Cameron, Anna and Khanal, Mukesh and Tedds, Lindsay M. (2022): Managing Airbnb: A Cross-Jurisdictional Review of Approaches for Regulating the Short-Term Rental Market.
Preview |
PDF
MPRA_paper_111535.pdf Download (1MB) | Preview |
Abstract
Canada’s short-term rental (STR) market has grown considerably in recent years, resulting in a heightened focus by local governments on adopting regulatory approaches to manage it. Indeed, since 2018, an increasing number of Canadian governments (largely cities) have introduced regulatory frameworks to both mitigate perceived negative impacts of the STR market, as well as reap some of its benefits. In light of the gap in Canada-focused research on STR regulation, this article analyzes in comparative perspective the regulatory approaches adopted in 11 Canadian jurisdictions in response to the rise of platform-mediated home sharing. We find that aspects of regulation, such as licensing and registration, are increasingly a question, not of “if,” but rather “how” and “to what extent,” with the most promising approaches being those that reflect sophisticated understandings of the range of activity that plays out in the market and the various actors, including platforms and property managers, involved. For jurisdictions looking to introduce or tweak approaches going forward, there is potential benefit in reframing market regulation as a governance issue, rather than a technical legal problem. From this standpoint, of particular promise are joint governance approaches which involve municipalities and other local jurisdictions implementing distinct rules within the context of an overarching provincial framework.
Item Type: | MPRA Paper |
---|---|
Original Title: | Managing Airbnb: A Cross-Jurisdictional Review of Approaches for Regulating the Short-Term Rental Market |
Language: | English |
Keywords: | Short-term Rental, Market Failure, Regulatory Fracture, Regulation, Innovative Disruption, Community Impact |
Subjects: | H - Public Economics > H7 - State and Local Government ; Intergovernmental Relations > H79 - Other R - Urban, Rural, Regional, Real Estate, and Transportation Economics > R1 - General Regional Economics > R19 - Other |
Item ID: | 111535 |
Depositing User: | Lindsay Tedds |
Date Deposited: | 16 Jan 2022 03:57 |
Last Modified: | 16 Jan 2022 03:57 |
References: | 2018. "Memorandum of Understanding - Airbnb Ireland and City of Vancouver." https://drive.google.com/file/d/1fhQagqnZxXHX2DGmAysApgO5xYN0OSaa/view. Accela. 2017. Denver Boosts Short-Term Rental Regulation Compliance with First Online Registration Process. https://www.accela.com/wp-content/uploads/2018/05/accela-case-study-str-denver-colorado.pdf. Aguilera, Thomas, Francesca Artioli, and Claire Colomb. 2019. "Explaining the diversity of policy responses to platform-mediated short-term rentals in European cities: A comparison of Barcelona, Paris and Milan." EPA: Economy and Space 0 (0): 1-24. https://doi.org/10.1177/0308518X19862286. Alberta Hotel & Lodging Association. 2016. Alberta's Tourism Levy. https://www.ahla.ca/wp-content/uploads/2016/10/Brief-2016-Tourism-Levy.pdf. Alberta Treasury Board and Finance. Budget 2020: Fiscal Plan - A Plan for Jobs and the Economy 2020-23. 