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A bipartisan plan could unlock disaster loans for Michigan firms impacted by mild winters and low snowfall.
Michigan Small Businesses Battle Fallout from Mild Winters
Michigan’s winter economy, reliant on snow tourism, has taken a hit in recent years. Now, help may be on the way. U.S. Senator Gary Peters (D-MI) helped lead bipartisan legislation to allow small businesses affected by unseasonably warm winters and low snowfall to qualify for federal disaster loans.
The Winter Recreation Small Business Recovery Act would expand the Small Business Administration’s (SBA) Economic Injury Disaster Loan (EIDL) program, which currently only aids businesses suffering from hurricanes, floods, or fires.
The bill responds directly to Michigan’s back-to-back warm winters that have devastated seasonal industries from ski resorts to snowmobiling events, threatening thousands of jobs across the state.
Bipartisan Push to Expand Disaster Relief for Michigan Winters
Senators Tammy Baldwin (D-WI), Susan Collins (R-ME), Tina Smith (D-MN), and Amy Klobuchar (D-MN) joined Peters in crafting the legislation. Together, they are advocating that extreme weather — even when it’s a lack of snow — should qualify as a disaster for federal aid purposes.
“Mild winters can be devastating for businesses and communities across Michigan that depend on winter tourism and recreation,” Peters said. His comments come as Michigan’s winter season has seen record high temperatures and dramatically lower snowfall totals.
Impact on Michigan’s Outdoor Economy Already Severe
The stakes are high. According to the Michigan Snowsports Industries Association, 30 ski areas across Michigan reported a combined $41 million revenue loss during the 2024 season. More than 3,400 employees in ski operations were laid off, further rippling through local economies.
Events like the UP200 Sled Dog Race, a cornerstone of Upper Peninsula tourism, were canceled two consecutive years due to low snow levels. Race organizers estimate a $2 million local economic hit per canceled year.
Michigan Leaders Applaud Effort to Protect Seasonal Jobs
Business and tourism leaders from the Upper Peninsula and Northern Michigan praised the legislation.
“Ski areas are not just businesses—they’re community hubs, job creators, and engines of winter tourism,” said Mike Panich, Executive Director of the Michigan Snowsports Industries Association.
Susan Estler, CEO of Travel Marquette, noted that mild winters “impact local businesses, particularly those in the tourism sector.” She cited conversations with small business owners struggling to recover from financial shortfalls caused by unpredictable winters.
New Weather Patterns Spur Broader Adaptation Efforts
The bill also directs the Government Accountability Office (GAO) to study how winter-reliant businesses can adapt to changing weather. Weather scientists have confirmed winter is the fastest-warming season in the U.S., with fewer days each year remaining below freezing.
By officially recognizing “low snowfall” as a disaster condition, the legislation seeks to position Michigan small businesses for greater stability even as climate trends shift.
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