State Tourism Programs.

Tourism Promotion Areas.

Certain counties, cities, and towns have created Tourism Promotion Areas to generate revenue for tourism promotion through a charge of up to $5 per room per night on certain lodging businesses.  Revenue is deposited into the Local Tourism Promotion Account, and must be used for "tourism promotion," defined as activities and expenditures to increase tourism and convention business.

Washington Tourism Marketing Authority.

The Washington Tourism Marketing Authority (Authority) contracts for statewide tourism marketing services to promote tourism in the state.  The Authority is governed by a board of directors (Board) consisting of four members of the Legislature and nine representatives appointed by the Governor, with expertise in the tourism industry and related businesses, including hotel, restaurant, outdoor recreation, attractions, retail, and rental car businesses.  The chair of the Board must be a member of the tourism industry or related business.  The Department of Commerce (Commerce) provides staff support for the Authority.  The Board has a nonvoting four-member advisory committee, including Commerce, the State Parks and Recreation Commission, the Department of Transportation, and a federally recognized Indian tribe.

The Authority's promotion of tourism must include focuses on rural tourism-dependent counties, natural wonders and outdoor recreation opportunities of the state, attraction of international tourists, identification of local offerings for tourists, and assistance for tourism areas adversely impacted by natural disasters.

Statewide Tourism Marketing Account.

The Statewide Tourism Marketing Account (Account) is funded from tax revenues on lodging, car rentals, and restaurants.  Revenue collected may be expended only to implement the statewide tourism program and operation of the Authority.  A one-to-one match must be provided for all expenditures from the Account which are used for a statewide tourism marketing plan, evaluation of the program, and the administrative expenses of the Authority.  Two-tenths of one percent of the tax revenues are deposited into the Account and the Account is limited to $3 million per biennium.

Tourism Self-Supported Assessment Advisory Group.

The Authority appointed a Tourism Self-Supported Assessment Advisory Group (Group) in 2025, which was required to evaluate the viability of an industry self-supported assessment to fund statewide tourism promotion.  The Group submitted its recommendations in a report titled Tourism Self-Supported Assessment Advisory Group:  Report to the Legislature on October 31, 2025.

Public Records.

The Public Records Act (PRA) requires all state agencies to make all public records available to the public, unless a specific exemption applies or disclosure is prohibited.  Public records are records prepared or retained by an agency that relate to the conduct of government or the performance of a governmental function.  The PRA exempts certain financial, commercial, and proprietary information.

Tourism Assessment Program.

The Authority is authorized to establish a Tourism Assessment Program (TAP), subject to review by the Director of Commerce, that is designed, proposed, and governed by a Ratepayer Oversight Board (ROB).  The Authority is required to levy and collect a percentage of a business's gross revenue as an annual assessment.  The assessments must be collected on an annual basis, after ratification by the businesses in each industry sector.

The membership of the Authority's Board is modified by expanding the number of members from 13 to 17, and modifying the non-legislative membership as follows:

• eight members nominated by the ROB representing businesses paying the assessments;
• two members representing official state destination marketing organizations;
• two members representing tourism businesses subject to the assessment; and
• one member representing a trade association that represents businesses subject to the assessment.

The Authority, with the review of the Director of Commerce, is required to approve an annual budget for the TAP.  The Authority is required to approve or reject the budget recommended by the ROB and may not amend, replace, or independently adopt policies or provisions not submitted by the ROB.  The budget must include:

• a complete and detailed financial program of the ROB, showing its revenues and expenditures;
• an explanation describing the administration and implementation of the ROB's programs and priorities and identifying reasons for changes from prior expenditures or revenue items;
• an explanation of changes to financial policies, including an outline of the proposed policies for the ensuing fiscal period and performance indicators that demonstrate measurable progress toward the ROB's priorities; and
• sufficient detail to provide transparency for the ROB's actions on behalf of the tourism industry.

The State Auditor is required to conduct a regular audit of the budget.

The Authority is required to submit an annual report to the Legislature and the Governor.

The Authority is required to adopt rules and give substantial weight to the recommendations in the October 31, 2025, report titled Tourism Self-Supported Assessment Advisory Group:  Report to the Legislature and the ROB's proposal.  The rules do not apply to federally recognized Indian tribes, businesses, or enterprises unless the tribe or tribal member has opted to participate in the TAP.

The state and its agents are immune from liability for obligations incurred by the Authority or the ROB.  Liabilities and claims against the Authority or the ROB are only enforceable against the assets of the Authority or the ROB as if it were a corporation.  The liability of the members of the Authority and the ROB are several, not joint, and no member shall be liable for the default of any other member.

