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The State of ’s Travel and Tourism Industry, 2018

Jennifer Leaver, Senior Research Analyst

November 2019

The State of Utah’s Travel and Tourism Industry, 2018 ANALYSIS IN BRIEF Utah’s diverse travel and tourism industry provides jobs and and local tax revenue. Utah’s national parks, state parks, and ski income for Utah residents and contributes state and local tax resorts experienced record visitation in 2018 as well. revenue. Utah’s natural, cultural, and historical assets draw This report presents a high-level annual review of Utah’s travel domestic and international visitors year-round. Since 2014, and tourism industry for 2018. It captures visitor spending and visitor spending in Utah’s economy increased by an average visitation trends, employment and wages, fiscal impacts, hotel 3.4% annually when adjusted for inflation. In 2018, travelers occupancy data, and a snapshot of general tourism industry directly spent a record $9.75 billion in Utah, generating an indicators. This report also recaps 2018 travel and tourism news estimated 136,000 total Utah jobs, and $1.28 billion in state events and provides an industry outlook.

Key Points include the following: At-A-Glance • Spending – visitors directly spent a record $9.75 billion in Travel and Tourism-Related Tax Revenue State Sales State - Other the Utah economy in 2018, a 6.5% year-over-year increase. Tax $366.9 M Tax $192.9 M $1.28 B • Jobs – Utah’s travel and tourism industry accounted for an State Income $397.8 M $549.6 M Local Property Tax, $151.7 M estimated 136,000 total jobs in 2018, a 5.4% year-over-year Local Local Tax $189.9 M $889.0 M $1.28 B increase. Approximately 1 in 11 Utah jobs is supported by Local Sales State Corporate visitor spending, either directly or indirectly. $491.2 M $729.7 M Tax $359.7 M Tax $18.2 M State State • Wages – private travel and tourism-related employment sectors experienced healthy year-over-year wage increases. Direct Tax Revenue Total Tax Revenue ($9.75 B in visitor spending) ($15.94 B in visitor-related spending) Passenger air industry wages increased 10.5%, foodservice wages increased 7.8%, and wages in the accommodations sector increased 6.7%. One in Eleven Utah Jobs • Tax Revenue – the $9.75 billion in direct visitor spending— is supported by visitor spending, either directly or indirectly. leading to $15.94 billion in total (direct, indirect, and $8.0 induced) visitor-related spending—generated an estimated Q1 Q2 Q3 Q4 $7.0 $1.28 billion in total tax revenue. 2018 Record Visitation $6.0 • Accommodations – taxable sales in the accommodations National$5.0 Park Visits 10.6 M sector reached $2.0 billion for the first time ever in 2018, a $4.0Utah Skier Days 5.1 M 5.5% year-over-year increase; however, average statewide $3.0 State Park Visits 6.7 M hotel occupancy rates and daily room rates remained flat. $2.0 $1.0 • Visitation – Utah’s national parks, state parks, and ski resorts $0.0 experienced record visitation in 2018. Country Central Utah Eastern Utah North Northwestern Utah 136,000 Utah jobs supported by the travel and tourism industry.

$239.7 $226.9 $206.3 $26.8 $25.7 Kem C. Gardner Policy Institute I 411 East South Temple Street, Salt City, Utah$186.5 84111 I 801-585-5618 I gardner.utah.edu $173.8 $23.3 Statewide Car Rental $21.4 $80.9 Resort Communities $19.8 $74.7 $65.8 Sales Tax $58.9 $53.4 Transient Room Tax $48.5 $41.1 $45.5 Zoo, Arts, Parks $34.1 $35.7 Tourism, Recreation, Cultural, and $74.4 $76.5 $61.0 $64.8 $70.0 Convention

2014 2015 2016 2017 2018 Table of Contents

Introduction ...... 3 Figure 16: Utah Skier Days...... 9 Travel and Tourism Industry – 2018 Year in Review. . . . . 3 Figure 17: Total Travel and Tourism Jobs...... 10 Travel and Tourism 2019 Outlook ...... 3 Figure 18: Direct Travel and Tourism Jobs by Job Type, 2018. . 10 Spending and Visitation ...... 4 Figure 19: Leisure and Hospitality Job Share by Travel Park Visitation ...... 6 Region, 2018 ...... 10 Ski Industry...... 8 Figure 20: Change in Leisure & Hospitality Job Share by Travel and Tourism Employment...... 8 County, 2009-2018...... 10 Tax Revenue...... 11 Figure 21: Travel and Tourism-Generated Tax Revenue, 2018 . .11 Hotel Occupancy and Rates...... 13 Figure 22: Total Tax Revenue by Tax Type, 2018...... 11 Travel and Tourism - Other Indicators...... 13 Figure 23: Direct Tourism-Related Sales Tax Revenues . . . . 11 Figure 24: County Transient Room Tax Revenue by Select Research Methods...... 14 County, Top Ten Counties, 2018...... 11 Modeling Economic and Fiscal Impacts ...... 15 Figure 25: Percent Change in County Transient Room Tax References...... 16 Revenue by Travel Region, 2017-2018 ...... 12 Figure 26: Percent Change in County Transient Room Tax Figures Revenue by County, 2017-2018...... 12 Figure 1: Direct Visitor Spending as Percent of State Figure 27: County Transient Room Tax Revenue by Travel GDP, 2018 ...... 4 Region and Quarter, 2018...... 12 Figure 2: Direct Visitor Spending...... 4 Figure 28: Statewide Occupancy Rates by Month...... 13 Figure 3: Direct Visitor Spending by Visitor Type, 2018. . . . .5 Figure 29: Average Daily Room Rates by County, 2018. . . . 13 Figure 4: Direct Visitor Spending by Category, 2018 ...... 5 Figure 5: Leisure and Hospitality Taxable Sales by Tables Travel Region, 2018...... 5 Table 1: Leisure and Hospitality Taxable Sales ...... 5 Figure 6: Share of Domestic Visitors by State, 2018 ...... 6 Table 2: Leisure and Hospitality Taxable Sales, Figure 7: Share of International Arrivals by Country, 2018. . . 6 Top Ten Counties, 2018...... 5 Figure 8: Jobs by State, 2018...... 6 Table 3: Utah National Park Visitation by Park...... 7 Figure 9: Utah National Park Annual Visitor Spending by Table 4: Utah National Place Visitation by Place...... 8 Category, 2018 (Millions of Dollars)...... 7 Table 5: Utah State Park Visitation...... 8 Figure 10: Utah National Park and Place Visitation...... 7 Table 6: Utah’s Passenger Air Industry...... 13 Figure 11: Utah National Park Visitation by Month, 2018. . . .7 Table 7: Utah’s Arts, Entertainment, and Recreation Figure 12: Number of Ski Resorts/Ski Areas by State, 2018. . .9 Industry...... 13 Figure 13: Utah Ski Visitors by Place of Origin, 2018–2019. . . 9 Table 8: Utah’s Accommodations Industry...... 13 Figure 14: Utah Skier/Snowboarder Annual Spending, 2018. .9 Table 9: Utah’s Food Services Industry...... 13 Figure 15: Average Per Person Per Day Spending by Category, 2018–2019 Ski Season ...... 9

This research was sponsored by the Utah Office of Tourism.

