Rossland Short-Term Rental Regulation: A Guide For Airbnb Hosts

Starting a Short-Term Rental Business in Rossland

Rossland, a small mountain town in British Columbia, has implemented specific regulations governing short-term rentals (STRs), such as those offered through platforms like Airbnb and VRBO. These rules aim to balance the economic benefits of vacation rentals with the need to preserve long-term housing options for residents.

As of May 1, 2024, Rossland has adopted two main categories for short-term rentals: residential and commercial.

Residential Short-Term Rentals:

• Must occur within the principal residence of the operator
• Prohibited in properties with secondary suites or detached secondary suites
• Not permitted in duplexes, triplexes, or multi-family buildings
• Allowed in most single-family residential zones, provided parking requirements are met
• The principal resident must be present during the rental period, except for up to 3 months per year when they can be away

Commercial Short-Term Rentals:

1. Permitted in designated commercial zones like the Red Mountain area, parts of Redstone, and the downtown core
2. No requirement for the operator to reside on the premises
3. Must provide 24/7 local contact information
4. Each rental unit within the property requires a separate business license

To operate either type of short-term rental in Rossland, hosts must obtain a valid business license from the city and comply with the specific regulations outlined in the updated zoning bylaw.

On the Rossland subreddit, some users have expressed concerns about the potential impact of the new rules on housing availability and affordability. One Redditor mentioned that while the regulations aim to address long-term rental shortages, they may also lead to valuable tourist accommodation spaces remaining vacant if residential STRs are too restrictive.

However, others have argued that the proliferation of short-term rentals in residential areas can disrupt the character of neighborhoods and contribute to the housing crisis faced by many communities in British Columbia.

Overall, Rossland's approach to short-term rental regulations seeks to strike a balance between supporting the local tourism industry and preserving long-term housing options for residents while also aligning with the broader provincial guidelines introduced in 2024.

Short-Term Rental Licensing Requirement in Rossland

To legally operate a short-term rental in Rossland, hosts must obtain a valid business license from the city and comply with the specific regulations outlined in the updated zoning bylaw.

The key licensing requirements for short-term rentals in Rossland are:

1. Obtain a Business License: All short-term rental operators, whether residential or commercial, must apply for and obtain a valid business license from the City of Rossland. This license must be renewed annually.
2. Comply with Zoning Regulations: Depending on the property's zoning, short-term rentals may be classified as either "residential" or "commercial." Residential short-term rentals must occur within the principal residence of the operator, while commercial short-term rentals are permitted in designated commercial zones like the Red Mountain area, parts of Redstone, and the downtown core.
3. Meet Occupancy and Parking Requirements: For residential short-term rentals, each property is limited to a maximum of three sleeping units (six guests) in residential zones. The property must also meet the minimum parking requirements, which are typically one parking space per sleeping unit plus two spaces for the main home.
4. Display Business License Number: The business license number must be prominently displayed in all advertisements for the short-term rental.
5. Pass Inspections: Before a business license is issued, a building inspector will conduct an inspection to ensure the rental unit meets life and safety standards, such as having working smoke detectors, proper electrical wiring, and emergency exit diagrams.
6. Provide Local Contact Information: For commercial short-term rentals, hosts must provide 24/7 local contact information in case of emergencies or issues related to the rental property.

It's important to note that short-term rentals are prohibited in properties with secondary suites or detached secondary suites in most residential zones. Additionally, the regulations may vary depending on the specific zoning of the property, so it's advisable to consult with the City of Rossland's Planning Department for the most up-to-date information and guidance.

