Some states rethink funding for tourism

Associated Press

OLYMPIA, Wash.

Like a business trying to sell a product, Washington state has for years attracted visitors by promoting stunning images of some of the nation’s most majestic scenery — from the snow-capped peaks of the Cascades to the rainforests and thundering waterfalls of the Olympic Peninsula.

That marketing is coming to an abrupt end.

By the end of this week, Washington will close its official tourism agency and become the only state to cease all state funding for self-promotion. It’s just one example of how states are coping with budget deficits brought on by slumping tax revenue.

“When you’re taking kids off health care and raising tuition, you have to make some tough decisions,” said Senate Republican Leader Mike Hewitt, who has for years sat on a commission that guides Washington’s tourism strategy.

In May, the state Legislature eliminated the remaining funding for the tourism agency, about $2 million for the coming fiscal year. State support had been as high as $7 million in years past.

Not all states are following Washington’s approach. Some view tourism as a key industry that will contribute to an economic rebound, one that is worthy of state support even in an era of declining revenue for other services.

Michigan, surrounded by the Great Lakes, is pouring millions of dollars into marketing campaigns, hoping for any advantage in the competition for the small amount of discretionary cash consumers are willing to spend on travel.

Though Michigan consistently has had one of the nation’s highest unemployment rates, it will spend about $25 million this year on marketing. That is five times the budget it had for self- promotion six years ago.

About half the states are shrinking their marketing budgets, while the other half plan to increase them, according to the U.S. Travel Association.