INFORMED DECISIONSTM 2 gardner.utah.edu I November 2019 Introduction

Utah is home to steep mountains, mixed , red News media outlets announced in November that officials , and the largest salt water lake in the Western approved sales and property tax incentives for the construction Hemisphere. In addition to its year-round outdoor recreation of a 29-story convention hotel.3 With construction opportunities, Utah has a Native American history and pioneer slated for fall 2019 and hotel completion targeted for spring heritage, a growing arts and culture scene, and a variety of 2020, the $337 million hotel will house over 700 rooms in conference and convention venues, all of which attract leisure addition to ballrooms, meeting spaces, and rooftop amenities. and business visitors annually. The new convention hotel aims to attract some of the world’s In 2018, travelers directly spent a record $9.75 billion in Utah, largest gatherings that could generate millions of dollars in generating an estimated $1.28 billion in total state and local direct visitor spending. tax revenue. Travel and tourism spending also supported an In October 2018, the Utah Tourism Industry Association estimated 136,000 total Utah jobs. Utah’s national parks, state hosted its annual Utah Tourism Conference at Salt Lake City’s parks, and ski resorts all reported record visitation. Once again, Salt Palace Convention Center. The conference convened a Utah visitors purchased more hotel rooms and spent more record 500 local and national travel partners and industry money on Utah arts, entertainment, recreation, and restaurants experts who gathered to share tourism and travel industry than ever before. information, ideas, and best practices. Finally, a year after President Trump directed a reduction in Travel and Tourism Industry – 2018 Year in Review Bears Ears and –Escalante National Monuments, In 2018, Utah’s Board of Tourism Development allocated more Representatives John Curtis and Chris Stewart proposed than $3.9 million in cooperative marketing matching funds, legislation to create two new monuments (Curtis) and a national as well as $676,000 in additional matching funds through its park (Stewart) within the previously designated monument Cafeteria Co-op Marketing Program. Cooperative marketing areas. Congress did not pass either measure. U.S. District Judge programs enable destination-marketing organizations such Tanya Chutkan is reviewing pending lawsuits against both as convention and visitor bureaus, county tourism offices, and national monument reductions and has rejected the Trump nonprofit organizations to combine their marketing dollars Administration’s bid to dismiss these lawsuits.4 with Utah Office of Tourism matching funds to promote a wide variety of statewide destinations and events. Travel and Tourism 2019 Outlook During this same time, Utah became the first and only Although the U.S. travel industry remained strong in 2018, state to receive a Michelin three-star rating. Michelin usually travel industry forecasters predict slower growth in 2019. Taking awards one to three stars for particular state attractions; into account European economic uncertainty, rising U.S./China however, Michelin awarded the entire state of Utah a three-star trade tensions, and a general cooling of the global economy, “exceptional” designation, denoting the destination as “worth a the U.S. Travel Association forecasts domestic person-trips to special journey in itself.” decelerate and international person-trips to remain flat in 2019. In April 2018, the (NPS) announced Nevertheless, continued business investments, firming wages, modest entrance fee increases at 115 national parks (including and heightened U.S. consumer confidence lead forecasters Utah’s five national parks).1 The NPS implemented fee increases to predict a 4.0% year-over-year increase in domestic and to address an almost $12 billion national park maintenance international visitor spending.5 backlog. Natural Resources Chairman Rob Bishop and Representative Raul Grijalva introduced legislation to earmark national park infrastructure maintenance funding to further address this backlog.2 Both House and Senate committees approved the bill, which currently awaits review by both chambers of Congress.

INFORMED DECISIONSTM 3 gardner.utah.edu I November 2019 Spending and Visitation

Utah visitors directly spent a record $9.75 billion in 2018. Figure 2: Direct Visitor Spending Domestic visitors contributed close to 92% and international $12,000 visitors 8% of this total spending amount. When adjusted for $10,000 Japan 3% inflation, Utah visitor spending increased 3.5% year-over-year $823 $848 $839 Mexico 3% and 16.6% over the past five years. Last year, out of 51 states $8,000 $826 $809 Australia 4% (includes District of Columbia), Utah ranked 32nd in the nation for $6,000 Other 33% France 4% domestic visitor spending, 23rd for international visitor spending, $8,502 $8,922 and 21st for visitor spending as a percent of state GDP (Figure 1). $4,000 $7,530 $7,870 $8,051 United Kingdom 5%

Of the $9.75 billion in visitor spending, nonresident visitors $millions of 2018 dollars $2,000 Germany 5% spent an 86% share and Utah residents a 14% share. Overall, Canada 33% $0 leisure travelers contributed 81% of the spending and business 2014 2015 2016 2017 2018 China 10% travelers 19%. Resident travelers spent smaller relative shares on Domestic Spending International Spending dining and lodging and larger relative shares on shopping and Note: Includes resident, domestic nonresident, and international visitor spending. groceries than nonresident visitors (Figures 2, 3, 4). Source: U.S. Travel Association and Tourism Economics Taxable sales in the leisure and hospitality sector—which includes the arts, entertainment, recreation, accommodations, recreation purchases, 85% of accommodations purchases, and and foodservice sectors—increased 27.2% over the last five 20% of foodservice purchases on a statewide basis. Regionally, $9,000.0 Other 18% Washington 3% years and 3.1% year-over-year (Table 1). Leisure and hospitality the majority of leisure and hospitality sales took place in the $8,000.0 3% $1,663.8 sector sales generally reflect Utah tourism industry trends since Wasatch$7,000.0 Front and North Mountains regions, followed by the Utah 44% Texas 3% travelers and tourists make around 30% of arts, entertainment, Dixie$6,000.0 and Canyon Country regions (Figure 5). $5,000.0 5%

$4,000.0 Idaho 6% Figure 1: Direct Visitor Spending as Percent of State GDP, 2018 $6,719.8 $3,000.0 8% $2,000.0 $millions of dollars $156.6 10% $1,000.0 3.7% $1,205.1 $0.0 9.6% 5.7% Nonresident 6.7%Resident Leisure Travel Business Travel 4.2% NH: 5.2% 5.4% 6.5% VT: 7.9% 5.7% 3.6% 5.0% MA: 4.2% 9.0% 3.9% RI: 3.6% CT: 4.3% 4.7% 3.5% 4.2% NJ: 3.7% 26.6% 3.1% DE: 3.0% 5.4% 4.8% 3.3% MD: 4.4% 5.0% 5.8% 5.6% Other 4.8% 4.8% 5.0% 4.7% Entertainment & Amenities 4.6% 5.8% Groceries 4.3% 6.2% 7.6% 5.8% 6.5% Shopping Dining Out 4.6% 6.0% 5.3% 3.0%Lodging to 3.9% 4.0% to 4.9% 4.4% 5.0% to 5.9% 5.4%Nonresident Resident 6.0% to 9.9% FL: 10.0% 5.5% 10.0% to 28.7%

HI: 28.7%

Source: Kem C. Gardner Policy Institute analysis of National Park Service and U.S. Bureau of Labor Statistics data.

INFORMED DECISIONSTM 4 gardner.utah.edu I November 2019 $12,000 $12,000

$10,000 Japan 3% $10,000 $823 Japan 3% $848 $823 $839 $848 Mexico 3% $8,000 $826 $809 $839 Mexico 3% $8,000 $826 $809 Australia 4% Australia 4% $6,000 Other 33% France 4% $6,000 Other 33% France 4% $8,502 $8,922 $4,000 $7,530 $7,870 $8,051 $8,502 $8,922 United Kingdom 5% $4,000 $7,530 $7,870 $8,051 United Kingdom 5%

$millions of 2018 dollars $2,000 $millions of 2018 dollars $2,000 Germany 5% Canada 33% Germany 5% $0 Canada 33% $0 2014 2015 2016 2017 2018 China 10% 2014 2015 2016 2017 2018 China 10% Domestic Spending International Spending Domestic Spending International Spending

Figure 3: Direct Visitor Spending by Visitor Type, 2018 Figure 5: Leisure and Hospitality Taxable Sales by Travel Region, $9,000.0 2018 Other 18% Washington 3% $9,000.0 Other 18% Washington 3% $8,000.0 Arizona 3% $8,000.0 $1,663.8 Arizona 3% $7,000.0 $1,663.8 $7,000.0 Texas$100.0 3% to $199.9 Utah 44% Texas 3% $6,000.0 Utah 44% $200.0 to $699.9 $6,000.0 Northwestern Utah $5,000.0 Colorado$1,152.2 5% $5,000.0 $151.1 Colorado 5% $5,442.4 $4,000.0 Idaho 6% $4,000.0 $6,719.8 Idaho 6% $3,000.0 $6,719.8 $3,000.0 North Nevada 8% $2,000.0 Nevada 8% $millions of dollars $2,000.0 $156.6 Mountains

$millions of dollars California 10% $1,000.0 $156.6 $1,152.2 California 10% $1,000.0 $1,205.1 $0.0 $1,205.1 $0.0 Nonresident Resident Nonresident Resident Wasatch Leisure Travel Business Travel Front Leisure Travel Business Travel Eastern Utah $5,442.4 $136.7 Source: U.S. Travel Association

Figure 4: Direct Visitor Spending by Category, 2018

Central Utah $111.1

Other Other Entertainment Entertainment& Amenities & Amenities Groceries Groceries Shopping Shopping Dining Out Dining Out Canyon Country Lodging Lodging Dixie $504.6 $693.5

Nonresident Resident Nonresident Resident Note: Public transportation spending (airfare, train, bus, taxi, etc.) has been removed. Source: Kem C. Gardner Policy Institute analysis of U.S. Travel Association data. Source: Kem C. Gardner Policy Institute analysis of Utah State Tax Commission data.

