Tourism chief: visitation near pre-pandemic levels; marketing budget trails neighboring states
January 18, 2025 | Economic Development, Housing & General Affairs, SENATE, Committees, Legislative , Vermont
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Heather Pelham, commissioner of the Department of Tourism and Marketing, briefed the Senate Economic Development, Housing & General Affairs Committee on Jan. 17 about the department’s marketing strategy, recent visitation figures and a series of destination-development projects funded with federal recovery dollars.
Pelham reported that 15.8 million visitors came to Vermont in 2023 and that visitors spent about $4 billion statewide — an amount she said represents roughly 9.3% of Vermont’s gross domestic product. She described the department’s core work as destination marketing and relocation outreach and noted the department’s staff of roughly 14 people "including two limited service positions that we will lose at the end of 2025."
Why it matters: Committee members were shown the economic impact of tourism and told the department’s traditional marketing budget is modest compared with neighboring states, limiting reach for both destination marketing and relocation initiatives.
Key points from the briefing
- Visitor numbers and economic impact: Pelham said 15.8 million visitors visited Vermont in 2023; the department estimates visitor spending at about $4 billion and a direct tax contribution of roughly $282 million. She said recent visitation is returning to pre-pandemic levels.
- Budget and scope: Pelham reported a historical destination marketing budget of about $3.5 million; she compared that to New Hampshire’s $10 million and Maine’s $17 million marketing budgets as context for the department’s reach.
- Destination development and stewardship: Using federal post‑pandemic funds (a roughly $10.4 million allocation referenced in the briefing), the department is investing in destination development projects, a year-long visitor survey and a new destination management plan. Pelham said the department will hold 10 regional tourism forums beginning the week of Feb. 10 to engage communities on visitor stewardship, workforce and infrastructure needs.
- Workforce and training: Pelham described programs funded to support hospitality workforce development, including a certificate program in hospitality management at the University of Vermont with market-driven internships, and initiatives for skills such as bike mechanics and trail building.
- Relocation and 'Grow' grants: Pelham described the Grow program (relocation and retention grants) and previewed a paid relocation marketing campaign to be launched in the quarter. She said the department currently supports 13 grant recipients who work on relocation and retention at the regional level and that ThinkVermont leads initial lead generation.
Committee questions
Senators asked about the department’s ability to scale campaigns and the relationship between marketing and other policy work such as data-privacy proposals. Pelham said the department will coordinate with ACCD partners and invited committee members to regional forums and forthcoming reports.
What was not decided
The briefing contained no formal votes. Specific budget requests and the timing of campaign launches were described as forthcoming.
Next steps
Pelham said the department will provide the committee with an economic-impact report, visitor-survey findings, and further detail on destination-development projects and the planned relocation campaign.
Pelham reported that 15.8 million visitors came to Vermont in 2023 and that visitors spent about $4 billion statewide — an amount she said represents roughly 9.3% of Vermont’s gross domestic product. She described the department’s core work as destination marketing and relocation outreach and noted the department’s staff of roughly 14 people "including two limited service positions that we will lose at the end of 2025."
Why it matters: Committee members were shown the economic impact of tourism and told the department’s traditional marketing budget is modest compared with neighboring states, limiting reach for both destination marketing and relocation initiatives.
Key points from the briefing
- Visitor numbers and economic impact: Pelham said 15.8 million visitors visited Vermont in 2023; the department estimates visitor spending at about $4 billion and a direct tax contribution of roughly $282 million. She said recent visitation is returning to pre-pandemic levels.
- Budget and scope: Pelham reported a historical destination marketing budget of about $3.5 million; she compared that to New Hampshire’s $10 million and Maine’s $17 million marketing budgets as context for the department’s reach.
- Destination development and stewardship: Using federal post‑pandemic funds (a roughly $10.4 million allocation referenced in the briefing), the department is investing in destination development projects, a year-long visitor survey and a new destination management plan. Pelham said the department will hold 10 regional tourism forums beginning the week of Feb. 10 to engage communities on visitor stewardship, workforce and infrastructure needs.
- Workforce and training: Pelham described programs funded to support hospitality workforce development, including a certificate program in hospitality management at the University of Vermont with market-driven internships, and initiatives for skills such as bike mechanics and trail building.
- Relocation and 'Grow' grants: Pelham described the Grow program (relocation and retention grants) and previewed a paid relocation marketing campaign to be launched in the quarter. She said the department currently supports 13 grant recipients who work on relocation and retention at the regional level and that ThinkVermont leads initial lead generation.
Committee questions
Senators asked about the department’s ability to scale campaigns and the relationship between marketing and other policy work such as data-privacy proposals. Pelham said the department will coordinate with ACCD partners and invited committee members to regional forums and forthcoming reports.
What was not decided
The briefing contained no formal votes. Specific budget requests and the timing of campaign launches were described as forthcoming.
Next steps
Pelham said the department will provide the committee with an economic-impact report, visitor-survey findings, and further detail on destination-development projects and the planned relocation campaign.
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