Recovery Work Plan and Recovery Needs:

Transcription

1 TNRD Economic Recovery Recovery Work Plan and Recovery Needs: January 5th, 2018

2 Submitted to: The Thompson Nicola Regional District Prepared by: O Leary and Associates Ltd. Project Contact: Colin O Leary Colin@olearyandassociates.ca With support from: Jamie Mayes jamie@olearyandassociates.ca Aleece Laird Amplify Consulting Aleece@amplify.ca Pictures in this report were graciously shared by the Thompson-Nicola Film Commission. O Leary and Associates Ltd. Reproduction is authorized provided the source is acknowledged. 1 P a g e

3 Table of Contents Background... 5 What is Recovery?... 5 Recovery Components:... 6 This recovery work plan and report was accomplished through three main activities:... 6 Key Findings:... 7 Estimated Economic Loss:... 8 Summary of Gap Analysis:... 9 Possible Short-Medium term Recovery Actions... 9 Possible Long term Recovery Actions Recommendations for the TNRD: Recommended Short-Medium term Recovery Actions: Recommended Medium-Long term Recovery Actions: Findings from Online Survey and Community Engagement Sessions Types of Businesses Affected by the Wildfires in the TNRD Cause of Economic Loss due to Wildfires for Businesses in the TNRD TNRD Businesses Economic Recovery Needs Quantify an Estimate of the Economic Loss Gap Analysis, Opportunities and Recommendations Short-Medium term Recovery Actions Long term Recovery Actions Summary of Current Economic Recovery Programs Red Cross Phase 2 - Additional Financial Assistance Red Cross Community Partnerships Grant Canada Small Business Finance Program Employment Assistance Work Sharing Program Community Futures Sun Country BC Wildfire Response and Recovery Loan Program Community Futures Sun Country Business Ambassadors Program for Wildfire Recovery Small Business BC BC Wildfire Resources for Small Business and Ask the Expert Agri-Recovery Program Farm Business Recovery Advisory Services Program Agriculture and Agri-Food Canada: Advanced Payments Program P a g e

4 2017 British Columbia AgriStability Enhancement Program BC Ministry of Tourism, Arts and Culture Wildfire Initiatives Mental Health Support Programs: Tax Relief Programs: Environmental Recovery Programs: Recovery Work plan (Methodology) Phase 1 Project Launch Phase 2 - Planning, Logistics and Communications Strategy Task 2.2: Wildfire Recovery Needs Assessment and Gap Analysis Survey Task 2.3: Community Engagement Session Planning Task 2.4: Operational Planning Phase 3 - Community Engagement - Needs Assessment Task 3.1: Roll out the coordinated marketing plan utilizing various media channels Task 3.2: First Round of Community Engagement Sessions Phase 4 Data and Gap Analysis Task 4.1: Compile Data from Online Survey and Community Sessions Task 4.2: Gap Analysis Phase 5 - Validation and Second Round of Community Engagement Task 5.1: Validation of Draft Findings Task 5.2: Coordination with other stakeholders Task 5.3: Second phase of community engagement - presentation of findings Phase 6 - Creation of Final Disaster Recovery Plan Gap Analysis Outcomes: Possible Short-Medium term Recovery Actions Possible Long term Recovery Actions Recommendations for the TNRD: Recommended Short-Medium term Recovery Actions: Recommended Medium-Long term Recovery Actions: P a g e

5 Appendix 1.0: Recovery Work Plan Table Appendix 2.0: Short-Medium term Recovery Actions Appendix 3.1: Community Marketing Posters Appendix 3.2: Mail Drop Postcard Appendix 4.0: Online Survey Questions Business Information Support Resources Economic Impact Recovery Appendix 5.0: Detailed List of Recovery Resources for Businesses The Canadian Red Cross & Province of BC Emergency Financial Support to Small Businesses, Not-for- Profit Organizations and First Nations Cultural Livelihoods Red Cross Phase 1 - Emergency Financial Assistance Red Cross Phase 2 - Additional Financial Assistance Red Cross Community Partnerships Grant Canadian Small Business Finance Program Employment Assistance Work Sharing Program Community Futures Sun Country BC Wildfire Response and Recovery Loan Program Business Ambassadors Program for Wildfire Recovery Rural Dividend Grant for Wildfire Recovery Initiatives Small Business BC BC Wildfire Resources for Small Business and Ask the Expert AGRI Recovery Program Farm Business Recovery Advisory Services Program Agriculture and Agri-Food Canada: Advanced Payments Program British Columbia AgriStability Enhancement Program BC Ministry of Tourism, Arts and Culture Wildfire Initiatives BC Wildfire Service: Claims for the 2017 fire season Mental Health Support Programs: Tax Relief Programs: Environmental Recovery Programs: P a g e

6 Section 1: Executive Summary Background As the Thompson-Nicola Regional District (TNRD) and its business owners move from response to recovery after a devastating wildfire season, the TNRD is taking a series of steps to help businesses with that recovery process. Most significantly, the TNRD has hired a Community Economic Recovery Manager to coordinate efforts with business owners who suffered negative economic impacts due to the 2017 wildfires. A number of areas throughout the Thompson-Nicola Regional District (TNRD) were impacted by wildfires during the summer of The areas hardest hit in 2017 included Boston Flats with the loss of 45 residences, the Loon Lake community with the loss of 40 residences, and the Pressy Lake area with the loss of 33 residences. This property damage and loss is not inclusive of all of the damage that was suffered throughout the region to important infrastructure, such as hydro and telecommunications. 1 After the wildfires had subsided and residents were allowed to return, the TNRD took immediate steps to help property owners quickly dispose of fire-damaged materials. This included temporarily waiving disposal fees for fridges/freezers and food; coordinating pickup of fridges/freezers; setting up temporary disposal locations for debris; and offering one-on-one assistance to landowners. 2 Now, the TNRD is looking to help business owners who were adversely affected by the economics with the recovery process. This was accomplished through multiple community engagement sessions, data collection to facilitate in the quantification of economic loss in the region, a survey of existing programs and support, a gap analysis and recommendations for support programs going forward, which is summarized in this report. What is Recovery? Recovery is the restoration, re-development, and /or rehabilitation of facilities, livelihoods and living conditions of economically impacted populations to a level that meets or in some cases improves upon the original condition. Recovery planning is a legislated component of community emergency preparedness planning under the Emergency Program Act (Section 6.2). Recovery is a three-stage process: short term recovery or incident stabilization, medium term recovery and long term recovery. Short term recovery activities include assessing damages, providing temporary housing and restoring essential services. In contrast, long term recovery is reflected by a return to normal routines and permanent reconstruction efforts that may include improvements to promote a more resilient community. The extent of the recovery process should reflect the scope and scale of the economic impact 2. 1 TNRD Press Release, September 12, :00 p.m.: Wildfire Damage in the TNRD 2 TNRD Press Release, November 8 th, 2017: TNRD Hires Manager to Help with Fire Recovery 5 P a g e

7 When moving through these stages, the impacted communities will need to: 1. Set priorities and objectives for recovery; 2. Articulate the roles and responsibilities of all involved; 3. Set realistic milestones for gauging how much progress has been made; and, 4. Ensure the effective transfer of knowledge, expertise, services and support. Recovery Components: Emergency Management British Columbia (EMBC) and the Community Wildfire Recovery and Provincial Disaster Recovery Branches of the Ministry of Forest Lands Natural Resource Operations and Rural Development (FLNRORD) have outlined four recovery components in the Recovery Work Plan and Recovery Needs: A Guide for Community Wildfire Recovery Planning Document. These foundational components are as follows: People: Ensuring the right resources are available to support the overall physical, mental and social well- being of economically impacted communities, municipalities, First Nations, families and individual British Columbians. Economy: To nurture an environment that supports the rehabilitation of and reinvestment in disrupted economies and businesses. Environment: To protect and re-establish the environment to a healthy state and mitigate longterm environmental effects and risks. Reconstruction: To enable the safe and orderly restoration of damaged infrastructure within impacted areas. This report and the actions summarized within it are focused almost exclusively on Economic Recovery in the Thompson-Nicola Regional District. This recovery work plan and report was accomplished through three main activities: 1. Actively engaging the business community affected by the 2017 wildfire season in the TNRD. This was accomplished through eight in-person, facilitated community engagement sessions which were supported by an active marketing campaign. 2. Data from the community sessions and an online survey was then used to estimate the economic loss in the region, identify the existing recovery resources and undertake a gap analysis to identify opportunities for additional recovery programs or support. 3. This information was then compiled into this report which outlines recommendations for possible programs or actions that the TNRD (or other agencies) could take undertake to offer effective support to businesses needing assistance to recover from the 2017 wildfire season. 6 P a g e

8 Key Findings: This section will summarize very briefly some of the key findings from both the online survey as well as the community engagement sessions. Further information and any figures referenced can be found in Section 2: Technical Report. With the use of business licence data (where available) and local area knowledge, it was estimated that there are a total of 492 businesses in the study area. Of the 492 businesses, it was estimated that 457 of them were impacted in some way by the 2017 wildfires. The top five industry sectors represented in this study are: Accommodation and Food Services; Agriculture, Forestry, Fishing and Hunting; Retail Trade; Other Services ; Arts, Entertainment and Recreation; and Construction. These five accounted for nearly 85% of the total representation of businesses in the online survey. Most businesses surveyed (~75%) typically have annual revenues below $250,000 per year (Figure 2.0) and 85% of them have ten or fewer employees. Just over 40% of the businesses captured in this recovery initiative are owner/operators (Figure 3). This is representative of BC s economy which is comprised of 98% small businesses (as defined by 50 employees or less) of which approximately 51% of those small businesses are categorized as owners without paid help (Figure 4) 3. Overwhelmingly the economic loss suffered by businesses in the TNRD due to the wildfires of 2017 was related to business interruption. Only 16% of businesses engaged in the initiative indicated that their business loss was attributed to direct fire damage. When businesses in the survey were asked if they were aware of business interruption insurance, 62% said yes (Figure 7). Of the respondents who said yes, only 14% of the businesses indicated that they had successfully made a claim (Figure 8). This means that only 8.5% of businesses surveyed held business interruption insurance AND were able to successfully make a claim. Of the businesses that had or were aware of business interruption insurance, 47% indicated that they were not able to make a claim. When prompted further about why not, the responses generally fell into the following categories: The losses were not enough to make it worthwhile putting in a claim; There was no insurable loss for a variety of reasons as defined by the insurance providers; Putting in a claim was too complicated; The deductible was too high; and, The insurance is too cost prohibitive for a small business. 3 BC Stats Small Business Profile 2017 calculated using data supplied by Statistics Canada 7 P a g e

