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Ontonagon business loses 99% of winter revenue due to lack of snow fall

by Scott Minshall
March 12, 2024
A A

ONTONAGON, Mich. (WZMQ) – The mild winter has cost Upper Peninsula businesses millions in tourism this winter, one Ontonagon Adventure Center says it has lost 99%  of business this season.

Steve Hamilton quit his job and purchased Hamilton’s North Coast Adventures in 2021 he bet on himself, a bet that this year due to the lack of snowfall has not paid off.

“We are over $100,000 down just for the first couple months of this year,” commented Hamilton.

The extent of the winter drought can be seen easily by the numbers. 

“We really had 7 or 8 days that we were able to rent snowmobiles, out of 120 days of winter, that being 60% of our revenue has been detrimental to our program here,” remarked Hamilton

Hamilton refers to his business as first tier in the Ontonagon community. The tourism he draws trickles down into the local economy, and when he doesn’t draw the ripple effect is widespread.

“They rent a snowmobile, then they need a place to stay, they need groceries, and they will be eating out, they visit places along the trail,” Hamilton said.

In a typical year the snowmobiles leased by hamilton would have been driven over 4,000 miles. This year most of the 30 machines he leases from polaris have less than 100 miles

“Every other business hangs their hat on this time of the year being very profitable and very busy, which they can apply towards the other parts of the year,” added Hamilton.

Residents are worried about the effects this will have on the community as a whole. A member of the Gogebic County Snowmobile club, who helps to maintain the trails, is worried some small businesses that he interacts with daily will not survive.

“I think there’ll be a lot of people who won’t be around in business or people who come up here will have found other places to use,” said Greg Heideman.

Hamilton says the lake gogebic chamber of commerce applied for relief funding from the state in early January. With the economic injury disaster funding just becoming available this month, he’s grateful for the help. but concerned the move may have come too late.

“It has been remarkably hard to keep the lights on, I’m grateful that this money is here but in the future I hope we can respond more timely to these natural disasters,” Hamilton said.

Hamilton says his business is looking forward to the summer, where he can hopefully make up for some of the lost revenue this winter.

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