2020. https://open.alberta.ca/dataset/05bd4008-c8e3-4c84-949e-cc18170bc7f7/resource/79caa22e-e417-44bd-8cac-64d7bb045509/download/budget-2020-fiscal-plan-2020-23.pdf. Allen, James A. 2017. "Disrupting Affordable Housing: Regulating Airbnb and Other Short-Term Rental Hosting in New York City." Journal of Affordable Housing & Community Development Law 26 (1): 151-192. https://www.jstor.org/stable/26408211 Althaus, Catherine; Tedds, Lindsay M. 2016. User Fees in Canada: A Municipal Design and Implementation Guide. Toronto, Ontario: Canadian Tax Foundation. Ayotte, Catherine, Andrew Barclay, and Amanda Sinclair. March 14, 2019 2019. Measuring private short-term accommodation in Canada. Statistics Canada. https://www150.statcan.gc.ca/n1/en/pub/13-605-x/2019001/article/00001-eng.pdf?st=bpRzEtbF. Bula, Frances. 2018. "Airbnb not required to enforce rules in agreement with Vancouver." The Globe and Mail, June 6, 2018. https://www.theglobeandmail.com/canada/british-columbia/article-airbnb-not-required-to-enforce-rules-in-agreement-with-vancouver/. City of Edmonton. Short Term Residential Rental - Application process flow. 2020. https://www.edmonton.ca/sites/default/files/public-files/documents/STR_application_process_flow.pdf. City of Kelowna. City of Kelowna Business & Entrepreneurial Development. Report to Council - Tourism Recovery Support. 2020. https://kelownapublishing.escribemeetings.com/filestream.ashx?DocumentId=28253. City of Montréal. 2021. "Get an occupancy permit for commercial, industrial or professional activity - Ville Marie." https://montreal.ca/en/how-to/get-occupancy-permit-commercial-industrial-or-professional-activity?arrondissement=Ville-Marie. City of Vancouver. Policy Report to Standing Committee on City Finance and Services - One-year Review of the Short-term (STR) Program 2019. https://council.vancouver.ca/20191106/documents/cfsc1.pdf. City of Vancouver. 2020. Short-Term Rental 2020 Highlights Report. https://vancouver.ca/files/cov/2020-short-term-rental-highlights-report.pdf. City of Vancouver. 2021. "Short-term rental business licence." https://vancouver.ca/doing-business/short-term-rentals.aspx. City of Victoria. n.d. "Short-Term Rentals." https://www.victoria.ca/EN/main/business/permits-licences/term-rentals.html. Combs, Jennifer, Danielle Kerrigan, and David Wachsmuth. 2020. "Short-term rentals in Canada: Uneven growth, uneven impacts." Canadian Journal of Urban Research 29 (1): 119-134. https://www.jstor.org/stable/10.2307/26929901. Crommelin, Laura, Laurence Troy, Chris Martin, and Chris Pettit. 2018. "Is Airbnb a Sharing Economy Superstar? Evidence from Five Global Cities." Urban Policy and Research 36 (4): 429-444. https://doi.org/10.1080/08111146.2018.1460722. Destination Greater Victoria. 2021. 2022-2026 Strategic Plan. https://www.tourismvictoria.com/sites/default/files/destination_greater_victoria_2022-2026_strategic_plan.pdf. Dolnicar, Sara. 2017. Peer-to-Peer Accommodation Networks: Pushing the boundaries. Goodfellow Publishers. Domènech, Antoni, and Volkan Zoğalb. 2020. "Geographical Dimensions of Airbnb in Mountain Areas: The Case of Andorra." Journal of Rural Studies 79: 361-372. https://doi.org/10.1016/j.jrurstud.2020.08.051. Farish, Kelly I.E., and Lindsay M. Tedds. 2014. "User Fee Design by Canadian Municipalities: Considerations Arising from the Case Law." Canadian Tax Journal 62 (3): 635-670. Ferreri, Mara, and Romola Sanyal. 2018. "Platform Economies and Urban Planning: Airbnb and Regulated Deregulation in London." Urban Studies 55 (15): 3353-3368. https://doi.org/10.1177_0042098017751982. Furukawa, Norikazu, and Motoharu Onuki. 2019. "The design and effects of short-term rental regulation." Current Issues in Tourism: 1-16. https://doi.org/10.1080/13683500.2019.1638892. Gibbs, Chris, Daniel Guttentag, Ulrike Gretzel, Jym Morton, and Alasdair Goodwill. 