Dogwood Express Newsletter |
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In This Issue:
- 2024 Online Auction Benefiting Care Camps of Canada, Runs Until May 20th
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Campgrounds Now Qualify to Apply For Level 2 Public Charger Projects
- Overview of Federal Budget 2024
- Province Releases More Information Ahead of Short-Term Rental Rules taking Effect May 1
- 2023 BCLCA Annual Occupancy and 2024 Rate Survey Results Released
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2024 ONLINE AUCTION BENEFITING CARE CAMPS OF CANADA, RUNS UNTIL MAY 20
The BC Lodging and Campgrounds Association (BCLCA) is hosting its annual charity fundraising Auction now until May 20th, the day before the unofficial start to summer and this year’s Canadian RV & Camping Week.
The charity Care Camps Foundation, founded by campground owners, helps kids with cancer get to experience the healing power of the outdoors by sending them to specialized oncology camps.
Donations and bids can be made by visiting the Auction website link below, until May 20th.
Want to donate an item! It’s never to late to donate a gift card or a gift certificate to be added to the auction, please email Darlene@bclca.com or call 604-908-5594.
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Visit the 2024 Auction website for more information HERE.
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CAMPGROUNDS NOW QUALIFY TO APPLY FOR LEVEL 2 PUBLIC CHARGER PROJECTS
The Province of British Columbia has announced the next application deadline for the CleanBC Go Electric Public Charger Program. The deadline is Friday, May 17th 2024, at 11:59 PM PDT.
PluginBC are now accepting applications. You can apply online for rebate pre-approval through the website by clicking on the ‘Apply’ button.
The CleanBC Go Electric Public Charger Program is currently prioritizing applications for projects that fill geographic gaps in rural, northern, and Indigenous communities. Applications in urban communities with high ZEV uptake, high concentrations of multi-unit residential buildings, or other densification rationale for requiring more fast charging will also be given strong priority.
UPDATED PROGRAM GUIDE:
Please refer to the new Program Guide (dated April 3, 2024) for any/all information related to the CleanBC Go Electric Public Charger Program. The Program Guide has been uploaded on our website (and is attached in this email for your reference).
Updates/revisions are summarized below:
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Updated Eligibility for Campgrounds and RV sites for Level 2 only projects (refer Program Guide section 3.2.1 Level 2 Only Projects)
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Updated Eligibility requirements for Pilot Projects (refer Program Guide section 3.5 Pilot Projects)
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Updated Project preference criteria for Curbside EV charging (refer Program Guide section 4.0 Application Process)
Always refer the Clean BC Go Electric Public Charger Program Guide for comprehensive information related to the above-mentioned updates, rebates and eligibility requirements.
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OVERVIEW OF FEDERAL BUDGET 2024
Canada’s Deputy Prime Minister and Minister of Finance, Chrystia Freeland, delivered Federal Budget 2024 on April 16, 2024, and the government projects a $40 billion deficit for this fiscal year.
There is significant new spending that includes $8.5 billion allocated for housing initiatives aimed at addressing affordability and availability. The budget also introduces a $6 billion disability benefit and a $1 billion school food program, which are designed to support vulnerable populations and improve health and education outcomes for children.
On the tax side there is an increase in capital gains taxes, which is projected to generate an additional $19 billion in revenue, and according to the Minister of Finance aligning with efforts to increase fiscal sustainability and fund critical social programs.
When it comes to conservation and Parks there was a commitment of $156.7 million over five years that will support capital investments in national parks, national marine conservation areas, and historic sites to ensure their preservation and accessibility for future generations.
Grant Thornton in its Budget 2024: Insights for you and your business writes, “Budget 2024 is geared towards assisting Canadians amid rising living expenses, addressing affordability concerns, and fostering national economic growth.
Among the key tax measures, Budget 2024 increases the capital gains inclusion rate, which will affect high-net-worth individuals, corporations, and trusts.”
Grant Thornton’s Budget 2024 Summary talks about capital gains; the carbon rebate for small businesses; and the clean electricity tax credit.
The summary also talks about personal tax measures such as the lifetime capital gains exemption, Canadian Entrepreneurs’ Incentive and disability supports deduction.
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PROVINCE RELEASES MORE INFORMATION AHEAD OF SHORT-TERM RENTAL RULES TAKING EFFECT MAY 1
The Province has released additional information to guide hosts, platforms and visitors through the changes to short-term rentals rules that come into effect May 1st.
The new STR rules are:
- The Principal Residence Requirement, meaning short-term rentals can only be offered in the principal residence of a host, plus one additional unit, secondary suite or laneway home/garden suite on the property in communities where populations are greater than 10,000 people.
