Hospitality industry helps generate $1 billion in taxes

Utah’s hospitality industry and the state’s reputation as a mecca for outdoor recreation have helped to deliver more than $1 billion in tourist-generated tax revenue last year, according to the state tourism director.

“It’s booming,” Vicki Varela, the managing director of the Utah Office of Tourism, told The Associated Press. “It’s like Utah is being discovered.”

Utah’s natural treasures mix the Rocky Mountains and deserts of the Southwest, making it an attractive place for visitors and outdoor enthusiasts, Vicki Varela, the managing director of the Utah Office of Tourism said.

At the Utah Tourism Conference in Ogden, Varela told representatives of the tourism and hospitality industry that the recovering economy has boosted the number of visitors to the state.

The biggest attractions remain Utah’s ski resorts, five national parks and 43 state parks, Varela said. About 4.2 million visitors came to ski in Utah last year, according to the state tourism office.

Utah’s five national parks attracted 6.3 million visitors, while national monuments, recreation areas and historical sites attracted 5.2 million visitors. State parks saw about 4.1 million visitors. The Enterprise

Retailers set up shop as Salt Lake is still the place for premier outdoor trade show

Across the Salt Palace convention floor, equipment for climbing, hiking, boating and biking began to emerge from storage containers and an army of mannequins was outfitted in brightly colored active shoes and apparel.

It was a maze of organized chaos, but by the time doors open at 9 a.m. this morning (Wednesday), it will be a bustling and polished trade show assembling nearly 1,300 retailers from across the country.


Debate arose last year about whether Salt Lake City's accommodations and infrastructure could continue to handle the crowds associated with outdoor industry's premier trade show, but an announcement in January settled the question:

"We kind of figured it would stay here," said Justin Kline, pausing with his colleagues Monday after
hanging a series of suspended lights at their booth, Princeton Tec. "It seems like the city benefits a lot for it, and puts a lot of resources into keeping it here … A lot of the alternative cities where they were thinking about having it didn't seem realistic."

The trade show has come to Utah every winter and summer for 16 years, bringing with it an estimated $40 million annually for the state.

Last year, 26,700 people attended the show, a 9 percent increase from 2011, and this summer's attendance is expected to match, according to a release from the Outdoor Industry Association.

The show is open only to qualified retailers, manufacturers, advocates and media within the industry, and registration fills up fast. As the show has grown, registration requirements for both vendors and participants have become stricter. Deseret News

New hunting group puts sights on Utah economy

When it comes to Utah’s outdoors, hunting is king. At least in terms of dollars and cents. At least in the last two years.

The economic impact of hunting in Utah surpassed that of fishing in 2011, despite the state’s anglers outnumbering hunters 2-1. Hunters also spend more than double what anglers spend on their sport annually. Since 2001, hunting throughout the West has put billions into state and local economies in taxes from outdoor sports.

Wildlife managers and other Utah leaders gathered at the State Capitol Wednesday to unveil the state chapter of Hunting Works for Utah, the seventh state added to the national organization.

Outdoor sports have fluctuated in the past few decades in numbers, while the amount people are spending has increased. In 2011, hunters spent close to $500 million on trips and equipment, an average of $2,334 per hunter, according to the U.S. Fish and Wildlife Service. Compare that to hunters in Utah spending about $886 per person. Still, the state ranks middle of the pack in most categories regarding outdoor sports and economic impact. Utah is 34th in the nation for hunting and angling participants with 493,000 in 2011, according to the Congressional Sportsmen’s Foundation. Salt Lake Tribune

Outdoor trade show staying in Utah through 2016

One of the world's largest outdoor gear trade shows will remain in Salt Lake City through at least 2016.

Outdoor Retailer, which kicks off its winter expo Wednesday, draws more than 25,000 people to each bi-annual show and pours an estimated $40 million into Utah's economy every year.

