The rising cost of fuel has impacted local families and businesses, however, the extent of the impact differs depending on many factors.
Business is still good for Rainy Lake One Stop, but a manager reports that people are now more innovative in finding ways to save money.
“A lot of people are finding alternative methods in coming up here,” said Bill Landmark, fishing manager. “They are carpooling instead of coming up alone, and instead of towing a boat up here they are renting one when they get here.”
Landmark estimates that most people, depending on their vehicle, can get another five to six miles more per gallon without towing a boat.
Voyageur Sportsman Paradise owners Sheila and Kenny Bahr attribute the wet weather as much as the price of gas with affecting their business. They say its tough to measure the impact right now but they will know more by July.
They do a lot of shipping and Sheila said she is concerned that increased mailing costs due to fuel prices will cut further into their budget. She is happy that locals are planning ahead for deer season and shopping for guns and shells now and not waiting.
Kenny runs a fishing and hunting guide business and Sheila said he has more out-of-town clients this year than is the recent past. She said the reductions in bear and other hunting and fishing permits has as much to do with impacting hunting vacationers as does gas prices or the economy.
“People are still willing to spend money, travel and come to the area for a once-in-a-lifetime vacation,” she said. “We get good money from guiding, but the impact is also on the entire community because they are renting hotel rooms, eating at restaurants and spending that extra money in other local businesses.”
She said the important thing is to make vacationers aware that if the weather is not good for fishing then substitute activities such as trap shooting are available instead.
The couple also runs Evergreen Lawn Care and Landscape and Sheila says that the gas prices have cut into costs, but not as much as the wet weather. She said the storms helped bring up business with a lot of urgent calls to come do tree work.
“It’s a lot of ‘can you get here today?’ stuff,” she said. “We are about a month behind all the other work, which is weather related.”
The couple also runs a year-round boarding kennel and Sheila notes that a slow in business might be from fewer people traveling out of town.
“We’re still OK, but it’s not business as usual,” she added.
Penny Strongman, owner of Strongman Travel, said everyone is “feeling the price crunch,” and offers a concern about rising ticket prices, but an optimistic outlook for vacation incentives that make up the difference.
“This is actually a normally slow time anyway, but yes, I believe the fuel prices have had a severe impact, especially when flying out of the Falls,” said Strongman. “Reservations have decreased dramatically.”
The good news, she said, is that her summer and winter Sun Country vacation charter packages to Nevada remain successful.
She is working on future Falls charter flights to include Puerto Vallarta. She needs to fill 160 seats for such a charter, and says if the package fare can be brought down to about $400 more than if flying out of the Twin Cities, then people would fly out of the Falls.
Las Vegas and Mexico resort destinations frequently offer incentive packages and Strongman is pleased to note that with fewer people flying, the resort locations not known to offer many specials are now offering attractive deals to offset travel costs.
The cruise industry is also offering shipboard credits to make up for increased costs, she added.
Strongman is concerned for the outcome of the Northwest Airlines deal and Delta’s expressed pledge to honor local service. She fears that industry troubles and rising fuel costs could impact Mesaba service here.
Steve Fox, general manager at the Holiday Inn, said the hotel is slightly ahead of the norm for reservations through July. Hotels, as opposed to resort vacationers, tend to attract the business class, and he added that it is too early to predict the impact of the economy or gas on reservations through August.
Fox said that walk-in guests help pick up the slack and that they haven’t been hearing from people who cancel that it is due to gas or economy issues.
“It’s no different this year and we are actually up a little bit,” said Fox. “They may not be happy with paying more for gas, but that it is not going to be a ‘trip stopper’.”