From Windfall to Woes: Caverns Closure Creates Ripple Effect for Carlsbad Businesses

By R. Gabriel Villalobos

The recent 35-day federal shutdown that shuttered Carlsbad Caverns National Park created a starkly different set of challenges for local businesses, serving as a case study in how a community adapts when its main economic engine suddenly goes quiet.

For some, the closure from early October until November 22 was an unexpected boon. For others, it was a severe financial blow, highlighting the precarious position of small businesses in the shadow of a national park.

At The Living Desert Zoo and Gardens State Park, the phone calls and visitors started trickling in almost immediately after the Caverns’ gates were locked.

“When people found out that the Caverns weren’t open, we had a lot of people come in for about the first two weeks,” said Sandra Cosand, a long-time volunteer with the Friends of the Living Desert Zoo. “It was a windfall for us.”

Cosand said the zoo saw a great increase in visitors, which also translated into more business in the gift shop. She noted that many of the new guests were disappointed travelers who had already made long-distance plans.

“Some of them said they already had reservations, so they decided, well, they may just as well come and, you know, so they came to visit with us,” Cosand said. “I felt bad for them. Some had traveled quite far, and you know it’s very disappointing.”

Just a few miles away, the Carlsbad Museum also found itself on the front lines of managing tourist disappointment. Dalton Emig, a museum attendant, said his front-desk role quickly morphed into that of a travel advisor.

“There were a couple of groups of people who were disappointed that the Caverns were closed who came here because we’re one of the few places that show up when you Google search things to do in town,” Emig said. “I would do my best to show them things they could do, like going to Sitting Bull Falls.”

Emig routinely directed visitors toward other natural wonders, such as El Capitan in the Guadalupe Mountains or drives to Cloudcroft or Roswell.

But while the zoo and museum saw an uptick, the story was dramatically different for the local hospitality industry. Dale Balzano, owner of the Trinity Hotel, described October as the worst he has experienced since opening his doors in 2008.

“We had the worst October we’ve had since we’ve been in business,” Balzano said. “October is always a very good month for us.”

Balzano explained that after the hot air balloon festival in Albuquerque, many people come through Carlsbad and include a day at the Caverns as part of their vacation. “Our rooms dropped probably 70% for the month of October. It really did hurt us.”

Balzano said the hotel was hit with a “ton of cancellations” from guests who called to say, “The Caverns are closed; we’re not coming.”

He expressed frustration with the political stalemate that led to the shutdown, noting that other states, like Utah, had stepped in to fund park operations.

“I don’t think the politicians realize how many small businesses across the country they hurt,” Balzano said. “Here in New Mexico, the state didn’t step forward to try to fill in the gaps like Utah did for their parks.”

The closure forced a redirection of the tourist economy. Balzano, like Emig, found himself sending disheartened visitors to the few attractions that remained open.

He also noted that while popular hiking areas like McKittrick Canyon were closed, many visitors still found places to hike in the Guadalupes, and trips to Sitting Bull Falls were a common consolation prize. “They really enjoyed it,” he said. “They said how beautiful it was.”

Despite the park’s reopening on November 22, which brought a better weekend for the Trinity Hotel, Balzano said business is still off compared to last year. The episode served as a stark reminder of the park’s vital role in the local ecosystem.

For Cosand at the zoo, the focus is now back on normal operations and upcoming events, like a 21st birthday party for a bear named Maggie in January. For Balzano at the hotel, the memory of a devastating October lingers.

When asked if Maggie the bear would be enjoying her first legal beer for her 21st birthday party, Cosand remarked that she gets her thrills from treats prepared by zookeepers made from fruit, nuts, and peanut butter.