AHLA Advocates for Key Industry Policies at Hotels on the Hill Event

The American Hotel & Lodging Association (AHLA) is heading to Capitol Hill in Washington, D.C. this week for its annual Hotels on the Hill fly-in event. This two-day lobbying effort, taking place Tuesday and Wednesday, will bring together more than 200 hoteliers and industry leaders from 36 states. Their goal is to influence lawmakers on a range of critical policies affecting the hospitality industry.

Throughout the event, hoteliers will meet with members and staff from over 150 House and Senate offices. The primary focus is to push for legislation that supports the growth and sustainability of the hotel industry, including addressing labor shortages, tax relief for small businesses, and transparency in pricing practices.

One of the main priorities is urging Congress to pass the Closing the Workforce Gap Act (H.R. 7262). This bill aims to reform the current H-2B visa program by replacing the annual cap of 66,000 temporary visas with a needs-based system. AHLA argues that this would better address the ongoing workforce challenges faced by the hospitality sector, which continues to experience labor shortages post-pandemic.

Another significant ask is the extension of the pass-through tax deduction (199A), which is set to expire next year. This deduction provides essential tax relief to small businesses, including franchisees, and is crucial to the profitability of many hotels operating as small enterprises. Extending this tax provision would support hotel owners in maintaining financial stability and fostering growth.

Hoteliers are also advocating for the preservation of the like-kind exchange (section 1031), which allows them to defer capital gains taxes when they sell one property and reinvest the proceeds into another. This tax provision is a vital tool for hotels looking to expand or upgrade their properties without facing immediate tax burdens.

Additionally, the AHLA is focused on protecting the franchise business model, which it calls a cornerstone of the hotel industry. The organization is urging lawmakers to oppose any federal efforts that could weaken the franchisee-franchisor relationship, which is critical to the success of many hotel businesses.

Finally, AHLA is advocating for transparency in hotel fees by calling on Congress to pass the Hotel Fees Transparency Act (S. 2498) and the No Hidden FEES Act (H.R. 6543). These bipartisan bills would create a standardized way to display mandatory lodging fees, ensuring that consumers are fully informed of costs upfront. The legislation aims to level the playing field between hotels, short-term rentals, online travel agencies, and metasearch platforms by enforcing uniformity in fee transparency.

AHLA Interim President & CEO Kevin Carey emphasized the importance of direct communication between hoteliers and legislators, stating, “Nothing is more effective at shaping public policy for our industry than when hoteliers and their employees tell their stories directly to legislators.”

The AHLA reports that the U.S. hotel industry supports nearly 1 in 25 American jobs and is projected to generate $83.4 billion in tax revenue in 2024. By advocating for these key policies, AHLA hopes to strengthen the industry’s ability to grow and remain competitive in the ever-evolving hospitality landscape.