Jasper National Park of Canada Rent and Fee Remission Order: SI/2024-47

Canada Gazette, Part II, Volume 158, Number 21

Registration
SI/2024-47 October 9, 2024

FINANCIAL ADMINISTRATION ACT

P.C. 2024-1068 September 27, 2024

Her Excellency the Governor General in Council, considering that it is in the public interest to do so, on the recommendation of the Treasury Board and the Minister of the Environment, makes the annexed Jasper National Park of Canada Rent and Fee Remission Order under subsection 23(2.1)^{footnote a} of the Financial Administration Act ^{footnote b}.

Jasper National Park of Canada Rent and Fee Remission Order

Definition of Regulations

1 (1) In this Order, Regulations means the National Parks of Canada Lease and Licence of Occupation Regulations.^{footnote 1}

Words and expressions

(2) Unless the context requires otherwise, all other words and expressions used in this Order have the meaning assigned to them by the Regulations.

Municipality of Jasper

2 Remission is granted to the Municipality of Jasper of the rents paid or payable for the period beginning on April 1, 2024 and ending on March 31, 2027 for leases, licences of occupation and other agreements entered into under section 7.3 of the Municipality of Jasper Agreement.

Lake Edith cottages habitable from April 1, 2024 to March 31, 2025

3 (1) Remission is granted to lessees of Lake Edith cottages in the resort subdivision referred to in item 1 of Schedule II of the Regulations that remain habitable after the fires of July 2024 in Jasper National Park of Canada of 8.33% of the rents paid or payable for the period beginning on April 1, 2024 and ending on March 31, 2025 under subsection 8(1) of the Regulations for leases granted under paragraph 3(1)(a) of the Regulations.

Lake Edith cottages habitable from April 1, 2024 to October 31, 2024

(2) Remission is granted to lessees of Lake Edith cottages in the resort subdivision referred to in item 1 of Schedule II of the Regulations that remain habitable after the fires of July 2024 in Jasper National Park of Canada of 14.29% of the rents paid or payable for the period beginning on April 1, 2024 and ending on October 31, 2024 under subsection 8(2) of the Regulations for leases granted under paragraph 3(1)(a) of the Regulations.

Lake Edith cottages not habitable

(3) Remission is granted to lessees of Lake Edith cottages in the resort subdivision referred to in item 1 of Schedule II of the Regulations that are not habitable after the fires of July 2024 in Jasper National Park of Canada of the following portions of the rents for leases granted under paragraph 3(1)(a) of the Regulations:

• (a) 66.67% of the rents for any cottage with rents paid or payable under subsection 8(1) of the Regulations for the period beginning on April 1, 2024 and ending on March 31, 2025;
• (b) 42.86% of the rents for any cottage with rents paid or payable under subsection 8(2) of the Regulations for the period beginning on April 1, 2024 and ending on October 31, 2024; and
• (c) 100% of the rents for any cottage with rents paid or payable under subsection 8(1) or (2) of the Regulations for the period beginning on April 1, 2025 and ending on the earlier of date of resumed occupancy or March 31, 2028.

Leases and licences of occupation — April 1, 2024 to March 31, 2025

4 (1) Remission is granted to lessees and licence of occupation holders of 66.67% of the rents or fees paid or payable for the period beginning on April 1, 2024 and ending on March 31, 2025 under subsection 11(1) or 18(7) of the Regulations, respectively, for leases granted under paragraph 3(1)(b) or (e) of the Regulations and licences of occupation granted under paragraph 18(1)(b) or (e) of the Regulations.

Leases and licences of occupation — April 1, 2025 to March 31, 2026

(2) Remission is granted to lessees and licence of occupation holders of the following amounts with respect to the rents or fees paid or payable for the period beginning on April 1, 2025 and ending on March 31, 2026 under subsection 11(1) or 18(7) of the Regulations, respectively, for leases granted under paragraph 3(1)(b) of the Regulations or (e) and licences of occupation granted under paragraph 18(1)(b) or (e) of the Regulations:

• (a) the amount of the total rent or the fee if that amount is less than $50,000; and
• (b) $50,000 if the total rent or the fee is $50,000 or more.

Gross revenue losses greater than 10%

(3) Despite paragraph 2(b), if the lessee or licence of occupation holder sustains gross revenue loss for the period set out in subsection (2) greater than 10% of their previous gross revenue, the amount remitted is the greater of $50,000 and the product of the total rent or the fee, as the case may be, and the percentage of gross revenue loss.

Condition

(4) The remission referred to in subsection (3) is granted if the lessee or licence of occupation holder provides the Minister of the Environment with a signed attestation of their gross revenue loss within six months after the day on which their fiscal year ends.

Definition of previous gross revenue

(5) In subsection (3), previous gross revenue means the gross revenue for the fiscal year ending on or before July 24, 2024, adjusted by the Consumer Price Index for 2023.