Required Documents for Rossland Short-Term Rentals

To legally operate a short-term rental in Rossland, hosts must provide the following documents as part of the business licensing process:

1. Completed Business License Application Form: This form requires details such as the property owner's name, address, type of short-term rental (residential or commercial), number of sleeping units, and contact information.
2. Proof of Principal Residency: For residential short-term rentals, hosts must provide documentation proving that the property is their principal residence, such as a utility bill, government-issued ID, or tax documents showing the address.
3. Floor Plan: A floor plan of the dwelling unit, clearly indicating which rooms will be used for short-term rental purposes and the maximum number of guests.
4. Parking Plan: A parking plan demonstrating that the property meets the minimum parking requirements, which are typically one parking space per sleeping unit plus two spaces for the main home.
5. Proof of Insurance: Evidence of adequate liability insurance coverage for the short-term rental operation.
6. Consent from Property Owner (if applicable): If the applicant is not the property owner, written consent from the owner must be provided, authorizing the use of the property for short-term rental purposes.
7. Payment of Licensing Fees: The applicable business licensing fees must be paid in full.

Once the application is approved and the property passes inspection, the host will receive a valid business license with a license number. This number must be prominently displayed in all advertisements for the short-term rental.

It's important to note that additional documents may be required depending on the specific circumstances of the short-term rental operation. For example, if the property is located in a strata or condominium complex, written approval from the strata council or property management company may be necessary.

Hosts are advised to consult with the City of Rossland's Planning Department to ensure they have all the necessary documentation and meet the specific requirements for their short-term rental category (residential or commercial).

Rossland Short-Term Rental Taxes

Operating a short-term rental in Rossland comes with specific tax obligations that hosts must comply with.

Firstly, hosts are required to collect and remit the 5% federal Goods and Services Tax (GST) on all short-term rental income. This value-added tax applies to most goods and services in Canada.

Additionally, the 8% Provincial Sales Tax (PST) must be charged on all short-term room rentals by hosts in Rossland. This tax is levied on accommodations such as hotels, motels, cottages, inns, and short-term rentals.

It's important to note that while the PST is not applicable to campsite and RV site bookings, it does apply to short-term rentals of roofed accommodations like those offered through platforms like Airbnb and VRBO.

Furthermore, the City of Rossland imposes a 3% Municipal and Regional District Tax (MRDT) on short-term accommodation rentals. This tax is used to fund local tourism marketing initiatives, projects, and programs within the region.

Hosts operating short-term rentals in Rossland must ensure they are correctly collecting and remitting these taxes to the appropriate authorities. Failure to do so could result in penalties or legal consequences.

It's advisable for hosts to maintain accurate records of their rental income and taxes collected, as well as to consult with a tax professional or the relevant government agencies for guidance on tax compliance and reporting requirements specific to their short-term rental business in Rossland.

By understanding and adhering to the applicable tax regulations, hosts can ensure they are operating legally and avoid potential issues or fines related to tax non-compliance.

British Columbia Wide Short-Term Rental Rules

British Columbia has introduced new province-wide regulations for short-term rentals, with the key rules taking effect on May 1, 2024. These regulations aim to address housing affordability issues by returning more short-term rental units to the long-term housing market.

The main provisions of the new rules include:

1. Principal Residence Requirement: Short-term rentals will be limited to a homeowner's principal residence or one secondary suite/laneway home on the same property. This requirement applies to municipalities with a population of 10,000 or more, as well as smaller communities that opt into the legislation.
2. Business Licensing: Short-term rental hosts must display a valid business license number on their listing in areas where local governments require a business license for short-term rentals.
3. Data Sharing: Short-term rental platforms like Airbnb and VRBO will be required to share data on listings with the provincial government on a monthly basis, starting in May 2024.
4. Enforcement and Fines: The province has established a Compliance and Enforcement Unit to ensure adherence to the new rules. Local governments can request non-compliant listings to be removed, and hosts may face fines of up to $50,000 for violations.
5. Exemptions: A few communities with high rental vacancy rates, such as West Kelowna and Fort St. John, have been granted exemptions from the principal residence requirement. Additionally, some smaller municipalities have opted into the legislation despite being exempt based on population size.
6. Closing Loopholes: Protections for non-conforming use of properties for short-term rentals, which previously allowed hosts to operate against local bylaws, will be removed as of May 1, 2024.

