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As an industry, tourism is the single largest small business employer in the United States. Keeping this in mind, Democrats of the House Committee on Small Business Subcommittee on Economic Growth, Tax, and Capital Access met today to advocate for federal policies that invest in small businesses in the tourism sector. They argued that under President Trump, a sweeping travel ban, cuts to national park land and a failure to invest in infrastructure are all hurting America’s small business tourism economy.

“Small companies in the tourism sector are powerful job creators, providing livelihoods and pathways out of poverty for millions, across genders, ages and skill levels,” said Subcommittee Ranking Member Rep. Dwight Evans (D-PA). “However, in many ways, I find this President’s rhetoric and actions troubling as he has discouraged visitors from our shores and failed to combat a number of growing threats to the tourism industry—including climate change.”

Hotels, restaurants and recreational services each provide ample opportunity for small businesses to thrive. In 2017, the tourism sector generated $2.4 trillion in economic output and supported 15.6 million American jobs across a plethora of industries. Moreover, tourism has almost twice as many women employers as other sectors and employs young people at roughly twice the rate of other industries.

However, Democrats pointed to the consequences of the Trump administration’s crack down on immigration, repeal of climate regulations and failure to pass infrastructure reform as dangerous barriers to small business success in the tourism industry.

In the first weeks of his Administration, President Trump signed an executive order to ban travel to the United States from seven majority-Muslim countries, inciting fear and decreasing visitors. Furthermore, although Mexico represents a quarter of all international travelers that visit the United States, in 2017, the first year of Trump’s presidency, arrivals from Mexico decreased by 6.1%.

“The travel and tourism sector is one place where we can invest and get significant returns for entrepreneurs and for the United States economy,” said Evans. “But one thing that is not helping is rhetoric from the administration that appears to be xenophobic. If America does not make the effort to appear open for all people to visit, people will stop visiting. And if that happens, the U.S. economy loses out.”

In addition to promoting tourism from visitors overseas, federal policies to preserve natural lands help to keep local small businesses open and healthy. However, in December of 2017, President Trump reduced the size of two national monuments in Utah by roughly two million acres, displacing local businesses in the process.

“Each year, millions of national park goers frequent local businesses, helping to create jobs and sustain entire communities,” said Evans. “If the President wants to get serious about helping small businesses in the tourism sector, he ought to address the decades long underfunding of the national park system and fix the backlog of repairs, not gut existing parkland.”

As an industry, tourism stands with a lot to lose at the helm of climate change, as many destinations rest on coastal areas threatened by rising sea levels. A rise in natural disasters and sea level will have consequences for local tourism services, fishing and food providers as well as the economy at large. However, President Trump, an avid climate change denier has taken actions such as to withdraw the U.S. from the Paris Accord, which threaten America’s ability to combat this growing risk. Along the same lines, improving infrastructure is crucial for small businesses in the tourism sector. However, President Trump’s plan fails to mention the phrase “small business,” suggesting that he has not focused on the unique needs of small firms.

“The gravity of the tourism industry on the small business economy should remind us all that, from the federal level, we must enact smart policies that will fuel local industries and support entrepreneurs,” said Evans. “Democrats remain committed to this goal and will continue to press for sustained investments in climate solutions, infrastructure and immigration reform.”

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