Welcome to the 2026 Legislative Session. This weekly brief is a UTIA-member benefit. If there is interest in receiving this tracker please refer to becoming a member by clicking here. |
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| | | Welcome to the first day of the 2026 Legislative Session. Utah’s Legislative Session is 45 days starting today, January 20th, and concluding at midnight on Friday, March 6th.
Throughout the session, we encourage you to remain engaged with this Weekly Legislative Brief. This weekly UTIA & UHLA member report will hit your inbox on Monday mornings and provide a high-level narrative of key issues and their impact on our industry from the prior week’s legislative activities. Pending priorities and issues, there might be additional outreach made beyond this weekly brief.
A few steps to engage during the 2026 Session: As the session progresses we will also update our industry bill tracker. This along with other session resources can be found on our website.
Thank you to our Legislative Strategist, Des Barker, who supports the industry in tracking and advocating our industry-related legislative issues both during and outside of the session.
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| | 2026 Legislative Session Preview |
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| As in past years, we anticipate a very active 45-day legislative session, with more than 1,000 bills expected to be introduced. Many proposals are still being drafted or are currently protected while legislators refine language and evaluate policy impacts. Historically, more than half of introduced bills ultimately pass, often with amendments as the public policy process plays out.
The 2026 session begins under notable fiscal constraints. Federal action through the “Big Beautiful Bill” shifted significant costs to states, with Utah estimating a $300 million impact. This will consume nearly all projected growth in state revenues, leaving limited funding available for new programs and intensifying competition among policy priorities.
Key issues anticipated in the 2026 Legislative Session include:
Tax Policy: Proposed elimination of the restaurant tax, to be replaced with a small general sales tax increase. Transient Room Tax (TRT) is not expected to face major threats but remains part of broader tax discussions.
Alcohol Policy: Industry efforts related to proximity, portability, the 70/30 split, wine service at on-mountain ski resort restaurants, and potential changes to ID requirements.
Cost Pressures: Cost-of-living relief, housing supply and affordability, and property tax proposals, including a possible increase in the homeowner exemption from 45% to 60%, which could shift tax burden to businesses and second homeowners.
Infrastructure & Resources: Funding for aging infrastructure, a modern energy grid, water conservation, and continued focus on saving the Great Salt Lake.
Transportation & Development: Gas tax proposals, additional funding for sports and entertainment districts, and preparations for the 2034 Winter Olympics. |
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See below for a more detailed breakdown of key bills introduced to date and their relevance to Utah’s tourism industry. UTIA will continue to provide weekly updates as legislation is introduced and evolves. |
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The Governor’s complete FY2027 recommended budget can be found here.
Gov. Cox's FY27 budget recommendations were released on Dec. 3, 2025 for a proposed $30.7 billion. Annually, the Governor's Office of Planning and Budget (GOPB) estimates anticipated revenues, analyzes base budgets and new budget requests, and assists the governor in preparing final budget recommendations. The governor’s budget recommendations are summarized in the governor’s budget recommendation book. The governor delivers his budget to the Legislature through the Legislature’s staff budget office, the Office of the Legislative Fiscal Analyst (LFA), but the legislative appropriation process creates the state’s annual budget.
FY27 Governor's Budget Highlights
People $11.6 million for Strengthening Families $5.1 million for Utah’s Tradition of Service $131.5 million for Vulnerable Populations
Place
Prosperity $654.2 million for Public Education $110 million for Workforce $405.3 million for Responsible Government
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| Tourism Marketing Performance Fund |
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| Governor’s FY27 Budget recommends: maintaining $20.32 million for the Tourism Marketing Performance Fund (TMPF).
S.B. 4 Economic and Community Development Base Budget, Sen. Calvin Musselman The Utah Office of Tourism’s budget falls under the initial purview of the Economic and Community Development Appropriations Subcommittee, chaired by Sen. Cal Musselman (Davis, Weber) and Rep. Christine Watkins (Carbon, Duchesne, Emery, Grand).
Following repeated years in which the Office of Legislative Fiscal Analysts (LFA) has recommended budget cuts to the Tourism Marketing Performance Fund, initial indications show no proposed reductions to the TMPF for FY27. But these initial figures are not final, as the Executive Appropriations Committee has the ability to make adjustments to subcommittee recommendations.
