Relating To Consumer Protection.
If enacted, the bill will amend Chapter 481B of the Hawaii Revised Statutes by introducing strict regulations that compel operators to include all resort fees and applicable taxes within the advertised price prior to the booking confirmation. This change is essential to create a level playing field across the tourism industry and align Hawaii’s practices with those of other states recognized for their consumer protection norms. Non-compliance will attract civil penalties of up to $10,000 per violation, empowering enforcement authorities such as county corporation counsels or the attorney general to prosecute offenders.
Senate Bill 2993 is a legislative proposal aimed at enhancing consumer protection in Hawaii's transient accommodations market. The bill mandates that any operator, transient accommodations broker, or related services must provide full disclosure of all costs associated with booking transient lodging. This imperative addresses the need for pricing transparency, particularly regarding additional resort fees and government taxes, ensuring consumers are not misled during the booking process. The legislation seeks to standardize the practices across various platforms and service providers such as hotels, short-term rentals, and online travel agencies, establishing a unified approach to pricing that promotes fairness and clarity in the tourist accommodation sector.
While the intent of SB2993 is to foster a more transparent marketplace for consumers, some stakeholders may express concerns regarding the impact on the profitability of transient accommodation providers. The requirement to display total pricing upfront could complicate existing pricing models that rely on multi-part fee structures. Additionally, there may be apprehensions about enforcement mechanisms and the potential burden on businesses to adjust their pricing strategies in compliance with the new regulations. The conversation surrounding the bill reflects a broader dialogue about the balance between consumer rights and business operations within Hawaii's vital tourism sector.