9 Only 42% of businesses engaged indicated that they had successfully participated in an economic recovery program despite the fact that eligibility is much higher. About 19% indicated that they were aware but had not yet applied and 39% of businesses indicated that they had not participated in any support programs (Figure 10). Generally the data indicates a persistent lack of awareness about the existing recovery programs and that there is still underutilization of existing programs. When businesses were asked if they had an emergency plan, nearly two thirds (61%) reported that they did not (Figure 13). A business emergency response plan is a document designed to help small business owners plan and prepare for emergencies that could interrupt operations. Business emergency response plans have been proven to make a difference in how effectively a business responds to and recovers from a disaster. Businesses and communities are interested in having assistance with disaster planning now, as a proactive measure, before the next disaster strikes. Other key themes were centered on faster response and communication. When asked if business owners would like to know more about programs and services that could help their business with economic recovery, there was an overwhelming response of yes (Figure 15). Estimated Economic Loss: The estimated total loss of sales due to wildfires in the study area was over $21 Million (see page 26). The estimated total lost hours of employment due to wildfires in the study area was almost 100,000 hours, resulting in a very conservative estimate of just over $1 Million in lost wages. Thirty percent of respondents indicated that they had to engage in some form of lay-offs. The estimated total direct economic loss due to wildfires to date in the study area was almost $31 Million, and this number is expected to grow. 42% of businesses anticipate further economic loss in 2018 and beyond because of the 2017 wildfires (see Figure 19). It should be mentioned that not all businesses were affected negatively. Some businesses, which were able to stay open and were located in an area where road or access closures were not affecting their ability to service customers, actually did substantially better compared to previous years. Examples include gas stations, convenience stores and some accommodations that were able to service people who were being evacuated or service wildfire support agencies such as the RCMP or firefighters. 8 P a g e

10 Summary of Gap Analysis: The following sections have been divided into short to medium term recovery recommendations and long term recovery recommendations. These are findings from the study and reflect the opinions and data collected from the businesses in the TNRD. These are only brief summaries of the recommendations, further detail can be found in Section 2: Technical Report. It is understood that although the TNRD has completed this initial recovery work plan and gap analysis, it is unlikely that they will be able to take on all of the recommendations listed below. One key reason for this is that some of these findings lay clearly outside of the jurisdiction or scope of the TNRD. That being said, this information will still prove to be very valuable for other recovery organizations. By sharing this data and document, the TNRD can immediately help business owners with recovery by providing valuable on-the-ground information regarding business recovery needs to other organizations, saving them the time and resources of duplicating the same effort. Possible Short-Medium term Recovery Actions Marketing and promotion of the area to help the tourism sector recover. The top five industry sectors represented in this data accounted for nearly 80% of the total businesses and they were all related to tourism or impacted by tourism. Development of a one-on-one direct assistance program to help businesses recover by providing services such as: Navigation and awareness in a constantly changing recovery program landscape; To act as a single point of contact for businesses when it comes to recovery; and, To assist with application forms and processes to access recovery initiatives. Continued promotion of the existing recovery programs in an easy to read and simplified format, which should be made available on the TNRD website, on social media and through mail drops. Data would seem to indicate that the existing recovery programs are not being utilized to their fullest extent due to lack of awareness. Additional grant programs should be considered to cover recovery expenses. Some examples include: To help with expenses related to animals that do not qualify as livestock but are directly attributed to business activities (miniature horse breeding, geldings, etc.); To help with hiring or employee wages; To help with more general recovery and cleanup expenses; and, To help municipalities with post-fire economic development. 9 P a g e

11 Explore the possibility of local lenders offering low or no-interest loans to help businesses with operating and recovery capital. Many businesses in the TNRD count on the peak season to survive the off-season. The wildfires in 2017 heavily impacted the income generated during the peak season and in some cases resulted in additional expenses. Many businesses will need an influx of capital to survive until the next peak season. Special provisions should be considered around variances and permittingto enable businesses to rebuild and recover as soon as possible. Focus should be put on red tape reduction and expedited process with possible special variances as long as public health and safety, and environmental protection are not compromised. Provide support to assist businesses with the creation of an emergency response and business continuity plan. Business emergency response and continuity plans have been proven to make a difference in how effectively a business responds to and recovers from a disaster. Almost two thirds of businesses surveyed reported that they do not have an emergency plan. Best efforts should be made to continually improve the wildfire-specific, integrated media and communications strategy or plan for the TNRD for the next fire season. Now is the time to make a plan and strategy while there are no disasters currently underway and there is more time to think and strategize. Stakeholder engagement should include community leaders, wildfire management agencies, private industry, different levels of government as well as media representatives. This could include a provision to hire a specific communications manager to collect information from various organizations and agencies, coordinate a response and disseminate information to businesses as a single point of contact during future disasters. Possible Long term Recovery Actions Commitment to a long term marketing and promotion campaign to revive the tourism sector. The impact from the wildfires will likely last over multiple years and so a sustained long-term commitment to marketing and promotion will be needed to assist the tourism sector to recover and grow. Best efforts should be made to continually improve the programs to assist local governments and First Nations governments with preparedness efforts such as an integrated emergency management plan (such as those offered through EMBC). The planning process should include larger companies that operate in the backcountry, such as logging and tourism organizations, emergency response agencies, various levels of government, etc. Efforts could include fuel reduction programs, policy and procedures for when an emergency takes place, communications plans, etc. 10 P a g e

12 The creation of post-fire economic development incentives to promote the recovery and expansion of existing businesses as well as attracting new businesses to diversify the existing economies. Specific suggestions included tax incentives, entrepreneur support, and attraction campaigns. The development of long term tax relief and grant programs. It is suggested that programs be developed to continue over a two to three year period in order to promote more sustained growth and development. Recovery will likely take multiple years and therefore recovery measures should be put in place to take into account these timeframes. Investigate policy development and best practices around alternative insurance solutions. Best practices in other parts of the world, such as New Zealand should be reviewed to see if there are plausible alternatives to help businesses secure better insurance coverage for wildfire disasters. Take measures (such as geotechnical stability studies) to reduce further environmentally driven economic impacts (such as flooding, slides, or debris torrents) as well as undertake environmental remediation measures such as noxious weed control and reseeding. Explore the possibility of purchasing and installing multiple web-cams (similar to those used on major highways) throughout the region including in the parks. This will enable residents, officials, and tourists to see firsthand in real-time the conditions in the TNRD. This can help to market the region to tourists, become a source of information for locals, help control misinformation, and give real-time pictures on the ground during emergencies. 11 P a g e

13 Recommendations for the TNRD: Given the jurisdiction, scope and resources of the TNRD not all of the identified recovery actions will be possible. Therefore, the following recommendations have been made balancing business recovery impact with most pragmatic measures the TNRD could undertake. This does not mean that other recovery actions listed above should not be initiated; instead the following recommendations are based on the best information available at the time. Recommended Short-Medium term Recovery Actions: Continued promotion of the existing recovery programs in an easy to read and simplified format, which should be made available on the TNRD website, on social media and through mail drops. Data indicates that the existing recovery programs are not being utilized to their fullest extent due to lack of awareness. Note: Community Futures Sun Country Business Ambassadors Program for Wildfire Recovery is addressing this need, but not for the whole of the TNRD. Effort should be made to expand the program to cover unaddressed areas. Special provisions should be considered around variances and permitting to enable businesses to rebuild and recover as soon as possible. Focus should be put on red tape reduction and expedited process with possible special variances as long as public health and safety, and environmental protection are not compromised. Note: The TNRD Board of Directors have already taken measures to reduce building permit and planning application fees by 50% and directed the acceleration of application processing for wildfire impacted property owners. Additionally, the Board will be considering a new zoning for dry cabins and will be lobbying the provincial government for relief and Building Code changes for seasonal cabin rebuilds. Investigate the idea of providing support to assist businesses with the creation of an emergency response and business continuity plan. Business emergency response and continuity plans have been proven to make a difference in how effectively a business responds to and recovers from a disaster. Almost two thirds of businesses surveyed reported that they do not have an emergency plan. 12 P a g e

14 Recommended Medium-Long term Recovery Actions: Best efforts should be made to continually improve the wildfire-specific, integrated media and communications strategy or plan for the TNRD for the next fire season. Now is the time to make a plan and strategy while there are no disasters currently underway and there is more time to think and strategize. Possible actions could include stakeholder engagement with community leaders, wildfire management agencies, private industry, different levels of government as well as media representatives. This could include a provision to hire a specific communications manager to collect information from various organizations and agencies, coordinate a response and disseminate information to businesses as a single point of contact during future disasters. Work to continually improve existing programs which assist communities with preparedness efforts such as an Integrated Emergency Management Plan. The planning process could include larger companies that operate in the backcountry, such as logging and tourism organizations, emergency response agencies, various levels of government, etc. Efforts could include fuel reduction programs, policy and procedures for when an emergency takes place, communications plans, etc. Note: The Red Cross Community Partnerships Grant could possibly cover some expenses related to the development of a program to assist communities with preparedness efforts such as an integrated emergency management plan. Further investigation should be done if this recommendation is to proceed. Take measures (such as geotechnical stability studies) to reduce further environmentally driven economic impacts (such as flooding, slides, or debris torrents) as well as undertake environmental remediation measures such as noxious weed control and reseeding. Note: The Ministry of Forests, Lands, Natural Resource Operations and Rural Development s (FLNRORD) recovery plans include immediate efforts related to rehabilitation from wildfires and firefighting, such as trail restoration, grass seeding and assessing slopes for stability. Any such efforts should be done in coordination with FLNRORD. 13 P a g e

15 Section 2: Technical Report Findings from Online Survey and Community Engagement Sessions The data collected can be broadly defined in 4 major groups: information about the businesses affected by the wildfires, the support resources they are aware of currently, the economic impact of the wildfires, and how the TNRD can assist with recovery. Overall 112 online responses were collected from late November to the end of December These were complimented by twelve different community engagement sessions. Through business licence data (where available) and local area knowledge it was estimated that there were 492 businesses. Of the 492 businesses it was estimated that 457 of them were impacted in some way by the 2017 wildfires. Total Affected 70 Mile House and Area* Ashcroft Cache Creek Clearwater * Including: South Green Lake, Pressy Lake, Egan Lake, Big Bar area, Loon Lake, Maiden Creek and 20 Mile With a sample size of 112 and a population size of 457, this data is statistically significant, representing a 95% confidence level and 8.1% confidence interval. In other words, there is a 95% chance that the data in the report is representative of the population as a whole, plus or minus 8.1%. 14 P a g e