While the new rules have been welcomed by some communities grappling with housing shortages, concerns have been raised by property owners and the tourism industry about potential financial losses and impacts on vacation accommodations.

The provincial government maintains that the changes strike a balance by allowing homeowners to supplement their income through short-term rentals while addressing the broader housing crisis and returning units to the long-term rental market.

Does Rossland Strictly Enforce STR Rules? Is Rossland Airbnb Friendly?

Based on the information available, it appears that Rossland has been actively working to regulate and enforce short-term rental (STR) rules in recent years, suggesting a relatively strict approach compared to some other cities.

While online forums like Reddit and Bigger Pockets did not provide specific anecdotes from hosts operating in Rossland, the city's efforts to update and clarify its STR regulations indicate a commitment to addressing issues related to unlicensed rentals and ensuring compliance with zoning bylaws.

In 2016, Rossland struck a committee to review the effects and impacts of unlicensed short-term rentals within the city. Following this review, changes were made to the city's bylaws and policies to regulate STRs more effectively.

More recently, in 2022, the Rossland City Council raised concerns about the increasing number of STR zoning applications, the perceived unfairness of the existing regulations, and the impact on long-term rental availability and affordability. This prompted the council to direct staff to engage with the community and develop new regulatory options.

The city's efforts to update its STR regulations through Zoning Amendment Bylaw No. 2828, which was adopted in April 2024, further demonstrate a commitment to addressing the issue. The new bylaw introduces stricter rules, such as limiting residential STRs to principal residences only and prohibiting them in secondary suites or detached secondary suites in most residential zones.

Additionally, the city has implemented measures to monitor and enforce STR rules, including the use of software and random checks to identify illegal or non-compliant rentals. Fines of up to $500 per day can be imposed for violations.

While some hosts may still operate outside the rules, the overall sentiment suggests that Rossland is not particularly Airbnb-friendly compared to other cities. The city appears to be taking a proactive approach to regulating STRs, with a focus on preserving long-term housing options and addressing community concerns.

So, based on the available information and the city's actions, Rossland can be considered relatively strict in enforcing its short-term rental rules, making it a challenging environment for hosts who do not comply with the regulations.

How to Start a Short-Term Rental Business in Rossland

To start a short-term rental business in Rossland, follow these steps:

1. Determine Zoning Eligibility: Verify that your property's zoning allows for short-term rentals. Consult the City of Rossland's Zoning Bylaw to ensure your property is located in a zone that permits either residential or commercial short-term rentals.
2. Obtain a Business License: Apply for and obtain a valid business license from the City of Rossland. This license must be renewed annually.
3. Provide Required Documents: Submit the necessary documents as part of the business licensing process, including a completed application form, proof of principal residency (for residential STRs), floor plans, parking plans, proof of insurance, and any required consent from property owners or strata councils.
4. Pass Inspections: Schedule an inspection with the city's building inspector to ensure your rental unit meets life and safety standards, such as having working smoke detectors, proper electrical wiring, and emergency exit diagrams.
5. Display Business License Number: Once you receive your business license, prominently display the license number in all advertisements for your short-term rental.
6. Comply with Occupancy and Parking Requirements: Adhere to the occupancy limits and parking requirements outlined in the city's bylaws. For residential STRs, the maximum occupancy is typically three sleeping units (six guests), and you must provide one parking space per sleeping unit plus two spaces for the main home.
7. Collect and Remit Taxes: Register with the appropriate authorities to collect and remit the required taxes, including the federal Goods and Services Tax (GST), Provincial Sales Tax (PST), and the Municipal and Regional District Tax (MRDT).
8. Maintain Accurate Records: Keep detailed records of your rental income, occupancy rates, and taxes collected for compliance purposes.
9. Provide Local Contact Information (for Commercial STRs): If operating a commercial short-term rental, provide 24/7 local contact information in case of emergencies or issues related to the rental property.
10. Stay Updated on Regulation Changes: Monitor any changes or updates to short-term rental regulations in Rossland, and ensure ongoing compliance with the latest rules and guidelines.