Nielsen Expositions, which runs the lucrative shows, announced the decision Tuesday at a ski resort east of Salt Lake City. The shows have been in Utah since 1996 and previously were contracted to stay through 2014.

Organizers had considered moving the convention to other cities such as Denver or Las Vegas. With record numbers of attendees and exhibitors, organizers said they need more convention space and hotel rooms.

Two weeks ago, the state approved a $2.66 million grant to build a 150,000-square-foot exhibition tent near the city's convention center to add space for the show, the Salt Lake Tribune reported.

The 4,000-member-strong Outdoor Industry Association, which sponsors the expo, also threatened to take its business elsewhere if the state didn't change course on environmental issues. At issue is a bill signed by Gov. Gary Herbert in March that demands the federal government relinquish control of public lands in Utah by 2014. The association also opposes Utah's effort to open thousands of dirt paths across public lands to motor vehicles.

In August, the group asked Herbert, an advocate for energy extraction, to signal his commitment to the outdoor industry by January.

Herbert is set to unveil his vision for outdoor recreation today.

Utah's governor called the announcement great news for the state's economy and evidence that Utah is an outdoors destination.

"It's part of our community and we are earnest in our desire to keep the show in Utah beyond 2016, even permanently," Herbert said in a statement. AJC

Long-time Utah Film and Tourism Director Retires

The director of the Utah Office of Tourism, Leigh von der Esch, has retired after a long career in state government and promoting Utah tourism.

David Williams, the deputy director of the office, has been appointed acting director.

"Leigh has done much to increase Utah’s recognition as a global business destination by launching and promoting the Utah Life Elevated brand and increasing the economic contribution of Utah’s $6.8 billion tourism industry," Gov. Gary Herbert said in a statement.

During her tenure, tourism increased from 19 million to more than 22 million visitors, and tourism-related jobs have grown to more than 124,000 positions.

Von der Esch had been managing director of the tourism office since 2005. Before that, she served as director the Utah Film Commission from 1985 to 2005. She has also been the chief administrative officer for the Utah Department of Community and Economic Development, executive director for the Salt Lake City Council and legislative director for a U.S. congressman.

"Leigh’s efforts and those of her team have created a lasting legacy and have had a definitive impact in growing tourism throughout the state," said Spencer Eccles, executive director of the Governor’s Office of Economic Development.

Earlier this month, the Governor’s Office announced that Herbert would be replacing Utah Department of Transportation Director John Njord, Department of Corrections Director Tom Patterson and Department of Public Safety Commissioner Lance Davenport.

His office also announced Insurance Commissioner Neal Gooch and Veterans Affairs Director Terry Schow would be retiring.

The changes were an effort to overhaul the governor’s 22-member Cabinet as Herbert enters his first full term as governor.

Von der Esch’s departure is expected to be the last personnel change for the near future, according to the Governor’s Office. Salt Lake Tribune

Snow, Publicity Boosting Utah’s Ski Industry

Fox 13 News

Winter Economy and the Climate Change

A pair of reports released Thursday underscore the threats to winter tourist economies in states like Utah because of climate change. And one of the reports notes that 2012 was the most extreme weather year on record and on pace to be hottest in U.S. history.

A report by the Natural Resource Defense Council and Protect Our Winters said Utah suffers a 14 percent decline in ski visits in years of low snowfall when compared to ample snow seasons. That drop equates to a loss of ski resort revenue of $87 million and a decrease of 1,000 jobs.

For Brent Giles, director of sustainability for POWDR Corp., which owns Park City Mountain Resort and other resorts across the country, the impacts are a no-brainer.

Elizabeth Burakowski, a researcher with the University of New Hampshire and a co-author of the report, said climate change is threatening the nation's $12.2 billion winter tourism industry, with decreased snowfall, warmer temperatures and more storms that bring rain.

An estimated 12,964 jobs spring from winter tourism in Utah, injecting $425 million into the economy with wages and providing an overall economic benefit pegged at $744 million, according to the report.


