Coronavirus cancellations cost Wake County $45.3M in tourism and hospitality

Cancellations from the coronavirus shutdown have severely impacted Wake County's hospitality industry, which has lost more than $45.3 million in economic impact, county officials say.

More than 75 public events and festivals have been canceled or rescheduled. With tens of thousands of people no longer staying in town, this had led to a trickle down effect on area hotels, some of them seeing single-digit occupancy.

Wake County commissioners met virtually this afternoon to discuss how the county can find a way to make up for lost revenue.

"Tourism is a $2.7 billion economic impact on Wake County annually," said county commissioner Vickie Adamson.

Adamson said county officials count on tourism tax dollars made from what’s called the ‘Interlocal Agreement.’ "Last year, we planned several large projects with the interlocal funds, the tourism tax it generate, and some of it we’re just going to have to put on hold until we see what the recovery looks like," she said.

Some of those large projects include $9 million to upgrade PNC Arena and a renovation to the Convention Center.

Officials predicted the Interlocal Agreement would bring in $63 million dollars by June. Instead, the county is bringing in close to $30 million less than expected from these taxes.

"We think that growth will come slow but faster than what we’ve seen in prior recessions. Once we get through get through June, we’ll see a 10 percent increase," said assistant county commissioner Denise Foreman.

"People are going to have to start feeling comfortable to travel again. Companies are going to have to feel comfortable to do these conventions," said Adamson.