Norfolk County advances new tourism framework, including short-term rental regulations, municipal accommodation tax, and destination management model
Norfolk County has endorsed short-term Rental regulations, a Municipal Accommodation Tax, and the creation of a Municipal Development Corporation to support destination management and tourism promotion. The approach aims to improve consistency and accountability for short-term accommodations, while generating dedicated tourism revenue through a 4 per cent Municipal Accommodation Tax (MAT) paid by overnight visitors.
The MAT will come into effect on January 1, 2028, and apply to temporary accommodations such as hotels, motels, bed and breakfasts, and short-term rentals. MAT is expected to generate over $700,000 in annual revenue.
Council also supported a proposed governance model that would see the creation of a Municipal Development Corporation (MDC) to function as the County’s “eligible tourism entity,” receiving 50 per cent of MAT revenues to help coordinate tourism promotion and destination marketing in partnership with industry and community stakeholders.
The remaining 50 per cent of MAT revenue will be retained by the municipality and reinvested into tourism initiatives, destination development, visitor services and related community infrastructure, in line with provincial legislation.
The proposed Short-Term Rental (STR) bylaw will come into effect on January 1, 2027, and will require operators to register with the County for $25 by July 1, 2027 (a six-month transition period) and will set clear rules to help ensure rentals are safe, responsible, and fit well in neighbourhoods.
Staff will develop resources to support accommodation providers, including an FAQ, registration and inspection checklist, and sample guest Code of Conduct. Training on MAT remittance will be delivered by the Ontario Restaurant Hotel and Motel Association (ORHMA). Staff will also bring forward updated by-laws, with minor revisions and clarifications, for Council’s consideration.
Information about the MDC, MAT and STR, including staff reports and background materials, is available at engagenorfolk.ca - “Three Tourism Initiatives.”
Quotes
Mayor Amy Martin
"These initiatives represent a balanced approach to supporting tourism while ensuring visitors, residents and accommodation providers all benefit from a sustainable and well-managed tourism sector.”
John Regan, Director, Economic Development
“Tourism is an important part of Norfolk County’s economy, supporting local businesses, jobs and community amenities. These initiatives provide a framework to help manage growth, improve accountability, and ensure tourism continues to contribute positively to our communities while enhancing the visitor experience.”
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