Table 1: Leisure and Hospitality Taxable Sales (Millions of 2018 Dollars)

% Change % Change Industry 2014 2015 2016 2017 2018 2014-2018 2017-2018 Performing Arts, Spectator Sports, Related $117.2 $124.1 $143.5 $145.2 $156.4 33.5% 7.7% Museums, Historical Sites, Zoos, Parks, Similar $38.8 $34.9 $40.3 $57.3 $61.9 59.6% 8.0% Amusement & Recreation $505.6 $607.3 $681.4 $702.7 $711.9 40.8% 1.3% Hotels, Motels, B&Bs, Resorts, Other $1,460.6 $1,625.3 $1,775.0 $1,935.1 $1,989.6 36.2% 2.8% RV Parks, Camps $35.0 $40.4 $44.4 $48.6 $44.5 27.1% -8.4% Restaurants & Other Eating Places $3,776.0 $4,118.3 $4,305.5 $4,421.0 $4,554.5 20.6% 3.0% Special Food Services, Food Carts $384.2 $423.9 $454.1 $495.3 $529.6 37.8% 6.9% Drinking Places (alcoholic beverages) $117.1 $123.4 $127.5 $133.8 $138.4 18.2% 3.5% Total $6,434 .5 $7,097 .7 $7,571 .8 $7,938 .8 $8,186 .8 27 .2% 3 1%. Source: Kem C. Gardner Policy Institute analysis of Utah State Tax Commission data.

Table 2: Leisure and Hospitality Taxable Sales, Top Ten Counties, 2018 Salt Lake County...... $3,439,631,776 Weber County...... $441,372,948 Utah County...... $960,466,879 Grand County...... $198,066,019 Summit County...... $802,141,317 Cache County...... $182,729,264 Davis County ...... $600,925,046 Wasatch County ...... $142,665,129 Washington County...... $572,906,770 Kane County...... $135,902,019

Source: Kem C. Gardner Policy Institute analysis of Utah State Tax Commission data.

INFORMED DECISIONSTM 5 gardner.utah.edu I November 2019 $12,000

$10,000 Japan 3% $823 $848 $839 Mexico 3% $8,000 $826 $809 Australia 4% $6,000 Other 33% France 4%

$8,502 $8,922 $4,000 $7,530 $7,870 $8,051 United Kingdom 5%

$millions of 2018 dollars $2,000 Germany 5% Canada 33% $0 2014 2015 2016 2017 2018 China 10% Domestic Spending International Spending

Figure$12,000 6: Share of Domestic Visitors by State, 2018 Figure 7: Share of International Arrivals by Country, 2018

$10,000 Japan 3% $823 $848 $839 Mexico 3% $8,000 $826 $809 Australia 4% Other 18% Washington 3% $9,000.0 $6,000 Other 33% France 4% $8,000.0 Arizona 3% $1,663.8 $8,502 $8,922 $7,000.0 $4,000 $7,530 $7,870 $8,051 United Kingdom 5% Utah 44% Texas 3% $6,000.0 $millions of 2018 dollars $2,000 $5,000.0 Colorado 5% Germany 5% Canada 33% $4,000.0 $0 2014 2015 2016 2017Idaho 6% 2018 China 10% $6,719.8 $3,000.0 Domestic Spending InternationalNevada Spending 8% $2,000.0 $millions of dollars $156.6 California 10% $1,000.0 $1,205.1 Source: OmniTrak Group Inc. $0.0 Source: Tourism Economics Nonresident Resident Leisure Travel Business Travel In 2018, California, Nevada, and Idaho were the top three park visitors spent $1.2 billion in Utah’s “gateway communities,” Other 18% sources$9,000.0 of domestic nonresident visitors to Utah; Canada, China, generating 18,700 jobs, $605 million in laborWashington income, and 3% $1.8 $8,000.0 6 Arizona 3% and Germany were the$1,663.8 top three sources of international visitors billion in total output. Utah national park visitors spent the $7,000.0 (Figures 6, 7). largestUtah share 44% of dollars on hotels, restaurants,Texas and3% gasoline $6,000.0 (Figures 8, 9). $5,000.0 Colorado 5% Park Visitation With five national parks, Utah ranked third in the nation for $4,000.0 Idaho 6% Utah’s national parks$6,719.8 and national monuments, recreation number of national parks, fourth for number of national park Other $3,000.0 areas, and historic sites (“national places”) and state parks draw jobs, and fifth for national park visitor spending.Nevada 8%7 In 2018, Entertainment $2,000.0 & Amenities resident$millions of dollars and nonresident visitors annually. In$156.6 2018, national Utah’s five national parks received a combinedCalifornia record 10% 10.6 $1,000.0 Groceries $1,205.1 Shopping $0.0 Nonresident Resident Dining Out Figure 8: National Park LeisureJobs by Travel State, 2018Business Travel Lodging

Nonresident Resident 5,830

9,540 700 5,820 930 50 1,350 30 MA: 10,500 570 4,290 870 Other 7,920 RI: 50 12,300 3,380 CT: 30 Entertainment & Amenities 190 7,380 Groceries 290 NJ: 2,090 2,980 1,030 DE: 0 18,700 Shopping 160 1,300 1,050 MD: 2,570 35,720 7,100 Dining Out DC: 6,750 80 4,610 16,800 Lodging 1,560 20,600 8,870 Nonresident Resident 270 19,780 1,770 2,690 1,260

2,990 680 6,130 0 to 499 500 to 1,999 4,260 510 2,000 to 4,999 5,000 to 9,999 FL: 7,650 17,760 10,000 to 35,720

HI: 5,820

Source: National Park Service

INFORMED DECISIONSTM 6 gardner.utah.edu I November 2019 Figure 9: Utah National Park Annual Visitor Spending by Figure 11: Utah National Park Visitation by Month, 2018 Category, 2018 (Millions of Dollars) 1.6 Camping $27.6 1.4 1.6 CampingGas $27.6 $126.0 1.2 1.4 1.0 GroceriesGas $78.3 $126.0 1.2 0.8 1.0 GroceriesHotel $78.3 $421.0 0.6 Recreation 0.8 Hotel $111.0 $421.0 IndustriesIndustries 0.4

Millions of Recreation Visits Millions of Recreation Visits 0.6 Recreation Restaurant $111.0 $231.0 0.2 Industries 0.4 Millions of Recreation Visits 0.0 TransportationRestaurant $101.0 $231.0 0.2 JanJan Feb Mar Apr May JunJun JulJul Aug Sep Oct Nov Dec Transportation $101.0 0.0 Source: National Park Service Note: IncludesJan ,Feb BryceMar Canyon,Apr MayCanyonlands,Jun CapitolJul Aug Reef, andSep ZionOct NationalNov Parks.Dec Source: National Park Service

20.0 Figure 10: Utah National Park and Place Visitation 18.0 20.0 16.0 18.0 14.0 7.2 6.8 16.0 5.8 12.0 14.0 4.9 7.2 6.8 10.0 4.6 5.8 12.0 8.0 4.0 4.1 4.1 3.8 4.6 4.8 4.6 3.7 3.8 3.8 4.9 10.0 4.5 4.1 3.8 3.7 3.8 3.7 6.0 4.6 4.1 10.5 10.6 8.0 4.8 3.8 4.0 4.1 3.8 10.1 Millions of Recreation Visits Millions of Recreation Visits 4.6 4.0 4.6 4.5 4.1 3.7 3.8 3.7 3.7 3.8 8.4 3.8 6.3 6.6 6.3 7.2 6.0 5.5 5.5 5.3 4.9 5.1 5.0 5.3 5.3 5.2 5.5 5.7 6.0 6.1 2.0 10.1 10.5 10.6

Millions of Recreation Visits 4.0 8.4 0.0 6.6 7.2 5.5 5.5 5.3 5.3 5.3 5.5 5.7 6.0 6.1 6.3 6.3 2.0 1998 1999 2000 20014.9 20025.1 20035.0 2004 2005 20065.2 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 0.0 National Parks National Places 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 National Parks National Places

Note: Flaming Gorge NRA and Bears Ears NM visitation data are not included. Source: National Park Service million recreation visits, a 1.2% increase from 2017 and a 46.8% Table 3: Utah National Park Visitation by Park increase from 2014. Experts predict a deceleration and leveling Utah National Parks 2017 2018 % Change off of national park visitation in the years to come due to the Arches NP 1,539,028 1,663,557 8.1% economy, gas prices, weather, and the natural after-effects of Bryce Canyon NP 2,571,684 2,679,478 4.2% two historic visitation years (2016 park centennial and 2017 Canyonlands NP 742,271 739,449 -0.4% solar eclipse) (Figure 10).8 Capitol Reef NP 1,150,165 1,227,627 6.7% According to the National Park Service, in 2018 the majority of Utah’s national park visits occurred between the months of Zion NP 4,504,812 4,320,033 -4.1% May and September, followed by the “shoulder” months of April Total National Park Visits 10,507,960 10,589,943 0 8%. and October. Source: National Park Service experienced the greatest year-over-year increase in visitation (8.1%) while there was a 4.1% decrease in Timpanogos National Monument experienced the greatest year- visitation to Utah’s “Crown Jewel” (Table 3). over-year increase in visits (20.4%). Overall, in 2018 Utah national In addition to five national parks, Utah is home to 11 national place visitation was down 6.2% from 2017 (Flaming Gorge NRA places. In 2018, received and Bears Ears NM visitation data not included) (Table 4). the largest number of recreation visits (over 4 million) and

