The sales tax increase was created by Senate Bill 942 in the 2018 General Assembly session. The 2018 legislation not only created the tax increase, but also created a new marketing authority, the Tourism Council, and directed a $2 transient occupancy tax to the body, which is part of the Greater Williamsburg Chamber and Tourism Alliance. The Tourism Council uses half the total revenue to market the region to overnight tourists. The other half of the money is given to Williamsburg, James City County and York County, based on where the taxes were collected.