Sluggish start plagues tourism State revenues down 5% from last year

PORTLAND – Maine’s tourism season got off to a sluggish start this summer, with revenues down 5 percent from last year at the state’s restaurants and lodging establishments, according to preliminary figures.

Early figures, compiled by Maine Revenue Services, show sales revenue dropped to $214 million in June, down from $225 million in 2000.

Though figures for July and August will be unavailable until this fall, state economist Laurie Lachance said June’s total may be a strong indicator for the summer.

“I heard that it was a soft summer,” she said. “The economy has weakened, reservations were off.”

The slowdown in Maine – where tourism is the second-largest industry after fishing – follows national trends. The vacation industry always lags in slower economies.

The downturn follows two summers of booming tourism. In 1999, warm, dry weather, low gas prices and a strong economy helped create one of the best tourism seasons in years.

Those who promote the $300 billion tourist industry in Maine are doing all they can to recoup any early losses. But Labor Day weekend – the traditional end of the season – is just days away.

Some tourism promoters say they’ll wait until all the numbers are in before judging the season.

“The anecdotal information we’ve been getting is that, after a slow start that was primarily weather-related, things have picked up pretty well,” said Dan Lewis of the Maine Office of Tourism.

Turnpike traffic, which is another major measure of tourism, was down 0.3 percent this June, compared with June 2000. But July and August are up 2.5 percent.

Annie Cosgrove, shift supervisor at Mount Desert Narrows Camping Resort in Bar Harbor, said the resort’s business is on par with last year.

“I’ve heard a lot of people saying business is down along the coast, like down towards New Hampshire, but I don’t find it that way,” Cosgrove said.

In Old Orchard Beach, King Weinstein, a motel owner and developer, said his bookings this summer have dropped.

“It may not be a bust, but we’re surely not breaking any records,” he said.