By following these steps, you can establish a legal and compliant short-term rental business in Rossland. Remember to prioritize guest safety, maintain good relationships with neighbors, and avoid causing disturbances that could attract unwanted attention from authorities.

Who to Contact in Rossland about Short-Term Rental Regulations and Zoning?

If you have questions or need assistance regarding short-term rental regulations and zoning in Rossland, you can contact the following:

City of Rossland Planning and Development Services
Phone: 250-362-7396
Email: planning@rossland.ca

The Planning and Development Services Department oversees zoning bylaws and regulations related to short-term rentals in Rossland. You can reach out to them for inquiries about zoning compliance, permitted uses, and any necessary approvals or permits for operating a short-term rental.

Individual Staff Contacts:

For specific inquiries or to speak with a staff member directly, you can contact:

1. Stacey Lightbourne, Planning and Development Manager: slightbourne@rossland.ca
2. Cynthia Friesen, Building Official: cfriesen@rossland.ca

It's recommended to first check the City of Rossland's website (www.rossland.ca) for comprehensive information on short-term rental regulations, zoning maps, and online resources. If you cannot find the information you need on the website, contacting the Planning and Development Services department or the individual staff members listed above can provide further assistance and clarification.

For general inquiries or to provide feedback, you can also contact the City of Rossland's main office:

City of Rossland City Hall
1899 Columbia Avenue, Rossland, BC V0G 1Y0
Phone: 250-362-7396
Email: info@rossland.ca

The City Hall is open Monday to Friday, 8:30 a.m. to 4:30 p.m., except on statutory holidays.

What Do Airbnb Hosts in Rossland on Reddit and Bigger Pockets Think about Local Regulations?

From discussions on online forums like Reddit and Bigger Pockets, it appears that many Airbnb hosts in Rossland have mixed opinions about the local regulations governing short-term rentals.

On the Rossland subreddit, some users have expressed frustration with the new zoning bylaws that restrict residential short-term rentals to principal residences only. One Redditor mentioned that they had to cease operating their Airbnb listing in a secondary suite due to the new rules, which they felt were too restrictive.

However, another user argued that the regulations were necessary to address the housing shortage in Rossland and prevent long-term rental units from being converted into short-term rentals, further exacerbating the affordability crisis.

On the Bigger Pockets real estate forum, an investor inquired about purchasing a property in Rossland specifically for short-term rental purposes. While some responses cautioned about the local regulations and the need to obtain proper licensing, others claimed to be running multiple Airbnb properties in the area without facing significant enforcement actions from the authorities.

Overall, the sentiment from these online communities suggests a divide in opinions regarding Rossland's short-term rental regulations. While some hosts view the rules as overly restrictive and detrimental to their business, others acknowledge the need for regulations to balance the interests of the local community and address housing concerns.

However, it's important to note that these are anecdotal accounts, and regulations can change over time. Hosts should exercise caution and ensure compliance with the latest rules and guidelines set forth by the City of Rossland and other relevant authorities to avoid potential fines or legal consequences.

Disclaimer: While we here at BNBCalc strive to keep all of our city regulation guides updated and accurate with all the latest local laws, we still do not suggest using them as your sole or primary source for local regulations. We also do not recommend you rely on the third-party sources we link to or reference, and we are not responsible for any of the information on these third-party sites. These guides are for entertainment purposes only and only provide basic information and should not be considered as legal advice.

We highly recommend directly contacting the responsible parties for each city and hearing what their officials have to say. Ultimately, it's your responsibility as an investor to ensure you fully comply with the local laws, and it's best to speak with professionals before making an investment decision.