Baltimore tourism leaders detail ongoing fallout from coronavirus pandemic

The nonprofit Visit Baltimore needed to slash its budget due to the coronavirus pandemic and some city business leaders say their hotels and restaurants continue to operate at a loss despite the lifting of certain restrictions.

The business leaders took part in a virtual forum Wednesday hosted by the Greater Baltimore Committee to discuss the state of the city’s restaurant, tourism and travel industries.

Visit Baltimore, the city’s nonprofit promotional organization, which is funded by city hotel tax receipts, was forced to cut 41% from its budget for fiscal year 2021, down to $7.8 million, said Al Hutchinson, the group’s president and CEO.

As a result of the budget cuts, the nonprofit has cut dozens of full-time and part-time jobs. And it doesn’t look like the situation will improve anytime soon, Hutchinson said.

With coronavirus cases surging across the country, out-of-state residents remain hesitant to return to Baltimore’s hotels and other lodging options, he said. Ongoing testing of the virus at the Baltimore Convention Center also makes city leaders reluctant to promote the city as a destination for events, Hutchinson said.

“The pandemic has really decimated the travel and tourism industry here in Baltimore City,” said Hutchinson, adding that data suggests the pandemic “is about 10 times worse” for such sectors compared to after the attacks of 9/11.

Much of the virtual forum echoed what is happening across the country as a result of the coronavirus pandemic. Businesses are struggling to keep their doors open and their workers employed as restrictions on crowd sizes limit their ability to generate revenue.

Numerous Baltimore hotels and restaurants have been forced to reduce their staffs, including the Renaissance Baltimore Harbor Place Hotel, which laid off 212 workers in March, the Sheraton Inner Harbor, which laid off 135 workers, and the Hard Rock Cafe Baltimore, which laid off 69, according to notices filed with the state.

John Racanelli, the CEO of the National Aquarium, said the Baltimore institution has lost about $12 million in revenue since officials first began putting restrictions on indoor gatherings and businesses in March.

He said establishments like the aquarium and The Maryland Zoo in Baltimore also face unique challenges because their operating costs remain high even when their doors are closed because the animals still need regular care.

While the aquarium has seen a steady line of visitors ever since it reopened to 25% occupancy earlier this month, he said it was “still operating at a loss.” Racanelli said the aquarium has furloughed 116 employees to help offset the loss in revenue and is “slowly, but steadily bringing them back.”

Juan Webster, general manager of the Sagamore Pendry Baltimore, said the Fells Point luxury hotel has been impacted by the cancellation or postponement of a number of weddings and other special events, which has led to “significantly reduced staffing levels.”

“We’ve really thrown our job titles out the window and everyone has been encouraged to roll up their sleeves,” Webster said.