Summit County, Utah — Park City, a renowned winter destination, is experiencing a significant downturn in its winter tourism sector, as highlighted by a recent report presented to the Summit County Council by the Park City Chamber and Visitors Bureau. The data reflects a notable 9% decrease in transient room tax collections for the year 2025 compared to the previous year, signaling potential challenges for local businesses that heavily rely on winter tourism. Jennifer Wesselhoff, President and CEO of the Park City Chamber, shared insights during the council meeting on Wednesday, citing a comprehensive tourism economic impact study utilizing data from 2023. This study reveals that tourism contributes more than $2 billion to the local economy, supports nearly 15,000 jobs, and generates approximately $800 million in wages. Additionally, the sector attracts around 3.7 million overnight visitors and generates nearly $250 million in state and local tax revenue, underscoring the critical role tourism plays in the region's economic stability. Despite the overall economic contribution of tourism, Wesselhoff noted that the winter season has underperformed compared to last year's figures. A review of tax collections for December indicated that while sales tax saw a minimal decrease of 0.2%, the transient room tax collection reflected a more substantial decline of 9%. Other categories showed slight fluctuations, with restaurant tax rising by 2% and taxes related to recreation, arts, and parks dipping by about 1%. Looking ahead, the outlook for 2025 and 2026 remains uncertain, with Wesselhoff acknowledging the challenges of making accurate forecasts amid mixed economic signals. She emphasized the winter season's critical importance to local businesses, referencing a study conducted in partnership with Ski Utah. The ski industry in Utah is valued at approximately $2.5 billion, with Summit County alone accounting for over $1.3 billion. Many local businesses report that they earn between 60% to 75% of their annual revenue during the winter months, highlighting the stakes involved in this downturn. To gauge immediate demand for winter lodging, Wesselhoff presented data from Destimetrics, which tracks around 40% of the lodging inventory in Park City and Summit County. The data revealed that December bookings were approximately 4% lower than the previous year, with January showing a 6% decrease, February down by 10%, and March trailing by 9%. These figures raise concerns about the potential long-term impacts on the local economy if trends continue in this direction. Councilor Hansen raised questions regarding the Destimetrics sample, suggesting that it may underrepresent the overall market decline, particularly if it is skewed towards higher-end properties. Wesselhoff concurred, noting that broader market trends could indicate an even greater downturn. She emphasized that tax collection figures provide the clearest indication of market health, with the December performance expected to be reflected in the next reporting cycle. In response to the challenges, Wesselhoff highlighted several initiatives the Chamber is undertaking to support the workforce and promote sustainable tourism. These initiatives include a seasonal worker resource guide developed in collaboration with local partners and a small-business medical insurance program aimed at bolstering the health of local enterprises. Additionally, the Chamber has introduced a Visit Park City app, which utilizes artificial intelligence to create customized itineraries for visitors, enhancing their experience in the region. Moreover, Wesselhoff pointed to a green business program and a lodging sustainability toolkit that have been developed in partnership with various stakeholders, reflecting a commitment to environmentally conscious tourism practices. As part of its role as the county's Travel and Tourism Advisory Board, the Chamber is also focusing on a tourism development assessment. Wesselhoff urged the council to utilize the county's 10-year sustainable tourism plan, which received unanimous support three years ago, as a guiding framework for future spending decisions related to the transient room tax. Looking toward the future, the advisory board is scheduled to prioritize recommendations at a retreat in March, focusing on enhancing indoor activities, expanding options for families, fostering economic diversification, and exploring the potential for medium-sized or large events that align with the area's branding. This strategic approach has gained added importance following the loss of the Sundance Film Festival, a key event that previously attracted significant visitor traffic. The Chamber's report comes on the heels of a recent TownLift article that indicated a staggering 29.3% drop in Park City’s transient room tax collections in October, a decline that officials attributed to timing discrepancies in tax collections rather than a sustained slowdown in visitor spending. As the winter season progresses, stakeholders in Park City remain vigilant, hoping for a rebound that could reinvigorate the vital tourism sector and support the local economy.