16 Types of Businesses Affected by the Wildfires in the TNRD Businesses affected by the 2017 wildfires in the TNRD ranged dramatically from Garlic Farms to Museums, Vineyards to Architectural Consulting, and Adventure Tourism to Retail. This being said, the top five industry sectors, as defined by Statistics Canada, represent nearly 85% of the total representation in the online survey. These industry sectors were, in order from largest to smallest: Accommodation and Food Services, which includes RV resorts, hotels, motels and restaurants; Agriculture, Forestry, Fishing and Hunting, which includes fishing and hunting lodges, farming, ranching, etc.; Retail Trade which includes gas stations, grocery stores, and other storefronts; Other Services which includes businesses primarily engaged in repairing, or performing general or routine maintenance on motor vehicles, machinery, equipment and other products to ensure that they work efficiently; providing personal care services, funeral services, laundry services and other services to individuals; Arts, Entertainment and Recreation, which includes establishments primarily engaged in operating facilities or providing services to meet the cultural, entertainment and recreational interests of their patrons; and, Construction. The full industry sector representation is outlined in the table below (Figure 1). Figure 1: Please select the Industry Sector which best represents your business: Wholesale Trade Public Administration Professional, Scientific and Technical Services Management of Companies and Enterprises Real Estate and Rental and Leasing Manufacturing Information and Cultural Industries Health Care and Social Assistance Transportation and Warehousing Finance and Insurance Construction Arts, Entertainment and Recreation Other Services (except Public Administration) Retail Trade Agriculture, Forestry, Fishing and Hunting Accommodation and Food Services 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 15 P a g e

17 Most businesses surveyed (nearly 75%) have annual revenues below $250,000 per year (Figure 2.0) and 85% of them have ten or fewer employees. Out of this 85%, just over 40% of the businesses captured in this recovery initiative are owner/operators (Figure 3) % 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% Figure 2: What are the typical annual revenues (sales) for your business? 0.00% less than $250,000/year between $250,000 and $499,999/year between $500,000 and $999,999/year More than $1 million/year Figure 3: Number of paid employees: No paid employees 1-10 paid employees paid employees paid employees 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 40.00% 45.00% 50.00% 16 P a g e

18 This representation is not overly surprising as BC s economy is comprised of 98% small businesses (as defined by 50 employees or less) and approximately 51% of those small businesses are owners without paid help (Figure 4) 4. Figure 4: Breakdown of Businesses in British Columbia, 2016 Cause of Economic Loss due to Wildfires for Businesses in the TNRD Overwhelmingly the economic losses suffered by businesses in the TNRD due to the wildfires of 2017 were related to business interruption. Only 16.09% of businesses engaged in the initiative indicated that their business loss was attributed to direct fire damage. Instead, over 80% of businesses reported that road closures were the biggest cause of interruption. These closures prevented customers from accessing businesses, prevented owners from accessing their own businesses, prevented suppliers from bringing supplies, or shipping companies from bringing finished goods or produce out of the region. This was followed by losses arriving from Evacuation Orders (54.02%) and Evacuation Alerts (59.77%) which had a similar impact to the road closures, but was defined by areas rather than infrastructure (Figure 5). In addition to direct lack of access, the evacuation orders and alerts drove fear, which further decreased customer activity and bookings. All of this happened during the peak season for many of the businesses in the TNRD, intensifying the financial impact of the wildfires. 4 BC Stats Small Business Profile 2017 calculated using data supplied by Statistics Canada 17 P a g e

19 Figure 5: Were the losses a result of road closures, loss of infrastructure, loss of natural resources, direct fire damage or because of an evacuation order or alert (check all that apply)? 80.46% 54.02% 59.77% 12.64% 17.24% 16.09% Road or access closure Loss of infrastructure Loss of natural resources Direct fire damage Evacuation Orders Evacuation Alerts Business interruption insurance is a form of insurance designed to help support businesses that cannot operate as a result of an insurable loss. For example: a fire destroys a workshop, or a flood ruins inventory. Business interruption insurance typically covers fixed expenses utilities, taxes and even employee wages and includes Business Income Insurance, to cover any loss of earnings. This form of insurance is different from property insurance which typically covers the cost of replacing buildings, equipment or materials. Figure 7: Are you Aware of Business Interruption Insurance? No 38.10% Yes No Yes 61.90% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 18 P a g e

20 Figure 8: If you answered yes to the question above, did you use your Business Interruption Insurance? 50.00% 45.00% 40.00% 35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00% 13.70% Yes 46.58% No When businesses in the survey were asked if they were aware of business interruption insurance, only 61.9% said yes (Figure 7). Of the respondents who said yes, only 13.7% of the businesses indicated that they had successfully made a claim (Figure 8). This means that in total only 8.48% of businesses surveyed held business interruption insurance and were able to successfully make a claim. Of the businesses that had or were aware of business interruption insurance, 46.58% indicated that they were not able to make a claim. When prompted further about why not, the responses generally fell into the following categories: The losses were not enough to make it worthwhile putting in a claim. There was no insurable loss for a variety of reasons including: o no structures were lost or damaged; o not on evacuation order or alert ; and, o impacts from road closures were not covered. Putting in a claim was too complicated. The deductible was too high. The insurance is too cost prohibitive for a small business. It should be mentioned that not all businesses were affected negatively. Some businesses, which were able to stay open and were located in an area where road or access closures were not affecting their ability to service customers, actually did substantially better compared to previous years. Examples include gas stations, convenience stores and some accommodations that were able to service people who were being evacuated or service wildfire support agencies such as the RCMP or firefighters. 19 P a g e

21 TNRD Businesses Economic Recovery Needs A number of different questions were asked both in the community engagement sessions and in the online survey regarding both the awareness of and uptake in existing recovery programs. These questions were asked in order to gather data for a gap analysis which will be used to determine if there are businesses needs for recovery which are not currently being met by existing recovery programs; and to determine if there are existing recovery programs, which address current economic recovery needs in the TNRD, which are being underutilized. The first question asked was based around awareness of the major recovery initiatives that are currently operating. By far the greatest awareness was for the Red Cross Initiatives, followed by the Small Business BC Wildfire Support Program, and then the Agriculture Support Programs (Figure 9). Figure 9: Have you heard of the following programs (please check all that apply): The Advanced Payments Program (Agri-Food Canada) 10.59% Small Business BC BC Wildfire Resources 45.88% Red Cross Phase % Red Cross Phase % AGRI Recovery program 21.18% Red Cross Community Partnerships Grant 35.29% 20 P a g e

22 Figure 10: Have you been able to participate in any economic recovery programs? Have not yet applied 18.99% No 39.24% Yes 41.77% Despite this apparent awareness, there were a large number of individuals who indicated that they were not aware of many of these programs. Given the marketing effort and community engagement efforts of these groups, it is surprising that there is still some lack of awareness about the support services being offered. Further, only 41.7% of businesses surveyed indicated that they had successfully participated in an economic recovery program. About 19% indicated that they were aware but had not yet applied and 39.2% of businesses indicated that they had not participated in any support programs (Figure 10). 45% 40% 35% 30% 25% 20% 15% 10% 5% Figure 11: Why have you not been able to participate in any economic recovery programs? 0% I am unable to find funding to assist my business to recover I do not meet the eligibility requirements of programs I don't feel my business was impacted like others' were I do not have capacity to complete the application I do not think I am eligible 21 P a g e

23 When asked why they have not been able to participate, the following reasons were given: I am unable to find funding to assist my business to recover (approx. 40%); I do not meet the eligibility requirements of programs (approx. 35%); I don't feel my business was impacted as severely as others or There are other businesses that could use it more (approx. 9%); I do not have the capacity to complete the application (approx. 7%); and, I don t think I am eligible (approx. 9%). These responses indicate a lack of awareness about the existing recovery programs and that there is still a massive underutilization (nearly half of the businesses in the TNRD) of existing programs. The responses which indicated that businesses were unable to find funding to support their recovery are probably much more indicative of not being able to find a program which would provide coverage for the full economic loss experienced due to the wildfires. Interactions with business owners during the community engagement sessions further support this conclusion as many comments were made regarding the current funding available being far less than the total amount of economic loss incurred. The 35% of respondents who indicated that they did not meet the eligibility requirements is probably also over-represented as Phase 2 of the Canadian Red Cross support initiative is extremely inclusive (Figure 11). However, eligibility requirements have changed since the program was first launched. This is likely fueling the misconception that businesses are not eligible, when in fact they are. Once again during the community sessions, there were multiple examples of instances where business owners in the room indicated they were not eligible for Phase 2 of the Canadian Red Cross support initiative. Yet, with further discussion (including with the Canadian Red Cross representative at the sessions), it was found that they were in fact eligible. When business owners affected by the wildfire in the TNRD were asked their opinion of what gaps exist for recovery, there was a wide variety of answers, but generally seven distinct themes emerged as outlined by figure 12: Marketing and promotion of the region for the coming tourism season (31%); Some forms of additional monetary assistance in the form of grants (26%); Better communication and awareness of support initiatives (14%); Better support to help them access business recovery initiatives (12%); Some sort of interim financing, ideally interest free loans (10%); Lenience or reduction of red tape around permitting and licensing (4%); and, Some sort of lobbying or regulation of insurance companies to make business interruption insurance more affordable and to ensure that coverage is being honored (3%). 22 P a g e

24 Figure 12: In your opinion what gaps exist for recovery for business owners affected by the wildfire in the TNRD? Lobbying/regulating Permitting process insurance companies 4% 3% Better communication Additional Monetary Assistance 26% Better communication 14% Support to access resources 12% Support to access resources Marketing for coming tourism season Loans (interest free) Additional Monetary Assistance Loans (interest free) 10% Marketing for coming tourism season 31% Lobbying/regulating insurance companies Permitting process Some of the more specific suggestions included: Help with remediation of burned infrastructure or the clean-up of fire retardant on private property; Changing policy, regulation, and legislation so that the B.C. Emergency Program Act or Disaster Financial Assistance could better help businesses affected by the wildfire in the TNRD; Emergency planning improvements to better prepare for future wildfires; and, Variance to building code making it possible to rebuild business infrastructure at a previous location or to help manage upgrading to current code standards. After reviewing numerous wildfire economic recovery initiatives throughout North America, one key component began to stand out: the development of a Business Emergency Response and Continuity Plan. A Business Emergency Response and Continuity Plan is a document designed to help small business owners plan and prepare for emergencies that could interrupt operations. They typically outline policies and procedures that come into play once a disaster strikes. More importantly, they get business owners thinking (in a non-emergency setting) what are the major risk factors that could impact their business, the basic needs and functions of the business, and how to best preserve them. They can develop a business evacuation plan, a plan on how the business could continue to operate remotely, an emergency communications plan, and decide how to protect and manage critical business information. 23 P a g e