Ratepayer Oversight Board.

The Authority is required to appoint an initial 10-member ROB.  The Group is required to prepare a list of nominees for the initial ROB membership.  The initial ROB members must include two representatives from each of the tourism business sectors:  lodging, travel services, attractions, recreation, beverage producers, full-service restaurants, and retailer locations.  An ROB nominee must be an employee or officer of a business proposed to be subject to the assessment.  An ROB member may be removed by the Authority, with the review of the Director of Commerce, for inefficiency, neglect of duty, malfeasance, or four unexcused absences in one year.  The initial ROB members are required to serve for six months or until the referendum is completed.  Vacancies must be filled by appointment.  The ROB must elect a chair and meet at least quarterly.

The ROB is required to design and propose the tourism assessment funds and programming, develop an annual budget and expenditure plan, develop an annual report to the Authority and Legislature, monitor the program effectiveness and recommend adjustments, and govern the TAP.

The ROB must design and propose the assessment program, which must include:

• sector-specific classifications;
• assessment methodology and rates for each business sector;
• a referendum process for ratification;
• opt-out provisions, if applicable;
• revenue thresholds for businesses assessed in each sector, where applicable;
• program term length, and reauthorization and termination procedures; and
• a nomination process for the subsequent membership of the ROB.

Annual Assessment on Businesses.

The Authority is required to collect assessments annually and deposit the money into two accounts, the Tourism Assessment Account (Assessment Account) and the Tourism Assessment Program Reimbursement Account (Reimbursement Account).  The affected tourism business sector must complete a referendum process before assessments are collected.  "Assessment" is defined as "the annual fee levied on tourism businesses to fund tourism promotion."  "Tourism business" is defined as "businesses that derive a significant portion of revenue from tourism activity in Washington in the following sectors:  (a) lodging; (b) travel services; (c) attractions; (d) recreation; (e) beverage producers; (f) full-service restaurant locations with revenue exceeding $5 million per year; and (g) retailer locations with revenues exceeding $5 million per year."

The Authority is required to conduct a referendum among all businesses affected by the proposed assessment program within three years of June 11, 2026.  If the referendum is not successful, the Authority may continue to resubmit the same proposal or modify its proposal.  For the referendum to be approved, each assessed business has a weighted vote equal to the amount the business will pay.  The initial referendum must be approved by a majority of the weighted votes.  The assessment does not apply to federally recognized Indian tribes, businesses, or enterprises unless the tribe or tribal member has opted to participate in the TAP.

The distribution of the assessments collected from the businesses must first be deposited into the Reimbursement Account.  The Reimbursement Account must reimburse the Authority for the costs of the referendum process, Commerce for its administrative assistance to the Authority and its service as the fiscal agent for the Authority, the preparation of the ROB's budget, the regular audit of the ROB's budget, and the Authority's enforcement costs.  These costs must be paid for by the Authority, regardless of the passage or failure of the referendum.  Commerce must provide administrative assistance and serve as the fiscal agent for the Authority until June 30, 2030.

Any remaining assessments are deposited into the Assessment Account.  The funds in the Assessment Account are not state funds and are not subject to legislative appropriation.  The funds must be used for tourism promotion, which is defined as programs, projects, and activities undertaken to advertise, market, encourage, and support travel to and within the state and to strengthen or improve the visitor economy, industry, communities, or regions.  Tourism promotion includes, but is not limited to:

• programs or projects advertising and promoting tourism;
• market research and education marketing, encouraging, expanding, and improving tourism;
• investmenting in tourism events, programs, and destinations;
• hosting travel to stimulate tourism;
• sending delegations to domestic and international trade shows;
• organizing and hosting statewide tourism conferences;
• participating in events, meetings, and conferences;
• developing marketing content to strengthen tourism partnerships;
• providing goods and services for economic development and trade promotion; and
• paying for in-state, national, and international advertising and promotional campaigns.

A business's failure to pay an assessment is a personal debt.  The Authority may impose a penalty up to 10 percent of the unpaid assessment and bring a civil action in court to recover unpaid assessments.

Statewide Tourism Marketing Plan.

The Authority's statewide tourism marketing plan must be equitably inclusive of diverse communities across the state, particularly tribal nations, rural communities, and population centers that historically have not been consulted in the development of destination marketing efforts.  The marketing plan elements must include historically and culturally unique communities.

Public Records Act Exemption.

Financial and commercial information submitted to the Authority and the ROB, and related to the TAP, is exempt from disclosure under the PRA.  The exemption does not apply to general statistical summaries that do not identify individual businesses.