HI HB854

Requires hotels to either distribute porterage service charges directly to employees as tip income or clearly disclose to customers that charges are being used for other purposes.

Defines "porterage" as the act of moving luggage, bags, or parcels between guest rooms, lobbies, front desks, or vehicular access areas at hotels, hotel-condominiums, or condominium-hotels.

Extends existing service charge disclosure requirements that applied to food and beverage services to now also cover porterage services at hotels.

Aims to ensure transparency so consumers understand whether service charges paid to hotels are actually distributed to employees as tips.

Effective date: July 1, 2020.