[Senate Report 119-15]
[From the U.S. Government Publishing Office]


                                                       Calendar No. 49
119th Congress     }                                      {     Report
                                 SENATE
 1st Session       }                                      {     119-15
_______________________________________________________________________

                                     


                  HOTEL FEES TRANSPARENCY ACT OF 2025

                               __________

                              R E P O R T

                                 of the

           COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION

                                   on

                                 S. 314













    [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]













                 April 28, 2025.--Ordered to be printed



                                   _______
                                   
                                   
                                   
                 U.S. GOVERNMENT PUBLISHING OFFICE 
                 
59-010                    WASHINGTON : 2025 
























































       SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
                    one hundred nineteenth congress
                             first session

                       TED CRUZ, Texas, Chairman
JOHN THUNE, South Dakota             MARIA CANTWELL, Washington
ROGER F. WICKER, Mississippi         AMY KLOBUCHAR, Minnesota
DEB FISCHER, Nebraska                BRIAN SCHATZ, Hawaii
JERRY MORAN, Kansas                  EDWARD J. MARKEY, Massachusetts
DAN SULLIVAN, Alaska                 GARY C. PETERS, Michigan
MARSHA BLACKBURN, Tennessee          TAMMY BALDWIN, Wisconsin
TODD YOUNG, Indiana                  TAMMY DUCKWORTH, Illinois
TED BUDD, North Carolina             JACKY ROSEN, Nevada
ERIC SCHMITT, Missouri               BEN RAY LUJAN, New Mexico
JOHN CURTIS, Utah                    JOHN W. HICKENLOOPER, Colorado
BERNIE MORENO, Ohio                  JOHN FETTERMAN, Pennsylvania
TIM SHEEHY, Montana                  ANDY KIM, New Jersey
SHELLEY MOORE CAPITO, West Virginia  LISA BLUNT ROCHESTER, Delaware
CYNTHIA M. LUMMIS, Wyoming
                  Brad Grantz, Majority Staff Director
              Lila Harper Helms, Democratic Staff Director










































                                                       Calendar No. 49
119th Congress     }                                      {     Report
                                 SENATE
 1st Session       }                                      {     119-15

======================================================================



 
                  HOTEL FEES TRANSPARENCY ACT OF 2025

                                _______
                                

                 April 28, 2025.--Ordered to be printed

                                _______
                                

Mr. Cruz, from the Committee on Commerce, Science, and Transportation, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 314]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Commerce, Science, and Transportation, to 
which was referred the bill (S. 314) to prohibit unfair and 
deceptive advertising of prices for hotel rooms and other 
places of short-term lodging, and for other purposes, having 
considered the same, reports favorably thereon without 
amendment and recommends that the bill do pass.

                          PURPOSE OF THE BILL

    The purpose of S. 314 is to prohibit covered entities from 
advertising a price for short-term lodging that does not 
clearly, conspicuously, and prominently include the total 
price, including all fees.

