The City of Fernie is proposing significant changes to its Short-Term Rental licensing fees as part of a broader effort to improve regulation and ensure the program better reflects the true costs of administration and enforcement.
Under the proposed changes, the annual business license fee for STR operators would increase from the current flat rate of $100 to:
• $700 per year for condo/hotel-style STRs (such as units in Silver Rock or parts of Pinnacle Ridge),
• $500 per year for primary-residence STRs, which include all or part of an owner-occupied home.
The new fee structure aims to shift the financial burden of enforcement away from general taxpayers and onto the STR operators themselves—those who benefit directly from using their properties as tourist accommodations.
“Managing STR licensing and compliance requires a significant amount of staff time and resources,” City staff noted. “These changes are designed to make the program sustainable, fair, and aligned with other similar communities.”
The City recognizes two types of STR licenses:
• Condo/Hotel STRs: Located in specially zoned developments intended for short-term stays. Examples: Silver Rock, some units in Pinnacle Ridge
• Primary Residence STRs: A portion or entirety of a home where the owner lives full-time. These must be the owner’s legal primary residence.
Importantly, STRs are not permitted in carriage houses, garage suites, garden homes, or secondary suites, a restriction that remains unchanged under the proposed bylaw.
Why Now?
Fernie’s STR regulations have been in place since 2017, but the flat $100 license fee has remained unchanged—even as STR activity and administrative demands have grown. The City notes that complaints about unlicensed rentals have increased, and that the current fee model no longer covers the true cost of application reviews, site inspections, compliance checks, and responding to public concerns.
The proposed changes have already received two readings by Council, and a third reading is scheduled for July 8. Before that decision is made, residents are encouraged to provide feedback.
To share your thoughts on the proposed STR fee changes, email: cityhall@fernie.ca