INFORMED DECISIONSTM 7 gardner.utah.edu I November 2019 Table 4: Utah National Place Visitation by Place Ski Industry In 2018, Utah ranked 11th in the nation for number of ski Utah National Places 2017 2018 % Change resorts/ski areas (14 total), matching Minnesota and Idaho. Cedar Breaks NM 909,199 644,515 -29.1% Ski Utah reported a record-setting season in 2018–2019 with Dinosaur NM 315,859 304,468 -3.6% an unprecedented 5.1 million skier days. During this historic Glen Canyon NRA 4,574,940 4,219,441 -7.8% ski season, skiers and snowboarders spent an estimated $1.76 Golden Spike NHS 67,811 60,130 -11.3% billion in Utah with the largest shares of dollars going to dining, Grand Staircase-Escalante NM 982,993 1,157,916 17.8% lodging, and lift passes. California, Texas, and New York were the Hovenweep NM 39,970 40,574 1.5% top three domestic sources of nonresident visitors who enjoyed Natural Bridges NM 107,443 103,118 -4.0% Utah’s “Greatest Snow on Earth.” In addition, nearly one out of 15 Rainbow Bridge NM 108,418 110,904 2.3% skiers and snowboarders visited Utah’s slopes from outside of the Timpanogos NM 100,740 121,311 20.4% U.S. (Figures 12–16). Total National Place Visits 7,207,373 6,762,377 -6 .2% Travel and Tourism Employment Source: National Park Service Visitor spending directly and indirectly generates and supports Utah jobs. In 2018, the record $9.75 billion in direct visitor Utah has 44 state parks, which attract resident and nonresident spending generated close to 92,000 direct jobs and supported visitors year-round. In fiscal year 2018, Utah state parks recorded around 44,000 additional indirect and induced jobs, summing a combined 6.7 million recreation visits (a new record), with to 136,000 total jobs statewide (a 5.4% year-over-year increase) annual total visits increasing 17.9% from the previous year. Dead (Figures 17, 18). Horse Point State Park experienced the greatest visitation with Specifically looking at the share of private leisure and hospitality over 750,000 visits, while State Park received the sector jobs (i.e. arts, entertainment, recreation, accommodations, largest year-over-year visit increase (126.2%) (Table 5). and foodservice) to total private jobs, the Canyon Country region

Table 5: Utah State Park Visitation

Utah State Park FY 2017 FY 2018 % Change Utah State Park FY 2017 FY 2018 % Change Anasazi Indian Village State Park 19,565 20,062 2.5% Jordanelle State Park 507,780 606,001 19.3% State Park 431,190 496,023 15.0% Jordan OHV State Park 17,172 35,951 109.4% Bear Lake State Park 298,463 338,018 13.3% Kodachrome Basin State Park 116,992 125,867 7.6% Camp Floyd State Park Museum 12,340 13,121 6.3% 16,468 11,873 -27.9% Coral Sand State Park 108,745 124,701 14.7% Otter Creek State Park 40,016 34,332 -14.2% Dead Horse Point State Park 560,783 765,436 36.5% 132,884 151,399 13.9% Deer Creek State Park 338,865 415,800 22.7% Piute State Park 1,205 1,146 -4.9% 102,922 124,117 20.6% 96,030 127,948 33.2% Edge Of The Cedars State 11,801 12,228 3.6% 31,156 43,393 39.3% Park Museum Rockport State Park 132,565 142,710 7.7% Escalante Petrified 57,117 64,693 13.3% 539,683 677,418 25.5% State Park Scofield State Park 20,846 24,438 17.2% Fred Hayes State Park at 115,328 120,856 4.8% Starvation 299,798 343,043 14.4% Fremont Indian State Park 22,446 25,373 13.0% 42,546 33,859 -20.4% Frontier Homestead State 10,493 12,458 18.7% Territorial Statehouse State 7,869 7,445 -5.4% Park Museum Park Museum Goblin State Park 241,770 268,760 11.2% Utah Field House Of Natural 54,701 56,039 2.4% History State Park Museum 64,789 66,342 2.4% 134,511 93,437 -30.5% Great Salt Lake State Park 54,031 122,192 126.2% Wasatch State Park 360,383 343,959 -4.6% 58,459 73,655 26.0% State Park 394,136 522,926 32.7% 19,122 33,459 75.0% 105,964 103,904 -1.9% 34,086 37,232 9.2% Total Visits 5,690,656 6,711,932 17 .9% Hyrum Lake State Park 75,636 90,320 19.4%

Note: , Flight Path State Recreation Area, Historic Union Pacific Rail , and This is the Place Heritage Park visitation data are not included. Source: Utah State Parks

INFORMED DECISIONSTM 8 gardner.utah.edu I November 2019 Figure 12: Number of Ski Resorts/Ski Areas by State, 2018 Figure 13: Utah Ski Visitors by Place of Origin, 2018–2019

13 15 2018–2019 $35715 3 $1,305 13 14 19 California 10% 14 21 3 21 42 12 All other states 2017–2018 $2548 $1,06833 4 New York 4% RI: 1 28% 0 3 22 2 4 5 MD: 1 14 5 2 2018–2019 $357 $1,305 29 5 DE: 0 Texas 4% California 10% 2016–2017 $236 28 $1,195 5 0 2 0 DC: 0 Ski Season 8 2017–2018 $254 $1,068International 4% All other states 2018–2019 $357 0 1 $1,305 New York 4% 2014–2015 4 $2759 0 $895 0 California 10% 28% 0 0 1 0 Utah 1 to 3 All other states Colorado 3% Texas 4% 2017–2018 $254 0 $1,068 2016–2017 41%$236 $1,195New York 4% 2012–2013 $214 0 $1,076 4 to 9 28% Florida 3% 7 Ski Season 0 10 to 19 Massachusetts 3% International 4% 2016–2017 $0 $236$300 $600 $900 $1,200$1,195$1,500 20$1,800 to 42 2014–2015 $275 $895 Texas 4% Millions of Dollars Ski Season Utah HI: 0 Colorado 3% International 4% 41% 2014–2015 $275Residents Non-Residents$895 2012–2013 $214 $1,076 Florida 3% Source: Ski Central Source: RRC Associates Utah Colorado 3% Massachusetts 3% $0 41% $300 $600 $900 $1,200 $1,500 $1,800 2012–2013 $214 $1,076 Auto Rental $8 Millions of Dollars Florida 3% Massachusetts 3% Figure 14: Utah Skier/Snowboarder Annual Spending, 2018 Figure 15: Average PerResidents Person Per DayNon-Residents Spending by Child Care/Nursery$0 $300$1 $600 $900 $1,200 $1,500 $1,800 Entertainment, Activities, Millions of Dollars Category, 2018–2019 Ski Season and Amusement $9 Residents Non-Residents Lift Passes $58 Auto Rental $8 2018–2019 $357 $1,305 Local Transportation Costs Child Care/Nursery California 10% (excluding rental car) $5 $1 Auto Rental $8 Entertainment,All Activities, other states 2017–2018 Lodging$254 $1,068 $61 and Amusement $9 New York 4% Child Care/Nursery 28% Other (incidentals, $1 Lift Passes tips, sundries) $8 $58 Entertainment, Activities, Texas 4% 2016–2017and Amusement$236 $9 $1,195 Local Transportation Costs Restaurants/Food $66 (excluding rental car) $5

Ski Season Lift Passes $58 Shopping/Retail Purchases $34 Lodging International$61 4% Local Transportation Costs 2014–2015 $275 $895 Other (incidentals, (excluding rental car) $5 Equipment Rentals $17 tips, sundries) $8 Utah Colorado 3% Ski/Snowboard EquipmentLodging $61 41% 2012–2013 $214 $14 $1,076 Restaurants/Food $66 & ApparelOther (incidentals, Purchases Florida 3% $8 Ski/Snowboardtips, sundries) Lessons $14 Shopping/Retail Purchases $34 Massachusetts 3% Restaurants/Food$0 $300 $600 $900 $1,200 $1,500 $1,800$66 Millions of Dollars Equipment Rentals $17 Shopping/Retail Purchases Residents Non-Residents$34 Ski/Snowboard Equipment & Apparel Purchases $14 Equipment Rentals $17 Ski/Snowboard Lessons Source:6.0 RRC Associates $14 Ski/Snowboard Equipment & Apparel Purchases $14 Auto Rental $8 Note: Includes both resident and nonresident skiers/snowboarders. 5.1 5.0Ski/Snowboard Lessons $14 Source: Kem C. Gardner Policiy Institute analysis of RRC Associates4.5 4.6data. Child Care/Nursery $1 4.3 4.2 4.1 3.9 4.1 4.1 4.0 4.0 4.0 4.1 3.9 Entertainment,4.0 Activities, 3.8 and Amusement $9 3.4 6.0 Figure 3.016: Utah3.1 Skier3.3 Days3.0 3.1 3.0 Lift Passes $58 5.1 5.0 Local6.0 Transportation Costs 4.5 4.6 $5 4.3 4.2 4.1 2.0 (excluding rental car) 3.9 4.1 4.1 4.0 4.0 4.0 4.1 3.9 4.0 5.1 3.8 Millions of Skier Days 5.0 Lodging $61 3.4 3.0 3.1 3.3 3.0 3.1 4.5 4.6 1.0 Other (incidentals, 4.3 4.2 4.1 $8 3.9 4.1 4.1 4.0 3.04.0 4.0 4.1 3.9 4.0 tips, sundries) 3.8 3.4 0.0 Restaurants/Food3.1 3.3 3.1 $66 98/993.0 99/00 00/01 01/023.0 02/03 03/04 04/05 05/06 06/07 07/08 08/09 2.009/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19

