As rules loosen, Maine's hospitality industry still needs 'one more step to get there'
Photo / Maureen Milliken
An early summer crowd gathers at seasonal restaurant Red's Eats in Wiscassett in 2019. As the second pandemic summer approaches, Maine's restaurant and lodging businesses still need a boost to get them through the season, industry experts say.
Maine's tourism and hospitality industries welcome the looser travel and capacity restrictions announced by Gov. Janet Mills Friday, but still have immediate challenges in order to make ends meet this summer, industry leaders said.
"People have slugged it out this long, and they need one more step to get there," Greg Dugal, Hospitality Maine director of government affairs, said Monday morning. "These are crucial months."
The organization, which represents more than 1,000 lodging and restaurant businesses across the state, is "incredibly excited" about Mills' plan, which opens Maine up to visitors from more states, sets a timetable for capacity increases and targets March 26 for the state's long-closed bars and tasting rooms to allow indoor service.
But Dugal said that many hospitality businesses, particularly ones that have been closed during the pandemic, also need a boost to help them reopen. The industry hopes that will happen with money from the $1.9 trillion stimulus package expected to receive final approval in Congress this week.
Maine is slated to get $1.53 billion from the package, and Dugal said, "I hope at least some of it will be used for our industry."
He said that while Congress passed a $25 billion Restaurant Rescue Plan last month, there's nothing like that for hotels, motels, inns and B&Bs.
"I think there's a perception that lodging is big business, but it's different in Maine," he said. Much of Maine's industry is seasonal and of the 1,400 lodging licenses, half are businesses with 13 rooms or less.
While both restaurant and lodging businesses rebounded to some extent in the fall, that came after months of being shut down, Dugal said. State revenue figures show the restaurant industry overall took a 26% hit in 2020, and lodging 35.6%, when compared to 2019.
Clear understanding helps
Mills said Friday that the multi-month plan reflects the stabilization of Maine’s COVID-19 metrics and progress in vaccinations, and aims to provide clarity and predictability so businesses and residents can plan for summer. It came with the caveat that if the numbers rise, or new variants of the virus are detected in the state, that can change.
Matt Lewis, CEO of HospitalityMaine, told Mainebiz on Monday he shares Dugal's appreciation for the Mills' "Moving Maine Forward" plan.
"Issues and concerns from the hospitality and tourism industries were heard," Lewis said. "The new timeline and reduced restrictions will allow Maine to bring back visitors in a safe and welcoming way."
Dugal said the state, particularly Heather Johnson, commissioner of the Department of Economic and Community Development, has been "very responsive" and committed to helping the industry.
The reopening plan announced Friday will be a big help, he said, and the organization looks forward "to continuing to work with the governor to make this a successful and safe tourism season for Maine people, visitors, and businesses alike."
Tony Cameron, CEO of the Maine Tourism Association, said Friday's announcement gives the industry something to work with.
“Throughout the pandemic, one of the most significant challenges for the tourism industry has been uncertainty about what the future holds," he said in a news release. "Early spring is a critical time for our businesses as we begin to gear up for what we hope is once again our busy season. A clear understanding of what the travel guidelines are and what capacity limitations will be heading into spring and summer is tremendously helpful."
He added, though, that many businesses "continue to struggle, all while hoping that the coming summer will put them on a solid path to recovery."
Like Dugal, he said that his organization looks forward to continuing to work with the state government as reopening gets underway.
Key elements of the plan are:
- A March 26 target has been set for bars and tasting rooms opening to inside service, although they must follow the same COVID-19 rules for distancing and other health and safety issues as seated service;
- The percentage of capacity for indoor gatherings will increase to 50% starting March 26, and 75% starting May 24;
- The percentage of capacity for outdoor gatherings will increase to 75% starting March 26, and 100% starting May 24;
- Connecticut, Massachusetts and Rhode Island join New Hampshire and Vermont as being exempt from quarantine rules, and, effective May 1, the state will shift to listing states that aren't exempt, rather than those that are;
- Maine exempts anyone, no matter what state they're from, who have either recently had COVID-19 or have been fully vaccinated.
Dugal said that while it's key that the state can welcome all six of the New England states, the region from where it draws most of its visitors, another challenge is reopening the border with Canada. About 17% of Maine's summer tourists come from Quebec, Ontario and the Maritime provinces.
Helping business navigate the second-draw Paycheck Protection Program changes, and finding ways to get immigrant workers to the state under the revived H2B and still-suspended J1 visa programs are also challenges.
Curtis Picard, president and CEO of the Retail Association of Maine, said that the organization is pleased that retail and other businesses will be able to increase capacity limits in the coming weeks and months.
“This will help return us to some sense of normalcy, encourage safe travel to Maine this spring and summer, and continue to balance public health with economic recovery," he said.
Kerrie Tripp, executive director of the Greater Bangor Convention and Visitors Bureau, and Lynn Tillotson, president and CEO Visit Portland also issued statements saying they're excited that they can begin to plan for the tourist season.
“As a destination marketing organization we are incredibly excited to begin promoting Greater Portland and the great state of Maine to visitors," Tillotson said.
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