HB1179: HB1179 Revenue and taxation; excise tax on rooms, lodgings, and accommodations; provisions

Georgia counties and cities that collect a hotel-motel excise tax often designate a private nonprofit organization, sometimes called a destination marketing organization, to promote tourism and conventions using that tax money. Current law limits when a local government can switch which nonprofit holds that role, and disputes go to the state's Hotel Motel Tax Performance Review Board. This bill changes the rules for how that board handles those disputes. The bill directs the review board to consider specific factors, such as whether the current nonprofit is meeting its goals, its community ties, and the risk of switching organizations, before approving or rejecting a change. It also moves the board's meeting schedule from an annual window to quarterly meetings, shortens the deadline for reporting findings to the commissioner of community affairs from 60 to 30 days, and requires public notice of noncompliance findings. The changes would take effect immediately if the Governor signs the bill or lets it become law without a signature.

• Requires the Hotel Motel Tax Performance Review Board to consider six specific factors, such as community involvement and organizational tenure, before approving a change in a local government's designated tourism promotion nonprofit.
• Changes the board's meeting schedule from an annual window between September 1 and December 1 to quarterly meetings throughout the year.
• Shortens the deadline for the board to send its findings to the commissioner of community affairs from 60 calendar days to 30 calendar days after a complaint hearing.
• Requires the subject of a noncompliance notification to publish that notice in the county's legal organ (the officially designated local newspaper) within 30 days of receiving it.
• Directs the state revenue commissioner to take enforcement action, including possibly ending the tax, if a local government or nonprofit fails to take required remedial action.

County and municipal governments that collect hotel-motel excise taxes, the private nonprofit organizations they designate to promote tourism and conventions, the state Hotel Motel Tax Performance Review Board, the commissioner of community affairs, and the state revenue commissioner all deal with the changed procedures.

Local governments and the nonprofits that manage tourism promotion money would face a faster-moving, more structured review process when disagreements arise over which organization holds that role, with public notice requirements meant to make noncompliance more visible to residents.

• Section 1 revises O.C.G.A. § 48-13-51(k) to list six factors the review board must weigh when deciding whether to approve a change in a local government's designated tourism nonprofit, including its track record and community ties.
• Section 1 also changes the board's review meetings from occurring 'as needed' to occurring quarterly for these disputes.
• Section 2 revises O.C.G.A. § 48-13-56.1(c) to change the board's complaint-hearing schedule from an annual September-to-December window to quarterly meetings.
• Section 2 shortens the deadline for the board to transmit its findings to the commissioner of community affairs from 60 to 30 calendar days after a hearing.
• Section 2 requires noncompliance notifications to be published on the department's website and in the local legal organ by the noncompliant party within 30 days.
• Section 2 authorizes the state revenue commissioner to enforce remedial action, up to terminating the tax, if noncompliance is not corrected.
• Section 3 sets the effective date as the date the Governor signs the bill or it otherwise becomes law without a signature.
• Section 4 repeals any conflicting laws.

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
• state tax administration