25 Business Emergency Response and Continuity Plans have been proven to make a difference in how effectively a business responds to and recovers from a disaster and there are many templates available for businesses to use, including one from PreparedBC 5. When businesses were asked if they had an emergency plan, nearly two thirds (61%) reported that they did not (Figure 13). It also became apparent, during the community engagement sessions that many business owners had never even heard of or thought about an emergency plan. Those who did have an emergency plan fared much better than those who did not as they were able to either maintain some level of business or were better equipped with information to complete recovery program applications. Figure 13: Do you have a business emergency plan? Yes 39% No 61% Interest in Business Emergency Response and Continuity Plans carried over into the next question as well which asked: What could the TNRD do in future disasters to aid in economic recovery? There was a variety of thoughts and comments, but the majority of the responses followed six key themes as outlined in the chart below (Figure 14). Businesses are interested in having the TNRD assist them and their communities with disaster planning now, as a proactive measure, before the next disaster strikes (11%). Other key themes were centered on faster response (16%) and improving communication (26%). Communication has been identified a number of different times throughout this report and has been referenced in a number of different ways. Improved communication between all of the different agencies, levels of government, and businesses was the most cited at 26%. The general feeling was that all of these different organizations had different messaging, different timing, different access points, and different rules and were generally not coordinating with each other, leading to confusion and further misinformation. 5 PreparedBC, Emergency Plan for Small Businesses: 24 P a g e

26 Communication also includes media communications and helping to control the information that is broadcasted by the media or correct inaccurate reports (7%). Not surprisingly, it was generally felt that the media tended to sensationalize and focus on the devastation. The result was the projection of devastation on a much larger scale to the rest of the world. There were consistent comments that European tourists and event tourists from outside of the Thompson-Okanagan thought the whole of the province had burned down, severely impacting the tourism industry. For example, the media focused on the closure of Wells Gray Park giving the impression as if the park and area was burning. In reality Wells Gray park experienced no major fires and was largely untouched. Attention should be made in future disasters to highlight the good news and show positive images as well. Lastly, a solution identified was the need for a single point of contact (3%), which can amalgamate all of the different information streams into one source, and which could assist businesses one-on-one and help respond faster to business needs during response. Here is a comment from a business owner explaining the situation in their own words: there are too many organizations involved in this recovery dealing directly with business and people impacted. Red Cross, TNRD, SLRD, CCCTA, Province, etc. etc.. Perhaps, you can organize yourself so I only deal with one organization that can help me on the ground. This is the fifth survey I have completed, but I have yet to see any help beyond the initial Phase 1. Figure 14: What could the TNRD improve in future events to aid in economic recovery? Better media relations and messaging control More one on one business support Faster response with support Assist businesses and communities with an Emergency Preparedness Plans Better communications management between agencies, government and businesses Single point of contact for all information and programs 0% 5% 10% 15% 20% 25% 30% 25 P a g e

27 Specific programs that were suggested to help businesses recover include: Targeted and wide ranging tax incentives that can be advertised specifically toward sectors that have been hardest hit; Agriculture consultants to help identify the best crops for specific soil types and the growing season in a post-fire ecology; Programs to help businesses with disaster planning and the development of business emergency response and continuity plans; A 'one stop shop' where businesses could go to find out what programs/relief are available; A program to facilitate co-op marketing for specific regions to share expenses and create a unified brand, leveraging individual marketing budgets into a greater impact; A translation program or initiative to help English as a second language business owners to participate in recovery. There are many non-native English speaking small business owners in the TNRD who will likely struggle accessing assistance. Figure 15: Would you like to know more about programs and services that could help your business with economic recovery? 16% Yes No 84% 26 P a g e

28 When asked if business owners would like to know more about programs and services that could help their business with economic recovery, there was an overwhelming (85%) response of yes (Figure 15). Business owners were also asked what their preferred informational channel would be, which is summarized in figure 16. Based on this response, should be used whenever possible, followed by websites, social media and mail brochures. There was also a preference for centralized workshops and face-to-face meeting, which when combined together would represent the fourth most popular option, above social media. Figure 16: If you were interested in learning more, what kind of informational format would you prefer? 86.96% 36.23% 28.99% 15.94% 1.45% 7.25% 2.90% 21.74% 10.14% Mail - brochures Centralized workshops or classes Local television Internet Websites Newspaper Insert Radio Social Media Face to face 27 P a g e

29 Quantify an Estimate of the Economic Loss Quantifying the economic loss due to the 2017 wildfires is a challenging task as most small businesses are not publically traded companies and therefore their financial information is not public. This is further complicated by the fact that most business people do not want their financial information to be shared with others, including their competitors, customers, employees, etc. Without having a dataset that is publically accessible, the only way to get financial information from businesses was to ask them to self-report, understanding that there is a very real risk that the information is not accurate. This can be circumvented to some degree by taking known third party information and comparing it to the reported numbers as an external validation. For this we were graciously able to access the results from the Thompson Okanagan Tourism Association Economic Impact Survey, which asked similar questions, but from a different perspective. Both the staffing and economic impact numbers from both studies were similar, indicating that they are likely fairly accurate. As these surveys were performed at different times, from different perspectives, it is unlikely that fabricated responses would match so closely. When businesses were asked how 2017 would compare as a percentage to a typical year in terms of revenues (sales), the results were relatively consistent. There were some outlying figures, but the average response was that business was down 26% and the median response was that business was down 30%. Breaking this data up further in quartiles, we can see that the first quartile was down 50% and the third quartile was down 10% as outlined in the table below: How would you compare 2017 in terms of revenues (sales) with an average year for your business? Average: -26% Median: -30% First quartile -50% 2nd quartile -30% 3rd quartile -10% Quartiles are a useful measure of spread because they are much less affected by outliers or a skewed data set than the equivalent measures of mean and standard deviation. For this reason, quartiles are often reported along with the median as the best choice of measure of spread and central tendency, respectively, when dealing with skewed and/or data with outliers. A common way of expressing quartiles is as an interquartile range. The interquartile range describes the difference between the third quartile (Q3) and the first quartile (Q1), telling us about the range of the middle half of the scores in the distribution. 28 P a g e

30 This was explored further to determine the loss of sales experienced in the 2017 wildfire in an absolute dollar amount. Once again, quartiles were used to analyze the aggregate data and are outlined in the table below. In this circumstance there were a few outlying figures impacted the average, but the median, quartiles and interquartile range shows a much different story and is much less spread out (interquartile range of $57,500). One interesting point to note is that after reviewing this data it would appear as though the funding available through the Canadian Red Cross, Phase 2 (up to $20,000) should cover almost 100% of the economic losses for nearly half of the business who participated in this survey (50% of businesses would be below the median figure, which was $25,000). Average: $ 152,610 Median: $ 25,000 First quartile $ 5,000 2nd quartile $ 25,000 3rd quartile $ 62,500 Interquartile range $ 57,500 Using the reported lost sales numbers, an estimate can be made for the total lost sales in the TNRD due to the 2017 wildfire season. In order to do this estimation we have to assume that this sample is representative of the loss of sales for the entire region and that our estimated figure of the number of businesses affected by the wildfires in the study region is accurate (457). Using this information the total reported loss of sales can be extrapolated to reflect the estimated loss in sales for the whole region: Estimated Value of Lost Sales due to 2017 Wildfires in Study Area Loss of Sales as reported by the survey sample $ 5,799,192 Total estimated number of businesses affected by 2017 wildfires in study area 457 Total number of businesses in survey sample 124 Estimated sample as a percentage of all businesses in study area 27.09% Estimated total lost sales due to wildfires in study area $ 21,372, P a g e

31 Loss of sales does not paint the whole picture for economic impact as it does not include lost assets (equipment, buildings, etc.) or loss of earnings for employees who were laid off. Figure 17: What assets (equipment, buildings, property, livestock) did your business lose in the 2017 wildfire? Assets lost 18% No Direct Fire Lost Assets 82% Assets lost No Direct Fire Lost Assets Although most businesses did not lose assets, there were some reported losses in this sample including: Hundreds of kilometers of fencing; Numerous outbuildings; Rental cabins and guest lodges; Historical buildings; Food products/feed/other supplies with a shelf life; Equipment; Harvestable timber; and, Private road damage. 30 P a g e

32 Businesses were asked if they had to lay off any employees due to the wildfire. 30% of respondents indicated that they had to engage in some form of lay-offs as summarized by Figure 18 below: Figure 18: Did you have to lay off any employees? Yes, 30% No, 70% 0% 10% 20% 30% 40% 50% 60% 70% 80% Businesses were also asked to quantify the total hours of employment lost due to the 2017 wildfires. This information can be used to make a conservative estimate of the economic loss of wages due to the 2017 wildfires in the region. We can do this by taking the total number of lost hours of employment and then multiply them by the minimum wage at the time ($10.85) as we know that these employees would have been paid at least this much money. In reality, this will likely underestimate the total amount of lost wages, but it is better to err on the side of conservatism and without employer wage data in the region there is no other number that can be used. Once again, in order to do this estimation we have to assume that this sample is representative of the loss of wages for the entire region and that our estimated figure of the number of businesses affected by the wildfires in the study region is accurate (457). Using this information the total reported loss of wages can be extrapolated to reflect the estimated loss in wages for the whole region. Estimated Value of Lost Wages due to 2017 Wildfires in Study Area Lost Hours of Employment as reported by the survey sample 25,686 BC Minimum Wage prior to September 15th, 2017 $ Total sample estimated minimum wages lost $ 278, Total estimated number of businesses affected by 2017 wildfires in study area 457 Total number of businesses in survey sample 124 Estimated sample as a percentage of all businesses in study area 27.09% Estimated total minimum amount of wages lost due to wildfires in study area: $ 1,027,119 6 The minimum wage in BC was adjusted upwards to $11.35 on September 15 th, It was assumed that the majority of the lost wage hours happened prior to this date. 31 P a g e

33 Businesses were also asked to estimate their total economic loss (taking into account all variables) due to the 2017 wildfire season in the TNRD. There was quite a bit of variability in the reported data as some businesses were dramatically impacted, while others were not negatively impacted at all. Once again quartiles were used as a way to analyze the data, which are summarized in the table below. Looking at the data we can see that the average total direct economic impact for businesses in the TNRD due to the 2017 wildfires has been estimated at $144,310. This being said, given the very high sample standard deviation (indicating that the data was quite diverse) we can see that the median response was once again around $25,000. This means that of all the businesses in the sample, half of them reported a total direct economic loss of $25,000 or less. Once again this would indicate that the funding available through the Canadian Red Cross, Phase 2 (up to $20,000) should, in theory, cover almost 100% of the economic losses for nearly half of the business who participated in this survey (50% of businesses would be below the median figure, which was $25,000). Average: $ 114, First quartile $ 5, nd quartile $ 25, rd quartile $ 100, Interquartile range $ 95, Sample Standard Deviation $ 308, Using this information, an estimate of the total direct economic loss due to the 2017 wildfires can be calculated. We can do this by taking the total estimated direct economic loss from the sample and then extrapolate to reflect the estimated direct total economic loss for the whole region. Once again, in order to do this estimation we have to assume that this sample is representative of the direct economic loss for the entire region and that our estimated figure of the number of businesses affected by the wildfires in the study region is accurate (457). It should be mentioned that this calculation does not take into account economic multipliers, which can be used to approximate the indirect and induced economic impact of the direct economic impacts. In other words this estimate, which only looks at the direct economic impact, is most likely an underrepresentation of the actual economic impact in the TNRD due to the 2017 wildfires. 32 P a g e

