be considered a bed and breakfast establishment. Bed and breakfasts are only permitted on properties with zoning permitting that use.

The zoning by-law can be found on our by-laws page.

Council started to discuss short-term rentals in the municipality in 2020. The issues discussed locally were being experienced by municipalities across Ontario.

In 2021, Bluewater began educating short-term rental operators and visitors about important by-laws that visitors and residents must follow.

In 2022 and 2023, staff and Council worked together to consult with residents, operators, and visitors for the purpose of licensing short-term rentals. Public consultation occurred in the form of an online survey, public meetings, and personal conversations.

A 90-day public survey in the summer of 2022 received over 800 responses. Dozens more emails and personal conversations were received from stakeholders since the end of the survey.

Three special Council meetings were held to receive additional public and Council feedback. A presentation can be viewed in the in the October 12th, 2022, Council agenda package.

Council reports include:

We're neighbours

The Municipality of Bluewater is building one community. We value our heritage, respect our shared environment, and celebrate our culture. Together, we will grow responsibly.

The short-term rental licensing by-law was crafted with considerable guidance from residents, operators, Council, and other municipalities. It was designed to help protect the safety of operators, renters and neighbours so that everyone may have an enjoyable experience in Bluewater.

Operators protect their neighbours and renters by submitting plans and agreements to the Municipality for approval. For example, the fire plan shows renters where fire exits and extinguishers are located and more. The parking plan shows neighbours how the operator will prevent vehicles from parking on the road allowance or their front lawn.

Renters protect operators and neighbours by acknowledging their responsibility to keep the unit clean and gatherings reasonable. Lakeshore cottages and rural residences not located in a village are serviced by an on-site sewage system. Learn how to do your part to protect the natural environment. From time to time, the Municipality or County may restrict outdoor watering or fires. Visit the main page on the website to see if any such restrictions are in place or to find other information such as garbage and recycling pick up schedules.

Be courteous and respectful of your neighbours’ concerns. Work together to resolve them. Share concerns with the rental operator or designated responsible person. If the concerns are not resolved and they are regulated by a municipal by-law, they can be reported to by-law enforcement. Use the report a concern feature at the top of our webpages to report a concern online.

Visit our by-laws page to see what local by-laws you should be familiar with when visiting.

For questions or more information, contact the Administrative Assistant for Development Services or the Manager of Development Services. 

Updates related to short-term rental licensing are shared in the news section of our website and through our social media pages. Make sure to check back often. 

Municipality of Bluewater
14 Mill Avenue
ZURICH, ON
N0M 2T0
Phone: 519-236-4351
or 1-877-236-4351
Fax: 519-236-4329
Send an Email

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