The new Tourist Accommodations bill that recently received second reading in the House of Assembly, is the first step in a broader approach to ensuring business equity throughout the accommodations industry.
The new legislation would enact a mandatory registration system for all accommodations throughout the province, including short-term accommodations, which will replace Canada Select requirements in the regulations when the new Act is proclaimed.
This in turn would mean a decrease in cost for tourism operators as they would not have to pay the Canada Select fees. The bill also outlines the definition of a tourist accommodation in Newfoundland and Labrador and removes the licensing requirement by the Department of Tourism, Culture, Arts and Recreation, for tourist accommodation operators. In addition, the legislation outlines the authority to designate inspectors by the Minister Responsible, and other authorities required to enforce the Act. Offences will carry a minimum fine of $250 with a maximum fine of $2,000.
Further details of the Tourist Accommodations bill can be found online.
In July, the Department of Tourism, Culture, Arts and Recreation released a framework that focused on a whole-of-government approach, working closely with various government departments, along with Hospitality Newfoundland and Labrador, to address short-term accommodations in the province and to modernize the Tourist Establishments Act. To inform its decisions, the Department worked with Public Engagement Division to design and administer an online questionnaire to engage tourism and hospitality stakeholders to address short-term accommodations in the province. Submissions were accepted from September 2 to October 9, 2020. A total of 230 submissions were received.
Quotes
“It is well known that online short term accommodations have become quite popular with travellers, but there is a need for all accommodation establishments to become registered and comply with applicable municipal and provincial regulations and taxation in order to level the playing field. With the establishment of a new Tourist Accommodations Act, we would achieve this goal. As a government, we encourage and foster conditions that support small business growth in the tourism industry, we feel this new Act will enhance the continued growth of the sector.”
Honourable Bernard Davis
Minister of Tourism, Culture, Arts and Recreation
“This is an exciting first step in leveling the playing field. Newfoundland and Labrador’s tourism industry is a strong economic pillar and ensuring everyone participates in an equal manner will only help to grow and strengthen our sector. Hospitality Newfoundland and Labrador has been working diligently on this issue for many years. We are pleased that our advocacy has been heard by the Provincial Government and that they recognize the Tourist Establishments Act had to be amended in order to help tourism businesses compete fairly.”
Brenda O’Reilly
Chair, Hospitality Newfoundland and Labrador
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Learn more
Tourist Accommodations Bill
News Release: Minister Davis Announces Framework to Address Short Term Accommodations
News Release: Engaging Stakeholders on Modernizing the Tourist Establishments Act
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Media contacts
Eric Humber
Tourism, Culture, Arts and Recreation
709-729-4819, 725-9655
erichumber@gov.nl.ca
Shanelle Clowe
Hospitality Newfoundland and Labrador
709-722-2000 ext. 231/ 709-325-1040
sclowe@hnl.ca