34 Estimated Total Direct Economic Loss due to 2017 Wildfires in Study Area Direct Economic Loss as reported by the sample survey $ 8,344,660 Total estimated number of businesses affected by 2017 wildfires in study area 457 Total number of businesses in survey sample 124 Estimated sample as a percentage of all businesses in study area 27.09% Estimated total direct economic loss due to 2017 wildfires in study area: $ 30,754,110 Another factor to consider is that the final economic impact from the wildfires of 2017 has not yet been realized. Businesses were asked if they anticipated further economic loss in 2018 and beyond because of the 2017 wildfires and 42% of them said yes. Another 22% indicated that they were unsure at this time, while only 36% seemed convinced that there would be no further economic impact (Figure 19). Figure 19: Do you anticipate further business loss in 2018 and subsequent years as a result of the 2017 fires? Unknown 22% Yes 42% No 36% 33 P a g e

35 Some examples of the continued economic impact from both the survey and community engagement sessions are outlined below: Damage and loss of habitat, coupled with silt runoff to lakes and spawning streams will likely lead to future impact on fishing lodges and related businesses. Loss of rental cabins and accommodations which cannot be rebuilt in time for the 2018 season or possibly beyond. Loss of timber sales and pasture. Lack of pasture will cause increased costs associated with feed, feed hauling, and moving livestock. Livestock stress during the fires has resulted in late calves, lighter weaner calves and fewer cows having calves. Impact to the landscape will likely affect future tourism, customer enjoyment, and outdoor experiences. Past experience seems to indicate an expected 10-15% drop in future tourism traffic for up to a decade because of widespread negative publicity during the fires. 34 P a g e

36 Gap Analysis, Opportunities and Recommendations This section will be used to summarize findings and articulate identified short, medium, and long-term recovery needs that have emerged in the TNRD, as well as recommendations which could be adopted to meet these needs. One of the first questions asked with regard to recovery was of the organizations that are offering support for economic recovery and which organizations have businesses engaged with to date. The following tables illustrate all of the different organizations which are active players in the TNRD in the economic recovery arena (Figure 20). This list is definitely not all inclusive as the other includes the BCEDA, Rotary, Lions Clubs and other service organizations which accounted for the fourth largest response at just over 14%. This attests to the complexity and confusion around accessing economic recovery programs. Overall, by far, the largest response was for the Canadian Red Cross at just over 75% awareness among survey and community engagement session participants. Although this is high, it is still rather surprising given the amount of time, staff and effort the Canadian Red Cross has spent on economic recovery in the region. After the Canadian Red Cross, awareness drops off dramatically to 20% for Community Futures, 15% for the TNRD, and then 15% or less for all of the other organizations active in the economic recovery arena. This data really makes evident the strong lack of awareness still present in the TNRD with regard to economic recovery supports. There are a number of programs available to help small businesses but they are not being used to their fullest potential. Therefore, continued focus on awareness could be the fastest path to recovery for most businesses negatively impacted by the 2017 wildfires. Figure 20: Have you connected with any of the following organizations with regards to economic recovery (check all that apply): Ministry of Tourism, Arts and Culture (TAC) BC Cattleman s Association United Way Destination BC Ministry of Forests, Lands, Natural Resource Operations Thompson Okanagan Tourism Association Cariboo Chilcotin Coast Tourism Association Other (please specify) The Thompson-Nicola Regional District (before now) Community Futures 0.00% 2.60% 2.60% 5.19% 10.39% 10.39% 12.99% 14.29% 15.58% 19.48% The Canadian Red Cross 75.32% 35 P a g e

37 Short-Medium term Recovery Actions Short term recovery was defined as 3 to 6 months, and medium term was defined as 6 months to one year. Businesses were asked specifically what they felt would help them to recover in the short term. There were a variety of responses, but six main themes emerged, which are summarized in Figure 21. The number one consistent message was marketing and promotion of the region to help the tourism sector to recover. The top five industry sectors accounted for nearly 80% of the businesses and they were all related to tourism or impacted by tourism. This is why it is not surprising that the top response was related to supporting the marketing and promotion of the tourism sector. The next largest response was in regards to continued awareness of support programs (approx. 30%), which very much supports the earlier conclusion based on economic recovery agency engagement that there is still a very persistent lack of awareness of the recovery programs that are available to businesses in the TNRD. This should also be coupled with helping businesses to apply to support programs which accounted for 12% of the responses. It is very apparent that providing businesses with direct support to become aware of, and apply to, recovery programs would be very beneficial in accelerating the recovery effort. Funding to replace lost income (in the form of grants) and interim lending at low or no- interest rates were identified at 29% and 21% respectfully. Comments during the community engagement sessions also support the need for capital to either rebuild or continue operating in the near term. Obviously their preference is for grant money, but a supportive loan program would go a long way to helping businesses stay afloat while they wait for the 2018 peak season (Figure 21). Figure 21: What actions or programs could help businesses recover in the short term? 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Marketing and promotion of businesses and area Help businesses to Funding to replace be aware of lost income support programs Help businesses apply to support programs Interm Financing at low or 0% interest Special case permitting and licensing 36 P a g e

38 Lastly, numerous examples were mentioned regarding special measures around variances, permitting and licencing. Comments ranged from reduced red tape to expedited process to special variances to allow for new construction to be exempt from current building standards and codes. Most of these later comments are driven by the fact that many of the structures that were lost were originally built a number of years ago to very different building standards. Rebuilding these structures to current standards is either not possible (in some circumstances) or much more costly than the insurance pay-out on the old structures or out of pocket expenses. Building codes have been updated for a variety of reasons including resiliency and energy efficiency but more importantly for public health, safety, and environmental protection. Therefore not building to code or allowing variances are not recommended. Process improvement, red tape reduction and expedition of permits however are plausible outcomes as long as public health, safety, and environmental protection are not compromised. One last suggestion that did not make it into the graph was the need for help to clean up residual fire retardant on private property. 7 At present, the BC Wildfire Service is considering whether this could be eligible for compensation or assistance; business owners who have this need will need to contact the Manager of Wildfire Risk at the BC Wildfire Service to determine eligibility. Figure 22: What actions or programs could help businesses recover in the medium term? Economic Development programs to expand or diversify economy, 2% Assist community with prepardness efforts, 13% Better control over media messaging next time, 4% Better communication between agencies, government and businesses, 6% Interm Financing at low or 0% interest, 9% More Grants, 11% Marketing and promotion of businesses and area, 55% 7 %20Returning%20Home.pdf 37 P a g e

39 When asked what actions or programs could aid in business recovery in the medium term, there were some similar suggestions, although the responses started to diversify somewhat. Overall there was one strong theme, followed by six smaller themes, and then a number of individual recommendations, some of which are outlined below. Once again marketing and promotion of businesses and the area dominated the responses at 55%. One specific suggestion for marketing and promotion was to offer free BC Parks camping for the 2018 season. This was followed by suggestions to assist the community and businesses with preparedness efforts such as business emergency response plans. Some of these comments revolved around community fire suppression and fuel reduction plans. Suggestions included the integration of emergency management planning to include larger companies that operate in the backcountry, including logging and tourism organizations. Grants and loans once again were represented and reinforce the need for interim capital to either rebuild or continue operating in the near to medium term. Obviously the preference would be for grant funding, but a supportive loan program would go a long way to helping businesses continue to operate while they wait for the 2018 peak season. Better communication between agencies, government, and businesses represented 6% of responses. Comments related to this theme included reducing the duplication of services and supports, and reducing the number of active agencies engaging businesses with recovery, both of which would help alleviate feelings of confusion and being overwhelmed by too many players and programs. Also there was a suggestion to hire a specific communications manager to collect information from various organizations and agencies, coordinate a response, and disseminate information to businesses as a single point of contact during future disasters. Development of a media and communications strategy or plan for the next fire season was also suggested (4%). The feeling is that now is the time to make a plan and strategy while there are no other disasters currently underway and there is more time to think and strategize. This is a proactive measure to hopefully reduce the economic impact of future wildfire disasters. Lastly there was some mention of economic development incentives to promote the recovery and expansion of existing businesses and to attract new businesses to diversify the existing economies. Specific suggestions included tax incentives, entrepreneur support, and new business attraction campaigns. 38 P a g e

40 Figure 23: If there was one operational support which would make the biggest difference for aiding in recovery, what would it be? Environmental recovery and future fire mitigation 4% Business management support / disaster planning 11% Interm Financing at low or 0% interest 13% Help with operational expenses (employee or utilities) 19% Commercial tax reduction or relief 2% Help with recovery related expenses 26% Marketing and promotion of businesses and area 51% 0% 10% 20% 30% 40% 50% 60% Businesses were also asked that if they were given one operational support that would make the biggest difference in their recovery what it would be? Again marketing and promotion of the businesses and area dominated the responses (Figure 23). This was followed by help with recovery related expenses and operational expenses. The difference being that operational expenses are exactly what the business would have incurred before the fire to operate, but now do not have enough operating capital in the bank to cover, due to disaster related expenses. Recovery expenses are those expenses which the business would not have otherwise incurred, if not for the 2017 wildfires. The third highest response, interim financing at low or no-interest, is also related to these responses as they are the cause of the need for financing. Business support to navigate the various recovery initiatives currently available and help with the creation of emergency response plans was the fifth most common response at 11%. Lastly, environmental recovery, future fire mitigation, and commercial tax relief are mentioned as other possible operating support measures which could aid in recovery. 39 P a g e

41 Long term Recovery Actions Figure 24: What actions or programs could help businesses recover in the long term? Better communication between agencies, government and businesses Interm Financing at low or 0% interest Continued grants and tax relief Assist community with prepardness efforts Work with insurance companies to provide better products / awareness Marketing and promotion of businesses and area 0% 5% 10% 15% 20% 25% 30% When asked what actions or programs could aid in business recovery in the long term, there were some similar suggestions, along with some new suggestions. Overall there were six main themes and then a number of individual recommendations, some of which are outlined below (Figure 24). Once again marketing and promotion of businesses and the area dominated the responses at 28%. This would seem to reflect industry knowledge that the impact from the wildfires will likely continue over multiple years. One earlier comment which was referenced seemed to indicate that previous experience would suggest impacts lasting as long as 10 years. This was followed once again by suggestions to assist the community and businesses with preparedness efforts (26%) such as business emergency response and continuity plans. Some of these comments revolved around community fire suppression and fuel reduction plans. Some specific suggestions included: Aiding municipalities in creating or editing emergency plans, and promoting the FireSmart program; Require private logging companies to clean up after logging. Forest undergrowth needs to be maintained to prevent such large amounts of tinder/fuel; and, Take part in community, professional and ministry planning so that when the next emergency happens the whole community has a voice. 40 P a g e

