1. Regulating the Sharing Economy
Rachel Vallance
Lidstone & Company
Barristers and Solicitors
Lidstone & Company

2. The Sharing Economy Home-sharing (Airbnb), ride-sharing (Uber)…?
Hot-button issue
Growing influence
Potential to disrupt traditional industries and impact neighbourhoods and may not be caught by regulatory regimes
Lidstone & Company

3. What is the Sharing Economy?
Misnomers
Focus on “digital matching firms”
Use web-based platforms to facilitate peer-to-peer transactions
Rely on user ratings for quality control
Offer service providers flexibility in working hours
Rely on service providers using own tools/assets

4. Impacts of the Sharing Economy
Benefits
Drawbacks
Increased competition for conventional businesses
Threat to conventional businesses
Less costly and more varied services
Uncertain or no regulatory controls or oversight
Creation of new, more flexible jobs
Decline in traditional jobs, fewer benefits and protections
Allow for entrepreneurship and brings tourism and spending to new areas
Impacts on land use, neighbourhood character and housing stock
Lidstone & Company

5. Regulatory Options Land Use Regulation Business Regulation/Licensing
Review current bylaws
Reduce potential for non-conforming uses
Be clear and specific
Consider permitting as a temporary use
Business Regulation/Licensing
Owner presence vs. owner occupancy
“Designated responsible parties”
Security, insurance
Licence fees
Inspections
Lidstone & Company

6. Case Study: STR in Vancouver
Over 5,000 unique STR listings
Listings have doubled each year since 2013
75% of listings for entire unit
Strong financial incentive for STR over LTR
0.6% rental vacancy rate
STR permitted only in licensed hotels/B&Bs

7. STR in Vancouver Supplemental income for property owners
Supply and diversity of accommodations
Encourages tourism
Brings spending to new areas
Neighbourhood impacts
Housing availability
Loss of licensing and tax revenue
Unfair competition for hotels, B&Bs

8. Vancouver’s Regulatory Response
Owners/renters may rent all/part of principal residence with business licence
No STR of separate suites on property
No cap on maximum rental nights per year
Self-reporting with regular audits
Exploring hotel/business taxes
Enforcement of existing prohibitions
Lidstone & Company

9. Conclusion No one-size-fits-all approach Collect data
Consider regulatory options
Learn from other local governments
Consult with the public
Lidstone & Company

10. Questions?