Tourism tax dollars contributed more than $850 million to Arizona's general fund last year. Lodging taxes account for about one-fifth of that.

First-quarter numbers for 2018 are now out, and Arizona’s occupancy rate ranks third nationwide. 

“I will say the first quarter is typically a strong one for Arizona hotels and resorts. It captures both cold-weather visitors and spring training fans, so it’s a good quarter for us,” said Scott with the tourism office.  

Dunn said visitors are traveling to all parts of the state, both urban and rural, but Pinal County had the state’s highest occupancy rate, followed by Maricopa, which is boosted by the Cactus League during the first quarter.

“Higher occupancy and revenue at our hotels certainly equates to higher visitor spending and tax generation, so we’re definitely off to a good start," he said.

The statewide occupancy rate at Arizona’s hotels was 74 percent in the first quarter, which was the third-highest among U.S. states. The U.S. average occupancy is 62 percent.