2018. "Pricing in the sharing economy: a hedonic pricing model applied to Airbnb listings." Journal of Travel & Tourism Marketing 35 (1): 46-56. https://doi.org/10.1080/10548408.2017.1308292. Gouvernement du Québec. Budget 2021-2022: Québec is resilient and confident - Additional Information 2021a. http://www.budget.finances.gouv.qc.ca/budget/2021-2022/en/documents/Budget2122_AdditionalInfo.pdf. Gouvernement du Québec. Ministère de l’Économie et de l’Innovation. Moins de paperasse: Pour une relance innovante et efficace - Plan d'action gouvernemental en matière d'allègement réglementaire et administratif 2020-2025. 2021b. https://cdn-contenu.quebec.ca/cdn-contenu/adm/min/economie/publications-adm/plans-action/PL-plan-action-allegement-2020-2025.pdf?1612811460. Grisdale, Sean. 2019. "Displacement by disruption: short-term rentals and the political economy of “belonging anywhere” in Toronto." Urban Geography: 1-27. https://doi.org/10.1080/02723638.2019.1642714. Gurran, Nicole. 2018. "Global Home-Sharing, Local Communities and the Airbnb Debate: A Planning Research Agenda." Planning Theory & Practice 19 (2): 298-304. https://doi.org/10.1080/14649357.2017.1383731. Gurran, Nicole, and Peter Phibbs. 2017. "When Tourists Move In: How Should Urban Planners Respond to Airbnb?" Journal of the American Planning Association 83 (1): 80-92. https://doi.org/10.1080/01944363.2016.1249011. Gurran, Nicole, Yuting Zhang, Pranita Shrestha, and Catherine Gilbert. 2018. Planning responses to online short-term holiday rental platforms. The University of Sydney (Sydney). Guttentag, Daniel. 2015. "Airbnb: disruptive innovation and the rise of an informal tourism accommodation sector." Current Issues in Tourism 18 (12): 1192-1217. https://doi.org/10.1080/13683500.2013.827159. Guttentag, Daniel. 2019. "Progress on Airbnb: a literature review." Journal of Hospitality and Tourism Technology 10 (4): 814-844. https://doi.org/10.1108/JHTT-08-2018-0075 Guttentag, Daniel, Stephen Smith, Luke Potwarka, and Mark Havitz. 2018. "Why Tourists Choose Airbnb: A Motivation-Based Segmentation Study." Journal of Travel Research 57 (3): 342-359. https://doi.org/10.1177%2F0047287517696980. Hotel Association of Canada. 2018. Developing a Modern Approach to Short-Term Rentals in a Digital Economy. A Framework for Canadian Regulators. Hotel Association of Canada. https://docs.wixstatic.com/ugd/e60474_34af0ae29c6042e7bd8ec87ae83f327f.pdf. Jamasi, Zohra. 2017. Regulating Airbnb and the Short-Term Rental Market: An overview of North American regulatory frameworks Canadian Centre for Policy Alternatives (Ottawa, Canada). https://www.policyalternatives.ca/publications/reports/how-regulate-rise-short-term-rental-platforms-airbnb. Jamison, Shannon, and Eric Swanson. 2021. Regulating Short-Term Rentals: A Toolkit for Canadian Local Governments Third Space Planning. http://www.thirdspaceplanning.ca/str_toolkit_202. Johal, Sunil, and Noah Zon. 2015. Policymaking for the Sharing Economy: Beyond Whack-A-Mole. (Mowat Centre). https://munkschool.utoronto.ca/mowatcentre/wp-content/uploads/publications/106_policymaking_for_the_sharing_economy.pdf. Kurl, Shachi, and Ian Holliday. April 27, 2018 2018. As Canadians’ awareness of Airbnb has grown, so has their desire to regulate it. Angus Reid Institute (Angus Reid Institute). http://angusreid.org/wp-content/uploads/2018/04/2018.04.26-Airbnb.pdf. Laskin, Kayla. 2019. "Is Airbnb Polluting the Big Apple? The Impact of Regulating the Short-Term Rental Service in New York City." Journal of Civil Rights and Economic Development 33 (3): 423-454. https://heinonline.org/HOL/P?h=hein.journals/sjjlc33&i=441. Lee-Young, Joanne. 