Giles, who has worked at the resort for 34 years, said he has witnessed the changes in snowfall.

Auden Schendler, vice president of sustainability at the Aspen Ski Co., said the time is overdue for the winter tourism industry and especially the trade associations to leverage their economic muscle to push political change, lobbying Congress, the media and the public for carbon emission reductions in power plants.

"The thought is that the ski industry is doing just fine, which is a puzzling response from a business… There is an enormous upside to preserving a sport that is incredibly meaningful to millions of people."
Giles understands Schendler's frustration.

Giles' company has done its own climate change reports, Save Our Snow, most recently as 2009. One report predicted that if climate change plays out like some scientists say it will with a retreating snow pack, the economic impacts by 2050 would be a $392 million dagger in the area economy.

To help do its part, POWDR resorts has invested $6 million on environmental initiatives and is a founding member of the National Ski Area Association's Climate Challenge, in which members detail their carbon footprint and list targets for reduction. Deseret News

Salt Lake County’s Funding for the Arts Rising with the Economy

The Salt Lake Film Society moved into the big leagues of local arts organizations Tuesday, becoming one of 23 groups to receive top-tier funding through Salt Lake County’s ZAP (Zoo, Arts and Parks) tax program.

For the past decade, the society has striven to increase public education about the world of cinema by showing historic or avant-garde films at the Broadway and Tower theaters, holding workshops for screenwriters and digital directors, and taking programs to schoolchildren.

Its budget is now large enough, with $1.4 million in expenditures, to qualify for the larger pots of ZAP-tax money that "Tier 1" institutions, such as Ballet West and the Utah Symphony & Opera, split based on
a formula in the law. For the Salt Lake Film Society, that share is projected to be about $254,000 next year.

For a second consecutive year, an improving economy has boosted the amount of the ZAP money available to Tier 1 institutions. They will divvy up a projected $9.6 million next year, 14 percent more than the $8.4 million available in 2012. The 2013 revenue estimate is based on projections for the economic recovery.
Like the Salt Lake Film Society, other recipients were excited to see bigger grants.

Maria Farrington, CEO of Discovery Gateway, said much of her ZAP funding will go to programs geared toward autistic children, a sizable segment of the population often ignored in the past. “We couldn’t do it without ZAP funding,” she said.

The $92,310 received by the Utah Film Center will help pay 10 staff members so they can deliver its programs, 90 percent of which are free to the public, said development manager Nancy Eaves.

Those programs include the “Through the Lens” discussions with filmmakers, science movie nights at the Natural History Museum of Utah, a children’s film festival and weekly film programs for the lesbian, gay, bisexual and transgender community. Salt Lake Tribune

New Ads Invite Tourists to ‘Ski Utah Powder’

The Utah Office of Tourism launched their winter ad campaign on Wednesday, showing off some catchy slogans to try to lure tourists to Utah’s mountains this ski season. Fox 13 News

Utah’s Ski Industry Forecast: Big Rebound this Winter

"Pent up demand" was the phrase of the day Thursday when Ski Utah and representatives of most of the state’s 14 resorts formally kicked off the 2012-13 ski season with a news conference.

Ski Utah President Nathan Rafferty was the first to use it, predicting Utah will bounce back this winter and entertain roughly 4.2 million skiers and snowboarders, people just itching to get back onto good snow after the disappointing winter of 2011-12.

Skier-day totals dropped last year to 3.8 million, the lowest since 2003-04, when snow arrived late, picked up for a while in mid-season, then dropped off again. "It was kind of a downer year," Rafferty understated.
The weather pattern hurt the whole U.S. ski industry, he noted, with Utah’s 10 percent drop from 2010-11 (second highest ever at 4.22 million) being less painful than the 16 percent decline nationally.

But after last weekend’s big storm, and with forecasts calling for more snow the weekend, Rafferty is ready to stop talking about how bad last year was and eager to be optimistic that November’s weather is a sign of what’s to come.

