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Super Bowl economic impact was about what we expected

Not too bad.

The receipts are in, and February’s Super Bowl LI appears to have been a substantial boon for Houston — albeit with slightly less spending than expected.

Gross spending during the nine days of Super Bowl programming, minus the amount of usual tourism displaced by the event, came to $338 million, according to a consultant retained by the Host Committee. That’s a bit off the $372 million originally projected by the same firm, Pennsylvania-based Rockport Analytics.

The discrepancy occurred because the costs of goods and services were lower than expected, even though the number of out-of-town visitors was higher than anticipated, at 150,000, according to Rockport Analytics. In particular, visitors spent about half of what was expected on rental cars because of the availability of car-sharing service Uber and special Metro routes.

Host Committee Chairman Ric Campo, the CEO of apartment developer Camden Properties, said that should still be counted as a win for Houston, since it allowed more people to come to the party.

“One of the things that the Host Committee really worked hard on was affordability,” Campo said. “We didn’t want you to have to go to Discovery Green and spend $100 to feed your family.”

The total impact includes $228 million spent on wages and $39 million spent on state and local taxes. Although that number was about $6 million lower than projected, it was more than enough to pay back the state for the $25.4 million the state advanced the Host Committee, with $15 million in proceeds.

[…]

In addition to the financial impact, officials played up the the game’s halo effect for the city’s image, and the benefit of catching the interest of potential customers. Houston First President Mike Waterman said several of the 16 convention organizers he brought down to see the event have committed to bringing conventions to the city.

“We weekly get customers coming to Houston and saying they saw us shine during the Super Bowl, and now they’re interested in booking a meeting here,” Waterman said.

Let’s hope Greg Abbott and Dan Patrick don’t ruin that by forcing a bathroom bill down our throats. The one economic impact estimate I saw before the Super Bowl pegged the haul at $350 million, so it was pretty darned close. I’m glad all these people came to visit, I’m glad they had a good time (and spent some money), and given that we’re preparing a bid for the 2024 Super Bowl, I hope they’ll want to come back. Assuming our leadership doesn’t take the good impression they went away with and turn it into trash.

Another study of bathrooms and business

Short answer: Bathroom bills are bad.

Legislation viewed by many as discriminatory toward LGBT Texans — including proposals to regulate which bathrooms transgender individuals may use — could cost the state $3.3 billion in annual tourism dollars and more than 35,600 full-time jobs associated with leisure travel and conventions, according to a study by the Waco-based Perryman Group. The study was commissioned by Visit San Antonio and the San Antonio Area Tourism Council.

“In other words, what we have been saying all along is absolutely undeniable,” Casandra Matej, president & CEO of Visit San Antonio, said in a statement. “These numbers tell us there will be a significant — and longstanding — adverse impact on San Antonio and the state. We urge our legislators to consider these effects in making their decisions.”

[…]

While it’s “impossible to know with certainty the magnitude of the net effects of the proposed bathroom access policy on travel and tourism in Texas,” the report estimates that the initial impact on business activity could cost the San Antonio-New Braunfels area $411.8 million annually.

“If the Texas Legislature passes a law viewed as discriminatory against LGBT persons, it is likely that some meetings and events would be canceled and that some leisure travelers will also avoid the state,” the study says.

The findings — based on losses experienced in other states and data from a survey by a national travel association — will likely help boost opposition to the legislation from business and tourism groups. Those groups have already pointed to millions of dollars lost in North Carolina following the passage of that state’s original bathroom law, which was recently rewritten amid mounting public and economic backlash.

Tourism officials from the state’s five biggest cities oppose bathroom-related legislation and they have already warned lawmakers that they’ve heard from organizations that are reconsidering planned events in their cities — a move that could cost each of them several millions of dollars.

You can find a copy of the study here. The Rivard Report, which is based in San Antonio, adds some more details.

The local report takes into consideration the counter-flow of conventions and organizations that would prefer to host their event in a city or state that has a “bathroom bill,” Perryman said during a conference call with media Monday morning, which are nominal. “There is a perception that group is much larger than it is. Ninety-plus percent feel the other way [do not support such legislation] … it’s overwhelming.”

There are at least 11 groups that have or are considering backing out of events located in San Antonio already, said Matej, who estimates the impact of those cancellations alone would be around $40 million.

“In other words, what we have been saying all along is absolutely undeniable,” she said Monday during the event announcing the report in the lobby of the Henry B. Gonzalez Convention Center. “These numbers tell us there will be a significant and longstanding adverse impact on San Antonio and the state. We urge our legislators to consider these effects in making their decisions.”

