Short-Term Rental Licensing Bylaw Now in Effect

City’s Short-Term Rental Licensing Bylaw Now in Effect
Posted on 11/03/2023
The City of Charlottetown’s Short-Term Rental (STR) Licensing Bylaw came into effect Nov. 1, 2023. All STR owners/operator hosts in Charlottetown must register their property with the City annually and will be subject to compliance requirements and inspections.

STR owners/operator hosts must submit a completed application to the Planning and Heritage Department at [email protected] along with the following:

• An application fee of $175.
• Proof of ownership, or, if operators/hosts are not property owners, a lease agreement from the owner giving consent to operate the rented/leased unit as an STR.
• Proof of insurance.
• An emergency exit plan.

Note that owners/operator hosts with a current provincial Tourism Establishment License do not require an STR License from the City until the provincial license expires on March 31, 2024. The provincial Tourism Establishment Licence and municipal STR License must be renewed before April 1 each year.

Previous changes to the Zoning and Development Bylaw and Tourism Accommodation Levy Bylaw governing STRs in Charlottetown have been in effect since March 28, 2023. These amendments included defining eligibility to operate an STR within city limits and broadening the Tourism Accommodation Levy (TAL) collection to include establishments not previously obliged to remit.

Owner/operator hosts of STRs in the city are required to collect and remit TAL, a 3% remittance, payable to the city and applicable to all properties on stays of less than 30 days. The TAL is a tourism-industry supported tax which is distributed to Discover Charlottetown, Meetings and Conventions PEI, and the Charlottetown Special Events Reserve Fund to support economic development opportunities within the tourism sector.

Penalties for those found violating regulations in the STR Licensing Bylaw range from $200 to $10,000 for each day on which the offence continues after the revocation of a municipal STR license. Those found not in compliance with remitting the TAL will not be eligible to renew their STR license.

More information on the STR Licensing Bylaw including property eligibility and registration, as well as TAL remittance, is available on the City’s website.