Rafferty also said he is not concerned that Utah’s uphill quest to compete with Colorado for skier visits might become more challenging now that Coloradoans have voted to legalize marijuana, reinforcing that state’s claim to be more fun apres-ski than stodgy Utah.

"That may do us more good than harm," he said, noting Utah resorts’ promotion of family ski vacations. "Our goal is never to be Vegas. We’re not after the Vegas crowd, but people who love skiing." Salt Lake Tribune

Two New Movies to Be Shot in Utah

The Governor’s Office of Economic Development Thursday approved tax incentives for two movie productions that will be shooting in Utah next year.

"Cloud Nine," a Disney Channel movie begins filming in the state Jan. 14 for nearly six weeks, in a project the Utah Film Commission hopes will do for the state’s ski resorts what "High School Musical" did for Salt Lake City’s East High School.

"The local ski resorts are going to get a lot of exposure," film commission executive director Marshall Moore said. "It’s a snowboard competition movie about a girl who doesn’t make the snowboarding team when she thinks she should and works her way back up."

The production is expected to generate more than $7.5 million in spending in the state. The film, which will be entirely shot in Utah, is produced by Salty Pictures, the same Utah-based company that made the "High School Musical" films. Producers could receive as much as $3.4 million back from a tax incentive and cash rebate, depending on how much they spend in the state. 

GOED members also approved a tax incentive for "Need for Speed," the newest film based on a popular video game franchise. That film, billed as a racing movie similar to the "Fast and Furious" franchise, is reportedly going to star Aaron Paul, who won an Emmy recently for the hit cable TV show, "Breaking Bad."

The film is shooting for more than a week in Utah, beginning May 28. Moore said the production company has been scouting the mountains of northern Utah and the Bonneville Salt Flats. The movie is expected to bring more than $1.6 million in local spending and producers could get $321,000 back in tax credits. 

Movie and television producers can receive either tax credits or cash rebates if they spend a certain amount of money while shooting in Utah. The 18 productions shot last fiscal year resulted in 1,026 production jobs and 698 working days for local crew members, Moore said. Salt Lake Tribune

Utah’s Black Diamond is Manufacturing Skis in China

Holladay-based Black Diamond, Inc. has opened a ski manufacturing factory at its Asian operations in Zhuhai, China.

The 43,000-square-foot factory is producing samples of the 2013-14 line of Black Diamond skis for use in company sales pitches that emphasize how new manufacturing processes enhance performance and quality control.

"Our decision to bring Black Diamond’s ski manufacturing in-house represents a significant expansion of our manufacturing footprint, and demonstrates our commitment to the category and passion for the sports we serve," Peter Metcalf, Black Diamond’s president and CEO, said in a statement.

He said Black Diamond manufactures about one-third of its proprietary products in-house. "So we are confident in our capabilities," Metcalf added. "Ski manufacturing will allow us to be more responsive to our customers, while maintaining a competitive pricing position."

Black Diamond Equipment Asia was established as a wholly owned subsidiary in 2006. It has about 200 employees, the company said. Salt Lake Tribune

Great Wall Pact Will Promote Tourism between Utah and China

A 16-member delegation from the China Great Wall Society, 11 of whom are nationally known artists in that country, were in Utah on Thursday for the signing of a "memorandum of understanding" with the Division of Utah State Parks and Recreation.

The pact is part of an international exchange program that will create a sister relationship between the division, Antelope Island State Park and the Jinshanling section of the Great Wall.

Under that agreement, the state will encourage Utahns to visit the Great Wall while the China Great Wall Society will promote Utah and Antelope Island as destinations for Chinese travelers. Salt Lake Tribune

Ski industry’s challenge aims to draw beginners

The organizers of Learn to Ski and Snowboard Month are expanding an initiative designed to get more beginners to the mountains.