2019. "Airbnb collects more than double the PST that B.C. expected." 2019. https://vancouversun.com/news/local-news/airbnb-collects-more-than-double-the-pst-that-b-c-expected. Lee, Dayne. 2016. "How Airbnb Short-Term Rentals Exacerbate Los Angeles's Affordable Housing Crisis: Analysis and Policy Recommendations." Harvard Law & Policy Review 10 (1): 229-253. Leshinsky, Rebecca, and Laura Schatz. 2018. "“I Don’t Think My Landlord Will Find Out:” Airbnb and the Challenges of Enforcement." Urban Policy and Research 36 (4): 417-428. https://doi.org/10.1080/08111146.2018.1429260. Manitoba Ministry of Finance. 2021. Information Bulletin - Taxation Changes - 2021 Budget. https://www.gov.mb.ca/finance/taxation/pubs/bulletins/2021budget.pdf. Ministère de Finances Québec. Bulletin d'information - Application de la taxe sur l'hébergement aux entreprises exploitant une plateforme numérique offrant des unités d'hébergement 2017. http://www.finances.gouv.qc.ca/documents/bulletins/fr/BULFR_2017-9-f-b.pdf. Ministère du Tourisme, 7 October, 2021, "Adoption du projet de loi no 100 : un nouveau cadre moderne et efficace pour l'hébergement touristique au Québec ", https://www.quebec.ca/nouvelles/actualites/details/adoption-du-projet-de-loi-no-100-un-nouveau-cadre-moderne-et-efficace-pour-lhebergement-touristique-au-quebec-35260. Ministry of Finance, February 7, 2018, "Province and Airbnb working to fund affordable housing," https://news.gov.bc.ca/releases/2018FIN0003-000174. Nanos Research. 2018. Views of Canadians on online short-term rentals through platforms like Airbnb - Hotel Association Airbnb Research Summary. https://nanos.co/wp-content/uploads/2021/04/2018-1208-Hotel-Association-AirBnB-August-Populated-report-with-Tabs.pdf. Nieuwland, Shirley, and Rianne van Melik. 2020. "Regulating Airbnb: how cities deal with perceived negative externalities of short-term rentals." Current Issues in Tourism: 1-15. https://doi.org/10.1080/13683500.2018.1504899. Pforr, Christof, Michael Volgger, Sara Cavalcanti Marques, and Aji Cahya Nusantara. 2021. "Regulatory Approaches—International Case Examples." In Understanding and Managing the Impact of Airbnb. Singapore: Springer. Quattrone, Giovanni; Proserpio, Davide; Quercia, Daniele; Capra, Licia; Musolesi, Micro. 2016. "Who Benefits from the "Sharing" Economy of Airbnb?" Proceedings of the 25th International Conference on World Wide Web, Montréal, Québec, Canada. Resort Municipality of Whistler. 2021. "Municipal and Regional District Tax." https://www.whistler.ca/municipal-gov/grants-funding/municipal-and-regional-district-tax. Revenu Québec, 29 August 2017, "Entente entre le gouvernement du Québec et Airbnb: une première canadienne," https://www.revenuquebec.ca/fr/salle-de-presse/communiques-de-presse/details/113340/. Saskatchewan Ministry of Finance. 2021. Information Bulletin - Information for Vendors Providing Accommodation Services. https://www.saskatchewan.ca/business/taxes-licensing-and-reporting/provincial-taxes-policies-and-bulletins/provincial-sales-tax. Sassen, Saskia. 1994. "The Informal Economy: Between New Developments and Old Regulations." Yale Law Journal 103 (8): 2289-2304. https://heinonline.org/HOL/P?h=hein.journals/ylr103&i=2303. Sovani, Altaf, and Chandana Jayawardena. 2017. "How should Canadian tourism embrace the disruption caused by the sharing economy?" Worldwide Hospitality and Tourism Themes 9 (4): 464-470. https://doi.org/10.1108/WHATT-05-2017-0023. Statistics Canada. 