The Ontario government advised ACTA and the industry in December 2019, of “the status of potential changes to the regulation under the Travel Industry Act, 2002 (TIA).” Now however, despite lengthy and costly lobbying efforts by ACTA and CATO, there is apparently no intention of revising the funding model for the Compensation Fund – and, far from reducing the regulatory burden on Ontario registrants, the government is heaping on more regulations.

Those include:
⦁ Registration of individual travel agents linked to continuing education requirements
⦁ Additional disclosure and advertising rules
⦁ Additional compliance tools for TICO

There is some reference to reducing financial reporting requirements but details as yet are not clear.

“We have asked the Ministry for clarification on the points in the announcement. And while ACTA has been heard on removing some of the financial and administrative burdens – we are extremely disappointed and in fact, angry, that there is no mention of introducing a consumer pay model such as the one in Quebec,” said Wendy Paradis, president, ACTA.

“This is inexcusable that after all our efforts advocating on this issue for years, along with the research that shows the funding model is unsustainable, that the government has ignored this input.”

Paradis said the announcement means more regulations, more TICO staff, more burden on an over – regulated industry.

She said that since there is no apparent intention of addressing consumer contributions, the additional red tape now involved, will either require more money moved from the compensation fund to cover the costs of increased administration activities, or an increase in TICO registrant fees.

Paradis noted that ACTA has, “immediately reached out to the government, directly advising that the proposed regulations drafted under the previous government do not address our immediate priority concerns and in fact adds more regulatory burden. Some ACTA members have shared with us how they have had to move their business out of the province and others who are having to consider shutting down simply due to the regulatory cost of doing business in this Province. “We must reduce this burden now, as what is being proposed will result in more travel agencies either moving to other provinces, or shutting their doors.” She said.

The government indicated it will hold consultations in 2020, but to date, no information on the new proposed regulations have been provided and no consultation dates has been set as yet.

ACTA calls for agents to keep up letter writing campaign

ACTA is asking industry members to continue to keep up pressure on the government in a letter writing campaign expressing the need for Compensation Fund reform to their MPPs and the government. Letter templates can be obtained online from the home page at acta.ca or by clicking here.