Kitimat council has decided not to opt into British Columbia’s short-term rental regulations, rejecting a policy that would limit rentals to primary residences.
“We have a good balance in our community with the different types of accommodation being provided, and I don’t see the need for the provincial government’s intervention,” said Councillor Mario Feldhoff, introducing the motion to opt out.
The provincial Short-Term Rental Accommodations Act, amended in 2024, requires municipalities with populations over 10,000 to enforce a principal residence requirement for short-term rentals. Kitimat, with a population below that threshold, is not mandated to comply but was given the option to opt in by March 31 for implementation in November.
Council’s decision followed a presentation from Darren Headberg, a short-term rental owner, who argued that such rentals play a vital role in Kitimat’s accommodation sector. He detailed various instances where his property served the community in ways hotels could not, such as housing foster families, visiting athletes, volunteers, and travelling nurses.
“There are a handful of us that do have short-term rentals in town that are outside of our primary residence,” Headberg said. “But we all feel that is not the reason that rental prices in town have climbed and escalated so greatly.”
Headberg also pointed out that his rental business, like hotels, contributes to the Municipal and Regional District Tax (MRDT), which is designated for tourism initiatives. He suggested that if the council wished to address housing affordability, those funds could be redirected toward solutions that directly impact rental costs.
Council members largely agreed that Kitimat’s housing crisis was not driven by short-term rentals. Councillor Michelle Martins said the policy was more suited to larger municipalities and suggested that further data collection could help monitor potential abuses in the future.
“If there is ever a situation where one person bought 10 houses to rent out short term, then I think there is potential to cause harm to our housing sector,” Martins said.
Councillor Edwin Empinado, a registered nurse, stressed the importance of short-term rentals for healthcare workers who temporarily relocate to Kitimat.
“These are services that we regularly access,” Empinado said. “Hotels can sometimes not provide what we need. The costs are also totally different, which saves us money.”
Councillor Graham Pitzel recused himself from the discussion, citing a conflict of interest as a short-term rental owner.
The motion to opt out passed, but the provincial registry requirement for short-term rentals will still apply to Kitimat starting May 1, 2025. Hosts will need to register with the province and display their registration number in listings, though business licences remain optional under district regulations.
Feldhoff said opting out was consistent with Kitimat’s approach to similar policies in the past.
“The traditional path that council has taken to opt out when permitted has served the community well,” he said.