Thank you, Mr. Chairman. I’m pleased to introduce Bill 9, An Act to Amend the Tourism Act. This bill addresses the proposed changes to the Tourism Act, specifically the removal of the Tourism Deposit Assurance Program.
The Tourism Deposit Assurance Program was established in the early 1990s in an effort to
increase consumer confidence in Northwest Territories tourism operators following the demise of two large lodges on Great Bear Lake. No other Canadian jurisdiction offers a program like the Tourism Deposit Assurance Program.
This bill is an important one because the Department of Industry, Tourism and Investment believes that the Tourism Deposit Assurance Program has not accomplished what it was designed to do. It has not increased consumer confidence in our tourism industry and the Tourism Deposit Assurance Program ultimately drains valuable resources from programs designed to develop our tourism industry development. The industry is much better served by encouraging tourism operators to adopt payment practices that protect their clients, such as credit card payments.
The removal of the Tourism Deposit Assurance Program from the Tourism Act is consistent with direction we have received from industry partners such as Northwest Territories Tourism. In June 2010 the chair of the Northwest Territories Tourism advised Industry, Tourism and Investment that its board had passed a motion recommending that the department eliminate the program from its legislation.
Removing the Tourism Deposit Assurance Program from the Tourism Act is also consistent with the recommendations of the Standing Committee on Economic Development and Infrastructure, which recommended that the Tourism Deposit Assurance Program be cancelled in March 2010.
Industry, Tourism and Investment and the Government of the Northwest Territories remains committed to providing a diversified economy that provides all communities and regions with opportunities and choices. It is our view that removing the Tourism Deposit Assurance Program from the Tourism Act and focusing our resources on programs and services that assist the development of our tourism industry will help us meet this important objective.
I want to thank the committee for its input into the review of the proposed changes to the Tourism Act. I would now be happy to answer any questions you might have about this issue.