A Thriving Vermont Outdoor Recreation Economy for 2021 and Beyond
VOBA Addendum to VOREC’s Report and Recommendations to the Governor
October 15, 2020
The Vermont Outdoor Business Alliance (VOBA) was established in the fall of 2018 as a non-profit organization with a mission to educate Vermonters about outdoor recreation and to engage outdoor recreation businesses in economic development, collaboration, and policy advocacy. VOBA represents 70 outdoor recreation businesses and non-profit organizations that produce, provide, or sell outdoor recreation products or services, as well as other entities that have an interest in growing Vermont’s outdoor recreation economy.
This report follows VOBA’s Industry Impact Report and Recommendations for Reopening and Recovery - May 2020
Key recommendations to support Vermont’s outdoor recreation economy
Recommendation #1: Continue state government and private/philanthropic financial assistance (grants, low interest loans, etc.) and technical assistance to outdoor businesses and non-profits that:
Continue to sustain impacts (due to losses, limitations, mitigation, etc.) from the pandemic; and,
Have incurred increased costs due to pivots and necessary innovations to new operations, markets, products and programs, staffing, and manufacturing systems.
Recommendation #2: Continue to widely promote safe recreation options, including information to residents and marketing campaigns to out-of-state visitors for the fall, holidays, and winter that:
Clearly convey the latest health and safety guidance targeting outdoor enthusiasts; and,
Support businesses in their management of customer screening and taking precautionary measures to ensure the safety of customers, employees and the community.
Recommendation #3: Target outdoor entrepreneurs that are considering relocating their business to Vermont or starting a business here with financial and other incentives and workforce development/retraining programs. Additionally, focus on outdoor growth companies that currently operate within the state and have workforce and business expansion goals.
Work with ACCD and VDOL to package a comprehensive set of economic development programs and workforce development resources based on the emerging needs of the outdoor recreation sector, such as talent pipeline and higher education collaborations.
Recommendation #4: The number of outdoor participants has been growing steadily over the years, with the pandemic intensifying the trends, increasing the frequency and engaging new and underrepresented populations in physical activities.
Work with recreation/trail organizations and state agencies that manage recreation assets to identify the stewardship and mitigation needs and establish revenue mechanisms for the ongoing and future maintenance needs of existing and new infrastructure.
Current state of Vermont’s outdoor recreation economy
In May, VOBA’s pandemic impact report stated that most of Vermont’s outdoor businesses had experienced full or partial closure, significant losses in revenue, increased costs due to precautionary measures, and shifts in workforce, supply chain and operations. Despite these challenges over many months, Vermont’s outdoor recreation economy enters fall in a much stronger financial position. Factors behind this economic rebound are multi-fold:
Increase in state/federal financial support to businesses and organizations: Investments of state government and private/philanthropic economic relief and the availability of technical assistance have been crucial to businesses and nonprofits most impacted by COVID-19 as well as providing a bridge to restoring channels for buying and selling, facilitating innovations to new products, services, markets, and manufacturing, and encouraging customers to safely return to stores or to expand options to buy online.
Approx. $4 million in economic recovery grants, including $1.5 million dedicated to outdoor recreation, were awarded to outdoor recreation businesses and non-profit organizations by the Agency of Commerce and Community Development (ACCD) and the Vermont Department of Taxes.
Increase in consumer purchasing of recreation products and services: Access to recreation infrastructure, interest in physical health and well-being, consistent safety guidance, gradual re-opening of the economy, consumer stimulus campaigns, business innovations, and expansions of e-commerce have boosted retail and brand sales, especially for hiking, biking, paddling, fishing, hunting, and cross country/backcountry skiing equipment, showing promise for the outdoors as a sustainable lever in the state's recovery.
Most important outdoor recreation issue or opportunity in 2020.
Increase in outdoor participation: State and industry data has shown that the numbers of those participating in outdoor recreation was already steadily growing over the years. The pandemic intensified those trends, increasing the frequency and engaging new and underrepresented populations in physical activities close to home or within a drive. Record numbers of Vermonters and allowed visitors have been recreating in Vermont’s public and private recreation areas. Not only has this physical activity been recognized as a benefit to overall community health, but the opportunity has led to greater economic opportunity for outdoor businesses providing gear and equipment, information, skill-building education and an outdoor community. It has also driven patronage to businesses in the more rural communities and outdoor regions of the state.
VOBA activities & accomplishments in 2020
Networking and Education: VOBA launched BASECAMP VT, a resource and technical assistance initiative, and provided networking, education, and support services:
Surveyed the industry and communicated needs to policymakers and service providers;
Maintained resource webpages on COVID-19, business development, and JEDI;
Hosted 8 virtual events to foster dialogue, build relationships, and exchange information, with hundreds attending;
Published communications such as bi-monthly e-newsletters to 700 subscribers and posted regularly on social media to share information and highlight resources;
Supported a membership of 70 businesses and nonprofits representing many different aspects within the sector; and,
Coordinated bi-monthly meetings with 20+ state outdoor business alliances from around the country to exchange information and collaborate on initiatives.
Sector Development and Policy Engagement: VOBA provided development to businesses and nonprofits and enriched policy processes on outdoor recreation economy issues:
Facilitated market access opportunities such as participation in winter and summer industry trade shows, mentoring 3 brands, leading to 5 company/product features in industry media;
Provided technical assistance to 5 start ups and entrepreneurs relocating business to VT;
Established priorities and a process for policy engagement, monitored legislative bills and budgets, supported members being informed, and weighing in with policymakers;
Engaged with state agencies on the development and promotion of outdoor recreation/marketing initiatives and economic stimulus packages, including advising the Administration of outdoor recreation economic recovery grants; and,
Provided business input to VOREC‘s discussions, participated in COVID/stewardship messaging and collaborated with VOREC grant communities on marketing.
