Hello, This is not a bug, the rsnapshot works but the printed command by debug mode (rsnapshot -v) don't have the quote (") on --rsh rsync arg: if you copy/paste the output of rsnapshot about rsync command on a terminal, the --rsh really requires the quotes (rsync(1) manpage about --rsh argument).
If you launch the command really (rsnapshot -v daily), you could see that the command success (i tried to declare ssh_args -v in /etc/rsnapshot.conf and saw debug mode of ssh sucessfully). I think we can close this bug, unless, you have any other problem with ssh_args variable on rsnapshot configuration. -- Guillaume Delacour
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