[…]

“SB 6 is an idiotic piece of legislation,” said Hispanic Chamber President and CEO Ramiro Cavazos, adding that the laws would be unenforceable and create more problems for cities. “Now is not a time to be apathetic.”

San Antonio, South San Antonio and North San Antonio chamber representatives were also present during the press event on Monday.

City Council will be presenting a “united front” against both bills, said Councilwoman Rebecca Viagran (D3). “Now we have the data and numbers that back up what we’ve been saying.”

Even without the economic impact, Viagran said she would oppose the legislation.

“No matter what, this bill – whatever carve outs or amendments they put to it – it’s still not an inclusive bill,” said Viagran, who chairs the Council’s Public Safety Committee. “It’s still discriminatory.”

Yeah, that’s pretty much it. If you don’t believe that at this point, I don’t know what else there is to say. If there’\s one small bit of good news in all this, it’s that the business lobby isn’t buying it, and remains opposed to this nonsense.

Texas Association of Business President Chris Wallace insists this bill is just as concerning as SB 6.

“This is not just about jobs, this is about discrimination,” he told the Current. “We are hearing from our members that business are steadfastly opposed to any discrimination law.”

Wallace said HB 2899 would “tie the hands” of business owners wanting to recruit top talent, because few people want to work for a place where discrimination is welcome.

“A lot of people, especially Millennials, do not want to work for a business or live in a city or a state that is not welcoming to all people,” Wallace said.

[…]

On Tuesday, a day before a House committee holds a hearing for the new House bill, a group of bipartisan business members representing Apple, IBM, Facebook, Google, Microsoft — and a handful of other national and local businesses — held a press conference at the capitol to oppose Rep. Simmons’ new iteration of a bathroom bill.

“I’m a conservative and a proud Texan. I am especially proud of our state’s reputation for being a warm and welcoming place to live,” said Sally Larrabee, who works for Process Control Outlet, a decades-old Texas tech company. “We don’t need to give our state a reputation for being a place that has laws that discriminate against people.”

Sarah Meredith, an employee of Austin tech startup Umbel, said businesswomen of her generation aren’t okay with being political pawns. “We need a robust economy. What we do not need is to be used as props to promote discrimination for political gain,” Meredith said.

“The people who are promoting discriminatory bills are backed by radical groups that have literally called for driving LGBT people out of the state of Texas.”

Indeed. And I hope all of the Republicans in that bipartisan group of business people remembers that next year when it’s time to vote, for their legislators, their Lt. Governor, and their Governor.

Gov. Greg Abbott is signaling support for House legislation that some hope will serve as an alternative to the Senate’s “bathroom bill.”

In a statement Tuesday, Abbott called the House alternative developed by state Rep. Ron Simmons, R-Carrollton, a “thoughtful proposal.”

[…]

“I applaud the House and Senate for tackling an issue that is of growing concern to parents and communities across Texas who are now looking to the Legislature for solutions,” Abbott said in the statement. “Rep. Simmons is offering a thoughtful proposal to make sure our children maintain privacy in our school bathrooms and locker rooms.”

Don’t reward bad behavior next year, Texas Association of Business and others. You have one chance to get this right. Get it wrong, and everyone will know that your words mean nothing. RG Ratcliffe has more.

Houston’s tourism business

People like to spend money here. In particular, people from Mexico like to spend money here.

Mexicans are the largest group of international tourists who visit Houston – and recently, their numbers have grown. In 2015, Houston received 2.5 million international tourists, 1.8 million of whom came from Mexico.

In 2016, the convention and visitors bureau launched a campaign, “Hola Houston,” to promote the city as a cultural and culinary destination.

“We aimed to increase the number of Mexican tourists to 2 million by 2018,” said Jorge Franz, the bureau’s vice president for tourism, “but we are already well beyond that mark for the year 2016.”

Mexican tourists also spend the most money of all Houston’s visitors. In 2015, on an average two-night trip, each spent an average of $1,253.

Franz said that Mexican tourists love shopping in the Galleria and at the area’s suburban outlet stores.

Many also visit the less- crowded luxury boutiques and designer shops of the upscale River Oaks District shopping complex. Mexican shoppers “typically go after the luxury brands,” says Jennifer Rivera, marketing manager for the River Oaks District. “They are big shoppers of Dolce & Gabbana, big shoppers of Hermés, and huge shoppers of Canali and Dior.”