The “Bring a Friend Challenge” is offering skiers and snowboarders a chance to win gear or ski trips if they get friends who have never gone skiing or riding to enroll in a lesson with a professional instructor between Dec. 17 and March 17.

People can register online. Weekly prize drawings are scheduled to begin in January.

Industry groups including SnowSports Industries America and the National Ski Areas Association are supporting the initiative. 

The industry is trying to keep interest in skiing up and their revenues healthy as video games, the Internet and other forms of entertainment compete for people’s free time and money. Standard Examiner

Utah's Black Diamond Equipment to Purchase PIEPS

Salt Lake City-based backcountry ski gear manufacturer Black Diamond, Inc. has entered into a definitive agreement to acquire PIEPS Holding GmbH and its operating subsidiary, PIEPS GmbH, a leading Austrian designer and marketer of avalanche beacons and snow safety products, from the SEIDEL Group, a family owned group of companies focused on electronics manufacturing.

Founded in 2006, with roots dating back to 1972, PIEPS is widely recognized as an innovator and technology leader in alpine safety equipment. PIEPS offers a focused ranges of premium alpine performance products, including avalanche transceivers and probes, shovels, safety equipment, packs, and satellite-based devices for messaging, route tracking, and navigation. PIEPS is the only authorized European Iridium satellite network partner within the alpine sport and outdoor sectors.

PIEPS electronic products will continue to be manufactured by SEIDEL Elektronik, another member of the SEIDEL Group and a contract manufacturer of electronic products for over 15 years. On The Snow

Movies made in Utah bring $33 million to state

They say there’s no business like show business, and it’s apparently been good business for Utah, according to an annual report from the Utah Film Commission.

Thanks to major film productions shot in Utah such as "The Lone Ranger," starring Johnny Depp, and the upcoming science fiction film "After Earth," starring Will Smith (both shot in Moab), $33 million was spent in Utah, commission executive director Marshall Moore told a legislative interim committee Wednesday at the State Capitol.

This past fiscal year, from July to June, 18 new film productions were shot in Utah, up from 13 the previous year. Moore said the increase could be attributed to the Legislature approving added incentives for filmmakers who make their movies in the state.

Movie and television producers can receive either tax credits or cash rebates if they spend a certain amount of money while shooting in Utah. The 18 productions shot last fiscal year resulted in 1,026 production jobs and 698 working days for local crew members, Moore said.

Utah also is sponsoring a "Utah in Hollywood" event in Los Angeles beginning Thursday during which members of the state’s film commission and the Utah Office of Tourism will try to woo filmmakers and TV productions to Utah.

Such work "is keeping people working and keeping projects in the state, and bringing new projects," Moore said. Salt Lake Tribune

Growing Utah's Action and Outdoor Sports Economy

According to data from the Utah Sports Commission, the organization chartered with attracting sports events to Utah and continuing Utah's Olympic Legacy efforts, the state's sports industry generates $4.5 - $6 billion annually. Much of that money comes from capitalizing on events within Utah's core competencies: winter sports, action/adventure sports, golf, motor sports and Olympic legacy sports and activities.

Since 2000, nearly 450 action and outdoor sports events supported by the Utah Sports Commission have brought in over $1 billion to Utah's economy -- an average return on investment of 7.2:1 to 8:1 per dollar spent on the sporting events (from actual tax revenue collected compared to state dollars received). Utah Pulse

Outdoor industry in battle of wills with Utah

The outdoor recreation industry is flexing its economic muscle — some $640 billion spent annually by Americans on gear, travel and services — to push for wilderness protection in Utah, threatening to pull a lucrative biannual trade show if the state doesn’t change course on environmental issues. 

The industry showed its resolve last week by giving Utah’s governor an ultimatum: give up on a threat to take over federal land in the state or risk losing the outdoor gear show that draws thousands of visitors and injects more than $40 million yearly into the state economy.

