According to the recent draft of the Guam Visitors Bureau’s tourism recovery plan, GVB identified that $60 million would be required to get Guam’s tourism back on track.
Vice Chairman of the GVB’s board of directors, Joaquin Cook, presented the draft to the board on Dec. 5.
The plan named four key challenges to the island's recovering tourism industry being rising costs, limited air service, increased competition, and product decline.
Cook said that these issues can be resolved through destination improvements, airline support, targeted marketing, and rebranding or repositioning.
Currently, GVB allocates $2.5 million towards destination maintenance and operations. Cook says that the funds shouldn’t be looked at as part of the $60 million budget, and that the board and GVB management should evaluate scope, rules, and funding between GVB, the Department of Parks and Recreation, and Department of Public Works.
Destination development costs are estimated to be at least $14 million to address immediate island-wide infrastructure improvements related to tourism. According to Cook, destination development projects are typically funded through hot bonds.
Moreover, improvements to the A.B. Won Pat International Airport, private sector incentives, and beautification projects were listed.
The board discussed issuing hot bonds to help fund several projects with priority being major upgrades throughout Tumon and the Matapang flood remediation project.
The $60 million total budget will be divided across 2025 and 2026 according to the plan with the first year budgeted at $36 million and the remaining $24 million in the second. The most costly items on the budget are airline incentives to increase visitor arrivals and the aforementioned product improvement; both totaling at $14 million each.
Furthermore, Cook said that the budget will be supplemental to GVB’s existing funding.
The board was supportive of the plan and now the next steps would be to source funding.
The board adjourned to Dec. 10 where members of the newly formed search committee for the new president and CEO of GVB met to discuss the details.
In the committee are P. Sonny Ada, Ho Eun, and Ken Yanagisawa who represent each of the appointed or elected board member seats.
According to Gerry S.A. Perez, acting president of GVB, said the open job announcement for the position was made 20 years ago and that the same elements from the announcement are still relevant today.
He also said that the position is at-will and serves at the pleasure of the board.
Yanagisawa said that talent should also be looked at from international prospects in the region. Ideally, he stated he wants somebody with strategic thinking in mind and have the ability to lead effectively.
After discussions, GVB management and administration will be working on updating the announcement with the specifications Yanagisawa added, creating a submission form for applicants, and sharing the job opportunity through various media channels which will be completed by the next board meeting in January.
The committee did not discuss the salary of the position, instead said that the position will be commensurate with experience.
The committee adjourned again to Dec. 16 to continue discussions on the matter. mbj
GVB board estimates $60 million for tourism recovery
GVB board estimates $60 million for tourism recovery
- Date Posted: Dec 11, 2024
- News: Guam
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GVB board estimates $60 million for tourism recovery