Governor Kaine Announces New High in Tourism Spending in Virginia in 2005
– New High in 2005: $16.5 Billion, 55 Million person-trips –

RICHMOND – Governor Timothy M. Kaine today announced record growth in spending by tourists in Virginia in 2005 – $16.5 billion, a 9.6 percent increase over the 2004 figure of $15 billion. Preliminary data from the Virginia Tourism Corporation also indicates 207,000 Virginians are directly employed in the tourism industry, with a total 2005 payroll of $4.1 billion.

“These impressive numbers remind us that Virginia continues to lead the way as a destination for tourists and business travelers alike,” Governor Kaine said. “Travelers recognize that Virginia has impressive destinations and attractions across the Commonwealth, and this is great news on the eve of the launch of America’s 400th Anniversary in Jamestown in 2007.”

Virginia hosted 54.8 million person-trips in 2005, a 1.2 percent increase from the 54.1 million hosted in 2004.  Overnight person-trips accounted for 52 percent of all trips, while day-trips accounted for 48 percent, according to the Travel Industry Association’s TravelScope ®DIRECTIONS® by DKS&A. 

For 2005, local taxes attributed to tourism increased seven percent, from $443 million to $474 million.  State taxes from the industry were up 5.5 percent, from $640.7 million to $676.3 million, and federal taxes derived from travelers’ spending in the Commonwealth increased 5.2 percent, from $1.11 billion to $1.2 billion.”

“These latest figures on visitation prove that Virginia has a commanding presence in the marketplace, and this bodes well for our economy,” said Alisa Bailey, president and chief executive officer of the Virginia Tourism Corporation.

Other significant increases for 2005 over 2004 include the 9.3 percent growth in travelers’ spending in public transportation, from $2.2 billion in 2004 to $2.4 billion last year; and an 18.3 percent increase in spending on auto transportation, from $2.8 billion to $3.3 billion.  Although the increased cost of gasoline undoubtedly contributed to both of these increases, other increases are also noteworthy:  lodging, up 8.9 percent; foodservice, up 7.1 percent; entertainment and recreation, up five percent; and general retail trade attributable to tourism, up 5.8 percent. 

Local economic-impact data for 2005 will be available in August; the 2004 locality information is currently available on the VTC Web site.

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