According to the story, some twenty thousand Mexican nationals were in Houston for the Super Bowl. The story doesn’t give a cumulative annual number for the revenue the city and the greater region derive from all this, but between hotel taxes, rental car taxes, sales taxes, and just a whole lot of stuff being bought, I think we can assume it’s a decent chunk of change. Now ask yourself, what would the effect be if all this activity were to be dramatically scaled back, due to some combination of further restrictions on immigration and the well-heeled travelers of Mexico deciding they just don’t need this crap, as some of them featured in the story say is the case for them? It would not be good. If that happens, you can thank Dear Leader Trump and the people like Dan Patrick (are you paying attention, Texas Association of Business?) who enable him.

Seeing the city the Segway way

A Segway tour of downtown Houston sounds like a great idea.

The tour, led by Apollo Scooters proprietor Matthew Creede, is the first to exploit the scenic secrets of the city’s heart. Similar tours are offered in San Antonio, Austin and Galveston, and a second Houston tour company, SegCity Segway Tours, offers a nature excursion at Burroughs Park.

[…]

Creede has offered variations on his downtown tour for more than a year, but only in the past few months, he said, has the formula been perfected. His company usually offers three bayou tours a day, and plans to begin a evening tour this week.

The 2½ -hour outings typically begin at the Wortham Center, then wend their way past such landmarks as the bayou-side statues of former President George H.W. Bush and his secretary of state, James Baker, the concrete cellist at Lyric Centre and the refurbished Market Square.

Occasionally the Segway tourists make their way to Allen’s Landing, Houston’s historic heart, or out along Buffalo Bayou to Eleanor Tinsley Park. All told, the tours cover about eight miles. The vehicles have a top speed of about 8 mph, although with the twists and turns of the bayou, they rarely travel that fast. The tours are designed with an eye for visuals, and stunning cityscapes demand frequent stops for photos

Creede, whose nonstop patter ranges from Sam Houston, to Emily Morgan, the so-called “yellow rose of Texas” to the ghosts at downtown bars and restaurants, said he learns as much on the tours as he teaches.

“Most Houstonians who go on the tour, after about 20 minutes they’ll confess, ‘I’ve lived here 30 years but never have seen any of this before,'” Creede said.

I know Segways are kind of dorky, but you can cover a lot more ground with them than you could on foot, and you’d be able to actually see more of it than you would in a bus. It hits a sweet spot, really. And I totally believe Creede gets that reaction from folks who live here. I’ve been to many of the places mentioned in the story, but not with someone who knows more than the limited amount about them that I do. But any city worth living in will have a lot of history that many people will have forgotten about or never knew. I’m glad there are folks out there doing what they can to help us remember.

Houston: A nice, cheap place to visit

According to CultureMap, our fair city is among the Top 10 Budget Travel Destinations for 2011. What do the folks at Budget Travel have to say about us?

Why in 2011: Houston is home to Texas’s biggest shopping mall at 2.2 million square feet; 56,000 acres of green space; and the third most Fortune 500 companies in the country, but when it comes to prices, the U.S.’s fourth-largest city is all about scaling down. Hotel rates have dropped 5 percent since 2009 and four-star rooms are going for $96 according to a recent Hotwire report. And while the city has 8,000 restaurants and a growing culinary scene—local restaurateurs Bryan Caswell and Monica Pope both snagged Best Chef nominations from the James Beard Foundation—good grub doesn’t require a splurge. The typical meal in Houston runs $32.50, more than $2.50 cheaper than the national average. Plus, the city is flexing its cultural muscle (the Houston Zoo just unveiled its African Forest exhibit), and encouraging tourists to explore to their heart’s content with the Houston CityPASS, which offers access to any combination of six attractions—Space Center Houston, Houston Aquarium and Museum of Fine Arts included—for $39 (a bargain when you consider that a similar pass goes for anywhere from $64 in San Francisco to $79 in New York).

Best time to go to Houston: The best odds for T-shirt weather and minimal rain are in late spring (April, May) and mid-autumn (October, November), but even in January, the coldest month, temperatures rarely dip below 63 degrees.

I presume they mean that the daytime high rarely dips below 63 in January; anyone who took their advice and traveled here last week was probably shivering miserably and cursing under their breath. Of course, if they’d flown in from anywhere north of here, it had to look pretty decent in comparison. Be that as it may, it’s always nice to get a little positive press.