Lambton Shores Council Passes By-Law to License Short-Term Rental Accommodations

Lambton Shores, ON – On June 7, 2022, Lambton Shores Council passed a by-law that will require all short-term rental accommodations in Lambton Shores to obtain an annual licence to operate. The new by-law includes a comprehensive licensing program and comes into effect on February 1, 2023.

In accordance with the by-law, all short-term rental owners will need to apply for an annual short-term rental licence with the Municipality. For the first year of the program, there will be a staggered and phased-in approach for application deadlines. Registered short-term rental owners will be contacted directly with information about their specific application deadline.

Although the application deadlines will be staggered, every short-term rental accommodation will be required to comply with all other aspects of the licensing program as of February 1, 2023.

Highlights of the licensing program include:

  • Licensing Fee: short-term rental owners will need to submit an annual application with a licensing fee of $500, which was set to support the licensing program as a user-pay system that is not subsidized through the tax base
  • Occupancy limits: two people per bedroom, plus a total of two additional people, up to a maximum of 10 people per short-term rental (children aged 12 and under at the time of the rental are not included in the occupancy calculation)
  • Parking requirements: a minimum of one parking space for accommodations occupied by four or less renters, and a minimum of 2 parking spaces for accommodations occupied by five to ten renters. Short-term rental owners must include a parking management plan that demonstrates the ability to meet minimum requirements
  • Proof of liability insurance: owners must provide proof of insurance which includes a liability limit of no less than two 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
  • Demerit points: a demerit point system has been developed to support enforcement of the by-law. Accumulation of demerit points can lead to the suspension or revocation of a licence
  • Responsible person: every short-term rental accommodation must designate at least one responsible person, who must be available to respond to concerns while the accommodation is being used

The licensing application process also requires a plan for fire safety, a garbage and waste management strategy, site plans, proof of ownership, and proof of septic system maintenance, inspections, and pump-out servicing should the accommodation use a septic system.

“Council commends staff for the work they put into this by-law, and we believe this licensing program provides a solution that is uniquely designed for Lambton Shores,” said Lambton Shores Mayor Bill Weber. “The program provides a balanced approach that supports local tourism, while providing measures to ensure these accommodations are safe and appropriately managed.”

The by-law was developed after a substantial consultation period, which began with a consultation notice sent to every home and ratepayer in the Municipality. The consultation process included a general survey and workshop discussions with residents, short-term rental operators, hotel and motel operators, and other stakeholder organizations.

The final step of the consultation process included a draft by-law and proposed licensing program that was provided to the public for feedback. The draft by-law received over 350 responses during the public input phase, which were presented to Council for their consideration.

“We’re proud of the public consultation that took place, and Council was able to make some revisions to the final by-law based on the feedback we received throughout that process,” continued Mayor Weber.

More information about the licensing program can be found on the Lambton Shores website at

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