Citing the most challenging 颅circumstances ever faced by sa国际传媒鈥檚 tourism industry, the province has agreed to kick in another $50 million to a 颅provincial grant program to help small businesses affected by the COVID-19 pandemic.
On the heels of a Tourism Task Force report that called for matching the $50 million pledged for a small business grant program introduced in the fall, the province has doubled its commitment to the sector and added another $5 million for Indigenous Tourism British Columbia.
Tourism businesses will now be eligible for up to $45,000 in grant money. Previously the cap was $40,000. Since it was first announced in the fall, there have been more than 2,200 applications for the small business grants.
While Tuesday鈥檚 $105 million announcement was largely welcomed by the industry, it left some tourism insiders hoping there鈥檚 more to come as some of the biggest players in the industry, hardest hit by the pandemic, have been struggling and unable to get any help.
Paul Nursey, chief executive of Destination Tourism Victoria, said the funding leaves a hole in the industry as companies with more than 149 employees are excluded from accessing the grants.
鈥淚t鈥檚 great for small businesses such as shops, restaurants and this is helpful,鈥� he said. 鈥淏ut a huge gap remains in the strategically important demand-driving businesses and important 颅transportation providers.鈥�
In Victoria that translates to companies like Harbour Air, 颅Wilson鈥檚 Transportation, Butchart Gardens, all major hotels and large whale-watching 颅operations.
鈥淚t looks as though a significant portion of the industry continues to be neglected,鈥� he said.
John Wilson, chief executive at Wilson鈥檚 Transportation, said small and medium enterprises will definitely be helped, but he warned the tourism landscape will be forever changed if large companies, who have fallen through the relief funding cracks between the province and the federal government, fail or downsize significantly just to survive.
鈥淚t鈥檚 a big disappointment. It鈥檚 not anywhere near what鈥檚 needed and it鈥檚 zero for companies like us, the Harbour Airs and Butcharts,鈥� he said. 鈥淲ithout help some companies will go down or will take many years to recover.鈥�
Wilson, whose company employs as many as 300 people at its peak, noted if these large firms close or shrink, it will delay the industry鈥檚 recovery by years as there will be no 颅capacity to handle the return of visitors.
The sa国际传媒 Motor Coach Coalition has said total revenues have dropped by 95 per cent this year. It said without improved 颅liquidity, some of its member companies will struggle to 颅survive the next three months.
The sector has asked the 颅federal and provincial governments for commercial rent relief, support of as much as $50,000 per bus, extension of the wage subsidy until international travel, cruise ships and event restrictions are lifted, a grant system that鈥檚 pared back as 颅revenue returns, and flexible insurance options.
So far there has been no action.
Dave Cowen, general manager of Butchart Gardens, would only say that the world-famous attraction has been deemed ineligible for funding relief because it has managed to keep 225 of its employees working through the pandemic.
In a statement, Tourism 颅Minister Melanie Mark said the funding should help people get through the next few months. There was no mention of what further relief may be in the works.
According to the provincial Tourism Ministry there have already been measures directed at larger companies, such as reductions in property tax bills and deferrals of other taxes, while Ottawa has offered credit facilities and extending the wage subsidy.
Anthony Everett, chief executive at Tourism Vancouver Island, said Tuesday鈥檚 announcement may not have everything the industry needed, but it had enough to make a big impact.
He said the fact the government has streamlined the application process, and opened up the grant program to more companies and sole proprietorships, will have immediate effect on the Island.
鈥淭hat was our biggest 颅concern, the way the program was initially designed made it difficult for businesses,鈥� said Everett, who noted his organization had been working with hundreds of companies needing funding relief.
Everett also said there has to be more. 鈥淭here are things not covered in this current funding envelope,鈥� he said, pointing out cornerstone businesses like Butchart Gardens and large transportation firms are essential to the whole industry. 鈥淲e have heard that more support is coming.鈥�
Tamara Vrooman, chair of the Tourism Task Force and chief executive of Vancouver International Airport, called Tuesday鈥檚 announcement a good first step to ensure the industry is well-positioned for recovery.
