ECONOMY
Four New Mexico organizations join US alliance to oppose credit card legislation, protect travel rewards
More than 87,000 domestic visitors in 2024 used credit card rewards when visiting New Mexico
As the weather warms and the travel season begins, a new alliance between the nation鈥檚 tourism leaders has emerged 鈥 and four New Mexico organizations are leading the charge.
Late last year, organizations across the country united to launch the U.S. Tourism Economy Alliance 鈥 a coalition seeking to amplify the role of tourism as an economic engine, connect the industry with policymakers and protect the industry from what they say is harmful legislation.
The alliance now has 33 members from 10 states, including the Land of Enchantment鈥檚 Albuquerque Hispano Chamber of Commerce, Albuquerque International Sunport, New Mexico Chamber of Commerce and the New Mexico Brewers Guild. New Mexico currently has the second-most participation in the alliance, following Colorado and its eight members.
鈥淭ourism is a cornerstone of New Mexico鈥檚 economy,鈥 said New Mexico Chamber of Commerce President Matt Jaramillo, adding that the state鈥檚 visitors are 鈥渕ore than sightseers; they are vital drivers of economic activity.鈥
Visitor spending generated an economic impact of $12 billion in New Mexico in 2024, according to a from Tourism Economics.
But tourism-adjacent organizations across New Mexico and the country are worried about the impact that a new federal bill could have on traveling and tourism.
In January, Congress reintroduced the Durbin-Marshall credit card bill, after previously failing to pass similar legislation over the past three years.
The bill鈥檚 proponents said it aims to 鈥渋ncrease competition in the credit card market and put an end to the Visa-Mastercard duopoly that is squeezing small businesses 鈥 and consumers,鈥 according to a from U.S. Sen. Dick Durbin, an Illinois Democrat.
Visa and Mastercard control about 85% of the credit card market, the news release said, adding that the average American family pays nearly $1,200 per year in swipe fees.
鈥淎mericans are struggling with everyday purchases like groceries and gas, and credit card swipe fees inflate those already exorbitant prices,鈥 Durbin said in a statement. 鈥淏y bringing real competition to credit card networks 鈥 we can reduce swipe fees and hold down costs for Main Street merchants and their customers.鈥
President Donald Trump endorsed the legislation Jan. 13, but the bill has gained little traction since. Bill sponsors the legislation by attaching it to a housing bill that passed the Senate in March, but were unsuccessful. It currently in the U.S. Senate Committee on Banking, Housing, and Urban Affairs.
However, the Tourism Economy Alliance said the bill could create higher costs for credit card companies, forcing the companies to 鈥渟cale back or even eliminate their points programs altogether,鈥 a said.
The alliance said this could have negative implications for tourism, as many families use travel rewards, points and miles from credit card programs to make their trips affordable.
Airlines for America that more than 87,000 domestic visitors in 2024 used credit card rewards when visiting New Mexico. Those visitors generated an economic impact of $117 million and supported 1,217 jobs.
鈥淲e believe it is essential for Congress to consider the unique perspective of airports and the value these programs provide to the traveling public,鈥 a Sunport spokesperson told the Journal in an email. The spokesperson said the Sunport鈥檚 participation in the alliance is the airport doing its part to ensure 鈥渢hat the programs our passengers rely on are preserved.鈥
Ernie C鈥檇eBaca, president and CEO of the Hispano Chamber of Commerce, said he and the organization are also 鈥渄eeply concerned鈥 about what the credit card bill means for small business owners in Albuquerque.
鈥淥ur member businesses rely on consumer spending,鈥 C鈥檇eBaca said. 鈥淐redit card rewards programs are a proven driver of that behavior. They give everyday consumers, including many in our own Hispanic community, a tangible reason to travel, explore and open their wallets.鈥
C鈥檇eBaca said it was the credit card bill that inspired the Hispano Chamber to join the alliance, which he said will keep its members apprised of other federal legislation that could impact tourism 鈥 an industry he said is 鈥渧ital鈥 to New Mexico.
The Hispano Chamber president said he hopes the alliance will 鈥減ut pressure on folks to realize that you shouldn鈥檛 be doing things that鈥檚 going to dampen tourism.鈥
鈥淲e need to protect tourism and protect policies that enable people the opportunity and willingness to come to New Mexico,鈥 he said.
Kylie Garcia covers retail and real estate for the Journal. You can reach her at kgarcia@abqjournal.com.