UMD Expert Talks Mild Winter Economic Impact

DULUTH, Minn. — Northern Minnesota had a mild start to winter. So, experts at UMD all got together and wrote an article on the lasting effects the warmer temps may have.

One part of the article is on the economic impact the weather has had. Monica Haynes, the director of the Bureau of Business and Economic Research at UMD says the winter season brings in significant revenue to the Duluth region. And although summer is a busy time for tourists, December is one of the busiest months of the year for tourism in northern Minnesota.

“When we a have warmer than average temperatures or lack of snow in December it really can have an impact because that’s the time of year when people start traveling for those winter activities and you know doing family gatherings and doing more tourism activity that can have a really big impact. And now we’re seeing those impacts continue into you know some of the later winter months,” said Haynes.

Haynes says tourism industries such as Spirit Mountain were forced to close during what is typically the busiest time of year for them. Other businesses including snowmobiling and ice fishing have suffered as well with millions of dollars each year spent on equipment. That all contributes to millions of dollars in lost revenue for the local economy.

“If that continues year after year where they are having inconsistent temperatures or aren’t able to make snow on the schedule that they prefer and having you know lost revenue over and over then that could actually lead to the closure of a lot of business, loss of jobs,” explained Haynes.

But not all industries are suffering. Haynes says the St. Lawrence Seaway approved its latest seasonal closure ever which was January 5th.