The Battle Against Hidden Hotel Fees Heats Up

 

 

 

 

 

 

 

 

 

 

Hidden hotel fees aren’t new, but they are increasingly irksome — and legislators are still working on doing something to fix the situation.

Hidden hotel fees that show up as the worst sort of surprise as attendees are checking out can end an event on a sour note. These fees, which could be called anything from “resort fees” or “amenity fees” to “destination fees” and tend to cover basic hotel amenities such as pool and fitness center access or Wi-Fi, once were simply rolled into the room rate. Nowadays, some hotels advertise a fee-free room rate, only to disclose these fees late in the booking process, at check in, or even, in some of the most egregious cases, as the guest is checking out.

And the hidden fee problem — which also extends beyond hotels to airlines, cable and internet service providers, event ticketing agencies, banks and utilities — just seems to be getting worse. In fact, according to a Consumer Reports survey, 85% of Americans say they’ve encountered an hidden fee in the past couple of years, and two-thirds report paying more in surprise changes than they did just five years ago.

There have been some legislative efforts on the state level, such as when California implemented a requirement for disclosing fees up front. But after several high-profile lawsuits and settlements involving major hotel chains over deceptive pricing practices, there’s been a push for national legislation to add some transparency to these hidden hotel fees on a broader playing field.

Last December, Congress included the Hotel Fees Transparency Act in a year-end funding bill, which would require hotels to disclose the full price of their rooms up front. Also in December 2024, the Federal Trade Commission (FTC) announced a rule that would require hotels, along with vacation rental platforms and live event promoters, to disclose all fees up front in their price listings. The requirement was to go into effect 120 days later.

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On April 28, the U.S. House of Representatives passed the Hotel Fees Transparency Act of 2025 (H.R. 1479) with strong bipartisan support. The bill, which was introduced by Young Kim (R-CA) and Kathy Castor (D-FL), requires that all advertising-online or in print-must include the total cost of a stay, inclusive of all mandatory fees but excluding taxes and optional services.

“We applaud the House for passing this important legislation and urge the Senate to do the same,” said the American Hotel and Lodging Association (AHLA) in a statement. “AHLA continues to lead the charge for consistent, upfront pricing across the lodging industry. This commonsense bill creates a single standard for fee display, ensuring consumers know exactly what they’re paying when they book a reservation. A transparent process means a better experience and greater satisfaction for all guests.”

The Asian American Hotel Owners Association also has endorsed the legislation, noting that the association “has long advocated for fairness and transparency in pricing and believes this legislation marks a significant step toward ensuring travelers have clear, accurate information when booking accommodations.”

As of early May, the bill has been sent to the Senate, where it has been read twice and placed on the Senate Legislative Calendar, awaiting consideration by the full chamber. The Senate Committee on Commerce, Science & Transportation had previously approved the bill in July 2024, which appears to bode well for the latest iteration.

Some of the major players in the hotel industry, such as MGM Resorts in Las Vegas, have proactively updated their booking platforms to include resort fees in the advertised price, while others have complied as a condition of settlement agreements reached in earlier lawsuits. Other hotels appear to be waiting to see if the legislation is signed into law before making any changes to their systems.

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