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The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

‘Bed tax’ receipts reflect tourist surge


The sidewalk along Sherman Avenue in Coeur d'Alene is packed with people Monday. Tourism in the area has rebounded since Sept. 11. 
 (Liz Kishimoto / The Spokesman-Review)

Despite a winter drought that left ski areas high and dry, Idaho’s tourism industry grew last year at a rate not seen since before the terrorist attacks of Sept. 11, 2001.

Receipts from that state’s “bed tax” hit a record $5.7 million during the fiscal year, which ended June 30. The 2 percent tax, levied on hotel and campground receipts, is used to measure lodging activity.

Statewide lodging sales grew 7.3 percent during the 2005 fiscal year. In Kootenai County, lodging sales increased by 9 percent during the same period. Both figures represent a rebound from previous years, when a sluggish economy and reluctance to travel hampered growth.

At the new Holiday Inn Express in Hayden, sales director Tami Crawford doesn’t need statistics to confirm how busy the summer has been.

The 96-room hotel opened May 20 to take in soccer players for the Bill Eisenwinter Hot Shot tournament, which drew more than 100 teams to the area and filled up hotels into Spokane. Carpet layers were still at work when the first guests checked in.

“We only had about half of the hotel done,” Crawford said. “But once you open up the doors, you can’t close them.”

The Holiday Inn Express, located behind Triple Play, is currently selling out every night, typical for North Idaho in August. Crawford said other Northwest hotels in the chain are reporting strong summer sales as well.

“I’m hoping that we’re just in an upward trend, where people feel more comfortable traveling,” she said.

Reports from restaurants and retailers have also been positive, said Jonathan Coe, manager of the Coeur d’Alene Area Chamber of Commerce. Summer festivals, such as Car d’Lane and Art on the Green, attracted larger than usual crowds, he said. Corporate travel, one of the hardest hit areas after Sept. 11, is also picking up.

“Obviously, ski season was very tough, with Silver Mountain and Schweitzer Mountain Resort having to close early,” Coe said. “But travel during the rest of the year has more than made up for it.”

Statewide, lodging revenues dipped slightly in January, then plunged 21 percent in February, when the mild winter left many ski resorts with bare slopes.

Blaine County, home to Sun Valley resort, reported a drop of $1.5 million in room revenues during February, a 37 percent decline that accounted for nearly half of the reduction in revenues statewide. Lack of snow also pushed down receipts in North Idaho’s resort communities of Shoshone and Bonner counties.

But no one’s complaining about summer travel. Statewide, the number of tourism jobs grew by 1,100 in June, and by 1,200 in July, compared with the same period a year ago. Nearly 61,000 people work in the hospitality industry.

A wet June cast a slight damper on Silverwood Theme Park attendance, but the amusement park near Athol could still hit the 500,000 visitor mark this year, said Nancy DiGiammarco, marketing director. After successful advertising campaigns to the Puget Sound region over the past several years, the park targeted Oregon and Boise markets this year with Burger King and Costco promotions. Higher gas prices don’t seem to be deterring people from driving to North Idaho, DiGiammarco said.

“It’s still a small price if you’re going to get an entire family in a car, compared to buying airline tickets for six people,” she said. “This is an extremely affordable vacation.”