2021. "The Daily - Accommodation services reach a record high prior to the pandemic, 2019." https://www150.statcan.gc.ca/n1/daily-quotidien/210222/dq210222c-eng.htm. Tedds, Lindsay M. 2017. "Municipal User Fees in Western Canada." In Financing Municipal Infrastructure: Who Should Pay, edited by Enid Slack and Richard M. Bird. Toronto, Ontario: McGill-Queen’s University Press. Tedds, Lindsay M. 2019. "Non-tax Revenue for Funding Municipal Governments: User Levies—Adoption, Constraints, and Emerging Opportunities." In Funding the Canadian City, edited by Enid Slack, Lisa Phillips, Lindsay M. Tedds and Heather L. Evans. Toronto, Ontario: Canadian Tax Foundation. Tedds, Lindsay M. 2020. "Who Pays for Municipal Governments? Pursuing the User Pay Model." In Who Pays For Canada: Taxes and Fairness, edited by Elsbeth Heaman and David Tough. Montreal, QC: McGill-Queen's University Press. Tedds, Lindsay M., Anna Cameron, Mukesh Khanal, and Daria Crisan. 2021. "Why Existing Regulatory Frameworks Fail in the Short-Term Rental Market: Exploring the Role of Regulatory Fractures." The School of Public Policy Publications 14 (26). Union of B.C. Municipalities, November 3, 2021, "Regulation urged for short-term accommodations industry," https://www.ubcm.ca/about-ubcm/latest-news/regulation-urged-short-term-accommodations-industry. Valentin, Maxence. 2020. "Regulating short‐term rental housing: Evidence from New Orleans." Real Estate Economics: 1-35. https://doi.org/10.1111/1540-6229.12330. van Holm, Eric Joseph. 2020. "Evaluating the impact of short-term rental regulations on Airbnb in New Orleans." Cities 104: 1-9. https://doi.org/10.1016/j.cities.2020.102803. Vigliotti, Marco. 2019. "Hotel association calls for overhaul of federal tax rules on Airbnb and other digital platforms - iPolitics." iPolitics, 2019-07-18, 2019. https://ipolitics.ca/2019/07/18/hotel-association-calls-for-overhaul-of-federal-tax-rules-on-airbnb-and-other-digital-platforms/. von Briel, Dorine, and Sara Dolnicar. 2020. "The evolution of Airbnb regulation - An international longitudinal investigation 2008 - 2020." Annals of Tourism Research. https://doi.org/10.1016/j.annals.2020.102983. Wachsmuth, David, and Alexander Weisler. 2018. "Airbnb and the rent gap: Gentrification through the sharing economy:." Environment and Planning A: Economy and Space 50 (6): 1147-1170. https://doi.org/10.1177_0308518X18778038. Walker, Thomas S. 2017. "Searching for the Right Approach: Regulating Short-Term Rentals in North Carolina." North Carolina Law Review 96 (6): 1821-1854. Wegmann, Jake, and Junfeng Jiao. 2017. "Taming Airbnb: Toward guiding principles for local regulation of urban vacation rentals based on empirical results from five US cities." Land Use Policy 69: 494-501. https://doi.org/10.1016/j.landusepol.2017.09.025. Wills, Grant. 2017. "To Be or Not to Airbnb: Regulation of Short-Term Rentals in South Carolina." South Carolina Law Review 68 (4): 821-844. https://heinonline.org/HOL/Page?handle=hein.journals/sclr68&collection=journals&id=869&startid=&endid=892. Woodward, Jon. 2021. "'1234-ABCDEF': Enforcement gap may be behind hundreds of bogus short-term rental licences." CTV News, February 1, 2021. https://toronto.ctvnews.ca/1234-abcdef-enforcement-gap-may-be-behind-hundreds-of-bogus-short-term-rental-licences-1.5291337?cache=%3FautoPlay%3FcontactForm%3Dtrue%3FclipId%3D89925. Zale, Kellen. 2016. "When Everything is Small: The Regulatory Challenge of Scale in the Sharing Economy." San Diego Law Review 53 (4): 949-1016. https://heinonline.org/HOL/P?h=hein.journals/sanlr53&i=980. |
URI: | https://mpra.ub.uni-muenchen.de/id/eprint/111535 |