Federal Warm Winter Letter - Final

April 3, 2024
The Honorable Mike Johnson The Honorable Hakeem Jeffries

Speaker of the House Minority Leader
United States House of Representatives United States House of Representatives
U.S. Capitol Building 2433 Rayburn House Of�ice Building
Washington, D.C. 20510 Washington, D.C. 20510
The Honorable Chuck Schumer The Honorable Mitch McConnell

Majority Leader Minority Leader
United States Senate United States Senate
322 Hart Senate Of�ice Building 317 Russell Senate Of�ice Building
Washington, D.C. 20510 Washington, D.C. 20510
Administrator Isabel Casillas Guzman Administrator Deanne Criswell

U.S. Small Business Administration Federal Emergency Management Agency
409 3rd St., SW 500 C St., SW
Washington, DC 20416 Washington, DC 20024
Dear Speaker Johnson, Majority Leader Schumer, Minority Leader Jeffries, Minority
Leader McConnell, Administrator Guzman, and Administrator Criswell,
As Michigan continues to wrestle with the lasting impact of record high winter
temperatures, I write to you today seeking your cooperation and leadership on federal
solutions for this unique and likely increasing problem affecting winter tourism industries
across the Midwest.
There is no denying it – we are facing an unprecedented problem resulting in a devastating
impact on our businesses and regional economies. In Michigan, the UP200, an annual dog
sled race in our state’s Upper Peninsula, was cancelled for the second year in a row because
of warm weather, while this year, the CopperDog 150 in the Keweenaw Peninsula and the
Tahquamenon Country Sled Dog Race in Newberry were both also cancelled due to
weather. Just 16% of the Great Lakes froze over this winter, compared to 53%
normally. Marquette has seen 72.6 inches of snow this season, compared to 127 inches on
average. The warm winter impact has also hit statewide, with Detroit reaching 73 degrees
on February 27, the hottest February day in recorded history since 1874, and snowfall in
Grand Rapids falling more than three feet—36 inches—below the seasonal average.
1
For our many businesses and regional economies, this exceptionally warm weather has
dealt a devastating blow. The Michigan Snowsports Industries Association (MSIA) has
shared that some ski areas were not able to make snow before Christmas at all, and those
that did lost all or most of their base prior to the Christmas/New Year holiday week, when
the average ski area draws in approximately 22% of their winter revenue. They also shared
that normal revenue at Michigan’s 30 ski areas over the Christmas/New Year holiday week
totals between $39 and $40 million, but revenue this holiday week was only $12 million.
MSIA also estimates that the additional losses are over $13.7 million and will increase,
while in total, they estimate Michigan ski areas have lost over $41 million.
Michigan is not alone. In Wisconsin, “the National Weather Service reports that snowfall
statewide has been 20 to 30 inches below normal this winter. In the Lake Superior
snowbelt, generally across Ashland, Iron, and Vilas counties, snowfall was 40 to 70 inches
below normal.” In Minnesota, from December to February, the state “experienced
the warmest meteorological winter on record. Through February 29th, there has only been
14.3” of snow in the Twin Cities, the second-lowest season total on record. In Duluth, only
15.7” snow has fallen, with an average snow depth of 1.8” – both among the �ive lowest
measures on record. This lack of precipitation has exacerbated an ongoing drought.”
I appreciate the cooperation of the Small Business Administration (SBA) in identifying

