Senate Bill Report — SHB 1080

Summary

A state Senate Bill Report on SHB 1080, as of March 5, 2025, prepared for the Senate Committee on Business, Financial Services & Trade, which scheduled the bill for 3/13/25. The bill, sponsored by the House Committee on Consumer Protection & Business, concerns fee disclosure for lodging accommodations and passed the House on 3/3/25 by 58-39. The report gives background on state definitions of hotels and short-term rentals and on the Federal Trade Commission's rule on unfair or deceptive fees, effective May 12, 2025. It summarizes the bill as requiring hotels and short-term rentals to include all fees and charges in advertised rates, except government taxes and fees and assessment fees, with a civil penalty not exceeding $10,000 for each violation. The bill contains an emergency clause and takes effect on July 1, 2025.

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Full text

                              SENATE BILL REPORT
                                   SHB 1080

                                         As of March 5, 2025

Title: An act relating to fee disclosure for lodging accommodations.

Brief Description: Concerning fee disclosure for lodging accommodations.

Sponsors: House Committee on Consumer Protection & Business (originally sponsored by
    Representatives Donaghy, Ryu, Ramel, Morgan, Fosse, Pollet, Kloba, Berg, Ormsby,
    Reeves and Hill).

Brief History: Passed House: 3/3/25, 58-39.
     Committee Activity: Business, Financial Services & Trade: 3/13/25.


                                       Brief Summary of Bill
           • Requires hotels and short-term rentals to disclose all fees and charges in
             the advertised, displayed, or offered rate, except for taxes and fees
             imposed by governments and assessment fees.
           • Makes the fee and charges disclosure applicable to advertising, displays,
             or offers that are public in this state or from this state before the public in
             any state.
           • Subjects hotels and short-term rentals that do not comply with the fee
             and charges disclosures to a civil penalty not exceeding $10,000 for each
             violation.


SENATE COMMITTEE ON BUSINESS, FINANCIAL SERVICES & TRADE

     Staff: Clint McCarthy (786-7319)

     Background: State Requirements for Lodging Accommodations. Hotels. In state law
     "hotel" is defined and construed to mean any building held out to the public to be an inn,
     hotel, or public lodging house or place where sleeping accommodations, whether with or




     This analysis was prepared by non-partisan legislative staff for the use of legislative
     members in their deliberations. This analysis is not part of the legislation nor does it
     constitute a statement of legislative intent.

Senate Bill Report                                -1-                                          SHB 1080
     without meals, or the facilities for preparing the same, are furnished for hire to transient
     guests, in which three or more rooms are used for the accommodation of such guests.
     "Transient accommodation" is defined as any facility such as a hotel, motel, condominium,
     resort, or any other facility or place offering three or more lodging units to travelers and
     transient guests. Persons operating transient accommodations must obtain an annual
     operating license from the Department of Health and meet certain safety and health
     regulations.

     Short-Term Rentals. "Short-term rental" means a lodging use, that is not a hotel, motel, or
     bed and breakfast, in which a dwelling unit, or portion thereof, is offered or provided to a
     guest by a short-term rental operator for a fee for fewer than 30 consecutive nights. Short-
     term rental operators are required to meet certain safety requirements including placement
     of carbon monoxide alarms, displaying emergency contact information, and posting fire
     exists and escapes, along with maximum occupancy limits. Short-term rental platforms that
     provide a means through which an operator offers a short-term rental have the following
     duties for short-term rental operators who use the platform:
         • inform all operators to collect and remit all applicable taxes;
         • inform operators of the short-term rental safety requirements; and
         • provide operators with written notice that the operator's personal insurance policy that
            covers their dwelling unit may not provide liability protection, defense costs, or first
            party coverage when their property is used for short-term rental stays.

     Federal Trade Commission's Rule on Unfair and Deceptive Fees. Effective May 12, 2025,
     the Federal Trade Commission has issued a rule to prohibit unfair or deceptive fees. The
     proposed Trade Regulation Rule on Unfair or Deceptive Fees would prohibit unfair or
     deceptive practices relating to fees for goods or services, specifically, misrepresenting the
     total costs of goods and services by omitting mandatory fees from advertised prices and
     misrepresenting the nature and purpose of fees. The final rule specifies that it is an unfair
     and deceptive practice for businesses to offer, display, or advertise any price of live-event
     tickets or short-term lodging without clearly, conspicuously and prominently disclosing the
     total price. The rule also requires businesses to clearly and conspicuously make certain
     disclosures before a consumer consents to pay. The rule further specifies that it is an unfair
     and deceptive practice for businesses to misrepresent any fee or charge in any offer, display,
     or advertisement for live-event tickets or short-term lodging. For the purpose of this rule,
     short term lodging includes hotels and short-term rentals.

     Summary of Bill: Disclosure Requirements. Hotels and short-term rentals must disclose
     all fees and charges in the advertised, displayed, or offered rate, except for taxes and fees
     imposed by governments and assessment fees. The fee and charges disclosure is applicable
     to advertising, displays, or offers that are public in this state or from this state before the
     public in any state. Prior to a stay at a hotel or a short-term rental, all taxes and assessment
     fees must be included in the price to be paid.

     Civil Penalties. Hotels and short-term rentals that do not comply with the fee and charges


Senate Bill Report                              -2-                                        SHB 1080
     disclosures are subject to a civil penalty not exceeding $10,000 for each violation. City
     attorneys, county prosecuting attorneys, or the Office of the Attorney General are permitted
     to enforce these requirements.

     Appropriation: None.

     Fiscal Note: Available.

     Creates Committee/Commission/Task Force that includes Legislative members: No.

     Effective Date: The bill contains an emergency clause and takes effect on July 1, 2025.




Senate Bill Report                            -3-                                      SHB 1080


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