Thursday, June 26, 2025

Tourism has long been a key player in Oregon’s economy, contributing billions of dollars in revenue and creating thousands of jobs across the state. As the state looks toward economic recovery in the wake of financial setbacks, the potential of tourism to aid in that recovery is undeniable. However, concerns about the management of Travel Oregon, the state’s tourism promotion agency, are raising questions about accountability and effectiveness.

A recent series of articles from the Oregon Journalism Project have cast a spotlight on the issues surrounding Travel Oregon, revealing concerns about lack of oversight, inflated executive salaries, and questionable spending practices. With the state’s budget under strain, especially following news of a $500 million shortfall for the 2025-2027 budget cycle, it’s becoming clear that reform in the way Travel Oregon operates is not just important but necessary.

This article explores the ongoing concerns about Travel Oregon’s management, why oversight matters, and how tourism could still play a critical role in Oregon’s economic recovery if the agency is held accountable for its budget and operations.

Tourism has long been one of Oregon’s economic pillars, especially in regions like Central Oregon, where it significantly impacts local economies. Tourism and outdoor recreation helped transition the state’s economy from one heavily reliant on timber and extraction industries to one that celebrates its natural beauty. The state’s iconic landscapes, from its lush forests to dramatic coastlines and majestic mountains, continue to draw millions of visitors annually.

According to recent reports, tourism generates around $14 billion for Oregon each year and supports about 120,000 jobs. The economic boost from tourism is clear, with visitors spending money in local shops, restaurants, hotels, and on recreational activities. The state’s tourism industry also helps support businesses in agriculture, craft beverages, and other sectors that rely on foot traffic from tourists.

However, despite these impressive figures, the tourism sector and its promotional agency, Travel Oregon, have faced criticism for a lack of transparency and accountability, especially when it comes to how tourism dollars are spent. This lack of oversight raises important questions about whether the state is truly maximizing the return on its investment in tourism promotion.

Travel Oregon, the state agency responsible for promoting the state as a tourist destination, has come under fire for its management and financial practices. The agency’s executive director, who is retiring soon, has been receiving a salary far higher than those of leaders in other state departments, despite overseeing a relatively small team with a more limited budget. This discrepancy in pay raises red flags for many, especially when compared to state agencies that manage much larger budgets and more extensive programs, such as the Oregon Health Authority or the Oregon Department of Transportation.

What makes the situation more concerning is that Travel Oregon does not face the same level of scrutiny from the state legislature as other agencies. Travel Oregon is not required to seek competitive bids when it outsources major contracts, such as for advertising services. Without this competitive process, there is the potential for costs to spiral out of control, diminishing the value of taxpayer dollars allocated for tourism promotion.

A 2020 audit revealed that the agency’s executive director and staff were being compensated at levels that are considered excessive, especially when compared to industry norms and salaries for similar roles in other state agencies. This finding has raised serious questions about how the state’s tourism resources are being managed, and whether taxpayers are getting the most value from the funds directed to Travel Oregon.

The lack of accountability at Travel Oregon is particularly concerning given the scale of its budget. With an annual budget of approximately $45 million, Travel Oregon oversees a substantial amount of public funds. Yet, unlike other state agencies, it has operated with minimal oversight, leaving taxpayers and lawmakers with limited insight into how their money is being spent.

As the state’s economic recovery becomes a pressing priority, particularly with looming cuts to Medicaid funding and other public services, ensuring that every dollar is spent efficiently and effectively has never been more important. With tourism playing a central role in Oregon’s economic recovery, it is essential that Travel Oregon’s operations are transparent and accountable.

For example, greater oversight could help ensure that advertising dollars are being used effectively to attract visitors to Oregon, particularly in light of the state’s ongoing financial struggles. If the state is going to rely on tourism to support jobs and generate revenue, it’s critical that the resources allocated to promoting Oregon are being spent wisely, and that the agency is held accountable for its financial management.

Oregon’s tourism industry has the potential to be a key driver of economic recovery in the coming years, but that potential will only be realized if the state ensures that its tourism agency is operating efficiently and effectively. As Oregon faces financial challenges, the ability to attract more visitors and promote local tourism businesses will be crucial to the state’s economic future.

To do so, Travel Oregon must operate with the same level of transparency and accountability as other state agencies. This includes adhering to competitive bidding processes, justifying executive compensation, and ensuring that the agency’s budget is allocated in a way that maximizes its impact on the tourism sector. Greater oversight and fiscal responsibility could unlock the full potential of Oregon’s tourism industry, which in turn could contribute significantly to the state’s recovery efforts.

Given the state’s current fiscal outlook, with a $500 million shortfall in projected revenue, now is the time to reset and recalibrate how Oregon’s tourism dollars are being spent. As lawmakers prepare for the 2025-2027 budget cycle, they must recognize the critical role that Travel Oregon plays in both local and statewide economic recovery efforts.

The state’s tourism industry supports thousands of jobs, generates billions of dollars in revenue, and helps keep Oregon’s local economies strong. However, to continue this success, Travel Oregon must be subject to the same level of oversight and scrutiny as other state agencies, ensuring that its operations are aligned with the broader goals of fiscal responsibility and economic stability.

As Oregon looks ahead to its economic recovery, the role of tourism cannot be overstated. Travel Oregon’s efforts to promote the state’s natural beauty and attractions are vital, but so too is the need for greater oversight and accountability in how the agency operates. Ensuring that taxpayer dollars are used efficiently and effectively is essential for building trust and securing long-term success for the state’s tourism industry.

In the coming legislative sessions, it’s crucial that lawmakers take a closer look at how Travel Oregon operates and consider implementing more stringent oversight measures. By holding the agency accountable, Oregon can ensure that its tourism industry remains a cornerstone of economic recovery and that the state’s natural beauty continues to thrive as an economic asset for years to come.

In conclusion, tourism has a significant role to play in Oregon’s economic recovery, but that role can only be fully realized if Travel Oregon operates with transparency and accountability. By ensuring that the agency’s budget is managed effectively, lawmakers can ensure that tourism dollars are spent wisely and that the industry continues to provide economic benefits for the state.