HI HB854

Hotels applying service charges for porterage services must either distribute those charges directly to employees as tip income or clearly disclose to customers that charges are being used for other purposes.

Porterage is defined as the act of moving luggage, bags, or parcels between a guest room and a lobby, front desk, or any area with vehicular access at hotels, hotel-condominiums, or condominium-hotels.

The bill amends Hawaii Revised Statutes Section 481B-14 to extend existing service charge distribution requirements from food and beverage services to include porterage services.

Transparency requirement ensures consumers know whether porterage service charges go to employees or are retained by hotels for other costs and expenses.

The Act takes effect on July 1, 2020.