Balloon Fiesta is weeks away and, usually, hotels would be booked. But the delta variant is suspected of causing hotel room bookings to dip.The Albuquerque International Balloon Fiesta is an event that will blow you away. Fiesta generated $187 million in revenue for New Mexico in 2019."You feel the impact across the entire state," said Karl Holme, of the DoubleTree by Hilton Hotel Albuquerque.Last year's cancellations due to COVID-19 deflated the economy. Even with Fiesta returning this year, the virus still has a grip on the hospitality sector."There's been cancellations with the uptick of the variant that's out here," said Yancy Sturgeon, of Hotel Parq Central. "Some people that booked rooms have canceled."Sturgeon said, usually, they're booked during Fiesta. They've recently experienced 22 room cancellations because of COVID-19's surge."In the past, you had people that not only book for Balloon Fiesta, but they rebook immediately afterwards for the next year," Holme said.Holme said some have canceled their stay because of rising COVID-19 cases. But they've been fortunate to get some new bookings recently.Many other hotels across the state aren't seeing as many bookings as they want, but some hotel workers said it's better than no Fiesta at all."Overall, I think we're all happy that it's back. And it's not like last year, we're going to have some business this year," Sturgeon said.