AHLA Fights NJ Assembly Plan to Destroy Hotel Franchise Model

A1958 passed the General Assembly Thursday, and is still pending in the state Senate

WASHINGTON (May 25, 2023) – American Hotel & Lodging Association (AHLA) President & CEO Chip Rogers is speaking out today against A1958, harmful legislation passed by the New Jersey General Assembly.
“The current hotel franchise model is the backbone of the hotel industry. It supports millions of jobs nationwide and has paved the way for countless hoteliers and employees to achieve the American dream. Unfortunately, New Jersey General Assembly members today voted to destroy that successful model,” said AHLA President & CEO Chip Rogers. “A1958 would completely undermine the foundation of hotel franchising by limiting a brand’s ability to enforce the quality standards guests know and trust. It also would create significant obstacles for hotel loyalty programs, making it difficult for guests to use or accrue loyalty points while staying at New Jersey hotels. Ultimately, this legislation would drive hotels out of the state and limit new developments, creating less options and inferior experiences for New Jersey hotel guests. The bill would significantly harm tourism throughout the Garden State, jeopardizing the $13.4 billion New Jersey hotel guests spend in the state each year. On behalf of New Jersey’s 1,180 hotels and more than 45,500 hotel employees, AHLA will continue to fight this legislation from becoming law.”

Background Info
The current hotel franchise model gives small-business owners the opportunity to grow their businesses quickly by leveraging the hotel brand names guests know and trust. 

  • More than 50% of all U.S. hotels are franchised
  • Franchised hotels will support more than 2.5 million U.S. jobs in 2023
  • Franchised hotels will generate nearly $25 billion in state and local tax revenue in 2023
  • More info about A1958
  • More info about hotel franchising