Industry Update | December 5, 2023

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Advocacy Update: Addressing Hotel Shortages and Staff Accommodations for a Thriving BC Tourism Industry

Dear BCHA Members,

Over the past year the BC Hotel Association team has engaged with our industry, communities and Destination Marketing Organisations across our great province of British Columbia. As affordability, affordable housing, the ever increasing cost of doing business, emergency preparedness, short term rental regulatory reform and work force strategies have taken the majority of our time, we have another looming issue and opportunity.

Two of our key advocacy files now and going into the new year will be addressing the hotel shortage issue in British Columbia, to ensure that we continue to develop demand and growth across each region of British Columbia, and continuing to advocate for new and existing staff accommodations. The forecast for RevPar growth in 2024/25/26/27 indicates strength and growth both from STR and CBRE as well as the conference board of Canada. In that light, it is increasingly important we do the research to tell the story of the benefit and contribution of hotel and resort developments for the economy, for great jobs, and for the local communities.

At the federal level, our partners at the Hotel Association of Canada are leading the charge for the following federal support mechanisms to promote and support hotel developments.

There are specific provincial and municipal initiatives that will also provide an investment environment that will encourage new infrastructure to be build in destinations and corridors that align with the Tourism Growth Strategy as well as the commitment to dispersion in the province. Some of these include property tax abatement, zoning and transportation corridors, expediting approvals, and incentives for innovation and environmentally friendly building practices.

Hotel Shortage: A Pivotal Focus for 2023

Our collective efforts (from HAC and provincial advocacy associations across Canada) in addressing the pressing issue of hotel shortages in British Columbia have been instrumental, and as we gear up for the new year, I want to shed light on the key advocacy files that will guide our actions.

Tax Policies – Credits and Capital Cost Allowance:
We are actively pushing for tax credits for sustainable renovations and expansions, incentivizing our members to invest in eco-friendly and modern upgrades.
Additionally, we are advocating for the creation of a Capital Cost Allowance category for hotel capital investments post-2022. This would enable an immediate write-off of investments in new hard assets, propelling growth and development.
Government Sponsored/Facilitated Loans:
To ease financial barriers for our members, we are urging the establishment of specialized lending pools from institutions such as BDC and the Canada Infrastructure Bank. These pools would be exclusively targeted at the hotel sector, providing essential support for expansion and renovation projects.

Support for Staff Accommodations: Aligning with Federal Priorities on Affordability

In tandem with the federal government's focus on affordability, we have honed our advocacy efforts on staff accommodations, recognizing the crucial role they play in sustaining a vibrant and thriving tourism industry.

Access to CMHC Mortgage Insurance and Preferential Lending Rates:
We are pushing for increased access to CMHC mortgage insurance and preferential lending rates for stand-alone staff housing and dedicated portions within hotels. This will ensure that our valued staff members have suitable and affordable accommodations.
Rental Housing GST-Refund Eligibility:
Hotels embarking on mixed-use and stand-alone staff accommodation projects should benefit from GST-refund eligibility. This financial incentive will promote the construction of diverse housing options within the industry.
Higher Capital Cost Allowance for Staff Housing:
To further encourage investment in staff housing, we are advocating for a higher Capital Cost Allowance rate for such projects. Members would have the flexibility to use these losses to offset income in the main hotel property, fostering a balanced and sustainable approach.

As we collectively navigate the challenges and opportunities that lie ahead, let us remain committed to the growth and prosperity of the British Columbia hotel and tourism industry. Together, we can shape policies that lay the foundation for a resilient and flourishing future.

Warm regards,

Ingrid Jarrett

President and CEO

BC Hotel Association

Mastering Property Tax Management | Register Today!

Tuesday, December 12th at 1 PM PST

Unlock the keys to effective property tax management in this must-attend BCHA Virtual Event featuring Altus Group. Key session topics include: Understanding Assessment Procedures, Valuation of Hotel Properties, Trends in the Industry, and Altus Group's Impact

→ REGISTER NOW

We Need Your Voice | Quick BCHA Survey on 2024 Hiring Needs

Your voice drives our action. Please complete our short four-minute survey to advise on your hiring, training, and retention needs for 2024. Please complete by Wednesday, December 20, 2024.