- The Principal Residence Requirement will function as a provincewide floor for communities with populations of more than 10,000 people, but local governments will still be able to use existing bylaws and introduce additional bylaws that are more restrictive.
- The Principal Residence Requirement will come into effect in more than 60 communities throughout B.C.
- Strata hotels and motels that have been operating in a manner similar to a hotel or motel before December 8, 2023, and that meet select criteria moving forward, will be exempt from the Principal Residence Requirement.
- Non-conforming use of property will no longer apply to short-term rentals. Under previous legal non-conforming use protections, if an existing use of land or a building did not conform to the new bylaw, it would have generally continued with legal non-conforming use.
- Short-term rental hosts will be required to display a valid business licence number on their listing, where a business licence is required by a local government.
- Short-term rental platforms will be required to share data with the Province.
- Local governments can request that a platform remove listings that do not display a valid business licence.
In addition to the short-term rental rules going into effect, 17 communities initially exempt from the legislation have requested to opt in to the Principal Residence Requirement. For those communities, the new short-term rental rules will take effect on Nov. 1, 2024. A couple of notable communities are Tofino and Osoyoos.
The Provincial Short-Term Rental Compliance Enforcement Unit, which will be phased in beginning May 1, will also be able to conduct investigations into alleged non-compliance, which may result in administrative monetary penalties and compliance orders. Administrative penalties for hosts breaking the rules can range from $500 to $5,000 a day per infraction, and up to $10,000 per day for corporations, depending on the infraction. Visitors and guests will not face any fines. The enforcement unit will also facilitate data sharing and requests to platforms to remove listings.
Visitors with stays booked after May 1, 2024, at short-term rentals are encouraged to check with their host directly to confirm the host is complying with their local government regulations and with B.C.’s new short-term rental rules.
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2023 BCLCA ANNUAL OCCUPANCY AND 2024 RATE SURVEY RESULTS RELEASED
A survey of BCLCA members and non-members who have 10 or more campsites was conducted in January 2024. In total, 91 operators responded to the survey representing a response rate of 26.1% for members and 5.1% for non-members.
Below is a snapshot of the results. For more insights click here.
Operating Insights:
- Operators are more effectively using their website for bookings. In fact, 76% of operators noted that customers could complete a reservation with payment, which is up 15 percentage points from last year.
- Consistent with last year, only 25% of responding properties use dynamic pricing.
- Four-in-ten responding properties offer at least one type of discounted rate with returning guests being the most common.
- Electric vehicle charging stations are offered at a limited number of properties (4%) but an additional 18% of operators plan on installing one in the future. These results are relatively consistent with last year.
2023 Results:
- Bookings were effectively flat in 2023 with a 1% decline overall. This follows several years of large % increases. The decline appears directly attributable to the catastrophic wildfire season in the Okanagan as the Thompson Okanagan region dropped 18% in the summer months. Results did vary by region with the Kootenay Rockies seeing a decline in bookings (-8% for the year), while Northern BC/Cariboo Chilcotin Coast saw a 15% increase, Vancouver Island increased 5% and Vancouver, Coast and Mountains was up 3% in bookings.
- Occupancy rates decreased from an average annualized rate of 47.3% in 2022 to 43.5% in 2023, which is a loss of 3.8 percentage points.
- Revenue was up an average of only 1.1% in 2023. Again, this follows several years of very strong growth; however, given the increased costs in the past two years, these small increases in revenue are not sustainable.
Looking Forward to 2024:
- Operators are investing in their properties. In fact, 49% noted that they are reinvesting some of their revenue in operations during 2024. The most common changes or improvements are for playgrounds (57%), Wifi (42%), docks (37%), washrooms (37%), and other shared/common areas (37%).
- Despite the rapid increase in inflation and interest rates in the past two years, nearly half of responding operators (45%) are keeping their 2024 rates consistent with 2023. Given that many operations are the owners’ primary livelihoods, it is important to ensure that the revenues keep in line with both the costs of doing business as well as the cost of living.
- That said, the Super Camping rate data for 2024 indicates that the Average Maximum nightly rates are increasing for all site types in 2024 with Partial Service and Full-Service sites increasing the most (up 5.9% and 5.6%, respectively over 2023 rates).
- Average nightly rates range dramatically by region. The average maximum nightly cost of a Full-Service site, for example, ranges from a low of $48.25 in Cariboo Chilcotin Coast/Northern BC (were combined due to sample size) to a high of $88.00 in the Vancouver Island region.
Survey participants have already received a copy of the report. BCLCA members can request a copy of the full report - please email jpenny@bclca.com.
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BC LODGING & CAMPGROUNDS ASSOCIATION
209, 3003 St. Johns Street, Port Moody BC V3H 2C4
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