[embedded content]
Premier Dwight Ball says $25 million in funding will help the hard-hit local tourism and hospitality industry reopen as COVID-19 restrictions ease.
Newfoundland and Labrador’s tourism sector has been decimated by the effects of COVID-19 even ahead of the traditionally busy months of July and August.
“This support will help make life a little easier during one of the toughest times that we’ve had to face as a province,” Premier Dwight Ball said Monday morning at a news conference to announce the funds.
He said the roughly 2,700 businesses employing 20,000 people across the province play an important role throughout Newfoundland and Labrador’s communities.
The $25-million Tourism and Hospitality Support Program complements existing emergency supports, Ball noted, and will “better position operators to reopen” as public health measures relax through the province’s staged reopening plan. The money is coming from the $200-million COVID-19 contingency fund.
“With tourism spending of $1.4 billion annually, the industry has a significant impact,” on the province, said Tourism Minister Bernard Davis, who said the program was designed to fill a gap in other funding identified by the industry.
Under the program, small- and medium-sized registered tourism operators can apply for a one-time, non-repayable capital contribution of $5,000 or $10,000 depending on the operation’s gross sales. If a business grosses less than $100,000 a year, it’s eligible for $5,000, and $10,000 if it grosses more than that.
To get the money businesses must demonstrate losses in March & April and forecast accommodations in May and June. Accommodations, retail, experiences, tours, etc. are eligible. Applications open Monday.
—@HeatherMGillis
The minister said the money is intended to help businesses cover some of their costs as they deal with substantial losses, and more information will be posted on the department’s website with applications opening June 8.
The $25 million will come from the province’s $200-million contingency fund for COVID-19 relief.
Meanwhile, Davis said the Department of Tourism is working on a staycation marketing campaign.
The premier said guidelines for intraprovincial travel will be released as the province moves to Alert Level 3, which would be June 8 at the earliest.
COVID-19 hurting industry
Many players in the industry have detailed how big of a blow the pandemic has levelled, including accommodations, restaurants, and other organizations.
Some, however, have vowed to stay hopeful that they can stay afloat, and even draw in more of the staycation crowd.
The province’s total number of COVID-19 cases remains at 260. By region, there are 242 cases in the Eastern Health region, eight cases in the Central Health region, four cases in the Western Health region and six cases in the Labrador-Grenfell Health region.
There are still three active cases of COVID-19 in the province, as 254 have recovered from the virus. There have been three deaths due to the virus.
Read more from CBC Newfoundland and Labrador