42 Better communication between agencies, government and businesses represented 11% of responses. Although this came up earlier, the comments associated with the theme were different as they focused much more around planning and the development of a framework or strategy for future emergency events. Once again there were suggestions to put provisions in place to be able to hire a specific communications manager to collect information from various organizations and agencies, coordinate a response and disseminate information to businesses as a single point of contact during future disasters. Better communication between agencies controlling road closures was specifically mentioned. Continued tax relief and grants accounted for the fourth largest response rate at 8%. Comments related to this theme tended to shift more towards tax relief and suggestions to extend tax incentives over a two to three year period in order to promote more sustained growth and development. Once again it was mentioned that recovery would take multiple years and therefore recovery measures should be put in place to take into account these timeframes. Policy development around insurance providers and the coverage they offer accounted for 4% of the responses. Comments here reflected the feeling that either: Business interruption insurance needs to be more affordable; Eligibility criteria to place a claim need to be adjusted or regulated this comment relates to insurance holders not being able to make a claim because they were not directly evacuated, they did not lose critical assets in the fire or that road closures were not recognized as a cause of business interruption; and, Models exist in New Zealand and other countries where governments have effectively helped to regulate insurance coverage for business owners, especially in the tourism sector. Interim financing at low or no-interest rates in the long term to help businesses cover lost operating capital and rebuild accounted for the last theme at approximately 3% of the responses. Many other individual ideas were also mentioned, some of which are outlined below: Geotechnical stability studies and mitigation measures need to be put in place to reduce further future economic impacts from environmental disasters; Build strategic fire breaks and assess the lay of the land so that future fires may be more easily understood and controlled; Expedite replanting and take measures for weed control and rehabilitation of the environment; and, Install multiple web-cams like the ones used on major highways, throughout the region including in the parks. This will enable residents, officials, and tourists to see firsthand what is happening not only during emergencies, but also anytime. This can help to market the region to tourists and control misinformation during emergencies. 41 P a g e

43 Summary of Current Economic Recovery Programs In order to do a gap analysis, needs must be compared to existing resources, in order to determine the gaps in support programs which are available. After extensive research, a detailed inventory of all currently active recovery programs was created. This detailed list can be found in Appendix 5. Outlined in the following section is a summary of these recovery programs including a brief overview. Red Cross Phase 2 - Additional Financial Assistance Overview: Eligibility and the amount of financial assistance will be based on an assessment of the small business vulnerability and need. Eligible small businesses will be able to apply by completing an online application. The amount of money provided to each eligible applicant in the second phase of the program will be a portion of the eligible costs incurred after July 7, 2017, to a maximum of $18,500 if the needs are extraordinary. Not-for-Profit Organizations: may also apply for additional financial assistance, to a maximum of $8,500 based on an assessment of the information provided. Phase 2 will include the Phase 1 $1,500 for any successful applicants who did not previously access Phase 1 funding. Red Cross Community Partnerships Grant Overview: The Community Partnerships Program funds projects by community organizations working towards relief, recovery and resilience-building of those affected by the 2017 British Columbia Fires. This Program will fund a range of initiatives identified by community groups, municipalities, registered charities and other organizations, to support work with affected populations through the following five (5) areas of programming: Emergency Relief: meeting the immediate needs of impacted populations through individual and community based support, for example: Community Strengthening: initiatives that bring community together and promote networks of support and community connectedness. Safety & Well-being: services that address individual well-being and protection as well as strengthen formal and informal psychosocial support structures and networks. Indigenous Programming: meeting the unique recovery needs and priorities of impacted Indigenous Communities Disaster Risk Reduction: support activities that will help communities to mitigate and prepare for future fires and other emergencies Canada Small Business Finance Program Overview: The Canada Small Business Financing Program offers a loan guarantee program to secure small business loans against inadvertent non-compliance with payment terms for a range of reasons, including disasters. Assets guaranteed include real property improvements, leasehold improvements or the purchase of equipment. Funding per applicant up to a maximum of $1,000,000 for any one borrower, of which no more than $350,000 can be used for purchasing leasehold improvements or improving leased property and purchasing or improving new or used equipment. 42 P a g e

44 Employment Assistance Work Sharing Program Overview: If you are faced with having to temporarily lay off your staff, due to the wildfires, the Employment Insurance Work Sharing Program offers income support to workers who are willing to work a temporary reduced work week when there is a reduction in business activity beyond the control of the employer. The program includes special criteria to allow easier access to the Work Sharing Program for business affected by major disaster or public threats. Community Futures Sun Country BC Wildfire Response and Recovery Loan Program Overview: Community Futures Sun Country has announced a BC Wildfire response and recovery loan program to help small businesses within its regional area that were impacted by wildfires. This program offers a loan of up to $10,000 to eligible businesses at prime plus 2 per cent interest over a four-year amortization period. There s also an option to waive repayment obligations for up to eight months. Community Futures Sun Country Business Ambassadors Program for Wildfire Recovery Overview: The Recovery Business Ambassadors will help businesses assess the impact of the wildfires on their operations, match their needs to available programs and services, assist with appropriate referrals and application processes and collect information that can help communities better understand the wildfire impacts in order to support new program development. Small Business BC BC Wildfire Resources for Small Business and Ask the Expert Overview: Small Business BC is making sure people and businesses who have been impacted by the 2017 wildfire season are supported during this time of need by providing a special edition of Small Business BC s Ask the Expert service to help small businesses who have been impacted by wildfires throughout B.C. This service will allow fire-impacted small businesses to gain insight, advice and support from key professional fields. Agri-Recovery Program Overview: The AgriRecovery Framework is part of a suite of federal-provincial-territorial (FPT) Business Risk Management (BRM) tools under Growing Forward 2. AgriRecovery is an FPT disaster relief framework intended to work together with the core BRM programs to help agricultural producers recover from natural disasters. BC Wildfire Specifics: B.C. ranchers and farmers can now access the $20-million 2017 Canada-British Columbia Wildfires Recovery Initiative to help rebuild their livelihoods. 43 P a g e

45 Farm Business Recovery Advisory Services Program Overview: The aim of the Farm Business Recovery Advisory Services Program is to assist farmers and ranchers to better understand the adverse effects of this year s wildfires on their current production and financial situation, to enable them to implement an immediate and long-term recovery plan. They will provide access to up to $5,000 for services such as basic financial analysis, specialized business planning and coaching services. The program also includes the customized B.C. Wildfire Recovery for Agriculture Workbook to help producers with their recovery planning. Agriculture and Agri-Food Canada: Advanced Payments Program Overview: The Advanced Payments Program is a federal loan program which is available to assist crop and livestock producers meet their financial obligations through improved cash flow and better opportunities to market their agricultural products. Loans of up to $400,000 are available under the program, with the federal government covering the interest on the first $100,000. B.C. Ranchers and Farmers can now register for the $20-million 2017 Canada-British Columbia Wildfires Recovery Initiative to help rebuild their livelihoods. The aim of the initiative is to assist agricultural producers with compensation for extraordinary expenses necessary for recovery and, more importantly, enable farms and ranches to return to production as quickly as possible British Columbia AgriStability Enhancement Program Overview: The British Columbia government has made special provisions to help producers who suffered income declines in Producers throughout the province dealt with numerous challenges in 2017 including winter freeze, excessive moisture, and wildfires. The 2017 British Columbia AgriStability Enhancement Program allows agricultural producers to enroll late and without penalty into the existing AgriStability program. It also includes some enhancements to the AgriStability program but only for BC Ministry of Tourism, Arts and Culture Wildfire Initiatives Overview: The Province has provided $1.1 million to support tourism in areas affected by the wildfires. Specifically, the ministry provided a total of $600,000 to the Cariboo Chilcotin Coast, the Thompson Okanagan, and Kootenay Rockies Tourism associations to help mitigate tourism-related losses caused by the fires and to support the tourism recovery needs. Destination BC has also reallocated $500,000 in marketing to support areas affected, for a total of $1.1 million Mental Health Support Programs: Overview: Understanding the signs and symptoms of stress and practicing the above self-care may help alleviate your stress; however there are many additional supports available. Needing additional information, support or counselling is very normal after a traumatic event and affected individuals are encouraged to seek help. Numerous support programs are offered, please see Appendix 5 for a detailed list. 44 P a g e

46 Tax Relief Programs: Overview: In extraordinary circumstances (such as the B.C. Wildfires) Canada Revenue Agency may waive penalties or interest on outstanding tax payments. To apply to have penalties or interest waived, businesses need to download form RC4288 Request for Taxpayer Relief. If books or records have been destroyed, call the CRA to inform them of the issue at The Canada Revenue may allow livestock producers to defer income from the sell down of breeding stock. This allows livestock producers to move the income from selling breeding stock into the future so it can be matched against the expense of repurchasing breeding stock. It is not certain at this time if this income deferral will be available in Environmental Recovery Programs: Overview: The Ministry of Forests, Lands, Natural Resource Operations and Rural Development s (FLNRORD) recovery plans include immediate efforts related to rehabilitation from wildfires and firefighting, such as trail restoration, grass seeding and assessing slopes for stability. These and the following recovery efforts are being led through an incident command structure based in the Cariboo. 45 P a g e

47 Recovery Work plan (Methodology) This section of the report summarizes the actions and methodology used to collect the data necessary for the creation of this report. It is hopeful that this section will also help other researchers and recovery managers with their own recovery initiatives by replicating and improving upon this process. Phase 1 Project Launch One of the first key steps undertaken was an environmental scan of existing recovery organizations operating in the TNRD. During this this phase, there were a number of phone calls and meetings with key recovery players including other regional organizations, provincial government representatives, local government representatives and electoral area directors. From these meetings and interactions an inventory of existing support programs and scope started to form. Phase 2 - Planning, Logistics and Communications Strategy To ensure maximum participation and exposure for the TNRD, an active advertising campaign supporting the economic recovery survey was rolled out. The advertising campaign was an excellent opportunity for the TNRD to actively engage the business community to provide input in the economic recovery process. The marketing and communications strategy had three main goals: 1) Increase awareness of the TNRD initiative regional district wide; 2) Drive businesses located in the TNRD to fill out an online survey; and, 3) Drive businesses to participate in the community sessions hosted in December The marketing and communication strategy included: Development of print pieces including a Community Marketing Poster (appendix 3.1) and Mail Drop Postcard (appendix 3.2). The Community Marketing Posters were couriered to local municipal leaders to post at various community bulletin boards to aid in awareness; Two unaddressed Admail Campaign drops to businesses Nov 27 and Dec 1 which utilized the Mail Drop Postcard (appendix 3.2); Social Media Facebook Campaign to invite online survey engagement at attendance and incommunity consultations; and, Phone calls targeting Municipal Leaders and Emergency Program Coordinators ; CFDCs, Tourism DMOs, Tourism Marketing Organizations (Gold Country), and local Chambers of Commerce with a personal invite to attend in-community consultation and to ask for help engaging their community through social media and P a g e

