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AAHOA opposes California bill on ICE, CBP hotel disclosures
The hotel owners association says AB 2721 would create legal uncertainty and new compliance burdens for California hotels.
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Malvika Choudhary - Fri, 29, May 2026
- 17:14 EDT
- 43
AAHOA / Facebook
The Asian American Hotel Owners Association (AAHOA) opposed proposed California legislation that would require hotels to disclose stays by federal immigration enforcement agencies, warning of legal and operational challenges for hotel owners.
The proposed legislation, AB 2721, would require hotels to publicly disclose when U.S. Immigration and Customs Enforcement (ICE) or Customs and Border Protection (CBP) have reservations or contracts at a property. Hotels would also have to post notices identifying the agency involved and the duration of its stay.
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AAHOA, whose members own about 61 percent of California's hotels, including thousands of small, independent, and family-owned properties, said many of them are immigrant entrepreneurs who are already facing rising labor costs, insurance expenses, and increasing regulatory requirements.
According to the association, the legislation's "knows or should have known" standard would require hotels to make subjective determinations about government-related reservations, potentially exposing operators to liability over information that may be difficult to verify.
The bill would also require hotels to post notices before the reservation begins and keep them displayed throughout the reservation period, adding compliance obligations while affecting guest privacy, safety, and operational discretion, AAHOA said.
"As a hotel owner, I understand firsthand how important guest privacy, safety, and operational consistency are to our industry," AAHOA chairman Rahul Patel said.
"AB 2721 places hotel owners in an impossible position by requiring businesses to make subjective determinations about government-related reservations while exposing them to potential legal consequences. This measure creates confusion, uncertainty, and additional burdens for hotel owners throughout California, he added.
Although the bill has been narrowed to apply specifically to ICE and CBP-related reservations, AAHOA said it continues to raise significant operational, privacy, and legal concerns for hotel owners across the state.
AAHOA president and CEO Laura Lee Blake said the measure would force hotel owners into a role that extends beyond their traditional responsibilities.
"Hotels are places of lodging, not political battlegrounds," Blake said. "AB 2721 forces hotel owners into the role of monitoring and publicly disclosing government-related guest activity. That creates legal uncertainty and safety concerns, particularly for small and independent owners who lack the compliance infrastructure of larger corporations. Hotels work best when they can remain professional and trusted environments for everyone."
AAHOA said it will continue coordinating with hospitality industry stakeholders and coalition partners in opposition to AB 2721 and urged lawmakers to vote against the bill.
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