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Structural Evolution of Travel Oregon

Tourism Investment Proposal Research + Opportunity = Policy Success Travel & Tourism Research Association, Greater Western Chapter Seattle, Washington March 23, 2007 …………………………………………. Structural Evolution of Travel Oregon. 1970s: part of Highway Department

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Structural Evolution of Travel Oregon

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  1. Tourism InvestmentProposal Research + Opportunity = Policy SuccessTravel & Tourism Research Association, Greater Western ChapterSeattle, WashingtonMarch 23, 2007………………………………………… OREGON. WE LOVE DREAMERS.

  2. Structural Evolution of Travel Oregon • 1970s: part of Highway Department • Funded by General Fund allocation ($300,000/annually) • Late 1980s: became Oregon Tourism Division • Funded by Lottery ($1.5 million/annually) • 1995: became Oregon Tourism Commission • Allowed private sector partnership OREGON. WE LOVE DREAMERS.

  3. Research Evolution at Travel Oregon • Oregon Travel Impacts (Dean Runyan,since 1987) • Ad Accountability (Longwoods, since 1997) • Impacts of Tourism on Tax Revenue in Oregon (Dean Runyan, since 1995) OREGON. WE LOVE DREAMERS. Photo by Steve Terrill

  4. Policy Environment in Oregon: 1999 - 2003 • Beginning of tough recession/high unemployment • Maturation of property tax limitation initiative • Local governments face funding challenges • State budget at risk; lottery funding targeted OREGON. WE LOVE DREAMERS.

  5. Industry Positioning Efforts • 1999: Travel Oregon approached state economist • Peer review of existing research (ECONorthwest) • Study results: strong, conservative • Governor’s Council of Economic Advisors • Well-received (a change from past experiences) • Industry impact cemented in government infrastructure OREGON. WE LOVE DREAMERS.

  6. Industry Political Efforts • Difficult economic climate • Advocates lobbied • To increase funding for Travel Oregon • To fix local funding challenges • Industry and advocates see economic challenges and political transition as opportunity Photo by Steve Terrill OREGON. WE LOVE DREAMERS.

  7. Construction of economic development legislation Comprehensive statewide and local implications Talking points on legislation How increased investment would impact economy State and local estimates made for sales and tax revenue A comparison of state tourism budgets How existing local DMO’s were using funding Major Policy Initiative -Tourism Investment Proposal OREGON. WE LOVE DREAMERS.

  8. Tenets of Policy Initiative • 1% statewide lodging tax • Regional cooperative marketing program • Protection of local resources at current levels • Existing rates and allocations • Allows increases under limited circumstances • Semi-independent agency • Limited government/legislative involvement • Reconstruction of Commission OREGON. WE LOVE DREAMERS.

  9. Political Hardball -The Art of Compromise • Economy, political transition, message matter • What made the difference • Message built on research • Presentation collateral • Compromise/willingness to say “no” • Passage of legislation OREGON. WE LOVE DREAMERS.

  10. Implications of Tourism Investment Proposal • 2001-03 biennium budget: $6.2 million • 2007-09 projected budget: $22.8 million • Local tourism budgets protected (approximately $50 million/year) • Tourism positioned to claim spot as major socio-economic driver in Oregon • Major policy initiative not possible without research OREGON. WE LOVE DREAMERS.

  11. Thank You! Photo by Peter Marbach OREGON. WE LOVE DREAMERS.

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