To the Honourable the Legislative Assembly of the Province of British Columbia, in Legislature Assembled:
The petition of the undersigned, Residents, Businesses and Short-term Rental Operators of British Columbia, of the Province of British Columbia, states that:
The provisions under Section 36 (2) and (3) of the newly introduced Bill 35 – 2023, titled the Short-Term Rental Accommodations Act, pose a significant challenge to compliant short-term rental operators, particularly small-scale investors. These provisions undermine the common law doctrine of "acquired rights" / nonconforming use, encapsulated within the Local Government Act and the Vancouver Charter, potentially leading to numerous legal challenges and infringing on the acquired rights of property owners.
Additionally, the change from short-term to long-term rental or personal use as necessitated by the new regulations under Section 36 may trigger a change of use under GST regulations, resulting in a 5% tax liability for property owners. This unforeseen tax burden is unjustified for those who have adhered to previous regulations and further exacerbates the financial challenges faced by small-time investors in the short-term rental market.
Furthermore, the re-definition of short-term rental accommodation service in Bill 35 – 2023, extending the period from 30 to 90 consecutive days, creates a misalignment with the definitions used by the Residential Tenancy Board, thereby adversely affecting many operators and adding confusion to the regulatory framework.
Your petitioners respectfully request that the Honourable House reconsider the stipulations
within Bill 35 – 2023, the Short-Term Rental Accommodations Act, specifically by:
1. Removing Section 36 from the Act to uphold the principles of acquired rights and legal non-conforming use protections.
2. Reverting the definition of short-term rental to a period of 30 consecutive days to align with the Residential Tenancy Board's definitions.
3. Exploring alternative solutions or amendments to the bill that address the concerns of small-scale investors while still achieving the intended goals of the legislation.
We further recommend open dialogues with all stakeholders involved, particularly the small-time investors and compliant property owners, to explore balanced solutions that address housing challenges while also respecting the rights and contributions of compliant short-term rental operators.
Dated 20th day of October, 2023 .