Parks Canada Rent Relief Order

Summary#

The Remission Order in Respect of Non-residential Leases and Licences of Occupation Under the Administration of the Parks Canada Agency gives a temporary reduction in rent and fees for certain commercial and municipal tenants on Parks Canada lands. It remits 75% of amounts due for the period April 1, 2020 to June 30, 2020, and was made under the Financial Administration Act.

What it does#

• Cuts 75% of rent and licence fees that were paid or payable for April 1, 2020 to June 30, 2020 for specified commercial and municipal uses on lands administered by the Parks Canada Agency. That includes leases and licences used for commercial purposes on national parks, national historic sites, and certain other Parks Canada places (including arrangements tied to Banff, Jasper and the Rouge National Urban Park).
• If a rent or fee is normally charged on an annual basis, the cut is applied on a pro‑rata basis to cover the April–June period.
• The remission is available to:
  • any tenant that would have qualified for the Canada Emergency Commercial Rent Assistance (CECRA) program if the landlord had been a private owner, provided the tenant gives the Parks Canada Agency a signed attestation by August 31, 2020;
  • the Corporation of the Town of Banff; and
  • the Municipality of Jasper.
• The government estimated the order could remit up to $5.7M in total and potentially benefit about 766 businesses.

Who's affected#

• Small and medium tourism‑related businesses that lease or occupy commercial land and operate on Parks Canada sites (shops, restaurants, hotels, outfitters, golf courses, etc.).
• A small number of larger operators (fewer than ten) are also in the portfolio, but most tenants are local or regional businesses.
• The Corporation of the Town of Banff and the Municipality of Jasper are named recipients.
• In practical terms, it mainly targets tenants who were excluded from the federal CECRA program because the landlord is the federal government.

Why it matters#

• It reduces a landlord cost for three months during the early COVID‑19 pandemic. That can help with cash flow and short‑term liquidity for businesses that lost most of their spring and summer revenue.
• Many of these businesses are seasonal and located in remote or tourism‑dependent communities. Lowering land rent for April–June helps them cover some fixed costs and improves chances they can stay open later.
• The relief mainly covers land rent and fees. It does not eliminate other fixed costs such as building mortgages, utilities, or capital costs, so it is partial support rather than a full rescue.
• The measure filled a gap because tenants on federal lands could not access the CECRA program that applied to private‑land tenants.