By Joey Solitro
Published 3 August 2023
New Bill Aims for Hotel Fee Transparency
A new bill has been introduced that requires anyone advertising a hotel room or short-term rental to clearly disclose all fees in their advertised rates that a customer would pay.
Overview of the Hotel Fees Transparency Act
The Hotel Fees Transparency Act, introduced by Sens. Jerry Moran (R-KS) and Amy Klobuchar (D-MN), aligns with the Biden administration’s efforts to eliminate hidden surcharges and so-called junk fees across industries, improving cost transparency for consumers.
Support from Industry Leaders
This legislation is supported by the American Hotel & Lodging Association (AHLA). Recent data shows that 6% of hotels nationwide impose a mandatory resort, destination, or amenity fee, averaging $26 per night. AHLA represents major hotel chains, independent hotels, management companies, real estate investment trusts, and bed and breakfasts.
Creating a Single Standard
The bill aims to establish a uniform standard for mandatory fee disclosure across the hospitality sector, including hotels, online travel agencies, metasearch sites, and short-term rental platforms, as noted by Chip Rogers, AHLA president and CEO.
Impact on Consumers
According to Rogers, “We know consumers shop for travel across multiple sites, and this bill is pivotal for creating a more transparent booking process for guests.” Furthermore, Moran emphasized that “High prices are forcing consumers to account for all their expenses, and they should not have to guess how much they will ultimately pay for a hotel room.”
Addressing Hidden Fees
Moreover, hidden fees often encountered during online reservations complicate price comparisons and obscure the true cost of an overnight stay. Klobuchar commented, “This bipartisan legislation would help improve transparency so that travelers can make informed decisions.”
Government Stance on Junk Fees
In his State of the Union address, President Biden highlighted several industries exploiting junk fees, including hotels, airlines, credit card companies, and service providers. He stated, “We’re going to ban surprise resort fees that hotels charge. Those fees can amount to $90 a night at hotels that aren’t even resorts.”
Conclusion
In conclusion, the push for transparency in hotel pricing signifies an essential step toward protecting consumers from unnecessary fees and enhancing the booking experience. This act not only addresses an important consumer issue but also reflects a broader demand for honesty in pricing across various sectors.
