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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| | | As the legislative session began on Tuesday, January 20th, Utah lawmakers introduced 484 bills, believed to be a record amount in at least the last decade. Hundreds of more bills are expected to be introduced before the session ends on March 6.
In his 2026 State of the State address, Governor Cox painted a forward-looking vision focused on renewing civic virtue and tackling pressing challenges facing the state. Cox emphasized Utah’s strong standing nationwide while calling for a “return to virtue” and stronger “moral infrastructure” to address issues like low third-grade literacy, housing affordability, homelessness, addiction, and the effects of social media on youth. He reiterated that Utah “will not become a state of renters,” advocating zoning reform, streamlining permits, and bolstering infrastructure to increase housing supply. Cox also urged lawmakers to champion foundational values as national leaders falter, highlighting literacy, homeownership, and child protection as legislative priorities for the upcoming session. Watch the address here.
As bills begin to head to committee hearings, be sure to monitor our new 2026 UTIA Bill Tracker, which provides real-time updates on the standings of all industry-relevant bills.
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| It’s not too late to register for Tourism Day on the Hill! Join us and fellow industry organizations as we meet at Capitol Hill to discuss 2026 legislative priorities and network with our Utah legislators. |
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| | | While Utah currently has the strongest economy in the nation, any projected increase in state revenue is already absorbed by inflation, rising costs, and the shifting of federal funding responsibilities onto the states. As a result, all Utah state agencies have been asked to propose 5% budget reductions. In addition, the federal “Big Beautiful Bill” is projected to reduce Utah’s budget by approximately $300 million due to tax cuts, deductions, incentives, and reductions in federal matching funds for state-run programs. For the Economic Development and Workforce Services Appropriations Subcommittee specifically, this includes the loss of $13 million in federal funding previously used to help support Medicaid programs.
S.B. 4 Economic and Community Development Base Budget, Sen. Calvin Musselman Last Friday, January 23rd, the Economic and Community Development (ECD) subappropriations committee heard presentations from the Governor’s Office of Economic Opportunity (GOEO). Watch the recording here - GOEO remarks begin at 1:13.
Following repeated years in which the Office of Legislative Fiscal Analysts (LFA) has recommended budget cuts to the Tourism Marketing Performance Fund (TMPF), there are currently no staff proposed reductions to the TMPF for FY27.
But, in the effort to cut programs, the Legislative Fiscal Analysts have recommended a complete, ongoing cut of the film incentive program. This includes: $1.4 M cut to the Community Film Incentive Program (cash) $6.79 M cut to the Film Incentive Program (tax credit) $1M cut to the Rural Film Incentive Program (tax credit)
WHY THIS MATTERS: ECD Chair, Senator Cal Musselman, emphasized that these initial recommended figures are not final as they work to find a balance of interests against revenues available. Our state budgeting process takes a tiered approach, where both ECD and the Executive Appropriations Committee have the ability to make adjustments to the initial LFA recommendations throughout the legislative process.
GOEO Executive Director, Jefferson Moss, expressed to the ECD committee how important film is to the GOEO ecosystem as a whole through their new strategic plan. Senator Jerry Stevenson (Sen. Appropriations Chairman) offered his support for the film incentives and the importance of film development to the image brand of Utah and the strong economic impact film production has on Utah.
If you have an established relationship with an ECD committee member, we recommend that you engage in friendly outreach to them sharing the personalized benefits the film industry and incentive programs provide to your business or community.
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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 THIS MATTERS: The tourism industry opposes HB 231, Restaurant Tax Repeal Amendments. The restaurant tax, which generated over $89 million in 2024, is part of a broader suite of tourism-related taxes authorized under the Tourism, Recreation, Cultural, Convention, and Airports Facilities (TRCCA) Tax Act. These revenues provide a dedicated funding source to county governments for tourism promotion and to develop, operate, and maintain critical community infrastructure. Including airports, convention centers, cultural venues, recreation assets, and other tourist facilities. These assets are shared by visitors and residents alike and contribute to local quality of life and economic vitality.
The Utah Legislature has long directed that visitors should help offset the incremental costs and services generated by travel, rather than placing that burden solely on local residents. The restaurant tax remains a clear and effective way to accomplish this goal, as dining is an integral and unavoidable component of the visitor experience. |
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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 anticipates, and is monitoring for, updated bill language to be released by the sponsor prior to the Senate Business and Labor Committee on Monday, January 26th, at 2:00 PM.
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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| | S.B. 177 Product Pricing Amendments This bill provides that a supplier commits a deceptive act or practice if the supplier fails to provide a disclaimer that the supplier sets or displays the price of a good or service using algorithmic pricing. As well as, provides the disclaimer language that a supplier shall include when using algorithmic pricing to set or display the price of a good or service.
WHY THIS MATTERS: Many facets of the tourism industry (from airlines, hotels, car rentals, and attractions) utilize dynamic or algorithmic pricing models that adjust based on demand, competitor rates, weather, booking pace, etc. and would be subject to including the following language to identify such: “THIS PRICE WAS SET BY AN ALGORITHM USING YOUR PERSONAL DATA.”
This bill will be heard in the Senate Business and Labor Committee on Monday, January 26th, at 2:00 PM.
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.
The industry is seeking amendment language with the bill sponsor that acknowledges the industry-specific FTC ruling in regards to hotels and lodging providers and includes an exemption to avoid potentially confusing duplication of regulations at the state and federal levels.
H.B. 294 - Employer Verification Amendments This bill amends provisions related to the Private Employer Verification Act, impacting a private employer who employs 50 or more employees.
WHY THIS MATTERS: In 2012, the Utah legislature passed a bill that made E-Verify required for employers with 15 or more employees. Then, in 2022, a bill was passed that increased that threshold to 150 or more employees and has maintained at that level since.
This bill is a revival of the E-Verify bill from the 2025 Legislative Session that sought to adjust the number of employees required down to 5 employees from 150. The 2026 version of the bill reduces the amount down to 50 employees.
The industry anticipates that most business associations and organizations will again lobby to maintain the current threshold of 150 employees.
H.B. 203 Non-Compete Amendments, Rep. Tyler Clancy This bill amends provisions relating to non-compete amendments
WHY THIS MATTERS: This bill amends provisions relating to non-compete agreements and draws on concepts used in other states’ non-compete laws. The bill is viewed as unfavorable by many business-related associations and organizations, including the Utah Business Coalition (of which UTIA is a member) and the Utah Chamber. Communication between the bill sponsor and these groups is ongoing. |
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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 THIS MATTERS: We continue to receive significant feedback from our industry partners on the negative implications of the 100% ID Check Law since its implementation on January 1st, 2026 - including negative customer experiences, long wait times, and other operational burdens.
While the tourism industry supports the revisions included in HB 59 for our restaurant partners, we are elevating commonsense policy solutions for our international visitors, as well as ensuring that our servers and bartenders are not tasked with enforcing interdicted drivers license policing.
The current bill removes the mandatory ID check for age, but technically keeps it for interdicted drivers license check. We are working to have no required ID check at restaurants unless the patron appears under the age of 35 (previous law). We are also working with the alcohol policy legislative leads to improve the ID check process for international visitors and visitors clearly old enough to consume. |
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