FOR IMMEDIATE RELEASE: Feb. 3, 2026

Contact: Ramsey Cox: 425-275-1695

Oregon’s Restaurants and Hotels to Lawmakers: Oppose House Bill 4134 to Save Tourism Jobs

House Bill 4134 jeopardizes more than 200,000 tourism jobs through a $38 million tax hike.

SALEM, Ore. — On February 4, at 3 p.m., the Oregon House Committee on Revenue holds a public hearing on House Bill 4134, which would set a new precedent of raiding lodging tax revenue for issues unrelated to economic development, and diverting vital funds for continued promotion of Oregon to attract visitors and their dollars.

Oregon lawmakers will hear from the Oregon Restaurant & Lodging Association and its members on how HB 4134 would harm local hospitality and tourism businesses as well as create an additional $11 million tax on Oregonians. The hearing can be streamed here.

“Lawmakers should vote no on HB 4134 and help us save tourism jobs,” said Jason Brandt, president and CEO of the Oregon Restaurant & Lodging Association. “Oregon’s state lodging tax has been exclusively devoted to economic development via Travel Oregon since its inception 23 years ago. If this proposal passes giving four new state agencies access to this resource, then lawmakers will set our state up for perpetual struggles amongst competing agency priorities vying for the tax revenue. ”

Since 2003, Travel Oregon’s utilization of the statewide lodging tax has doubled visitor spending, tripled tax revenue and created 35,000 direct tourism jobs. Oregon’s hospitality and leisure industry is the 3rd largest private sector employer in the state. The industry supports more than 200,000 jobs and contributes $14 billion annually in economic activity that stays in our state.

The existing 1.5% state lodging tax generates $43 million annually to fund economic development to help support and create more tourism jobs in our communities. Oregonians traveling within the state contribute $12.6 million of that annual $43 million. HB 4134’s 1.25% lodging tax increase would be an additional $11 million tax on hardworking Oregonians when costs and affordability concerns are at an all-time high. Overall, the proposal represents a $38 million dollar tax increase.

“Merete Hotel Management operates 19 hotels across Oregon with our corporate office being in Springfield,” said Liz Dahlager, Chief Operating Officer and partner of the company. “Tourism shouldn’t be treated as an unlimited funding source simply because it’s working. Let’s be clear, the tourism sector is already one of the most heavily taxed industries in Oregon, and yet it is one of the increasingly few thriving economic engines left in the state. It supports small businesses, rural communities, workforce housing through dedicated programs, and year-round employment across regions that don’t have many alternatives. And now entities that have never received these funds are asking us to increase yet another tax and are asking for the funds to be used to cover their budget shortfalls? No. Unacceptable.”

ABOUT ORLA

The Oregon Restaurant & Lodging Association (ORLA) is the leading business association for Oregon’s foodservice and lodging industry. A not-for-profit trade organization, ORLA represents approximately 3,000 member units and advocates for more than 11,300 foodservice locations and 2,000 lodging establishments statewide—an industry that employs 201,300 Oregonians and generates $14 billion in annual sales.