The U.S. House of Representatives has passed the No Hidden Fees Act, marking a significant win for the American Hotel & Lodging Association (AHLA) and travelers alike. The bill aims to create a uniform standard for transparent fee displays across the lodging industry, ensuring that consumers are fully aware of all mandatory fees upfront.

What Is the ''No Hidden Fees Act''?

Introduced by Representatives Young Kim (R-Calif.) and Kathy Castor (D-Fla.), the No Hidden Fees Act mandates that short-term rental platforms, online travel agencies, metasearch sites, and hotels disclose all mandatory fees at the time of booking. The bill received unanimous approval from the House Energy & Commerce Committee in December and passed the House with overwhelming bipartisan support.
"This legislation will level the playing field by creating a single, transparent standard for mandatory lodging fee displays," said Kevin Carey, interim president and CEO of AHLA. "We appreciate the efforts of Reps. Kim and Castor and look forward to working with Senators Klobuchar and Moran to pass their related legislation in the Senate."
The Senate's companion bill, the Hotel Fees Transparency Act (S. 2498), introduced by Senators Amy Klobuchar (D-Minn.) and Jerry Moran (R-Kan.), seeks to establish the same uniform standard across the lodging industry.

A Push for Transparency

The No Hidden Fees Act addresses a common frustration among travelers: hidden fees that can add hundreds of dollars to their final bill. By requiring all fees, including notorious "resort fees," to be listed upfront, the bill aims to provide consumers with a realistic idea of lodging costs, allowing them to make better-informed decisions.
The House passed the bill on June 11 with a 384–25 vote. The legislation aligns with President Joe Biden’s broader effort to eliminate hidden fees across various industries, an initiative that began with the airline sector in 2021.

Enforcement and Industry Support

The bill empowers the Federal Trade Commission and individual states to treat violations of the fee disclosure requirements as unfair or deceptive business practices. Prominent industry groups, including the AHLA and the Asian American Hotel Owners Association, have praised the bill.
"It makes sense for all lodging businesses—from short-term rentals to online travel agencies, metasearch sites, and hotels—to tell guests upfront about mandatory fees," Carey emphasized.
Miraj S. Patel, chairman of the Asian American Hotel Owners Association, called the bill's passage a "significant win," noting that it will help consumers make better-informed choices about where to stay.
The Senate's Hotel Fees Transparency Act still needs to pass the chamber and, if successful, will be reconciled with the House bill before being signed into law by President Biden. This legislative effort is part of a broader move to bring transparency to various sectors, including housing, ticketing, and events, where hidden fees are often buried in the checkout process.