HB 1179: Revenue and taxation; excise tax on rooms, lodgings, and accommodations; provisions

Georgia's hotel-motel tax law lets local governments hire a private nonprofit destination marketing organization to promote tourism using tax revenue, but currently only governments collecting more than $500,000 a year in this tax face restrictions on switching that organization without agreement or state board approval. This bill removes that dollar threshold, meaning the rule applies to all local governments regardless of how much tax revenue they collect. The bill also changes how the Hotel Motel Tax Performance Review Board handles disputes. It requires the board to meet quarterly instead of as needed or only annually, sets specific factors the board must weigh when deciding whether to approve a change in the promotional nonprofit, shortens some reporting deadlines, and creates a formal notification of noncompliance process that must be published in local legal newspapers and posted on a state website. The law would take effect as soon as the Governor signs it or it becomes law without his signature.

• Removes the $500,000 annual tax collection threshold, so all local governments levying the hotel-motel tax face the same rules when changing their tourism promotion nonprofit.
• Requires the Hotel Motel Tax Performance Review Board to consider six specific factors, like the nonprofit's tenure and community involvement, before approving a change in organizations.
• Changes the review board's meeting schedule from as-needed or annual to mandatory quarterly meetings, with 90 days to hold a hearing on any complaint received.
• Shortens the deadline for the board to transmit findings to the commissioner of community affairs from 60 to 30 calendar days.
• Creates a formal 'notification of noncompliance' process requiring publication in the local legal newspaper and on the Department of Community Affairs website until the problem is fixed.
• Requires a subject found out of compliance to submit a new report on tax rates and collections within 60 days or be automatically referred back to the review board.

County and municipal governments that levy hotel-motel taxes, private sector nonprofit organizations hired to promote tourism and conventions, the Hotel Motel Tax Performance Review Board, the Department of Community Affairs, and the state revenue commissioner, who all play roles in reviewing and enforcing these rules.

Smaller Georgia cities and counties that previously fell below the $500,000 threshold would now face the same restrictions as larger jurisdictions when trying to change their tourism marketing nonprofit. More frequent board meetings and public noncompliance notices could speed up disputes and increase public visibility into how hotel-motel tax money is spent.

• Section 1 removes the $500,000 revenue threshold from O.C.G.A. § 48-13-51(k), extending the change-of-nonprofit approval process to all local governments levying the tax.
• Section 1 adds six factors the Hotel Motel Tax Performance Review Board must weigh, including the existing nonprofit's tenure, community involvement, and future risk of switching.
• Section 1 changes the board's meeting requirement from 'as needed' to quarterly for deciding on proposed changes to the tourism promotion nonprofit.
• Section 2 amends O.C.G.A. § 48-13-56.1(c) to require quarterly board meetings and a 90-day window to hold hearings on complaints, replacing the prior annual September-to-December schedule.
• Section 2 shortens the deadline for the board to transmit findings to the commissioner of community affairs from 60 to 30 calendar days.
• Section 2 requires noncompliance notices to be published in the county's legal organ within 30 days and posted on the department's website until resolved.
• Section 3 makes the law effective immediately upon the Governor's signature or becoming law without signature.

1. 2026-02-05House Second Readers (House)
2. 2026-02-04House First Readers (House)
3. 2026-02-03House Hopper (House)

• Ron Stephens (R, HD-164)Primary sponsor
• Gerald Greene (R, HD-154)
• Rick Townsend (R, HD-179)
• Josh Bonner (R, HD-073)
• Matthew Gambill (R, HD-015)
• Al Williams (D, HD-168)

• hotel-motel tax
• tourism funding
• local government oversight
• destination marketing organizations