Consultant puts a possible Seward tourism impact study at $30,000 to $40,000

Heather Haugland, vice president of McKinley Research Group, told the Seward Planning and Zoning Commission and the Seward Chamber of Commerce board Tuesday that a study of tourism's economic impact on Seward would likely cost $30,000 to $40,000.

"I would guess that this effort would be in the $30,000 to $40,000 sort of realm," she said, adding that she would need to do detailed budgeting and could discuss a smaller scope if cost is a barrier. No funding decision was made.

Community Development Director Daniel Meuninck said the city wants data to help balance tourism, its main economic driver, against the goal of a year-round community. The city's comprehensive plan says Seward lacked such data.

Haugland said a study would count jobs, wages and spending tied to tourism in three ways: direct; indirect, when tourism businesses buy locally; and induced, when their employees spend on groceries and gas. It would also tally sales tax, bed tax and cruise line payments to the city. She recommended counting Alaska resident visitors alongside out-of-state tourists. Studying 2026 would mean waiting until mid-2027 for state and federal data.

Lori Draper asked about spending outside city limits, which pays no city bed or sales tax. Asked whether wages that leave town, including pay to seasonal J-1 workers, could be tracked, Haugland said, "We could include it in our scope." Commission Chair Clare Sullivan said money from short-term rentals owned by outside investors "winds up leaving" the community.

Haugland said studies of what tourism costs a city are separate and time-consuming. She asked the city for a list of outcomes it wants. Meuninck said the session was meant to help the city know "what to put out in an RFP process," the request for proposals it would use to seek bids.