29.0°

Members of the hard-pressed tourism industry Wednesday begged, pleaded and sometimes threatened members of the state House Finance Committee seeking additional marketing money.

Tourism officials and owners of small tourism businesses told the committee that the state needed to spend more on tourism, but that small businesses battered by this year's decline in visitation could not do that themselves.

The Ketchikan Visitors Bureau's Patti Mackey said that until this year, tourism had been the only growing industry in a city which has seen a decline in logging and seafood processing, while fishing remained flat.

"In 2009, members of my organization estimated that their business lost on average 20 percent, and some reported decreases as much as 40 percent," she said.

Many responded by hiring fewer people or cutting back on inventory.

Most of the testimony came from the Railbelt, where the Municipality of Anchorage reported bed tax revenue was down 17 percent caused by a fewer visitors and reduced room rates.

Wade Willis of Anchorage's Vision Quest Adventures, which he described as a "mom and pop guiding business," said the state needed to boost its marketing effort both because of the hard times and to see that things improve in the future.

"We all know that you've got to spend money to make money," Willis said.

He urged the committee to support House Bill 167, which would fund the Alaska Tourism Industry Association's marketing efforts with up to $20 million otherwise bound for the state's general fund. The bill would give the cruise lines tax credits against contributions they made to the industry association.

"We can't expect to be a player if we don't play the game," Willis said.

While the most dismal news came from the Southcentral and Fairbanks areas, other areas reported losses, and the need for more marketing as well.

"The picture here on the Kenai isn't very pretty this year," said Shannon Hamrick, with the Kenai Peninsula Tourism Marketing Council. She reported that tourism related sales were down 29 percent in the borough.

Marketing help is needed to compete with other state's promotion efforts, she said.

"Help us level the playing field with competing destinations," she said.

Caleb Alderman with the Anchorage Trolley said the state was neglecting its huge tourism business.

"It boggles the mind that you've got a billion-dollar business and you're not putting any money into it," he said.

Alderman's comments also appeared to irritate some legislators, especially when he said voters should replace legislators who don't give the tourism industry more money.

Rep. Alan Austerman, R-Kodiak, corrected Alderman, pointing out that the state already provided $8 million to $9 million for marketing. Alderman acknowledged that, but said it was still inadequate.

Rep. Bill Thomas, R-Haines, is a commercial fisherman. He said that 7 percent of his gross sales go to taxes that include marketing efforts, while the tourism industry was seeking more money.

"And you're sitting there threatening me," Thomas said.

Alderman then backed off his threat, calling it "just an observation," and praising the fine job legislators do.

• Contact reporter Pat Forgey at 523-2250 or e-mail patrick.forgey@juneauempire.com.