Newfoundland and Labrador Product Development Strategy

- 174 -As of late 2003, only 73% of licensed establishments were in compliance and up to date withthe legal requirement of submitting monthly occupancy data.Many properties claim to operate year-round but do not do so, causing problems forconsumers attempting to book. This issue needs to be addressed by the licensing and/orCanada Select system, or both.There appears to be a lot of confusion among operators as to what the regulations are. Abetter communications process is required. The Canada Select rating advisors should ensurethat all operators receive and are familiar with the relevant regulations affecting them.Unlicensed AccommodationsAnother issue is that of unlicensed accommodations being rented by licensed accommodationoperators. This is perhaps not a major problem in small communities and remote rural areaswhere there is little or no commercial accommodations available, but not in St. John’s or othercentres having a mix of properties where there is an extensive supply of commercialaccommodations.The following paragraph is from the Appendix (which was submitted to the Canada Selectboard) and represents our recommendation on the matter:‘Canada Select rated properties that rent out unlicensed accommodations on site ornearby should either get them rated (either as part of the same property or as a separateproperty) or have their star rating withdrawn altogether. The same applies to all roomsbeing rented out in the same building. In other words, all accommodations offered forrental for periods of less than a month at a time should be licensed and inspected.’Travel Guide Listing PrivilegesWe suggest that properties found to be in contravention of licensing requirements, oroperating unlicensed accommodations, be suspended from Canada Select rated status andremoved from the provincial travel guide for one year or until being reinstated, whichever islonger. Perhaps the ‘three strikes and you’re out’ is appropriate, wherein the property wouldreceive three warnings.Campgrounds – Tenting, Trailers and Recreational VehiclesThe situation with respect to campgrounds and recreational vehicle parks is in some waysmore straightforward but also has its own complexities.Our analysis indicates that there is, overall in the province, a sufficient supply ofcampgrounds for both the tenting and recreational vehicle market although there may be acouple of areas with specific opportunities/needs as will be discussed later. In fact, theavailable statistics indicate that there is an oversupply of facilities overall although some areasoperate at close to capacity on weekends drawing on the resident market (Note that there areTHE ECONOMIC PLANNING GROUP of Canada Newfoundland & Labrador Tourism Product DevelopmentD. W. Knight Associates Strategy and Accommodation Needs Study