More than two decades after its opening, the R.I. Convention Center still routinely runs a deficit, even with the revenue that its parking facility and food services provide. Factor in the debt service – with $300 million still on the books – and we are talking about a significant payout every year for years to come from the state budget.
The issue is not whether the city needed a convention center when it was built. It clearly has allowed Providence to become a preferred destination for conventions and meetings. And that status has translated into a healthy hospitality and food-service industry in the city and the surrounding communities.
The R.I. Convention Center Authority, parent of the convention center as well as the Dunkin' Donuts Center and The VETS, points to a study that says the convention center has had a yearly economic impact of more than $100 million for the last 15 years.
There is no doubt that the region is better off with it than without it. What then to do? Given the state's continuing fiscal challenges, perhaps a little more urgency should enter the conversation when the yearly appropriation for the debt service is considered. Is the RICCA doing all it can to maximize revenue? Is the state's tourism campaign doing enough to drive events to the facility?
The state has promised that it will be more data driven when it comes to its marketing efforts. We expect that metrics for the convention center should be part of the information collected, with an eye toward improving operations and lightening the load on taxpayers. •