What you can get
Possible savings on hotel room tax for a City-approved project.
Who it's for
Desert Hot Springs hotel and spa owners planning renovations, reopening or new construction.
What you need to know
- Invoices dated before December 2, 2025 are not accepted.
- The City has different rules for an open property, a reopened property and a new building.
- Use the required Expense Details worksheet to document project costs.
- Ask the City to confirm your project’s savings and exact dates before relying on them.
More details and sources
Full program information
Official program name: Desert Hot Springs Hotel and Spa Incentive Program
Benefits and limits
Potential Transient Occupancy Tax (TOT) relief for approved hotel/spa renovation, reopening or new-construction projects.
Full requirements
Choose the applicable operational, non-operational/reopening or ground-up project category in the City application. The current portal states a December 2, 2025 program start and does not accept invoices dated before that day. Applicants must document eligible project expenses using the required Expense Details workbook and meet the City's project and application requirements. Operational-property renovations must include qualifying amenities, such as additional guest rooms, event space, spa facilities, a restaurant or retail space.
Read the program's requirements Checked Oct 30, 2026
Key requirements, not the complete City application checklist. Final eligibility, eligible costs and approval belong to the City.
Other conditions
For eligible non-operational spa properties purchased, renovated and reopened for transient occupancy, the portal describes 100% TOT relief for two years, limited by renovation investment. For operational properties, it describes relief on the net increase in TOT for two years or until eligible investment is reached, whichever comes first. Ground-up projects have a separate 100% / 50% / 25% schedule; the portal overlaps year boundaries, so obtain the City's exact timing before calculating savings. Benefits require City review and approval.
Availability and area
City project approval required
The City currently publishes this application and program terms. Confirm current approvals, eligible expenses and the applicable waiver calculation directly with the City before relying on an incentive.
Read the status update Checked Oct 30, 2026
City of Desert Hot Springs program for qualifying local hotel and spa projects. Project category, eligible expenses and City approval determine any benefit.
Areas listed in the source
Desert Hot Springs
Where this information comes from
City of Desert Hot Springs - official program application
Information collected Oct 30, 2026.
The City portal’s ground-up rebate schedule overlaps year boundaries. Obtain the City’s current written terms and project calculation before estimating savings or starting work.
DHSed is an independent guide. The program makes the final decision about help, amounts and rules.