                          BACKGROUND AND NEEDS

    Price transparency is a key factor in a free and fair 
market. Consumers have experienced hidden fees or drip 
pricing--where only part of the price for a product or service 
is disclosed up front and additional charges are revealed or 
imposed through the purchasing process--in a number of 
contexts. Drip pricing is the practice of advertising only part 
of a product's price up front and revealing additional charges 
later as a consumer goes through the purchasing process. In the 
hotel and short-term rental industry, these fees can be 
revealed throughout the booking process, or even imposed upon 
check-in.\1\ When these practices are used, consumers will 
likely experience additional mandatory charges or fees on their 
purchase, which are not disclosed to the consumer with the 
initial or advertised price. As a result, consumers may pay 
significantly more for hotel services than the advertised 
price. Consumers also may be unable to effectively comparison 
shop for hotels and short-term rentals. A 2019 report by 
Consumer Reports found that at least 85 percent of Americans 
have encountered an unexpected or hidden fee for a service they 
had used in the past 2 years.\2\
---------------------------------------------------------------------------
    \1\``Settlement with Choice Hotels is AG Henry's Latest Action to 
Quash Hidden `Resort Fees' and `Drip Pricing' for Travelers,'' 
Pennsylvania Attorney General Michelle A. Henry, September 21, 2023 
(https://www.attorneygeneral.gov/taking-action/settlement-with-choice-
hotels-is-ag-henrys-latest-action-to-quash-hidden-resort-fees-and-drip-
pricing-for-travelers/).
    \2\Penelope Wang, ``Protect Yourself From Hidden Fees,'' Consumer 
Reports, May 29, 2019 (https://www.consumerreports.org/money/fees-
billing/protect-yourself-from-hidden-fees-a1096754265/).
---------------------------------------------------------------------------
    The Federal Trade Commission (FTC) has long expressed 
concerns with these practices, noting that failing to disclose 
the full price of goods or services in advertisements can 
deceptively lower consumers' estimates of how much they expect 
to (and will) pay for a product or service.\3\ In 2012, the FTC 
held a conference to examine drip pricing.\4\ FTC staff made a 
recommendation for up-front pricing in a 2017 staff report.\5\
---------------------------------------------------------------------------
    \3\``FTC Warns Hotel Operators That Price Quotes That Exclude 
'Resort Fees' and Other Mandatory Surcharges May Be Deceptive,'' 
Federal Trade Commission, November 28, 2012 (https://www.ftc.gov/news-
events/news/press-releases/2012/11/ftc-warns-hotel-operators-price-
quotes-
exclude-resort-fees-other-mandatory-surcharges-may-be).
    \4\``The Economics of Drip Pricing,'' Federal Trade Commission, May 
21, 2012 (https://www.ftc.gov/news-events/events/2012/05/economics-
drip-pricing).
    \5\Mary W. Sullivan, Economic Issues: Economic Analysis of Hotel 
Resort Fees, Bureau of Economics, Federal Trade Commission, January 
2017 (https://www.ftc.gov/system/files/
documents/reports/economic-analysis-hotel-resort-fees/
p115503_hotel_resort_fees_economic_
issues_paper.pdf).
---------------------------------------------------------------------------
    The Department of Transportation already requires airlines 
to advertise the full fare for air transportation.\6\ This 
legislation will provide consumers with a consistent experience 
when booking lodging.
---------------------------------------------------------------------------
    \6\Department of Transportation, Office of the Secretary, Rules and 
Regulations, ``Enhancing Airline Passenger Protections,'' Federal 
Register, vol. 76, no. 79, 23166, April 25, 2011 (https://
www.govinfo.gov/content/pkg/FR-2011-04-25/pdf/2011-9736.pdf). Since 
2011, the Department of Transportation has required airlines to 
advertise the entire price to be paid by the customer for air 
transportation.
---------------------------------------------------------------------------
    In enforcing their consumer protection statutes, State 
attorneys general have addressed fee disclosure in the hotel 
and lodging sector. In 2023, the State attorneys general from 
Pennsylvania, Colorado, Nebraska, and Oregon entered into a 
binding settlement with a hotel chain to require the upfront 
disclosure of all mandatory fees to consumers.\7\
---------------------------------------------------------------------------
    \7\``Settlement with Choice Hotels is AG Henry's Latest Action to 
Quash Hidden `Resort Fees' and `Drip Pricing' for Travelers,'' 
Pennsylvania Attorney General Michelle A. Henry, September 21, 2023 
(https://www.attorneygeneral.gov/taking-action/settlement-with-choice-
hotels-is-ag-henrys-latest-action-to-quash-hidden-resort-fees-and-drip-
pricing-for-travelers/).
---------------------------------------------------------------------------
    In June 2023, the Subcommittee on Consumer Protection, 
Product Safety, and Data Security of the Senate Committee on 
Commerce, Science, and Transportation held a hearing, 
``Protecting Consumers from Junk Fees,'' which highlighted the 
need for legislative action to address hidden fees, including 
in the hotel industry.\8\ Sally Greenberg, chief executive 
officer of the National Consumers League, wrote extensively in 
her testimony about hotel fees as an example of an industry's 
use of hidden fees.\9\ As a result of such hidden fees and the 
confusion injected into the purchasing process, consumers often 
end up purchasing more expensive hotel rooms, as they appear 
less expensive to start.\10\ Additionally, competitors who 
choose to display their fees up front may face a competitive 
disadvantage if their prices appear to be more expensive at 
first glance. Legislation would ensure that all competitors are 
held to the same standard and consumers are protected from 
hidden fees.
---------------------------------------------------------------------------
    \8\``Protecting Consumers From Junk Fees,'' hearing before the 
Senate Committee on Commerce, Science, and Transportation, Subcommittee 
on Consumer Protection, Product Safety, and Data Security, 118th 
Congress, June 8, 2023 (https://www.commerce.senate.gov/2023/6/
protecting-consumers-from-junk-fees).
    \9\Prepared statement of Sally Greenberg, submitted to the Senate 
Committee on Commerce, Science, and Transportation, Subcommittee on 
Consumer Protection, Data Security, and Product Safety, for hearing on 
``Protecting Consumers From Junk Fees,'' 118th Congress, June 8, 2023 
(https://www.commerce.senate.gov/services/files/586508D9-4C9D-45B7-
AB6B-3B8A44151BEF).
    \10\Tom Blake et al., ``Price Salience and Product Choice,'' 
Marketing Science, vol. 40, no. 4 (May 19, 2021), pp. 619-636, 
available online by subscription (https://doi.org/10.1287/
mksc.2020.1261); Shelle Santana et al., ``Consumers' Reactions to Drip 
Pricing,'' Marketing Science, vol. 39, no. 1 (January 15, 2020), pp. 
188-210, available online by subscription (https://doi.org/10.1287/
mksc.2019.1207); supra, note 9.
---------------------------------------------------------------------------

