Dean Runyan Executive Summary 2015

This report provides detailed statewide travel impact estimates for Washington from 1991
to 2014 and estimates of U.S. travel, derived primarily from the Bureau of Economic
Analysis Travel and Tourism Satellite Accounts. All estimates for 2014 are preliminary.

The Washington State travel industry expanded at an accelerating rate in 2014. Spending,
employment and tax revenue all grew at a greater rate 2014 than in the preceding year.
The primary caveat is the slowing of the growth in spending by foreign visitors in the state
due to the strength of the U.S. dollar relative to other currencies.

– Total Spending. Travel spending in Washington State increased by 5.0 percent in
current dollars and 4.3 percent in real (inflation-adjusted) dollars in 2014. Real
travel spending has increased for three consecutive years.

– Visitation. All indicators of visitation were favorable compared to 2013. The total
number of overnight person-trips (38.3 million) increased by 3.0 percent in 2014.
The preliminary estimate of visitor air travel on domestic flights to Washington (6.3
million) increased by 5.7 percent. Room demand increased by 4.0 percent (STR,

– Tax Receipts. Local and state tax receipts amounted to almost $1.7 billion in 2014,
a 6.3 percent increase over 2013. This is equivalent to $610 for every resident
household, or about 5 percent of state and local tax revenue. This includes $1.1
billion in tax revenues directly related to the purchases of visitors ($410 per
household). An additional $550 million in tax revenues is attributable to travel
industry employees and businesses ($200 per household). (See footnote below and
appendix page 15 for revisions in tax estimates in this report.)

– Employment. Travel-generated employment (163,400 in 2014p) increased 2.7
percent, the fourth consecutive year of employment growth. Since 2010,
employment has increased by 2.2 percent per year.

– International Travel. Spending by international visitors to Washington State was
$2.0 billion in 2014p. This represents 13 percent of all visitor spending in the state.
Spending by foreign residents increased at a lower rate than domestic spending in
2014, primarily due to the increase in the value of the U.S. dollar relative to other
currencies (see page 3).

– Average Spending. Overnight visitors to Washington State spent on average $107
per person-day and $325 per person-trip. Overnight visitors that stayed in hotels,
motels and B&Bs spent $210 per person-day and $518 per person-trip. These
overnight guests accounted for one-half of all visitor spending in the state.

There are two methodological revisions in this year’s report. First, “other travel” now inc
arrangement services and convention/trade show organizers. Second, local and state tax r
includes property taxes and sales tax revenues attributable to travel industry employees. S
page 15. These revisions were applied to all estimates for the years 1991 through 2014.