3.0 Millions of Skier Days Shopping/Retail Purchases $34 Ski Season 1.0 2.0 Equipment Rentals $17 Ski/SnowboardMillions of Skier Days Equipment $14 0.0 1.0 & Apparel Purchases 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 Ski/Snowboard Lessons $14 Ski Season 0.0 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 Ski Season Source: Ski Utah 6.0 INFORMED DECISIONSTM 9 gardner.utah.edu I November 5.12019 5.0 4.5 4.6 4.3 4.2 4.1 3.9 4.1 4.1 4.0 4.0 4.0 4.1 3.9 4.0 3.8 3.4 3.0 3.1 3.3 3.0 3.1 3.0

2.0 Millions of Skier Days 1.0

0.0 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 Ski Season had the largest share at 43%. Over the past 10 years, the private Figure 18: Direct Travel and Tourism Jobs by Job Type, 2018 leisure and hospitality employment sector has grown in all 29 Utah counties and has grown the most in Utah’s southeastern Accommodations 19,397 Air Transportation 6,048 and north mountain counties (Figures 19, 20). Amusement & Recreation 11,078 Auto Repair 1,578 Figure 17: Total Travel and Tourism Jobs Auto/RV Leasing 1,304 Foodservice 21,908 44,000 Gas Stations 40,900 42,000 1,855 37,400 38,900 Grocery Stores 1,354 44,000 44,000 Museums, Parks, & Hist. Sites 1,233 40,900 42,000 40,900 42,000 92,000 37,400 38,900 87,400 37,400 38,900 Other 439 80,800 85,000 77,800 Performing Arts & Spectator Sports 6,544 92,000 92,000 87,400 Recreational Gear Rental 353 87,400 80,800 85,000 80,800 85,000 77,800 77,800 Retail Stores 4,198 Scenic & Sightseeing Transportation 184 Support Activities for Transportation 5,478 Transit & Ground Transportation 3,690 2014 2015 2016 2017 2018 Travel Arrangements/Reservations 5,528 Direct Jobs Indirect & Induced Jobs

2014 2015 2016 2017 2018 Source: Kem C. Gardner Policy Institute analysis of U.S. Bureau of Labor Statistics and U.S. Note: Includes2014 full- and part-time2015 public and2016 private employment2017 and proprietors.2018 Direct Jobs Indirect & Induced Jobs Bureau of Economic Analysis data. Source: Kem C. Gardner PolicyDirec tInstitute Jobs analysisI nofd U.S.irec Bureaut & Ind uofc Labored Jo Statisticsbs and U.S. Bureau of Economic Analysis data.

Figure 19: Leisure and Hospitality Job Share by Travel Figure 20: Change in Leisure & Hospitality Job Share by Cache 10.9% Region, 2018 County, 2009-2018 Rich 32.4% 10.0% to 12.9% Cache 10.9% Weber 11.2% Cache 10.9%16.8% Box Elder Davis 12.9% Northwestern Utah Rich 32.4% 10.0% to 12.9% Rich 32.4%21.1% 10.0% to 12.9% 10.1% Morgan 9.9% 11.5% Weber 11.2% 16.8% Weber 11.2%43.0% 16.8% Box Elder Davis 12.9% Northwestern Utah Dagget 51.2% Box Elder Davis 12.9% Northwestern Utah 21.1% 21.1% 10.1% Morgan 9.9% 11.5% 10.1% Morgan 9.9% 11.5% Dagget 51.2% 43.0% North Dagget 51.2% 43.0% Summit Mountains 40.7% Salt Lake 21.1% 9.9% North North Summit Tooele Mountains Summit Mountains 40.7% Wasatch 40.7% Salt Lake 13.6% 21.1% Salt Lake 21.1% Duchesne Wasatch 9.9% Utah 7.9% 9.9% Tooele Wasatch Uintah Tooele Front Wasatch Eastern Utah 13.6% 21.1% 9.3% 12.8% 13.6% 10.2% 21.1% Duchesne Wasatch Duchesne 11.5% Wasatch Utah 7.9% Utah 7.9% Uintah Front Eastern Utah Uintah Front Eastern Utah 9.3% 12.8% Juab 10.2% 9.3% 12.8% 10.2% 12.1% Carbon 11.5% 11.5% 11.3% Juab Juab 12.1% Carbon 12.1% Carbon 11.3% Sanpete 11.3% Millard 11.3% Central Utah Emery Grand 12.7% Sanpete 11.4% 12.0% 46.3% Sanpete Millard 11.3% Central Utah Sevier Millard 11.3% Central Utah Emery Grand 12.7% Emery Grand 12.7% 11.4% 12.0% 46.3% 12.6% 11.4% 12.0% 46.3% Sevier Sevier 12.6% Beaver Piute Wayne 12.6% 20.7% 14.3% 37.2% Beaver Piute Wayne Beaver Piute Wayne 20.7% 14.3% 37.2% 20.7% 14.3% 37.2% Iron Gar eld Canyon Country 18.8% 57.8% 43.0% San Juan Iron Gar eld DixieIron Gar eld Canyon Country 28.0% 16.8% Canyon Country 18.8% 57.8% 43.0% 18.8% 57.8% 43.0% San Juan WashingtonDixie Kane San Juan Dixie 28.0% 16.4%16.8% 43.2% 28.0% 16.8% Washington Kane Washington Kane 16.4% 43.2% 16.4% 43.2% 7.0% – 10.9% 13.0% – 19.9% 40.0% – 57.8% 11.0% – 12.9% 20.0% – 39.9% 7.0% – 10.9% 13.0% – 19.9% 40.0% – 57.8% Source: Kem C. Gardner Policy Institute analysis of Utah Department of Workforce 7.0% – 10.9% 13.0% – 19.9% 40.0% – 57.8% 11.0% – 12.9% 20.0% – 39.9% Services data. 11.0% – 12.9% 20.0% – 39.9%

Source: Kem C. Gardner Policy Institute analysis of U.S. Bureau of Labor Statistics data.

INFORMED DECISIONSTM 10 gardner.utah.edu I November 2019 Tax Revenue In 2018, the $9.75 billion in direct visitor spending, which led Tracking transient room tax revenue over time reveals the to $15.94 billion in total visitor-related spending through indirect seasonality of each Utah travel region. In 2018, all regions but and induced spending effects, generated an estimated $1.28 North MountainsState Sales received the greatest visitationState - Other during the Tax $366.9 M Tax $192.9 M billion in state and local tax revenues. All local travel and tourism- spring and summer months. The North Mountains Region $1.28 B related tax revenues increased from 2017, even after adjusting collected the most transient room tax revenueState during Income the winter $397.8 M $549.6 M Local Property Tax, $151.7 M for inflation. In fact,Local municipal transient room tax Localcollections months,Tax reflecting $189.9 M the popularity of skiing and snowboarding $889.0 M $1.28 B increased 20.9% from 2017 to 2018. Regionally, the Canyon in the ParkLocal SalesCity area. In addition, the WasatchState Corporate Front region $491.2 M $729.7 M Country and Dixie regions experienced the largest year-over- Tax $359.7 M Tax $18.2 M State State experienced steady visitation winter, spring, and summer with year growth in county transient room tax collections. At a county a decline in fall due to a seasonal downturn in conferences and level,Direct Piute, TaxWasatch, Revenue and Rich experiencedTotal Taxover Revenue 20% revenue conventions during the fourth quarter (Figure 27). increases($9.75 Bfrom in visitor the spending) prior year. Salt Lake,($15.94 Summit, B in visitor-related and Washington spending) counties collected the largest amount of county transient room tax statewide (Figures 21–26).

