Regional district business regulation

Regional districts may regulate businesses by bylaw and may require businesses to obtain a business licence.

The power to regulate businesses is distinct from the power to prohibit businesses from operating, and the power to impose requirements on businesses. Regional districts:

• May regulate businesses by establishing rules that businesses must follow in order to operate.
• Generally, may not prohibit businesses outright from being established, or impose standalone requirements on individual businesses.

Prior to regulating businesses, regional districts need to adopt a regulatory service establishing bylaw.

• Learn more about regional district service establishment bylaws

In some cases, regional districts may prohibit specific types of businesses based on legal decisions or specific legislative authority - for example, regional districts may prohibit specified activities such as carnivals and professional fighting events.

As well, regional districts may prohibit or limit types of business and business activities in various areas of the regional district using other regulatory authorities, such as land use regulation powers (zoning). Regional districts are encouraged to identify and consider all potential implications on businesses when developing other regulatory schemes.

• Learn more about regional district regulatory powers

Exercising authority

Following the adoption of a service establishing bylaw, the regional district can move forward with developing a regulatory scheme. However, before a regional district can adopt regulations through bylaw, the regional district must:

• Give notice of its intention to regulate business in accordance with section 59(3) of the Community Charter and
• Provide an opportunity for persons who consider they are affected by the bylaw to make representations to the regional district board.

The key to exercising business regulation powers is the authority for the regional district to establish a system of licenses, permits or approvals, such as business licences.

Business licences

Regional districts may require businesses to have a business licence. For example, regional districts may enact a bylaw to regulate short-term rentals (STR) and require operators of these rentals to apply for a business licence before operating their STR.

Applications for business licences cannot be unreasonably refused. Where a business licence is refused, the applicant can request written reasons for the decision.

Regional districts may also suspend or cancel a business licence for failure to comply with specified terms and conditions of the licence. Prior to suspending or cancelling a business licence, the licence holder must have an opportunity to be heard. If regional district staff have been delegated licensing authority by the regional district board, a person whose licence is refused, suspended or cancelled may have the board reconsider the matter.

Learn more about:

• Regional district delegation of powers or duties
• Mobile business license
• New rules for short-term rentals