For any questions, please reach out to communications@bcha.com. Your participation is crucial in shaping the future of our industry.

→ TAKE SURVEY

Recording Available | Protecting Your Business

Last week, the BCHA had the pleasure of hosting EDGETelecom and a panel of cybersecurity experts in a session that explored how to safeguard your guest information and financial data. A recording is now available!

Topics addressed in this session include protecting guest privacy, harnessing the power of cloud telephony for improved guest experiences, and staying ahead of industry challenges through digital transformation.

→ WATCH NOW

Invest in Success: Financial Leadership Training

Embark on a transformative journey with our Financial Leadership course from Jan 10 to Feb 14, 2024, led by industry expert David Lund. Gain invaluable insights and skills essential for success in the hospitality industry. But that's not all—explore further with our upcoming courses on Property Operations & Maintenance (Feb 21 - Mar 27, 2024) and Leadership for Hospitality Professionals (Apr 3 - May 8, 2024). Elevate your team's potential by registering now and enjoy exclusive discounted prices crafted for your team's success.

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TOP STORIES

BC's Growth Forecast Drops to 1% for 2023, but Deficit Projection Improves

The Province is injecting $380,000 into a two-year pilot project with the Chef's Table Society of BC to support small and medium-sized businesses and workers in the restaurant industry. The initiative, "Restaurant Culture Shift," aims to improve workplace cultures and attract skilled talent for sustained restaurant growth. The Chefs’ Table Society of BC will develop an online guide for all provincial restaurants, and a post-pilot evaluation will guide future support programs for BC's restaurant sector.

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Extended Deadline: Public Input on Revamping Disaster Financial Assistance

The Province has extended the deadline until January 31, 2024, for individuals and communities to contribute to shaping improvements in the provincial government's Disaster Financial Assistance program. The program, designed to aid those affected by disasters, is undergoing a revamp, and extended public engagement invites individuals, communities, and small businesses to share their experiences and provide feedback. The initiative aims to inform new policies and ensure the program effectively covers disaster-related losses that may not be readily insurable.

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RESOURCES

LCRB Implements Immediate Changes to Liquor Policy

ABLE BC has shared an industry update highlighting recent changes announced by the Liquor and Cannabis Regulation Branch (LCRB) to Liquor Policy manuals. The updates, effective immediately, cover various aspects including physical separation between liquor retailers and other businesses, regulations concerning accompanying minors in liquor stores and primary establishments, increased liquor transfers between licenses, and clarification of renewal fee calculations.

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Uncover the Risks: Recent Hotel Cybersecurity Breaches #1/2

In our tech-driven world, recent cyber threats have exposed vulnerabilities in the hotel industry. A Booking.com breach in September 2023 highlighted the increasing risks, with hackers compromising guest data and using phishing tactics. In this month's tech tip, our friends at IT Parnerts offer and exclusive offer for BCHA members: Secure a complimentary Hotel Cyber Security Checkup (value $1800).

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New Guidance Available: Navigating First Aid Regulatory Changes

To support stakeholders in preparing for the upcoming first aid regulatory changes effective November 1, 2024, WorkSafeBC has enriched its backgrounder with additional guidance. In April 2023, the Board of Directors approved amendments to Part 3 of the Occupational Health and Safety Regulation. For a comprehensive overview of the proposed requirements, please refer to the backgrounder on occupational first aid regulatory changes.

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Act Now: BC's Securing Small Business Rebate Program Open for Applications

A reminder to all small businesses in BC: the $10.5-million Securing Small Business Rebate Program is currently open for applications. Geared towards alleviating the financial strain caused by the rise in vandalism, theft, and property crime, the program allows small business owners to claim up to $2,000 for costs incurred due to vandalism and up to $1,000 for preventive measures like security cameras. The application deadline is January 31, 2025, with retroactive coverage starting from January 1, 2023. Given the first-come, first-served nature of the rebate, it is advised to apply at the earliest.

