Legislation Advancing Hotel Fee Transparency Clears US House, Awaiting Senate Action
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Published: May 1, 2025, 09:47h.Last updated: May 1, 2025, 09:56h.
Devin O'Connor @CasinoorgDevinO | Asia Pacific Gaming | Commercial Gaming | Legislation | Politics
The Hotel Fee Honesty Act Advances: Now, Waiting for the Senate's Move
- Hotels and casino resorts could soon be forced to display all fees upfront The law aims to end deceptive pricing practices The US Senate is set to review the legislation
In the heart of Washington D.C., federal lawmakers have been fighting a battle against perceived deceptive pricing for years, and now, the Hotel Fee Honesty Act, a 2025 revision of the original bill, has emerged as the first to pass through a congressional chamber.
HR 1479, filed by Rep. Young Kim (R-CA), has been passed by the House with overwhelming support. Currently, the bill is waiting for review by the Senate.
On Wednesday, the bill was introduced to the Senate, ready to be discussed on the House floor.
Putting a Stop to the Sneaky Fees Game
HR 1479 aims to address consumer complaints about hidden fees for several years. The Hotel Fee Honesty Act proposes that hotels and casino resorts, especially those on the Las Vegas Strip, need to reveal all service fees in addition to the base nightly rate for a guestroom, upfront in the booking process.
The casino industry often markets one rate, which significantly increases when a nightly resort fee is added later in the reservation process.
Remember the FTC's "Junk Fees Rule"? Enacted in December 2024, it required providers of live-event ticketing and short-term lodging to include all fees (aside from taxes) in the upfront advertised price. HR 1479 would make it criminal if hotels failed to comply.
"As families struggle to make ends meet, sneaky fees only add to their burden," said Kim. "I'm delighted that the House has passed my bipartisan bill to improve transparency, ensure fees are openly listed, and stop misleading advertising."
The bill would not apply to taxes or fees imposed by governmental agencies, or charges for optional products and services.
What's Up with the Vegas Casino Scene?
MGM Resorts, the largest operator of hotel rooms on the Las Vegas Strip, has already revamped its booking platforms to feature nightly resort fees in the upfront advertised price. A recent weekend stay at the Bellagio shows an average room rate of $436, with a $55 daily resort fee, totalling $491 per night.
Caesars Entertainment, however, has yet to join the compliance wave. For a weekend stay at Caesars Palace, the Caesars website shows a nightly rate of $299, with a disclaimer mentioning that the cost excludes fees and taxes. After selecting the room and moving to the payment section, the nightly rate jumps to $353.95, thanks to the resort fee. With taxes, the total cost for the stay comes to $802.62, or $401.31 per night.
Enrichment Data:According to additional information, if the Hotel Fee Honesty Act is enacted:- Major operators on the Las Vegas Strip, such as MGM Resorts, may restructure their pricing practices.- Potential changes in the bill may lead to competitive adjustments, such as lowering or eliminating resort fees- The bill's passage would complement the FTC's upcoming price transparency regulations, focusing on clearing up tourist confusion in Nevada's dominant hospitality sector.
- The Hotel Fee Honesty Act, now passed by the House, aims to address consumer complaints about hidden fees and requires hotels to reveal all service fees upfront in the booking process.
- Deceptive pricing practices, such as marketing one rate but significantly increasing it when a nightly resort fee is added later, could soon be a thing of the past if the Hotel Fee Honesty Act is enacted.
- The bill awaits review by the US Senate, where it was recently introduced.
- If the Hotel Fee Honesty Act is enacted, major operators on the Las Vegas Strip, like MGM Resorts, may restructure their pricing practices.
- The bill's passage would complement the FTC's upcoming price transparency regulations, focusing on clearing up tourist confusion in Nevada's dominant hospitality sector.
- In the Las Vegas casino scene, MGM Resorts has revamped its booking platforms to feature nightly resort fees in the upfront advertised price, while Caesars Entertainment has yet to comply fully.
- The average nightly rate for a weekend stay at the Bellagio, operated by MGM Resorts, is $436, including a $55 daily resort fee, while Caesars Palace, operated by Caesars Entertainment, shows a nightly rate of $299, with a subsequent increase in the payment section due to the resort fee.