VOBA detailed recommendations for the fall and 2021
Despite progress, the stability of Vermont’s outdoor sector remains tenuous, due to the uncertainties of the foliage, holiday, and winter seasons. Health data, travel (visitor and business/international) and business restrictions, holiday shopping, consumer purchasing power, snow conditions, winter resort and facility operations, state and private land recreation access, child care availability, and manufacturing supply chains/product inventory will be determining factors. Importantly, subgroups of businesses such as resorts and facilities, lodging, and events continue to sustain negative impacts from restrictions.
Prior recommendation #1: VOBA continues to recommend state government and private/philanthropic financial and technical assistance targeting outdoor recreation businesses and non-profit organizations that continue to be negatively impacted by the pandemic.
Specifically, VOBA recommends:
ACCD to develop flexible eligibility guidelines for the next round of economic recovery grants, specifically around demonstrating ongoing unmet needs and accommodating nonprofits, new businesses, and sole proprietors, as well as businesses that:
Continue to sustain impacts (due to losses, limitations, mitigation, etc.); and,
Have incurred increased costs due to pivots and necessary innovations to new operations, markets, products and programs, staffing, and manufacturing systems.
The Restart Technical Assistance program and other service providers to emphasize advising e-commerce expansion, best practices and accommodations for in person customers (indoors and outdoors), and spurring innovations to new operations, markets, outdoor programs, and manufacturing.
Continue to secure public and private sources of capital to invest in emerging plans, systems, and employment.
Putting in place workplace supports for bringing employees back safely, retraining to new positions/skills, and implementing health precautions for storefronts, programs & facilities.
The Administration to work with the outdoor industry on planning and preparations for the possibility of another shutdown, curtailing of recreation options, or significant disruptions.
Work with the industry on the implementation of mitigation strategies and communication tools for safety guidance, such as centralized testing and reporting methodology, and technology innovations, such as a voluntary smartphone app for visitors.
The state to continue to integrate justice, equity, diversity and inclusion approaches to outdoor recreation leadership, training, policies, and programs to advance equity for VT’s BIPOC and LGBTQ communities, youth and adults with disabilities, and other underrepresented communities:
Appoint a VOREC Steering Committee member representing these perspectives.
Prior recommendation #2: Continue to widely promote safe recreation options, including information to residents and marketing campaigns to out-of-state visitors for the fall, holiday, and winter seasons.
Specifically, VOBA recommends:
Clear conveyance of the latest health and safety guidance targeting outdoor enthusiasts;
Support for businesses in their management of customer screening and taking precautionary measures to ensure the safety of customers, employees and the community;
Marketing and messaging funding and capacity be directed to outdoor recreation activities and businesses as well as stewardship education;
Consider Vermont outdoor recreation businesses for content creation and communications contracts (i.e. photographers, writers, filmmakers, public relations).
ACCD and Vermont Department of Tourism and Marketing direct additional consumer stimulus programs and marketing initiatives to VOREC’s designated outdoor recreation friendly communities of Newport, Randolph, St Albans, Brighton, Craftsbury, Montpelier, Poultney, Rockingham, and Springfield (as well as others VOREC deems as promising.)
Work with businesses and affinity groups to increase participation by those populations that are new to the outdoors (providing access to education and gear), as well as supporting BIPOC and LGBTQ communities, those with disabilities and other underrepresented communities in having positive experiences outdoors.
New funding and policy recommendations for 2021 & beyond
New recommendation #1: Continue to prioritize state government and private/philanthropic financial support and marketing, workforce, and business development programs for outdoor recreation businesses and non-profits that continue to sustain negative impacts from the pandemic into 2021, as well as those who have made necessary innovations in order to recover.
New recommendation #2: A collaboration between VOBA, VOREC and agencies on a process with public and private stakeholders to develop a multi-year framework and action plan for Vermont’s outdoor recreation economy for 2021 and beyond. Revisit existing documents by VOBA, VOREC, and other state and outdoor partners as a starting point for setting a collective future vision for the state, establishing benchmarks, identifying strategies, and clarifying roles and capacities for VOBA, VOREC, and other key partners.
New recommendation #3: Target outdoor entrepreneurs that are considering relocating their business to Vermont or starting a business in the state with financial and other incentives and workforce development/retraining programs. Additionally, focus on outdoor growth companies that currently operate within the state and have workforce and business expansion goals.
Work with ACCD and VDOL to package a comprehensive set of economic development programs and workforce development resources based on the emerging needs of the outdoor recreation sector, such as talent pipeline and higher education collaborations.
New recommendation #4: Work with recreation/trail organizations and state agencies that manage recreation assets to identify the stewardship and mitigation needs and establish revenue mechanisms for the ongoing and future maintenance of existing and new infrastructure, especially with additions from federal funds [CARES Act and Land and Water Conservation Fund (LWCF).] Related recommendations:
Fully fund the Vermont Housing and Conservation Fund to enable maximum investments in recreation infrastructure, especially as a state match to federal LWCF dollars.
Involve outdoor businesses in the Agency of Natural Resources’ best management practices stakeholder process on Act 250 changes related to recreation trails.