Park Closures Would Have Economic Impact On Area

By Tammy Gray-Searles
   With jobs being lost, education and health care funding being cut, and families losing their homes at an unprecedented rate, saving state parks may not seem like a priority. Their impact on a community, however, goes far beyond providing recreation.
   Homolovi Ruins State Park, located just outside of Winslow, has a $3.5 million annual impact on Navajo County, according to a Northern Arizona University study unveiled in February.
   It is also estimated that 44 full-time jobs would be impacted if the park were to be closed down.
   Similarly, Lyman Lake State Park in Apache County has a $2.4 million impact and creates 35 full-time jobs.
   Those numbers include direct expenditures, indirect expenditures and what the study terms “induced” expenditures. According to the study compiled by the Hospitality Research and Resource Center at NAU, direct expenditures are those made by visitors to the state parks on items such as entrance fees, food, hotel rooms and souvenirs. Indirect expenditures include money spent in order to provide those services, for example, purchases of cleaning supplies by motels that provide rooms to park visitors. Induced expenditures are those made by the third party, such as the cleaning supply vendor purchasing spray bottles in order to supply cleaning products to the hotel that serves the visitors.
   The number of jobs associated with each park also includes direct, indirect and induced jobs.
   The study did not include expenditures made by visitors who live within 50 miles of the park.
   “The spending of visitors with zip codes in the county or within 50 miles of the park was excluded since such visitors do not add new money to the local economy, a standard procedure used in economic impact studies,” the study summary noted.
   Statewide, the study found that state parks contribute $224.4 million to the economy in indirect ways, and $162.8 million directly.
   At Homolovi, the study found that visitors contributed a total of $2.6 million directly to the economy and just under $900,000 indirectly, creating 35 direct jobs and nine indirect jobs. The average Homolovi visitor spent a total of $227 in the area while visiting the park, including admission fees, souvenirs, dining, fuel, snacks and lodging.
   At Lyman Lake, $2.1 million was added directly to the Apache County economy and $330,000 indirectly, according to the study. Of the 35 jobs, 31 are direct and four indirect.
   Homolovi and Lyman Lake are still on a list of state parks that could be closed due to state budget cuts. According to Arizona State Parks spokesman Ellen Bilbrey, parks on the possible closure list were chosen based on cost per visitor to the state.
   “It was based on cost per use, or cost per visitor, how much it cost to actually service that visitor,” she explained.
   Parks with the highest cost of operation per visitor were placed at the top of the list for closure. In many cases, parks with the highest cost per visitor are also the parks with the lowest visitation rates. In fiscal year 2006-07, Homolovi hosted 15,953 visitors and Lyman Lake, 36,298. In comparison, Slide Rock State Park near Sedona had 249,409 visitors, and was one of the top revenue producing parks in the state. Fool Hollow Lake hosted 95,495 visitors in that same time period.
   According to Bilbrey, whether the parks will be closed depends on what the state legislature does with the 2009-10 budget and on the passage of House Bill 2088, which would transfer $20 million in state land trust money to the parks department.
   “It’s up to the legislature to decide the funding. No one else can do it,” she said. “We (the parks department) are very much in favor of keeping parks open.”
   She explained that the state parks board, which will be called upon to make a final decision on whether to close certain state parks, is made up of volunteers who are working to find ways to keep not only all of the state parks open, but also fund state parks programs that promote historical preservation.
   “They’re the ones trying to save the parks, and they need the public’s help,” she remarked.
   Bilbrey pointed out that citizen letters and presentations to the board were welcome, but the board’s actions are driven by the amount of funding provided by the state. So far, $34.6 million has been swept out of the parks department budget, and further cuts are expected.
   The house bill that could potentially put money back into the parks budget and keep parks like Homolovi and Lyman Lake open has significant obstacles to overcome. It must pass both the state house and senate by a three-quarters majority vote. The bill has passed the house rules committee, but is waiting to be heard and voted on by the whole house. As of press time, a vote had not been scheduled, but it could take place this week.
   With prospects for funding to save designated parks from closure looking dim, Governor Jan Brewer recently revived the state parks task force to try to find alternate solutions. The task force has not yet met, but among the options that may be considered is partnering with counties and cities to keep state parks operating. Bilbrey explained that the state already partners with the City of Yuma to keep the Yuma Quartermaster Depot Historical State Park operating.
   One partnership that could greatly benefit Homolovi Park, according to Bilbrey, would be a joint effort to repair the road through the park. She explained that large holes in the road make it impossible for some visitors, especially those in motor homes or pulling trailers, to travel through the park.
   “The holes in the road there are just frightening,” she remarked. “We were hoping maybe some of the stimulus money could be used to fix them, or maybe the county can assist us.”
   County Manager Jimmy Jayne noted that although the county’s budget is stretched thin and the county is “not interested in getting into the parks business,” the county would be open to working with the state to repair the road. He also noted that the county has not yet been approached about such a partnership.
   “Navajo County believes in partnerships that benefit the region,” he said. “Homolovi has an impact on the entire region. I know that Supervisors Jesse Thompson and J.R. DeSpain are very concerned about the possible closing of Homolovi.”
   Jayne also remarked, “A road is a prime example of how we could potentially come to the table in something that benefits everyone. I can’t speak for the board, but I think it is something we would be interested in.”
   Brilbey noted that keeping parks like Homolovi and Lyman Lake open is important not only to the state, but to surrounding communities that depend on revenues generated by tourism.
   Brilbey explained that if Homolovi and Lyman Lake were shut down, it would mean zero access to either resource for visitors. Researchers and school groups would no longer be able to study at Homolovi, and boaters, fishermen, campers and hikers who regularly visit Lyman Lake would have to find other recreation sites.
   “Not only are the parks protecting natural resources, but they provide an economic engine so desperately needed in rural areas,” she said. “A lot of people think of them as just a place to play, and they are, but they also protect our natural and cultural resources, and also make a much-needed economic impact. You’ve got to look at it from that point of view. When people come into the community to visit state parks, they also spend a lot of money.”
   The next state parks board meeting is scheduled at 9 a.m. on Friday, April 3, at the Peoria City Council Chambers. The meeting agenda is not yet finalized, but budget shortfalls and how to resolve them are among the anticipated topics.