VirginiaSB3142026 Regular SessionSenateWALLET

Tourism improvement districts; transient occupancy tax in Arlington County.

Sponsored By: Adam P. Ebbin (Democratic)

Became Law

Summary

Tourism improvement districts; administering nonprofits; county manager plan; transient occupancy tax. Allows tourism entities, defined in the bill, to enter into written agreements for the provision of professional services to an administering nonprofit that is under contract with a locality to administer or implement activities specified in a tourism improvement district plan. Current law does not permit such public-private partnerships in tourism improvement districts. The bill also requires a newly formed administering nonprofit's board of directors to be wholly composed of business owners and an existing administering nonprofit to create a committee of business owners to oversee the activities prescribed in the tourism improvement district plan. Finally, the bill permits any locality with the county manager plan of government (Arlington County) to impose an additional transient occupancy tax of up to one percent. This bill is identical to HB 524.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 0 benefits, 2 costs, 1 mixed.

Counties can add 1% lodging tax

County boards can levy up to a 1% lodging tax on the total room price. You pay this in counties that adopt it, on taxable short stays. The county must spend the money to promote tourism and business travel.

Prince George can add 2% lodging tax

Prince George County can levy up to a 2% lodging tax on room charges. Stays of 30 or more continuous days by the same person or group are exempt. The county must spend the revenue only on tourism promotion, including marketing to attract overnight visitors, programs, staff, events, and capital projects. The law also repeals §58.1-3825.3 of the Virginia Code.

New rules for tourism district nonprofits

Localities that set up a tourism district can hire a private nonprofit to run the plan and give advice. If a new nonprofit is formed on or after July 1, 2026 to run a district, its board must be all business owners. If a nonprofit already ran a district before that date, it must create a committee of business owners to oversee the plan’s activities. Nonprofits may also sign service agreements with the locality’s tourism office.

Sponsors & Cosponsors

Sponsor

  • Adam P. Ebbin

    Democratic • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 264 • No: 80

House vote 2/25/2026

Passed House

Yes: 67 • No: 30

House vote 2/20/2026

Reported from Counties, Cities and Towns

Yes: 16 • No: 5

Senate vote 2/11/2026

Read third time and passed Senate

Yes: 23 • No: 17

Senate vote 2/11/2026

Read third time and defeated by Senate

Yes: 20 • No: 18

Senate vote 2/11/2026

Reconsideration of defeated action agreed to by Senate

Yes: 39 • No: 0

Senate vote 2/11/2026

Reconsideration of passage agreed to by Senate

Yes: 40 • No: 0

Senate vote 2/10/2026

Senator Ebbin Substitute agreed to

Yes: 0 • No: 0

Senate vote 2/4/2026

Passed by for the day Block Vote (Voice Vote)

Yes: 0 • No: 0

Senate vote 2/4/2026

Constitutional reading dispensed Block Vote (on 1st reading)

Yes: 40 • No: 0

Senate vote 2/3/2026

Reported from Finance and Appropriations

Yes: 10 • No: 5

Senate vote 1/26/2026

Reported from Local Government and rereferred to Finance and Appropriations

Yes: 9 • No: 5

Actions Timeline

  1. Acts of Assembly Chapter text (CHAP0163)

    4/6/2026Governor
  2. Approved by Governor-Chapter 163 (effective 7/1/2026)

    4/6/2026Governor
  3. Fiscal Impact statement From TAX (3/11/2026 3:20 pm)

    3/11/2026Senate
  4. Governor's Action Deadline 11:59 p.m., April 13, 2026

    3/10/2026Governor
  5. Enrolled Bill communicated to Governor on March 10, 2026

    3/10/2026Senate
  6. Bill text as passed Senate and House (SB314ER)

    2/27/2026Senate
  7. Enrolled

    2/27/2026Senate
  8. Signed by President

    2/27/2026Senate
  9. Signed by Speaker

    2/27/2026House
  10. Passed House (67-Y 30-N 0-A)

    2/25/2026House
  11. Read third time

    2/25/2026House
  12. Read second time

    2/24/2026House
  13. Reported from Counties, Cities and Towns (16-Y 5-N)

    2/20/2026House
  14. Fiscal Impact statement From TAX (2/17/2026 4:12 pm)

    2/17/2026Senate
  15. Read first time

    2/17/2026House
  16. Referred to Committee on Counties, Cities and Towns

    2/17/2026House
  17. Placed on Calendar

    2/17/2026House
  18. Reconsideration of passage agreed to by Senate

    2/11/2026Senate
  19. Read third time and passed Senate (23-Y 17-N 0-A)

    2/11/2026Senate
  20. Reconsideration of defeated action agreed to by Senate

    2/11/2026Senate
  21. Read third time and defeated by Senate (20-Y 18-N 0-A)

    2/11/2026Senate
  22. Passed Senate (21-Y 19-N 0-A)

    2/11/2026Senate
  23. Senator Ebbin Substitute agreed to

    2/10/2026Senate
  24. Floor Offered

    2/10/2026Senate
  25. Floor substitute printed 26107689D-S2 (Ebbin)

    2/10/2026Senate

Bill Text

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