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Conference Center hotel room bookings small compared to cost

In 2009, USA Niagara turned over management of the Niagara Conference Center to Global Spectrum. According to a report acquired by the Niagara Falls Reporter, the Conference Center hosted 227 events and claims they helped book 17,766 local hotel room nights in 2011. The city pays USA Niagara to fund the operating losses each year as per a contract that’s set to expire Dec. 31st.

At first blush that hotel room number seems impressive. But if you know anything about tourism, it is small indeed considering the cost. When you consider that several local tour bus companies like Paradise Vacation and L and L Travel each book more than 20,000 room nights per year without a dime of public money, the Conference Center’s performance is unimpressive.

Gene Carella, the new lease holder of the Ice Pavilion, books more than 6,000 room nights per year for his ice hockey tournaments - an astounding feat - since his room bookings are in the off-season. Mr. Carella does his work without a dime of public money. And Niagara Falls Live website owner Gordon Stevens told the Reporter he books more than 10,000 rooms off a website that doesn’t cost taxpayers a dime.

With 3,200 rooms available for rent every night in Niagara Falls and with about half of them begging for customers most nights of the year, 17,766 room nights equals 5.5 nights worth of rooms.

At a cost of $3.1 million in city taxpayer subsidy from Niagara Falls, taxpayers are paying USA Niagara almost $175 per room night to get people into hotel rooms that average $80 per night.

According to several hoteliers, the old Convention Center (the one the state gave away to the Senecas for their casino) was responsible for 100,000 room nights per year, mostly during the shoulder season when it was really needed.

 

 

Niagara Falls Reporter www.niagarafallsreporter.com July 31 , 2012