Rhode Island’s hospitality industry is reeling from the fallout of the Washington Bridge closure, according to an economic impact report conducted by Salve Regina University. The December 2023 shutdown of the critical east-west thoroughfare is projected to cost the state a staggering $114 million in hospitality-related revenue over the first year, with Providence County taking the hardest hit.
The study, conducted by students in the university’s ECN240 Community-Based Economic Impact course under senior lecturer Sam Sacco, paints a grim picture for the state’s restaurants, hotels, and entertainment venues. Partnering with the Rhode Island Hospitality Association (RIHA), the team’s findings reveal that Providence County alone accounts for $56.7 million of the total losses. Neighboring counties, including Kent, Newport, and Washington, have also suffered steep declines, with combined losses exceeding $63 million.
“This study provides critical insight into the economic toll of the Washington Bridge closure on our industry, but also highlights opportunities for recovery,” said Farouk Rajab, president and CEO of RIHA. “The data underscores the urgency of continued legislative support to mitigate long-term challenges. Restaurants, hotels and other small businesses are the backbone of Rhode Island’s economy, and we need collaborative efforts with state lawmakers, as well as the community’s help to sustain them.”
The bridge was abruptly closed on December 11, 2023, after structural failures were deemed too severe for continued use. The ripple effects have been swift, with the report showing an estimated 1,342 jobs lost in the hospitality industry during the first 12 months. Providence County bore the brunt with 668 positions eliminated, while Kent and Washington Counties also suffered significant losses.
But it’s not all doom and gloom. Bristol County has emerged as an unexpected winner, experiencing a 2.3% bump in hospitality revenue—a $6.6 million gain—suggesting a shift in consumer travel patterns to areas less impacted by the closure.
Long-Term Fallout
The study doesn’t stop at year one. Projections show the state’s hospitality industry could face a total economic impact of $748 million by 2029 if the bridge remains closed. Cities like Providence, Warwick, and South Kingstown are expected to endure the most substantial losses, reflecting the bridge’s critical role in supporting local economies and transportation connectivity.
To assess the damage, Salve’s team used the U.S. Bureau of Economic Analysis’s RIMS II model to calculate direct, indirect, and induced impacts. Their analysis, supported by data from the Rhode Island Department of Revenue, also modeled scenarios with and without the closure, providing a comprehensive look at the financial blow.
“This study provides valuable data points that help the state better understand the effect of the Washington Bridge closure,” said Sacco. “This kind of impactful contribution is an example of Salve students putting our mission in motion; rigorous academics applied to serving the community.”
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