The issue has been raised following a request from a resident to be granted permission for a garden suite.
CBC reports that a public meeting next week will consider allowing single-detached homes in the city to have a separate, removable dwelling on their land.
Councillor Greg Rivard said that any changes to the rules would be part of the CMHC program that already operates on Prince Edward Island.
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Council officials in Charlottetown are considering proposals that would allow secondary suites, which are currently illegal, in the city.