By Abigail Popple, Local Journalism Initiative Reporter, RMG
Valemount Council received the results of a survey on the economic impacts of the Highway 16 and Highway 93 closures last week. Administered by Tourism Valemount in partnership with the Village, the survey asked local business owners about how their businesses were impacted by the closures, which lasted from July 22nd to August 12th.
The survey had 64 respondents, 62 of whom said their business was impacted by the highway closures. About 46 per cent of respondents owned a form of accommodation, such as motels, bed and breakfasts, cabins, or camping. The second-biggest group of respondents were restaurant owners, making up about 16 per cent of responses.
But regardless of whether their business is in the hospitality industry, almost every local business owner felt the impacts of the closure: roughly one-third said that 81 to 100 per cent of their typical revenue was lost during the closure.
This continues a trend in declining revenue over the past year, according to the survey – 62 of 64 respondents reported that they made less than 50 per cent of their typical winter revenue last winter, and 63 respondents made less than 50 per cent of their typical revenue this spring.
The majority of business owners – 70 per cent – said their current financial resources are not sufficient to tide them over until tourism picks up pace once again. Many business owners were unable to collect business interruption insurance because the wildfire prompting the highway closure took place too far away from their property, according to survey responses.
Answers to the optional follow-up question about why financial resources are insufficient paint a grim picture.
“We have just come out of COVID-19, repaid government loans by means of another loan. This summer was truly our rebound year,” says one. “Carrying the business another 4 seasons until tourism rebounds is simply not [viable].”
Village staff have been meeting with staff from B.C.’s Ministry of Tourism, Ministry of Jobs and Economic Development, and the Ministry of Emergency Management, according to Mayor Owen Torgeson.
“The survey data will be used to help build a case study that will hopefully lead to external assistance and supports,” Torgerson told The Goat.
Village staff will continue working with staff from the provinces of both Alberta and B.C. to address the negative knock-on effects of the wildfire, he added.
Provincial support will be crucial as Valemount recovers from the highway closure, according to the report.
“The Village has no resources to develop a recovery strategy and plan, nor to implement and deliver a recovery plan and recovery programs,” the village report reads. “The local government, as much as the businesses, is looking to the Province of B.C. for help in averting what could be a catastrophe for Valemount.”
