Yarmouth tourism operators 'hanging on'

Hotel and tourism operators in southwest Nova Scotia are starting the New Year with deep concerns because the ferry service between Yarmouth and New England won't resume in 2011.

The Yarmouth Area Industrial Commission revealed last week that it's aiming to get the ferry back up and running in 2012.

It said none of the proposals from potential operators for 2011 is financially viable, and that resuming the service prematurely would put the ferry's long-term viability in jeopardy.

Mary Ellen Davies speaks for the owners of Rodd Hotels & Resorts, an Atlantic Canada chain with two hotels in Yarmouth. She said their hotel business has been cut in half since the provincial government ended the subsidy for the ferry last year.

Davies calls the delay in bringing about a replacement ferry a bad omen.

"It was an entry point to Atlantic Canada, and this is not just a Nova Scotia issue, or just a Yarmouth issue, although that's where the hurt is the most," said Davies.

Some of that pain is being felt by former staff and current employees who have worked fewer hours and made less money in tips.

The Liberal MLA for Yarmouth, Zach Churchill, said it will be devastating for the local economy.   

"It's very tough news, I mean there are a lot of tourism operators and business owners who were hanging on in the hopes we would have that ferry this season," said Churchill.

Managers of the Rodd Hotels & Resorts are meeting Tuesday to talk about what to do next.