Feds: Colorado’s outdoor industry economic impact has waned during pandemic

DENVER — Since the start of the COVID-19 pandemic in late 2019, the economic impact of Colorado’s outdoor industry has shrunk.

Outdoor recreation employment in the state dropped from 149,000 in 2019 to 120,000 in 2020, according to a new report from the U.S. Bureau of Economic Analysis.

The industry contributed $9.6 billion to Colorado’s economy in 2020, down from the record $12.2 billion in 2019. 

Colorado’s performance reflects a nationwide trend.

“Nationwide, real gross output for the outdoor recreation economy decreased 17.4% in 2020, while outdoor recreation compensation decreased 12.5% and employment decreased 17.1%,” the government’s report said. 

In Colorado, not all segments of the outdoor industry were in decline from 2019 to 2020. Segments increasing their gross domestic product included biking, canoeing, RVing and climbing/camping/hiking.

“2020 was one of the toughest years in recent history. With so much isolation and loss, the outdoors was something we could all turn to in order to connect with our families and friends and maintain physical and mental health,” Colorado Outdoor Recreation Industry Office director Nathan Fey said in a prepared statement. “Outdoor recreation participation soared, especially close-to-home recreation. This increase highlighted two things: The importance of better access to the outdoors for everyone and the impact [that] increased use has on the state’s outdoor recreation assets.”

In an attempt to buoy the industry, Colorado has received a $9.7 million Economic Development Administration grant from the federal government, which will support international tourism marketing, economic planning, workforce development and training, as well as supporting/developing outdoor recreation infrastructure projects and mitigating the effects of the increased use, the Colorado Office of Economic Development and International Trade said. 

“It’s important as we increase accessibility and use of our outdoor assets that we also put the resources needed into protecting and maintaining them for future generations,” Fey said in a statement. “This EDA grant will help us to do that important work.”

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