                         SUMMARY OF PROVISIONS

    S. 314 would do the following:
   Prohibit covered entities from displaying or 
        advertising a price for temporary lodging without 
        clearly, conspicuously, and prominently displaying the 
        total service price.
   Require covered entities to disclose the total 
        service price at the time a price for temporary lodging 
        is first displayed to an individual and throughout the 
        purchasing process. Prior to final purchase, any 
        government tax or fee must also be disclosed.
   Grant enforcement authority to the Federal Trade 
        Commission, State attorneys general, and other 
        authorized officers of a State to enforce the Act.
   Protect intermediaries or third-party online sellers 
        by allowing them to assert an affirmative defense in 
        enforcement actions if the intermediaries established 
        procedures to receive up-to-date price information from 
        hotels or short-term rentals, the third parties relied 
        in good faith on the information provided to them, and 
        took prompt action to remove or correct any false or 
        inaccurate information after receiving notice.
   Preempt any State or a local law, rule, regulation, 
        requirement, standard, or other provision that 
        prohibits a covered entity from displaying or 
        advertising a covered service, or otherwise affects the 
        manner in which a covered entity may display or 
        advertise a price of a covered service, and that 
        requires fee disclosure, unless the law requires the 
        total services price to include each service fee (as 
        defined in the Act) in accordance with the requirements 
        in this Act.

                          LEGISLATIVE HISTORY

    S. 314 was introduced on January 29, 2025, by Senator 
Klobuchar (for herself and Senators Moran, Cortez Masto, and 
Capito) and was referred to the Committee on Commerce, Science, 
and Transportation of the Senate. On February 5, 2025, the 
Committee met in open Executive Session and, by voice vote, 
ordered S. 314 reported favorably without amendment.

                            ESTIMATED COSTS

    In accordance with paragraph 11(a) of rule XXVI of the 
Standing Rules of the Senate and section 403 of the 
Congressional Budget Act of 1974, the Committee provides the 
following cost estimate, prepared by the Congressional Budget 
Office:

    [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    Summary of legislation: On February 5, 2025, the Senate 
Committee on Commerce, Science, and Transportation ordered 
reported a total of 17 bills. This document provides estimates 
for 5 of those bills.
    S. 99, S. 195, and S. 245 would require the Department of 
Commerce to study supply chains, promote music tourism, and 
establish a working group on cyber insurance; S. 281 and S. 314 
would direct the Federal Trade Commission (FTC) to enforce new 
prohibitions related to ticket prices for live events and hotel 
prices.
    Estimated Federal cost: The estimated costs do not include 
any effects of interactions among the bills. If all five bills 
were combined and enacted as a single piece of legislation, the 
estimated costs could be different from the sum of the separate 
estimates, although CBO expects that any differences would be 
small. The costs of the legislation fall within budget function 
370 (commerce and housing credit).
    Basis of estimate: For these estimates, CBO assumes that 
the bills will be enacted near the middle of fiscal year 2025 
and that the estimated amounts will be appropriated each year. 
CBO estimates that all five bills would affect spending subject 
to appropriation and that S. 281 and S. 314 would affect 
revenues.
    S. 99, Strengthening Support for American Manufacturing 
Act, would require the Department of Commerce to contract with 
the National Academy of Public Administration to study programs 
operated by the department that aim to improve the resilience 
of critical supply chains and provide technical assistance to 
U.S. manufacturers. The report would identify interagency gaps 
and duplicative responsibilities among offices and recommend 
improvements.
    Using information from the Department of Commerce, CBO 
estimates that completing the study would cost $2 million over 
the 2025-2030 period, including employee and contracting costs. 
Any related spending would be subject to the availability of 
appropriated funds.
    S. 195, American Music Tourism Act of 2025, would require 
the Assistant Secretary of Commerce for Travel and Tourism to 
promote music tourism in the United States and periodically 
report to the Congress. In 2024, the Assistant Secretary 
received $3.5 million to carry out the requirements of the 
Visit America Act, a 2022 law to promote travel and tourism in 
the United States.
    Using information about the Assistant Secretary's 
responsibilities under current law, CBO estimates that 
implementing the requirements in the bill would cost less than 
$500,000 over the 2025-2030 period. Any related spending would 
be subject to the availability of appropriated funds.
    S. 245, Insure Cybersecurity Act of 2025, would require the 
National Telecommunications and Information Administration to 
establish an interagency working group on cyber insurance, 
composed of members from the Cybersecurity and Infrastructure 
Security Agency, Department of Justice, Department of the 
Treasury, National Institute of Standards and Technology, and 
the FTC. The working group would be required to report to the 
Congress no later than one year after it forms.
    Using information about the cost of similar working groups, 
CBO estimates that implementing the bill would cost less than 
$500,000 over the 2025-2026 period. Any related spending would 
be subject to the availability of appropriated funds.
    S. 281, TICKET Act, would require companies that issue 
tickets or that sell tickets on the secondary market to clearly 
display the total price of any ticket, including itemizing any 
fees not included in the base ticket price. The bill also would 
prohibit entities from offering or advertising tickets that 
they do not possess, require entities to clearly disclose if a 
ticket is for re-sale, and direct ticket sellers to refund 
buyers if an event is cancelled. Those requirements would apply 
to live events at venues with an attendance capacity of 200 
people or more. The FTC would enforce those requirements.
    Based on the cost of similar provisions, CBO estimates 
implementing the bill would cost the FTC $4 million over the 
2025-2030 period to issue guidance and to monitor and enforce 
violations. Any related spending would be subject to the 
availability of appropriated funds. In addition, CBO estimates 
that enacting the bill could increase civil penalty 
collections, which are recorded in the budget as revenues, by 
an insignificant amount.
    S. 314, Hotel Fees Transparency Act of 2025, would require 
providers of short-term lodging and websites that advertise or 
offer such lodging to display upfront the full lodging price 
and each mandatory fee required to complete a booking. The FTC 
would enforce those requirements.
    Based on the cost of similar provisions, CBO estimates 
implementing the bill would cost the FTC $4 million over the 
2025-2030 period to issue guidance and to monitor and enforce 
violations. Any related spending would be subject to the 
availability of appropriated funds. In addition, CBO estimates 
that enacting the bill could increase civil penalty 
collections, which are recorded in the budget as revenues, by 
an insignificant amount.
    Pay-As-You-Go considerations: CBO estimates that enacting 
S. 281 and S. 314 would each increase revenues by less than 
$500,000 over the 2025-2035 period; therefore, pay-as-you-go 
procedures apply to those bills.
    Increase in long-term net direct spending and deficits: CBO 
estimates that none of the bills would increase net direct 
spending or deficits in any of the four consecutive 10-year 
periods beginning in 2036.
    Mandates: Two of the bills ordered reported by the 
committee contain mandates, as defined in the Unfunded Mandates 
Reform Act (UMRA).
    S. 281, TICKET Act, would impose private-sector mandates as 
defined in UMRA on ticket sellers and resellers by requiring 
certain changes, including new refund policies to the ticketing 
process. CBO estimates the aggregate cost to comply with the 
mandates would be above the threshold established in UMRA for 
private-sector mandates ($206 million in 2025, adjusted 
annually for inflation).
    Under the bill, if an event is cancelled, ticket sellers 
and resellers would be required to provide a refund of the full 
ticket price, including taxes and fees, to ticket purchasers. 
If an event is postponed, sellers and resellers would be 
required to provide customers either a full refund or a 
replacement ticket, if available, subject to the customer's 
preference. Sellers also would be required to disclose this 
refund policy. The bill allows for exceptions to this policy in 
cases where the cancellation or postponement is beyond the 
control of the ticker issuer, such as natural disasters. Based 
on discussions with industry sources, a substantial share of 
sellers and resellers already provide full refunds for 
cancelled events but few offer refunds for postponed events. 
Considerable uncertainty surrounds the ways that federal 
regulations might define what is within the control of the 
issuer in the event of a cancellation or postponement or what 
might constitute comparable replacement events. Given the large 
size of the industry and the amount of revenue generated by 
ticketed events, CBO estimates that the cost of this mandate 
would exceed the threshold for private-sector mandates.
    S. 281 also would require ticket sellers and resellers to 
make certain up-front disclosures to consumers. They would need 
to disclose the ticket prices, including taxes and fees. Those 
disclosures would occur at the time a ticket is first displayed 
to a consumer and in any advertisements or marketing. The bill 
also would require ticket sellers and resellers to provide an 
itemized list of the base price and all fees. Information from 
industry sources indicates that most ticket sellers have 
already begun to provide the total cost to consumers in 
advance; thus, CBO expects the additional requirements in the 
bill to have small costs.
    The bill also would require ticket resellers to disclose to 
consumers that they are resellers before any purchase is 
complete. Sellers and resellers would be prohibited from 
selling or advertising any ticket that the seller does not have 
actually or constructively possess. In certain instances, 
sellers also would be prohibited from revealing to consumers 
and using the name of venues, teams, artists, and events in 
their online domain names. CBO expects that those disclosures 
and prohibitions would impose minimal costs on the sellers.
    The bill contains no intergovernmental mandates as defined 
in UMRA.
    S. 314, Hotel Fees Transparency Act of 2025, would impose 
intergovernmental and private-sector mandates as defined in 
UMRA. CBO estimates that the cost to comply with those mandates 
would not exceed thresholds established in UMRA ($103 million 
and $206 million in 2025, respectively, adjusted annually for 
inflation).
    The bill would preempt state and local laws governing the 
display of prices for short-term lodging. Although the 
preemptions would limit the application of state and local 
laws, it would impose no duty on state or local governments 
that would result in significant spending or loss of revenues.
    The bill would require hotels, short-term rentals, online 
booking websites, and any other third-party temporary 
accommodation sellers to disclose upfront the total price of 
lodging, including any government-imposed fees. Information 
from industry sources and the FTC indicates that several 
lodging providers already comply with provisions in the bill. 
In addition, an FTC final rule, set to go into effect in April, 
will require short-term lodging sellers to disclose all 
associated fees to customers. CBO expects the cost for other 
entities to comply would be small because many providers 
already comply and those who do not already possess the fee 
information required to be displayed.
    Estimate prepared by: Federal costs and revenues: David 
Hughes; Mandates: Grace Watson and Rachel Austin.
    Estimate reviewed by: Justin Humphrey, Chief, Finance, 
Housing, and Education Cost Estimates Unit; Kathleen 
FitzGerald, Chief, Public and Private Mandates Unit; H. Samuel 
Papenfuss, Deputy Director of Budget Analysis.
    Estimate approved by: Phillip L. Swagel, Director, 
Congressional Budget Office.