WHY IT MATTERS: The TMPF is at its lowest funding level in nearly a decade. This fund is essential to supporting the Utah Office of Tourism’s (UOT) statewide marketing efforts and the UOT Co-Op marketing grant program. The tourism industry will continue to support and elevate ongoing investments into the Utah Office of Tourism through the Tourism Marketing Performance Fund. |
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HB 272, Tourism Taxes Amendments, Rep. Bridger Bolinder During the 2025 Legislative Session, the tourism industry navigated the most significant updates to the Transient Room Tax (TRT) in recent history through HB 456 - Transient Room Tax Amendments.
HB 272 is a cleanup bill that clarifies the analysis and auditing processes for the annual county transient room tax (TRT) and the tourism, recreation, cultural, convention, and airport facilities tax (TRCCA) expenditure reports conducted by the Utah State Auditor and the Office of the Legislative Fiscal Analysts. |
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SB 108, Online Marketplace Amendments, Sen. Lincoln Fillmore This bill prohibits a municipality or county from regulating an online marketplace.
WHY IT MATTERS: The industry’s priority remains ensuring that short term rentals (STRs) and other marketplace facilitators are brought fully into compliance, through local government ordinances, by supporting accurate tax collection, permitting, and operational requirements. This effort ensures all participants contribute fairly to the visitor economy, alongside compliant lodging businesses. Examples of tourism-related online marketplace platforms include Airbnb, VRBO, Expedia, and Booking.com. |
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HB 231, Restaurant Tax Repeal Amendments, Rep. Norman Thurston This bill removes the ability for a county to impose the restaurant tax on food items and alcoholic beverage items sold at restaurants and prepared foods sold at convenience stores, gas stations, and grocery stores.
Instead, it provides counties with the ability to impose a smaller sales tax amount on all taxable transactions, other than food and food ingredients, at a unique rate per county that will generate the equivalent amount previously generated by the restaurant tax.
WHY IT MATTERS: The Utah restaurant tax is currently included in the Tourism, Recreation, Cultural, Convention, and Airport Facilities Tax Act (TRCCA), and used as a funding mechanism for many county Destination Marketing Organization offices for tourism-related infrastructure and facilities, community and cultural events, and locally operated grants. Current bill language maintains the established allowable uses of TRCCA funds within a tourism nexus and will be monitored closely by the industry for changes in subsequent amendments. Additional industry concerns surround the potential for a county to opt-out of implementing the new sales tax onto residents, even at a reduced rate, or a redirection in the use of these funds. |
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The alcohol omnibus bill has not been released yet. The 2026 Legislative Session marks a critical time for alcohol policy as two of the three alcohol policy leads (Rep. Karen Peterson and Sen. Jerry Stevenson) will not be running for re-election in 2026.
HB 59 Identification Verification Amendments, Rep. Steve Eliason HB 59 is a clean up bill for the 100% ID Check Law enacted under last year’s HB 437, amended on the last day of the 2025 Legislative Session. It specifically addresses industry concerns regarding restaurants by reverting back to prior language of verifying proof of age for an individual who appears to be 35 years or younger when purchasing alcoholic beverages at a restaurant. As well as, verifying proof of age for any individual before they can enter a bar.
WHY IT MATTERS: Industry advocacy during the legislative interim session was instrumental in demonstrating the negative impacts 100% ID Check Law had on Utah businesses and our visitors, especially international travelers. |
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H.B. 29 Unfair and Deceptive Pricing Amendments, Rep. Tyler Clancy This bill prohibits hidden fees by requiring the clear and conspicuous disclosure of the total price in an offer or an advertisement for a product. Additionally, the supplier must ensure the final price is more prominent than any other pricing information.
WHY THIS MATTERS: In May 2025 the lodging industry, and the live events industry, saw federal changes to fee disclosure regulations through the Federal Trade Commission’s Rule on Unfair or Deceptive Fees, 16 C.F.R. Part 464. Hospitality industry relevant fees covered by the FTC ruling include resort fees, facility fees, service fees, cleaning fees, or any other required per-night or per-stay fee added on top of the room rate. |
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