Let’s each do our part
Local businesses, charities and non-profits need help as COVID-19 losses continue
The COVID-19 pandemic has delivered a severe blow to many industries. While a select few businesses have done well during this time, an enormous number of operators on Prince Edward Island have been severely and negatively impacted. Businesses that rely on tourism or function as attractions have had their worst year in decades. This not only eliminates profit, it also eliminates jobs, benefits and economic support for thousands of Islanders.
These negative consequences aren’t restricted to the commercial sector, but have also hit not-for-profits and charities, many of whom struggle to break even at the best of times, even though they contribute greatly to the social, cultural and economic well-being of the Island.
In a ‘normal’ year of operations, Confederation Centre of the Arts spends about $12 million into the economy. We hire roughly 400 people, create hundreds of shows, events, exhibitions and educational programs which promote the Island and Canada to locals and visitors. We hire local and regional artists, managers, staff, vendors and firms to work in many programs and divisions. We contribute to the economy by attracting residents and visitors to the Island and stirring economic activity beyond our walls, providing a “spin-off” financial impact of $26 million annually to the GDP of P.E.I. (*2017 Economic and Social Impact Study by Nordicity). As a not-for-profit, charitable organization, the centre does not profit financially from its activity, but provides a positive financial, cultural and social impact to Prince Edward Island.
The impact this year looked quite different. The pandemic started as we were about to launch the 2020 Charlottetown Festival season, meaning a lot of work had already been completed. When the festival had to be cancelled, it meant an immediate loss of $1.5 million, and more than 150 jobs lost for the season. It also meant the loss of $3 -$4 million in box office revenue — a devastating blow to a not-for-profit and the community it serves.
Thankfully, an excellent partnership with the province and P.E.I. Tourism allowed us to complement our busy gallery and education programs with new innovative programming including an outdoor summer concert series, a P.E.I. Symphony drivein concert and an incredible collection of online videos which promote Island organizations, artists and stories to the world.
This provincial partnership and the federal government relief programs have helped us keep our doors open. But while this government help is critical for the moment, it is not a sustainable means of recovery. We can’t keep increasing government (public) debt as a strategy for the economy. We have to move away from emergency funding band-aids and toward renewed consumer activity. Which means consumers have a role to play.
The CPHO and provincial government have done an outstanding job managing the virus and we should be grateful. Their measures for tracking positive cases, containing the virus and preventing potential spread have worked and kept us all safe, contributing to the now legendary “Atlantic bubble”.
They’ve also equipped P.E.I. businesses with guidelines and directions to create safe spaces for people to shop, eat and safely enjoy all the Island has to offer. By approving operational plans that follow well-defined health guidelines and protocols, the CPHO has set the stage for continued support of local businesses. But it is up to each of us to embrace this new system of operational plans, follow the protocols and help businesses recover.
In other words, let’s consider what "living with COVID" really means. It cannot mean stopping our activity for years and adding unsustainable public debt. Nor can it mean recklessly ignoring health protocols. But it can mean safely moving forward together and following health guidelines while actively supporting our community and businesses, because the recovery period is shaping up to be longer than anyone would like.
Atlantic bubble consumer activity is a critical component of a successful recovery, and we need it for many Island businesses and nonprofits to survive the fall and winter. Every one of us can contribute to the successful recovery of our Island if we follow health protocols, respect the safety of others, and support our local businesses who have created safe and approved operational plans. Let’s each do our part.
We have to move away from emergency funding band-aids and toward renewed consumer activity. Which means consumers have a role to play.