Pivoting to outdoor recreation

Outdoor recreation is big business. That goes double for Colorado, where the industry generated an estimated $14 billion in 2022.

There’s an alluring stability to the broader outdoor recreation economy that encompasses everything from tourism to outfitters to manufacturers. Some industries are subject to volatility in commodity markets or the whims of a faraway financial hub. Not outdoor rec.

In Colorado, the industry is rooted in places just beyond the backyards of communities across the state, and they’re leaning into it in a big way.

Craig

In northwestern Colorado, Craig is in the midst of an economic transition. The longtime linchpin employer, the coal-fired Craig Station power plant, is in the process of decommissioning, with operations set to entirely cease in 2028.

“We’re estimating anywhere from 400 to 600 direct and indirect jobs that will be lost once the final closures occur,” says Shannon Scott, the City of Craig’s economic development manager. “The jobs that we need to replace at the plant and the mine, they have to be equitable to what those folks are making because they make anywhere from $80,000 to $150,000 a year.”

The natural assets, the Yampa River and the Elkhead Mountains, are enviable, but access can be an issue. “We’re actually targeting outdoor manufacturing companies and outdoor recreation companies to relocate to the area, and we have a few that are already here, and we just want to assist them in expanding,” Scott says.

Josh Veenstra quit his job at the plant and started Good Vibes River Gear in Craig in 2017. Veenstra and his wife, Maegan, now sew bags and other gear they sell out of a downtown storefront. “We realized that the Yampa River is probably one of the most sought-after rivers. Craig just was missing that little niche,” he says. “There wasn’t anything like that in the whole valley at the time.”

It’s paying off for Good Vibes. “Every year, we’ve doubled. This year is beyond that. I can’t believe how much it’s taken off,” Veenstra says. He sees potential for other outdoor manufacturers in Craig, noting that his rent is less than one-fifth what it would be in Steamboat Springs, about 40 miles upriver.

Securing funding for river access and trail projects “has been really slow,” Veenstra adds. More funding would mean easier access to public lands, which is one of Steamboat’s big selling points. “Their trails are right there, their access is right there, and everything is right there,” Veenstra says. “Our asset is solitude, but how do we market solitude?”