Figure 21: Travel and Tourism-Related Tax Revenue, 2018 Figure 22:State Total Sales Tax Revenue by Tax Type, 2018State - Other Tax $366.9 M Tax $192.9 M $8.0 Q1 Q2 Q3 Q4 $7.0 $1.28 B State Income $397.8 M $549.6 M LocalState Property Sales State - Other $6.0 Tax, $151.7 M Local Local TaxTax $366.9 $189.9 M M Tax $192.9 M $5.0 $889.0 M $1.28 B Local Sales $1.28 B State Corporate $4.0 $491.2 M $729.7 M Tax $359.7 M TaxState $18.2 Income M $397.8 M $549.6 M Local Property State State Tax, $151.7 M $3.0 Local Local Tax $189.9 M $889.0 M $1.28 B $2.0 Direct Tax Revenue Total Tax Revenue Local Sales State Corporate $1.0($9.75 B in visitor$491.2 spending) M ($15.94 B in visitor-related$729.7 spending) M Tax $359.7 M Tax $18.2 M State State $0.0 Source: KemCanyon C. Gardner Country Policy Institute Centralanalysis ofUtah U.S. Travel AssociationDixie and Utah State EasternSource: Utah Kem C. GardnerNorth Policy Institute of U.S.Northwestern Travel Association andWasatch Utah State Front Tax DirectTax Commission Tax Revenue data. Total Tax Revenue Commission data. Mountains Utah ($9.75 B in visitor spending) ($15.94 B in visitor-related spending)

Figure 23: Direct Tourism-Related Sales Tax Revenues Figure 24: County Transient Room Tax Revenue by Select $8.0 (MillionsQ1 of 2018Q2 Dollars)Q3 Q4 County, Top Ten Counties, 2018 $7.0 $239.7 $6.0 $226.9 Salt Lake County...... $20,425,587 $206.3 $26.8 $5.0 $25.7 Summit County...... $9,928,866 $8.0 $186.5 $4.0Q1 Q2 Q3 $23.3Q4 Statewide Car Rental $7.0 $173.8 Washington County...... $8,599,254 $3.0 $21.4 $80.9 Resort Communities $6.0 $19.8 $74.7 Grand County...... $5,370,097 $2.0 $65.8 Sales Tax $5.0 $58.9 Utah County...... $3,813,235 $1.0$53.4 Transient Room Tax $4.0 $48.5 Kane County...... $2,987,023 $0.0 $41.1 $45.5 Zoo, Arts, Parks $3.0 $34.1 Canyon$35.7 Country Central Utah Dixie EasternWasatch Utah CountyNorth...... Northwestern...... Wasatch . .$2,293,372 Front Tourism, Recreation, Mountains Utah $2.0 Cultural, and Garfield County...... $2,210,479 $74.4 $76.5 $61.0 $64.8 $70.0 Convention $1.0 Davis County ...... $1,865,755 $0.0 Weber County...... $1,698,260 2014Canyon Country2015 2016Central2017 Utah 2018 Dixie Eastern Utah North Northwestern Wasatch Front Mountains Utah $239.7 Note: Includes direct tourism-related sales$226.9 tax revenues only; fiscal year totals shown. Source: Utah State Tax Commission Source: Kem C. Gardner Policy Institute analysis of Utah State Tax Commission data. $206.3 $26.8 $25.7 $186.5 $173.8 $23.3 Statewide Car Rental $21.4 $80.9 Resort Communities $19.8 $74.7 $65.8 $239.7 Sales Tax $58.9 $226.9 $53.4 $206.3 $26.8 Transient Room Tax $25.7 $186.5 $45.5 $48.5 $41.1 StatewideZoo, Arts, Car Parks Rental $173.8 $34.1 $35.7$23.3 $21.4 $80.9 ResortTourism, Communities Recreation, $19.8 $74.7 Cultural, and $74.4 $76.5 Sales Tax $61.0 $64.8$65.8$70.0 Convention $58.9 $53.4INFORMED DECISIONSTM Transient Room Tax 11 gardner.utah.edu I November 2019 $48.5 2014 2015$41.12016$45.52017 2018 Zoo, Arts, Parks $34.1 $35.7 Tourism, Recreation, Cultural, and $74.4 $76.5 $61.0 $64.8 $70.0 Convention

2014 2015 2016 2017 2018 Figure 25: Percent Change in County Transient Room Tax Figure 26: Percent Change in County Transient Room Tax Revenue by Travel Region, 2017-2018 Revenue by County, 2017-2018

-4.3% Cache 14.7% 0.3% Rich 22.9% Weber 1.5% 4.9% Northwestern Utah Box Elder Davis 4.0% 0.3% 6.4% 1.7% Morgan -4.1% 8.8% to 8.9% Dagget 15.1%

North Summit Mountains 1.5% 6.4% Salt Lake 5.1% Tooele Wasatch -0.9% 26.6% Duchesne Wasatch -12.3% Front Utah Uintah Eastern Utah 5.9% 5.8% 4.9% 4.9% Juab -12.5% Carbon 17.3%

Sanpete -0.4% Central Utah Millard Emery Grand -4.3% -12.9% -2.5% 7.6% Sevier -8.3% State Sales State - Other Beaver Piute Wayne Tax1.0% $366.9 M 68.3% 11.5% Tax $192.9 M $1.28 B State Income $397.8 M $549.6 M LocalIron Property Gar eld Tax, $151.7 M Local Canyon Country Local Tax5.3% $189.9 M 5.4% $889.0Dixie M $1.288.9% B San Juan 8.8% Local Sales State Corporate15.2% $491.2 M $729.7 M Washington Tax $359.7 M Kane Tax $18.2 M State State 9.5% 11.4%

Source: KemDirect C. Gardner Tax RevenuePolicy Institute analysis of Utah TotalState Tax Tax Commission Revenue data. ($9.75 B in visitor spending) ($15.94 B in visitor-related spending) -12.9 to -4.0% 4.0 to 6.9% 12.0 to 68.3% -3.9 to 3.9% 7.0 to 11.9%

Source: Kem C. Gardner Policy Institute analysis of Utah State Tax Commission data.

Figure 27: County Transient Room Tax Revenue by Travel Region and Quarter, 2018

$8.0 Q1 Q2 Q3 Q4 $7.0 $6.0 $5.0 $4.0 $3.0 $2.0 $1.0 $0.0 Canyon Country Central Utah Dixie Eastern Utah North Northwestern Wasatch Front Mountains Utah Source: Utah State Tax Commission

$239.7 $226.9 $206.3 $26.8 $25.7 $186.5 $173.8 $23.3 Statewide Car Rental $21.4 $80.9 Resort Communities $19.8 $74.7 $65.8 Sales Tax $58.9 INFORMED$53.4 DECISIONSTM Transient Room Tax 12 gardner.utah.edu I November 2019 $48.5 $41.1 $45.5 Zoo, Arts, Parks $34.1 $35.7 Tourism, Recreation, Cultural, and $74.4 $76.5 $61.0 $64.8 $70.0 Convention

