COTA
Member Update
SPECIAL COTA BOARD MEETING -
September 30, 2009
COTA's Board of Directors will be meeting in Vancouver on September
30 and receiving delegations of members. The purpose of this meeting
is to create more opportunities for COTA's Board to engage with
members and ensure we do not overlook any important issues in this
period of significant and fast moving change.
There has been considerable interest in this process but some
members have indicated they do not have the time or ability to
come as a delegation. There are also limited opportunities within
a one day meeting due to time constrains. Therefore, COTA is encouraging
written feedback related to the September 2, 2009 COTA Council
Resolutions or any other areas that members want to bring to COTA's
attention.
To enhance transparency COTA will communicate the general nature
of all topic and issue areas that are brought to the Board's attention
in our next Member update, scheduled for the week of October 5th.
SAVE THE DATE: COTA COUNCIL MEETING & AN EVENING TO RECOGNIZE ROD
HARRIS
October 30, 2009, Hyatt Regency Hotel, Vancouver
This COTA Council meeting will serve to update the Council on
progress and to seek further Council guidance and support for achieving
the results identified in our September 2, 2009 Council Motions.
In conjunction with the Council Meeting, COTA will be hosting
an industry-wide event on the evening of October 30th to recognize
and honour the contribution of the outgoing President and CEO of
Tourism BC, Rod Harris. This will be a ticketed event.
More information on both of these events will follow once details
and agendas have been confirmed. Please contact Kitka Neyedli at
kneyedli@cotabc.com or 604-678-4012 for more information.
SEPTEMBER 2, 2009 RESOLUTION UPDATES
HARMONIZED SALES TAX (HST) RESOLUTION
COTA continues focusing its efforts on addressing tourism industry
concerns relating to the HST.
After dozens of meetings with members, government officials,
and other stakeholders, COTA has drafted and distributed an initial
letter to federal Finance Minister, Jim Flaherty and provincial
Finance Minister, Colin Hansen regarding the HST.
The first component of the strategy is to seek a delay or phasing-in
of the HST in order to provide businesses and consumers with
the flexibility to absorb price increases. COTA is also seeking
clarity and confirmation regarding the Foreign Convention and
Tour Incentive Program (FCTIP) which provides GST rebates to
tour operators and conventions.
COTA is seeking to have the FCTIP provide rebates for the full
12% HST and is advocating for a return to individual rebates and
point-of-sale rebates as in the past GST Visitor Rebate Program.
Click here to read COTA's letter to Finance Ministers Flaherty
and Hansen.
The second tier of COTA's strategy is to work with the provincial
government to identify potential HST mitigation options in order
to reduce the impact of HST on tourism-related businesses. COTA's
initial analysis suggests that nearly all tourism-related sectors
will realize few benefits from Input Tax Credits (ITCs) to reduce
costs, whereas most tourism-related businesses will be required
to charge an additional 7% tax on most products and services.
In many cases businesses will be unable to increase their prices
(tax inclusive) due to fixed price contracts, consumer sensitivity,
or wholesaler / packager inflexibility.
In these cases the businesses will be forced to absorb the 7%
tax themselves, which in some cases may even threaten the viability
of these businesses.
COTA will finalize its HST economic impacts analysis in the coming
weeks and will share this with members, government, and other
stakeholders.
COTA has a meeting scheduled with the Ministry of Finance on October
7 to discuss potential mitigation options, based on discussions
initiated by the COTA HST Tourism Working Group. We have also been
working to ensure broader business community support for our HST
mitigation recommendations.
COTA will keep its members apprised of progress on this important
file in the upcoming weeks.
UPCOMING INDUSTRY EVENTS
Royal Roads University Information Session
September 30, Vancouver
Meet with a Faculty member from the School of Tourism and Hospitality
Management from Royal Roads University for a conversation about
how we can help advance your career with our Graduate Certificates
and Master of Arts in Tourism Management.
Click here for more information.
Hospitality Industry Conference & Exposition
November 22-24, Vancouver
Join the BC Hotel Association (BCHA), the BC Restaurant and Foodservices
Association (BCRFA), the Alliance of Beverage Licensees of BC (ABLE)
and the BC Lodging and Campgrounds Association (BCLCA) in Vancouver
for the BC Hospitality Industry Conference & Exposition on
November 22-24, 2009. You will have the opportunity to get informed
about the most relevant and timely issues affecting the hospitality
industry today.
Click here for more information
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