                      REGULATORY IMPACT STATEMENT

    In accordance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee provides the 
following evaluation of the regulatory impact of the 
legislation, as reported:

                       number of persons covered

    S. 314 covers the following entities and any employees 
retained by them:
   Hotels and short-term rentals.
   Third-party online websites that offer hotel rooms 
        or short-term lodgings.
   Intermediaries, including both consumer-facing and 
        business-facing entities that offer online booking 
        services or price comparison tools.
   The Federal Trade Commission.
   State attorneys general.

                            economic impact

    By increasing transparency in the hotel market, S. 314 will 
allow consumers to more effectively comparison shop and select 
the best-priced hotel rooms or short-term rentals. Therefore, 
the bill is expected to save consumers both time and money.

                                privacy

    S. 314 is not anticipated to impact the personal privacy of 
individuals.

                               paperwork

    S. 314 is not anticipated to generate any additional 
paperwork.

                   CONGRESSIONALLY DIRECTED SPENDING

    In compliance with paragraph 4(b) of rule XLIV of the 
Standing Rules of the Senate, the Committee provides that no 
provisions contained in the bill, as reported, meet the 
definition of congressionally directed spending items under the 
rule.

                      SECTION-BY-SECTION ANALYSIS

Section 1. Short title.

    This section provides that this Act may be cited as the 
``Hotel Fees Transparency Act of 2025''.

Section 2. Prohibition on unfair and deceptive advertising of hotel 
        rooms and other short-term rental prices.

