THE SENATE

S.B. NO.

2993

THIRTY-SECOND LEGISLATURE, 2024

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to consumer protection.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

     SECTION 1.  The legislature finds that fully transparent pricing from the outset of a consumer's transient accommodations booking in Hawaii is paramount to their proper experience of aloha.  With numerous hotel brands voluntarily disclosing resort and other mandatory fees upfront rather than prior to the finalization of a booking transaction, the adoption of this practice across the tourism industry is critical to ensure that a consumer experiences the same pricing transparency, no matter the transient accommodations type or distribution channel.  The establishment of a single standard for hotels, motels, short-term rentals, online travel agencies, metasearch sites, short-term rental platforms, and other entities that offer, list, advertise, or display transient accommodations would not only prevent consumers from being misled, but also ensure a level playing field across the tourism industry.

     The legislature further finds that requiring the disclosure of resort fees and other mandatory taxes and fees would bring Hawaii into parity with other states with regard to the short-term lodging economy.

     Accordingly, the purpose of this Act is to:

     (1)  Prohibit any operator, transient accommodations broker, or person from offering, listing, advertising, and displaying a rate that does not include all resort fees;

     (2)  Require all operators, transient accommodations brokers, and persons to include all taxes and fees imposed by a government on a transient accommodation in the total price before booking a reservation; and

     (3)  Establish penalties.

     SECTION 2.  Chapter 481B, Hawaii Revised Statutes, is amended by adding a new section to part I to be appropriately designated and to read as follows:

     "§481B-    Transient accommodations; total price; resort fees; government taxes and fees; penalties.  (a)  No operator, transient accommodations broker, or person shall offer, list, advertise, or display a transient accommodations rental rate that does not include all resort fees required for the transient accommodation.

     (b)  All operators, transient accommodations brokers, and persons shall include all applicable taxes and fees imposed by a government on the transient accommodation in the total price to be paid before a reservation for the transient accommodation is made.

     (c)  All operators, transient accommodations brokers, and any other person who knows or should have known that they were in violation of this section shall be subject to a civil penalty not more than $10,000 for each violation.

     (d)  An action to enforce this section may be brought by a prosecuting attorney, a county corporation counsel, or the attorney general.

     (e)  The duties and obligations imposed by this section shall:

     (1)  Be cumulative to the duties or obligations imposed by any other law; and

     (2)  Not be construed to relieve any operator, transient accommodations brokers, or person of their duties or obligations imposed by any other law.

     (f)  For purposes of this section:

     "Operator", "resort fee", "transient accommodations", and "transient accommodations broker" have the same meanings as defined in section 237D-1.

     "Taxes and fees imposed by a government" includes taxes pursuant to sections 237-8.6, 237-13, 237-18, 237D-2, and 237D‑2.5.

     "Transient accommodations rental rate" means the rate for a transient accommodation before the inclusion of taxes and fees imposed by a government on the transient accommodation."

     SECTION 3.  If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the Act that can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.

     SECTION 4.  This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

     SECTION 5.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect on January 1, 2025.

 

INTRODUCED BY:

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Report Title:

Consumer Protection; Transient Accommodations; Total Booking Price; Resort Fees; Government Taxes and Fees; Penalties

 

Description:

Prohibits any operator, transient accommodations broker, or person from offering, listing, advertising, and displaying a rate that does not include all resort fees.  Requires all operators, transient accommodations brokers, and persons to include all taxes and fees imposed by a government on a transient accommodation.  Establish penalties.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.