Sometimes a bad bill is just a bad bill. And that’s exactly what Colorado’s SB 26-134 is.

At first glance, it reads like one of those “we’re helping small businesses save money” proposals, a tweak to how credit card networks calculate fees so merchants don’t pay on sales tax. Simple, right? But when you actually look at how Colorado’s tourism and hospitality economy works, simple doesn’t cut it.

Take a quick trip through a ski town, a Main Street café, or an outdoor retailer. These are the places that define Colorado’s guest experience. They rely almost entirely on visitors, families from Texas, couples from Chicago, international travelers, all swiping cards for lodging, lift tickets, meals, tours, and souvenirs. The system works because it’s seamless.

The last thing anyone wants is to make that process more complicated, more expensive, or slower. Yet that’s exactly what SB 26-134 risks doing.

The bill’s logic sounds appealing: don’t charge fees on the sales tax portion of a purchase. But in practice, those costs don’t just go away. They just get shifted. That might mean higher base rates, new processing fees, or complicated system updates to separate taxable and non-taxable amounts. And when that happens, the burden doesn’t disappear. It lands squarely on small businesses.

And when small businesses take on more cost, more time, and more operational headaches, guess who feels it next? The guest.

Picture a family checking into a hotel after a long day of travel. They just want to hand over a card, grab their keys, and get on with their vacation. Now imagine a front desk clerk navigating a clunky new payment system or dealing with a processing delay. Maybe it’s only a few extra seconds, but in hospitality, those seconds matter.

This isn’t helping tourism. It’s chipping away at the experience that drives repeat visits, positive reviews, and local revenue.

And it’s not just about the guest experience. Small businesses are the backbone of Colorado’s tourism economy, operating on razor-thin margins. They don’t have large finance departments or IT teams to manage new compliance requirements or absorb unexpected cost shifts. This bill adds complexity where simplicity is essential.

We hear a lot about “reforming swipe fees” and “helping small businesses.” But sometimes, it’s simpler than that: sometimes a bad bill is just a bad bill. SB 26-134, as written, doesn’t deliver meaningful relief. It doesn’t guarantee a better guest experience. It doesn’t protect the rewards programs that help drive travel decisions. And it disrupts banking relationships and payment systems that businesses depend on.

There is real data backing up these concerns. A study highlighted by Forbes, conducted by Indraneel Chakraborty at the University of Miami Herbert Business School, found that any savings from mandated changes to credit card fees would disproportionately benefit the largest companies in the country. In fact, the top five businesses would see the bulk of the gains, while retailers with less than $500 million in sales would see virtually no benefit. True small businesses? The study estimates they could face a collective negative impact of $1 billion.

That’s not leveling the playing field, it’s tilting it further.

Colorado’s visitors, small businesses, and tourism economy deserve better. We need solutions that actually reduce costs without adding complexity. Solutions that protect small businesses without undermining the guest experience. Solutions that strengthen, not strain, the systems that keep our economy moving.

This bill doesn’t do that.

Sometimes a bad bill is just a bad bill. And SB 26-134? That’s one of them.

Chris Romer is president & CEO of Vail Valley Partnership, 3-time national chamber of the year. Learn more at VailValleyPartnership.com