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Be a Hospitality Hero | Support the BCHF Spirit of Hospitality Lottery and Win Big!

The BC Hospitality Foundation provides essential support to BC hospitality employees facing times of medical or financial crisis. To raise funds, they are holding a lottery with over $30,000 in prizes to be won, including getaways to Aspen, Big White, the Pacific Northwest, Okanagan Wine touring, Vancouver Island, Osoyoos, Tofino, and Whistler.

→ LEARN MORE

TRENDING

IN THE NEWS

-> Canadian Lodging Outlook Quarterly 2023-Q3

-> Canada hotels recorded double-digit RevPAR growth in October

-> The Macallan Unveils "The Library by The Macallan" At Four Seasons Resort And Residences Whistler

-> Is AI the answer? The hotel industry grapples with its implications.

TALK OF THE TOWN

-> Destination BC Launches First Iconic Brand, Rainforest to Rockies

-> TIABC Membership Survey

-> Destination Canada | Canada emerges as a sustainable event leader

-> The 2024 BC Tourism Industry Awards Nominations Open

-> Indigenous Learning & Projects Grants Announced

AT A GLANCE

Save the Date! May 1-2, 2024 BCHA Summit

The BCHA Summit returns to unite BC's accommodation and business community for two days of industry connection and excellence May 1-2 at Fairmont Chateau Whistler.

AWARD NOMINATIONS WILL OPEN SOON!

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IMPACT Conference

January 21-24 | Victoria Westin Ottawa

Learn More

2024 BC Tourism Industry Conference

March 6 & 7

BCHA Summit

Fairmont Chateau Whistler | May 1-2, 2024

Registration Details Coming Soon

2024 HAC National Conference, REIMAGINED!

Le Westin Montreal |May 22-24, 2024 Read

ALLIED MEMBERS

CONNECTING MEMBERS WITH TRUSTED VENDORS

Transforming Hospitality with Always Care Consulting

Discover a new era of hospitality training with The Always Care Consulting Company, creators of the revolutionary book "Spin the Bottle Service – Hospitality in the Age of AI" and its associated training program. With over three decades of experience in a leading hotel brand, they challenge conventional training methods by incorporating storytelling to foster empathy and personalized service. BCHA members enjoy a complimentary 30-minute video consultation and an exclusive 10% discount on in-person Spin the Bottle Service training. Contact Paul Moxness at (250) 801-5126 or paul@alwayscare.ca, or visit to elevate your hotel's service and redefine staff training.

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Anizco Hotel Furniture Liquidators: Sustainable FF&E Solutions

Anizco leads in FF&E liquidation services in Vancouver, BC, providing eco-friendly options for hotel furniture needs. With over 40 years of experience, Anizco specializes in hassle-free furniture removal and offers repurposed items for green room makeovers. Large in-stock quantities ensure efficiency. BCHA members benefit from special pricing for volume buys. Contact Sophie Dhanani at (604) 682-2528 or sophie@anizco.com.

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HERE'S TO YOU!

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ITBC and DBC Win 2023 Content Marketing Award

Indigenous Tourism BC and Destination British Columbia have clinched a 2023 International Content Marketing Award for their bronze-medal-winning campaign, "Illahee: Our Lands & Our Place Within Them." The campaign features captivating videos showcasing Indigenous Storytellers' connections with BC's land, sea, and wildlife. Illahee not only highlights stunning landscapes but also advances reconciliation, promotes Indigenous culture education, and boosts Indigenous tourism businesses. Congratulations to the stellar teams at ITBC and DBC for this well-deserved achievement!

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Yes, Shef A Resounding Success!

WORTH Association recently hosted Yes, Shef a triumphant event, celebrating the outstanding women contributing their skills as chefs, sommeliers, winemakers, brewers, and bartenders. The event, held on November 6th, saw the presentation of $15,000 in scholarships to PICA culinary students, adding a significant highlight to the occasion. Congratulations to the entire WORTH Association team on a successful and inspiring event!

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LAST LAUGH

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