Investing in tourism will pay off for Pa. Cartoonist’s view

Pennsylvania’s legislators are deep in the process of determining how the commonwealth’s taxpayer dollars should be spent in the upcoming budget year. That’s always a challenging and complicated process, but the current budget deficit adds an extra wrinkle.

There is one line item that, if better funded, could help make an immediate, universal impact on the state’s economy: Tourism marketing.

Consider three points:

1) The state revenue crisis.

Depending who you ask, Pennsylvania is on track to end the fiscal year $600-$700 million in the red.

Lawmakers are burning the midnight oil to determine the best way to close that gap. They could always raise taxes. They’re also looking at online gambling expansion. In the end, there doesn’t appear to be one obvious solution.

2) Tourism marketing is an investment — with a direct, immediate and positive impact on Pennsylvania’s economy.

We all agree that safekeeping the public’s money is critical. But I urge lawmakers to draw a distinction between “spending” is simple facing a and “investment” – and note that funding for the Pennsylvania Tourism Office is classified as the latter. And it’s not just an investment; it’s an immediate shot in the arm for Pennsylvania’s economy and should be a crucial part of the solution to the budget deficit.

In Pennsylvania, tourism generates tax revenues that far exceed the state’s investment in marketing the state. According to a 2015 report released by the Pennsylvania Restaurant and Lodging Association (PRLA), every $1 invested in tourism marketing generates $3.43 in tax revenue, which is used to pay for public safety, education and other essential programs. The Department of Community and Economic Development constantly touts tourism as a major economic driver.

While some may doubt the direct correlation between tourism marketing and visitor spending, citing other factors in the broader economy, new data counter that claim.

Data specific to Pennsylvania show that 49 percent of visitors arrive within one week of seeing a Pennsylvania tourism brand advertisement, and 73 percent of visitors arrive within 14 days. Let those numbers sink in – this proves that advertising the Pennsylvania tourism brand in neighboring states and in the commonwealth leads directly and immediately to increased travel to Pennsylvania.

Those travelers fill our hotels, eat in our restaurants, shop on our main streets, and visit our landmarks, amusement parks, museums and more – injecting money directly into our communities and economy. Think about it; no other state program or investment offers such a significant, immediate impact on Pennsylvania’s economy.

3) Pennsylvania tourism is significantly underfunded – but Gov. Tom Wolf’s budget proposal offers a glimmer of hope.

Less than a decade ago, Pennsylvania was investing $30 million each year in tourism marketing and promotion. Since then, Pennsylvania has become the perfect case study of what happens when a state substantially cuts its tourism budget.

Over a six-year period after lawmakers slashed the state’s tourism budget, 37 million fewer tourists visited the state, and Pennsylvania’s market share of overseas visitors declined 24 percent, according to the PRLA study.

Where did all those travelers go? To New York, Connecticut, Maryland and other states that increased their spending on tourism marketing and promotion during the same period. The result for Pennsylvania was a $7.7-billion loss in visitor spending, close to $450 million in state tax revenues, and $165 million in local tax revenues.

The state’s effort to “save” a total of $125 million by defunding tourism marketing from 2009 to 2014 resulted in a net loss of $324 million.

In Fiscal Year 2016-17, the Pennsylvania Tourism Office had only $3.9 million to work with. And while we’re thrilled that Gov. Wolf has proposed to raise this to $10 million next year – which would be a vital first step – the House Republicans recommended slashing it even further, to $2.5 million.

Approving Gov. Wolf’s proposed tourism budget would begin the process of restoring Pennsylvania’s marketing budget and attracting more visitors to Pennsylvania.

It would be a devastating step back to cut tourism funding, as the House Republicans proposed, and would lead to an even larger revenue shortfall.

As a state, we need to rethink what it means to fund a robust tourism marketing budget. It is an investment in a key industry that generates revenue to the General Fund that funds vital services to all Pennsylvanians. Leave your comments online Use hashtag at