Remission of interest

5 Remission is granted to anyone referred to in sections 2 to 4 of the interest in respect of any rents or fees the payment of which has been deferred, in whole or in part, as a result of the announcement from Parks Canada in the month of August 2024.

EXPLANATORY NOTE

(This note is not part of the Order.)

Proposal

Pursuant to subsection 23(2.1) of the Financial Administration Act, the Jasper National Park of Canada Rent and Fee Remission Order remits rents and licence fees in Jasper National Park to support business owners and residents impacted by wildfires in the region over the span of spring/summer 2024. These wildfires are referred to as the Jasper Wildfire Complex, which includes the combined North and South wildfires (2024JA08, 2024JA09 and 2024JA10), and the Utopia wildfire near Miette Hot Springs. The severity of the wildfires in Jasper National Park has resulted in significant current and future financial repercussions for the Jasper community. The reduced economic activity, elevated living expenses, and costs associated with rebuilding or repairing damaged properties have collectively posed considerable financial strain.

Objective

The rent and fee relief is for all commercial and residential lessees and licensees, including cottages at Lake Edith, as well as the Municipality of Jasper. The proposal would forgive all rents and fees payable by

• The Municipality of Jasper
• Grant a remission to the Municipality of Jasper for all rents payable pursuant to the Municipality of Jasper Agreement and various leases, licences of occupation, and other agreements for the period beginning on April 1, 2024, and ending on March 31, 2027.
• Lake Edith cottages, habitable from April 1, 2024, to March 31, 2025
• Grant a remission of 8.33% or 1/12 (i.e. a period of time that is equivalent to one month of evacuation) of the annual rent to Lake Edith cottage lessees (i.e. residential leases in the resort subdivision located in Jasper National Park, as set out in Schedule II of the National Parks of Canada Lease and Licence of Occupation Regulations) whose lease allows for year-round occupancy and whose premises remain habitable after the Jasper Fire Complex.
• Lake Edith cottages, habitable from April 1, 2024, to October 31, 2024
• Grant a remission of 14.29% or 1/7 (i.e. a period of time that is equivalent to one month of evacuation) of the annual rent to Lake Edith cottage lessees (i.e. residential leases in the resort subdivision located in Jasper National Park, as set out in Schedule II of the National Parks of Canada Lease and Licence of Occupation Regulations) whose lease restricts the occupancy from April 1 to October 31 (seven months) annually and whose premises remain habitable after the Jasper Fire Complex.
• Lake Edith cottages not habitable
• For Lake Edith cottages (i.e. residential lessees in the resort subdivision located in Jasper National Park, as set out in Schedule II of the National Parks of Canada Lease and Licence of Occupation Regulations) whose premises are not habitable because of the Jasper Fire Complex, grant a remission of rents as follows:
  • For the period of April 1, 2024, to March 31, 2025:
    • (i) 66.67% or 8/12 of the annual rent (i.e. the equivalent of remitting rents from August 2024 through to March 2025) for all cottages whose leases allow occupancy between April 1 and March 31;
    • (ii) 42.86% or 3/7 of the annual rent (i.e. the equivalent of remitting rents from August 2024 through October 2024) for all cottages whose leases allow occupancy between April 1 and October 31.
  • Commencing on April 1, 2025, and until whichever is sooner, the point of resumed occupancy or three years, a full remission of rents.
• Commercial leases and licensees (remission August 1, 2024, to March 31, 2025)
• For the 2024–2025 remission, in recognition of the significance of the impact of the fire and to provide an approach that is not administratively burdensome, Parks Canada recommends providing remission of all rents and fees to commercial operations to offset a combination of loss of use, significantly reduced visitation and added costs related to fire recovery (air quality testing and purification, general cleaning, etc.) for the remainder of the year.
• For commercial lessees and licensees within Jasper National Park paying market rent or fees (i.e. those whose rents or fees are set in accordance with subsection 11(1) or 18(7) of the National Parks of Canada Lease and Licence of Occupation Regulations), grant a remission of rents and fees as follows:
  • Rents or fees, an amount equivalent to 66.67% or 8/12 of the rent(s) (i.e. covering the period of August 1, 2024, to March 31, 2025).
• Commercial Leases and Licensees (remission April 1, 2025, to March 31, 2026)
• For 2025–2026, in anticipation of continued impacts, Parks Canada recommends a blanket remission up to $50,000, which would remit rent for smaller commercial operations and require a more robust revenue analysis for larger commercial operations with more significant revenues. The intention of the blanket remission is to provide a simple, administration-free channel of assistance for smaller businesses.
• For commercial lessees and licensees within Jasper National Park paying market rent or fees (i.e. those whose rents or fees are set in accordance with subsection 11(1) or 18(7) of the National Parks of Canada Lease and Licence of Occupation Regulations), grant a remission of rents and fees as the greater of (a) or (b):
  • (a) The lesser of $50,000 or their total annual rent or fee; or
  • (b) If the annual rent or fee is greater than $50,000 and the commercial operator sustained losses to their gross revenue during the period beginning on April 1, 2025, and ending on March 31, 2026, greater than 10% relative to previous gross revenues, grant a remission that is equivalent to the percentage of revenue loss (i.e. a 20% reduction in gross revenues = a 20% reduction in the annual rent or fee)
• In the case of (b) above, previous gross revenues means
  • (i) If the lessee’s fiscal year runs from April 1 to March 31, the gross revenue from April 1, 2023, to March 31, 2024, adjusted by the Consumer Price Index; or
  • (ii) If the lessee’s fiscal year differs from Parks Canada’s fiscal year of April 1 to March 31, the lessee’s fiscal year preceding the date of the fire (July 24, 2024) adjusted by the Consumer Price Index.
• In the case of (b) above, the lessee or licensee must provide the Minister of Environment with a signed attestation of the gross revenue loss within six months of the end of their fiscal year.

