Article XXVI3

Short Term Rental of Residential Properties

1. Purpose and Intent

This by-law is enacted pursuant to the Town’s Home Rule Authority and the authority set forth in General Laws chapter 64G, §14 and is intended to provide for an orderly process to regulate Short Term Rentals in the Town to insure that Short Term Rentals do not create or cause any nuisance conditions or threats to public health or safety within the Town.

2. Definitions

When used in this Short Term Rental By-law, unless a contrary intention clearly appears, the following terms shall have the following meanings:

Operator: a person operating a short-term rental including, but not limited to, the owner or proprietor of such premises, the lessee, sublessee, mortgagee in possession, licensee or any other person otherwise operating such short-term rental.

Short-term rental: An owner-occupied, tenant-occupied or non-owner occupied property including, but not limited to, an apartment, house, cottage, condominium or a furnished accommodation that is not a hotel, motel, lodging house or bed and breakfast establishment, where; (i) at least 1 room or unit is rented to an occupant or sub-occupant; and (ii) all accommodations are reserved in advance; provided, however, that a private owner-occupied property shall be considered a single unit if leased or rented as such. It does not include time- share property. A short-term rental is a rental that is for not more than 31 consecutive calendar days.

Limited share unit: operator plans to list part of its primary residence for rent and will be present in the unit during the short term rental.

Home share unit: operator plans to list its primary residence for rent and will not be present in the unit during some or all of the rental.

Owner-adjacent unit: operator plans to rent a full unit in the same two-or three- unit property where its primary residential unit is located.

3. Registration

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A. No person shall operate a Short term rental without having first obtained a Certificate of Registration from the Town Clerk. An application for a Certificate of Registration shall be on a form provided by the Town and shall contain the Department of Revenue identification number or proof of exemption under G.L. c.64G. The Operator shall provide with the application a certificate of registration issued by the Department of Revenue in accordance with section 67 of Chapter 62C of the General Laws.

B. The annual fee for such Certificate of Registration shall be set forth in the regulations issued pursuant to Section 4 of this Short Term Rentals by-law.

C. The application for the Certificate of Registration shall include an attestation that the owner and/or operator is in compliance with all applicable federal, state and local laws, including but not limited to G.L. c.64G and the Fair Housing Act , G.L. c.151B and local equivalents and regulations related thereto and all other regulations applicable to residential dwellings and that the owner and/or operator of the property is current with all Town taxes, water and sewage charges and other fees. Any property offered for a Short term rental shall not have any outstanding building, sanitary, zoning, or fire code violations, orders of abatement, or stop work orders. Nothing contained herein shall relieve the owner or operator from complying with all local permits, rules and regulations issued by any Town boards or officials generally applicable to residential dwelling units.

D. The Town Clerk shall not issue any Certificate of Registration unless the operator has (1) submitted a complete application and paid all associated fees; (2) provided contact information for the operator and persons designated to address any issues at the Short term rental within two hours’ notice; (3) provided the Town with a certificate of insurance evidencing liability insurance coverage for the Short term rental in an amount to be determined in the regulations issued pursuant to Section 4 of this Short Term Rentals by-law; and (4) provided an approved Certificate of Inspection completed by the Building and Fire Departments .

E. Short term rentals are subject to inspection by the Board of Health upon reasonable notice via consent or administrative warrant, or without such notice in the event of an imminent threat to public health or safety.

F. A Certificate of Registration is valid for one year and may be renewed at the discretion of the Town, provided that the operator has complied with the provisions of this Short Term Rentals by-law and any associated regulations during the preceding year. An application for

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renewal of a Certificate of Registration shall be submitted along with the annual fee no later than November 1 of the next year.

G. The Certificate of Registration is issued to the Operator and does not run with the land. If the Short Term Rental is sold or transferred out of ownership, a new application for a Certificate of Registration must be issued before Short Term Rentals can continue or resume.

H. The Operator must notify all abutters to a Short term rental that it has been registered as a Short-term rental unit within 30 days of being issued a Certificate of Registration. An abutter is defined as the owner of any residential dwelling within 300 feet of the Short-term rental.

I. Short term rentals are only allowed in owner-occupied condominiums, single-family, two-family, and three-family buildings. For two-family and three-family buildings, the owner-occupant must own all the units.

4. Regulations

A. The Town Clerk, subject to the approval of the Select Board, shall promulgate regulations to carry out and enforce the provisions of this Short Term Rentals by-law. Such regulations may also include but are not limited to requirements to ensure that the operation of the Short term rental does not create or cause a nuisance to the surrounding neighborhood or the Town due to unreasonable noise, overburdening of parking areas or other nuisance conditions or create or cause any threat to public health or safety.

B. The Regulations shall include without limitation a requirement that the operator post a sign inside the unit that informs occupants of the location of fire extinguishers, fire exits, and pull fire alarms.

5. Tax

A. The Town of Canton will assess a 6% tax on the daily rental costs in accordance with the Commonwealth of MA local occupancy tax rules and regulations.

6. Enforcement

A. Whoever violates any provision of this Short Term Rentals by-law or a regulation promulgated hereunder may be penalized by indictment or on complaint brought in the district court. The Town may also seek to enjoin violations through any lawful process. The election of one remedy shall not preclude enforcement through any other lawful means.

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B. Whoever violates any provision of this Short Term Rentals By-law or a regulation promulgated hereunder may be penalized by the noncriminal disposition process as provided in G.L. c.40, §21D. If noncriminal disposition is elected, the penalty shall be one hundred dollars ($100) for the first offense, two hundred dollars ($200) for the second offense and three hundred dollars ($300) for a third or subsequent offense. Each day or portion thereof shall constitute a separate offense. The Board of Health or its agent or any police officer of the Town shall be the enforcing authority.

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