Tourism: Virginia’s Top Stimulus Opportunity

Statewide tourism annually produces more than $18.7 billion in revenue for Virginia, spreading benefits primarily among thousands of small-business owners. The whole tourism sector, with 210,000 jobs and $4.3 billion annually in payroll and salaries, provides $1.2 billion in state and local taxes that stay in the commonwealth -- a big business by any measure.

Consider now a Virginia "home-grown" plan for enhancement of our tourist business. The largest number of tourism-related jobs are in public-sector federal, state, and local employment. Following closely are jobs in private-sector tourism business. The opportunity before us with this large and rapidly growing economic sector is to make it even larger and grow even faster. Establishing a new joint marketing effort will promote public awareness and financial support for tourism.

State and local government contribution: The commonwealth, long a leader among states in promoting tourism, now lags behind in funding its promotional arm, the Virginia Tourism Corp. (VTC). The agency does an excellent job within its limited budget. The current $13.6 million funding by the General Assembly for tourism represents a 43 percent drop from the previous high allocation to the VTC. This is a tiny contribution to a business this big. Some traditional state funding for business and industry could be redirected to tourism with more immediate benefits.

The Richmond Metropolitan Convention and Visitors Bureau (RMCVB) with a $4.5 million annual budget coming from the City of Richmond, Chesterfield, Hanover, Henrico, and New Kent -- and with private sector support -- is an excellent example of the success of regional cooperation. The bureau reports more than $1.8 billion in visitor spending annually from some 5.7 million people visiting the Central Virginia region, with many staying in one of the 17,000 rooms in more than 131 hotel units.

VTC and RMCVB have budgets significantly less than their counterparts in other states and locales. Funding to both must increase to effectively compete.

An excellent example of state government leveraging its resources to promote local action was the creation of the Virginia Sesquicentennial Commission. As a result, planning and study is well under way for commemoration of the American Civil War. University of Richmond President Edward Ayers has already led two excellent convocations. These meetings brought together a large cross section of educators, community leaders, historians, and others to view the Civil War commemoration from 2011-2016 as both a learning and economic opportunity.

Working with the Virginia Civil War Sesquicentennial Commission beginning now and continuing through 2015, many special events are being planned to bring thousands of new and return visitors to Richmond and the state. As the capital of the Confederacy with major battle sites in close proximity, Richmond is already the headquarters for many domestic and international visitors.

Establish a major visitor center: Richmond lacks the needed infrastructure and programs to handle increased tourism. One element that can open a new era in attracting visitors would be the development of a comprehensive facility operated by RMCVB.

More than just a "rest stop," the building should be of a size and layout that provides multipurpose uses. It should be the hub that can lead visitors to satellite centers and local attractions. The center, an attraction in itself, should be easily accessible with ample parking for local as well as interstate visitors. It will be a place to preview surrounding attractions, buy tickets for events, book tours and transportation.

A notable example of a successful operation is the Charleston, S. C., visitors' center, which attracts more 1 million people annually. Many of our community leaders visited that facility on the Greater Richmond Chamber's InterCity Visit there and found the operation to be impressive and financially self-supporting. Our goal should be the same.

We need action now: Our past failure to act more aggressively in promoting our city as a tourist destination was attributed, at least in the Crupi Report, to Richmond being "like a prisoner locked in by our past history." The same report also heralded Richmond's unique position in ways unmatched by few other cities in America. Richmond's primary attraction for many will always be our place in America's Civil War. Our challenge is how to present not only that history, but also Richmond and Virginia's place in our nation's history.

An increase in financial support of state and local tourist-related agencies and the opening of a new visitor center are necessary if we are to meet the needs and derive the benefits of added tourism.

Carlton Moffatt Jr. is a former executive at Wheat First Securities and was president of both the Metro Richmond Chamber of Commerce and the Richmond Convention and Visitors Bureau from 1976 to 1982. Contact him at (804) 269-3799 or .