Brand USA’s budget slashed—visa costs skyrocketing—CVB support drying up—planners now face a new era of doing more with less—and doing it without much global goodwill

A sweeping new law—the One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025—is poised to reshape how meetings and events are funded and supported at the destination level. And it comes at a moment of mounting concern across the industry. According to Destinations International’s (DI) 2025 DestinationNEXT Futures Study, 42 percent of Convention and Visitors Bureaus (CVBs) say their funding is at risk of being reduced or eliminated within the next three years—up from 37 percent in 2023. The biennial report, produced in partnership with MMGY NextFactor, draws on insights from a global advisory council, expert panels, and a survey of 537 professionals across 36 countries. It paints a picture of an industry grappling with rapid technological change, shifting traveler expectations, and rising demands from local communities.

“This year’s study underscores the transformative period destination organizations are navigating,” said Don Welsh, president and CEO of DI. “These findings serve as essential guidance helping leaders to strategically adapt and thrive.” The report also reflects a shift in how destination organizations measure success—84 percent are now engaged in local development initiatives, and KPIs are increasingly tied to community impact and sustainability rather than just visitation and spending. In this evolving landscape, legislative shifts like OBBBA carry significant implications—especially for planners counting on CVB support or pursuing international audiences.

The Erosion of America's Global Welcome Mat

At the heart of the OBBBA's impact on the travel sector is a drastic reduction in funding for Brand USA, the nation's official tourism marketing agency. Its federal matching funds for fiscal year 2026 have been slashed by a staggering 80%, from $100 million to just $20 million.  

For meeting and event planners, this isn't just a bureaucratic cut; it's a direct hit to the global perception of the U.S. as a premier destination. Brand USA has historically been instrumental in promoting the country, generating millions of incremental visitors and billions in spending, supporting tens of thousands of jobs annually. With major international events like the 2026 FIFA World Cup and America250 on the horizon, this reduction in national marketing capacity is a significant missed opportunity. Without a unified, robust national voice, the U.S. risks losing market share to other nations aggressively promoting their destinations.  

The Rising Cost of Entry: A "Self-Imposed Tariff"

Beyond the Brand USA cuts, the OBBBA introduces new and increased fees that will directly impact your international attendees' travel budgets:

New Visa Integrity Fee: A new $250 "Visa Integrity Fee" is now required for virtually every nonimmigrant visa, including tourist, work, and student visas. This fee is in addition to existing application fees, effectively doubling or even tripling the total cost of a visa. For instance, a tourist visa that once cost around $185 could now range from $435 to $460, while a student visa could reach up to $785. While the law theoretically allows for reimbursement if visa terms are fully complied with, the practical process remains unclear, adding uncertainty for travelers.  

Increased ESTA and I-94 Fees: The Electronic System for Travel Authorization (ESTA) fee for travelers from Visa Waiver Program countries has jumped from $21 to $40. The I-94 form fee has also quadrupled from $6 to $24.  

Industry leaders, including the U.S. Travel Association, have labeled these new charges a "self-imposed tariff" on international travel spending, emphasizing that the fees are not being reinvested in improving the travel experience. This direct financial disincentive will inevitably reduce the pool of potential international delegates for your events.

The CVB Conundrum: Strained Partnerships

Convention and Visitors Bureaus (CVBs) are indispensable partners for meeting and event planners, offering invaluable local insights, logistical support, and marketing assistance. The vast majority of CVB funding (around 84-88%) comes directly from local hotel occupancy taxes.  

When international visitor numbers decline due to factors like increased travel costs and reduced national promotion, hotel occupancy rates fall. This directly translates to diminished revenues for CVBs, impacting their operational budgets and capacity to support your events. Destinations heavily reliant on international tourism, such as New York, Florida, California, Nevada, and Texas (which collectively accounted for 86% of international travel in 2024), will feel this strain most acutely.  

This means CVBs will be challenged to "do more outreach with less money", potentially leading to reduced marketing efforts, fewer familiarization tours, and less robust support services for planners.  

FURTHER READING: WHAT THE 2025 DestinationNEXT REPORT SAYS ABOUT THE FUTURE

Broader Economic Ripples and the Welcome Factor

While the OBBBA includes some investments in travel infrastructure, such as $12.5 billion for air traffic control modernization and funds to hire 5,000 new Customs and Border Protection officers , these improvements may be overshadowed by the deterrent effects of increased costs and a perceived unwelcoming atmosphere. The U.S. Travel Association acknowledges these "wins" but stresses that they "make foolish new fees on foreign visitors and reductions to Brand USA… that much harder to swallow".  

Furthermore, the bill's broader economic provisions, including deep cuts to social safety net programs and the repeal of green energy tax credits, could lead to reduced domestic discretionary spending and job losses in affected sectors. This could indirectly impact domestic business travel and the willingness of attendees to spend on events. The substantial increase in funding for immigration and border enforcement, with a focus on aggressive tactics, could also contribute to a perception of the U.S. as less welcoming to foreigners, further deterring international visitors.

Strategies for Meeting and Event Planners

In this evolving landscape, adaptability and strategic planning are paramount:

Prioritize Domestic Markets: While international events remain valuable, bolstering efforts to attract and retain domestic attendees can help mitigate immediate losses from international declines. This may involve focusing on regional events or tailoring content to appeal to a U.S.-centric audience.

Deepen Local Partnerships: Recognize that your local CVB will be operating with tighter budgets. Strengthen your relationships, explore co-marketing opportunities, and understand their revised capabilities. They remain a vital resource for local insights and connections.  

Advocate for Policy Revisions: Join industry associations like the U.S. Travel Association and the American Hotel & Lodging Association in advocating for the restoration of Brand USA funding and the reduction or elimination of burdensome visa fees. Your collective voice can influence future policy.  

Communicate Clearly with International Attendees: Be proactive in informing potential international delegates about the new visa and ESTA fee structures. Provide clear, up-to-date information on application processes and costs to help them plan accordingly.

Innovate and Diversify: Explore new event formats, hybrid models, or alternative revenue streams that are less reliant on international travel volume. Consider how technology can bridge geographical gaps and maintain global engagement.

The "One Big Beautiful Bill Act" presents undeniable challenges for meeting and event planners. By understanding its multifaceted impacts and proactively adapting strategies, you can navigate this new landscape, continue to deliver impactful events, and contribute to the resilience of the U.S. tourism economy.

Any thoughts, opinions, or news? Please share them with me at vince@meetingsevents.com.

Photo by United States Senate - Office of Dan Sullivan, Public domain, via Wikimedia Commons