The U.S. House of Representatives has passed the No Hidden FEES Act, a significant piece of legislation backed by the American Hotel & Lodging Association (AHLA). The bill is designed to bring clarity and transparency to lodging prices for consumers. The new law will mandate uniform and mandatory display of fees across various accommodation services, including short-term rental platforms, online travel agencies, metasearch websites, and traditional hotels.
Rep. Young Kim (R-Calif.) and Rep. Kathy Castor (D-Fla.) co-sponsored the proposal, which garnered unanimous support from the House Energy & Commerce Committee in December and cross-party endorsement during its passage on the House floor. AHLA Interim President & CEO Kevin Carey expressed the association’s support for the bill as a crucial step towards establishing a level playing field in the lodging industry.
The American Hotel & Lodging Association has been actively advocating for a unified requirement that mandates the clear disclosure of fees across the lodging sector. This effort aligns with their broader goal of ensuring fairness and transparency in the industry. The proposed No Hidden FEES Act aligns with its Senate counterpart, the Hotel Fees Transparency Act, introduced by Senators Amy Klobuchar (D-Minn.) and Jerry Moran (R-Kan.). Both bills aim to set a uniform standard for fee transparency throughout the lodging industry.
Statistics from AHLA indicate that only a small percentage of hotels nationwide impose mandatory resort, destination, or amenity fees, with an average cost of around $26 per night. The No Hidden FEES Act is expected to provide consumers with a clear understanding of all associated costs before they book a stay, promoting informed decision-making and a more seamless experience in the lodging industry.