As prepared for the Annual General Meeting March 31, 2026
Financial Summary
Tourism Fernie Society has now completed 19 years of operation and over that time has spent over $ 16 million dollars executing its annual strategic plans. Each fall staff develop an annual plan and budget as required by the province, for review, edits and approval by the Treasurer and Board of Directors prior to provincial submission. An annual report is due to the province by May 31st.
Tourism Fernie’ s 2025 budget was focused on initiatives to support the goals and strategies for the year. MRDT, 3 % accommodation tax, is Tourism Fernie’ s primary source of revenue. In 2025, MRDT made up just over 70 % of total revenues. MRDT revenues are directly related to accommodation business success based on occupancy levels and room rates. Key financial targets for 2025 included:
• Increase MRDT 8 %.
• Increase Fernie accommodator Average Daily Room Rate( ADR) & Revenue Per Available Room( RevPar).
• Confirm a minimum of $ 500,000 of new grant funding in 2025 to support various current and multi-year projects and initiatives.
• Build on long-term financial growth and stability while retaining overall HR costs to a maximum of 28 %.
• Support local tourism businesses and organizations that are active members of Tourism Fernie by waiving their 2025 membership fees.
For the fiscal year ending December 31, 2025, Tourism Fernie’ s results for its financial targets were as follows with further details below:
• MRDT increased by 2 % over 2024.
• ADR increased by 9 % for hotels and 21 % for short-term rentals( i. e. vacation rentals on AirBnB).
• RevPar increased by 7 % for hotels and 35 % for short-term rentals.
• $ 440,683 in new grant funding confirmed in 2025 for projects within and beyond 2025.
• HR costs 24 % of 2025 total expenses, including AmbassadorWILD Team.
• 2025 membership fees waived for existing, active members of Tourism Fernie. New members still pay to join.
Overall Tourism Fernie 2025 revenues were 14 % below budget and expenses were 16 % below budget. The primary reason for these decreases was the decision in late 2024 when developing the 2025 plan and budget to include unconfirmed grants and related expenses. The Board decided not to include unconfirmed grants and expenses in the 2026 budget and plan, and instead, as new grants are confirmed, to include them in a budget forecast during the year.
Tourism Fernie remains financially strong at the end of 2025 with $ 106,372 held in a restricted operating reserve, $ 110,127 in restricted net assets, and $ 107,000 in unrestricted net assets. This is separate from the $ 115,507 in deferred revenues from received project funds and multi-year grants still to be spent in 2026.
Understanding Tourism Fernie’ s Revenues
The Municipal & Regional District Tax( MRDT), a legislated tax under the PST law in BC, is paid by visitors staying less than 27 nights in local area commercial accommodations and short-term rentals. Accommodators submit the collections to the Ministry of Finance, then the Ministry deposits the funds, less Ministry fees and a portion to the province’ s Tourism Events Program, monthly to Tourism Fernie. The spending of MRDT is guided and controlled by the province’ s MRDT Guidelines and Tourism Fernie’ s approved Five Year Plan and Annual Tactical Plans.
Additional sources of revenues are derived from grants, public and private contributions, most of which support destination development and management projects and initiatives. To learn more, use the QR code.
Report for 12 month fiscal period of January – December, 2025 9