The Municipality of Skagway held a Special Assembly meeting on Wednesday night to discuss the local impacts of the global coronavirus pandemic. Cruise ship tourism is Skagway’s main industry and the town is bracing for economic impacts.
Skagway began preparing for the health and safety component of the coronavirus pandemic last month. But it’s harder to prepare for potential economic impacts to the cruise town. An estimated hundred people packed into Assembly Chambers and down the hall for the special meeting. Mayor Andrew Cremata was clear about summer prospects.
“So we’re looking at fewer boats, we’re looking at fewer passengers. But at the moment, we are looking at having a cruise ship season where we can all at least tread water or even do a little better than treading water. But we are going to see significant impacts,” he said.
Residents expressed concerns that ranged from frustration with recommended social distancing for seniors to uncertainty that cruise ships would choose to come to Skagway this summer.
White Pass and Yukon Route Railroad is the number one cruise ship shore excursion in the state and Skagway’s biggest employer. The majority of their business comes from cruise ships. Public Relations director Jaime Bricker said the railroad’s doors are open.
“I just want to offer up my assistance. Our entire senior management team is interested in helping at the committee level or at the assembly level or with any of the locals, local businesses we can help with. Just know that we’re available. We want to hear the concerns if and certainly when this impacts Skagway,”
The municipality has money set aside for moments like this: two years of sales tax reserves and six years of commercial passenger vessel excise tax for six years, according to Skagway Treasurer Heather Rodig. The municipality is already exploring options to help locals and local businesses financially.
To that end, the assembly appointed an Impact Mitigation Task Force. Five volunteers representing tourism, hotels, food and beverage, retail, and the school will interview local businesses and compile their needs and questions for the municipality.
Assemblymember Dustin Stone and his wife operate a bed and breakfast in town. Stone said federal relief dollars may also be available if the community demonstrates a need.
“Track everything. I can tell you my number right now. In the last 27 hours we’re down $2,818 and 36 cents and cancellations. We are tracking every single penny of that, because it’s going to be necessary not only for our business, but for the community. When we started applying for federal relief grants, we’re going to have to show a community need and there’s most definitely going to be a community need,” he said.
Mayor Cremata stressed that health and safety in town are paramount. He said prevention is crucial so that medical facilities are not overwhelmed. The state recommends thorough hand washing and social distancing for high risk groups, such as people over 60 years old.
“Yes, it’s going to be an inconvenience. However, statistics seem to indicate that within a month, month and a half those numbers will level out. And we can go on to having a more normal life,” he said.
The Impact Mitigation Task Force will have its first meeting this week. Mayor Cremata hopes to have a first report in a few weeks.
