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Tourist towns want economic impact study

The municipalities of Banff, Canmore and Jasper are hoping to team up to do an economic impact study to help build their case in lobbying other levels of government in the vital role these tourist communities have on the Alberta economy.

The municipalities of Banff, Canmore and Jasper are hoping to team up to do an economic impact study to help build their case in lobbying other levels of government in the vital role these tourist communities have on the Alberta economy.

The three towns have issued a request for proposals (RFP) for a consulting firm to do this work. Closing date for submissions is Feb. 1.

Officials say the results of the study will be used to help lobby the provincial government on the need for alternative and diverse revenue sources in recognition of unique challenges faced by these tourist towns, which draw millions of visitors a year.

“Our only economy is tourism and a successful tourism economy hinges on municipal infrastructure and services,” said Kelly Gibson, the Town of Banff’s manager of corporate services.

“To remain competitive, we must continually invest and reinvest in amenities, infrastructure and services, to a much higher standard than other communities, to ensure international travellers continue to visit Alberta.”

As part of the study, Banff, Canmore and Jasper want to quantify tourism spending in the towns – collectively and individually – and relate this spending to overall tourism spending in Alberta.

They also want an analysis prepared of the economic activity of the towns by quantifying total commercial activity generated by visitors and residents in predefined spending categories, both tourism and non-tourism, such as accommodation, restaurants and attractions.

As part of the study, the municipalities want a tool created that can be used to update the analysis annually when new data becomes available.

Lastly, they want the consulting firm to estimate direct and indirect employment and value-added by the residents of, and tourists to, Banff, Canmore and Jasper.

In neighbouring British Columbia, the provincial government set up a revenue sharing agreement in 2006, known as the Resort Municipality Initiative, to allow resorts to share a portion of the province’s hotel tax to invest in local projects and programs.

The B.C. resort communities can only spend the revenues on certain tourism-related infrastructure, programs or marketing. It can’t be used on general municipal services for residents and taxpayers.

Last summer, Whistler received close to $7 million for projects that help support tourism infrastructure and amenities. Overall, the government provided $10.5 million to 14 eligible communities last year as part of RMI.

Municipalities eligible for RMI funding are Fernie, Golden, Harrison Hot Springs, Invermere, Kimberley, Osoyoos, Radium Hot Springs, Revelstoke, Rossland, Sun Peaks, Tofino, Ucluelet, Valemount and Whistler.

The national park communities of Banff and Jasper, said Gibson, attract 33 per cent of U.S. visitors and 63 per cent of international visitors to Alberta.

“We are the positive international face for Alberta,” he said.


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