Businesses relying on the snow season say they could lose close to half a million dollars if the season doesn't go ahead.
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After the alpine communities lost summer trade due to the bushfire crisis the decision by Vail Resorts to cease lift operations on the mountain until at least August 19 has been labelled a "monumental blow" to already struggling businesses.
For Falls Creek Milch Cafe Bar owner Jaye Fatchen for the season to be pulled from under them after just four days has "decimated" their winter.
"The $64,000 question, which is more like a $500,000 question for us, is will the resort open on August 19 as it is being discussed by the lift company," she told The Border Mail.
"It is a gamble, and how do you make a decision based on the unforeseeable future.
"We have a responsibility to our 11 staff, in regards to the borders are shut, and some staff who can't necessarily even get home if they wanted to go home.
"We have backpackers who work for us who can't cross over borders to get farm work because there is no guarantee they can one, afford the quarantine and two, if there is going to be work for them afterwards.
"We have been put into a really tough situation.
"If we can still keep a reasonable trade then we can hopefully save some of their jobs."
Vail Resorts, who own both Falls Creek and Mount Hotham operations, made the announcement on Thursday, in the first week of the already delayed 2020 snow season.
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"However, we are focused first and foremost on health and safety, following local health guidelines and doing our part to support efforts across Victoria to address the recent rise in coronavirus cases.
"We recognise this is incredibly disappointing to our guests and pass holders, including those who have made reservations at Hotham and Falls Creek this season.
"We thank them for their patience and understanding as we continue to navigate this incredibly challenging time."
Ms Fatchen said they are hoping those who aren't from Melbourne, the Mitchell Shire or NSW can still come and support them during this time.
"The resort is still open, people just need to follow the guidelines, the lifts just aren't operating," she said.
"We have got things we can sell online, we would love people to still come up and support us but to book ahead given the limited capacity.
"The problem, which I don't think people realise is that the cost to opening a business up in Falls Creek for the winter, the initial outlay which includes your staff accommodation, your body corporates, your stock, your electricity, to get it all up and running, for us that is over $100,000 before we even turn on a light.
"To be hit with a blow straight after essentially the summer trade was next to nothing, we got shut down the second of January, we have had one busy weekend, which was the Peaks Challenge.
"People were just so happy up here to be able to have a dining experience, to be outdoors and have a ski and then this came and took it from underneath us.
"Walking around Falls Creek on Thursday night, the fog had come in, and it was like walking around at a funeral."
In the small community of Mount Beauty, the impact is wide-spread.
Skiplus Mt Beauty manager Elissa Seymour, said their family-run business hasn't seen a season like this since they opened 17 years ago.
"We are all pretty devastated," she said.
"All our staff are gutted, we have had to put them off for now as there is just nothing for them to do.
"We normally run four staff and I have three juniors as well so seven who are impacted.
"I am going to try and keep the doors open as long as I can I guess and see what happens.
"It will have a huge impact on our shop - we are mainly ski and board hire.
"We just have to look at different avenues to keep the doors open I guess."
Ms Seymour said she can't see the snow season going ahead from August 19.
"I can't say we were surprised with the announcement on Thursday," she said.
"I would love to say it is going to happen on August 19 but I can't see it going ahead.
"I am pretty doubtful."
Like most businesses impacted by coronavirus lockdowns, Skiplus had to look at different avenues to generate income.
"We got our online shop up and running during the first lockdown," Ms Seymour said.
"And hopefully that can still take off this time around and we can make some sales through that.
"It is horrible.
"I feel for everyone running a business, all the staff that have to go back home."
Mount Hotham Alpine Resort Management Board released a statement on Friday and said they are still open for business.
"We are devastated for our local businesses, their staff, and all of our guests that this action has been necessary to respond to the spread of coronavirus in Victoria.
"While the lifts may not be running, there are still winter snowsports activities that can continue to run at Hotham.
"As a result, we have made the decision to keep the resort operating for guests from areas that are not in lockdown.
"This means that winter activities including cross-country skiing, snowshoeing, tobogganing and snowplay will still be offered at Hotham, and we encourage visitors who are permitted to travel to consider trying these as alternative ways to enjoy our beautiful winter environment."
Surrounding communities, including Mount Beauty, have also been hit hard by the closure.
Both Falls Creek and Hotham villages remain open.
Vail Resorts were approached for comment but didn't respond to specific questions put to them by The Border Mail.