2014 2015 2016 2017 2018 Hotel Occupancy and Rates hotels) and/or a larger 2018 hotel room supply (vs. 2017). On a The average annual statewide occupancy rate in 2018 (64.1%) statewide basis, Utah hotels experienced the highest occupancy was slightly lower than in 2017 (65.3%); likewise, average in March (spring break) and June–September (summer break) daily room rates and revenue per available room remained (Figure 28). Summit, Wasatch, Kane, and Grand counties had flat. Possible explanations for these temperate year-over-year the highest average daily room rates in 2018 (Figure 29). changes could be more visitors staying in short-term rentals (vs. Travel and Tourism Industry — Other Indicators Figure100.0% 28: Statewide Occupancy Rates by Month Utah’s travel and tourism industries performed well in 2018. 90.0% 100.0%80.0% Private jobs in the leisure and hospitality industries grew 2.2 70.0%90.0% to 4.4% and wages 5.7 to 7.8%. Airline industry jobs increased 60.0%80.0% 2.4% from 2017 and wages 10.5% (Tables 6-9). 50.0%70.0% 40.0%60.0% 30.0%50.0% Table 6: Utah’s Passenger Air Industry 20.0%40.0% 10.0%30.0% 20.0%0.0% 10.0% Jan Feb Mar Apr May Jun July Aug Sep Oct Nov Dec 0.0% 2017 2018 Jan Feb Mar Apr May Jun July Aug Sep Oct Nov Dec Year Total Deplaned Passengers % Annual Change Employment % Annual Change Wages ($Millions) % Annual Change 2017 2018 2014 10,569,675 4.8% 6,212 2.5% $398 0.7% Note: Republication or other re-use of this data without the express written permission of STR, Inc. is strictly prohibited. 2015 11,073,700 4.8% 6,162 -0.8% $444 11.5% Source: STR, Inc. 2016 11,573,010 4.5% 6,256 1.5% $527 18.6% 2017 12,100,265 4.6% 6,704 7.2% $561 6.4% Figure 29: Average Daily Room Rates by County, 2018 2018 12,777,748 5.6% 6,868 2.4% $619 10.5% Cache $99 Source: Kem C. Gardner Policy Institute analysis of U.S. Bureau of Labor Statistics and SLC Rich $99 International Airport data. CacheWeber $99$83 Box Elder RichDavis $99 $89 Table 7: Utah’s Arts, Entertainment, and Recreation Industry $84 WeberMorgan $83 N/A Box Elder DavisDagget $89 N/A Year 2017 2018 % Change $84 Morgan N/A Private Employment 24,244 24,939 2.9% Summit Dagget N/A $256 Private Wages ($Millions) $667 $705 5.7% Salt Lake $114 Summit Public Employment 7,203 7,417 3.0% Tooele Wasatch$256 $103 Salt Lake $237 Duchesne Public Wages ($Millions) $122 $123 0.9% $114 Tooele Utah Wasatch N/A Uintah Taxable Sales ($Millions) $880 $930 5.7% $103 $96 $237 $106 Duchesne Source: Kem C. Gardner Policy Institute analysis of U.S. Bureau of Labor Statistics and Utah N/A Utah Uintah State Tax Commission data. Juab $96 $106 $75 Carbon $83 Juab Table 8: Utah’s Accommodations Industry $75 Carbon Sanpete $83 Year 2017 2018 % Change Millard N/A Emery Grand Employment 20,555 21,137 2.8% $75 Sanpete $97 $148 N/A Wages ($Millions) $529 $565 6.7% Millard Sevier Emery Grand $75 $85 $97 $148 Taxable Sales ($Millions) $1,928 $2,034 5.5% Sevier Beaver Piute $85 Wayne Source: Kem C. Gardner Policy Institute analysis of U.S. Bureau of Labor Statistics and Utah $66 N/A $120 State Tax Commission data. Beaver Piute Wayne Iron$66 N/A Gar eld $120 Table 9: Utah’s Food Services Industry $85 $120 San Juan Year 2017 2018 % Change Iron Gar eld $120 $85 $120 Employment 98,228 102,528 4.4% Washington Kane San Juan $108 $186 $120 Wages ($Millions) $1,595 $1,720 7.8% Washington Kane Taxable Sales ($Millions) $4,908 $5,223 6.4% $108 $186 $66 to $84 $100 to $124 $200 to $256 Source: Kem C. Gardner Policy Institute analysis of U.S. Bureau of Labor Statistics and Utah $85 to $99 $125 to $199 Not Available State Tax Commission data. $66 to $84 $100 to $124 $200 to $256 Note: Republication or other re-use of this data without the express written permission $85 to $99 $125 to $199 Not Available of STR, Inc. is strictly prohibited. Source: Kem C. Gardner Policy Institute analysis of STR, Inc. data.

INFORMED DECISIONSTM 13 gardner.utah.edu I November 2019 Research Methods

This section provides insight regarding how the Kem C. Canyon Country includes Garfield, Grand, Kane, San Juan, Gardner Policy Institute conducted its analysis. The Institute and Wayne counties. This region, which is home to four defines key terms for conceptual clarity and economic impact of Utah’s five national parks, attracts visitors to its unique and estimated tax revenue modeling in this report. , recreational opportunities, and scenic beauty. Central Utah includes Beaver, Juab, Millard, Piute, Sanpete, Terms and Sevier counties. This region, located in the “heart” of Employment is a measure of the average number of full-time and the state, comprises rolling hills, agricultural lands, historic part-time jobs. Employment data from the Utah Department of sites, and popular ATV trail systems. Workforce Service and the U.S. Bureau of Labor Statistics include Dixie includes Iron and Washington counties. Located in virtually all company and government employees. Employment the southwestern corner of Utah, Dixie is the gateway to impacts include the self-employed, as well as employees. Zion National Park and is the warmest region in the state, An industry is a category for grouping similar types of companies. allowing for year-round golf, outdoor theater, and general For uniformity, government agencies and researchers in the recreation and leisure. U.S. follow the North American Industry Classification System Eastern Utah includes Carbon, Daggett, Duchesne, Emery, (NAICS), which federal agencies periodically update as new and Uintah counties. This region offers fly-fishing, boating, types of companies become common enough to warrant a and river rafting opportunities in and around Flaming new category. However, the travel and tourism industry is not Gorge National Recreation Area, as well as abundant one distinct industry but rather an assortment of industries, paleontological, archaeological, and geological sites. comprised of goods and services purchased prior to, during, and even after a trip. The travel and tourism industry can be North Mountains includes Cache, Rich, Summit, and characterized as an export industry when travel-related goods Wasatch counties. This region includes large portions of and services are purchased in Utah by nonresident visitors. Wasatch-Cache and Uinta National Forests, mountain topography, as well as eight state parks. Leisure and Hospitality Employment. The leisure and hospitality employment sector, as per the U.S. Bureau of Labor Statistics, Northwestern Utah includes Box Elder and Tooele counties. includes the arts, entertainment, recreation, accommodation, This region consists of basin and range with and foodservice industries (e.g. NAICS 711–722). Statewide, rugged mountains, endless vistas, and the unique Great around 65% of all travel- and tourism-related jobs are in the Salt Lake ecosystem. leisure and hospitality sector, while the other 35% are in several Traveler Types. Utah visitors are divided into two categories: different sectors (e.g. transportation, real estate, rental and residents and nonresidents. Resident travelers are Utahns that leasing, retail, personal services, etc.). travel at least 50 miles away from home (one-way) for work Travel Regions. For purposes of this report, Utah is divided or leisure either for a day or overnight. Nonresident travelers into seven travel regions, organized by counties with similar include both domestic and international travelers. Domestic demographics, economies, natural amenities, and recreational nonresident visitors are American travelers who are not Utah opportunities. residents, and international visitors include all travelers from outside of the U.S. Wasatch Front includes Davis, Salt Lake, Utah, and Weber counties. This region is the state’s metropolitan hub and is bordered by mountains on the east and on the west. Travelers visit the Wasatch Front to ski and/or recreate outdoors, attend arts and cultural events, visit historic, religious, and other local attractions, attend conventions and trade shows, shop, and dine.

INFORMED DECISIONSTM 14 gardner.utah.edu I November 2019 Modeling Economic and Fiscal Impacts

The travel and tourism industry supports individuals and To estimate fiscal impacts, the Gardner Institute customized businesses in many different industries. Total economic a travel and tourism fiscal impact calculator. This customized impacts include direct, indirect, and induced impacts. When model utilizes both the 2017 IMPLAN economic modeling Utah visitors purchase from Utah businesses, these are the software and the Gardner Institute fiscal calculator. The Gardner direct effects, including the employees and earnings that are Institute’s fiscal calculator uses effective tax rates and per capita supported by these purchases. These businesses purchase government spending to estimate the fiscal impacts related inputs from other local businesses, who in turn may purchase to the travel and tourism industry. Inputs to the model are from other local businesses. These rounds of activity produce employment, value added, and labor income results generated indirect employment and earnings effects. Then, direct and by IMPLAN software (based on total direct visitor spending indirect employees spend a portion of their earnings in the entered as “output” and margined by the software). The local economy, spurring additional “induced” effects. In the underlying fiscal calculator analysis relies on historical data and tourism industry, a direct spending example would be a visitor assumes a linear relationship between taxes paid and personal paying their hotel bill. Indirect spending would be the hotel income, earnings, industry output, and employment. owner purchasing bed sheets from a linen company. Induced The Gardner Institute estimated tax revenue impacts for spending would include hotel employees and linen company state and local sales taxes, personal and corporate income employees spending their paychecks on personal purchases taxes, local property taxes, and other state taxes and fees (e.g. (e.g. rent, groceries, health care, etc.). travel and tourism portion of fuel tax revenue, boat registration U.S. Travel Association provides the Utah Office of Tourism fees, alcohol and tobacco taxes, etc.). The Institute limited its with direct spending numbers. To estimate the indirect and model to state and local governments because Utah federal tax induced impacts that resulted from this direct activity, the collections have a relatively small impact on federal government Gardner Institute customized a travel and tourism economic receipts. Similarly, the Gardner Institute assumed federal impact model for Utah. This customized model utilizes 2017 spending in the state in a given year is largely independent of IMPLAN economic impact software as well as U.S. Bureau of economic activity in Utah’s industries, including the travel- and Labor Statistics and U.S. Bureau of Economic Analysis data. tourism-related industries.