48 Task 2.2: Wildfire Recovery Needs Assessment and Gap Analysis Survey Given the overall project, overall timeline and resources it was felt that the most effective method of engagement was a mixture of key informant interviews and community engagement sessions supported by an online survey. The online survey will allowed for access to the most business opinions and input in the shortest period of time. This online survey also collected primary business and market data to support the estimation of economic loss and gap analysis accruing from the 2017 wildfires. This data was used to identify key issues and trends which will assist the TNRD with programming, planning and policy development. The TNRD also got a sense of the economic pulse of the region and was able to record these results in this report. Primary data collection is key in this process, as in most circumstances in this province, little to no community level data exists unless the local municipality or economic development agency is actively collecting it. Most publically available sources of data only provide detail at the development region level. In the case of the TNRD, data could include Kamloops and Sun Peaks, making the data virtually useless when trying to create a local strategy. Task 2.3: Community Engagement Session Planning A key component of this project was the multiple community engagement events. The overall focus of these events was to increase awareness of the TNRD economic recovery efforts, collect valuable data and engage the business community in a meaningful manner. In order to do so, a number of key planning steps needed to be accomplished in advance. The first of step was to create a power point presentation ensuring that key information collected to date and important pieces of information required to be collected were covered. Part of this process included the selection and organization of facilitation exercises which best suited the participants and level of desired engagement. Throughout this process every effort was made to collaborate with other regional organizations, provincial government representatives, local government representatives and electoral area directors. Task 2.4: Operational Planning Along with the planning of agendas, exercises and presentations, logistics needed to be planned for the six (6) community engagement sessions. This included working with regional organizations, provincial government representatives, local government representatives and electoral area directors to: Identify ideal venues, check availability and book spaces; Organize light refreshments from local suppliers; and, Arrange for technical and other room requirements (projector, screen, chairs, tables, etc.). 47 P a g e

49 Phase 3 - Community Engagement - Needs Assessment Task 3.1: Roll out the coordinated marketing plan utilizing various media channels As outlined previously in the Planning, Logistics and Communication strategy, the marketing campaign was rolled out utilizing various media channels. Specifically, there were two unaddressed admail drops exclusively to all businesses affected by the 2017 Wildfires in the TNRD region on November 27 th and December 1 st. Invitations and posters for municipal leaders and directors to post and share were printed and couriered. An active Facebook Campaign was run through the TNRD Facebook account to invite online survey engagement and attendance at in-community consultations. Lastly, the creation of a landing page by the TNRD web developer was key for businesses to find resources and information regarding the recovery efforts. Further to this marketing campaign, earned media was used to the fullest extent possible. Interviews were done regarding the initiative on CBC, the Jim Harrison Show (radio NL), The Midday Show on CTV, two articles in the Ashcroft Cache-Creek Journal and the Clearwater Times. Task 3.2: First Round of Community Engagement Sessions The next step in the process was the first round of community engagement sessions. After reviewing the locations of the 2017 wildfires in the TNRD, it was determined that six sessions in four different communities would be held to capture most of the businesses affected by the wildfires. The four communities and their associated regions are as follows: 1. Clearwater to capture surrounding region (Little Fort, etc.); Mile House to capture surrounding region (Clinton, Loon Lake, etc.); 3. Ashcroft to capture surrounding region; and, 4. Cache Creek to capture surrounding region. During these sessions light refreshments were served, information was shared in the form of presentations, and data was collected via various facilitation exercises. The Community Economic Recovery Manager was fortunate enough to have two representatives from the Ministry of Forests, Lands, Natural Resource Operations and Rural Development Community Wildfire Recovery Branch, the General Manager of Community Futures Thompson Country, a representative from The Ministry of Health, and the Residential Recovery Manager for the TNRD. 48 P a g e

50 Phase 4 Data and Gap Analysis Task 4.1: Compile Data from Online Survey and Community Sessions At this stage, the economic recovery survey had fairly good participation rates and the initial compiling of data into meaningful trends and themes began. All identifying information was stripped from the data and the results were aggregated to ensure anonymity. At this point, the data was still fairly raw, but these trends and themes were used to start to build the foundation of the economic recovery survey findings. Task 4.2: Gap Analysis All of the information gathered to date, along with the secondary data review from Phase 1, was used to help finalize the trend analysis to determine local economic development gaps and opportunities. These gaps and opportunities were then evaluated against existing programs offered by other organizations to identify if the gap is real or if there is an opportunity to leverage existing programs to a fuller extent. Phase 5 - Validation and Second Round of Community Engagement Task 5.1: Validation of Draft Findings This portion of the project involved re-engaging the TNRD staff to provide input on the draft economic recovery plan. Broad concepts and groups of options were narrowed down into more refined products to create the draft economic recovery plan and then embark on the second phase of the stakeholder engagement process (Task 5.3). At this point, once approval from the TNRD senior staff was given, the draft economic recovery plan was sent to the Emergency Management British Columbia (EMBC), and Community Wildfire & Provincial Disaster Recovery Branches, Forest Lands Natural Resource Operations and Rural Development (FLNRORD) within the 30 day time period of the project initiation. Task 5.2: Coordination with other stakeholders Once the preliminary findings of the draft economic recovery plan were approved by the TNRD, the Community Economic Recovery Manager once again engaged the other regional organizations, provincial government representatives, local government representatives and electoral area directors to share the results and start planning the second round of community engagement sessions. 49 P a g e

51 Task 5.3: Second phase of community engagement - presentation of findings This second round of community engagement sessions was very similar to the first round, only with the intention of sharing the findings and recommendations to the various businesses affected by the 2017 wildfires in the TNRD. This step was important as it helped to solidify the fact that the TNRD has listened to the needs of the business community and has made recommendations for programs and support specifically to address these needs without duplicating other services currently offered by other support organizations. Further to this, based on perceived gaps identified in the data, other organizations were invited to inform the attendees of the details of their programs. Often, programs exist to support businesses, but they are hard to find and therefore go unutilized. By actively increasing awareness of programs, the TNRD was able to add great value to the economic recovery process, quickly and easily. As with the first round of community engagement sessions, four communities and their associated regions were visited: Clearwater to capture surrounding region (Little Fort, etc.); 70 Mile House to capture surrounding region (Clinton, Loon Lake, etc.); Ashcroft to capture surrounding region; and, Cache Creek to capture surrounding region. Over the course of these sessions the following organizations had staff represented: The Canadian Red Cross; Interior Health; The Ministry of Forests, Lands, Natural Resource Operations and Rural Development; Community Futures Sun Country; Community Futures Thompson Country; Thompson Okanagan Tourism Association; United Way; TNRD - Community Economic Recovery Manager; and, TNRD - Recovery Manager. Phase 6 - Creation of Final Disaster Recovery Plan This final report was divided into two sections. Section 1 is the Executive Summary for the project and was developed with the community audience in mind. It articulates the background, key findings and recommendations. Section 2 is the technical report which presents the data, analysis and community consultation results as well as the final economic recovery strategy recommendations. 50 P a g e

52 Gap Analysis Outcomes: The follow sections have been divided into short to medium term recovery recommendations and long term recovery recommendations. It is understood that although the TNRD has completed this initial recovery work plan and gap analysis, it is unlikely that they will be able to take on all of the recommendations listed below. That being said, this information will still prove to be very valuable for other recovery organizations. One of the major issues identified is the large number of agencies attempting to help with the recovery effort, which is causing confusion for business owners looking for support resources. By sharing this data and document, the TNRD can immediately help business owners with recovery by providing valuable onthe-ground information on business recovery needs to other organizations, saving them the time and resources of duplicating the same effort. It should also be mentioned that whenever an existing recovery program is similar or matching a recommendation, a special note was provided under the recommendation pointing out the connection. It is recommended that if an organization decides to proceed with a program to address the recommendation that they coordinate with the existing program which is mentioned in the note. This will help to reduce duplication and confusion. Possible Short-Medium term Recovery Actions Marketing and promotion of the area to help the tourism sector recover. The top five industry sectors represented in this data accounted for nearly 80% of the total businesses and they were all related to tourism or impacted by tourism. Development of a one-on-one direct assistance program to help businesses recover by providing services such as: Navigation and awareness in a constantly changing recovery program landscape; To act as a single point of contact for businesses when it comes to recovery; and, To assist with application forms and processes to access recovery initiatives. Continued promotion of the existing recovery programs in an easy to read and simplified format, which should be made available on the TNRD website, on social media and through mail drops. Data would seem to indicate that the existing recovery programs are not being utilized to their fullest extent due to lack of awareness. Additional grant programs should be considered to cover recovery expenses. Some examples include: To help with expenses related to animals that do not qualify as livestock but are directly attributed to business activities (miniature horse breeding, geldings, etc.); 51 P a g e

53 To help with hiring or employee wages; To help with more general recovery and cleanup expenses; and, To help municipalities with post-fire economic development. Explore the possibility of local lenders offering low or no-interest loans to help businesses with operating and recovery capital. Many businesses in the TNRD count on the peak season to survive the off-season. The wildfires in 2017 heavily impacted the income generated during the peak season and in some cases resulted in additional expenses. Many businesses will need an influx of capital to survive until the next peak season. Special provisions should be considered around variances and permittingto enable businesses to rebuild and recover as soon as possible. Focus should be put on red tape reduction and expedited process with possible special variances as long as public health and safety, and environmental protection are not compromised. Provide support to assist businesses with the creation of an emergency response and business continuity plan. Business emergency response and continuity plans have been proven to make a difference in how effectively a business responds to and recovers from a disaster. Almost two thirds of businesses surveyed reported that they do not have an emergency plan. Best efforts should be made to continually improve the wildfire-specific, integrated media and communications strategy or plan for the TNRD for the next fire season. Now is the time to make a plan and strategy while there are no disasters currently underway and there is more time to think and strategize. Stakeholder engagement should include community leaders, wildfire management agencies, private industry, different levels of government as well as media representatives. This could include a provision to hire a specific communications manager to collect information from various organizations and agencies, coordinate a response and disseminate information to businesses as a single point of contact during future disasters. 52 P a g e