existing continuing SBA Drought Declarations across Michigan, Wisconsin, and Minnesota,
through which small businesses affected by a “low-snow” winter can apply for relief in the
form of Economic Injury Disaster Loans (EIDLs). I also appreciate SBA’s approval of my
request to declare a drought in Ontonagon County, which opened up a path for relief in
Houghton County. In Michigan, we are working closely with the Michigan Economic
Development Corporation and SBA �ield of�ices to assist eligible businesses in applying for
and accessing those resources, and it is clear that many will be helped through that process.
I am pleased that the drought declarations are providing relief in 43 counties across
Michigan, as well as scores of counties across Minnesota and Wisconsin.
However, this solution is not designed for the problem at hand, and the truth is we do not
have a reliable or well-tailored tool for federal relief for businesses devastated by
unseasonably warm winters. As governor, I do not have the ability to draw down any
federal funds by declaring a “warm winter” or “no snow” disaster, as I do for declaring other
disasters like storms or droughts. And where I do have the ability to declare for droughts, I
am limited to only the severest levels of drought, which has left many counties in Michigan
uncovered by any sort of federal SBA relief this winter, although they are feeling the impact
just as much as their neighboring counties.
For example, in Chippewa County, Best Maintenance and Lawn Care employs 15-20
workers for winter maintenance jobs each year, and reports losses from this low-snow
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winter upwards of hundreds of thousands of dollars. Further south in the county in
Pickford, Dan’s Resort offers ice �ishing, snowmobiling, and cabin rentals, and had to cancel
both the Munuscong Minute Ice Fishing Derby and the Perch Princess Ice Fishing Derby—a
women-only competition in support of women in the outdoors. Meanwhile, businesses in
neighboring Mackinac and Luce counties can access relief under the drought declarations
there.
In Baraga County, Ruth Lake Resort owners David Swanson and Dax Richer explain that as
new small business owners, they have suffered drastic �inancial impacts due to the winter
drought, with their snowmobiling-reliant resort hit hard when all out-of-town
snowmobilers canceled their bookings due to the winter drought. Also in Baraga, the L’Anse
Motel experienced a 60% downturn in sales compared to last year and reports that revenue
is not enough to cover bills, all while neighboring counties facing the same weather
patterns fall under a drought designation and can access EIDLs.
In Keweenaw County, Visit Keweenaw reports that from December 1, 2023 through
February 29, 2024 demand for overnight stays was down year over year by an estimated
17%, and lodging revenue from overnight sales is estimated to be down by 19%,
representing a loss of $1.4 million in direct visitor spending. For example, Glacia Tavern in
Mohawk is a small family-owned business that suffered a loss of $30,000 and 1,400
customers over three months. Nearby Mt. Bohemia typically welcomes 35,000 skier visits
and is open approximately 100 days each winter, relying solely on natural snow. This year,
they welcomed only 9,800 skiers and were only open for skiing 47 days due to a lack of
snow, decreasing revenue by over 60%. Meanwhile, other Upper Peninsula counties facing
the same low-snow winter fall under drought declarations and can access EIDLs.
In Michigan’s lower peninsula, businesses in counties as far south as Saginaw qualify for
relief under drought declarations while others do not. For example, Timber Ridge in Van
Buren County receives around 100 inches of snow in a typical season, but this past winter
the count was just 35 inches. Add the record warm temperatures and Timber Ridge was
not able to open their slopes until mid-January, missing the critical peak Christmas/New
Year holiday weeks, when they usually make half their gross revenue. Unfortunately, they
were only open 28 days this winter, when they normally count on 90 to 100 days. Right
now, they are in the process of selling off assets to make it through the summer.
Meanwhile, Swiss Valley in Cass County was only able to operate 49 days this winter, and
therefore counted roughly 27,000 skiers, as opposed to a typical year when they would
welcome 50,000. Similarly in Oakland County, Mt. Holly experienced a revenue drop of
29%. They were open 79 days as opposed to the typical 100, and skier visits were down
almost 30%.
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Furthermore, while some businesses—like ski resorts and nearby restaurants and shops—
may be able to point to a lack of snow as the reason their business is suffering, others
affected by an unseasonably warm winter—like ice �ishing guides, businesses tied to ice
�ishing festivals, and shops who sell cold weather gear—may struggle to tie their warm
weather impacts to the lack of precipitation, even in counties that are covered by drought
declarations.
While helpful, the drought declaration path is not a reliable or accurate measure for the
problems these communities are facing. And with the impacts of climate change only
suggesting that this problem could worsen, I am seeking your help now in creating lasting
solutions for the decades ahead.
Therefore, I write to you—our nation’s federal legislators and administrators—and request
that you develop regulatory or legislative solutions that can ensure businesses impacted by
an exceptionally “warm winter” can seek appropriate federal relief. We would be happy to
connect you with those businesses and local governments who have been unable to access
relief this year, and we stand by ready to support a path forward that could help us all
unlock reliable, lasting solutions.
Sincerely,
Gretchen Whitmer
Governor

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April 3, 2024

The Honorable Mike Johnson The Honorable Hakeem Jeffries

The Honorable Chuck Schumer The Honorable Mitch McConnell

Administrator Isabel Casillas Guzman Administrator Deanne Criswell

I appreciate the cooperation of the Small Business Administration (SBA) in identifying

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