Reporter’s Notebook: Changes to STA Regs; Expensive Gravel; Extend MAT Tax?

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By John Francis, Bruce Peninsula Press

At the Municipality of Northern Bruce Peninsula’s March 27 Meeting, a staff report on the subject of Short-Term Accommodations regulations was introduced. It incorporated Council’s recommendations from a previous Meeting.

Councillor Aman Sohrab stated that he felt the proposed cap on STAs — Council had decided on 700 — was too high. He suggested that, in light of the realization that initial research had apparently overestimated STA numbers in the municipality, that 510 — 10% of the 5,100 dwellings in the municipality — was more appropriate. He noted that Council would be revisiting STA regulations in the fall and this number could be changed at that time if necessary. Council seemed amenable to the lower number.

Because the previous number had been accepted by Council, a change required a formal motion. Councillor Sohrab filed a Notice of Motion and the subject will be brought up at the April 10 Meeting and voted on.

Councillor Sohrab asked why STAs are not permitted in Rural zones. Committee and Licencing Coordinator Lindsay Forbes explained that an STA was not a permitted use in rural zones and permitting them would require a zoning amendment.

Councillor Smokey Golden suggested that regulations should not prevent STAs in commercial zones, also that the STA regulations should be changed to permit two children under twelve in addition to two people per bedroom.

Penalties and licence revocations were discussed. Should someone operating an STA without a licence be prevented from getting a licence or merely fined? What level of non-compliance would be sufficient to trigger a licence revocation?

The bylaw will come up again at a future meeting.

Expensive Gravel

A Report by Public Works Manager Troy Cameron recommended accepting a tender for 5/8” Granular “A” gravel. It was, he explained, well above the amount in the budget. He noted that there were shortfalls in the budget due to cost increases; gravel would be used instead of surface treatment (paving) to stay within allotted funds. Mayor Milt McIver stated that he “has trouble with not keeping with the program”. Councillor Sohrab suggested that perhaps Council should deal with this now. Mayor McIver agreed. “It’s not a good idea to fall too far behind.” This would require an amendment to the budget. Council agreed with Manager Cameron’s suggestion to wait until prices come in on other commodities being tendered in the near future. Mayor McIver agreed on to wait and see where the tenders come in but pointed out “we’re not anticipating they’re going to be low…”

Extend MAT Tax to All Transient Accommodations?

Council received a Staff Report on the Municipal Accommodation Tax charged on all Short-Term Accommodation revenues. That tax — 4% — generated $243k in 2022. Council has discussed extending the MAT to apply to all accommodations — including B&Bs, motels and cottages. It is anticipated this would generate and additional $350-$400k per year. Half of the funds collected must be shared with Tobermory Chamber of Commerce for tourism promotion.

This proposal will be put on LetsTalkNBP (letstalknbp.ca) until May 8 for public comment.

On Jan 9, 2023, Council asked Staff to prepare a report on how MATs are being managed in other municipalities. This comprehensive chart was included with the Staff Report for the March 27 Meeting.