    Subsection (a)(1) would prohibit a covered entity from 
displaying, advertising, marketing, or offering in interstate 
commerce, a price for covered services that does not clearly, 
conspicuously, and prominently display the total services 
price; disclose the total services price at the time it is 
first displayed to the individual and anytime throughout the 
purchasing process; and disclose any tax or fee imposed by the 
government prior to the final purchase.
    Subsection (a)(2) would provide that a covered entity is 
not prohibited from displaying individual components of the 
total price or additional details of other items not required 
by this Act, provided that such displays are less prominent 
than the required total service price.
    Subsection (a)(3) would provide that nothing in this 
section shall be construed to prohibit any covered entity from 
entering into a contract with another covered entity that 
contains an indemnification provision regarding price or fee 
information.
    Subsection (b)(1) would provide that a violation of 
subsection (a) will be treated as a violation of a rule 
defining an unfair or deceptive act or practice under the 
Federal Trade Commission Act.\11\
---------------------------------------------------------------------------
    \11\15 U.S.C. 57a(a)(1)(B).
---------------------------------------------------------------------------
    Subsection (b)(2) would provide for State enforcement of 
subsection (a) through State attorneys general. Attorneys 
general who wish to bring a case must inform the Commission 
prior to bringing civil action. If they are unable to notify 
the Commission prior to the action, they must notify 
immediately upon bringing the civil action. The Commission may 
intervene in any civil action brought by the attorney general 
of a State and file petitions for appeal. Nothing in this 
section may be construed to prevent State attorneys general 
from exercising other powers conferred upon them by the laws of 
a State to conduct investigations, administer oaths or 
affirmations, or compel the attendance of witnesses or the 
production of evidence. Where a civil action has been 
instituted by or on behalf of the Commission, no attorney 
general may institute an action against any defendant in the 
complaint. Any action brought under subparagraph (a) may be 
brought in a United States district court or another competent 
court of jurisdiction. Actions brought under subparagraph (a) 
may be served in any district where the defendant is an 
inhabitant, is found, or transacts business; or the venue is 
proper under section 1391 of title 28, United States Code. 
Authorized State officers other than attorney generals may 
bring a civil action under subparagraph (a), subject to the 
same requirements under this paragraph. Nothing in this 
paragraph may be construed to prohibit an authorized State 
official from initiating or continuing State court proceedings 
for violations of a State's civil or criminal law.
    Subsection (b)(3) would provide that in any action 
initiated under this Act, an intermediary or third-party online 
seller may assert an affirmative defense if they have (A) 
established procedures to receive up-to-date price information, 
(B) relied on good faith that the information supplied to them 
was accurate, and (C) took prompt action to correct any false 
or inaccurate information after receiving notice.
    Subsection (c) would prohibit States (and their political 
subdivisions) from enforcing any provision having the force and 
effect of law that prohibits a covered entity from advertising 
or displaying or affects the manner in which a covered entity 
advertises or displays a price, and that requires fee 
disclosure, unless the law requires the total services price to 
include each service fee (as defined by this Act), and in 
accordance with subsection (a)(1). This section may not be 
construed to preempt any State law relating to contracts or 
torts, or any State law relating to fraud.
    Subsection (d) would define key terms in this Act. The term 
``base service price'' means the price to obtain the covered 
service of the hotel or short-term rental, not including 
service fees or taxes. The term ``Commission'' means the 
Federal Trade Commission. The term ``covered entity'' means a 
person or partnership that the Commission has jurisdiction 
over, including hotels, third-party online sellers, or an 
intermediary. The term ``covered services'' means the temporary 
provision of a room, building, or other lodging. Such term does 
not include the provision of a meeting room, banquet services, 
or catering services. The term ``hotel'' means an establishment 
that provides a covered service and promotes such service. The 
term ``intermediary'' means an entity that operates as either 
business-facing, consumer-facing, or both and displays a price 
for covered entities or a price comparison service for covered 
services. The term ``optional product or service'' means a 
product or service that an individual does not need to purchase 
for use of covered services. The term ``service fee'' means a 
charge from a covered entity necessary for covered services and 
does not include any government taxes or fees or any optional 
fees. The term ``short-term rental'' means a property that 
provides covered services to the general public for a fee, for 
a period shorter than 30 consecutive days, and promotes the 
service. The term ``State'' means each of the 50 States, the 
District of Columbia, and any territory of the United States. 
The term ``third-party online seller'' means any person other 
than a hotel or short-term rental that sells covered services 
with respect to a hotel in a transaction on the internet. The 
term ``total services price'' means the total cost of covered 
services, including the base service price and any service 
fees, and does not include any government taxes or tees or 
optional fees.
    Subsection (e) would set the effective date of this Act as 
450 days following enactment.

                        CHANGES IN EXISTING LAW

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the Committee states that the 
bill as reported would make no change to existing law.

                                  [all]