SB 1335 Summary

• Creates tourism marketing authorities in Arizona municipalities and counties (population under 2 million) to promote and enhance tourism through an assessment on transient lodging rooms.

• Requires formation by petition with approval from owners/representatives of at least 67% of transient lodging rooms in the geographic area and affirmative vote from participating municipality or county governing bodies.

• Authorizes authorities to levy up to $5 per room per night assessment on hotel and motel rooms, collected by the Department of Revenue alongside transaction privilege tax.

• Establishes that authorities must contract with nonprofit tourism promotion organizations and prohibits authorities from financing or facilitating acquisition, maintenance, construction or operation of hotels, resorts, or sports/entertainment facilities.

• Provides that authorities terminate after 10 years unless renewed by petition and resolution approval, and may be terminated at any time upon petition signed by owners/representatives of at least 51% of transient lodging rooms.