INFORMED DECISIONSTM 15 gardner.utah.edu I November 2019 References

Bureau of Land Management. 2018. Visits and Visitor Days by Wages (QCEW). https://www.bls.gov/data/ Regional Management Areas (GSENM), Fiscal Year Range U.S. National Park Service. July 2019. 2018 National Park Visitor October 1, 2017, to September 30, 2018 (RMIS). Spending Effects Report. Retrieved from https://www.nps. , C. and E. Carr. 2008. Utah Atlas: Geography & History. Utah gov/subjects/socialscience/vse.htm State University Department of Geography. Gibbs Smith U.S. National Park Service. 2019. Visitor Use Statistics. Retrieved Publishing, Layton, Utah. from https://irma.nps.gov/Stats/ Franz, Justin. Drop in Glacier Park Visitation Reflects National U.S. Travel Association. March 2019. Domestic Travel Market Trend. August 26, 2019. Flathead Beacon. https:// Report, 2018. https://www.ustravel.org/research/domestic- flatheadbeacon.com/2019/08/26/drop-glacier-park-visitation- travel-market-report-2018 reflects-national-trend/ U.S. Travel Association. August 2019. Outlook: U.S. Travel’s Frechtling, D. 1994. “Assessing the Impacts of Travel and Research Trends from David Huether. https://www.ustravel. Tourism – Measuring Economic Benefits,” reprinted in Clement org/sites/default/files/media_root/document/ A. Tinsdall, ed., The Economics of Tourism, Edward Elgar Outlook-back-page.html Publishing Ltd., Cheltenham, UK, 2000. U.S. Travel Association. 2018. U.S. Travel Answer Sheet: Facts Headwaters Economics. 2018. National Park’s Economic Impacts. about a Leading American Industry That’s More Than Just https://headwaterseconomics.org/dataviz/national-park- Fun. https://www.ustravel.org/system /files/media_root/ service-units/ document/Research_Fact-Sheet_US-Travel-Answer-Sheet.pdf Hintze, L. 2005. Utah’s Spectacular Geology: How it Came to Be, U.S. Travel Association. July 2019. Travelers Direct Spending in B.Y.U. Department of Geology. Utah—2018. OmniTrak Group, Inc. June 2019. Calendar Year 2018 – Utah U.S. Travel Association. 2019. Travel Volume To and Within the TravelTrakAmerica Executive Summary and Key Insights. . https://www.ustravel.org/system/files/media_ RRC Associates. June 2019. Ski Utah Skier & Snowboarder Survey root/document/Research_Fact-Sheet_US-Travel-and-Tourism- 2018-19 Season Overview. Overview.pdf Salt Lake City International Airport. July 2019. Salt Lake City Utah Department of Workforce Services. 2019. Utah Economic International Airport: Summary Statistics for 2018. https:// Data Viewer - Employment and Wages. http://jobs.utah.gov/ www.slcairport.com/about-the-airport/airport-overview/air- jsp/utalmis/#/industry traffic-statistics/ Utah Office of Tourism. 2019. Utah Tourism Industry Metrics. Ski tourism in Utah hit an all-time high this season. https://travel.utah.gov/research-planning/utah-tourism- May 21, 2019. Deseret News. https://www.deseret. industry-metrics com/2019/5/21/20673823/ski-tourism-in-utah-hit-an-all-time- Utah State Parks. July 2019. Resources: Park Visitation. https:// high-this-season#nathaniel-evans-catches-snow-flakes-in-his- stateparks.utah.gov/ mouth-at-snowbird-in-little-cottonwood-canyon-on-tuesday- resources/park-visitation-data/ feb-5-2019 Utah State Tax Commission. 2019. Annual Report: 2018 Fiscal STR, Inc. 2018. Utah Hotel & Lodging Reports: January 2018– Year. https://tax.utah.gov/commission/reports/fy18report.pdf December 2018. Utah State Tax Commission. 2015. Sales and Use Tax General U.S. Bureau of Economic Analysis. 2019. Regional Data: GDP and Information, Publication 25. Revised September 2015. http:// Personal Income. Annual Gross Domestic Product by State. tax.utah.gov/forms/pubs/pub-25.pdf https://apps.bea.gov/itable/iTable.cfm?ReqID=70&step=1 Tourism Economics. August 2019. International State Travel: U.S. Bureau of Labor Statistics. 2019. Databases, Tables & Summary of International Travel to the U.S. Calculators by Subject: State and County Employment and

Endnotes 1. See https://www.nps.gov/orgs/1207/04-12-2018-entrance-fees.htm. 7. Utah ranks third behind California and Arizona for number of national 2. H.R. 6510. parks; fourth behind California, North Carolina, and Arizona for number of 3. See https://www.sltrib.com/news/2018/11/07/with-tax-incentives-okd/ national park jobs; and fifth behind California, Alaska, North Carolina, and 4. See https://kutv.com/news/local/trump-administration-loses-bid-to- Arizona for national park visitor spending. dismiss-bears-ears-grand-staircase-escalante-lawsuits 8. See https://flatheadbeacon.com/2019/08/26/drop-glacier-park-visitation- 5. See https://www.ustravel.org/system/files/media_root/document/ reflects-national-trend/ Research_Travel-Forecast_Summary-Table.pdf. 6. See https://www.nps.gov/subjects/socialscience/vse.htm

INFORMED DECISIONSTM 16 gardner.utah.edu I November 2019 INFORMED DECISIONSTM 17 gardner.utah.edu I November 2019 Partners in the Kem C. Gardner Policy Institute Advisory Board Community Conveners Lisa Eccles Jason Perry Ex Officio (invited) Spencer P. Eccles Ray Pickup The following individuals Michael O. Leavitt Governor Gary Herbert Matt Eyring Gary B. Porter and entities help support Mitt Romney Speaker Brad Wilson Kem C. Gardner Taylor Randall the research mission of the Senate President Board Christian Gardner Jill Remington Love Kem C. Gardner Policy Institute. Stuart Adams Scott Anderson, Co-Chair Natalie Gochnour Brad Rencher Representative Brian King Legacy Partners Gail Miller, Co-Chair Brandy Grace Josh Romney Senator Karen Mayne Clark Ivory Charles W. Sorenson The Gardner Company Doug Anderson Mayor Jenny Wilson Deborah Bayle Mike S. Leavitt James Lee Sorenson Mayor Jackie Biskupski Intermountain Healthcare Cynthia A. Berg Kimberly Gardner Martin Vicki Varela Clark and Christine Ivory Roger Boyer Derek Miller Ruth V. Watkins Foundation Wilford Clyde Ann Millner Ted Wilson KSL and Deseret News Sophia M. DiCaro Sterling Nielsen Larry H. & Gail Miller Cameron Diehl Cristina Ortega Family Foundation Mountain America Credit Union Mitt and Ann Romney Kem C. Gardner Policy Institute Staff and Advisors Salt Lake City Corporation Leadership Team Staff Salt Lake County Natalie Gochnour, Associate Dean and Director Samantha Ball, Research Associate University of Utah Health Jennifer Robinson, Associate Director Mallory Bateman, Senior Research Analyst Shelley Kruger, Accounting and Finance Manager DJ Benway, Research Analyst Utah Governor’s Office of Colleen Larson, Administrative Manager Marin Christensen, Research Associate Economic Development Dianne Meppen, Director of Survey Research Mike Christensen, Scholar-in-Residence Zions Bank Pamela S. Perlich, Director of Demographic Research John C. Downen, Senior Managing Economist Juliette Tennert, Director of Economic and Dejan Eskic, Senior Research Analyst Executive Partners Public Policy Research Emily Harris, Demographer Mark and Karen Bouchard Nicholas Thiriot, Communications Director Michael T. Hogue, Senior Research Statistician The Boyer Company James A. Wood, Ivory-Boyer Senior Fellow Mike Hollingshaus, Demographer Thomas Holst, Senior Energy Analyst Salt Lake Chamber Faculty Advisors Meredith King, Research Associate Sorenson Impact Center Matt Burbank, Faculty Advisor Jennifer Leaver, Senior Tourism Analyst WCF Insurance Adam Meirowitz, Faculty Advisor Levi Pace, Senior Research Economist Shannon Simonsen, Research Coordinator Sustaining Partners Senior Advisors Joshua Spolsdoff, Research Economist Clyde Companies Jonathan Ball, Office of the Legislative Fiscal Analyst Paul Springer, Senior Graphic Designer Gary Cornia, Marriott School of Business Dominion Energy Laura Summers, Senior Health Care Analyst Theresa Foxley, EDCUtah Natalie Young, Research Analyst Staker Parson Companies Dan Griffiths, Tanner LLC Roger Hendrix, Hendrix Consulting Joel Kotkin, Chapman University Darin Mellott, CBRE Chris Redgrave, Zions Bank Bud Scruggs, Cynosure Group Wesley Smith, Western Governors University

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