By Chris Woodward, The Center Square

Montana may see a big increase in hotel-generated state and local tax revenue this year.

A report by the American Hotel and Lodging Association projects the state will see $145.3 million in tax revenue this year, a nearly 34% increase from 2019 when tax revenue was $108.7 million.  

AHLA, which is the largest hotel trade group in the U.S., said 2020’s nationwide drop in travel due to COVID-19 led to a loss of just over $13 billion in state and local revenue.

“Hotels are integral contributors to communities across the country, generating tens of billions of dollars in state and local tax revenue,” AHLA said in a press release. 

AHLA President and CEO Chip Rogers said hotels are now “making significant strides toward recovery, supporting millions of good-paying jobs and generating billions” in state and local tax revenue nationwide. 

“To continue growing, we need to hire more people,” he added. “Fortunately, there’s never been a better time to be a hotel employee, with wages, benefits, flexibility and upward mobility better than ever before.”

Montana’s Labor Day report, released last September, said the state is experiencing an economic boom, “with more Montanans working than ever before.”

“Businesses have continued to thrive, grow, and increase production in the face of worker shortages by increasing productivity and raising wages to attract workers,” the report said.

AHLA, which is the largest hotel trade group in the U.S., said 2020’s nationwide drop in travel due to COVID-19 led to a loss of just over $13 billion in state and local revenue.

“Businesses have continued to thrive, grow, and increase production in the face of worker shortages by increasing productivity and raising wages to attract workers,” the report said.