On July 4, President Trump signed into law his signature piece of legislation, dubbed the “One Big Beautiful Bill.” The bill is likely to have major impacts on both the economy as a whole and the travel, hospitality and MICE industries over the coming years, calling for both cuts and expansions to many important hospitality organizations and initiatives.
Here’s everything you need to know about the bill and how it may impact the meetings, events, conventions and incentives industry.
Brand USA Funding Cuts
One of the most talked about aspects of the bill is the cuts in federal funding for Brand USA, the nation's DMO that promotes tourism and travel to the U.S.. First established by the Travel Promotion Act of 2009, the organization represents a globally coordinated marketing effort to promote the country as a premier travel destination to the international market, with a study by Oxford Economics saying that Brand USA has generated nearly $76 billion in total economic impact and brought in 10.3 million visitors over the past 12 years.
For over a decade, Brand USA enjoyed bipartisan support in Congress, receiving half of its $200 million funding from revenue collected through foreign visitor fees and the other half in matching contributions from the private sector. According to the U.S. Travel Association, this meant that Brand USA was able to be funded up to $200 million per year at zero cost to the American taxpayer.
But as part of federal budget cuts, the amount of federal money Brand USA has access to has decreased by 80%, from $100 million to $20 million. Additionally, the bill increases and imposes new fees on international visitors, imposing a new $250 Visa Integrity Fee for visitor visas and raising the Electronic System for Travel Authorization (ESTA) fee for Visa Waiver Program travelers from $21 to $40.
“Failing to fully fund Brand USA is a missed opportunity—especially as the administration seeks to maximize a historic slate of global events on American soil,” said U.S. Travel Association President and CEO Geoff Freeman in a press release. “As Congress begins work on FY26 appropriations, it must fully fund Brand USA and ensure visitor fees are lowered, if not eliminated, wherever possible.”
[Related: Dept. of Commerce Confirms Firings of 5 Brand USA Board Members]
Big Beautiful Wins
Despite the travel industry’s concerns for some parts of the bill, there are parts that have been praised by the industry, especially in relation to investments in what the U.S Travel Association calls “modern, seamless and secure travel.”
Here’s an overview of some of the major wins from the bill:
- $12.5 billion in funding to support the modernization of the National Airspace System (NAS) and air traffic control technology, infrastructure and workforce.
- Additional funding that totals $6.1 billion to hire, train and retain U.S. Customs and Border Protection (CBP) officers, helping to lower wait times at airports and border crossings.
- An additional $673 million to invest in biometric entry-exit systems at ports of entry.
- $625 million in Homeland Security funding relating to the 2026 FIFA World Cup and $1 billion for security and planning tied to the 2028 L.A. Olympic and Paralympic Games.
“This legislation is a giant step in the right direction when it comes to improving America’s travel infrastructure and security,” Freeman said. “Bold, necessary investments in air traffic control and Customs and Border Protection will make a meaningful difference in the traveler’s experience.”
[Related: Vastly Different Travel Industry Takes on the New Administration]
What This All Means
While the bill does make significant improvements to the inbound international logistics process, cuts to Brand USA and increased fees on foreign visitors will likely have negative impacts on both DMOs and events with large international audiences.
State and local DMOs will likely have to spend more money on marketing to attract international business, and conferences and events with historically large numbers of international attendees will likely see those in-person attendance numbers dip. These events will either have to shift to hybrid or virtual event options or focus on domestic in-person attendees to compensate for the decrease.
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