Interest accrued

Grant a remission of all interest accrued resulting from Parks Canada deferring the payment of any portion of rents and fees payable in accordance with leases and licences of occupation granted for lands or premises within Jasper National Park for the period of August 1, 2024, to March 31, 2027.

Background

Impacts of the Jasper Fire Complex

On July 22, 2024, there was an overnight evacuation of more than 20 000 residents and visitors of Jasper National Park, including the town of Jasper, due to an active wildfire. Jasper National Park has since then been closed to visitors by order of the Park Superintendent. A gradual re-entry plan for residents commenced on August 16, 2024.

The wildfire in Jasper National Park has severely impacted the town of Jasper and its surrounding areas, resulting in extensive environmental damage and significant disruptions to the local community. Approximately one third of Jasper’s buildings — 358 out of 1 113 — were destroyed, including homes, businesses, and essential community facilities, with approximately 800 housing units lost. The wildfire has caused hundreds of millions of dollars in direct property damage, and firefighting costs and will continue to have negative economic effects on tourism revenues that are a major economic driver for local businesses and residents.

Commercial and residential lessees and the Municipality of Jasper

Parks Canada administers 1 419 leases, licences of occupation and other agreements for commercial, residential, community and utility uses within Jasper National Park. Of these agreements, 1 280 are for properties located within the town of Jasper, and 139 are for lands within Jasper National Park but located outside the town boundaries.

There are 1 274 agreements within the town of Jasper boundaries that are set at a nominal fee of $1 under the Municipality of Jasper Agreement, which allows the Municipality of Jasper to levy property taxes to fund municipal services. Parks Canada charges the $1 rent in order to maintain control of the lands, but the provision of municipal services is funded by property taxes, payable to the Municipality of Jasper, levied against those properties. The other six agreements within the town of Jasper boundaries are market rate agreements for a combination of premise licences (for space within Parks Canada buildings) and utility infrastructure.

The remaining 139 leases and licences within Jasper National Park pay market rents, in accordance with the National Parks of Canada Lease and Licence of Occupation Regulations. Of the 139, 10 agreements are for municipal, government or non-profit uses with rents and fees set at a nominal rate, 50 are for cottage leases surrounding Lake Edith with rents set as a percentage of the appraised land value (ALV). The remaining agreements (79) are for utilities and commercial uses (e.g. accommodations for park visitors). The rents and fees for this last subset are either set as a percentage of the appraised land value (ALV) or as a percentage of the operator’s gross revenue (PGR). The rents and fees for all the agreements are reviewed periodically to reflect changes in the market conditions.

In accordance with the terms set out in the Municipality of Jasper Agreement, the Municipality of Jasper pays an annual rent of $475,000 to Parks Canada for lands used for municipal purposes (e.g. fire station, roads, park, cemetery, water treatment facility). This amount is subject to an annual adjustment in line with the changes in the Consumer Price Index, with the most recent calculation being $733,513.24 as of 2024. Municipal rent is payable annually on July 1st.

Implications

Revenue-generating opportunities in Jasper National Park have been significantly reduced and are not expected to recover quickly due to the wildfire. On August 13, 2024, the Jasper Municipal Council announced financial relief measures for residents, including the immediate suspension of preauthorized tax payments on all properties that have been damaged or destroyed. Given the unique lease and cost structures for residents and businesses operating within national parks, the Parks Canada Agency seeks to implement measures that will support the community of Jasper during this period.

Consultation

The remission of rents for commercial and cottage lessees and licensees, as well as the Municipality of Jasper, represents a key component of a support package designed to assist the community affected by the wildfire.

Contact

Alison Lobsinger
Director
Policy, Legislative and Cabinet Affairs
Parks Canada Agency
Telephone: 819‑775‑5331
Email: alison.lobsinger@pc.gc.ca