Empty threat or not, the outdoor industry and related services represent a sizeable chunk of Utah’s income — roughly $4 billion a year, or 5 percent of the state’s gross product.

The outdoor industry’s latest threat has set the stage for a showdown of political will.

Herbert is vowing to help keep the shows in Utah and work through the political differences.

But he complained his position on public lands has been misconstrued, noting the state wouldn’t touch Utah’s five national parks, several of its national monuments and 33 wilderness areas.

Organizers of the Outdoor Retailer show, which wrapped up its summer expo Sunday, say if Herbert doesn’t change course, they’re looking at moving to Denver or Las Vegas, though none of those locations have the outdoor amenities that Salt Lake City has as the group seeks space to expand.

Herbert and some Republican leaders contend the state can better manage federal lands in Utah, which amount to some 28 million acres or about 50 percent of the state.

Opponents, however, say the move is not only unconstitutional but bad public policy. If implemented, they say, it could eliminate important protections for wildlife refuges, forests and other sensitive areas.

While the Utah law exempts national parks, military installations, Native American reservations and congressionally approved wilderness areas, it would lay claim to the 1.9-million-acre Grand Staircase-Escalante National Monument, which President Bill Clinton designated in 1996. Since then, state officials and residents of the rural area, which is dominated by red rock landscapes, have waged an endless battle with federal authorities over land use.  Independent Record

Strategic land exchanges benefit rural economies, Utah schoolchildren and the environment

This summer, amid lots of other discussion about Western land use policy, Utah School & Institutional Trust Lands (SITLA) is quietly marking the 14th anniversary of the National Parks/Grand Staircase Escalante National Monument Land Exchange, which was the biggest U.S. land transaction since the Louisiana Purchase. Utah just hit the $300 million mark in revenues the exchange has created for the Permanent School Fund and other state and local coffers.

The success of the National Parks/Grand Staircase Escalante National Monument Land Exchange reminds us that we can all agree on some land-use opportunities right in front of us.

A glimpse by Michael Leavitt, at the statewide ownership map of Utah, overlaid by proposed wilderness, quickly illuminates our public land-management challenges. Utah is one of three Western states granted four sections of land in every township by Congress at statehood, with revenues going to Utah schoolchildren.

It created a confusing checkerboard of federal and state land ownership, particularly in rural parts of the state. The mix of high-stakes opportunities for natural resource exploration and world-renowned scenic landscapes is unparalleled. No wonder Utah is ground zero in the entire West for state-federal management conflict.

But the 1998 land exchange cut through the clutter, creating rural economic development opportunities that ultimately benefit Utah schoolchildren. Deseret News

Tourism growth in Utah brings success to the state, satisfaction to the sojourner

Utah offers visitors a chance to live “life elevated” and witness some of the world’s most unique
locations. Tourism in Utah has increased over the past six years, and with all the diverse attractions, the
outlook is optimistic for further growth.

“Two words about Utah come to mind — landscapes and possibilities,” Karen Henker, lead interpreter at Arches National Park said. “There is a beauty from end to end on this state and you can also do so much. It’s not just for the scenic driving, but there’s just so much you can do.”

Utah is home to five national parks, countless state parks and historical sites which draw in visitors every year. From the geographic gems to the hallways of history, tourists have access to the vast expanse Utah offers.

The state’s tourism has increased over the past six years due to increased marketing and subsequent changed perceptions of the state. With more than 20.2 million tourists coming to Utah every year to visit the various attractions, the state benefits from the rise of tourism.

Jim Buchanan, research coordinator at the Utah Office of Tourism said tourism brings in approximately $842 million revenue for Utah every year. Since this money goes into the state general fund, it pays for roads and schools and decreases the tax dollars for Utah households. Tourism in Utah brought $1,012 in tax savings per Utah household last year.

Another advantage comes in the increase for employment opportunities. Total travel recreation employment reached 122,000 people last year, the vast majority of whom were Utah natives. TheUniverse