Chicago has embarked on a peculiar strategy to boost tourism: raising taxes on hotel rooms. Ordinance 2026-0022544 increases the hotel tax from 17.5% to 19%, funneling the extra revenue to an organization called Choose Chicago.
The primary goal of this tax hike isn’t simply to attract more visitors, but to actively court the 2028 Democratic National Convention. Every hotel booking in the city will now contribute directly to funding the effort to bring the convention to Chicago.
The logic defies expectation – increasing costs to encourage travel. It’s a move that seems to operate under a different set of economic principles, one where making a destination more expensive somehow makes it more appealing.
The funds will be managed by Choose Chicago, an organization poised to benefit significantly from the increased tax revenue. This arrangement raises questions about the allocation of public funds and potential conflicts of interest.
Critics suggest this isn’t about tourism at all, but a modern version of old-fashioned patronage. The increased funds create opportunities for jobs and contracts, likely benefiting those with political connections within the city’s Democratic leadership.
This echoes concerns raised in other political scandals, where lucrative contracts were awarded to individuals with close ties to those in power, blurring the lines between public service and personal gain.
The focus isn’t on attracting families seeking a traditional city experience, but on convention attendees who will generate substantial hotel revenue. The average traveler is seemingly an afterthought in this equation.
This situation highlights a broader trend: urban centers increasingly catering to the wealthy while becoming less accessible to middle-class families. The realities of city life – visible poverty and social issues – are often overlooked by those attending conventions or enjoying luxury experiences.
For many, a visit to cities like Chicago, Portland, or San Francisco now involves navigating challenging social landscapes, a stark contrast to the idealized family vacation. This creates a divide between those who can afford to bypass these issues and those who are confronted by them.
The message being sent is clear: travel and tourism in these cities are becoming less about accessible experiences for all and more about catering to a specific, affluent demographic. The implication is that everyday Americans should perhaps stay closer to home.
The consultant class stands to gain significantly from this arrangement, receiving taxpayer-funded incentives to attract conventions that, in turn, generate the tax revenue that funds those incentives. It’s a self-perpetuating cycle of benefit.
Chicago, with its renowned museums and architectural beauty, should be a prime destination for family road trips. However, the current policies suggest a lack of interest in attracting that segment of the travel market.
While some, like business travelers attending the DNC, may absorb the increased costs without issue, families planning a vacation will feel the pinch. The dream of an affordable city getaway is becoming increasingly distant.
Ultimately, this situation exemplifies a familiar pattern: funds extracted from working-class Americans being redirected to benefit a select few. The increased hotel tax in Chicago is just the latest example of this dynamic.
