Bill Overview
Title: Hotel Advertising Transparency Act of 2022
Description: 22 This bill requires hotels, and other places of short-term lodging, to include all required fees in the advertised rate. This requirement may be enforced by the Federal Trade Commission, state attorneys general, and other authorized state officials.
Sponsors: Rep. Johnson, Eddie Bernice [D-TX-30]
Target Audience
Population: people who book short-term lodging accommodations
Estimated Size: 250000000
- Many people book hotel stays for personal or business travel, making them potentially impacted by clearer pricing regulations.
- The bill affects individuals who book accommodations including hotels, motels, and other short-term lodging.
- Clearer advertising of hotel prices would benefit those who often travel and are currently subject to misleading advertisement practices. This includes tourists and business travelers.
- Individuals who are responsible for booking accommodations for groups, such as event planners and business travel coordinators, will also be impacted.
- The bill might indirectly affect hotel and similar lodging facility operators and their marketing practices.
Reasoning
- The target population is individuals who frequently engage in booking short-term lodging, including travelers for leisure and business purposes.
- Not everyone in the U.S. books short-term lodging frequently, thus the impact of this policy may range significantly among different people.
- This policy would provide clearer pricing, likely leading to more cost-effective decision-making and potentially increasing perceived trust in hotel advertising.
- Given the financial limitation of the policy's budget, it is likely that enforcement and immediate effects will be focused on regions with higher travel statistics or consumer complaints about misleading pricing.
- The policy impact across 10 years needs to account for industry adaptations or consumer perception shifts as transparency becomes standard.
- The majority of individuals, including those booking infrequently, would ultimately benefit from policy, though the degree varies based on personal and professional travel engagements.
Simulated Interviews
Business Consultant (New York, NY)
Age: 34 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- Currently, hotel final prices often surprise me during payment due to hidden fees.
- I appreciate the potential for more straightforward business expense planning.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 9 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 9 | 7 |
Boutique Owner (Los Angeles, CA)
Age: 28 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 6/20
Statement of Opinion:
- I dislike the unexpected fees; upfront information is far more convenient.
- The act would definitely ease my travel budget planning.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 7 | 6 |
Event Planner (Chicago, IL)
Age: 45 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 8.0 years
Commonness: 3/20
Statement of Opinion:
- Currently, managing unexpected fees is challenging during event planning.
- The policy will improve my efficiency and client trust.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 8 | 5 |
| Year 3 | 8 | 5 |
| Year 5 | 9 | 5 |
| Year 10 | 9 | 5 |
| Year 20 | 9 | 5 |
Retired (Dallas, TX)
Age: 52 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 2.0 years
Commonness: 8/20
Statement of Opinion:
- I usually only spend time looking for the best airfare; hotels are secondary.
- I prefer upfront costs when planning but it's not a big hassle currently.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 7 | 7 |
Freelance Writer (Portland, OR)
Age: 24 | Gender: other
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 5/20
Statement of Opinion:
- Hidden fees are horrible for someone with tight travel budgets.
- Would love everything to be upfront with no surprises.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 9 | 7 |
| Year 5 | 9 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 9 | 7 |
Marketing Manager (Miami, FL)
Age: 31 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 6/20
Statement of Opinion:
- Price clarity would reduce my stress when planning various trips.
- This is a thoughtful move, especially during conference bookings.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 6 |
College Professor (Seattle, WA)
Age: 60 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 3.0 years
Commonness: 10/20
Statement of Opinion:
- I rarely encounter issues since I take fewer trips.
- Though peace of mind in cost transparency is always welcomed.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Fundraiser (Atlanta, GA)
Age: 39 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 7.0 years
Commonness: 4/20
Statement of Opinion:
- This act is crucial, often I find unexpected fees cutting into our budgets.
- It's vital for non-profit budgeting and planning.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 7 | 5 |
Sales Executive (Denver, CO)
Age: 44 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 5/20
Statement of Opinion:
- Transparency in hotel costs minimizes risk when adhering to travel budgets.
- This policy is beneficial for the travel-heavy corporate sector.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 6 |
College Student (Boston, MA)
Age: 18 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 7/20
Statement of Opinion:
- We rely on deals, fees can really mess up our budget when road tripping.
- This act will help budget better down the line.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 7 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 8 | 5 |
Cost Estimates
Year 1: $5000000 (Low: $3000000, High: $10000000)
Year 2: $5000000 (Low: $3000000, High: $10000000)
Year 3: $5000000 (Low: $3000000, High: $10000000)
Year 5: $5000000 (Low: $3000000, High: $10000000)
Year 10: $5000000 (Low: $3000000, High: $10000000)
Year 100: $5000000 (Low: $3000000, High: $10000000)
Key Considerations
- Administrative costs for enforcement could vary depending on initial compliance levels within the industry.
- Consumer benefits in terms of transparency could enhance trust and satisfaction, yet inherently difficult to monetize directly into fiscal estimates.
- Potential overlaps with other consumer protection policies could influence federal and state resource allocations.