54 Possible Long term Recovery Actions Commitment to a long term marketing and promotion campaign to revive the tourism sector. The impact from the wildfires will likely last over multiple years and so a sustained long-term commitment to marketing and promotion will be needed to assist the tourism sector to recover and grow. Best efforts should be made to continually improve the programs to assist local governments and First Nations governments with preparedness efforts such as an integrated emergency management plan (such as those offered through EMBC). The planning process should include larger companies that operate in the backcountry, such as logging and tourism organizations, emergency response agencies, various levels of government, etc. Efforts could include fuel reduction programs, policy and procedures for when an emergency takes place, communications plans, etc. The creation of post-fire economic development incentives to promote the recovery and expansion of existing businesses as well as attracting new businesses to diversify the existing economies. Specific suggestions included tax incentives, entrepreneur support, and attraction campaigns. The development of long term tax relief and grant programs. It is suggested that programs be developed to continue over a two to three year period in order to promote more sustained growth and development. Recovery will likely take multiple years and therefore recovery measures should be put in place to take into account these timeframes. Investigate policy development and best practices around alternative insurance solutions. Best practices in other parts of the world, such as New Zealand should be reviewed to see if there are plausible alternatives to help businesses secure better insurance coverage for wildfire disasters. Take measures (such as geotechnical stability studies) to reduce further environmentally driven economic impacts (such as flooding, slides, or debris torrents) as well as undertake environmental remediation measures such as noxious weed control and reseeding. Explore the possibility of purchasing and installing multiple web-cams (similar to those used on major highways) throughout the region including in the parks. This will enable residents, officials, and tourists to see firsthand in real-time the conditions in the TNRD. This can help to market the region to tourists, become a source of information for locals, help control misinformation, and give real-time pictures on the ground during emergencies. 53 P a g e

55 Recommendations for the TNRD: Given the jurisdiction, scope and resources of the TNRD not all of the identified recovery actions will be possible. Therefore, the following recommendations have been made balancing business recovery impact with most pragmatic measures the TNRD could undertake. This does not mean that other recovery actions listed above should not be initiated; instead the following recommendations are based on the best information available at the time. Recommended Short-Medium term Recovery Actions: Continued promotion of the existing recovery programs in an easy to read and simplified format, which should be made available on the TNRD website, on social media and through mail drops. Data indicates that the existing recovery programs are not being utilized to their fullest extent due to lack of awareness. Note: Community Futures Sun Country Business Ambassadors Program for Wildfire Recovery is addressing this need, but not for the whole of the TNRD. Effort should be made to expand the program to cover unaddressed areas. Special provisions should be considered around variances and permitting to enable businesses to rebuild and recover as soon as possible. Focus should be put on red tape reduction and expedited process with possible special variances as long as public health and safety, and environmental protection are not compromised. Note: The TNRD Board of Directors have already taken measures to reduce building permit and planning application fees by 50% and directed the acceleration of application processing for wildfire impacted property owners. Additionally, the Board will be considering a new zoning for dry cabins and will be lobbying the provincial government for relief and Building Code changes for seasonal cabin rebuilds. Investigate the idea of providing support to assist businesses with the creation of an emergency response and business continuity plan. Business emergency response and continuity plans have been proven to make a difference in how effectively a business responds to and recovers from a disaster. Almost two thirds of businesses surveyed reported that they do not have an emergency plan. 54 P a g e

56 Recommended Medium-Long term Recovery Actions: Best efforts should be made to continually improve the wildfire-specific, integrated media and communications strategy or plan for the TNRD for the next fire season. Now is the time to make a plan and strategy while there are no disasters currently underway and there is more time to think and strategize. Possible actions could include stakeholder engagement with community leaders, wildfire management agencies, private industry, different levels of government as well as media representatives. This could include a provision to hire a specific communications manager to collect information from various organizations and agencies, coordinate a response and disseminate information to businesses as a single point of contact during future disasters. Work to continually improve existing programs which assist communities with preparedness efforts such as an Integrated Emergency Management Plan. The planning process could include larger companies that operate in the backcountry, such as logging and tourism organizations, emergency response agencies, various levels of government, etc. Efforts could include fuel reduction programs, policy and procedures for when an emergency takes place, communications plans, etc. Note: The Red Cross Community Partnerships Grant could possibly cover some expenses related to the development of a program to assist communities with preparedness efforts such as an integrated emergency management plan. Further investigation should be done if this recommendation is to proceed. Take measures (such as geotechnical stability studies) to reduce further environmentally driven economic impacts (such as flooding, slides, or debris torrents) as well as undertake environmental remediation measures such as noxious weed control and reseeding. Note: The Ministry of Forests, Lands, Natural Resource Operations and Rural Development s (FLNRORD) recovery plans include immediate efforts related to rehabilitation from wildfires and firefighting, such as trail restoration, grass seeding and assessing slopes for stability. Any such efforts should be done in coordination with FLNRORD. 55 P a g e

57 Appendix 1.0: Recovery Work Plan Table 56 P a g e Need Communicate to the business community that the TNRD is here to help with economic recovery Thorough Review of Existing Wildfire support programs and Active support organizations Gain understanding and appreciation of fullscope business impacts from the wildfires. Some businesses, individuals and nonprofit organizations are facing acute needs in the short-term. Many of these needs do not fit neatly within existing recovery supports. Second round of community engagement sessions to share findings and link businesses in the TNRD to support programs Creation of a final disaster recovery plan Activity Development of recovery website Active Facebook Campaign Mail drop to all businesses in TNRD Development of print media including posters and postcards Phone calls to CAO's and Area Directors Build out an inventory of existing business support programs Connect with various organizations to collaborate Identify other activities and sessions at play Conduct business impact assessment. Target: 6 community sessions spanned over 4 different epicenters of wildfire impact Try to quantify the economic loss in the TNRD Triage immediate and pressing economic, social, and land-based needs from citizens, non-profits and businesses. Track needs, as well as program gaps. Use this information to inform larger recovery implementation plan. 6 community sessions spanned over 4 different epicenters of wildfire impact Connect with various organizations to collaborate Provide opportunity for organizations to do 10 min presentation on support programs Provide opportunity for organizations to set-up a minibooth at the venue and make themselves available for conversations after the sessions Summarize all activities Identify trends and gaps Make recommendations for programs and activities to best support economic recovery Make this information available to other organizations who may be able to assist businesses in the TNRD Resources to Consider - Recovery manager - Cell phone - Tracking Sheet - Recovery manager - Cell phone - Tracking Sheet - Pathways document to identify organizations with potential solutions/ supports. - Survey development and promotion - Promotions to businesses on purpose/ timing of impact assessment - Database for data entry - Analysis - Recovery manager - Cell phone - Tracking Sheet - Pathways document to identify organizations with potential solutions/ supports. - Recovery manager - Tracking Sheet - Pathways document to identify organizations with potential solutions/ supports. - Recovery manager Timeline/ Milestone On-going Completed. January 8th, 2018 Person Responsible Economic Recovery Manager (Colin O'Leary) Economic Recovery Manager (Colin O'Leary) Community Economic sessions and Survey Recovery completed as of Manager December 21st, (Colin O'Leary) Completed. Economic Developed a list of Recovery "gaps" in services Manager and recomendations (Colin by January 8th, 2018 O'Leary) Community sessions completed as of December 21st, January 8th, 2018 Economic Recovery Manager (Colin O'Leary) Economic Recovery Manager (Colin O'Leary) Financial Considerations Cost of development of print media Cost of Mail-drop No additional financial considerations needed. No additional financial considerations needed. No additional financial considerations needed. No additional financial considerations needed. No additional financial considerations needed.

58 Appendix 2.0: Short-Medium term Recovery Actions External Agency Needs Assessment Recovery Scope Need Activities Resources To Consider Timeframe/ Milestone Person Responsible Financial/ Resource Considerations Economy Development of a one-on-one direct assistance program to help businesses recover Short to Medium term: Navigation and awareness in a constantly changing recovery program landscape To act as a single point of contact for businesses when it comes to recovery To assist with application forms and processes to access recovery initiatives Short to Medium term: Business associations Municipal / First Nations Recovery Agencies BC Government Recovery Agencies Immediate need. Business Ambassador Contract Further funding from The Ministry of Forests, Lands, Natural Resource Operations and Rural Development should be explored to create this recovery program. Economy Additional grant programs should be considered to cover recovery expenses Further investigation should be done to determine if some existing recovery programs could be adapted to address unmet needs BC Government Immediate need. Province of BC or External granting agencies Additional funding will be required unless existing TNRD staff can commit resources. Economy Explore the possibility of local lenders offering low or 0% interest loans to help businesses with operating and recovery capital. Short to Medium term: Work with local lenders and the provincial government to see if there is a possibility of reducing risk and therefore interest rates on business loans. Lending Agencies BC Government Immediate need. External granting and loan agencies Further funding from The Ministry of Forests, Lands, Natural Resource Operations and Rural Development should be explored to create this recovery program. Economy Marketing and promotion of the area to help the tourism sector recover Medium to long term: Active marketing campaigns including Europe Promote that BC is still open for business Ministry of Tourism, Arts and Culture Cariboo Chilcotin Coast Tourism Association Thompson Okanagan Tourism Association Destination BC Dec, 2017 Dec 2020 Tourism Association or Organization active in the TNRD No additional funding required. 57 P a g e

59 Recovery Scope Need Activities Resources To Consider Economy Continued promotion of the existing recovery programs in an easy to read and simplified format TNRD Needs Assessment Short to Medium term: Make available an easy to read, comprehensive list of current economic recovery initiatives. Promote this resource list through the TNRD webpage and social media Local authority/first Nation Recovery Agencies Media outlets Timeframe/ Milestone Immediate need. Person Responsible TNRD Communications Staff? Financial/ Resource Considerations Minimal unless a marketing awareness campaign is run. Continually update this list of resources as programs change Economy Special provisions should be considered around variances, permitting and licensing Medium to long term: Explore the possibility of making special provisions in Development Services for Wildfire Recovery. TNRD Development Services Staff TNRD Residential Recovery Manager Dec, 2017 Dec 2019 TNRD Development Services Staff No additional funding required. Economy Development of a program to assist businesses with the creation of an emergency response plan. Medium to long term: Work with the Provincial Government and Canadian Red Cross to develop a program to help businesses create an emergency response plan. Other funding agencies BC Government Dec, 2017 Dec 2018 External Consultant Further funding from either the Ministry of Forests, Lands, Natural Resource Operations and Rural Development or another funding agency should be explored to create this recovery program. Economy Continued improvement of the exiting wildfire specific, integrated media and communications strategy for the TNRD for the next fire season Medium to long term: Stakeholder engagement should include community leaders, wildfire management agencies, private industry, different levels of government as well as media representatives. Community Leaders BC Government Wildfire Management Agencies Private Industry Recovery Agencies Media Representatives Dec, 2017 Dec 2018 TNRD Communications Staff? TNRD Disaster Management Staff? No additional funding required. 58 P a g e

60 Appendix 3.1: Community Marketing Posters 59 P a g e

61 Appendix 3.2: Mail Drop Postcard 60 P a g e