U.S. House Passes Hotel Fees Transparency Act

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A welcoming hotel lobby emphasizing the importance of clear pricing for consumers.

News Summary

The U.S. House of Representatives has passed the Hotel Fees Transparency Act with bipartisan support. This legislation requires hotels to disclose all lodging costs, including hidden fees, to protect consumers and enhance pricing clarity. The act mandates that hotels display total prices in their online listings and is expected to bolster the hospitality industry. With backing from lawmakers and industry groups, the act aligns with recent initiatives from the FTC aimed at increasing fee transparency in the lodging sector.

Washington, D.C. – The U.S. House of Representatives has passed the Hotel Fees Transparency Act aimed at enforcing full disclosure of lodging costs, including hidden resort fees, in an effort to protect consumers and promote clarity in hotel pricing. The bill received bipartisan support and was approved through a voice vote on April 29, 2025. It is now set to be reviewed by the Senate.

The legislation mandates that hotels must display the complete price of stays, incorporating all fees in their online listings and advertisements. This requirement is particularly pertinent, given that resort fees in popular tourist destinations like Las Vegas can range anywhere from $26 to $55 per night. Such fees typically cover amenities such as parking, internet access, and gym privileges, and can often catch travelers off guard, leading to unexpected costs at the time of booking.

The goal of the Hotel Fees Transparency Act is not only to provide clearer pricing for consumers but also to bolster the hospitality industry, which has been heavily impacted by economic challenges in recent years. By ensuring that potential visitors are aware of the total costs upfront, supporters of the legislation believe it will encourage more tourists to travel and stay at hotels.

While similar legislation passed the House during the previous Congressional session, it did not progress in the Senate. The current version of the bill has been reintroduced by two senators, Amy Klobuchar (D-MN) and Jerry Moran (R-KS), in January, with support from Senator Catherine Cortez Masto (D-Nev.), indicating a renewed commitment to enhancing pricing transparency in the lodging sector.

Backing for the legislation is not limited to lawmakers; industry groups such as the American Hotel and Lodging Association and the Travel Technology Association have expressed their support. They advocate for a national standard that emphasizes price disclosure and consumer rights. Virginia Valentine, President of the Nevada Resort Association, also supports the bill, highlighting its potential to create a level playing field among service providers in the hospitality industry.

The momentum for increasing transparency in hotel pricing aligns with recent initiatives from the Federal Trade Commission (FTC). In December 2024, the FTC proposed a rule aimed at enhancing fee transparency, which is set to take effect on May 10, 2025. The FTC’s initiative also aims to protect consumers from surprise charges and is seen as complementary to the Hotel Fees Transparency Act pending in Congress.

One notable aspect of the FTC’s proposed rule is that it received a dissenting vote from Andrew Ferguson, who is now the FTC chairman under President Trump. During his term, President Trump prioritized consumer advocacy, notably through an executive order focused on price transparency for ticket purchases in the entertainment sector. The House bill seeks to reinforce the FTC’s fee transparency initiative if it becomes law.

As the Hotel Fees Transparency Act moves forward, it reflects a growing acknowledgment of the need for clearer pricing practices in the hospitality industry. By ensuring that customers are fully informed of all fees associated with their hotel stays, the legislation may empower consumers and enhance their travel experiences while promoting recovery in the hospitality sector.